Are Wihlborgs Fastigheter AB (publ) (STO:WIHL) Investors Paying Above The Intrinsic Value?
Today we will run through one way of estimating the intrinsic value of Wihlborgs Fastigheter AB (publ) ( STO:WIHL ) by...
Swedish (OMX) Real Estate Sector Analysis
UpdatedDec 02, 2021
DataAggregated Company Financials
Companies71
- 7D-0.1%
- 3M7.8%
- 1Y37.4%
- YTD34.8%
Over the last 7 days, the Real Estate industry has remained flat, although notably Pandox declined by 5.0%. The past year has been better, since the industry has gained 36% in that time.
Sector Valuation and Performance
Has the Swedish Real Estate Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Thu, 02 Dec 2021 | kr986.6b | kr83.4b | kr101.1b | 11.1x |
| Sat, 30 Oct 2021 | kr878.3b | kr79.7b | kr93.3b | 11.3x |
| Mon, 27 Sep 2021 | kr814.2b | kr78.5b | kr89.4b | 10.7x |
| Wed, 25 Aug 2021 | kr864.1b | kr78.2b | kr88.5b | 11.8x |
| Thu, 01 Jul 2021 | kr739.7b | kr78.2b | kr88.5b | 9.9x |
| Sun, 04 Apr 2021 | kr610.1b | kr75.8b | kr69.5b | 9.7x |
| Wed, 06 Jan 2021 | kr622.7b | kr74.0b | kr54.8b | 11.3x |
| Sat, 10 Oct 2020 | kr580.6b | kr67.7b | kr56.9b | 11x |
| Fri, 03 Jul 2020 | kr490.5b | kr66.0b | kr54.8b | 10.5x |
| Mon, 06 Apr 2020 | kr465.3b | kr63.2b | kr60.6b | 8.8x |
| Thu, 09 Jan 2020 | kr602.2b | kr60.3b | kr62.8b | 10.5x |
| Wed, 02 Oct 2019 | kr525.7b | kr57.2b | kr53.6b | 9.8x |
| Sat, 06 Jul 2019 | kr443.7b | kr55.9b | kr55.4b | 8.6x |
| Tue, 09 Apr 2019 | kr421.0b | kr54.0b | kr58.5b | 8.1x |
| Mon, 31 Dec 2018 | kr360.8b | kr53.1b | kr60.2b | 6.7x |
PE Ratio
7x
Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 10.0x. However, future earnings are expected to decline by 25% which could potentially cause the PE ratio to fall below its historical average.
Past Earnings Growth: The earnings for companies in the Real Estate industry have grown 20% per year over the last three years, and revenues for these companies have grown 17% per year. This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Swedish Real Estate sector?
| Real Estate | -0.15% | |
Industry PE: Investors are most optimistic about the Real Estate industry which is trading above its 3-year average PE ratio of 10.0x. However analysts are expecting annual earnings decline of 25%, which is lower than the prior year's growth of 90% per year. So the market might believe that analysts are underestimating future growth or they expect the Real Estate industry's earnings to deteriorate the least compared to other industries.
Forecasted Growth: Despite it being negative, analysts are least pessimistic on the Real Estate industry since they expect its earnings to decline by only 25% per year over the next 5 years, which isn't as bad as the other industries. However, this is a reversal from its past annual earnings growth rate of 90% per year.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | 7D | 1Y | Valuation | |
|---|---|---|---|---|
| CAST Castellum | 1.7%+kr18.7b | 22.9% | PB1.4x | |
| SBB B Samhällsbyggnadsbolaget i Norden | 3.7%+kr4.6b | 140.0% | PB1.7x | |
| ALM ALM Equity | 12.5%+kr1.2b | 42.8% | PB3.6x | |
| CIBUS Cibus Nordic Real Estate | 4.5%+kr953.6m | 60.9% | PB2.2x | |
| KFAST B K-Fast Holding | 3.5%+kr646.0m | 97.7% | PB4.9x |
