SWX:ARBN

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Arbonia AG operates as a building supplier in Switzerland, Germany, and internationally.


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

13.5%

ARBN

2.6%

CH Building

2.3%

CH Market


1 Year Return

-22.4%

ARBN

6.9%

CH Building

3.2%

CH Market

Return vs Industry: ARBN underperformed the Swiss Building industry which returned 6.6% over the past year.

Return vs Market: ARBN underperformed the Swiss Market which returned 3.6% over the past year.


Shareholder returns

ARBNIndustryMarket
7 Day13.5%2.6%2.3%
30 Day22.9%14.7%4.9%
90 Day-0.2%3.6%2.7%
1 Year-22.4%-22.4%9.8%6.9%6.6%3.2%
3 Year-43.0%-44.0%12.5%4.4%21.1%8.7%
5 Year-29.1%-48.6%65.7%42.9%32.6%10.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

36.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ARBN (CHF9.82) is trading below our estimate of fair value (CHF15.44)

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


Price To Earnings Ratio

PE vs Industry: ARBN is poor value based on its PE Ratio (25.8x) compared to the Building industry average (24.9x).

PE vs Market: ARBN is poor value based on its PE Ratio (25.8x) compared to the Swiss market (19.8x).


Price to Earnings Growth Ratio

PEG Ratio: ARBN is poor value based on its PEG Ratio (2.6x)


Price to Book Ratio

PB vs Industry: ARBN is good value based on its PB Ratio (0.8x) compared to the CH Building industry average (5.4x).


Next Steps

Future Growth

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

10.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ARBN's forecast earnings growth (10% per year) is above the savings rate (-0.2%).

Earnings vs Market: ARBN's earnings (10% per year) are forecast to grow faster than the Swiss market (8.5% per year).

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

Revenue vs Market: ARBN's revenue is expected to decline over the next 3 years (-0.6% per year).

High Growth Revenue: ARBN's revenue is forecast to decline over the next 3 years (-0.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ARBN's Return on Equity is forecast to be low in 3 years time (4.1%).


Next Steps

Past Performance

How has Arbonia performed over the past 5 years?

60.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ARBN has high quality earnings.

Growing Profit Margin: ARBN's current net profit margins (1.8%) are lower than last year (2.8%).


Past Earnings Growth Analysis

Earnings Trend: ARBN has become profitable over the past 5 years, growing earnings by 60.5% per year.

Accelerating Growth: ARBN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ARBN had negative earnings growth (-32.3%) over the past year, making it difficult to compare to the Building industry average (4%).


Return on Equity

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


Next Steps

Financial Health

How is Arbonia's financial position?


Financial Position Analysis

Short Term Liabilities: ARBN's short term assets (CHF426.9M) exceed its short term liabilities (CHF320.2M).

Long Term Liabilities: ARBN's short term assets (CHF426.9M) exceed its long term liabilities (CHF341.0M).


Debt to Equity History and Analysis

Debt Level: ARBN's debt to equity ratio (20.2%) is considered satisfactory.

Reducing Debt: ARBN's debt to equity ratio has reduced from 85.4% to 20.2% over the past 5 years.

Debt Coverage: ARBN's debt is well covered by operating cash flow (63.3%).

Interest Coverage: ARBN's interest payments on its debt are well covered by EBIT (10.3x coverage).


Balance Sheet


Next Steps

Dividend

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

2.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ARBN's dividend (2.24%) is higher than the bottom 25% of dividend payers in the Swiss market (1.94%).

High Dividend: ARBN's dividend (2.24%) is low compared to the top 25% of dividend payers in the Swiss market (3.83%).


Stability and Growth of Payments

Stable Dividend: ARBN has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ARBN has only been paying a dividend for 9 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (57.8%), ARBN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ARBN's dividends in 3 years are forecast to be well covered by earnings (33.1% payout ratio).


Next Steps

Management

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

4.6yrs

Average management tenure


CEO

Alexander von Witzleben (56yo)

4.92yrs

Tenure

CHF1,422,000

Compensation

Mr. Alexander von Witzleben, Dipl.-Kaufmann, has been Chief Executive Officer at Arbonia AG since 2018 and its Executive Chairman since April 17, 2015. He was its Interim Chief Executive Officer at Arbonia ...


CEO Compensation Analysis

Compensation vs Market: Alexander's total compensation ($USD1.49M) is above average for companies of similar size in the Swiss market ($USD1.11M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Alexander von Witzleben
CEO & Executive Chairman4.92yrsCHF1.42m0.52% CHF3.5m
Harald Pichler
Head of the Windows Division4.33yrsCHF1.17m0.051% CHF345.9k
Daniel Wüest
Chief Financial Officer1.17yrsno data0.015% CHF98.2k
Peter Spirig
Head of the Doors Division & Member of Management Board4.08yrsno data0.022% CHF150.2k
Fabienne Zürcher
Head Corporate Communications & Investor Relationsno datano datano data
Maria Romero
Head of Group Human Resourcesno datano datano data
Knut Bartsch
Head of the Sanitary Equipment Division16.08yrsno data0.079% CHF537.3k
Karl-Heinz Hartmann
Chief Operating officer of Kitchens and Refrigeration Divisionno datano datano data
Ulrich Bornkessel
Head of Heating8.42yrsno data0.030% CHF202.9k
Claudius Moor
MD & Head of Sales at Prüm and Garantno datano datano data

4.6yrs

Average Tenure

51yo

Average Age

Experienced Management: ARBN's management team is considered experienced (4.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alexander von Witzleben
CEO & Executive Chairman4.92yrsCHF1.42m0.52% CHF3.5m
Michael Pieper
Non-Executive Director5.17yrsCHF80.00k22.24% CHF150.6m
Peter Bodmer
Non-Executive Director7.17yrsCHF90.00k0.032% CHF215.8k
Carsten Voigtländer
Director1.17yrsCHF55.00kno data
Heinz Haller
Non-Executive Director6.17yrsCHF95.00k0.15% CHF1.0m
Thomas Lozser
Non-Executive Director3.5yrsCHF76.00k0.53% CHF3.6m
Markus Oppliger
Independent Acting Lead Directorno dataCHF101.00k0.037% CHF247.3k
Peter Barandun
Non-Executive Vice-Chairman 5.17yrsCHF132.00k0.054% CHF362.3k

5.2yrs

Average Tenure

57yo

Average Age

Experienced Board: ARBN's board of directors are considered experienced (5.2 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

Arbonia AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arbonia AG
  • Ticker: ARBN
  • Exchange: SWX
  • Founded: 1874
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: CHF676.999m
  • Shares outstanding: 68.94m
  • Website: https://www.arbonia.com

Number of Employees


Location

  • Arbonia AG
  • Amriswilerstrasse 50
  • Arbon
  • Thurgau
  • 9320
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ARBNSWX (SIX Swiss Exchange)YesNew Registered SharesCHCHFJul 1994
ANGADB (Deutsche Boerse AG)YesNew Registered SharesDEEURJul 1994
ANGAXTRA (XETRA Trading Platform)YesNew Registered SharesDEEURJul 1994
0QKRLSE (London Stock Exchange)YesNew Registered SharesGBCHFJul 1994

Biography

Arbonia AG operates as a building supplier in Switzerland, Germany, and internationally. The company operates through four divisions: HVAC (Heating, Ventilation and Air Conditioning), Sanitary Equipment, Windows, and Doors. It offers heating, air-conditioning, and ventilation technology products, including fan coils, heat pumps, radiant panels, radiators, surface temperature control systems, unit heaters, and ventilation systems under the Arbonia, Sabiana, Brugman, Superia, Kermi, Tecna, Prolux, and Vasco brands; and sanitary equipment, such as bathtubs, shower trays, shower enclosures, areas, and stalls under the Baduscho, Kermi, and Koralle brand names. The company also develops, produces, assembles, and sells a range of windows and exterior doors comprising vinyl, aluminum, and wood windows, as well as lift-and-slide doors under the Dobroplast, EgoKiefer, Slovaktual, and Wertbau brands; and interior and functional doors, and frames under the Garant, Invado, Prüm, and RWD Schlatter brand names. The company was formerly known as AFG Arbonia-Forster-Holding AG and changed its name to Arbonia AG in December 2016. Arbonia AG was founded in 1874 and is headquartered in Arbon, Switzerland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/05 21:17
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.