SWX:SCHN

Stock Analysis Report

Executive Summary

Schindler Holding AG engages in the production, installation, maintenance, and modernization of passenger and freight elevators, escalators, and moving walks worldwide.

Rewards

Trading at 19.9% below its fair value

Earnings are forecast to grow 8.73% per year

Pays a reliable dividend of 1.71%

Risk Analysis

High level of non-cash earnings



Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.6%

SCHN

0.4%

CH Machinery

1.0%

CH Market


1 Year Return

7.9%

SCHN

7.6%

CH Machinery

17.9%

CH Market

Return vs Industry: SCHN matched the Swiss Machinery industry which returned 7.6% over the past year.

Return vs Market: SCHN underperformed the Swiss Market which returned 17.9% over the past year.


Shareholder returns

SCHNIndustryMarket
7 Day-2.6%0.4%1.0%
30 Day-5.3%-3.0%2.2%
90 Day-0.3%1.4%7.3%
1 Year10.1%7.9%10.7%7.6%23.6%17.9%
3 Year31.4%23.0%24.1%15.3%41.3%24.0%
5 Year73.3%56.5%60.3%36.9%47.5%24.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SCHN (CHF234.6) is trading below our estimate of fair value (CHF292.94)

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


Price To Earnings Ratio

PE vs Industry: SCHN is poor value based on its PE Ratio (28.9x) compared to the Machinery industry average (22.6x).

PE vs Market: SCHN is poor value based on its PE Ratio (28.9x) compared to the Swiss market (21.1x).


Price to Earnings Growth Ratio

PEG Ratio: SCHN is poor value based on its PEG Ratio (3.3x)


Price to Book Ratio

PB vs Industry: SCHN is overvalued based on its PB Ratio (7x) compared to the CH Machinery industry average (2.5x).


Next Steps

Future Growth

How is Schindler Holding forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

8.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SCHN's forecast earnings growth (8.7% per year) is above the savings rate (-0.6%).

Earnings vs Market: SCHN's earnings (8.7% per year) are forecast to grow slower than the Swiss market (10.5% per year).

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

Revenue vs Market: SCHN's revenue (3.8% per year) is forecast to grow faster than the Swiss market (3.3% per year).

High Growth Revenue: SCHN's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

  • Explore growth companies in the Capital Goods industry.

Past Performance

How has Schindler Holding performed over the past 5 years?

3.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SCHN has a high level of non-cash earnings.

Growing Profit Margin: SCHN's current net profit margins (7.8%) are lower than last year (8.6%).


Past Earnings Growth Analysis

Earnings Trend: SCHN's earnings have grown by 3.8% per year over the past 5 years.

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

Earnings vs Industry: SCHN had negative earnings growth (-4.9%) over the past year, making it difficult to compare to the Machinery industry average (2.7%).


Return on Equity

High ROE: SCHN's Return on Equity (24.4%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Schindler Holding's financial position?


Financial Position Analysis

Short Term Liabilities: SCHN's short term assets (CHF6.5B) exceed its short term liabilities (CHF5.0B).

Long Term Liabilities: SCHN's short term assets (CHF6.5B) exceed its long term liabilities (CHF1.4B).


Debt to Equity History and Analysis

Debt Level: SCHN is debt free.

Reducing Debt: SCHN has no debt compared to 5 years ago when its debt to equity ratio was 0.1%.

Debt Coverage: SCHN has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SCHN has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: SCHN has a high level of physical assets or inventory.

Debt Coverage by Assets: SCHN's debt is not covered by short term assets (assets are -15.7x debt).


Next Steps

Dividend

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

1.70%

Current Dividend Yield


Dividend Yield vs Market

company1.7%marketbottom25%1.7%markettop25%3.3%industryaverage2.2%forecastin3Years2.0%

Current dividend yield vs market & industry

Notable Dividend: SCHN's dividend (1.71%) isn’t notable compared to the bottom 25% of dividend payers in the Swiss market (1.71%).

High Dividend: SCHN's dividend (1.71%) is low compared to the top 25% of dividend payers in the Swiss market (3.34%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.2%), SCHN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SCHN's dividends in 3 years are forecast to be well covered by earnings (45.9% payout ratio).


Next Steps

Management

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

3.0yrs

Average management tenure


CEO

Thomas Oetterli (50yo)

3.8yrs

Tenure

CHF3,957,000

Compensation

Mr. Thomas Oetterli has been the Chief Executive Officer at Schindler Holding AG since April 1, 2016. He is Member of the Board of Directors of SFS Group AG, Heerbrugg, Switzerland. He holds a degree in bu ...


CEO Compensation Analysis

Compensation vs Market: Thomas's total compensation ($USD0.00) is below average for companies of similar size in the Swiss market ($USD4.91M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Silvio Napoli
Executive Chairman of the Board2.9yrsCHF3.93m0.047% CHF12.1m
Thomas Oetterli
Chief Executive Officer3.8yrsCHF3.96m0.024% CHF6.2m
Tobias Staehelin
Executive Director2.9yrsCHF570.00kno data
Urs Scheidegger
Chief Financial Officer1.8yrsno data0.011% CHF2.9m
Christian Schulz
Head of Operations3yrsno data0.0060% CHF1.5m
Karl-Heinz Bauer
Chief Technology Officer4.7yrsno data0.0022% CHF566.2k
Marco Knuchel
Head of Investor Relations0yrsno datano data
Nelly Keune
Chief Communications Officer0yrsno datano data
Erich Ammann
Deputy CEO & Director1.9yrsno data0.026% CHF6.5m
David Clymo
Corporate Human Resources2.1yrsno data0.0095% CHF2.4m

3.0yrs

Average Tenure

54.5yo

Average Age

Experienced Management: SCHN's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Silvio Napoli
Executive Chairman of the Board2.9yrsCHF3.93m0.047% CHF12.1m
Tobias Staehelin
Executive Director2.9yrsCHF570.00kno data
Erich Ammann
Deputy CEO & Director1.9yrsno data0.026% CHF6.5m
Michael Nilles
Chief Digital Officer0yrsno data0.0057% CHF1.5m
Pius Baschera
Independent Vice Chairman2.9yrsCHF292.00k0.0028% CHF714.1k
Anthony John Liddell Nightingale
Independent Non-Executive Director6.9yrsCHF209.00k0.0028% CHF714.1k
Alfred Schindler
Chairman Emeritus0yrsCHF1.77m22.25% CHF5.7b
Luc Bonnard
Independent Non-Executive Director35.5yrsCHF473.00k22.21% CHF5.7b
Rudolf Fischer
Independent Non-Executive Director8.1yrsCHF209.00k0.019% CHF4.8m
Monika Bütler
Independent Non-Executive Director6.9yrsCHF245.00k0.0014% CHF357.1k

4.9yrs

Average Tenure

64.5yo

Average Age

Experienced Board: SCHN's board of directors are considered experienced (4.9 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

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


Key Information

  • Name: Schindler Holding AG
  • Ticker: SCHN
  • Exchange: SWX
  • Founded: 1874
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: CHF25.504b
  • Shares outstanding: 107.41m
  • Website: https://www.schindler.com

Number of Employees


Location

  • Schindler Holding AG
  • Seestrasse 55
  • Hergiswil
  • Nidwalden
  • 6052
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SCHPSWX (SIX Swiss Exchange)Bearer Participation CertificatesCHCHFJan 1992
SHRQDB (Deutsche Boerse AG)Bearer Participation CertificatesDEEURJan 1992
SCHNSWX (SIX Swiss Exchange)YesRegistered SharesCHCHFJan 1992
SHLA.FOTCPK (Pink Sheets LLC)Bearer Participation CertificatesUSUSDJan 1992
SHLR.FOTCPK (Pink Sheets LLC)YesRegistered SharesUSUSDJan 1992
SHRDB (Deutsche Boerse AG)YesRegistered SharesDEEURJan 1992
0QOTLSE (London Stock Exchange)YesRegistered SharesGBCHFJan 1992
0QO1LSE (London Stock Exchange)Bearer Participation CertificatesGBCHFJan 1992
SCHP NBMV (Bolsa Mexicana de Valores)Bearer Participation CertificatesMXMXNJan 1992

Biography

Schindler Holding AG engages in the production, installation, maintenance, and modernization of passenger and freight elevators, escalators, and moving walks worldwide. It also provides transit management services through its destination control system. The company offers its products and services to healthcare facilities, hotels, institutional buildings, shopping malls and retail facilities, commercial and office buildings, residential buildings, public transport locations, and marines, as well as stadiums, arenas, and convention centers. Schindler Holding AG was founded in 1874 and is based in Hergiswil, Switzerland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 21:04
End of Day Share Price2020/02/14 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.