Today a death notice dominates the headlines: German soccer legend Franz Beckenbauer has passed away at the age of 78. Just a few days ago, another „mover and shaker“ who turned an entire industry in Germany upside down, has left us.

On January 3rd of this year, Günther Fielmann, founder of Fielmann, one of the most successful German family businesses of recent decades, passed away. Prof. Mark Binz, chairman of the supervisory board of Fielmann AG, even called him a „century entrepreneur.“

„Prof. Fielmann was a century entrepreneur and visionary. With strategic foresight, a clear focus on customer needs, and exemplary commitment to the common good, he has shaped the German economy far beyond the borders of optometry and audiology,“ said Binz.

At the time of his death at the age of 84, Günther Fielmann had already arranged for his succession years ago. In 2019, shortly after his 80th birthday, he handed over leadership of the Fielmann group and shortly thereafter, leadership of the family holding and family foundation to his son Marc Fielmann.

The Fielmann success story His secret to success was as simple as it was ingenious: he had high-quality glasses produced in large quantities and sold them cheaper than the competition. Fielmann’s beginnings were humble.

After starting his career as an employee, Fielmann opened his first optician’s shop in Cuxhaven, Lower Saxony at the age of 33. By 1983, Fielmann already operated 72 stores, and in 1994 the company went public.

Things took off after Fielmann brokered a seemingly boring deal with the health insurance company AOK. But this deal – which I will describe briefly – laid the foundation for today’s eyewear empire.

About the deal with AOK: Fielmann negotiated a contract with AOK in Essen, which involved the sale of fashionable glasses with a prescription. This allowed Fielmann to target the huge target group of patients with health insurance. Suddenly, AOK-insured patients could choose from 90 contemporary styles of glasses – for free. This laid the foundation for Fielmann’s huge success.

Today, Fielmann AG, headquartered in Hamburg, supplies over 28 million customers with glasses, contact lenses, hearing aids, and eye care services through an omnichannel business model with digital distribution channels and over 1,000 branches.

Development of the Fielmann stock For a long time, the Fielmann stock was one of the top performers on the German stock market. Between 1997 and 2017, the stock rose from less than 5 euros to over 77 euros. That meant a price increase of around 1,500%. In addition, there were generous dividends.

Since then, the stock has weakened. Currently, the Fielmann stock is trading at around 47 euros and is, in my opinion, fairly valued from a fundamental perspective. Therefore, despite the lower price level, I do not recommend buying it at this time.