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Knorr-Bremse AG (KBX) Fair Value & Analysis

Consumer Cyclical · DE · Market cap €16.5B

KB Knorr-Bremse AG KBX · XETRA
Price€103.50
Fair Value€72.88
Upside-29.6%
Quality57/100
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Mixed Growth
Thin margins · 7.0% net margin
Moderate debt · generates free cash flow
1.88% dividend yield
Mixed vs. peers (6/14)
Moderate moat 53/100
Evidence: High Range €49.99 – €91.10 Share as image

Fair value as of: Jul 13, 2026

From 25 valuation models · updated 25 days ago

Share price −1.9% over the past month.

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

What matters now

  • The price sits above even our optimistic bull case (€91.10). The favourable scenario is already priced in.
  • Solid but not exceptional quality (57/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (€49.99 to €91.10) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

€113.11 €39.31 Fair Value €72.88 Jun 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 13, 2026.

How to read this chart

60‑month range €39.31 – €113.11 · fair‑value band €49.99 – €91.10 · the €103.50 price screens above the €72.88 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 13, 2026.

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Analysis

Knorr-Bremse AG (KBX) currently trades at €103.50, while our model-based Fair Value estimate is €72.88, implying the stock looks roughly 29.6% overvalued today. We read business quality at 57/100 (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, Knorr-Bremse AG generated revenue of €7.9B at a net margin of 7.0%. Revenue declined 0.9% year over year. It earns a return on equity of 17.9%. Net debt stands at €1.3B. Fundamentals as of Jul 13, 2026

Our scenario range runs from €49.99 (bear case) to €91.10 (bull case); at €103.50, the current price sits above 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 9% below its 52-week high and 36% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -44% fair-value upside, at -30%, KBX 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 €55.94 €80.39 €114.27 80
Residual Income €21.51 €27.19 €70.39 76
Rev-Margin DCF €48.69 €75.38 €104.69 74
All 25 models by family
DCF Models
FCF DCF €54.50 €81.22 €120.11 38
Owner Earnings €44.06 €65.79 €97.43 31
5Y Revenue Exit €48.69 €74.88 €107.33 39
5Y EBITDA Exit €61.59 €98.18 €139.54 41
5Y P/E Exit €46.62 €71.15 €95.81 38
10Y Revenue Exit €48.87 €72.86 €103.07 36
10Y EBITDA Exit €58.44 €88.74 €126.87 37
10Y P/E Exit €49.03 €70.32 €94.55 35
Earnings-Based
Graham-Dodd €22.53 €58.04 €75.60 54
PEG = 1.0 €10.92 €15.60 €20.28 46
EPV €36.03 €42.28 €47.75 59
Dividend Discount
Gordon GGM €16.06 €31.64 €52.98 70
DDM Multi-Stage €16.06 €24.59 €33.77 61
Multiples
P/E Multiple €49.69 €66.25 €82.82 63
P/S Multiple €42.24 €56.32 €70.39 58
P/B Multiple €42.24 €56.32 €70.39 55
EV/EBIT €72.38 €97.00 €121.62 53
EV/EBITDA €74.72 €100.12 €125.53 54
EV/Revenue €48.30 €69.64 €90.98 43
Asset-Based
NCAV (Graham) €9.63 €12.90 €19.26 50
Growth DCF
Growth DCF €55.94 €80.39 €114.27 80
Rev-Margin DCF €48.69 €75.38 €104.69 74
Economic Profit
Residual Income €21.51 €27.19 €70.39 76
ROIC Compounder €37.94 €47.42 €58.03 72
Growth Earnings
Growth-Adj P/E €38.80 €55.43 €72.05 68

Widest divergence: Growth DCF (€75.38) versus Asset-Based (€12.90). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) €7.9B
Revenue growth (YoY) -0.9%
Net margin 7.0%
Return on equity 17.9%
Free cash flow €831M FY2025
P/E ratio 38.6
More key figures
Operating margin 12.5%
EPS (TTM) €2.69
Dividend yield 1.9%
EPS growth (YoY) +13.1%
Net debt €1.3B FY2025

Figures from reported company fundamentals · as of Jul 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 57/100

Of which business quality 56 · Market factors (momentum, volatility) 58

Profitability 48
Margins and returns on capital today
Quality Growth 42
Are margins and returns improving?
Cashflow 69
Earnings quality: real cash, not paper profit
Fin. Strength 64
Balance sheet, leverage, solvency risk
Investment 79
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 51
Price trend over the last 3–12 months (market factor)
52W Momentum 66
Distance to the 52-week high (market factor)
Net Issuance 34
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

Knorr-Bremse AG, together with its subsidiaries, develops, produces, and markets brake systems for rail and commercial vehicles and other safety-critical systems worldwide. It operates in two segments, Rail Vehicle Systems and Commercial Vehicle Systems.

Full company description

Knorr-Bremse AG, together with its subsidiaries, develops, produces, and markets brake systems for rail and commercial vehicles and other safety-critical systems worldwide. It operates in two segments, Rail Vehicle Systems and Commercial Vehicle Systems. The Rail Vehicle Systems segment offers braking systems, entrance and HVAC systems, sanitary systems, coupling systems, digital solutions, smart services for optimizing rail traffic, power electrics, rail computing and communication (RCC)/TCMS, signaling systems, stationary and mobile testing equipment, windshield wiper and wash systems, and extensive aftermarket solutions. The Commercial Vehicle Systems segment provides pneumatic braking systems comprising brake control systems, disk brakes, drum brakes, brake cylinders, valves, and pedal units; steering systems; vehicle dynamics solutions, such as anti-lock braking systems and electronic stability programs; driver assistance systems; automated driving and electronic leveling control; energy supply and distribution systems, including compressors and air treatment products; and engine components and transmission control systems, such as vibration dampers, engine air management, transmission control, and gear/clutch actuation products for trucks, buses, trailers, and agricultural machinery. The company offers leasing, holding, logistics, and media and IT services. The company was founded in 1905 and is headquartered in Munich, Germany. Knorr-Bremse AG operates as a subsidiary of KB Holding GmbH.

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

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Knorr-Bremse AG reported revenue of €7.8B in FY2025 versus €6.7B in FY2021, a compound +3.9%/yr. Reported net income was €534M in FY2025, compounding −3.7%/yr from FY2021.

Growth Quality 68/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2025)
€7.8B
Latest YoY
−0.8%
Avg. growth/yr (3Y)
+3.0%
Avg. growth/yr (5Y)
+4.9%
Avg. growth/yr (13Y)
+4.7%
Revenue +3.9%/yr
FY21 €6.7B
FY22 €7.1B
FY23 €7.9B
FY24 €7.9B
FY25 €7.8B
Net income −3.7%/yr
FY21 €621M
FY22 €489M
FY23 €553M
FY24 €445M
FY25 €534M

KBX screens 30% overvalued. Compare with Hyundai Mobis Co →

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Cite: Fair Value Calculator (2026). "Knorr-Bremse AG Fair Value". https://www.fairvalue-calculator.com/stock/KBX

Peer Group

Auto Parts · 641 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 57 · Above median
Fair Value upside −30% · Below median
Return on equity (TTM) 18% · Top 25%
Return on assets 6% · Top 25%
Net margin (TTM) 7% · Above median
Operating margin (TTM) 12% · Top 25%
Revenue growth -1% · Below median
Dividend yield (TTM) 1.9% · Above median
Debt / equity 0.64× · Higher than 75% of peers

Valuation Multiples vs Auto Parts median · lower = cheaper

P/E (TTM) 30.0× · Pricier than median
P/B 6.14× · Pricier than 75% of peers
P/S (TTM) 2.42× · Pricier than 75% of peers
P/FCF 22.9× · Pricier than 75% of peers
EV/EBITDA 16.4× · Pricier 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 0 · sector 17
FUTURE 0 · sector 24
PAST 71 · sector 27
HEALTH 68 · sector 95
DIVIDEND 38 · sector 30

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

Insider activity: 40/100

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 Auto Parts stocks, each showing price versus our Fair Value estimate (as of Jul 13, 2026).

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Frequently asked questions

Is Knorr-Bremse AG (KBX) overvalued or undervalued?
As of Jul 13, 2026, our model estimates a fair value of €72.88 versus a price of €103.50, about −30% (overvalued).
What is the fair value of KBX?
Our model-based fair value for Knorr-Bremse AG is €72.88 (as of Jul 13, 2026), built from audited fundamentals. The current price is €103.50.
What is the quality score of KBX?
Knorr-Bremse AG has a Quality Score of 57/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Knorr-Bremse AG (KBX)?
Knorr-Bremse AG reported trailing-twelve-month revenue of about €7.9B (latest available figure, as of Jul 13, 2026).
What is the net profit margin of KBX?
The net profit margin of Knorr-Bremse AG is about 7.0%, meaning it keeps roughly 7.0% of revenue as net income. Based on the latest reported figures.
Does Knorr-Bremse AG pay a dividend?
Knorr-Bremse AG currently shows a dividend yield of about 1.86% relative to its recent price (as of Jul 13, 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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