DB:FPH

Stock Analysis Report

Francotyp-Postalia Holding

Executive Summary

Francotyp-Postalia Holding AG provides multi-channel for mail communication.


Snowflake Analysis

High growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has Francotyp-Postalia Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

8.3%

FPH

1.0%

DE Commercial Services

7.2%

DE Market


1 Year Return

-4.9%

FPH

-32.2%

DE Commercial Services

-17.5%

DE Market

Return vs Industry: FPH exceeded the German Commercial Services industry which returned -28.9% over the past year.

Return vs Market: FPH exceeded the German Market which returned -14.1% over the past year.


Shareholder returns

FPHIndustryMarket
7 Day8.3%1.0%7.2%
30 Day-23.2%-25.8%-22.3%
90 Day-8.5%-34.2%-26.1%
1 Year-4.0%-4.9%-29.7%-32.2%-14.9%-17.5%
3 Year-36.0%-40.3%-27.9%-34.2%-18.7%-25.7%
5 Year-15.9%-26.6%-35.8%-44.8%-17.8%-29.1%

Price Volatility Vs. Market

How volatile is Francotyp-Postalia Holding's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Francotyp-Postalia Holding 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: FPH (€3.12) is trading below our estimate of fair value (€13.35)

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


Price To Earnings Ratio

PE vs Industry: FPH is poor value based on its PE Ratio (188.2x) compared to the Commercial Services industry average (91.6x).

PE vs Market: FPH is poor value based on its PE Ratio (188.2x) compared to the German market (16.6x).


Price to Earnings Growth Ratio

PEG Ratio: FPH is poor value based on its PEG Ratio (4.8x)


Price to Book Ratio

PB vs Industry: FPH is good value based on its PB Ratio (1.3x) compared to the DE Commercial Services industry average (2.8x).


Next Steps

Future Growth

How is Francotyp-Postalia Holding forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

39.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FPH's forecast earnings growth (39% per year) is above the savings rate (-0.4%).

Earnings vs Market: FPH's earnings (39% per year) are forecast to grow faster than the German market (14.7% per year).

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

Revenue vs Market: FPH's revenue (5% per year) is forecast to grow faster than the German market (4% per year).

High Growth Revenue: FPH's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FPH's Return on Equity is forecast to be high in 3 years time (25.7%)


Next Steps

Past Performance

How has Francotyp-Postalia Holding performed over the past 5 years?

-23.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FPH has a large one-off loss of €7.0M impacting its September 30 2019 financial results.

Growing Profit Margin: FPH's current net profit margins (0.1%) are lower than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: FPH's earnings have declined by -23.6% per year over the past 5 years.

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

Earnings vs Industry: FPH had negative earnings growth (-94.4%) over the past year, making it difficult to compare to the Commercial Services industry average (10.9%).


Return on Equity

High ROE: FPH's Return on Equity (0.7%) is considered low.


Next Steps

Financial Health

How is Francotyp-Postalia Holding's financial position?


Financial Position Analysis

Short Term Liabilities: FPH's short term assets (€81.7M) do not cover its short term liabilities (€85.5M).

Long Term Liabilities: FPH's short term assets (€81.7M) exceed its long term liabilities (€64.5M).


Debt to Equity History and Analysis

Debt Level: FPH's debt to equity ratio (103%) is considered high.

Reducing Debt: FPH's debt to equity ratio has reduced from 125.8% to 103% over the past 5 years.

Debt Coverage: FPH's debt is well covered by operating cash flow (74.7%).

Interest Coverage: FPH earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: FPH's debt is covered by short term assets (assets are 2.2x debt).


Next Steps

Dividend

What is Francotyp-Postalia Holding's current dividend yield, its reliability and sustainability?

1.01%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FPH's dividend (1.01%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.66%).

High Dividend: FPH's dividend (1.01%) is low compared to the top 25% of dividend payers in the German market (4.86%).


Stability and Growth of Payments

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

Growing Dividend: FPH has only been paying a dividend for 6 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (189.5%), FPH's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FPH's dividends in 3 years are forecast to be well covered by earnings (35.4% payout ratio).


Next Steps

Management

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

4.6yrs

Average management tenure


CEO

Rüdiger Günther (61yo)

4.17s

Tenure

€987,000

Compensation

Mr. Rüdiger Andreas Günther has been the Chief Executive Officer, Chief Financial Officer and Executive Chairman of the Management Board at Francotyp Postalia Holding AG since January 11, 2016. Mr. Günther ...


CEO Compensation Analysis

Compensation vs Market: Rüdiger's total compensation ($USD1.09M) is above average for companies of similar size in the German market ($USD429.96K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Rüdiger Günther
Executive Chairman of the Management Board4.17yrs€987.00k0.13% 59.3k
Sven Meise
COO, Chief Digital Officer & Member of Management Board5.08yrs€661.00k0.059% 28.1k
Patricius de Gruyter
Chief Sales Officer & Member of Management Board1.75yrs€526.00k0.031% 14.9k
Maik Laske
Head of Treasuryno datano datano data
Karl Thiel
VP of Corporate Communicationsno datano datano data
Ernst Holzmann
Vice-President of Marketing & Product Managementno datano datano data
Thomas Reinking
Managing Director of FP Hanse in Hamburg13.17yrsno datano data
Matthias Lorenzen
Head of Innovation Projectsno datano datano data

4.6yrs

Average Tenure

53.5yo

Average Age

Experienced Management: FPH's management team is considered experienced (4.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Klaus Röhrig
Chairman of Supervisory Board6.92yrs€45.00k0.82% 387.4k
Botho Oppermann
Member of Supervisory Board6.75yrs€30.00k1.89% 894.0k
Mathias Schindl
Member of Supervisory Board0.33yrno datano data

6.8yrs

Average Tenure

54yo

Average Age

Experienced Board: FPH's board of directors are considered experienced (6.8 years average tenure).


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

Francotyp-Postalia Holding AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Francotyp-Postalia Holding AG
  • Ticker: FPH
  • Exchange: DB
  • Founded: 1923
  • Industry: Office Services and Supplies
  • Sector: Commercial Services
  • Market Cap: €47.391m
  • Shares outstanding: 15.90m
  • Website: https://www.fp-francotyp.com

Number of Employees


Location

  • Francotyp-Postalia Holding AG
  • Prenzlauer Promenade 28
  • Berlin
  • 13089
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FPHDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2006
FPHXTRA (XETRA Trading Platform)YesCommon StockDEEURNov 2006
0NACLSE (London Stock Exchange)YesCommon StockGBEURNov 2006
FPHdBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEURNov 2006

Biography

Francotyp-Postalia Holding AG provides multi-channel for mail communication. It operates through four segments: Production, Sales Germany, International Sales, and Central Functions. The company develops and manufactures franking systems; sells and rents franking and inserting systems; and offers extensive services. It also sells consumables, such as tapes or ink cartridges; and provides software solutions for cost centre management, as well as teleporto services. In addition, the company engages in collecting post and sorting them by postcode, and delivering them in batches to a regional office of Deutsche Post or an alternative postal distributor. Further, it provides hybrid mail services and solutions for digital communication; solutions for incoming mail processing; and digital communication services comprising products for long-term storage and protection of electronic documents using encryption and signature software, such as FP Sign, a cloud-based solution for the legally binding digital signing and exchange of contracts and documents. Francotyp-Postalia Holding AG has a strategic partnership with Heinz Lackmann GmbH & Co. KG to offer energy supply companies with the remote monitoring of energy systems. The company was founded in 1923 and is headquartered in Berlin, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/27 21:38
End of Day Share Price2020/03/27 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.