DB:10H

Stock Analysis Report

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Executive Summary

Scandic Hotels Group AB (publ), together with its subsidiaries, operates and franchises hotels in Sweden, Norway, Finland, Denmark, Germany, Poland, and other European Countries.


Snowflake Analysis

Reasonable growth potential and slightly overvalued.

Share Price & News

How has Scandic Hotels Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 10H's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.6%

10H

-3.0%

DE Hospitality

0.05%

DE Market


1 Year Return

-59.6%

10H

-38.5%

DE Hospitality

3.4%

DE Market

Return vs Industry: 10H underperformed the German Hospitality industry which returned -34.4% over the past year.

Return vs Market: 10H underperformed the German Market which returned 4.5% over the past year.


Shareholder returns

10HIndustryMarket
7 Day-2.6%-3.0%0.05%
30 Day-15.7%-11.5%5.5%
90 Day-14.9%13.3%19.9%
1 Year-42.0%-59.6%-35.9%-38.5%5.7%3.4%
3 Year-58.6%-73.0%-51.0%-57.7%3.4%-4.7%
5 Yearn/a-52.1%-62.2%10.4%-4.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Scandic Hotels Group undervalued compared to its fair value and its price relative to the market?

14.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 10H (€3.08) is trading below our estimate of fair value (€3.61)

Significantly Below Fair Value: 10H is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 10H is unprofitable, so we can't compare its PE Ratio to the DE Hospitality industry average.

PE vs Market: 10H is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 10H's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 10H is good value based on its PB Ratio (1.3x) compared to the DE Hospitality industry average (2x).


Next Steps

Future Growth

How is Scandic Hotels Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

89.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 10H is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: 10H is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 10H's is expected to become profitable in the next 3 years.

Revenue vs Market: 10H's revenue (13.5% per year) is forecast to grow faster than the German market (5.9% per year).

High Growth Revenue: 10H's revenue (13.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 10H is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Scandic Hotels Group performed over the past 5 years?

-14.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 10H is currently unprofitable.

Growing Profit Margin: 10H is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 10H is unprofitable, and losses have increased over the past 5 years at a rate of -14.4% per year.

Accelerating Growth: Unable to compare 10H's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 10H is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-15.6%).


Return on Equity

High ROE: 10H has a negative Return on Equity (-124.62%), as it is currently unprofitable.


Next Steps

Financial Health

How is Scandic Hotels Group's financial position?


Financial Position Analysis

Short Term Liabilities: 10H's short term assets (SEK1.5B) do not cover its short term liabilities (SEK6.6B).

Long Term Liabilities: 10H's short term assets (SEK1.5B) do not cover its long term liabilities (SEK31.7B).


Debt to Equity History and Analysis

Debt Level: 10H's debt to equity ratio (164.3%) is considered high.

Reducing Debt: 10H's debt to equity ratio has reduced from 184.7% to 164.3% over the past 5 years.

Debt Coverage: 10H's debt is well covered by operating cash flow (115.8%).

Interest Coverage: 10H is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Scandic Hotels Group current dividend yield, its reliability and sustainability?

5.02%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 10H's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 10H's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 10H's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 10H's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 10H is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 10H's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Jens Mathiesen (51yo)

1.5yrs

Tenure

kr10,946,082

Compensation

Mr. Jens Mathiesen is President, Chief Executive Officer of Scandic Hotels Group AB (publ) since January 17, 2019. Mr. Mathiesen was Managing Director of Denmark at Scandic Hotels Group AB since 2008. He s ...


CEO Compensation Analysis

Compensation vs Market: Jens's total compensation ($USD1.20M) is about average for companies of similar size in the German market ($USD1.30M).

Compensation vs Earnings: Insufficient data to compare Jens's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Jens Mathiesen
President & CEO1.5yrskr10.95m0.058% SEK339.5k
Jan Johansson
Chief Financial Officer3.83yrsno data0.013% SEK74.6k
Henrik Vikström
Director of Investor Relationsno datano datano data
Elin Westin
Director of Communications3.83yrsno datano data
Maria Andersson
Director of e-Commerce & Marketing3.92yrsno datano data
Peter Jangbratt
Head of Swedenno datano data0.014% SEK81.7k
Aki Käyhkö
Head of Finlandno datano data0.012% SEK72.8k
Michel Schutzbach
Head of Europeno datano data0.0087% SEK50.7k
Svein Steen-Mevold
Chief Portfolio Officerno datano data0.018% SEK102.8k
Jan Lundborg
Chief Commercial Optimization Officer2.08yrsno data0.0059% SEK34.8k
Niklas Angergård
Chief Customer Officer1.75yrsno data0.0014% SEK8.3k
Søren Faerber
Head of Denmark1.5yrsno data0.0053% SEK31.0k

2.1yrs

Average Tenure

53yo

Average Age

Experienced Management: 10H's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Martin Svalstedt
Independent Director3.17yrskr436.67k0.044% SEK259.9k
Ingalill Berglund
Independent Director4.17yrskr496.67k0.0026% SEK15.3k
Fredrik Wirdenius
Independent Director5yrskr396.67k0.0016% SEK9.6k
Per Braathen
Independent Chairman of the Board2.25yrskr850.00k0.40% SEK2.4m
Grant Hearn
Independent Director6.5yrskr463.33k0.0016% SEK9.2k
Daniel Håkansson
Deputy Director5.5yrsno datano data
Marianne Sundelius
Employee Representative Director3.17yrskr40.00kno data
Kristina Patek
Director0.33yrno datano data

3.7yrs

Average Tenure

56.5yo

Average Age

Experienced Board: 10H's board of directors are considered experienced (3.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 10H insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 85.7%.


Top Shareholders

Company Information

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


Key Information

  • Name: Scandic Hotels Group AB (publ)
  • Ticker: 10H
  • Exchange: DB
  • Founded: 1963
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: kr6.078b
  • Listing Market Cap: kr585.319m
  • Shares outstanding: 191.26m
  • Website: https://www.scandichotelsgroup.com

Number of Employees


Location

  • Scandic Hotels Group AB (publ)
  • Sveavägen 167
  • Stockholm
  • Stockholm County
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SHOTOM (OMX Nordic Exchange Stockholm)YesClass B Ordinary SharesSESEKDec 2015
10HDB (Deutsche Boerse AG)YesClass B Ordinary SharesDEEURDec 2015
SHOTSBATS-CHIXE (BATS 'Chi-X Europe')YesClass B Ordinary SharesGBSEKDec 2015
0RD7LSE (London Stock Exchange)YesClass B Ordinary SharesGBSEKDec 2015

Biography

Scandic Hotels Group AB (publ), together with its subsidiaries, operates and franchises hotels in Sweden, Norway, Finland, Denmark, Germany, Poland, and other European Countries. The company operates hotels under the Scandic, Hilton, Holiday Inn, Crown Plaza, and Indigo brands. As June 10, 2020, it operated approximately 280 hotels. The company was founded in 1963 and is headquartered in Stockholm, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/14 21:43
End of Day Share Price2020/07/14 00:00
Earnings2020/03/31
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.