SWX:ZUGN

Stock Analysis Report

Executive Summary

Zug Estates Holding AG, together with its subsidiaries, conceives, develops, markets, and manages real estate properties in the Zug region, Switzerland.

Snowflake

Fundamentals

Questionable track record unattractive dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

ZUGN

0.4%

CH Real Estate

0.6%

CH Market


1 Year Return

20.8%

ZUGN

22.2%

CH Real Estate

9.7%

CH Market

Return vs Industry: ZUGN underperformed the Swiss Real Estate industry which returned 22.2% over the past year.

Return vs Market: ZUGN exceeded the Swiss Market which returned 9.7% over the past year.


Shareholder returns

ZUGNIndustryMarket
7 Day0%0.4%0.6%
30 Day-0.5%3.5%-0.02%
90 Day10.6%8.5%1.1%
1 Year22.8%20.8%26.8%22.2%15.6%9.7%
3 Year26.4%21.0%40.2%25.3%33.9%16.5%
5 Year82.8%70.4%79.8%47.8%38.0%16.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

22.16x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: ZUGN (CHF2030) is trading above our estimate of fair value (CHF1070.31)

Significantly Undervalued: ZUGN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ZUGN is poor value based on its PE Ratio (22.2x) compared to the Real Estate industry average (15.9x).

PE vs Market: ZUGN is poor value based on its PE Ratio (22.2x) compared to the Swiss market (18.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ZUGN is overvalued based on its PB Ratio (1.2x) compared to the CH Real Estate industry average (1.1x).


Next Steps

Future Growth

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

-2.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ZUGN's earnings are forecast to decline over the next 3 years (-2.5% per year).

Earnings vs Market: ZUGN's earnings are forecast to decline over the next 3 years (-2.5% per year).

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

Revenue vs Market: ZUGN's revenue (2.3% per year) is forecast to grow slower than the Swiss market (3.5% per year).

High Growth Revenue: ZUGN's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: ZUGN's Return on Equity is forecast to be low in 3 years time (2.1%).


Next Steps

Past Performance

How has Zug Estates Holding performed over the past 5 years?

-7.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ZUGN's earnings have declined by -7.5% per year over the past 5 years.

Accelerating Growth: ZUGN's earnings growth over the past year (42.8%) exceeds its 5-year average (-7.5% per year).

Earnings vs Industry: ZUGN earnings growth over the past year (42.8%) exceeded the Real Estate industry 27.3%.


Return on Equity

High ROE: ZUGN's Return on Equity (5.5%) is considered low.


Return on Assets

ROA vs Industry: ZUGN's Return on Assets is below or equal to the Real Estate industry average last year.


Return on Capital Employed

ROCE Improving: ZUGN's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Zug Estates Holding's financial position?


Financial Position Analysis

Short Term Liabilities: ZUGN's short term assets (CHF126.4M) do not cover its short term liabilities (CHF249.6M)

Long Term Liabilities: ZUGN's short term assets (126.4M) do not cover its long term liabilities (551.7M)


Debt to Equity History and Analysis

Debt Level: ZUGN's debt to equity ratio (73.8%) is considered high

Reducing Debt: ZUGN's debt to equity ratio has increased from 50.1% to 73.8% over the past 5 years.

Debt Coverage: ZUGN's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: ZUGN's interest payments on its debt are well covered by EBIT (7.5x coverage).


Balance Sheet

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

Debt Coverage by Assets: ZUGN's debt is not covered by short term assets (assets are 0.2x debt).


Next Steps

Dividend

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

1.38%

Current Dividend Yield


Dividend Yield vs Market

company1.4%marketbottom25%1.9%markettop25%3.7%industryaverage3.3%forecastin3Years1.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ZUGN's dividend (1.38%) isn’t notable compared to the bottom 25% of dividend payers in the Swiss market (1.91%).

High Dividend: ZUGN's dividend (1.38%) is low compared to the top 25% of dividend payers in the Swiss market (3.7%).

Stable Dividend: Whilst dividend payments have been stable, ZUGN has been paying a dividend for less than 10 years.

Growing Dividend: ZUGN's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.6%), ZUGN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ZUGN's dividends in 3 years are forecast to be covered by earnings (59.7% payout ratio).


Next Steps

Management

What is the CEO of Zug Estates Holding's salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average board tenure


CEO

Tobias Achermann (48yo)

5.3yrs

Tenure

CHF616,333

Compensation

Mr. Tobias Achermann has been the Chief Executive Officer of Zug Estates Holding AG since July 1, 2014. Mr. Achermann serves as The Board of Directors of Zug Estates Holding AG. Since 2008, he has been the ...


CEO Compensation Analysis

Compensation vs. Market: Tobias's total compensation ($USD623.87K) is about average for companies of similar size in the Swiss market ($USD994.34K).

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


Board Age and Tenure

6.8yrs

Average Tenure

60yo

Average Age

Experienced Board: ZUGN's board of directors are considered experienced (6.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Tobias Achermann (48yo)

    Chief Executive Officer

    • Tenure: 5.3yrs
    • Compensation: CHF616.33k
  • Mirko Käppeli (40yo)

    Chief Financial Officer

    • Tenure: 2.4yrs

Board Members

  • Armin Meier (61yo)

    Non Executive Director

    • Tenure: 6.8yrs
    • Compensation: CHF109.37k
  • Martin Wipfli (56yo)

    Non Executive Director

    • Tenure: 7.8yrs
    • Compensation: CHF118.94k
  • Annelies Buhofer (65yo)

    Non Executive Director

    • Tenure: 7.8yrs
    • Compensation: CHF90.04k
  • Beat Schwab (53yo)

    Chairman

    • Tenure: 2.5yrs
    • Compensation: CHF393.61k
  • Johannes Stöckli (60yo)

    Director

    • Tenure: 1.8yrs
    • Compensation: CHF59.49k

Company Information

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


Key Information

  • Name: Zug Estates Holding AG
  • Ticker: ZUGN
  • Exchange: SWX
  • Founded:
  • Industry: Diversified Real Estate Activities
  • Sector: Real Estate
  • Market Cap: CHF1.035b
  • Shares outstanding: 510.00k
  • Website: https://www.zugestates.ch

Number of Employees


Location

  • Zug Estates Holding AG
  • Industriestrasse 12
  • Zug
  • Zug
  • 6300
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ZUGNSWX (SIX Swiss Exchange)YesSeries B Registered SharesCHCHFJun 2012
ZEEDB (Deutsche Boerse AG)YesSeries B Registered SharesDEEURJun 2012
0QPWLSE (London Stock Exchange)YesSeries B Registered SharesGBCHFJun 2012

Biography

Zug Estates Holding AG, together with its subsidiaries, conceives, develops, markets, and manages real estate properties in the Zug region, Switzerland. The company operates in two segments, Real Estate an ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 21:25
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
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.