NV Bekaert (ENXTBR:BEKB) - Share price, News & Analysis

BEKB fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	1/6
Past Performance	6/6
Financial Health	6/6
Dividends	4/6

BEKB Stock Overview

NV Bekaert SA provides steel wire transformation and coating technologies worldwide.

Rewards

Trading at 55.8% below our estimate of its fair value

Revenue is forecast to grow 3.49% per year

Earnings grew by 202.2% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 9.8% per year for the next 3 years

Unstable dividend track record

NV Bekaert Competitors

Nucor

NYSE:NUE

US$33.1b

ArcelorMittal

ENXTAM:MT

€25.1b

Gerdau

BOVESPA:GGBR4

R$45.9b

Xingda International Holdings

SEHK:1899

HK$2.5b

Price History & Performance

Summary of all time highs, changes and price drops for NV Bekaert
Historical stock prices
Current Share Price	€36.36
52 Week High	€45.60
52 Week Low	€29.92
Beta	1.51
1 Month Change	5.27%
3 Month Change	-5.56%
1 Year Change	-6.24%
3 Year Change	67.10%
5 Year Change	-21.36%
Change since IPO	405.65%

Recent News & Updates

May 12

NV Bekaert (EBR:BEKB) Has Announced That It Will Be Increasing Its Dividend To €1.05

NV Bekaert SA ( EBR:BEKB ) will increase its dividend on the 16th of May to €1.05. Even though the dividend went up...

Apr 28

NV Bekaert (EBR:BEKB) Is Increasing Its Dividend To €1.05

NV Bekaert SA's ( EBR:BEKB ) dividend will be increasing to €1.05 on 16th of May. Even though the dividend went up, the...

Shareholder Returns

	BEKB	BE Metals and Mining	BE Market
7D	1.6%	-0.3%	-3.5%
1Y	-6.2%	-5.1%	-5.1%

Return vs Industry: BEKB underperformed the Belgian Metals and Mining industry which returned -5.1% over the past year.

Return vs Market: BEKB underperformed the Belgian Market which returned -5.1% over the past year.

Price Volatility

Is BEKB's price volatile compared to industry and market?
BEKB volatility
BEKB Average Weekly Movement	6.0%
Metals and Mining Industry Average Movement	7.8%
Market Average Movement	4.9%
10% most volatile stocks in BE Market	7.8%
10% least volatile stocks in BE Market	2.9%

Stable Share Price: BEKB is not significantly more volatile than the rest of Belgian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: BEKB's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1880	23,450	Oswald Schmid	https://www.bekaert.com

NV Bekaert SA provides steel wire transformation and coating technologies worldwide. The company operates through four business units: Rubber Reinforcement, Steel Wire Solutions, Specialty Businesses, and Bridon-Bekaert Ropes Group. It offers tire cord and bead wire products for tire sector; hose reinforcement wire and conveyor belt reinforcement products; and steel wire products and solutions for agriculture, energy and utilities, mining, construction, consumer goods, and the industrial sectors.

NV Bekaert Fundamentals Summary

How do NV Bekaert's earnings and revenue compare to its market cap?
BEKB fundamental statistics
Market Cap	€2.02b
Earnings (TTM)	€406.98m
Revenue (TTM)	€4.84b

5.1x

P/E Ratio

0.4x

P/S Ratio

Is BEKB overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BEKB income statement (TTM)
Revenue	€4.84b
Cost of Revenue	€3.94b
Gross Profit	€902.79m
Other Expenses	€495.81m
Earnings	€406.98m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Jul 29, 2022

Earnings per share (EPS)	7.11
Gross Margin	18.65%
Net Profit Margin	8.41%
Debt/Equity Ratio	53.2%

How did BEKB perform over the long term?

See historical performance and comparison

Dividends

4.1%

Current Dividend Yield

21%

Payout Ratio

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: BEKB (€36.36) is trading below our estimate of fair value (€82.31)

Significantly Below Fair Value: BEKB is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: BEKB is good value based on its Price-To-Earnings Ratio (5.1x) compared to the European Metals and Mining industry average (5.5x).

PE vs Market: BEKB is good value based on its Price-To-Earnings Ratio (5.1x) compared to the Belgian market (11.6x).

Price to Earnings Growth Ratio

PEG Ratio: BEKB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

Price to Book Ratio

PB vs Industry: BEKB is good value based on its Price-To-Book Ratio (1.1x) compared to the XE Metals and Mining industry average (1.3x).

Future Growth

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

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-9.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: BEKB's earnings are forecast to decline over the next 3 years (-9.8% per year).

Earnings vs Market: BEKB's earnings are forecast to decline over the next 3 years (-9.8% per year).

High Growth Earnings: BEKB's earnings are forecast to decline over the next 3 years.

Revenue vs Market: BEKB's revenue (3.5% per year) is forecast to grow faster than the Belgian market (1% per year).

High Growth Revenue: BEKB's revenue (3.5% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: BEKB's Return on Equity is forecast to be low in 3 years time (12.9%).

Past Performance

How has NV Bekaert performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

19.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BEKB has high quality earnings.

Growing Profit Margin: BEKB's current net profit margins (8.4%) are higher than last year (3.6%).

Past Earnings Growth Analysis

Earnings Trend: BEKB's earnings have grown by 19% per year over the past 5 years.

Accelerating Growth: BEKB's earnings growth over the past year (202.2%) exceeds its 5-year average (19% per year).

Earnings vs Industry: BEKB earnings growth over the past year (202.2%) exceeded the Metals and Mining industry 102.9%.

Return on Equity

High ROE: BEKB's Return on Equity (21.5%) is considered high.

Financial Health

How is NV Bekaert's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: BEKB's short term assets (€2.9B) exceed its short term liabilities (€1.6B).

Long Term Liabilities: BEKB's short term assets (€2.9B) exceed its long term liabilities (€1.1B).

Debt to Equity History and Analysis

Debt Level: BEKB's net debt to equity ratio (17%) is considered satisfactory.

Reducing Debt: BEKB's debt to equity ratio has reduced from 91.6% to 53.2% over the past 5 years.

Debt Coverage: BEKB's debt is well covered by operating cash flow (34.4%).

Interest Coverage: BEKB's interest payments on its debt are well covered by EBIT (14.1x coverage).

Balance Sheet

Dividend

What is NV Bekaert current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.13%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BEKB's dividend (4.13%) is higher than the bottom 25% of dividend payers in the Belgian market (1.76%).

High Dividend: BEKB's dividend (4.13%) is low compared to the top 25% of dividend payers in the Belgian market (5.76%).

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (21%), BEKB's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (37.7%), BEKB's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

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

2.6yrs

Average management tenure

CEO

Oswald Schmid (62 yo)

2yrs

Tenure

€2,356,337

Compensation

Mr. Oswald Schmid is the Chief Executive Officer at NV Bekaert SA since March 02, 2021. He served as the Chief Operations Officer at NV Bekaert SA since December 1, 2019 until 2021 and had been its Interim...

CEO Compensation Analysis

Compensation vs Market: Oswald's total compensation ($USD2.52M) is above average for companies of similar size in the Belgian market ($USD591.64K).

Compensation vs Earnings: Oswald's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: BEKB's management team is considered experienced (2.6 years average tenure).

Board Members

Experienced Board: BEKB's board of directors are considered experienced (4.5 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/25 00:00
End of Day Share Price	2022/05/25 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31