DB:SFQ

Stock Analysis Report

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Market Cap

€542.0m

Last Updated

2021/06/24 22:21 UTC

Data Sources

Company Financials +

Executive Summary

SAF-Holland SE manufactures and supplies chassis-related systems and components for trucks, trailers, semi-trailers, and buses. More Details


Snowflake Analysis

Excellent balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has SAF-Holland's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SFQ is not significantly more volatile than the rest of German stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SFQ's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-4.9%

SFQ

1.1%

DE Auto Components

-0.7%

DE Market


1 Year Return

130.7%

SFQ

47.0%

DE Auto Components

29.4%

DE Market

Return vs Industry: SFQ exceeded the German Auto Components industry which returned 48% over the past year.

Return vs Market: SFQ exceeded the German Market which returned 29.6% over the past year.


Shareholder returns

SFQIndustryMarket
7 Day-4.9%1.1%-0.7%
30 Day-7.0%5.8%2.0%
90 Day-7.4%14.5%5.2%
1 Year130.7%130.7%51.2%47.0%33.6%29.4%
3 Year-2.8%-6.7%-23.4%-29.2%33.3%22.4%
5 Year29.5%17.6%-6.8%-18.1%65.0%42.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is SAF-Holland undervalued compared to its fair value and its price relative to the market?

26.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SFQ (€12.56) is trading below our estimate of fair value (€16.32)

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


Price To Earnings Ratio

PE vs Industry: SFQ is poor value based on its PE Ratio (36.2x) compared to the European Auto Components industry average (19.5x).

PE vs Market: SFQ is poor value based on its PE Ratio (36.2x) compared to the German market (26.8x).


Price to Earnings Growth Ratio

PEG Ratio: SFQ is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: SFQ's PB Ratio (1.8x) is in line with the DE Auto Components industry average.


Future Growth

How is SAF-Holland forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

22.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SFQ's forecast earnings growth (22.5% per year) is above the savings rate (0.01%).

Earnings vs Market: SFQ's earnings (22.5% per year) are forecast to grow faster than the German market (14.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SFQ's revenue (6.4% per year) is forecast to grow faster than the German market (5.7% per year).

High Growth Revenue: SFQ's revenue (6.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SFQ's Return on Equity is forecast to be low in 3 years time (15.7%).


Past Performance

How has SAF-Holland performed over the past 5 years?

-26.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SFQ has a large one-off loss of €27.7M impacting its March 31 2021 financial results.

Growing Profit Margin: SFQ's current net profit margins (1.7%) are higher than last year (0.5%).


Past Earnings Growth Analysis

Earnings Trend: SFQ's earnings have declined by 26.8% per year over the past 5 years.

Accelerating Growth: SFQ's earnings growth over the past year (143.5%) exceeds its 5-year average (-26.8% per year).

Earnings vs Industry: SFQ earnings growth over the past year (143.5%) exceeded the Auto Components industry -30.7%.


Return on Equity

High ROE: SFQ's Return on Equity (5.2%) is considered low.


Financial Health

How is SAF-Holland's financial position?


Financial Position Analysis

Short Term Liabilities: SFQ's short term assets (€499.5M) exceed its short term liabilities (€224.8M).

Long Term Liabilities: SFQ's short term assets (€499.5M) exceed its long term liabilities (€448.6M).


Debt to Equity History and Analysis

Debt Level: SFQ's debt to equity ratio (102.2%) is considered high.

Reducing Debt: SFQ's debt to equity ratio has reduced from 131.6% to 102.2% over the past 5 years.

Debt Coverage: SFQ's debt is well covered by operating cash flow (33.6%).

Interest Coverage: SFQ's interest payments on its debt are well covered by EBIT (7.2x coverage).


Balance Sheet


Dividend

What is SAF-Holland current dividend yield, its reliability and sustainability?

4.03%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate SFQ's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SFQ's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SFQ's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SFQ's dividend payments have been increasing.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SFQ'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?

2.0yrs

Average management tenure


CEO

Alexander Geis (47 yo)

2.33yrs

Tenure

€1,327,000

Compensation

Mr. Alexander Geis has been Member of Management Board at Saf-Holland SA since July 1, 2011. Mr. Geis serves as Chief Executive Officer of SAF-Holland SE (formerly known as SAF-Holland S.A.) since February...


CEO Compensation Analysis

Compensation vs Market: Alexander's total compensation ($USD1.58M) is about average for companies of similar size in the German market ($USD1.26M).

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


Leadership Team

Experienced Management: SFQ's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: SFQ's board of directors are not considered experienced ( 0.9 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

SAF-Holland SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SAF-Holland SE
  • Ticker: SFQ
  • Exchange: DB
  • Founded: 1881
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: €542.008m
  • Shares outstanding: 45.39m
  • Website: https://www.safholland.com

Number of Employees


Location

  • SAF-Holland SE
  • Hauptstrasse 26
  • Bessenbach
  • Aschaffenburg
  • Bavaria
  • 63856
  • Germany

Listings


Biography

SAF-Holland SE manufactures and supplies chassis-related systems and components for trucks, trailers, semi-trailers, and buses. It offers axle and suspension systems, fifth wheels, coupling systems, kingpi...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/24 22:21
End of Day Share Price2021/06/24 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.