DB:7M1

Stock Analysis Report

Executive Summary

MIPS AB (publ) manufactures and sells helmets in Sweden, North America, rest of Europe, Asia, and Australia.

Snowflake

Fundamentals

Outstanding track record with exceptional growth potential.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.6%

7M1

-1.3%

DE Leisure

1.7%

DE Market


1 Year Return

n/a

7M1

9.5%

DE Leisure

7.2%

DE Market

Return vs Industry: Insufficient data to determine how 7M1 performed against the German Leisure industry.

Return vs Market: Insufficient data to determine how 7M1 performed against the German Market.


Shareholder returns

7M1IndustryMarket
7 Day-2.6%-1.3%1.7%
30 Day-11.9%-3.3%2.4%
90 Day-15.2%-6.2%2.3%
1 Yearn/a12.8%9.5%10.6%7.2%
3 Yearn/a66.7%51.4%18.4%8.1%
5 Yearn/a64.7%44.6%42.3%22.9%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

6.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 7M1 (€13.72) is trading below our estimate of fair value (€14.7)

Significantly Below Fair Value: 7M1 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 7M1 is poor value based on its PE Ratio (49x) compared to the Leisure industry average (17.7x).

PE vs Market: 7M1 is poor value based on its PE Ratio (49x) compared to the German market (19x).


Price to Earnings Growth Ratio

PEG Ratio: 7M1 is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: 7M1 is overvalued based on its PB Ratio (15x) compared to the XE Leisure industry average (1.8x).


Next Steps

Future Growth

How is MIPS forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

38.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 7M1's forecast earnings growth (38% per year) is above the savings rate (0.2%).

Earnings vs Market: 7M1's earnings (38% per year) are forecast to grow faster than the German market (12.7% per year).

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

Revenue vs Market: 7M1's revenue (25% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: 7M1's revenue (25% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 7M1's Return on Equity is forecast to be very high in 3 years time (44.4%).


Next Steps

Past Performance

How has MIPS performed over the past 5 years?

54.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 7M1's earnings have grown significantly by 54% per year over the past 5 years.

Accelerating Growth: 7M1's earnings growth over the past year (154.6%) exceeds its 5-year average (54% per year).

Earnings vs Industry: 7M1 earnings growth over the past year (154.6%) exceeded the Leisure industry 6.6%.


Return on Equity

High ROE: 7M1's Return on Equity (30.5%) is considered high.


Return on Assets

ROA vs Industry: 7M1 has a higher Return on Assets than the Leisure industry average last year.


Return on Capital Employed

ROCE Improving: 7M1 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is MIPS's financial position?


Financial Position Analysis

Short Term Liabilities: 7M1's short term assets (SEK239.9M) exceeds its short term liabilities (SEK50.4M)

Long Term Liabilities: 7M1's short term assets (239.9M) exceeds its long term liabilities (16.2M)


Debt to Equity History and Analysis

Debt Level: 7M1 is debt free.

Reducing Debt: 7M1 had no debt 5 years ago.

Debt Coverage: 7M1 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 7M1 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 7M1 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 7M1's debt is covered by short term assets.


Next Steps

Dividend

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

1.69%

Current Dividend Yield


Dividend Yield vs Market

company1.7%marketbottom25%1.5%markettop25%3.8%industryaverage3.0%forecastin3Years2.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 7M1's dividend (1.69%) is higher than the bottom 25% of dividend payers in the German market (1.48%).

High Dividend: 7M1's dividend (1.69%) is low compared to the top 25% of dividend payers in the German market (3.83%).

Stable Dividend: Too early to tell whether 7M1's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if 7M1's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (82.8%), 7M1's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 7M1's dividends in 3 years are forecast to be covered by earnings (53.8% payout ratio).


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Max Strandwitz (44yo)

0.4yrs

Tenure

0

Mr. Max Strandwitz has been Chief Financial Officer of MIPS AB (publ) since 2016 and Chief Executive Officer since May 10, 2019 and also serves as its President. Mr. Strandwitz served as Chief Financial Of ...


Management Age and Tenure

2.0yrs

Average Tenure

45yo

Average Age

Experienced Management: 7M1's management team is considered experienced (2 years average tenure).


Board Age and Tenure

3.8yrs

Average Tenure

53yo

Average Age

Experienced Board: 7M1's board of directors are considered experienced (3.8 years average tenure).


Insider Trading

Insider Buying: 7M1 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sellkr142,26023 Aug 19
Pär Arvidsson
EntityIndividual
Role
Member of the Board of Directors
Director
Shares9,129
Max Pricekr15.58
Sellkr169,70722 Aug 19
Pär Arvidsson
EntityIndividual
Role
Member of the Board of Directors
Director
Shares10,871
Max Pricekr15.64
Sellkr66,29921 Aug 19
Pär Arvidsson
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,275
Max Pricekr15.51
Sellkr34,97805 Aug 19
Pär Arvidsson
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,098
Max Pricekr16.67

Ownership Breakdown


Management Team

  • Boel Sundvall (60yo)

    Head of Investor Relations

    • Tenure: 3.8yrs
  • Peter Halldin (51yo)

    Chief Science Officer

    • Tenure: 11.8yrs
  • Max Strandwitz (44yo)

    President

    • Tenure: 0.4yrs
  • Johan Thiel (55yo)

    • Tenure: 0.4yrs
    • Compensation: kr3.04m
  • Shuyi Isaksson (41yo)

    Head of Operations

    • Tenure: 3.8yrs
  • Josefin Ytterborn (36yo)

    Head of Marketing

    • Tenure: 2.3yrs
  • Johan Sauer (41yo)

    Head of Sales

    • Tenure: 1.8yrs
  • Marcus Seyffarth (46yo)

    Head of Product Development

    • Tenure: 0.8yrs

Board Members

  • Pär Arvidsson (59yo)

    Director

    • Tenure: 3.8yrs
    • Compensation: kr227.00k
  • Jenny Rosberg (53yo)

    Director

    • Tenure: 0yrs
    • Compensation: kr130.00k
  • Magnus Welander (53yo)

    Chairman of the Board

    • Tenure: 0.4yrs
    • Compensation: kr197.00k
  • Pernilla Wiberg (49yo)

    Director

    • Tenure: 3.8yrs
    • Compensation: kr167.00k
  • Jonas Rahmn (52yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: kr178.00k

Company Information

MIPS AB (publ)'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: MIPS AB (publ)
  • Ticker: 7M1
  • Exchange: DB
  • Founded: 2001
  • Industry: Leisure Products
  • Sector: Consumer Durables
  • Market Cap: kr4.481b
  • Listing Market Cap: kr417.630m
  • Shares outstanding: 30.27m
  • Website: https://www.mipscorp.com

Number of Employees


Location

  • MIPS AB (publ)
  • Källtorpsvägen 2
  • Täby
  • Stockholm County
  • 183 71
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
0RNQLSE (London Stock Exchange)YesOrdinary SharesGBSEKMar 2017
MIPSOM (OMX Nordic Exchange Stockholm)YesOrdinary SharesSESEKMar 2017
MPZA.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMar 2017
7M1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2017
MIPSSBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBSEKMar 2017

Biography

MIPS AB (publ) manufactures and sells helmets in Sweden, North America, rest of Europe, Asia, and Australia. It offers MIPS brain protection system for helmet solutions in the consumer market, bicycle, ski ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 22:07
End of Day Share Price2019/10/22 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.