XTRA:SW1

Stock Analysis Report

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Executive Summary

SHW AG focuses on the development and manufacturing of products to reduce fuel consumption and CO2 emissions in the automotive industry in Germany, rest of Europe, the United States, Asia, and internationally. More Details


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SW1 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

SW1

-0.5%

DE Auto Components

-1.9%

DE Market


1 Year Return

-24.8%

SW1

-18.1%

DE Auto Components

0.2%

DE Market

Return vs Industry: SW1 underperformed the German Auto Components industry which returned -18.1% over the past year.

Return vs Market: SW1 underperformed the German Market which returned 0.2% over the past year.


Shareholder returns

SW1IndustryMarket
7 Day0%-0.5%-1.9%
30 Day0.7%11.0%1.5%
90 Day-3.7%7.3%-0.5%
1 Year-24.8%-24.8%-15.3%-18.1%3.4%0.2%
3 Year-57.0%-57.7%-47.4%-52.3%-0.2%-9.0%
5 Year-34.8%-40.2%-42.6%-50.2%21.4%4.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

2.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SW1 (€14.4) is trading below our estimate of fair value (€14.78)

Significantly Below Fair Value: SW1 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SW1 is unprofitable, so we can't compare its PE Ratio to the XE Auto Components industry average.

PE vs Market: SW1 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SW1's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SW1 is good value based on its PB Ratio (0.8x) compared to the DE Auto Components industry average (1.5x).


Next Steps

Future Growth

How is SHW forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

105.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SW1 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: SW1 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SW1's is expected to become profitable in the next 3 years.

Revenue vs Market: SW1's revenue (8% per year) is forecast to grow faster than the German market (6% per year).

High Growth Revenue: SW1's revenue (8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SW1's Return on Equity is forecast to be low in 3 years time (3%).


Next Steps

Past Performance

How has SHW performed over the past 5 years?

-24.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SW1 is currently unprofitable.

Growing Profit Margin: SW1 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SW1 is unprofitable, and losses have increased over the past 5 years at a rate of 24.3% per year.

Accelerating Growth: Unable to compare SW1's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SW1 is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (-45.5%).


Return on Equity

High ROE: SW1 has a negative Return on Equity (-1.68%), as it is currently unprofitable.


Next Steps

Financial Health

How is SHW's financial position?


Financial Position Analysis

Short Term Liabilities: SW1's short term assets (€125.3M) exceed its short term liabilities (€122.2M).

Long Term Liabilities: SW1's short term assets (€125.3M) exceed its long term liabilities (€77.3M).


Debt to Equity History and Analysis

Debt Level: SW1's debt to equity ratio (66.9%) is considered high.

Reducing Debt: SW1's debt to equity ratio has increased from 9% to 66.9% over the past 5 years.

Debt Coverage: SW1's debt is well covered by operating cash flow (22.9%).

Interest Coverage: Insufficient data to determine if SW1's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is SHW current dividend yield, its reliability and sustainability?

0.28%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SW1's dividend (0.28%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.25%).

High Dividend: SW1's dividend (0.28%) is low compared to the top 25% of dividend payers in the German market (3.77%).


Stability and Growth of Payments

Stable Dividend: SW1 is not paying a notable dividend for the German market, therefore no need to check if payments are stable.

Growing Dividend: SW1 is not paying a notable dividend for the German market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: SW1 is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SW1's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

2.5yrs

Average board tenure


CEO

Wolfgang Plasser (58 yo)

2.33yrs

Tenure

€388,066

Compensation

Mr. Wolfgang Plasser serve as Chief Executive Officer and Chairman of Management of Board of SHW AG since June 12, 2018. He serves as the Chairman of the Management Board at Pankl Racing Systems AG and has ...


CEO Compensation Analysis

Compensation vs Market: Wolfgang's total compensation ($USD0.00) is below average for companies of similar size in the German market ($USD490.70K).

Compensation vs Earnings: Insufficient data to compare Wolfgang's compensation with company performance.


Board Members

NamePositionTenureCompensationOwnership
Stefan Pierer
Member of the Supervisory Board2.75yrs€20.00kno data
Josef Blazicek
Member of the Supervisory Board2yrs€5.00kno data
Alfred Hortenhuber
Deputy Chairman of Supervisory Board2.42yrs€26.00kno data
Klaus Rinnerberger
Chairman of the Supervisory Board2.5yrs€40.00kno data
Friedrich Roithner
Member of Supervisory Board2yrs€5.00kno data
Edgar Kuhn
Member of Supervisory Board9.67yrs€20.00kno data
Jorg Franke
Member of Supervisory Board6.42yrs€21.00kno data
Frank-Michael Meißner
Member of Supervisory Board2.42yrs€20.00kno data
Eugen Maucher
Member of Supervisory Board4.42yrs€20.00kno data

2.5yrs

Average Tenure

57yo

Average Age

Experienced Board: SW1's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


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

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


Key Information

  • Name: SHW AG
  • Ticker: SW1
  • Exchange: XTRA
  • Founded: 1365
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: €92.681m
  • Shares outstanding: 6.44m
  • Website: https://www.shw.de

Number of Employees


Location

  • SHW AG
  • Wilhelmstrasse 67
  • Aalen
  • Baden-Württemberg
  • 73433
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SW1DB (Deutsche Boerse AG)YesOrdinary Bearer SharesDEEURJul 2011
SW1XTRA (XETRA Trading Platform)YesOrdinary Bearer SharesDEEURJul 2011
0P5FLSE (London Stock Exchange)YesOrdinary Bearer SharesGBEURJul 2011
SW1SWX (SIX Swiss Exchange)YesOrdinary Bearer SharesCHCHFJul 2011

Biography

SHW AG focuses on the development and manufacturing of products to reduce fuel consumption and CO2 emissions in the automotive industry in Germany, rest of Europe, the United States, Asia, and internationa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/26 22:01
End of Day Share Price2020/10/26 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.