Bayer AG (BAYN.DE) stock analysis
In our weekly check, Bayer AG is graded D (A to F). Of 23 checks on debt, profit, cash flow and trend: 9 pass, warnings: 7, red flags: 7.
About Bayer AG
Bayer AG is a Healthcare company (Drug Manufacturers - General) based in Germany, listed on XETRA as BAYN.DE.
What our checks show for BAYN.DE
Red flags
- Net debt is 6.7x a year of EBITDA (debt/equity 1.3). That limits room in a downturn and raises refinancing risk.
- The net margin fell by 6.1 points over 5 years, to -3.8%: the company keeps less of each sale as profit.
- Revenue fell 3.7% a year over the last 3 years.
- Earnings per share fell 25.3% a year over the last 3 years.
- The company is losing money: the net margin is -3.8%.
- Bayer AG pays a dividend while losing money: it is funded from reserves or debt.
- The stock has fallen as much as 87% from a peak. Would you have held through that?
Warning signs
- Operating profit covers interest only 2.4 times: a weak year could make the payments hard.
- The gross margin fell by 2.8 points, to 59.1%: costs are rising faster than prices.
- Analysts expect only about 2.8% a year of growth in revenue.
- Free cash flow is only 3.2% of revenue.
- The price swings a lot: 40.4% annual volatility. Expect large ups and downs.
- The stock is still below its previous peak.
- Return on capital (ROCE) is only 8.3%.
Strengths
- Operating cash flow is 2.39x net profit: the profit arrives as real cash.
- Analysts expect earnings per share to grow about 55.9% a year over the next years.
- Analysts expect the net margin to improve by 14.8 points from today's -3.8%.
- A large company: market value $48.36 billion.
- Actively traded: about 2.1 million shares a day.
- Pay in shares is only 0% of free cash flow.
Next earnings report: 2026-11-03
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Questions
What grade does Bayer AG (BAYN.DE) have?
In our weekly check, Bayer AG is graded D (A to F). Of 23 checks on debt, profit, cash flow and trend: 9 pass, warnings: 7, red flags: 7. The grade is a risk check, not a buy or sell recommendation.
What are the main risks of BAYN.DE stock?
This week's biggest flags for Bayer AG: High debt, Margins falling, Weak revenue growth. In total 14 of 23 checks show a warning or a red flag.
What does Bayer AG do?
Bayer AG is a Healthcare company (Drug Manufacturers - General) based in Germany, listed on XETRA as BAYN.DE.
When does Bayer AG report earnings next?
The next earnings report is expected on 2026-11-03. We re-run the checks every week, so the grade can change after it.
The grade is a risk check, not a price forecast, and not investment advice. In our 10-year test (S&P 500, 2016-2026), stocks we graded A or B fell more than 30% 2-3 times less often than D or F, without a lower average return.
Updated 2026-10-24
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