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adidas AG (ADS) Fair Value & Analysis

Consumer Cyclical · DE · Market cap €32.4B

AA adidas AG ADS · XETRA
Price€164.05
Fair Value€115.36
Upside-29.7%
Quality62/100
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Expensive Growth
Thin margins · 5.5% net margin
Low debt · generates free cash flow
1.53% dividend yield
Mixed vs. peers (7/15)
Moderate moat 58/100
Evidence: High Range €61.87 – €183.93 Share as image

Fair value as of: Jul 17, 2026

From 26 valuation models · updated 23 days ago

Share price −8.4% over the past month.

A solid business, but screening 30% overvalued on our models.

What matters now

  • The model range is unusually wide (€61.87 to €183.93). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Solid but not exceptional quality (62/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

€318.75 €90.72 Fair Value €115.36 Jun 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 17, 2026.

How to read this chart

60‑month range €90.72 – €318.75 · fair‑value band €61.87 – €183.93 · the €164.05 price screens above the €115.36 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 17, 2026.

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Analysis

adidas AG (ADS) currently trades at €164.05, while our model-based Fair Value estimate is €115.36, implying the stock looks roughly 29.7% overvalued today. The Quality Score stands at 62/100 (solid quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, adidas AG generated revenue of €25.3B at a net margin of 5.5%. Revenue grew 7.1% year over year. It earns a return on equity of 22.9%. Net debt stands at €3.9B. Fundamentals as of Jul 17, 2026

Our scenario range runs from €61.87 (bear case) to €183.93 (bull case); at €164.05, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 24% below its 52-week high and 29% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at 0% fair-value upside, at -30%, ADS screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF €15.32 €23.18 €34.21 80
Residual Income €49.89 €67.46 €340.21 76
Rev-Margin DCF €65.75 €116.71 €172.95 74
All 26 models by family
DCF Models
FCF DCF €14.94 €23.65 €36.56 38
Owner Earnings €121.58 €184.59 €278.10 31
5Y Revenue Exit €65.75 €117.86 €184.72 39
5Y EBITDA Exit €93.46 €168.63 €255.93 41
5Y P/E Exit €75.06 €134.91 €197.00 38
10Y Revenue Exit €43.90 €87.06 €145.21 36
10Y EBITDA Exit €64.43 €121.92 €198.54 37
10Y P/E Exit €52.79 €98.77 €154.41 35
Earnings-Based
Graham-Dodd €51.38 €143.62 €188.85 54
Lynch FV €28.93 €41.33 €53.73 50
PEG = 1.0 €28.93 €41.33 €53.73 46
EPV €79.91 €93.59 €105.55 59
Dividend Discount
Gordon GGM €18.48 €38.43 €60.96 70
DDM Multi-Stage €18.48 €29.20 €40.33 61
Multiples
P/E Multiple €124.67 €166.23 €207.78 63
P/S Multiple €96.34 €128.45 €160.56 58
P/B Multiple €96.34 €128.45 €160.56 55
EV/EBIT €147.89 €197.90 €247.92 53
EV/EBITDA €154.77 €207.07 €259.38 54
EV/Revenue €98.99 €142.34 €185.68 43
Asset-Based
NCAV (Graham) €16.28 €21.82 €32.57 50
Growth DCF
Growth DCF €15.32 €23.18 €34.21 80
Rev-Margin DCF €65.75 €116.71 €172.95 74
Economic Profit
Residual Income €49.89 €67.46 €340.21 76
ROIC Compounder €84.71 €105.69 €128.95 72
Growth Earnings
Growth-Adj P/E €99.04 €141.49 €183.93 68

Widest divergence: Multiples (€142.34) versus Asset-Based (€21.82). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) €25.3B
Revenue growth (YoY) +7.1%
Net margin 5.5%
Return on equity 22.9%
Free cash flow €274M FY2025
P/E ratio 23.7
More key figures
Operating margin 10.7%
EPS (TTM) €7.72
Dividend yield 1.5%
EPS growth (YoY) +13.3%
Net debt €3.9B FY2025

Figures from reported company fundamentals · as of Jul 17, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 62/100

Of which business quality 59 · Market factors (momentum, volatility) 51

Profitability 71
Margins and returns on capital today
Quality Growth 57
Are margins and returns improving?
Cashflow 12
Earnings quality: real cash, not paper profit
Fin. Strength 61
Balance sheet, leverage, solvency risk
Investment 92
Disciplined investing over empire-building
Low Volatility 52
Calm price path (market factor)
Momentum 55
Price trend over the last 3–12 months (market factor)
52W Momentum 42
Distance to the 52-week high (market factor)
Net Issuance 86
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

adidas AG, together with its subsidiaries, designs, develops, produces, and markets a range of athletic and sports lifestyle products in Europe, Greater China, Japan, South Korea, Latin America, North America, and internationally.

Full company description

adidas AG, together with its subsidiaries, designs, develops, produces, and markets a range of athletic and sports lifestyle products in Europe, Greater China, Japan, South Korea, Latin America, North America, and internationally. The company offers footwear and apparel, as well as accessories and gear, including bags, balls, sunglasses, and fitness equipment under the adidas brand; golf footwear and apparel under the adidas Golf brand; and outdoor footwear under the Five Ten brand. It sells its products through its own retail stores, mono-branded franchise stores, shop-in-shops, joint ventures with retail partners, and co-branded stores, as well as through its wholesale and e-commerce platforms. The company was formerly known as adidas-Salomon AG and changed its name to adidas AG in June 2006. adidas AG was founded in 1920 and is headquartered in Herzogenaurach, Germany.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

adidas AG reported revenue of €24.8B in FY2025 versus €21.2B in FY2021, a compound +4.0%/yr. Reported net income was €1.3B in FY2025, compounding −11.2%/yr from FY2021.

Growth Quality 53/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
€24.8B
Latest YoY
+4.8%
Avg. growth/yr (3Y)
+3.3%
Avg. growth/yr (5Y)
+4.6%
Avg. growth/yr (23Y)
+6.0%
Revenue +4.0%/yr
FY21 €21.2B
FY22 €22.5B
FY23 €21.4B
FY24 €23.7B
FY25 €24.8B
Net income −11.2%/yr
FY21 €2.2B
FY22 €638M
FY23 −€75.0M
FY24 €764M
FY25 €1.3B

ADS screens 30% overvalued. Compare with NIKE, Inc →

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Cite: Fair Value Calculator (2026). "adidas AG Fair Value". https://www.fairvalue-calculator.com/stock/ADS

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Footwear & Accessories · 94 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 62 · Top 25%
Fair Value upside −30% · Below median
Return on equity (TTM) 23% · Top 25%
Return on assets 7% · Top 25%
Net margin (TTM) 6% · Above median
Operating margin (TTM) 11% · Above median
Revenue growth 7% · Above median
Dividend yield (TTM) 1.5% · Below median
Debt / equity 0.35× · Higher than 75% of peers

Valuation Multiples vs Footwear & Accessories median · lower = cheaper

P/E (TTM) 23.7× · Pricier than median
P/B 6.49× · Pricier than 75% of peers
P/S (TTM) 1.49× · Pricier than 75% of peers
P/FCF 136.9× · Pricier than 75% of peers
EV/EBITDA 15.3× · Pricier than 75% of peers
PEG 0.93× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 4
FUTURE 36 · sector 0
PAST 92 · sector 23
HEALTH 83 · sector 97
DIVIDEND 31 · sector 41

VALUE 0: the price sits above our fair-value range.

Insider activity: 25/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Footwear & Accessories stocks, each showing price versus our Fair Value estimate (as of Jul 17, 2026).

Stock Price Fair Value vs Fair Value
NIKE, Inc NKE $44.37 $35.63 -20%
Deckers Outdoor Corporation DECK $106.49 $125.16 +18%
On Holding ONON $38.20 $17.64 -54%
Zhejiang China Commodities City Group 600415 ¥12.11 ¥13.03 +8%
Birkenstock Holding BIRK $44.36 $44.14 -0%
Crocs, Inc CROX $138.91 $203.65 +47%
Huali Industrial Group 300979 ¥31.10 ¥54.71 +76%
PUMA SE PUM €29.31 €10.57 -64%
Steven Madden, Ltd SHOO $43.26 $11.69 -73%
Yue Yuen Industrial (Holdings) Limited 0551 HK$14.18 HK$4.04 -72%

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Frequently asked questions

Is adidas AG (ADS) overvalued or undervalued?
As of Jul 17, 2026, our model estimates a fair value of €115.36 versus a price of €164.05, about −30% (overvalued).
What is the fair value of ADS?
Our model-based fair value for adidas AG is €115.36 (as of Jul 17, 2026), built from audited fundamentals. The current price is €164.05.
What is the quality score of ADS?
adidas AG has a Quality Score of 62/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of adidas AG (ADS)?
adidas AG reported trailing-twelve-month revenue of about €25.3B (latest available figure, as of Jul 17, 2026).
What is the net profit margin of ADS?
The net profit margin of adidas AG is about 5.5%, meaning it keeps roughly 5.5% of revenue as net income. Based on the latest reported figures.
Does adidas AG pay a dividend?
adidas AG currently shows a dividend yield of about 1.68% relative to its recent price (as of Jul 17, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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