DB:UE8

Stock Analysis Report

Tallinna Kaubamaja Grupp

Executive Summary

Tallinna Kaubamaja Grupp AS, together with its subsidiaries, engages in the retail and wholesale trade activities in the Republic of Estonia, Latvia, and Lithuania.


Snowflake Analysis

Good value with acceptable track record.

Share Price & News

How has Tallinna Kaubamaja Grupp's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UE8 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.7%

UE8

3.2%

DE Consumer Retailing

-2.7%

DE Market


1 Year Return

-6.4%

UE8

-9.0%

DE Consumer Retailing

-20.4%

DE Market

Return vs Industry: UE8 underperformed the German Consumer Retailing industry which returned -8.6% over the past year.

Return vs Market: UE8 exceeded the German Market which returned -17.2% over the past year.


Shareholder returns

UE8IndustryMarket
7 Day-0.7%3.2%-2.7%
30 Day-8.7%-3.3%-18.4%
90 Day-6.4%-9.8%-26.7%
1 Year2.8%-6.4%-5.4%-9.0%-18.1%-20.4%
3 Yearn/a-1.8%-11.4%-19.1%-25.9%
5 Yearn/a-6.2%-20.6%-19.5%-30.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Tallinna Kaubamaja Grupp undervalued compared to its fair value and its price relative to the market?

49.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: UE8 (€8.08) is trading below our estimate of fair value (€16.05)

Significantly Below Fair Value: UE8 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: UE8 is good value based on its PE Ratio (10.9x) compared to the Consumer Retailing industry average (17.6x).

PE vs Market: UE8 is good value based on its PE Ratio (10.9x) compared to the German market (16.8x).


Price to Earnings Growth Ratio

PEG Ratio: UE8's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: UE8 is overvalued based on its PB Ratio (1.5x) compared to the XE Consumer Retailing industry average (1.3x).


Next Steps

Future Growth

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

-5.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UE8's earnings are forecast to decline over the next 3 years (-5.5% per year).

Earnings vs Market: UE8's earnings are forecast to decline over the next 3 years (-5.5% per year).

High Growth Earnings: UE8's earnings are forecast to decline over the next 3 years.

Revenue vs Market: UE8's revenue (0.1% per year) is forecast to grow slower than the German market (4.1% per year).

High Growth Revenue: UE8's revenue (0.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UE8's Return on Equity is forecast to be low in 3 years time (12.2%).


Next Steps

Past Performance

How has Tallinna Kaubamaja Grupp performed over the past 5 years?

8.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UE8 has high quality earnings.

Growing Profit Margin: UE8's current net profit margins (4.3%) are lower than last year (4.5%).


Past Earnings Growth Analysis

Earnings Trend: UE8's earnings have grown by 8.3% per year over the past 5 years.

Accelerating Growth: UE8's earnings growth over the past year (2.3%) is below its 5-year average (8.3% per year).

Earnings vs Industry: UE8 earnings growth over the past year (2.3%) exceeded the Consumer Retailing industry 2.2%.


Return on Equity

High ROE: UE8's Return on Equity (13.7%) is considered low.


Next Steps

Financial Health

How is Tallinna Kaubamaja Grupp's financial position?


Financial Position Analysis

Short Term Liabilities: UE8's short term assets (€135.8M) do not cover its short term liabilities (€136.3M).

Long Term Liabilities: UE8's short term assets (€135.8M) do not cover its long term liabilities (€158.2M).


Debt to Equity History and Analysis

Debt Level: UE8's debt to equity ratio (45.5%) is considered high.

Reducing Debt: UE8's debt to equity ratio has reduced from 54.8% to 45.5% over the past 5 years.

Debt Coverage: UE8's debt is well covered by operating cash flow (62.5%).

Interest Coverage: UE8's interest payments on its debt are well covered by EBIT (12.5x coverage).


Balance Sheet

Inventory Level: UE8 has a high level of physical assets or inventory.

Debt Coverage by Assets: UE8's debt is covered by short term assets (assets are 1.3x debt).


Next Steps

Dividend

What is Tallinna Kaubamaja Grupp's current dividend yield, its reliability and sustainability?

8.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: UE8's dividend (8.75%) is higher than the bottom 25% of dividend payers in the German market (1.65%).

High Dividend: UE8's dividend (8.75%) is in the top 25% of dividend payers in the German market (4.87%)


Stability and Growth of Payments

Stable Dividend: UE8's dividend payments have been volatile in the past 10 years.

Growing Dividend: UE8's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (95.5%), UE8's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

€161k

CEO Compensation


CEO

Raul Puusepp

no data

Tenure

€161,000

Compensation

Mr. Raul Puusepp serves as the Chief Executive Officer of Tartu Kaubamaja Kinnisvara OU. Mr. Puusepp serves as the Chairman of Management Board at Tallinna Kaubamaja Grupp AS (formerly Tallinna Kaubamaja A ...


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

Tallinna Kaubamaja Grupp AS's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tallinna Kaubamaja Grupp AS
  • Ticker: UE8
  • Exchange: DB
  • Founded: 1960
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Market Cap: €339.682m
  • Shares outstanding: 40.73m
  • Website: https://www.tkmgroup.ee

Number of Employees


Location

  • Tallinna Kaubamaja Grupp AS
  • Kaubamaja 1
  • Tallinn
  • 10143
  • Estonia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TKM1TTLSE (OMX Nordic Exchange Tallinn)YesOrdinary SharesEEEURJan 1996
0IZALSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1996
UE8DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1996

Biography

Tallinna Kaubamaja Grupp AS, together with its subsidiaries, engages in the retail and wholesale trade activities in the Republic of Estonia, Latvia, and Lithuania. It operates through five segments: Supermarkets, Department Stores, Car Trade, Footwear Trade, and Real Estate. The Supermarkets segment offers food products and convenience goods. This segment operates 53 Selver stores, e-Selver, a mobile store, and a café, as well as Kulinaaria OÜ, a central kitchen. The Department Stores segment sells beauty and fashion products. This segment operates two department stores in Tallinn and Tartu city centre. The Car Trade segment sells cars and spare parts to authorized car dealers. This segment operates three showrooms in Tallinn, two showrooms in Riga, and one in Vilnius. The Footwear Trade segment operates 24 ABC King and SHU shoe stores. The Real Estate segment engages in the development, management, and maintenance of owned real estate properties, as well as rental of commercial premises. Tallinna Kaubamaja Grupp AS also engages in the commercial and finance activities; and security activities. The company was formerly known as Tallinna Kaubamaja AS and changed its name to Tallinna Kaubamaja Grupp AS in April 2015. The company was founded in 1960 and is based in Tallinn, the Republic of Estonia. Tallinna Kaubamaja Grupp AS is a subsidiary of OÜ NG Investeeringud. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/02 00:42
End of Day Share Price2020/04/01 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.