Intershop Holding (SWX:ISN) - Share price, News & Analysis

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

ISN (CHF627) is trading above our estimate of [[fair value]] (CHF499.09)

ISN fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	4/6
Financial Health	2/6
Dividends	4/6

ISN Stock Overview

Intershop Holding AG, a real estate company, focuses on the purchase, development, and sale of real estate in Switzerland.

Rewards

Price-To-Earnings ratio (8.3x) is below the Swiss market (17.2x)

Earnings grew by 84.1% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 38.8% per year for the next 3 years

Debt is not well covered by operating cash flow

Dividend of 3.99% is not well covered by earnings

Large one-off items impacting financial results

Intershop Holding Competitors

HIAG Immobilien Holding

SWX:HIAG

CHF857.3m

Warteck Invest

SWX:WARN

CHF537.1m

Mobimo Holding

SWX:MOBN

CHF1.7b

Fundamenta Real Estate

SWX:FREN

CHF520.1m

Price History & Performance

Summary of all time highs, changes and price drops for Intershop Holding
Historical stock prices
Current Share Price	CHF627.00
52 Week High	CHF673.00
52 Week Low	CHF565.00
Beta	0.37
1 Month Change	-3.24%
3 Month Change	-3.39%
1 Year Change	2.62%
3 Year Change	24.90%
5 Year Change	30.63%
Change since IPO	213.50%

Shareholder Returns

	ISN	CH Real Estate	CH Market
7D	4.3%	2.3%	3.8%
1Y	2.6%	-9.7%	-11.8%

Return vs Industry: ISN exceeded the Swiss Real Estate industry which returned -9.7% over the past year.

Return vs Market: ISN exceeded the Swiss Market which returned -11.8% over the past year.

Price Volatility

Is ISN's price volatile compared to industry and market?
ISN volatility
ISN Average Weekly Movement	3.2%
Real Estate Industry Average Movement	3.3%
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: ISN is less volatile than 75% of Swiss stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ISN's weekly volatility (3%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1962	62	Cyrill Schneuwly	https://www.intershop.ch

Intershop Holding AG, a real estate company, focuses on the purchase, development, and sale of real estate in Switzerland. The company engages in the rental of office, and commercial and retail space. It also develops properties.

Intershop Holding Fundamentals Summary

How do Intershop Holding's earnings and revenue compare to its market cap?
ISN fundamental statistics
Market Cap	CHF1.19b
Earnings (TTM)	CHF144.24m
Revenue (TTM)	CHF185.46m

8.3x

P/E Ratio

6.4x

P/S Ratio

Is ISN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
ISN income statement (TTM)
Revenue	CHF185.46m
Cost of Revenue	CHF7.48m
Gross Profit	CHF177.98m
Other Expenses	CHF33.75m
Earnings	CHF144.24m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 23, 2022

Earnings per share (EPS)	75.96
Gross Margin	95.97%
Net Profit Margin	77.77%
Debt/Equity Ratio	53.8%

How did ISN perform over the long term?

See historical performance and comparison

Dividends

4.0%

Current Dividend Yield

33%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is ISN 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 ISN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for ISN. This is calculated by dividing ISN's market cap by their current preferred multiple.
What is ISN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	CHF1.19b

ISN 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	8.6x
Enterprise Value/EBITDA	9.8x
PEG Ratio	-0.2x

Price to Earnings Ratio vs Peers

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

ISN PE Ratio vs Peers

The above table shows the PE ratio for ISN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	14.8x
HIAG HIAG Immobilien Holding	9.6x	-6.5%	CHF857.3m
WARN Warteck Invest	19.6x	n/a	CHF537.1m
MOBN Mobimo Holding	12.1x	-17.0%	CHF1.7b
FREN Fundamenta Real Estate	18x	n/a	CHF520.1m
ISN Intershop Holding	8.3x	-38.8%	CHF1.2b

Forward PE

Price-To-Earnings vs Peers: ISN is good value based on its Price-To-Earnings Ratio (8.3x) compared to the peer average (14.8x).

Price to Earnings Ratio vs Industry

How does ISN's PE Ratio compare vs other companies in the CH Real Estate Industry?

Price-To-Earnings vs Industry: ISN is good value based on its Price-To-Earnings Ratio (8.3x) compared to the Swiss Real Estate industry average (11.4x)

Price to Earnings Ratio vs Fair Ratio

What is ISN'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.

ISN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	8.3x
Fair PE Ratio	8x

Price-To-Earnings vs Fair Ratio: ISN is expensive based on its Price-To-Earnings Ratio (8.3x) compared to the estimated Fair Price-To-Earnings Ratio (8x).

Share Price vs Fair Value

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

Below Fair Value: ISN (CHF627) is trading above our estimate of fair value (CHF499.09)

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

Price to Earnings Growth Ratio

PEG Ratio: ISN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

Discover undervalued companies

Future Growth

How is Intershop Holding forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-38.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: ISN's earnings are forecast to decline over the next 3 years (-38.8% per year).

Earnings vs Market: ISN's earnings are forecast to decline over the next 3 years (-38.8% per year).

High Growth Earnings: ISN's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ISN's revenue is expected to decline over the next 3 years (-21% per year).

High Growth Revenue: ISN's revenue is forecast to decline over the next 3 years (-21% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: ISN's Return on Equity is forecast to be low in 3 years time (6.8%).

Discover growth companies

Past Performance

How has Intershop 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

10.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ISN has a large one-off gain of CHF32.3M impacting its December 31 2021 financial results.

Growing Profit Margin: ISN's current net profit margins (77.8%) are higher than last year (66.8%).

Past Earnings Growth Analysis

Earnings Trend: ISN's earnings have grown by 10% per year over the past 5 years.

Accelerating Growth: ISN's earnings growth over the past year (84.1%) exceeds its 5-year average (10% per year).

Earnings vs Industry: ISN earnings growth over the past year (84.1%) exceeded the Real Estate industry 54.7%.

Return on Equity

High ROE: ISN's Return on Equity (17.8%) is considered low.

Discover strong past performing companies

Financial Health

How is Intershop Holding's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: ISN's short term assets (CHF83.9M) do not cover its short term liabilities (CHF88.3M).

Long Term Liabilities: ISN's short term assets (CHF83.9M) do not cover its long term liabilities (CHF528.7M).

Debt to Equity History and Analysis

Debt Level: ISN's net debt to equity ratio (49.8%) is considered high.

Reducing Debt: ISN's debt to equity ratio has reduced from 108.8% to 53.8% over the past 5 years.

Debt Coverage: ISN's debt is not well covered by operating cash flow (7.7%).

Interest Coverage: ISN's interest payments on its debt are well covered by EBIT (20.9x coverage).

Balance Sheet

Discover healthy companies

Dividend

What is Intershop 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

3.99%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ISN's dividend (3.99%) is higher than the bottom 25% of dividend payers in the Swiss market (2.02%).

High Dividend: ISN's dividend (3.99%) is low compared to the top 25% of dividend payers in the Swiss market (4.01%).

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (32.9%), ISN's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (142.4%), ISN's dividend payments are not well covered by cash flows.

Discover strong dividend paying companies

Management

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

14.4yrs

Average management tenure

CEO

Cyrill Schneuwly (58 yo)

23.42yrs

Tenure

CHF1,384,000

Compensation

Mr. Cyrill Schneuwly has been the Chief Executive Officer of Intershop Holding AG since 2008. Mr. Schneuwly also has been a Member of the Executive Board at Intershop Holding AG since 1999. Mr. Schneuwly s...

CEO Compensation Analysis

Compensation vs Market: Cyrill's total compensation ($USD1.45M) is about average for companies of similar size in the Swiss market ($USD1.36M).

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

Leadership Team

Experienced Management: ISN's management team is seasoned and experienced (14.4 years average tenure).

Board Members

Experienced Board: ISN's board of directors are considered experienced (3.2 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	2022/06/28 00:00
End of Day Share Price	2022/06/28 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31