ENXTBR:BALTA

Stock Analysis Report

Executive Summary

Balta Group NV produces and sells textile floor coverings primarily in Europe.

Snowflake

Fundamentals

Very undervalued with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.6%

BALTA

6.4%

BE Consumer Durables

2.0%

BE Market


1 Year Return

-37.2%

BALTA

5.3%

BE Consumer Durables

6.6%

BE Market

Return vs Industry: BALTA underperformed the Belgian Consumer Durables industry which returned 5.3% over the past year.

Return vs Market: BALTA underperformed the Belgian Market which returned 6.6% over the past year.


Shareholder returns

BALTAIndustryMarket
7 Day-0.6%6.4%2.0%
30 Day-7.8%0.8%-0.8%
90 Day-14.1%3.4%5.0%
1 Year-37.2%-37.2%11.8%5.3%9.1%6.6%
3 Yearn/a35.1%16.6%-5.4%-12.0%
5 Yearn/a93.9%53.9%28.3%12.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

43.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: BALTA (€2.44) is trading below our estimate of fair value (€4.34)

Significantly Undervalued: BALTA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: BALTA is good value based on its PE Ratio (12x) compared to the Consumer Durables industry average (12x).

PE vs Market: BALTA is good value based on its PE Ratio (12x) compared to the Belgian market (16.1x).


Price to Earnings Growth Ratio

Low PEG Ratio: BALTA is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: BALTA is good value based on its PB Ratio (0.3x) compared to the XE Consumer Durables industry average (1.4x).


Next Steps

Future Growth

How is Balta Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

67.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BALTA's forecast earnings growth (67.9% per year) is above the savings rate (0.8%).

Earnings vs Market: BALTA's earnings (67.9% per year) are forecast to grow faster than the Belgian market (6.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BALTA's revenue (6.2% per year) is forecast to grow faster than the Belgian market (3.7% per year).

High Growth Revenue: BALTA's revenue (6.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if BALTA's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Balta Group performed over the past 5 years?

26.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BALTA has become profitable over the past 5 years, growing earnings by 26.4% per year.

Accelerating Growth: BALTA's earnings growth over the past year (233.1%) exceeds its 5-year average (26.4% per year).

Earnings vs Industry: BALTA earnings growth over the past year (233.1%) exceeded the Consumer Durables industry -0.05%.


Return on Equity

High ROE: BALTA's Return on Equity (3%) is considered low.


Return on Assets

ROA vs Industry: BALTA's Return on Assets is below or equal to the Consumer Durables industry average last year.


Return on Capital Employed

ROCE Improving: BALTA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Balta Group's financial position?


Financial Position Analysis

Short Term Liabilities: BALTA's short term assets (€245.2M) exceeds its short term liabilities (€176.0M)

Long Term Liabilities: BALTA's short term assets (245.2M) do not cover its long term liabilities (367.0M)


Debt to Equity History and Analysis

Debt Level: BALTA's debt to equity ratio (108.3%) is considered high

Reducing Debt: BALTA had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: BALTA's debt is well covered by operating cash flow (21.2%).

Interest Coverage: BALTA's interest payments on its debt are not well covered by EBIT (1.9x coverage).


Balance Sheet

Inventory Level: BALTA has a high level of physical assets or inventory.

Debt Coverage by Assets: BALTA's debt is not covered by short term assets (assets are 0.9x debt).


Next Steps

Dividend

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

13.32%

Forecast Dividend Yield


Dividend Yield vs Market

company0%marketbottom25%2.2%markettop25%4.5%industryaverage5.0%forecastin3Years13.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate BALTA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate BALTA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if BALTA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BALTA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: BALTA is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BALTA's dividend in 3 years as they are not forecast to pay a notable one for the Belgian market.


Next Steps

Management

What is the CEO of Balta Group's salary, the management and board of directors tenure and is there insider trading?

0.4yrs

Average management tenure


CEO

Cyrille Ragoucy (62yo)

1.2yrs

Tenure

€872,275

Compensation

Mr. Cyrille Ragoucy has been Chief Executive Officer of Balta Group NV since April 1, 2019 and serves as its Non-Executive Chairman and Chairman of Management Committee. Mr. Ragoucy serves as the Chief Exe ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Cyrille's total compensation is reasonable compared to companies of similar size in the Belgian market.

Compensation vs Earnings: Insufficient data to compare Cyrille's compensation with company performance.


Management Age and Tenure

0.4yrs

Average Tenure

60yo

Average Age

Experienced Management: BALTA's management team is not considered experienced ( 0.4 years average tenure), which suggests a new team.


Board Age and Tenure

2.8yrs

Average Tenure

49yo

Average Age

Experienced Board: BALTA's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Insider Trading

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


Ownership Breakdown


Management Team

  • Cyrille Ragoucy (62yo)

    Chairman

    • Tenure: 1.2yrs
    • Compensation: €872.28k
  • Stefan Claeys

    Managing Director of Modulyss

    • Tenure: 0.5yrs
  • Emmanuel Rigaux (47yo)

    Chief Transformation Officer

    • Tenure: 0.8yrs
  • Oliver Forberich

    Managing Director of Balta carpets

    • Tenure: 0.08yrs
  • Marc Dessein (60yo)

    MD of Balta Home & Member of Management Committee

    • Tenure: 0yrs
  • Rupen Shah

    Corporate Development & Investor Relations Director

    • Tenure: 0yrs
  • Annelies Willemyns

    General Counsel

    • Tenure: 0yrs
  • Geert Bossche

    Marketing Director

    • Tenure: 0yrs
  • Jan-Christian Werner

    Chief Financial Officer

    • Tenure: 0.3yrs
  • Kris Willaert

    Human Resources Director

    • Tenure: 0.3yrs

Board Members

  • Cyrille Ragoucy (62yo)

    Chairman

    • Tenure: 1.2yrs
    • Compensation: €872.28k
  • Patrick Lebreton (51yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Michael Kolbeck (49yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Sarah Hedger (54yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: €53.50k
  • Nicolas Van den Abeele (47yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: €60.00k
  • Hannah Strong (35yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Jeremy Fryzuk (34yo)

    Non-Executive Director

    • Tenure: 2.8yrs
  • Neal Morar

    Non-Executive Director

    • Tenure: 1.6yrs

Company Information

Balta Group NV's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Balta Group NV
  • Ticker: BALTA
  • Exchange: ENXTBR
  • Founded: 1964
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: €87.702m
  • Shares outstanding: 35.94m
  • Website: https://www.baltagroup.com

Number of Employees


Location

  • Balta Group NV
  • Wakkensteenweg 2
  • Sint-Baafs-Vijve
  • West Flanders
  • 8710
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BALTAENXTBR (Euronext Brussels)YesOrdinary SharesBEEURJun 2017
BDBDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2017
0RQKLSE (London Stock Exchange)YesOrdinary SharesGBEURJun 2017
BALTABBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJun 2017

Biography

Balta Group NV produces and sells textile floor coverings primarily in Europe. The company operates through four segments: Rugs, Residential, Commercial, and Non-Woven. The Rugs segment designs, manufactur ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 21:55
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.