SWX:KLIN

Stock Analysis Report

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Executive Summary

Klingelnberg AG engages in the development, manufacture, and sale of machines for the production of bevel and cylindrical gears, and measuring centers for axially symmetrical objects of various types worldwide.


Snowflake Analysis

Very undervalued with excellent balance sheet and pays a dividend.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

2.4%

KLIN

3.8%

CH Machinery

1.2%

CH Market


1 Year Return

-64.3%

KLIN

1.6%

CH Machinery

2.9%

CH Market

Return vs Industry: KLIN underperformed the Swiss Machinery industry which returned 1.7% over the past year.

Return vs Market: KLIN underperformed the Swiss Market which returned 3% over the past year.


Shareholder returns

KLINIndustryMarket
7 Day2.4%3.8%1.2%
30 Day-19.6%7.0%2.5%
90 Day-32.3%2.0%-1.5%
1 Year-63.1%-64.3%5.1%1.6%6.3%2.9%
3 Yearn/a3.3%-5.0%15.9%4.1%
5 Yearn/a37.1%16.0%28.4%6.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KLIN (CHF12.9) is trading below our estimate of fair value (CHF59.46)

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


Price To Earnings Ratio

PE vs Industry: KLIN is good value based on its PE Ratio (6.7x) compared to the Machinery industry average (19.1x).

PE vs Market: KLIN is good value based on its PE Ratio (6.7x) compared to the Swiss market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: KLIN is good value based on its PEG Ratio (0.1x)


Price to Book Ratio

PB vs Industry: KLIN is good value based on its PB Ratio (0.7x) compared to the CH Machinery industry average (2x).


Next Steps

Future Growth

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

46.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KLIN's forecast earnings growth (46.2% per year) is above the savings rate (-0.2%).

Earnings vs Market: KLIN's earnings (46.2% per year) are forecast to grow faster than the Swiss market (8.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: KLIN's revenue (12.2% per year) is forecast to grow faster than the Swiss market (2.4% per year).

High Growth Revenue: KLIN's revenue (12.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KLIN's Return on Equity is forecast to be low in 3 years time (6.2%).


Next Steps

Past Performance

How has Klingelnberg performed over the past 5 years?

9.1%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: KLIN has high quality earnings.

Growing Profit Margin: KLIN's current net profit margins (5.9%) are higher than last year (5.2%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if KLIN's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare KLIN's past year earnings growth to its 5-year average.

Earnings vs Industry: KLIN earnings growth over the past year (9.1%) exceeded the Machinery industry 0.5%.


Return on Equity

High ROE: KLIN's Return on Equity (10.7%) is considered low.


Next Steps

Financial Health

How is Klingelnberg's financial position?


Financial Position Analysis

Short Term Liabilities: KLIN's short term assets (€180.3M) exceed its short term liabilities (€80.2M).

Long Term Liabilities: KLIN's short term assets (€180.3M) exceed its long term liabilities (€21.2M).


Debt to Equity History and Analysis

Debt Level: KLIN's debt to equity ratio (12.8%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if KLIN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: KLIN's debt is well covered by operating cash flow (44.4%).

Interest Coverage: KLIN's interest payments on its debt are well covered by EBIT (109.7x coverage).


Balance Sheet


Next Steps

Dividend

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

7.44%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KLIN's dividend (7.44%) is higher than the bottom 25% of dividend payers in the Swiss market (1.93%).

High Dividend: KLIN's dividend (7.44%) is in the top 25% of dividend payers in the Swiss market (3.91%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether KLIN's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if KLIN's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.8%), KLIN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KLIN's dividends in 3 years are forecast to be covered by earnings (65.1% payout ratio).


Next Steps

Management

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

5.4yrs

Average management tenure


CEO

Jan Klingelnberg (48yo)

16.42yrs

Tenure

€805,138

Compensation

Mr. Jan Klingelnberg is the Chief Executive Officer of Klingelnberg AG since 2004. Mr. Klingelnberg serves as the Chief Executive Officer and Managing Director of Klingelnberg GmbH and served as its Chairm ...


CEO Compensation Analysis

Compensation vs Market: Jan's total compensation ($USD837.46K) is above average for companies of similar size in the Swiss market ($USD537.17K).

Compensation vs Earnings: Insufficient data to compare Jan's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Jan Klingelnberg
Chief Executive Officer16.42yrs€805.14kno data
Christoph Küster
Chief Finance Officer5.42yrsno datano data
Martin Boelter
Chief Operating Officer5.42yrsno datano data

5.4yrs

Average Tenure

48yo

Average Age

Experienced Management: KLIN's management team is seasoned and experienced (5.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Joerg Wolle
Chairman of the Board2.42yrs€164.97kno data
Roger Baillod
Director2yrs€67.25kno data
Hans-Georg Härter
Director12.42yrs€46.83kno data
Diether Klingelnberg
Director29.42yrs€9.37kno data
Hans-Martin Schneeberger
Director13.42yrs€58.33kno data
Michael Hilb
Director2yrs€58.85kno data

7.4yrs

Average Tenure

63yo

Average Age

Experienced Board: KLIN's board of directors are considered experienced (7.4 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.


Top Shareholders

Company Information

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


Key Information

  • Name: Klingelnberg AG
  • Ticker: KLIN
  • Exchange: SWX
  • Founded: 1863
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: CHF114.036m
  • Shares outstanding: 8.84m
  • Website: https://www.klingelnberg.com

Number of Employees


Location

  • Klingelnberg AG
  • Binzmuhlestrasse 171
  • Zurich
  • Zurich
  • 8005
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KLINSWX (SIX Swiss Exchange)YesRegistered SharesCHCHFJun 2018
2MKDB (Deutsche Boerse AG)YesRegistered SharesDEEURJun 2018

Biography

Klingelnberg AG engages in the development, manufacture, and sale of machines for the production of bevel and cylindrical gears, and measuring centers for axially symmetrical objects of various types worldwide. The company offers bevel gear cutting machines, bevel gear grinding machines, bevel gear lapping machines, and bevel gear testing machines, as well as related software, tools and fixtures, and tool management products. It also provides cylindrical gear cutting machines, cylindrical gear grinding machines, machining products, and related software; and precision measuring centers, optical metrology products, tool measurement products, roughness measurement products, and deviation analysis and additional application products, as well as dimension, form, and position measurement products. In addition, the company offers high-precision gear components and after sale services. It serves automotive, maritime propulsion, rail, mining/materials handling, oil and gas, agriculture, racing transmission, robot, aviation, and wind power industries, as well as crusher gearboxes, commercial vehicles, industrial gear units, and contract manufacturers. Klingelnberg AG was founded in 1863 and is headquartered in Zurich, Switzerland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/01 01:25
End of Day Share Price2020/05/29 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.