Adidas AG banner

EV/OCF

35.6
Current
119%
More Expensive
vs 3-y average of 16.2

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
35.6
=
Enterprise Value
€27.7B
/
Operating Cash Flow
€751m

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
35.6
=
Enterprise Value
€27.7B
/
Operating Cash Flow
€751m

Valuation Scenarios

Adidas AG is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (16.2), the stock would be worth €76.52 (54% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-69%
Maximum Upside
No Upside Scenarios
Average Downside
58%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 35.6 €167.7
0%
3-Year Average 16.2 €76.52
-54%
5-Year Average 16.7 €78.65
-53%
Industry Average 16 €75.3
-55%
Country Average 10.9 €51.36
-69%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
Close
Market Cap EV/OCF P/E
DE
Adidas AG
XBER:ADS
24.7B EUR 35.6 18.3
FR
LVMH Moet Hennessy Louis Vuitton SE
PAR:MC
235.9B EUR 13.4 21.5
FR
Hermes International SCA
PAR:RMS
175.5B EUR 30.2 38.1
KR
SBW
KRX:102280
235.5T KRW 2 215 163.4 -117 637.1
CH
Compagnie Financiere Richemont SA
SIX:CFR
88.6B CHF 18.3 23.7
FR
EssilorLuxottica SA
PAR:EL
88.8B EUR 18 37.2
FR
Christian Dior SE
PAR:CDI
80.8B EUR 5.5 17.7
IN
Titan Company Ltd
NSE:TITAN
4T INR 262.9 82.1
FR
Kering SA
PAR:KER
29.2B EUR 12.7 411.2
CN
ANTA Sports Products Ltd
HKEX:2020
235.3B HKD 9.2 14.9
US
Tapestry Inc
NYSE:TPR
29.7B USD 17.7 57.2
P/E Multiple
Earnings Growth PEG
DE
Adidas AG
XBER:ADS
Average P/E: 72.2
18.3
23%
0.8
FR
LVMH Moet Hennessy Louis Vuitton SE
PAR:MC
21.5
11%
2
FR
Hermes International SCA
PAR:RMS
38.1
12%
3.2
KR
SBW
KRX:102280
Negative Multiple: -117 637.1 N/A N/A
CH
Compagnie Financiere Richemont SA
SIX:CFR
23.7
16%
1.5
FR
EssilorLuxottica SA
PAR:EL
37.2
26%
1.4
FR
Christian Dior SE
PAR:CDI
17.7
N/A N/A
IN
Titan Company Ltd
NSE:TITAN
82.1
32%
2.6
FR
Kering SA
PAR:KER
411.2
186%
2.2
CN
ANTA Sports Products Ltd
HKEX:2020
14.9
10%
1.5
US
Tapestry Inc
NYSE:TPR
57.2
107%
0.5

Market Distribution

Higher than 93% of companies in Germany
Percentile
93nd
Based on 2 369 companies
93nd percentile
44.9
Low
0.2 — 7.5
Typical Range
7.5 — 16.6
High
16.6 —
Distribution Statistics
Germany
Min 0.2
30th Percentile 7.5
Median 10.9
70th Percentile 16.6
Max 2 561.1

Adidas AG
Glance View

Adidas AG, a pillar of the global sportswear industry, traces its roots to the German town of Herzogenaurach in 1949, where it pioneered the fusion of sports and style. Its founder, Adolf Dassler, embarked on a mission to equip athletes with innovative footwear, a philosophy that still reverberates through the company's operations. Today, Adidas crafts its success on a reputation for high-performance athletic gear that stretches beyond the pitch and into the realms of running, training, and lifestyle. The company continuously harnesses cutting-edge technology and design, whether through its Boost midsole technology or the sleek silhouettes of its sneaker collaborations, which merge athletic function with street-ready aesthetics. These innovations position Adidas not only as a trusted outfit for athletes but as a venerated style icon, appealing to a broad demographic eager for both performance and prestige. Adidas's business architecture hinges on a strategic blend of direct-to-consumer sales, wholesale partnerships, and digital endeavors. This multifaceted approach ensures a robust global presence, with brick-and-mortar stores complemented by a streamlined e-commerce platform. In recent years, the company has intensified its focus on sustainability, launching eco-friendly products to meet the rising demand for greener options from conscientious consumers. Adidas nurtures strong alliances with influential sports teams, athletes, and celebrities, weaving these endorsements into the fabric of its marketing strategy. Revenue generation, thus, blooms from an intricate tapestry of product sales, brand loyalty cultivated through strategic advertising, and an expanding subscription service for exclusive releases. With these threads, Adidas deftly navigates the competitive landscape, ensuring its stripes remain synonymous with innovation and excellence in the sportswear arena.

ADS Intrinsic Value
303.17 EUR
Undervaluation 45%
Intrinsic Value
Price €167.7
Get AI-powered insights for any company or topic.
Open AI Assistant

Intrinsic Value is all-important and is the only logical way to evaluate the relative attractiveness of investments and businesses.

Warren Buffett