WBAG:STR

Stock Analysis Report

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Executive Summary

Strabag SE, together with its subsidiaries, operates as a construction company in Austria and internationally.


Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

How has Strabag's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: STR's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.4%

STR

7.6%

AT Construction

7.8%

AT Market


1 Year Return

-8.8%

STR

-1.8%

AT Construction

-13.9%

AT Market

Return vs Industry: STR underperformed the Austrian Construction industry which returned -2.2% over the past year.

Return vs Market: STR exceeded the Austrian Market which returned -15.6% over the past year.


Shareholder returns

STRIndustryMarket
7 Day0.4%7.6%7.8%
30 Day6.1%17.0%9.5%
90 Day-3.9%0.2%-3.5%
1 Year-4.9%-8.8%0.2%-1.8%-12.9%-13.9%
3 Year-20.8%-28.7%-1.6%-10.1%-10.0%-16.8%
5 Year48.6%27.4%29.6%8.3%23.6%8.0%

Price Volatility Vs. Market

How volatile is Strabag's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Strabag undervalued compared to its fair value and its price relative to the market?

7.45x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: STR (€27) is trading above our estimate of fair value (€22.8)

Significantly Below Fair Value: STR is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: STR is good value based on its PE Ratio (7.5x) compared to the Construction industry average (11x).

PE vs Market: STR is good value based on its PE Ratio (7.5x) compared to the Austrian market (10.8x).


Price to Earnings Growth Ratio

PEG Ratio: STR is poor value based on its PEG Ratio (9.1x)


Price to Book Ratio

PB vs Industry: STR is good value based on its PB Ratio (0.7x) compared to the XE Construction industry average (1.1x).


Next Steps

Future Growth

How is Strabag forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

0.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STR's forecast earnings growth (0.8% per year) is above the savings rate (0.5%).

Earnings vs Market: STR's earnings (0.8% per year) are forecast to grow slower than the Austrian market (20.9% per year).

High Growth Earnings: STR's earnings are forecast to grow, but not significantly.

Revenue vs Market: STR's revenue is expected to decline over the next 3 years (-2.1% per year).

High Growth Revenue: STR's revenue is forecast to decline over the next 3 years (-2.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STR's Return on Equity is forecast to be low in 3 years time (8.1%).


Next Steps

Past Performance

How has Strabag performed over the past 5 years?

22.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STR has a large one-off gain of €106.8M impacting its December 31 2019 financial results.

Growing Profit Margin: STR's current net profit margins (2.4%) are higher than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: STR's earnings have grown significantly by 22% per year over the past 5 years.

Accelerating Growth: STR's earnings growth over the past year (5.1%) is below its 5-year average (22% per year).

Earnings vs Industry: STR earnings growth over the past year (5.1%) underperformed the Construction industry 7.6%.


Return on Equity

High ROE: STR's Return on Equity (9.8%) is considered low.


Next Steps

Financial Health

How is Strabag's financial position?


Financial Position Analysis

Short Term Liabilities: STR's short term assets (€7.0B) exceed its short term liabilities (€6.1B).

Long Term Liabilities: STR's short term assets (€7.0B) exceed its long term liabilities (€2.3B).


Debt to Equity History and Analysis

Debt Level: STR's debt to equity ratio (29.1%) is considered satisfactory.

Reducing Debt: STR's debt to equity ratio has reduced from 50.9% to 29.1% over the past 5 years.

Debt Coverage: STR's debt is well covered by operating cash flow (95.9%).

Interest Coverage: STR earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Strabag's current dividend yield, its reliability and sustainability?

4.81%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: STR's dividend (4.81%) is higher than the bottom 25% of dividend payers in the Austrian market (1.63%).

High Dividend: STR's dividend (4.81%) is low compared to the top 25% of dividend payers in the Austrian market (4.85%).


Stability and Growth of Payments

Stable Dividend: STR's dividend payments have been volatile in the past 10 years.

Growing Dividend: STR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.9%), STR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: STR's dividends in 3 years are forecast to be well covered by earnings (40.1% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.2yrs

Average management tenure


CEO

Thomas Birtel (65yo)

7yrs

Tenure

€2,225,000

Compensation

Dr. Thomas Birtel serves as the Chief Executive Officer of STRABAG Wasserbau GmbH. Dr. Birtel has been a Member of Management Board at Strabag SE since January 1, 2006 and has been its Chief Executive Offi ...


CEO Compensation Analysis

Compensation vs Market: Thomas's total compensation ($USD2.52M) is about average for companies of similar size in the Austrian market ($USD2.20M).

Compensation vs Earnings: Thomas's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Thomas Birtel
CEO & Member of Management Board7yrs€2.23mno data
Christian Harder
CFO & Member of the Management Board7.42yrs€1.51mno data
Peter Krammer
Member of Management Board10.42yrs€1.51mno data
Siegfried Wanker
Member of Management Board9.42yrs€1.51mno data
Alfred Watzl
Member of Management Board1.42yrs€1.51mno data
Klemens Haselsteiner
Member of the Management Board0.42yrno datano data

7.2yrs

Average Tenure

51yo

Average Age

Experienced Management: STR's management team is seasoned and experienced (7.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Wolfgang Kreis
Independent Member of Supervisory Board10.67yrsno datano data
Erwin Hameseder
Independent Vice Chairman of Supervisory Board13.58yrs€30.00k0.00020% 5.5k
Andreas Batke
Independent Member of Supervisory Board10.67yrsno datano data
Alfred Gusenbauer
Independent Chairman of the Supervisory Board10yrs€60.00kno data
Kerstin Gelbmann
Independent Member of the Supervisory Board10yrs€18.00kno data
Magdolna Gyulainé
Independent Member of the Supervisory Board10.67yrsno datano data
Miroslav Cerveny
Independent Member of the Supervisory Board10.67yrsno datano data
Thomas Bull
Independent Member of Supervisory Board3.33yrs€18.00kno data
Georg Hinterschuster
Independent Member of Supervisory Board5.67yrsno datano data
Oleg Kotkov
Independent Member of Supervisory Board2yrs€18.00kno data

10.3yrs

Average Tenure

58yo

Average Age

Experienced Board: STR's board of directors are seasoned and experienced ( 10.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Strabag SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Strabag SE
  • Ticker: STR
  • Exchange: WBAG
  • Founded: 1835
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: €2.770b
  • Shares outstanding: 102.60m
  • Website: https://www.strabag.com

Number of Employees


Location

  • Strabag SE
  • Triglavstrasse 9
  • Villach
  • Carinthia
  • 9500
  • Austria

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STRWBAG (Wiener Boerse AG)YesBearer SharesATEUROct 2007
XD4DB (Deutsche Boerse AG)YesBearer SharesDEEUROct 2007
0MKPLSE (London Stock Exchange)YesBearer SharesGBEUROct 2007
STRVBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEUROct 2007
STBB.FOTCPK (Pink Sheets LLC)YesBearer SharesUSUSDOct 2007

Biography

Strabag SE, together with its subsidiaries, operates as a construction company in Austria and internationally. The company engages in the construction of road, rail, and canal bridges; commercial and industrial facilities; hydroelectric power plants, storage power plants, hydraulic power plants, concrete gravity dams, earth-filled and rock-filled embankment dams, reservoirs, external asphalt sealing, asphalt core sealing, thermal power plants, wind farms, and electrical substations; and administration buildings, events and cultural centers, museums, hospitals, rehabilitation centers, retirement and nursing homes, universities, schools, kindergartens, fire and rescue centers, and churches. It also constructs prefabricated elements, civil engineering projects, metal constructions, water environmental technologies, and housing projects. In addition, the company undertakes transportation infrastructure projects, including railway construction, construction material, sewer engineering, pipe and sewer construction, town planning and landscape architecture, paving, large surfaces, rock engineering and protective structures, ground engineering, sports and recreational facilities, road construction, earthworks, traffic engineering, and waterway construction projects. Further, it undertakes infrastructure development; engages in the operation, maintenance, and marketing of public-private partnerships projects; and provision of real estate development and tunneling services, as well as property and facility services, such as property management and corporate real estate solutions, area management, renting and letting, technical facility management and building management, infrastructural facility management, and industrial services. The company offers its services primarily in Europe, the Arabian Peninsula, Africa, Asia, and the Americas. Strabag SE was founded in 1835 and is headquartered in Villach, Austria. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/05 22:09
End of Day Share Price2020/06/05 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.