DB:SKB

Stock Analysis Report

Executive Summary

Koenig & Bauer AG develops, produces, distributes, and services printing systems and peripherals worldwide.

Snowflake

Fundamentals

Undervalued with adequate balance sheet.


Similar Companies

Share Price & News

How has Koenig & Bauer's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.9%

SKB

0.9%

DE Machinery

2.4%

DE Market


1 Year Return

-27.6%

SKB

-16.7%

DE Machinery

2.3%

DE Market

Return vs Industry: SKB underperformed the German Machinery industry which returned -16.7% over the past year.

Return vs Market: SKB underperformed the German Market which returned 2.3% over the past year.


Shareholder returns

SKBIndustryMarket
7 Day4.9%0.9%2.4%
30 Day-2.2%-6.2%-0.2%
90 Day-5.6%-7.6%0.6%
1 Year-25.6%-27.6%-14.0%-16.7%5.5%2.3%
3 Year-12.5%-16.5%-19.3%-25.1%18.9%8.6%
5 Year285.8%267.8%21.6%7.2%44.8%25.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Koenig & Bauer undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: SKB (€35.32) is trading below our estimate of fair value (€83.65)

Significantly Undervalued: SKB is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SKB is good value based on its PE Ratio (10.9x) compared to the Machinery industry average (14.3x).

PE vs Market: SKB is good value based on its PE Ratio (10.9x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: SKB is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: SKB is overvalued based on its PB Ratio (1.4x) compared to the DE Machinery industry average (1.3x).


Next Steps

Future Growth

How is Koenig & Bauer forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

18.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SKB's forecast earnings growth (18% per year) is above the savings rate (0.2%).

Earnings vs Market: SKB's earnings (18% per year) are forecast to grow faster than the German market (12.6% per year).

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

Revenue vs Market: SKB's revenue (3.6% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: SKB's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: SKB's Return on Equity is forecast to be low in 3 years time (14.1%).


Next Steps

Past Performance

How has Koenig & Bauer performed over the past 5 years?

51.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SKB has become profitable over the past 5 years, growing earnings by 51.2% per year.

Accelerating Growth: SKB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SKB had negative earnings growth (-24.1%) over the past year, making it difficult to compare to the Machinery industry average (-9.7%).


Return on Equity

High ROE: SKB's Return on Equity (13%) is considered low.


Return on Assets

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


Return on Capital Employed

ROCE Improving: SKB has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Koenig & Bauer's financial position?


Financial Position Analysis

Short Term Liabilities: SKB's short term assets (€799.2M) exceeds its short term liabilities (€589.4M)

Long Term Liabilities: SKB's short term assets (799.2M) exceeds its long term liabilities (235.2M)


Debt to Equity History and Analysis

Debt Level: SKB's debt to equity ratio (36.1%) is considered satisfactory

Reducing Debt: SKB's debt to equity ratio has increased from 4.5% to 36.1% over the past 5 years.

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

Interest Coverage: SKB's interest payments on its debt are well covered by EBIT (36.1x coverage).


Balance Sheet

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

Debt Coverage by Assets: SKB's debt is covered by short term assets (assets are 5.257890x debt).


Next Steps

Dividend

What is Koenig & Bauer's current dividend yield, its reliability and sustainability?

2.78%

Current Dividend Yield


Dividend Yield vs Market

company2.8%marketbottom25%1.4%markettop25%3.9%industryaverage2.4%forecastin3Years3.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SKB's dividend (2.78%) is higher than the bottom 25% of dividend payers in the German market (1.43%).

High Dividend: SKB's dividend (2.78%) is low compared to the top 25% of dividend payers in the German market (3.86%).

Stable Dividend: SKB has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SKB's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (30.2%), SKB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SKB's dividends in 3 years are forecast to be well covered by earnings (26% payout ratio).


Next Steps

Management

What is the CEO of Koenig & Bauer's salary, the management and board of directors tenure and is there insider trading?

2.3yrs

Average management tenure


CEO

Claus Bolza-Schünemann (63yo)

8yrs

Tenure

€1,531,651

Compensation

Mr. Claus Bolza-Schünemann has been the Chief Executive Officer at Koenig & Bauer AG since October 31, 2011 and serves as its President of Management Board and served as its Head of Human Resources, Legal  ...


CEO Compensation Analysis

Compensation vs. Market: Claus's total compensation ($USD1.69M) is above average for companies of similar size in the German market ($USD1.16M).

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


Management Age and Tenure

2.3yrs

Average Tenure

58yo

Average Age

Experienced Management: SKB's management team is considered experienced (2.3 years average tenure).


Board Age and Tenure

4.4yrs

Average Tenure

55yo

Average Age

Experienced Board: SKB's board of directors are considered experienced (4.4 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

  • Ralf Sammeck (57yo)

    Executive VP of Sheetfed Segment & Member of Management Board

    • Tenure: 2.3yrs
    • Compensation: €1.39m
  • Claus Bolza-Schünemann (63yo)

    President of Management Board & CEO

    • Tenure: 8yrs
    • Compensation: €1.53m
  • Christoph Müller (58yo)

    Executive VP of Digital & Webfed Segment and Member of Management Board

    • Tenure: 2.3yrs
    • Compensation: €1.17m
  • Mathias Dahn (52yo)

    CFO & Member of Management Board

    • Tenure: 5.3yrs
    • Compensation: €1.46m
  • Andreas Plebke (58yo)

    Director for Special Segment & Member of Management Board

    • Tenure: 0.8yrs
    • Compensation: €1.38m
  • Christopher Kessler

    General Counsel & Member of Supervisory Board

    • Tenure: 3.4yrs
    • Compensation: €34.25k

Board Members

  • Raimund Klinkner (54yo)

    Chairman of Supervisory Board

    • Tenure: 0.4yrs
    • Compensation: €2.33k
  • Gottfried Weippert (59yo)

    Deputy Chairman of Supervisory Board

    • Tenure: 0yrs
    • Compensation: €49.25k
  • Walther Mann (67yo)

    Member of Supervisory Board

    • Tenure: 13.3yrs
    • Compensation: €34.25k
  • Matthias Hatschek (55yo)

    Member of the Supervisory Board

    • Tenure: 13.3yrs
    • Compensation: €34.25k
  • Dagmar Rehm (56yo)

    Deputy Chairman of Supervisory Board

    • Tenure: 4.4yrs
    • Compensation: €52.25k
  • Julia Cuntz

    Member of Supervisory Board

    • Tenure: 3.4yrs
    • Compensation: €29.00k
  • Marc Dotterweich (46yo)

    Member of Supervisory Board

    • Tenure: 4.8yrs
    • Compensation: €35.25k
  • Gisela Lanza (46yo)

    Independent Member of Supervisory Board

    • Tenure: 4.4yrs
    • Compensation: €36.75k
  • Carsten Dentler

    Member of Supervisory Board

    • Tenure: 2.6yrs
    • Compensation: €34.25k
  • Christopher Kessler

    General Counsel & Member of Supervisory Board

    • Tenure: 3.4yrs
    • Compensation: €34.25k

Company Information

Koenig & Bauer AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Koenig & Bauer AG
  • Ticker: SKB
  • Exchange: DB
  • Founded: 1817
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: €595.223m
  • Shares outstanding: 16.52m
  • Website: https://www.kba.com

Number of Employees


Location

  • Koenig & Bauer AG
  • Postfach 60 60
  • Würzburg
  • Bavaria
  • 97010
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SKBDB (Deutsche Boerse AG)YesBearer SharesDEEURJan 1992
SKBXTRA (XETRA Trading Platform)YesBearer SharesDEEURJan 1992
0G15LSE (London Stock Exchange)YesBearer SharesGBEURJan 1992
SKBDBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURJan 1992
SKBSWX (SIX Swiss Exchange)YesBearer SharesCHCHFJan 1992
SKBWBAG (Wiener Boerse AG)YesBearer SharesATEURJan 1992

Biography

Koenig & Bauer AG develops, produces, distributes, and services printing systems and peripherals worldwide. It operates through three segments: Sheetfed, Digital & Web, and Special. The Sheetfed segment of ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:37
End of Day Share Price2019/10/14 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.