SAVE THE DATE - Hypoport AG

Rheinmetall
Germany/Aerospace & Defence Analyser
$nomcompagnie$ (Accumulate)
Accumulate
Recommendation unchanged
Share price: EUR
closing price as of 07/05/2012
Target price: EUR
Target Price unchanged
Reuters/Bloomberg
38.12
52.00
RHMG.DE/RHM GR
Market capitalisation (EURm) 1,460
Current N° of shares (m) 38
Free float 86%
Daily avg. no. trad. sh. 12 mth 274,499
Daily avg. trad. vol. 12 mth (m) 12
Price high 12 mth (EUR) 64.43
Price low 12 mth (EUR) 30.34
Abs. perf. 1 mth -14.88%
Abs. perf. 3 mth -13.61%
Abs. perf. 12 mth -37.62%
Key financials (EUR) 12/11 12/12e 12/13e
Sales (m) 4,454 4,879 4,935
EBITDA (m) 520 547 557
EBITDA margin 11.7% 11.2% 11.3%
EBIT (m) 336 346 350
EBIT margin 7.5% 7.1% 7.1%
Net Profit (adj.)(m) 213 213 202
ROCE 9.0% 8.7% 8.4%
Net debt/(cash) (m) 92 (8) (145)
Net Debt/Equity 0.1 0.0 -0.1
Debt/EBITDA 0.2 0.0 -0.3
Int. cover(EBITDA/Fin. int) 11.8 12.8 13.4
EV/Sales 0.5 0.5 0.4
EV/EBITDA 4.1 4.0 3.8
EV/EBITDA (adj.) 4.1 4.0 3.8
EV/EBIT 6.3 6.4 6.0
P/E (adj.) 6.3 7.0 7.4
P/BV 0.9 1.0 0.9
OpFCF yield 13.5% 13.5% 12.0%
Dividend yield 4.7% 4.7% 4.5%
EPS (adj.) 5.45 5.47 5.17
BVPS 36.13 39.83 43.23
DPS 1.80 1.80 1.70
70 vvdsvdvsdy
65
60
55
50
45
40
35
30
Apr 11 May 11 Jun 11 Jul 11 Aug 11 Sep 11 Oct 11 Nov 11 Dec 11 Jan 12 Feb 12 Mar 12 Apr 12 May 12
Source: Factset
RHEINMETALL Stoxx Aerospace & Defense (Rebased)
Shareholders: Harris Associates 10%; Treasury shares
3%;
Analyst(s):
Adrian Pehl, CFA, Equinet Bank
adrian.pehl@equinet-ag.de
+49 69 58997 438
RHM officially discloses Auto IPO plans
The facts: According to yesterday‟s release, RHM plans the IPO of Automotive
division in the first half of 2012 – depending on the capital markets environment.
The aim is for KSPG AG to be listed in the Prime Standard segment of the
Frankfurt Stock Exchange. After the IPO, Rheinmetall will initially remain majority
shareholder in KSPG, but it intends to give up control in steps.
Our analysis: RHM makes official what was rumoured quite some time before.
The timing aspect will not be trivial again although the profitability of the unit has
largely improved. Depending on the allocation of overhead cost and assets, we
would roughly value the unit at EUR 875-925m.
Conclusion & Action: We keep our rating and PT, but might still apply minor
model changes as a result of the 1Q12 report.
Page 71 of 80 European Securities Network
Please refer to important disclaimer on the last page