| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 68.24 | -56 |
| Intrinsic value (DCF) | 40.21 | -74 |
| Graham-Dodd Method | 28.77 | -81 |
| Graham Formula | 56.43 | -63 |
AlzChem Group AG is a Germany-based specialty chemicals company with a rich history dating back to 1908. Headquartered in Trostberg, the company operates across three segments: Specialty Chemicals, Basics & Intermediates, and Other & Holding. AlzChem is a key player in the production of dietary supplements, nutritional feed additives, pharmaceuticals, and industrial chemicals. Its well-known brands include Creapure (creatine-based dietary supplements), Creamino (guanidinoacetic acid for animal nutrition), and DYHARD (curing agents for adhesives and coatings). The company serves diverse industries such as nutrition, agriculture, electronics, and metallurgy, with a strong presence in Europe, Asia, and the NAFTA region. AlzChem’s vertically integrated production processes and focus on high-value chemical solutions position it as a niche leader in the specialty chemicals sector. With a commitment to innovation and sustainability, the company continues to expand its product portfolio and global footprint, catering to the evolving needs of industrial and consumer markets.
AlzChem Group AG presents a compelling investment case with its stable revenue base (€554.2M in FY 2023) and solid profitability (net income of €54.1M). The company’s diversified product portfolio and strong brand recognition in niche markets, such as creatine-based supplements and specialty chemicals, provide resilience against cyclical downturns. Its low beta (0.82) suggests lower volatility compared to the broader market, appealing to risk-averse investors. However, exposure to raw material price fluctuations and regulatory risks in the chemical industry could pressure margins. The company’s moderate debt (€52.8M) and healthy operating cash flow (€105.1M) support its dividend policy (€1.8 per share), making it attractive for income-focused investors. Long-term growth hinges on expansion in high-margin segments and geographic diversification.
AlzChem Group AG competes in the specialty chemicals sector by leveraging its vertically integrated production and strong brand equity in niche markets like creatine and guanidine derivatives. Its competitive advantage lies in proprietary technologies (e.g., calcium carbide-based processes) and a diversified customer base across nutrition, agriculture, and industrial applications. Unlike commoditized chemical producers, AlzChem focuses on high-value intermediates and specialty products, which command premium pricing. The company’s Creapure brand dominates the global creatine market, benefiting from rising demand in sports nutrition and healthcare. However, it faces competition from larger chemical conglomerates with greater R&D budgets and global distribution networks. AlzChem’s smaller scale limits its ability to compete on price in commoditized segments, but its agility and customer-centric innovation help maintain margins. Strategic partnerships, such as its long-term supply agreements in the electronics sector (SILZOT brand), further solidify its market position. Risks include dependency on key raw materials (e.g., calcium carbide) and regulatory scrutiny over chemical safety.