Continental AG (XSWX:CON) Financial Strength: 5 (As of Mar. 2026) — 17% Below Median


XSWX:CON Continental AG XSWX:CON
53 GF Score
Price CHF68.38
GF Value CHF31.40
! 8 Warning Signs
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What is Continental AG Financial Strength?

Continental AG XSWX:CON 53 Financial Strength is 5 as of Mar. 2026, which is 17% below its 10-year median of 6.00. GuruFocus rates XSWX:CON with a GF Score™ of 53/100 and a GF Value™ of CHF31.40. The stock has 8 warning signs investors should review.

Continental AG has the Financial Strength Rank of 5.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Continental AG's Interest Coverage for the quarter that ended in Mar. 2026 was 5.93. Continental AG's debt to revenue ratio for the quarter that ended in Mar. 2026 was 0.38. As of today, Continental AG's Altman Z-Score is 2.26.


Continental AG  (XSWX:CON) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Continental AG has the Financial Strength Rank of 5.


Continental AG Financial Strength Related Terms


XSWX:CON vs ORLY, AZO: Financial Strength Comparison

For the Auto Parts subindustry, Continental AG's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Continental AG Financial Strength vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Continental AG's Financial Strength distribution charts can be found below:

* The bar in red indicates where Continental AG's Financial Strength falls into.


XSWX:CON
53GF Score
Continental AG XSWX:CON
Financial Strength is just one metric. See GF Score™, valuation, warning signs, and more.
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Continental AG Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Continental AG's Interest Expense for the months ended in Mar. 2026 was CHF-74 Mil. Its Operating Income for the months ended in Mar. 2026 was CHF437 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was CHF3,711 Mil.

Continental AG's Interest Coverage for the quarter that ended in Mar. 2026 is

Interest Coverage=-1*Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*436.883/-73.724
=5.93

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Continental AG's Debt to Revenue Ratio for the quarter that ended in Mar. 2026 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2026 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(2306.379 + 3710.777) / 16004.488
=0.38

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Continental AG has a Z-score of 2.26, indicating it is in Grey Zones. This implies that Continental AG is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.

Warning Sign:

Altman Z-score of 2.26 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Financial Strength →
What does a Financial Strength of 5 mean?
Continental AG (XSWX:CON) has a Financial Strength of 5 as of Mar. 2026. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Continental AG and its competitors. This is 17% below median its historical median of 6.00. Over the past decade, Continental AG's Financial Strength has ranged from 4.00 to 9.00.
Is Continental AG's Financial Strength too high?
Continental AG's current Financial Strength of 5 is 17% below median its 10-year median of 6.00. Over the past 10 years, this metric has ranged from a low of 4.00 to a high of 9.00. Overall, Continental AG has a GF Score™ of 53/100, reflecting its overall financial health beyond just this single metric.
How does Continental AG's Financial Strength compare to ORLY and AZO?
Continental AG's Financial Strength of 5 can be compared against companies in the Vehicles & Parts industry. Historically, Continental AG's own Financial Strength has ranged from 4.00 to 9.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Vehicles & Parts company?
A good Financial Strength depends on the Vehicles & Parts industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Continental AG and its competitors. Continental AG's current Financial Strength is 5, which is 17% below median its own 10-year median of 6.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Continental AG stock overvalued right now?
Continental AG (XSWX:CON) has a current Financial Strength of 5. The stock's GF Value™ is CHF31.40, compared to a current price of CHF68.38 — trading 117.8% above its estimated fair value. The current Financial Strength is 5, which is 17% below median its 10-year median of 6.00. Continental AG's overall GF Score™ is 53/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Continental AG (XSWX:CON), the current Financial Strength is 5 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Continental AG (XSWX:CON) Overvalued in 2026?

Based on GuruFocus' analysis, Continental AG stock appears to be overvalued. The current stock price of CHF68.38 is trading 117.8% above its estimated GF Value™ of CHF31.40.

Key valuation signals for XSWX:CON:

  • Financial Strength: 5 (17% below median its 10-year median of 6.00)
  • GF Value™: CHF31.40 vs. price of CHF68.38 (117.8% above fair value)
  • GF Score™: 53/100 with 8 warning signs

No single metric tells the full story. See the XSWX:CON stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Continental AG Business Description

Address Continental-Plaza 1, Hanover, NI, DEU, 30175
Following the spinoff of its automotive middleware business in 2025 and the planned sale of ContiTech, the rubber solutions business, in 2026, Continental will be a pure-play tire manufacturer. According to our research, Continental Tires is the fourth-largest branded tire manufacturer internationally, with approximately 7% market share globally, behind Michelin, Bridgestone, and Goodyear, with global market shares of around 14%, 14% and 9%, respectively. Geographically, its operations remain Europe-heavy, where it derives 52% of revenue, followed by North America, and Asia-Pacific and "other," contributing 29% and 19%, respectively. Twenty-four percent of tires are sold into the new vehicle market with automotive original equipment as customers, and 76% sold as replacement tires.
53GF Score

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Financial Strength is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF68.38
Price
CHF31.40
GF Value