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Drägerwerk AG (DRW3) Fair Value & Analysis

Healthcare · DE · Market cap €1.7B

DA Drägerwerk AG DRW3 · XETRA
Price€110.20
Fair Value€154.59
Upside+40.3%
Quality63/100
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Weak Growth
Thin margins · 4.4% net margin
Low debt · generates free cash flow
2.58% dividend yield
Ranks above peers (11/15)
Narrow moat 39/100
Evidence: High Range €102.83 – €204.73 Share as image

Fair value as of: Jul 18, 2026

From 25 valuation models · updated 23 days ago

Fair value updated Jul 18, 2026, revised from €144.95 to €154.59 (+6.7%) since Jul 5, 2026. Share price +38.1% over the past month.

A solid business, screening 40% undervalued on our models.

What matters now

  • Solid quality (63/100) at a price below fair value, the discount is the argument here, not the business quality.
  • A fairly wide model range (€102.83 to €204.73) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

€113.40 €35.12 Fair Value €154.59 Jun 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range €35.12 – €113.40 · fair‑value band €102.83 – €204.73 · the €110.20 price screens below the €154.59 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

Drägerwerk AG (DRW3) currently trades at €110.20, while our model-based Fair Value estimate is €154.59, implying the stock looks roughly 40.3% undervalued today. The Quality Score stands at 63/100 (solid quality), in the Healthcare sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Drägerwerk AG generated revenue of €3.5B at a net margin of 4.4%. Revenue grew 3.5% year over year. It earns a return on equity of 9.6%. Net debt stands at €123M. Fundamentals as of Jul 18, 2026

Our scenario range runs from €102.83 (bear case) to €204.73 (bull case); at €110.20, 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 near its 52-week high and 81% above its 52-week low, currently above its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -22% fair-value upside, at 40%, DRW3 screens cheaper 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 €181.16 €231.50 €290.19 80
Residual Income €150.24 €158.79 €171.62 76
Rev-Margin DCF €216.23 €326.34 €441.62 74
All 25 models by family
DCF Models
FCF DCF €177.82 €232.42 €298.64 38
Owner Earnings €226.18 €296.43 €381.63 31
5Y Revenue Exit €216.23 €324.26 €456.29 39
5Y EBITDA Exit €317.01 €500.91 €704.73 41
5Y P/E Exit €214.97 €322.04 €426.93 38
10Y Revenue Exit €192.12 €279.09 €384.45 36
10Y EBITDA Exit €255.37 €387.37 €547.64 37
10Y P/E Exit €197.36 €277.73 €365.16 35
Earnings-Based
Graham-Dodd €110.30 €236.95 €301.04 54
PEG = 1.0 €36.56 €52.23 €67.90 46
EPV €160.73 €181.41 €198.64 59
Dividend Discount
Gordon GGM €33.85 €48.47 €62.07 70
DDM Multi-Stage €33.85 €45.99 €58.01 61
Multiples
P/E Multiple €267.64 €356.85 €446.07 63
P/S Multiple €206.81 €275.75 €344.69 58
P/B Multiple €206.81 €275.75 €344.69 55
EV/EBIT €362.37 €480.13 €597.88 53
EV/EBITDA €478.97 €635.58 €792.20 54
EV/Revenue €261.24 €369.30 €477.36 43
Asset-Based
NCAV (Graham) €94.55 €126.70 €189.11 50
Growth DCF
Growth DCF €181.16 €231.50 €290.19 80
Rev-Margin DCF €216.23 €326.34 €441.62 74
Economic Profit
Residual Income €150.24 €158.79 €171.62 76
ROIC Compounder €160.73 €181.41 €202.52 72
Growth Earnings
Growth-Adj P/E €197.09 €281.55 €366.02 68

Widest divergence: Multiples (€356.85) versus Dividend Discount (€45.99). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) €3.5B
Revenue growth (YoY) +3.5%
Net margin 4.4%
Return on equity 9.6%
Free cash flow €167M FY2025
P/E ratio 11.3
More key figures
Operating margin 2.5%
EPS (TTM) €8.14
Dividend yield 2.5%
EPS growth (YoY) +24.5%
Net debt €123M FY2025

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 63/100

Of which business quality 62 · Market factors (momentum, volatility) 82

Profitability 54
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 51
Earnings quality: real cash, not paper profit
Fin. Strength 70
Balance sheet, leverage, solvency risk
Investment 85
Disciplined investing over empire-building
Low Volatility 73
Calm price path (market factor)
Momentum 77
Price trend over the last 3–12 months (market factor)
52W Momentum 100
Distance to the 52-week high (market factor)
Net Issuance 83
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

Drägerwerk AG & Co. KGaA operates as a medical and safety technology company worldwide. It develops, produces, and markets system solutions, devices, and services for the medical division, including emergency medicine, perioperative care, intensive care, and perinatal medicine.

Full company description

Drägerwerk AG & Co. KGaA operates as a medical and safety technology company worldwide. It develops, produces, and markets system solutions, devices, and services for the medical division, including emergency medicine, perioperative care, intensive care, and perinatal medicine. The company also develops, produces, and markets products, system solutions, and services for personal protection, gas measurement technology, and comprehensive risk management to customers in industry and mining sectors, as well as public sectors, such as fire departments, police, and disaster protection. In addition, it offers patient monitoring systems; anaesthesia machines; medical ventilators and lung monitoring; neonatal incubators and thermoregulation; phototherapy lights and bilirubinometers; surgical and examination lights; medical pendants and infrastructure design; medical gas pipeline system in hospitals; and hospital consumables and accessories, as well as hospital planning and design services. Further, the company offers alcohol and drug testing; diving equipment; fixed gas detectors; hazmat suits; portable gas detection; head and eye protection; rescue and escape; respiratory protection; safety-training systems; thermal imaging cameras; and workshop solution and breathing gas supply, as well as provides various training and services. The company was founded in 1889 and is headquartered in Lübeck, Germany. Drägerwerk AG & Co. KGaA operates as a subsidiary of Stefan DrÄGer Gmbh.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Drägerwerk AG reported revenue of €3.5B in FY2025 versus €3.3B in FY2021, a compound +1.1%/yr. Reported net income was €139M in FY2025, compounding −2.5%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
€3.5B
Latest YoY
+3.3%
Avg. growth/yr (3Y)
+4.6%
Avg. growth/yr (5Y)
+0.4%
Avg. growth/yr (21Y)
+4.0%
Revenue +1.1%/yr
FY21 €3.3B
FY22 €3.0B
FY23 €3.4B
FY24 €3.4B
FY25 €3.5B
Net income −2.5%/yr
FY21 €154M
FY22 −€64.6M
FY23 €110M
FY24 €124M
FY25 €139M

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Cite: Fair Value Calculator (2026). "Drägerwerk AG Fair Value". https://www.fairvalue-calculator.com/stock/DRW3

Peer Group

Medical Devices · 351 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 63 · Above median
Fair Value upside +40% · Top 25%
Return on equity (TTM) 10% · Above median
Return on assets 5% · Above median
Net margin (TTM) 4% · Above median
Operating margin (TTM) 2% · Below median
Revenue growth 4% · Below median
Dividend yield (TTM) 2.6% · Above median
Debt / equity 0.13× · Higher than median

Valuation Multiples vs Medical Devices median · lower = cheaper

P/E (TTM) 11.1× · Cheaper than 75% of peers
P/B 1.20× · Cheaper than median
P/S (TTM) 0.56× · Cheaper than 75% of peers
P/FCF 11.8× · Pricier than median
EV/EBITDA 6.2× · Cheaper than 75% of peers
PEG 1.46× · Cheaper than median

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 87 · sector 0
FUTURE 18 · sector 27
PAST 39 · sector 8
HEALTH 94 · sector 97
DIVIDEND 52 · sector 38

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 Medical Devices stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
Abbott Laboratories, ABT $100.68 $74.79 -26%
Stryker Corporation SYK $316.44 $186.28 -41%
Medtronic plc MDT $83.56 $65.57 -22%
Boston Scientific Corporation BSX $43.04 $38.44 -11%
Edwards Lifesciences Corporation EW $85.73 $41.02 -52%
Siemens Healthineers AG SHL €34.59 €33.87 -2%
Shenzhen Mindray Bio-Medical Electronics Co 300760 ¥149.43 ¥147.63 -1%
Shanghai United Imaging Healthcare Co 688271 ¥109.00 ¥43.60 -60%
Demant A/S DEMANT kr 276.60 kr 161.17 -42%
Getinge AB GETIB kr 206.80 kr 192.14 -7%

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Frequently asked questions

Is Drägerwerk AG (DRW3) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of €154.59 versus a price of €110.20, about +40% (undervalued).
What is the fair value of DRW3?
Our model-based fair value for Drägerwerk AG is €154.59 (as of Jul 18, 2026), built from audited fundamentals. The current price is €110.20.
What is the quality score of DRW3?
Drägerwerk AG has a Quality Score of 63/100. 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 Drägerwerk AG (DRW3)?
Drägerwerk AG reported trailing-twelve-month revenue of about €3.5B (latest available figure, as of Jul 18, 2026).
What is the net profit margin of DRW3?
The net profit margin of Drägerwerk AG is about 4.4%, meaning it keeps roughly 4.4% of revenue as net income. Based on the latest reported figures.
Does Drägerwerk AG pay a dividend?
Drägerwerk AG currently shows a dividend yield of about 2.45% relative to its recent price (as of Jul 18, 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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