SWX:BYW6

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

BayWa Aktiengesellschaft provides wholesale, retail, logistics, and support and consultancy services in the agriculture, building materials, and energy sectors in Germany and internationally.


Snowflake Analysis

Average dividend payer with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BYW6 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

BYW6

-0.3%

CH Trade Distributors

0.7%

CH Market


1 Year Return

0%

BYW6

9.5%

CH Trade Distributors

4.1%

CH Market

Return vs Industry: BYW6 underperformed the Swiss Trade Distributors industry which returned 9.5% over the past year.

Return vs Market: BYW6 underperformed the Swiss Market which returned 4.1% over the past year.


Shareholder returns

BYW6IndustryMarket
7 Day0%-0.3%0.7%
30 Day0%10.0%5.1%
90 Day0%27.6%7.8%
1 Year0%0%11.1%9.5%7.7%4.1%
3 Year-19.3%-24.6%29.1%20.1%21.3%8.7%
5 Year-9.8%-20.2%50.5%32.5%29.2%7.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

49x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BYW6 (CHF27.7) is trading above our estimate of fair value (CHF27.59)

Significantly Below Fair Value: BYW6 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BYW6 is poor value based on its PE Ratio (49x) compared to the XE Trade Distributors industry average (15.5x).

PE vs Market: BYW6 is poor value based on its PE Ratio (49x) compared to the Swiss market (19.5x).


Price to Earnings Growth Ratio

PEG Ratio: BYW6 is poor value based on its PEG Ratio (2.7x)


Price to Book Ratio

PB vs Industry: BYW6's PB Ratio (1.1x) is in line with the XE Trade Distributors industry average.


Next Steps

Future Growth

How is BayWa forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

18.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BYW6's forecast earnings growth (18% per year) is above the savings rate (-0.2%).

Earnings vs Market: BYW6's earnings (18% per year) are forecast to grow faster than the Swiss market (8.1% per year).

High Growth Earnings: BYW6's earnings are forecast to grow, but not significantly.

Revenue vs Market: BYW6's revenue (3.6% per year) is forecast to grow faster than the Swiss market (2.6% per year).

High Growth Revenue: BYW6's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BYW6's Return on Equity is forecast to be low in 3 years time (6.4%).


Next Steps

Past Performance

How has BayWa performed over the past 5 years?

-19.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BYW6 has a large one-off gain of €35.4M impacting its March 31 2020 financial results.

Growing Profit Margin: BYW6's current net profit margins (0.1%) are lower than last year (0.1%).


Past Earnings Growth Analysis

Earnings Trend: BYW6's earnings have declined by -19.4% per year over the past 5 years.

Accelerating Growth: BYW6's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BYW6 had negative earnings growth (-8.5%) over the past year, making it difficult to compare to the Trade Distributors industry average (1%).


Return on Equity

High ROE: BYW6's Return on Equity (4.8%) is considered low.


Next Steps

Financial Health

How is BayWa's financial position?


Financial Position Analysis

Short Term Liabilities: BYW6's short term assets (€6.0B) exceed its short term liabilities (€4.8B).

Long Term Liabilities: BYW6's short term assets (€6.0B) exceed its long term liabilities (€3.1B).


Debt to Equity History and Analysis

Debt Level: BYW6's debt to equity ratio (288.3%) is considered high.

Reducing Debt: BYW6's debt to equity ratio has increased from 196.1% to 288.3% over the past 5 years.

Debt Coverage: BYW6's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: BYW6's interest payments on its debt are not well covered by EBIT (2x coverage).


Balance Sheet


Next Steps

Dividend

What is BayWa current dividend yield, its reliability and sustainability?

3.04%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: BYW6's dividend (3.04%) is higher than the bottom 25% of dividend payers in the Swiss market (1.91%).

High Dividend: BYW6's dividend (3.04%) is low compared to the top 25% of dividend payers in the Swiss market (3.91%).


Stability and Growth of Payments

Stable Dividend: BYW6's dividends per share have been stable in the past 10 years.

Growing Dividend: BYW6's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (149.2%), BYW6's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BYW6's dividends in 3 years are forecast to be covered by earnings (83% payout ratio).


Next Steps

Management

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

6.0yrs

Average management tenure


CEO

Klaus Lutz (61yo)

12yrs

Tenure

Prof. Klaus Josef Lutz has been the Chairman of the Management Board and Chief Executive Officer at BayWa AG at WKN USA, LLC since July 1, 2008. Prof. Lutz is responsible at BayWa for the Building Material ...


Leadership Team

NamePositionTenureCompensationOwnership
Klaus Lutz
Chairman of the Management Board & CEO12yrsno datano data
Andreas Helber
CFO & Member of the Management Board9.67yrsno datano data
Reinhard Wolf
Member of the Management Board6.83yrsno datano data
Matthias Taft
Member of the Management Board5.25yrsno datano data
Marcus Pöllinger
Member of Management Board1.67yrsno datano data
Josko Radeljic
Head of Investor Relationsno datano datano data
Marion Meyer
Head of Grain Trading In Germany3.17yrsno datano data

6.0yrs

Average Tenure

Experienced Management: BYW6's management team is seasoned and experienced (6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Manfred Nüssel
Chairman of the Supervisory Board & Vice Chairman of the Cooperative Councilno datano datano data
Werner Waschbichler
Vice Chairman of the Supervisory Board2.08yrsno datano data
Gerd Sonnleitner
Member of the Cooperative Councilno datano datano data
Franz Kustner
Member of the Cooperative Councilno datano datano data
Martin Körner
Member of the Cooperative Council17yrsno datano data
Martin Empl
Member of the Cooperative Councilno datano datano data
Klaus Buchleitner
Vice Chairman of Supervisory Boardno datano datano data
Theo Bergmann
Member of Supervisory Board7.08yrsno datano data
Joachim Rukwied
Member of Supervisory Board7.08yrsno datano data
Franz Breiteneicher
Member of the Cooperative Council12.5yrsno datano data
Wolfgang Altmüller
Member of Supervisory Board6.08yrsno datano data
Karlheinz Kipke
Chairman of the Cooperative Council3.92yrsno datano data

7.1yrs

Average Tenure

56yo

Average Age

Experienced Board: BYW6's board of directors are considered experienced (7.1 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

BayWa Aktiengesellschaft's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BayWa Aktiengesellschaft
  • Ticker: BYW6
  • Exchange: SWX
  • Founded: 1923
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: €1.025b
  • Listing Market Cap: €1.097b
  • Shares outstanding: 35.26m
  • Website: https://www.baywa.com

Number of Employees


Location

  • BayWa Aktiengesellschaft
  • Arabellastrasse 4
  • Munich
  • Bavaria
  • 81925
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BYW6DB (Deutsche Boerse AG)Restricted Registered SharesDEEURJan 1992
BYWXTRA (XETRA Trading Platform)YesRegistered SharesDEEURJan 1992
0AH6LSE (London Stock Exchange)YesRegistered SharesGBEURJan 1992
0AH7LSE (London Stock Exchange)Restricted Registered SharesGBEURJan 1992
BYWDB (Deutsche Boerse AG)YesRegistered SharesDEEURJan 1992
BYW6XTRA (XETRA Trading Platform)Restricted Registered SharesDEEURJan 1992
BYW6DBATS-CHIXE (BATS 'Chi-X Europe')Restricted Registered SharesGBEURJan 1992
BYW6SWX (SIX Swiss Exchange)Restricted Registered SharesCHCHFJan 1992
BYWDBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEURJan 1992
BYW6WBAG (Wiener Boerse AG)Restricted Registered SharesATEURJan 1992

Biography

BayWa Aktiengesellschaft provides wholesale, retail, logistics, and support and consultancy services in the agriculture, building materials, and energy sectors in Germany and internationally. Its Agriculture segment trades in agricultural resources, such as fertilizers, crop protection, grains, seeds, and feedstuff; collects, stores, and sells harvested produce; and supplies dessert and organic pome fruits. This segment also offers a line of machinery, equipment, and facilities for agricultural; municipal vehicles, road sweeping vehicles, mobile facilities for wood shredding, and forklift trucks; forestry tractors, wood splitting and chipping machinery, forest milling cutters and mulchers, cable winches, and road and path construction machinery; and appliances, such as chainsaws, brush cutters, and protective clothing. In addition, it operates a network of workshops and mobile service vehicles to provide maintenance and repair services. The company’s Energy segment sells heating oil, fuels, lubricants, and wood pellets to commercial and private customers; plans, manages, and constructs wind power, photovoltaic, and biomass plants; and owns wind and biogas plants, as well as trades in photovoltaic components. Its Building Materials segment trades in building materials for small and mid-sized companies, tradesmen, commercial enterprises, and municipalities, as well as private developers and homeowners. This segment also acts as franchiser for DIY and garden centers. The company’s Innovation & Digitalisation segment develops and markets digital products, such as Agrar office and NEXT Farming software solutions; and offers digital map material, analysis, and advisory services, as well as hardware components. This segment is also involved in the e-commerce activities. BayWa Aktiengesellschaft was founded in 1923 and is headquartered in Munich, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/14 22:12
End of Day Share Price2020/07/14 00:00
Earnings2020/03/31
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.