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ABBN

ABB SWX:ABBN Stock Report

Last Price

CHF25.80

Market Cap

CHF48.8b

7D

2.4%

1Y

-15.7%

Updated

02 Oct, 2022

Data

Company Financials +
ABBN fundamental analysis
Snowflake Score
Valuation6/6
Future Growth4/6
Past Performance5/6
Financial Health5/6
Dividends4/6

ABBN Stock Overview

ABB Ltd engages in manufacture and sale of electrification, automation, robotics, and motion products for customers in utilities, industry and transport, and infrastructure in Switzerland and internationally.

ABB Competitors

Price History & Performance

Summary of all time highs, changes and price drops for ABB
Historical stock prices
Current Share PriceCHF25.80
52 Week HighCHF35.79
52 Week LowCHF24.85
Beta1.1
1 Month Change-5.87%
3 Month Change0.90%
1 Year Change-15.71%
3 Year Change42.78%
5 Year Change5.52%
Change since IPO-28.33%

Recent News & Updates

Aug 07
At CHF28.41, Is ABB Ltd (VTX:ABBN) Worth Looking At Closely?

At CHF28.41, Is ABB Ltd (VTX:ABBN) Worth Looking At Closely?

Let's talk about the popular ABB Ltd ( VTX:ABBN ). The company's shares saw a double-digit share price rise of over 10...

Jul 24
Should You Be Adding ABB (VTX:ABBN) To Your Watchlist Today?

Should You Be Adding ABB (VTX:ABBN) To Your Watchlist Today?

It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...

Shareholder Returns

ABBNCH ElectricalCH Market
7D2.4%2.3%1.1%
1Y-15.7%-15.3%-15.3%

Return vs Industry: ABBN matched the Swiss Electrical industry which returned -15.3% over the past year.

Return vs Market: ABBN matched the Swiss Market which returned -15.2% over the past year.

Price Volatility

Is ABBN's price volatile compared to industry and market?
ABBN volatility
ABBN Average Weekly Movement3.4%
Electrical Industry Average Movement3.7%
Market Average Movement4.4%
10% most volatile stocks in CH Market7.7%
10% least volatile stocks in CH Market2.2%

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

Volatility Over Time: ABBN's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1883106,380Bjorn Klas Rosengrenhttps://global.abb/group/en

ABB Ltd engages in manufacture and sale of electrification, automation, robotics, and motion products for customers in utilities, industry and transport, and infrastructure in Switzerland and internationally. Its Electrification segment provides electric vehicle charging infrastructure, renewable power solutions, modular substation packages, distribution automation products, switchboard and panelboards, switchgear, UPS solutions, circuit breakers, measuring and sensing devices, control products, wiring accessories, enclosures and cabling systems, and intelligent home and building solutions. The company’s Robotics & Discrete Automation segment offers industrial robots, software, robotic solutions and systems, field services, spare parts, and digital services.

ABB Fundamentals Summary

How do ABB's earnings and revenue compare to its market cap?
ABBN fundamental statistics
Market CapCHF48.84b
Earnings (TTM)CHF4.26b
Revenue (TTM)CHF28.28b

11.5x

P/E Ratio

1.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ABBN income statement (TTM)
RevenueUS$28.81b
Cost of RevenueUS$19.49b
Gross ProfitUS$9.32b
Other ExpensesUS$4.98b
EarningsUS$4.34b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 20, 2022

Earnings per share (EPS)2.29
Gross Margin32.34%
Net Profit Margin15.06%
Debt/Equity Ratio63.3%

How did ABBN perform over the long term?

See historical performance and comparison

Dividends

3.1%

Current Dividend Yield

41%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is ABBN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ABBN?

Other financial metrics that can be useful for relative valuation.

ABBN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.9x
Enterprise Value/EBITDA12.8x
PEG Ratio1.3x

Price to Earnings Ratio vs Peers

How does ABBN's PE Ratio compare to its peers?

ABBN PE Ratio vs Peers
The above table shows the PE ratio for ABBN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average19.2x
HUBN Huber+Suhner
17.2x2.6%CHF1.5b
PM Phoenix Mecano
10.7x16.1%CHF291.0m
ROL Von Roll Holding
25xn/aCHF265.6m
SCHN Schindler Holding
24.1x16.3%CHF16.3b
11.5x9.0%CHF48.8b

Price-To-Earnings vs Peers: ABBN is good value based on its Price-To-Earnings Ratio (11.5x) compared to the peer average (19.2x).


Price to Earnings Ratio vs Industry

How does ABBN's PE Ratio compare vs other companies in the European Electrical Industry?

Price-To-Earnings vs Industry: ABBN is good value based on its Price-To-Earnings Ratio (11.5x) compared to the European Electrical industry average (18.8x)


Price to Earnings Ratio vs Fair Ratio

What is ABBN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ABBN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.5x
Fair PE Ratio34.6x

Price-To-Earnings vs Fair Ratio: ABBN is good value based on its Price-To-Earnings Ratio (11.5x) compared to the estimated Fair Price-To-Earnings Ratio (34.6x).


Share Price vs Fair Value

What is the Fair Price of ABBN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ABBN (CHF25.8) is trading below our estimate of fair value (CHF36.2)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is ABB forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


9.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ABBN's forecast earnings growth (9% per year) is above the savings rate (-0.2%).

Earnings vs Market: ABBN's earnings (9% per year) are forecast to grow faster than the Swiss market (9% per year).

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

Revenue vs Market: ABBN's revenue (5.1% per year) is forecast to grow faster than the Swiss market (4.4% per year).

High Growth Revenue: ABBN's revenue (5.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ABBN's Return on Equity is forecast to be high in 3 years time (22.2%)


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Past Performance

How has ABB performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


21.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ABBN has a large one-off gain of $1.9B impacting its June 30 2022 financial results.

Growing Profit Margin: ABBN's current net profit margins (15.1%) are higher than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: ABBN's earnings have grown significantly by 21.4% per year over the past 5 years.

Accelerating Growth: ABBN's earnings growth over the past year (389.7%) exceeds its 5-year average (21.4% per year).

Earnings vs Industry: ABBN earnings growth over the past year (389.7%) exceeded the Electrical industry 20.1%.


Return on Equity

High ROE: ABBN's Return on Equity (35%) is considered high.


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Financial Health

How is ABB's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ABBN's short term assets ($17.8B) exceed its short term liabilities ($16.7B).

Long Term Liabilities: ABBN's short term assets ($17.8B) exceed its long term liabilities ($9.5B).


Debt to Equity History and Analysis

Debt Level: ABBN's net debt to equity ratio (36.7%) is considered satisfactory.

Reducing Debt: ABBN's debt to equity ratio has increased from 55.3% to 63.3% over the past 5 years.

Debt Coverage: ABBN's debt is well covered by operating cash flow (24.1%).

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


Balance Sheet


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Dividend

What is ABB 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

  • Cash Flow Coverage


3.11%

Current Dividend Yield

Dividend Yield vs Market

ABB Dividend Yield vs Market
How does ABB dividend yield compare to the market?
SegmentDividend Yield
Company (ABB)3.1%
Market Bottom 25% (CH)2.2%
Market Top 25% (CH)4.3%
Industry Average (Electrical)2.4%
Analyst forecast in 3 Years (ABB)3.6%

Notable Dividend: ABBN's dividend (3.11%) is higher than the bottom 25% of dividend payers in the Swiss market (2.15%).

High Dividend: ABBN's dividend (3.11%) is low compared to the top 25% of dividend payers in the Swiss market (4.32%).


Stability and Growth of Payments

Stable Dividend: ABBN's dividends per share have been stable in the past 10 years.

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


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (40.5%), ABBN's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (144.8%), ABBN's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

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

3.1yrs

Average management tenure


CEO

Bjorn Klas Rosengren (63 yo)

2.58yrs

Tenure

US$9,047,301

Compensation

Mr. Bjorn Klas Otto Rosengren, M.Sc. (Tech.), has been Chief Executive Officer of ABB Ltd since March 1, 2020. He served as an Executive Officer at ABB Ltd since February 1, 2020 until March 1, 2020. He se...


CEO Compensation Analysis

Bjorn Klas Rosengren's Compensation vs ABB Earnings
How has Bjorn Klas Rosengren's remuneration changed compared to ABB's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

US$4b

Mar 31 2022n/an/a

US$5b

Dec 31 2021US$9mUS$2m

US$5b

Sep 30 2021n/an/a

US$2b

Jun 30 2021n/an/a

US$886m

Mar 31 2021n/an/a

US$494m

Dec 31 2020US$10mUS$2m

US$286m

Compensation vs Market: Bjorn Klas's total compensation ($USD9.05M) is above average for companies of similar size in the Swiss market ($USD6.86M).

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


Leadership Team

Experienced Management: ABBN's management team is considered experienced (3.1 years average tenure).


Board Members

Experienced Board: ABBN's board of directors are considered experienced (6.5 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.


Recent Insider Transactions

SWX:ABBN Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
16 May 22BuyCHF1,092,596Timo IhamuotilaIndividual38,594CHF28.31
16 May 22BuyCHF920,075Peter TerwieschIndividual32,500CHF28.31
16 May 22BuyCHF989,066Tarak MehtaIndividual34,937CHF28.31
16 May 22BuyCHF1,104,118Sami AtiyaIndividual39,001CHF28.31
16 May 22BuyCHF1,238,619Morten WierodIndividual43,752CHF28.31
01 Feb 22BuyCHF2,718,948Bjorn Klas RosengrenIndividual84,597CHF32.14
29 Nov 21BuyCHF830,632Maria VarsellonaIndividual26,006CHF31.94
22 Oct 21BuyCHF151,250Bjorn Klas RosengrenIndividual5,000CHF30.25

Ownership Breakdown

What is the ownership structure of ABBN?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders2,134,1500.1%
Hedge Funds105,988,6625.6%
VC/PE Firms265,385,14214.0%
Institutions751,569,31939.7%
General Public768,021,18740.6%

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


Top Shareholders

Top 25 shareholders own 47.61% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
14.02%
Investor AB (publ)
265,385,142$6.8b0%10.59%
5.6%
Cevian Capital AB
105,988,662$2.7b0%25.78%
3.68%
Capital Research and Management Company
69,725,960$1.8b-14.45%0.13%
3.48%
BlackRock, Inc.
65,801,163$1.7b-19.73%0.04%
3.47%
Artisan Partners Limited Partnership
65,721,454$1.7b0%1.77%
3.21%
The Vanguard Group, Inc.
60,689,785$1.6b1.5%0.04%
2.14%
Norges Bank Investment Management
40,514,056$1.0b0%0.15%
2.02%
UBS Asset Management
38,259,114$987.1m0.79%0.2%
1.55%
Credit Suisse Asset Management (Switzerland)
29,252,878$754.7m-2.11%0.73%
1.18%
Fisher Asset Management, LLC
22,425,254$578.6m4.3%0.44%
1%
CPP Investments
18,903,000$487.7m0%0.5%
0.76%
Lazard Asset Management LLC
14,352,308$370.3m-0.04%0.38%
0.57%
Handelsbanken Asset Management
10,702,116$276.1m2.64%0.6%
0.54%
Nordea Investment Management AB
10,301,991$265.8m-16.48%0.24%
0.48%
Pictet Asset Management Limited
9,035,929$233.1m-1.78%0.22%
0.47%
Swedbank Robur Fonder AB
8,938,837$230.6m69.01%0.36%
0.46%
Geode Capital Management, LLC
8,693,983$224.3m0.63%0.03%
0.45%
Zürcher Kantonalbank, Investment Arm
8,577,073$221.3m0%2.2%
0.43%
Vontobel Asset Management AG
8,099,508$209.0m0%1.98%
0.43%
Carnegie Fonder AB
8,045,991$207.6m0%4.91%
0.39%
Dimensional Fund Advisors LP
7,385,314$190.5m-2.08%0.05%
0.37%
T. Rowe Price Group, Inc.
7,071,161$182.4m-0.14%0.02%
0.31%
Northern Trust Global Investments
5,944,872$153.4m-0.05%0.03%
0.31%
RobecoSAM AG
5,825,890$150.3m-9.96%1.48%
0.3%
AMF Fonder AB
5,593,846$144.3m0%0.51%

Company Information

ABB Ltd's employee growth, exchange listings and data sources


Key Information

  • Name: ABB Ltd
  • Ticker: ABBN
  • Exchange: SWX
  • Founded: 1883
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Implied Market Cap: CHF48.842b
  • Shares outstanding: 1.89b
  • Website: https://global.abb/group/en

Number of Employees


Location

  • ABB Ltd
  • Affolternstrasse 44
  • Zurich
  • Zurich
  • 8050
  • Switzerland


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ABLZ.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJun 1999
ABBNSWX (SIX Swiss Exchange)YesCommon StockCHCHFJun 1999
ABBOM (OMX Nordic Exchange Stockholm)YesCommon StockSESEKJun 1999
0NX2LSE (London Stock Exchange)YesCommon StockGBCHFJun 1999
ABBSBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBSEKJun 1999
ABBNZBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBCHFJun 1999
ABBNYSE (New York Stock Exchange)ADR EACH REPR 1 ORD CHF1.03USUSDApr 2001
ABJADB (Deutsche Boerse AG)ADR EACH REPR 1 ORD CHF1.03DEEURApr 2001
ABB NBMV (Bolsa Mexicana de Valores)ADR EACH REPR 1 ORD CHF1.03MXMXNApr 2001
0A6WLSE (London Stock Exchange)ADR EACH REPR 1 ORD CHF1.03GBUSDApr 2001
ABBNESWX (SIX Swiss Exchange)CHF0.12 (REGD)(2ND BUYBACK)CHCHFJul 2020
ABB UOM (OMX Nordic Exchange Stockholm)SHSSESEKMar 2022
A1BB34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 4 REPR 1 ADRBRBRLSep 2022

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/02 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.