Sika AG, a specialty chemicals company, develops, produces, and sells systems and products for bonding, sealing, damping, reinforcing, and protecting in the building sector and motor vehicle industry worldwide. More Details
Solid track record with moderate growth potential.
Share Price & News
How has Sika's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SIKA is not significantly more volatile than the rest of Swiss stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: SIKA's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: SIKA exceeded the Swiss Chemicals industry which returned 29.7% over the past year.
Return vs Market: SIKA exceeded the Swiss Market which returned 37% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Sika's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StWhat Is The Ownership Structure Like For Sika AG (VTX:SIKA)?
3 weeks ago | Simply Wall StHere's Why I Think Sika (VTX:SIKA) Is An Interesting Stock
1 month ago | Simply Wall StSika (VTX:SIKA) Has A Pretty Healthy Balance Sheet
Is Sika undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: SIKA (CHF270.7) is trading above our estimate of fair value (CHF198.79)
Significantly Below Fair Value: SIKA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SIKA is good value based on its PE Ratio (46.5x) compared to the CH Chemicals industry average (46.7x).
PE vs Market: SIKA is poor value based on its PE Ratio (46.5x) compared to the Swiss market (25x).
Price to Earnings Growth Ratio
PEG Ratio: SIKA is poor value based on its PEG Ratio (3.2x)
Price to Book Ratio
PB vs Industry: SIKA is overvalued based on its PB Ratio (11.7x) compared to the CH Chemicals industry average (6.3x).
How is Sika forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SIKA's forecast earnings growth (14.6% per year) is above the savings rate (-0.3%).
Earnings vs Market: SIKA's earnings (14.6% per year) are forecast to grow slower than the Swiss market (22.1% per year).
High Growth Earnings: SIKA's earnings are forecast to grow, but not significantly.
Revenue vs Market: SIKA's revenue (6.8% per year) is forecast to grow faster than the Swiss market (4.6% per year).
High Growth Revenue: SIKA's revenue (6.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SIKA's Return on Equity is forecast to be high in 3 years time (24.9%)
How has Sika performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SIKA has high quality earnings.
Growing Profit Margin: SIKA's current net profit margins (10.5%) are higher than last year (9.3%).
Past Earnings Growth Analysis
Earnings Trend: SIKA's earnings have grown by 9.3% per year over the past 5 years.
Accelerating Growth: SIKA's earnings growth over the past year (9.7%) exceeds its 5-year average (9.3% per year).
Earnings vs Industry: SIKA earnings growth over the past year (9.7%) exceeded the Chemicals industry 5.8%.
Return on Equity
High ROE: Whilst SIKA's Return on Equity (25.09%) is high, this metric is skewed due to their high level of debt.
How is Sika's financial position?
Financial Position Analysis
Short Term Liabilities: SIKA's short term assets (CHF3.6B) exceed its short term liabilities (CHF1.8B).
Long Term Liabilities: SIKA's short term assets (CHF3.6B) do not cover its long term liabilities (CHF4.7B).
Debt to Equity History and Analysis
Debt Level: SIKA's debt to equity ratio (117.3%) is considered high.
Reducing Debt: SIKA's debt to equity ratio has increased from 37.3% to 117.3% over the past 5 years.
Debt Coverage: SIKA's debt is well covered by operating cash flow (35.6%).
Interest Coverage: SIKA's interest payments on its debt are well covered by EBIT (21.7x coverage).
What is Sika current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: SIKA's dividend (0.92%) isn’t notable compared to the bottom 25% of dividend payers in the Swiss market (1.5%).
High Dividend: SIKA's dividend (0.92%) is low compared to the top 25% of dividend payers in the Swiss market (3.53%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, SIKA has been paying a dividend for less than 10 years.
Growing Dividend: SIKA's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (43%), SIKA's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SIKA's dividends in 3 years are forecast to be well covered by earnings (44.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Paul Schuler (65 yo)
Mr. Paul Schuler, MBA, has been Chief Executive Officer at Sika AG since July 1, 2017 and has been its Member of Group Management since 2007. Mr. Schuler served as Regional Manager of Europe, Middle East a...
CEO Compensation Analysis
Compensation vs Market: Paul's total compensation ($USD4.82M) is about average for companies of similar size in the Swiss market ($USD5.46M).
Compensation vs Earnings: Paul's compensation has been consistent with company performance over the past year.
Experienced Management: SIKA's management team is considered experienced (4 years average tenure).
Experienced Board: SIKA's board of directors are considered experienced (9.1 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Sika AG's company bio, employee growth, exchange listings and data sources
- Name: Sika AG
- Ticker: SIKA
- Exchange: SWX
- Founded: 1910
- Industry: Specialty Chemicals
- Sector: Materials
- Market Cap: CHF38.369b
- Shares outstanding: 141.76m
- Website: https://www.sika.com
Number of Employees
- Sika AG
- Zugerstrasse 50
Sika AG, a specialty chemicals company, develops, produces, and sells systems and products for bonding, sealing, damping, reinforcing, and protecting in the building sector and motor vehicle industry world...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/16 17:16|
|End of Day Share Price||2021/04/16 00:00|
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.