SWX:ALSN

Stock Analysis Report

Executive Summary

ALSO Holding AG operates as a service provider for the ICT industry.

Rewards

Trading at 30.4% below its fair value

Earnings are forecast to grow 12.84% per year

Earnings have grown 9.8% per year over the past 5 years

Risk Analysis

Debt is not well covered by operating cash flow



Snowflake Analysis

Moderate growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

5.4%

ALSN

5.3%

CH Electronic

0.9%

CH Market


1 Year Return

36.5%

ALSN

32.2%

CH Electronic

17.7%

CH Market

Return vs Industry: ALSN exceeded the Swiss Electronic industry which returned 31.3% over the past year.

Return vs Market: ALSN exceeded the Swiss Market which returned 17.9% over the past year.


Shareholder returns

ALSNIndustryMarket
7 Day5.4%5.3%0.9%
30 Day9.2%0.07%2.5%
90 Day22.0%15.6%7.5%
1 Year39.8%36.5%35.8%32.2%23.4%17.7%
3 Year66.6%56.4%39.4%30.4%41.2%23.9%
5 Year261.7%220.7%117.8%91.7%46.5%23.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

30.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ALSN (CHF176.4) is trading below our estimate of fair value (CHF253.41)

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


Price To Earnings Ratio

PE vs Industry: ALSN is poor value based on its PE Ratio (24.2x) compared to the Electronic industry average (20.8x).

PE vs Market: ALSN is poor value based on its PE Ratio (24.2x) compared to the Swiss market (21.1x).


Price to Earnings Growth Ratio

PEG Ratio: ALSN is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: ALSN is overvalued based on its PB Ratio (3.2x) compared to the CH Electronic industry average (2.6x).


Next Steps

Future Growth

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

12.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ALSN's forecast earnings growth (12.8% per year) is above the savings rate (-0.6%).

Earnings vs Market: ALSN's earnings (12.8% per year) are forecast to grow faster than the Swiss market (10.5% per year).

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

Revenue vs Market: ALSN's revenue (3.9% per year) is forecast to grow faster than the Swiss market (3.3% per year).

High Growth Revenue: ALSN's revenue (3.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ALSN's Return on Equity is forecast to be low in 3 years time (14.6%).


Next Steps

Past Performance

How has ALSO Holding performed over the past 5 years?

9.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ALSN has high quality earnings.

Growing Profit Margin: ALSN's current net profit margins (0.9%) are lower than last year (0.9%).


Past Earnings Growth Analysis

Earnings Trend: ALSN's earnings have grown by 9.8% per year over the past 5 years.

Accelerating Growth: ALSN's earnings growth over the past year (6.4%) is below its 5-year average (9.8% per year).

Earnings vs Industry: ALSN earnings growth over the past year (6.4%) underperformed the Electronic industry 6.4%.


Return on Equity

High ROE: ALSN's Return on Equity (13.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is ALSO Holding's financial position?


Financial Position Analysis

Short Term Liabilities: ALSN's short term assets (€1.8B) exceed its short term liabilities (€1.0B).

Long Term Liabilities: ALSN's short term assets (€1.8B) exceed its long term liabilities (€466.0M).


Debt to Equity History and Analysis

Debt Level: ALSN's debt to equity ratio (77.8%) is considered high.

Reducing Debt: ALSN's debt to equity ratio has increased from 53.3% to 77.8% over the past 5 years.

Debt Coverage: ALSN's debt is not well covered by operating cash flow (14.2%).

Interest Coverage: ALSN's interest payments on its debt are well covered by EBIT (8.7x coverage).


Balance Sheet

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

Debt Coverage by Assets: ALSN's debt is covered by short term assets (assets are 3.4x debt).


Next Steps

Dividend

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

1.58%

Current Dividend Yield


Dividend Yield vs Market

company1.6%marketbottom25%1.7%markettop25%3.3%industryaverage2.4%forecastin3Years2.0%

Current dividend yield vs market & industry

Notable Dividend: ALSN's dividend (1.58%) isn’t notable compared to the bottom 25% of dividend payers in the Swiss market (1.71%).

High Dividend: ALSN's dividend (1.58%) is low compared to the top 25% of dividend payers in the Swiss market (3.34%).


Stability and Growth of Payments

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

Growing Dividend: ALSN's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.8%), ALSN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ALSN's dividends in 3 years are forecast to be well covered by earnings (37.4% payout ratio).


Next Steps

Management

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

7.3yrs

Average management tenure


CEO

Gustavo Möller-Hergt (57yo)

7.6yrs

Tenure

€2,585,000

Compensation

Prof. Gustavo Möller-Hergt has been the Chief Executive Officer of ALSO Holding AG (also known as, ALSO-Actebis Holding AG) since July 1, 2012 and also has been its Chairman since March 13, 2014. Prof. Mö ...


CEO Compensation Analysis

Compensation vs Market: Gustavo's total compensation ($USD2.63M) is above average for companies of similar size in the Swiss market ($USD1.33M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Gustavo Möller-Hergt
Chairman & CEO7.6yrs€2.59mno data
Ralf Retzko
Chief Financial Officer9yrsno datano data
Joachim Streitberg
Chief Information Officer0yrsno datano data
Thomas Meyerhans
General Counsel0yrsno datano data
Jan Bogdanovich
Chief Transformation Officer5.8yrsno datano data
Jörg Römer
Head of E-Business Unit0yrsno datano data
Volkan Weissenberg
Senior Vice President of Vendor Management7.1yrsno datano data
Harald Wojnowski
Managing Director of ALSO Switzerland0yrsno datano data
Laurent Mitais
Senior Vice President of Mergers & Acquisitions0yrsno datano data
Hanna Osetek-Pasquet
Managing Director of ALSO Poland0yrsno datano data

7.3yrs

Average Tenure

49yo

Average Age

Experienced Management: ALSN's management team is seasoned and experienced (7.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Gustavo Möller-Hergt
Chairman & CEO7.6yrs€2.59mno data
Walter P. Droege
Vice Chairman & Lead Director9yrs€140.00kno data
Frank Tanski
Non-Executive Director9yrs€95.00kno data
Peter Athanas
Non-Executive Director5.9yrs€106.00kno data
Rudolf Marty
Non-Executive Director26.7yrs€94.00k0.000080% 1.8k
Ernest-W. Droege
Director3.9yrs€80.00kno data

7.5yrs

Average Tenure

65yo

Average Age

Experienced Board: ALSN's board of directors are considered experienced (7.5 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

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


Key Information

  • Name: ALSO Holding AG
  • Ticker: ALSN
  • Exchange: SWX
  • Founded: 1984
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: CHF2.269b
  • Shares outstanding: 12.82m
  • Website: https://www.also.com

Number of Employees


Location

  • ALSO Holding AG
  • Meierhofstrasse 5
  • Emmen
  • Lucerne
  • 6032
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALSNSWX (SIX Swiss Exchange)YesRegistered SharesCHCHFFeb 2011
9ASDB (Deutsche Boerse AG)YesRegistered SharesDEEURFeb 2011
0QLWLSE (London Stock Exchange)YesRegistered SharesGBCHFFeb 2011

Biography

ALSO Holding AG operates as a service provider for the ICT industry. The company offers various ICT product categories of hardware, software, and information technology (IT) services. It also provides customized services in the logistics, finance, IT, and digital services sectors, as well as traditional distribution services. The company serves retailers, e-tailers, corporate customers, value-added resellers, small and medium-sized business resellers, VARs, and integrators. It has operations in Austria, France, Germany, Switzerland, Belarus, Belgium, Bulgaria, Croatia, Czech Republic, Denmark, Estonia, Finland, Hungary, Latvia, Lithuania, the Netherlands, Norway, Poland, Romania, Slovakia, Slovenia, Sweden, and Ukraine. The company was formerly known as ALSO-Actebis Holding AG and changed its name to ALSO Holding AG in March 2013. The company was founded in 1984 and is headquartered in Emmen, Switzerland. ALSO Holding AG is a subsidiary of Special Distribution Holding GmbH. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 21:58
End of Day Share Price2020/02/17 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.