Dätwyler Holding (SWX:DAE) - Share price, News & Analysis

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

DAE (CHF201.5) is trading below our estimate of [[fair value]] (CHF223.34)

DAE fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	4/6
Past Performance	4/6
Financial Health	6/6
Dividends	3/6

DAE Stock Overview

Dätwyler Holding AG manufactures and sells elastomer components for health care, mobility, oil and gas, and food and beverage industries in Europe, North America, South America, and Asia.

Rewards

Trading at 9.8% below our estimate of its fair value

Earnings are forecast to grow 16.93% per year

Earnings have grown 8.4% per year over the past 5 years

Risk Analysis

Dividend of 2.08% is not well covered by earnings

Volatile share price over the past 3 months

Dätwyler Holding Competitors

Georg Fischer

SWX:GF

CHF4.0b

SFS Group

SWX:SFSN

CHF3.9b

OC Oerlikon

SWX:OERL

CHF2.2b

Sulzer

SWX:SUN

CHF2.1b

Price History & Performance

Summary of all time highs, changes and price drops for Dätwyler Holding
Historical stock prices
Current Share Price	CHF201.50
52 Week High	CHF410.00
52 Week Low	CHF195.00
Beta	1.12
1 Month Change	-9.84%
3 Month Change	-35.52%
1 Year Change	-34.37%
3 Year Change	35.60%
5 Year Change	23.85%
Change since IPO	1,704.74%

Recent News & Updates

Jun 13

Is It Too Late To Consider Buying Dätwyler Holding AG (VTX:DAE)?

While Dätwyler Holding AG ( VTX:DAE ) might not be the most widely known stock at the moment, it received a lot of...

Apr 12

Returns At Dätwyler Holding (VTX:DAE) Appear To Be Weighed Down

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Amongst...

Shareholder Returns

	DAE	CH Machinery	CH Market
7D	-1.0%	-0.08%	3.4%
1Y	-34.4%	-31.7%	-12.4%

Return vs Industry: DAE underperformed the Swiss Machinery industry which returned -31.7% over the past year.

Return vs Market: DAE underperformed the Swiss Market which returned -12.4% over the past year.

Price Volatility

Is DAE's price volatile compared to industry and market?
DAE volatility
DAE Average Weekly Movement	6.6%
Machinery Industry Average Movement	5.1%
Market Average Movement	4.6%
10% most volatile stocks in CH Market	7.6%
10% least volatile stocks in CH Market	2.4%

Stable Share Price: DAE is more volatile than 75% of Swiss stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: DAE's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of Swiss stocks.

About the Company

Founded	Employees	CEO	Website
1915	6,805	Dirk Lambrecht	https://www.datwyler.com

Dätwyler Holding AG manufactures and sells elastomer components for health care, mobility, oil and gas, and food and beverage industries in Europe, North America, South America, and Asia. It operates through Healthcare Solutions and Industrial Solutions segments. The Healthcare Solutions segment offers rubber components for prefilled syringes, pens, and injection systems; components and closures for injectable drugs in vials; and rubber components for blood collection systems, IV administration sets, disposable syringes, diagnostics and medical devices, etc. The Industrial Solutions segment products include electromobility solutions, active assistance and safety systems, brake systems, fuel and engine management, exhaust gas aftertreatment, and sealing components for upstream systems, power tools, water, and process industries.

Dätwyler Holding Fundamentals Summary

How do Dätwyler Holding's earnings and revenue compare to its market cap?
DAE fundamental statistics
Market Cap	CHF3.43b
Earnings (TTM)	CHF123.70m
Revenue (TTM)	CHF947.60m

27.7x

P/E Ratio

3.6x

P/S Ratio

Is DAE overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
DAE income statement (TTM)
Revenue	CHF947.60m
Cost of Revenue	CHF700.00m
Gross Profit	CHF247.60m
Other Expenses	CHF123.90m
Earnings	CHF123.70m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 24, 2022

Earnings per share (EPS)	7.28
Gross Margin	26.13%
Net Profit Margin	13.05%
Debt/Equity Ratio	15.9%

How did DAE perform over the long term?

See historical performance and comparison

Dividends

2.1%

Current Dividend Yield

58%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for DAE. This is calculated by dividing DAE's market cap by their current preferred multiple.
What is DAE's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	CHF3.43b

DAE 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/Revenue	3.5x
Enterprise Value/EBITDA	15x
PEG Ratio	1.6x

Price to Earnings Ratio vs Peers

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

DAE PE Ratio vs Peers

The above table shows the PE ratio for DAE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	16x
GF Georg Fischer	18.9x	13.8%	CHF4.0b
SFSN SFS Group	15.9x	5.8%	CHF3.9b
OERL OC Oerlikon	14.1x	9.9%	CHF2.2b
SUN Sulzer	15x	13.2%	CHF2.1b
DAE Dätwyler Holding	27.7x	16.9%	CHF3.4b

Forward PE

Price-To-Earnings vs Peers: DAE is expensive based on its Price-To-Earnings Ratio (27.7x) compared to the peer average (16x).

Price to Earnings Ratio vs Industry

How does DAE's PE Ratio compare vs other companies in the CH Machinery Industry?

Price-To-Earnings vs Industry: DAE is expensive based on its Price-To-Earnings Ratio (27.7x) compared to the Swiss Machinery industry average (17.5x)

Price to Earnings Ratio vs Fair Ratio

What is DAE'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.

DAE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	27.7x
Fair PE Ratio	30.1x

Price-To-Earnings vs Fair Ratio: DAE is good value based on its Price-To-Earnings Ratio (27.7x) compared to the estimated Fair Price-To-Earnings Ratio (30.1x).

Share Price vs Fair Value

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

Below Fair Value: DAE (CHF201.5) is trading below our estimate of fair value (CHF223.34)

Significantly Below Fair Value: DAE is trading below fair value, but not by a significant amount.

Price to Earnings Growth Ratio

PEG Ratio: DAE is poor value based on its PEG Ratio (1.6x)

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Future Growth

How is Dätwyler Holding forecast to perform in the next 1 to 3 years based on estimates from 6 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

16.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: DAE's forecast earnings growth (16.9% per year) is above the savings rate (-0.3%).

Earnings vs Market: DAE's earnings (16.9% per year) are forecast to grow faster than the Swiss market (6.1% per year).

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

Revenue vs Market: DAE's revenue (10.4% per year) is forecast to grow faster than the Swiss market (4.3% per year).

High Growth Revenue: DAE's revenue (10.4% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: DAE's Return on Equity is forecast to be high in 3 years time (23.7%)

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Past Performance

How has Dätwyler Holding performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

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

8.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: DAE has high quality earnings.

Growing Profit Margin: DAE's current net profit margins (13.1%) are higher than last year (12.8%).

Past Earnings Growth Analysis

Earnings Trend: DAE's earnings have grown by 8.4% per year over the past 5 years.

Accelerating Growth: DAE's earnings growth over the past year (17.6%) exceeds its 5-year average (8.4% per year).

Earnings vs Industry: DAE earnings growth over the past year (17.6%) underperformed the Machinery industry 53.4%.

Return on Equity

High ROE: DAE's Return on Equity (13%) is considered low.

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Financial Health

How is Dätwyler Holding'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: DAE's short term assets (CHF630.5M) exceed its short term liabilities (CHF143.7M).

Long Term Liabilities: DAE's short term assets (CHF630.5M) exceed its long term liabilities (CHF169.0M).

Debt to Equity History and Analysis

Debt Level: DAE has more cash than its total debt.

Reducing Debt: DAE's debt to equity ratio has reduced from 22.2% to 15.9% over the past 5 years.

Debt Coverage: DAE's debt is well covered by operating cash flow (121.9%).

Interest Coverage: DAE's interest payments on its debt are well covered by EBIT (69.2x coverage).

Balance Sheet

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Dividend

What is Dätwyler Holding 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

2.08%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: DAE's dividend (2.08%) is higher than the bottom 25% of dividend payers in the Swiss market (1.99%).

High Dividend: DAE's dividend (2.08%) is low compared to the top 25% of dividend payers in the Swiss market (4.14%).

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (57.7%), DAE's dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (98.9%), DAE's dividend payments are not well covered by cash flows.

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Management

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

2.3yrs

Average management tenure

CEO

Dirk Lambrecht (61 yo)

5.42yrs

Tenure

CHF2,635,768

Compensation

Mr. Dirk Lambrecht has been Chief Executive Officer at Dätwyler Holding AG since January 2017 and serves as Member of Executive Board and is also its Head of Business Area Industrial Solutions since 2021....

CEO Compensation Analysis

Compensation vs Market: Dirk's total compensation ($USD2.76M) is above average for companies of similar size in the Swiss market ($USD1.84M).

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

Leadership Team

Experienced Management: DAE's management team is considered experienced (2.3 years average tenure).

Board Members

Experienced Board: DAE's board of directors are considered experienced (6.4 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	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31