` Comparison: SHL vs FRE - Alpha Spread

SHL
vs
FRE

Over the past 12 months, SHL has underperformed FRE, delivering a return of -21% compared to the FRE's +11% growth.

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SHL
FRE
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Valuation Comparison

SHL Intrinsic Value
28.83 AUD
Undervaluation 29%
Intrinsic Value
Price
FRE Intrinsic Value
64.23 EUR
Undervaluation 32%
Intrinsic Value
Price
Company Last Price Intrinsic Value DCF Value Multiples-Based Value Wall St Target
Sonic Healthcare Ltd
ASX:SHL
20.41 AUD
Fresenius SE & Co KGaA
XETRA:FRE
43.72 EUR
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Valuation Scenario:
Bear Case
Base Case
Bull Case

Growth Comparison

Growth Over Time
SHL, FRE

SHL
FRE
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Revenue
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Company LTM Historical Growth Growth Streak % Positive Years Max Drawdown Volatility Forecasted Growth
3 Years 5 Years 10 Years 1 Year 3 Years
Sonic Healthcare Ltd
Revenue
Fresenius SE & Co KGaA
Revenue

All metrics are calculated based on data from the last 10 years.

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Profitability Comparison

Free Cash Flow
SHL, FRE

SHL
FRE
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Free Cash Flow
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Company LTM Average Historical Growth FCF Margin Conversion
3 Years 5 Years 3 Years 5 Years 10 Years
Sonic Healthcare Ltd
ASX:SHL
Fresenius SE & Co KGaA
XETRA:FRE
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What is Free Cash Flow?

Gross Margin

SHL
83.4%
FRE
24.9%

Operating Margin

SHL
9.4%
FRE
10.1%

Net Margin

SHL
5.2%
FRE
5.5%

FCF Margin

SHL
7.2%
FRE
5.2%

ROE

SHL
6.4%
FRE
6.6%

ROA

SHL
3.3%
FRE
2.9%

ROIC

SHL
4.9%
FRE
4.5%

ROCE

SHL
7.1%
FRE
6.9%

Solvency Comparison

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Balance Sheet Comparison
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Stocks Performance

Stocks Performance
SHL, FRE

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Performance Gap
SHL, FRE

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SHL
FRE
Difference
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Performance By Year
SHL, FRE

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SHL
FRE
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Compare SHL to other stocks
CVS
CVS Health Corp
Cheaper
vs SHL
CGN
Cigna Group
C
Cheaper
vs SHL
CI
Cigna Corp
Cheaper
vs SHL
FME
Fresenius Medical Care AG
More expensive
vs SHL
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Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett