ENXTBR:REC

Stock Analysis Report

Executive Summary

Recticel SA/NV manufactures and markets polyurethane foams for the flexible foams, bedding, insulation, and automotive applications.

Snowflake

Fundamentals

Excellent balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-3.8%

ENXTBR:REC

-2.1%

BE Chemicals

-1.1%

BE Market


1 Year Return

-28.1%

ENXTBR:REC

-29.6%

BE Chemicals

-5.2%

BE Market

REC outperformed the Chemicals industry which returned -29.6% over the past year.

REC underperformed the Market in Belgium which returned -5.2% over the past year.


Share holder returns

RECIndustryMarket
7 Day-3.8%-2.1%-1.1%
30 Day-6.0%-2.0%-1.0%
90 Day-11.7%-3.0%5.9%
1 Year-26.5%-28.1%-28.0%-29.6%-3.1%-5.2%
3 Year59.7%51.2%1.2%-4.6%-4.5%-11.3%
5 Year27.7%-6.4%10.6%-6.6%22.4%7.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Recticel undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Recticel's share price is below the future cash flow value, and at a moderate discount (> 20%).

Recticel's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Recticel is overvalued based on earnings compared to the BE Chemicals industry average.

Recticel is good value based on earnings compared to the Belgium market.


Price Based on Expected Growth

Recticel is poor value based on expected growth next year.


Price Based on Value of Assets

Recticel is overvalued based on assets compared to the BE Chemicals industry average.


Next Steps

Future Growth

How is Recticel expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

12.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Recticel's revenue is expected to grow by 0.8% yearly, however this is not considered high growth (20% yearly).

Recticel's earnings are expected to grow by 12% yearly, however this is not considered high growth (20% yearly).

Recticel's revenue growth is positive but not above the Belgium market average.

Recticel's earnings growth is expected to exceed the Belgium market average.

Recticel's earnings growth is expected to exceed the low risk savings rate of 0.8%.


Earnings per Share Growth Estimates


Future Return on Equity

Recticel is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Recticel performed over the past 5 years?

69.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Recticel has delivered over 20% year on year earnings growth in the past 5 years.

Recticel's 1-year earnings growth is less than its 5-year average (20.6% vs 69.2%)

Recticel's earnings growth has exceeded the BE Chemicals industry average in the past year (20.6% vs 14.7%).


Return on Equity

Recticel has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Recticel used its assets less efficiently than the BE Chemicals industry average last year based on Return on Assets.


Return on Capital Employed

Recticel has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Recticel's financial position?


Financial Position Analysis

Recticel is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Recticel's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Recticel's level of debt (40.2%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (77.3% vs 40.2% today).

Debt is well covered by operating cash flow (53.8%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 19.5x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.2x debt.


Next Steps

Dividend

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

4.23%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Recticel's pays a higher dividend yield than the bottom 25% of dividend payers in Belgium (2.26%).

Recticel's dividend is below the markets top 25% of dividend payers in Belgium (4.76%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.6x coverage).


Next Steps

Management

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

7.4yrs

Average management tenure


CEO

Olivier Chapelle (55yo)

0.0yrs

Tenure

€943,130

Compensation

Mr. Olivier Chapelle is a Group General Manager of Bedding at Recticel SA since January 20, 2017. Experience: • Chief Executive Officer – Recticel 12/2009 – Present • Chief Executive Officer – Wagon Aut ...


CEO Compensation Analysis

Olivier's remuneration is higher than average for companies of similar size in Belgium.

Olivier's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

7.4yrs

Average Tenure

The average tenure for the Recticel management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

4.5yrs

Average Tenure

55yo

Average Age

The tenure for the Recticel board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Jean-Pierre Mellen

    Chief Financial Officer

    • Tenure: 17.3yrs
  • Betty Bogaert

    Chief Information & Digitalisation Officer

    • Tenure: 0.0yrs
  • Olivier Chapelle (55yo)

    CEO, MD

    • Tenure: 0.0yrs
    • Compensation: €943.13k
  • Michel De Smedt

    Communications & Investor Relations Officer

    • Tenure: 0.0yrs
  • Bart Massant (56yo)

    Chief Human Resources Officer

    • Tenure: 0.0yrs
  • Jean-Pierre De Kesel

    Chief Sustainable Innovation Officer

    • Tenure: 3.6yrs
  • Dirk Verbruggen

    General Counsel

    • Tenure: 6.6yrs
  • François Petit

    Chief Procurement Officer

    • Tenure: 8.3yrs
  • Jörg Söltzer

    Managing Director - Bedding Germany

    • Tenure: 0.0yrs
  • Martin Kruse

    Managing Director of Recticel Automobilsysteme Gmbh

    • Tenure: 0.0yrs

Board Members

  • Luc Missorten (64yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: €60.00k
  • Olivier Chapelle (55yo)

    CEO, MD

    • Tenure: 0.0yrs
    • Compensation: €943.13k
  • Pierre-Yves de Laminne de Bex (50yo)

    Non-Executive Director

    • Tenure: 5.3yrs
    • Compensation: €30.00k
  • Frédéric Van Gansberghe (61yo)

    Non-Executive Director

    • Tenure: 5.3yrs
    • Compensation: €37.50k
  • Ingrid Merckx (53yo)

    Independent Director

    • Tenure: 7.3yrs
    • Compensation: €45.00k
  • Johnny Thijs (67yo)

    Independent Chairman

    • Tenure: 4.3yrs
    • Compensation: €90.00k
  • Benoit Deckers (55yo)

    Non-Executive Director

    • Tenure: 4.5yrs
    • Compensation: €77.50k
  • Kurt Pierloot (47yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: €35.00k
  • Anne De Vos (61yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: €35.00k
  • Elisa Vlerick

    Non-Executive & Independent Director

    • Tenure: 0.0yrs

Company Information

Recticel SA/NV's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Recticel SA/NV
  • Ticker: REC
  • Exchange: ENXTBR
  • Founded: 1896
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: €384.766m
  • Shares outstanding: 54.97m
  • Website: https://www.recticel.com

Number of Employees


Location

  • Recticel SA/NV
  • Avenue des Olympiades, 2
  • Brussels
  • Brussels
  • 1140
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RECENXTBR (Euronext Brussels)YesOrdinary SharesBEEURJan 1992
RCZDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
0NHVLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
RECBBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992

Biography

Recticel SA/NV manufactures and markets polyurethane foams for the flexible foams, bedding, insulation, and automotive applications. The company operates through four segments: Flexible Foams, Bedding, Ins ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/18 20:38
End of Day Share Price2019/08/16 00:00
Earnings2018/12/31
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.