DB:FM3

Stock Analysis Report

Executive Summary

Fiera Milano SpA, together with its subsidiaries, operates in the exhibition and congress industry in Italy and internationally.


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FM3's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-7.5%

FM3

-7.6%

DE Commercial Services

-5.7%

DE Market


1 Year Return

-2.7%

FM3

-11.1%

DE Commercial Services

6.1%

DE Market

Return vs Industry: FM3 exceeded the German Commercial Services industry which returned -11.1% over the past year.

Return vs Market: FM3 underperformed the German Market which returned 6.1% over the past year.


Shareholder returns

FM3IndustryMarket
7 Day-7.5%-7.6%-5.7%
30 Day-29.3%-9.3%-5.7%
90 Day-9.5%-5.5%-3.6%
1 Year0.06%-2.7%-7.9%-11.1%9.3%6.1%
3 Year243.0%233.6%3.5%-5.5%8.9%-0.7%
5 Year-19.4%-36.0%-4.5%-17.9%13.6%-2.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Fiera Milano 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: FM3 (€4.51) is trading below our estimate of fair value (€9.52)

Significantly Below Fair Value: FM3 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: FM3 is poor value based on its PE Ratio (38.5x) compared to the Commercial Services industry average (31.6x).

PE vs Market: FM3 is poor value based on its PE Ratio (38.5x) compared to the German market (20.2x).


Price to Earnings Growth Ratio

PEG Ratio: FM3 is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: FM3 is overvalued based on its PB Ratio (3.3x) compared to the DE Commercial Services industry average (3.1x).


Next Steps

Future Growth

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

38.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FM3's forecast earnings growth (38.1% per year) is above the savings rate (-0.4%).

Earnings vs Market: FM3's earnings (38.1% per year) are forecast to grow faster than the German market (13% per year).

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

Revenue vs Market: FM3's revenue (0.6% per year) is forecast to grow slower than the German market (5.1% per year).

High Growth Revenue: FM3's revenue (0.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FM3's Return on Equity is forecast to be high in 3 years time (33.2%)


Next Steps

Past Performance

How has Fiera Milano performed over the past 5 years?

36.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FM3 has a large one-off loss of €3.1M impacting its September 30 2019 financial results.

Growing Profit Margin: FM3's current net profit margins (1%) are lower than last year (16.1%).


Past Earnings Growth Analysis

Earnings Trend: FM3 has become profitable over the past 5 years, growing earnings by 36.7% per year.

Accelerating Growth: FM3's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: FM3 had negative earnings growth (-94.7%) over the past year, making it difficult to compare to the Commercial Services industry average (10.8%).


Return on Equity

High ROE: FM3's Return on Equity (2.5%) is considered low.


Next Steps

Financial Health

How is Fiera Milano's financial position?


Financial Position Analysis

Short Term Liabilities: FM3's short term assets (€97.8M) do not cover its short term liabilities (€170.5M).

Long Term Liabilities: FM3's short term assets (€97.8M) do not cover its long term liabilities (€464.4M).


Debt to Equity History and Analysis

Debt Level: FM3's debt to equity ratio (0.1%) is considered satisfactory.

Reducing Debt: FM3's debt to equity ratio has reduced from 497.9% to 0.1% over the past 5 years.


Balance Sheet

Inventory Level: FM3 has a high level of physical assets or inventory.

Debt Coverage by Assets: FM3's debt is covered by short term assets (assets are 913.8x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: FM3 is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: FM3 is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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

2.89%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FM3's dividend (2.89%) is higher than the bottom 25% of dividend payers in the German market (1.43%).

High Dividend: FM3's dividend (2.89%) is low compared to the top 25% of dividend payers in the German market (3.8%).


Stability and Growth of Payments

Stable Dividend: FM3's dividend payments have been volatile in the past 10 years.

Growing Dividend: FM3's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (111%), FM3's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FM3's dividends in 3 years are forecast to be well covered by earnings (35% payout ratio).


Next Steps

Management

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

2.8yrs

Average board tenure


CEO

Fabrizio Curci (47yo)

2.4yrs

Tenure

Mr. Fabrizio Curci has been Executive Directora at Fiera Milano SpA since 1 September 2017. Mr. Curci has been Chief Executive Officer and General Manager of Fiera Milano S.p.A since 1 September 2017. He g ...


Board Members

NamePositionTenureCompensationOwnership
Fabrizio Curci
CEO, GM & Director2.4yrsno datano data
Lorenzo Caprio
Independent Chairman2.8yrsno datano data
Marina Natale
Non-Executive Director2.8yrsno datano data
Gianpietro Corbari
Independent Non-Executive Director2.8yrsno datano data
Elena Vasco
Independent Non-Executive Director2.8yrsno datano data
Francesca Golfetto
Independent Non-Executive Director2.8yrsno datano data
Alberto Baldan
Independent Non-Executive Director2.8yrsno datano data
Angelo Meregalli
Independent Non-Executive Director2.8yrsno datano data
Stefania Chiaruttini
Independent Non-Executive Director2.8yrsno datano data
Riccardo Bauer
Chairperson of Statutory Auditors1.8yrsno datano data

2.8yrs

Average Tenure

57.5yo

Average Age

Experienced Board: FM3's board of directors are not considered experienced ( 2.8 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

Fiera Milano SpA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fiera Milano SpA
  • Ticker: FM3
  • Exchange: DB
  • Founded: 1920
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: €319.760m
  • Shares outstanding: 70.98m
  • Website: https://www.fieramilano.it

Number of Employees


Location

  • Fiera Milano SpA
  • Strada Statale del Sempione, 28
  • Rho
  • Milan
  • 20017
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FMBIT (Borsa Italiana)YesOrdinary SharesITEURDec 2002
0EGHLSE (London Stock Exchange)YesOrdinary SharesGBEURDec 2002
FM3DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2002
FMMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURDec 2002

Biography

Fiera Milano SpA, together with its subsidiaries, operates in the exhibition and congress industry in Italy and internationally. It operates through Italian Exhibitions Business, Foreign Exhibitions Business, Media, and Congresses segments. The company is involved in organizing and hosting exhibitions and other events; and providing associated services, including end services for exhibitors and visitors. It also produces content; and offers online and offline publishing, conference and event management, destination management, stand-fitting, technical, and other exhibition site services. The company was founded in 1920 and is headquartered in Rho, Italy. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 22:30
End of Day Share Price2020/02/25 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.