XTRA:8TRA

Stock Analysis Report

Executive Summary

Traton SE manufactures commercial vehicles worldwide.


Snowflake Analysis

Very undervalued with acceptable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 8TRA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-4.1%

8TRA

-2.1%

DE Machinery

-0.9%

DE Market


1 Year Return

n/a

8TRA

-11.0%

DE Machinery

12.8%

DE Market

Return vs Industry: Insufficient data to determine how 8TRA performed against the German Machinery industry.

Return vs Market: Insufficient data to determine how 8TRA performed against the German Market.


Shareholder returns

8TRAIndustryMarket
7 Day-4.1%-2.1%-0.9%
30 Day-5.8%-2.9%0.6%
90 Day-12.6%-2.4%2.9%
1 Yearn/a-8.2%-11.0%16.3%12.8%
3 Yearn/a-17.9%-23.8%15.8%5.7%
5 Yearn/a-2.2%-13.2%19.7%3.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 8TRA (€21.86) is trading below our estimate of fair value (€46.41)

Significantly Below Fair Value: 8TRA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 8TRA is good value based on its PE Ratio (0.2x) compared to the Machinery industry average (15.8x).

PE vs Market: 8TRA is good value based on its PE Ratio (0.2x) compared to the German market (20.8x).


Price to Earnings Growth Ratio

PEG Ratio: 8TRA is good value based on its PEG Ratio (0x)


Price to Book Ratio

PB vs Industry: 8TRA is good value based on its PB Ratio (0.8x) compared to the DE Machinery industry average (1.5x).


Next Steps

Future Growth

How is Traton forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

5.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 8TRA's forecast earnings growth (5.5% per year) is above the savings rate (-0.4%).

Earnings vs Market: 8TRA's earnings (5.5% per year) are forecast to grow slower than the German market (13% per year).

High Growth Earnings: 8TRA's earnings are forecast to grow, but not significantly.

Revenue vs Market: 8TRA's revenue (0.8% per year) is forecast to grow slower than the German market (5.2% per year).

High Growth Revenue: 8TRA's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 8TRA's Return on Equity is forecast to be low in 3 years time (7.7%).


Next Steps

Past Performance

How has Traton performed over the past 5 years?

32.1%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: 8TRA has high quality earnings.

Growing Profit Margin: 8TRA's current net profit margins (5.2%) are higher than last year (4.2%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if 8TRA's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare 8TRA's past year earnings growth to its 5-year average.

Earnings vs Industry: 8TRA earnings growth over the past year (32.1%) exceeded the Machinery industry -14.4%.


Return on Equity

High ROE: 8TRA's Return on Equity (10.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Traton's financial position?


Financial Position Analysis

Short Term Liabilities: 8TRA's short term assets (€17.2B) exceed its short term liabilities (€16.8B).

Long Term Liabilities: 8TRA's short term assets (€17.2B) exceed its long term liabilities (€14.4B).


Debt to Equity History and Analysis

Debt Level: 8TRA's debt to equity ratio (84.2%) is considered high.

Reducing Debt: Insufficient data to determine if 8TRA's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 8TRA's debt is not well covered by operating cash flow (8.4%).

Interest Coverage: 8TRA's interest payments on its debt are well covered by EBIT (11.7x coverage).


Balance Sheet

Inventory Level: 8TRA has a high level of physical assets or inventory.

Debt Coverage by Assets: 8TRA's debt is covered by short term assets (assets are 1.5x debt).


Next Steps

Dividend

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

4.58%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 8TRA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 8TRA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 8TRA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 8TRA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 8TRA'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?

1.1yrs

Average board tenure


CEO

Andreas Hermann Renschler (61yo)

Mr. Andreas Hermann Renschler is Chief Executive Officer at Traton SE. He has been Member of Supervisory Board at Porsche Cars North America, Inc. since May 22, 2018. In February 2015, he joined Volkswagen ...


Board Members

NamePositionTenureCompensationOwnership
Hans Pötsch
Chairman of the Supervisory Board1.1yrsno datano data
Albert Kirchmann
Member of the Supervisory Board1.1yrsno datano data
Manfred Döss
Member of the Supervisory Board1.1yrsno datano data
Nina MacPherson
Member of the Supervisory Board1.1yrsno datano data
Hiltrud Werner
Member of the Supervisory Board1.1yrsno datano data
Christian Porsche
Member of the Supervisory Board1.1yrsno datano data
Julia Kuhn-Piëch
Member of the Supervisory Board1.1yrsno datano data
Athanasios Stimoniaris
Deputy Chairman of the Supervisory Board1.1yrsno datano data
Gunnar Kilian
Member of the Supervisory Board1.1yrsno datano data
Wolf-Michael Schmid
Member of the Supervisory Board1.1yrsno datano data

1.1yrs

Average Tenure

57yo

Average Age

Experienced Board: 8TRA's board of directors are not considered experienced ( 1.1 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: 8TRA only recently listed within the past 12 months, with total shares outstanding growing by 2.6% in the past year..


Top Shareholders

Company Information

Traton SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Traton SE
  • Ticker: 8TRA
  • Exchange: XTRA
  • Founded:
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: €10.928b
  • Shares outstanding: 500.00m
  • Website: https://www.traton.com

Number of Employees


Location

  • Traton SE
  • Dachauer Str 641
  • Munich
  • Bavaria
  • 80995
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
8TRADB (Deutsche Boerse AG)YesOrdinary Bearer SharesDEEURJun 2019
8TRAOM (OMX Nordic Exchange Stockholm)YesOrdinary Bearer SharesSESEKJun 2019
8TRAWBAG (Wiener Boerse AG)YesOrdinary Bearer SharesATEURJun 2019
8TRAXTRA (XETRA Trading Platform)YesOrdinary Bearer SharesDEEURJun 2019

Biography

Traton SE manufactures commercial vehicles worldwide. The company operates through Industrial Business and Financial Services segments. It offers light-duty commercial vehicles, trucks, and buses, as well as related parts and services; and digital services and solutions for the transport industry. The company offers its products and services under the MAN, Scania, Volkswagen Caminhões e Ônibus, and RIO brands. It also offers a range of financial solutions, including loan financing, lease contracts, and insurance solutions. The company is based in Munich, Germany. Traton SE a subsidiary of Volkswagen AG. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 00:11
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
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.