Fresenius Medical Care AG American Depositary Shares (Each representing 1/2 of an Ordinary Share) (FMS)

FairStock Score: 69/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for necessary, cash-generative businesses priced with a margin of safety. Fresenius Medical Care provides dialysis and related renal services through a large clinic and service network, so demand is recurring. Yet the numbers are mixed. At the close on 2026-10-13, the shares were $21.08, with a market cap of $12.5B. FairStock calculations show a P/E of 11.09, P/B of 0.77, EV/EBITDA of 6.50, and a 14.3% FCF yield on $1.8B trailing free cash flow. That is cheap on cash flow and assets. The Graham Number calculates to $44.92, giving a 53.07% margin of safety, and the Piotroski F-Score is 8/9, which suggests improving fundamental signals. Still, quality is not pristine. ROE is 8.52% and ROCE only 3.98%, so the business does not earn high returns on capital. Debt/equity is 0.81, and the Altman Z-Score of 1.19 is a warning sign. In the latest reported quarter, fiscal Q2 2026, revenue was $4.9B and net income $218.4M, a 4.49% margin—thin. The 3.93% dividend yield and beta of 0.83 add defensiveness. My conclusion: this looks like a statistically cheap, cash-generative but operationally constrained dialysis provider. The price offers compensation, but low returns and leverage mean I would require evidence of durable margin and debt improvement before calling it a high-quality bargain.

In plain English: Fresenius Medical Care runs dialysis clinics and provides related kidney-care services. It produces solid cash but earns modest profits on its assets and carries meaningful debt. Based on the provided numbers, the shares look inexpensive, though thin margins and financial risk keep it from looking like a clearly strong business.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer