Wienerberger WIE.VI
What does Wienerberger do?
Wienerberger is an internationally active building materials and infrastructure provider headquartered in Vienna. The company produces bricks for walls, facades and roofs, including clay blocks, facing bricks, roof tiles and ceramic pavers. In addition, there are piping systems for drinking water, wastewater, stormwater management, energy and building installation, and irrigation.
Revenue arises on the one hand in new residential construction and renovation, and on the other in the construction and refurbishment of public infrastructure. Customers are building materials merchants, construction companies, installers and utilities. The businesses are organized regionally, with a focus on Western and Eastern Europe and North America. Because of the high transport costs of bricks, markets are largely local in character. Wienerberger is among the leading brick providers in many countries and has a dense plant network, brand recognition and system solutions that go beyond the individual product.
Score profile
Rank vs. Basic Materials (88 companies). 10 = top of the group, 5 = middle. Calculated from the metrics below, without AI.
Metrics compared with the industry
On profitability and quality, Wienerberger ranks below average in the group Basic Materials (3.7/10). On growth, the company ranks below average in the group Basic Materials (3.4/10). On valuation (higher = cheaper), the stock ranks above average in the group Basic Materials (7.5/10). On financial strength, Wienerberger ranks below average in the group Basic Materials (3.9/10).
| Metric | Stock | Group median | Ranking |
|---|---|---|---|
| Forward P/E | 12.7x | 15.2x | better than 60 % |
| Trailing P/E | 31.9x | 22.9x | better than 25 % |
| PEG ratio | 1.0x | 1.8x | better than 77 % |
| EV/EBITDA | 8.5x | 10.7x | better than 74 % |
| Price/sales | 0.4x | 1.3x | better than 89 % |
| Price/book | 0.7x | 2.0x | better than 97 % |
| Revenue growth | 13.0% | 9.3% | better than 67 % |
| Earnings growth | -70.9% | 0.0% | better than 2 % |
| Gross margin | 34.3% | 26.0% | better than 69 % |
| Operating margin | 4.7% | 11.7% | better than 21 % |
| Net margin | 1.3% | 4.9% | better than 28 % |
| Return on equity | 2.2% | 8.3% | better than 31 % |
| Debt/equity | 95.1% | 56.4% | better than 21 % |
| Current ratio | 1.4x | 2.1x | better than 14 % |
| Free cash flow yield | 8.0% | 3.1% | better than 83 % |
| Dividend yield | 5.3% | 1.6% | – |
| Payout ratio | 169.6% | 34.5% | – |
| Beta | 1.26 | 1.03 | – |
Valuation: what is Wienerberger worth?
Two valuation approaches – a discounted cash flow model and a valuation at the industry’s median multiples – give Wienerberger a model range of 21.36 EUR to 42.65 EUR per share.
9 analysts, average rating “Hold”, average price target 18.41 EUR (+3.0%).
The full DCF matrix, the reverse DCF (what growth the price implies) and scenarios are part of the Pro analysis.
What the business depends on
- Demand for new construction and renovation of residential buildings largely determines sales of bricks and roof products.
- Public and private investment in water, wastewater and energy infrastructure supports the piping business.
- Pricing flexibility and plant utilization influence the margin, especially when energy and raw material costs fluctuate.
Risks
- Cyclical construction activity and rising interest rates can noticeably weigh on residential construction and builders' willingness to finance.
- The high energy consumption of brick production makes the company vulnerable to gas prices and CO₂ costs as well as regulatory requirements.
- Regional economic differences and exchange rates complicate the management of the international plant network and weigh on results in individual markets.
What to look for with Wienerberger
The operating profit margin shows whether pricing power and cost control succeed despite high fixed costs and energy dependence, and is therefore more informative than revenue growth alone.