BN · rank #10 · 2026-10-19
R3NK
XETRA · EUR · $4.31B (USD)
The exact numbers the algorithm saw.
| Composite score Z-score blend of the factors below; drives the rank. | -0.19 |
|---|---|
| Forward revenue growth Consensus forward revenue growth. | +18.0% |
| Forward net margin Consensus forward net margin. | +7.7% |
| Net margin TTM Trailing twelve month net margin. | +7.2% |
| Margin expansion Forward minus trailing net margin (percentage points). | +0.5% |
| Forward PEG Forward P/E to growth. Below 1 is cheap for the growth. | — |
| Debt / FCF Net debt relative to free cash flow. Lower is safer. | 4.57× |
| Analyst upside Spread between the consensus 12m target and the current price. | +60.6% |
| Last EPS surprise Most recent reported EPS versus consensus. | -38% |
| Market cap (USD) | $4.31B |
The AI research card
Independent qualitative review of each pick before the order is placed. On the rare day the research service is unavailable, the paper book trades on the quant ranking alone and no card appears here.
Summary
RENK Group AG develops and produces mission-critical military vehicle transmissions, naval gearboxes, and drive systems for major defense platforms including the Leopard 2 family and Patria TRACKX.
Rationale
A 17.96% forward revenue growth profile and record €1.195B H1 2026 order intake validate RENK's position as an indispensable propulsion bottleneck solver across European defense supply chains.
Material risks
- 1Defense prime contractors shifting transmission engineering in-house or adopting hybrid/electric drivetrain architectures, bypassing RENK's qualified mechanical propulsion systems.
- 2Elevated leverage of 4.57x debt-to-FCF alongside regulatory clearance and integration risks for the pending Q4 2026 David Brown Defence acquisition.
AI verdict council
Each pick is reviewed independently by 3 models before any order. 2 of 3 voted to proceed.