Morningstar

Rational AG RAA

Morningstar Rating
Unlock
Stock XETR Rating as of
€916.00 −5.50 (0.60%)
View Full Chart
As of Delayed Price Open

Company Report

View Archive

Rational Enjoys a Significant Growth Opportunity in Asia and the US; Raising Our Valuation

Matthew Donen

Rational’s multifunctional cooking appliances have a significant presence in restaurants and community catering. Its granular strategy is focused on two cooking appliances used by professional kitchens combined with significant reinvestment into product development, which should allow the group to maintain its dominant market share of 50% and earn high returns on invested capital through superior product differentiation. Having pioneered the technology that combined hot air and steam for mass catering purposes, Rational has constantly been working on product upgrades to improve cost-savings versus traditional cooking appliances and existing models. Its latest product innovation combining hot air, steam, and microwave was launched at the start of 2024.

Read Full Report

Price vs Fair Value

View History
RAA is trading at a 442% premium.
Price
€921.50
Fair Value
€636.00
Uncertainty
Medium
1-Star Price
€848.30
5-Star Price
€696.00
Economic Moat
Dxjyln
Capital Allocation
Mxxcqcwv

Bulls Say, Bears Say

Bulls

Low penetration rates for combi-steamers in Asia and America, and the development of a local product for the Chinese market provide Rational a lengthy runway opportunity for international growth.

Bears

Easing supply chain constraints have lowered delivery times and thus reduced visibility into the group's sales, which can be cyclical.

Show More

Trading Information

Previous Close Price
€921.50
Day Range
€912.00–922.00
52-Week Range
€518.00–926.50
Bid/Ask
€917.00 / €918.50
Market Cap
€10.41 Bil
Volume/Avg
196 / 6,216

Key Statistics

Price/Earnings (Normalized)
46.06
Price/Sales
9.14
Dividend Yield (Trailing)
1.47%
Dividend Yield (Forward)
1.47%
Total Yield
1.47%

Company Profile

Rational specializes in manufacturing automated multifunctional ovens for professional kitchens that replace conventional cooking appliances such as a stove, grill, and oven. Rational has produced over 1 million combi-steamers since its first combi-steamer in 1976, which are used to prepare 160 million food dishes daily. Approximately 72% of group revenue is generated from the sale of cooking appliances, mostly the iCombi Pro that was launched in May 2020 and its predecessor product. Rational has a presence in over 120 countries. The majority of revenue is earned in Europe, followed by North America and Asia.
Sector
Industrials
Industry
Specialty Industrial Machinery
Stock Style Box
Mid Growth
Total Number of Employees
2,657
Website
https://www.rational-online.com

Competitors

Valuation

View More
Metric
RAA
ITW
000333
Price/Earnings (Normalized)
 46.0626.3214.16
Price/Book Value
 14.9226.263.22
Price/Sales
 9.144.921.33
Price/Cash Flow
 41.1023.3012.38
Price/Earnings
RAA
ITW
000333

Financial Strength

Metric
RAA
ITW
000333
Quick Ratio
 2.760.860.65
Current Ratio
 3.431.301.09
Interest Coverage
 197.5215.0116.45
Quick Ratio
RAA
ITW
000333

Profitability

Metric
RAA
ITW
000333
Return on Assets (Normalized)
 24.21%20.07%7.32%
Return on Equity (Normalized)
 31.97%103.48%22.47%
Return on Invested Capital (Normalized)
 30.44%29.18%12.66%
Return on Assets
RAA
ITW
000333

Specialty Industrial Machinery Industry Comparables

Screen With Investor
1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Siemens AG ADR
SIEGY
TmllfpnzmFmqm$157.8 Bil
 Eaton Corp PLC
ETN
LlxtrcgqGkd$130.6 Bil
 Parker Hannifin Corp
PH
FcrtfvvwPfslv$80.7 Bil
 Illinois Tool Works Inc
ITW
FfndhvbwbnFvq$77.8 Bil
 Emerson Electric Co
EMR
HvbcfvrNdpj$63.2 Bil
 Cummins Inc
CMI
JhhbdsblGrcfhk$44.5 Bil
 Otis Worldwide Corp Ordinary Shares
OTIS
LxwclvlbVbl$42.0 Bil
 Ingersoll Rand Inc
IR
GzxqkzkgLbwcx$40.3 Bil
 Xylem Inc
XYL
WkhjrbkwNgdtxwc$32.6 Bil
 Rockwell Automation Inc
ROK
ZhycmqwhPcbhb$30.2 Bil

Sponsor Center