DB:6AA0

Stock Analysis Report

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Executive Summary

AAK AB (publ.) develops and sells vegetable oils and fats in Sweden and internationally.


Snowflake Analysis

Excellent balance sheet with proven track record.


Similar Companies

Share Price & News

How has AAK AB (publ.)'s share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 6AA0 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.0%

6AA0

-2.2%

DE Food

-3.6%

DE Market


1 Year Return

-18.8%

6AA0

2.7%

DE Food

3.7%

DE Market

Return vs Industry: 6AA0 underperformed the German Food industry which returned 2.7% over the past year.

Return vs Market: 6AA0 underperformed the German Market which returned 3.8% over the past year.


Shareholder returns

6AA0IndustryMarket
7 Day-2.0%-2.2%-3.6%
30 Day-1.7%-3.5%-2.0%
90 Day5.5%13.9%13.3%
1 Year-18.8%-18.8%4.3%2.7%6.0%3.7%
3 Year45.5%42.1%-7.1%-12.2%1.1%-6.9%
5 Yearn/a20.0%9.4%7.8%-6.8%

Price Volatility Vs. Market

How volatile is AAK AB (publ.)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is AAK AB (publ.) undervalued compared to its fair value and its price relative to the market?

26.41x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 6AA0 (€14.79) is trading above our estimate of fair value (€13.02)

Significantly Below Fair Value: 6AA0 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 6AA0 is poor value based on its PE Ratio (26.4x) compared to the XE Food industry average (18.1x).

PE vs Market: 6AA0 is poor value based on its PE Ratio (26.4x) compared to the German market (20.9x).


Price to Earnings Growth Ratio

PEG Ratio: 6AA0 is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: 6AA0 is overvalued based on its PB Ratio (3.9x) compared to the DE Food industry average (2.1x).


Next Steps

Future Growth

How is AAK AB (publ.) forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

12.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6AA0's forecast earnings growth (12.3% per year) is above the savings rate (0.2%).

Earnings vs Market: 6AA0's earnings (12.3% per year) are forecast to grow slower than the German market (23.4% per year).

High Growth Earnings: 6AA0's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6AA0's revenue (3.8% per year) is forecast to grow slower than the German market (5.9% per year).

High Growth Revenue: 6AA0's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6AA0's Return on Equity is forecast to be low in 3 years time (13.8%).


Next Steps

Past Performance

How has AAK AB (publ.) performed over the past 5 years?

11.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6AA0 has high quality earnings.

Growing Profit Margin: 6AA0's current net profit margins (5.3%) are higher than last year (5%).


Past Earnings Growth Analysis

Earnings Trend: 6AA0's earnings have grown by 11% per year over the past 5 years.

Accelerating Growth: 6AA0's earnings growth over the past year (5.5%) is below its 5-year average (11% per year).

Earnings vs Industry: 6AA0 earnings growth over the past year (5.5%) exceeded the Food industry -2.4%.


Return on Equity

High ROE: 6AA0's Return on Equity (14.8%) is considered low.


Next Steps

Financial Health

How is AAK AB (publ.)'s financial position?


Financial Position Analysis

Short Term Liabilities: 6AA0's short term assets (SEK12.7B) exceed its short term liabilities (SEK6.2B).

Long Term Liabilities: 6AA0's short term assets (SEK12.7B) exceed its long term liabilities (SEK5.4B).


Debt to Equity History and Analysis

Debt Level: 6AA0's debt to equity ratio (45.5%) is considered high.

Reducing Debt: 6AA0's debt to equity ratio has reduced from 46.5% to 45.5% over the past 5 years.

Debt Coverage: 6AA0's debt is well covered by operating cash flow (23.5%).

Interest Coverage: 6AA0's interest payments on its debt are well covered by EBIT (17.8x coverage).


Balance Sheet


Next Steps

Dividend

What is AAK AB (publ.) current dividend yield, its reliability and sustainability?

1.47%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 6AA0's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 6AA0'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 6AA0's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 6AA0's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 6AA0 is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 6AA0'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?

2.3yrs

Average management tenure


CEO

Johan Westman (47 yo)

2.25yrs

Tenure

kr18,658,399

Compensation

Mr. Johan Westman has been the President and Chief Executive Officer of AAK AB (publ.) since May 2, 2018. Mr. Westman served as Managing Director of Blanklight and Senior Vice President of Europe at Shiloh ...


CEO Compensation Analysis

Compensation vs Market: Johan's total compensation ($USD2.14M) is about average for companies of similar size in the German market ($USD2.40M).

Compensation vs Earnings: Johan's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Johan Westman
President & CEO2.25yrskr18.66mno data
David Smith
President Global Operations & VPno datano datano data
Karsten Nielsen
CTO & VP9.58yrsno data0.018%
SEK 679.9k
Anne Olesen
Chief Strategy & Sustainability Officer0.42yrno data0.047%
SEK 1.8m
René Schou
President of Global Industries & VP0.42yrno datano data
Tim Stephenson
President of Global Sourcing & Trading and VP0.58yrno datano data
Sten Estrup
VP & President of Asia0.58yrno datano data
Mikael Ekdahl
Secretary of the Board2.25yrskr900.00kno data
Octavio de León
VP & President of AAK USA and North Latin Americano datano data0.095%
SEK 3.6m
Gerardo Garza de Hereida
VP & President AAK South Latin America5.83yrsno datano data
Jan Lenferink
VP & President AAK Europe5.58yrsno datano data
Anders Byström
Director of External Accounting & Investor Relationsno datano datano data

2.3yrs

Average Tenure

57yo

Average Age

Experienced Management: 6AA0's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Gun Nilsson
Director3.25yrskr640.00k0.0024%
SEK 89.7k
Leif Håkansson
Employee Representative Director15.58yrsno datano data
Georg Brunstam
Chairman of the Board2.25yrskr980.00kno data
Bengt Baron
Independent Director3.25yrskr452.50k0.0024%
SEK 89.7k
Patrik Andersson
Independent Director1.25yrskr390.00k0.00012%
SEK 4.6k
Märta Andreen
Director7.25yrskr565.00kno data
Marianne Kirkegaard
Independent Director5.25yrskr390.00kno data
Annica Edvardsson
Deputy Director3.25yrsno datano data
Lena Nilsson
Employee Representative Director2.58yrsno datano data

3.3yrs

Average Tenure

59yo

Average Age

Experienced Board: 6AA0's board of directors are considered experienced (3.3 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: AAK AB (publ.)
  • Ticker: 6AA0
  • Exchange: DB
  • Founded:
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: kr39.278b
  • Listing Market Cap: kr3.800b
  • Shares outstanding: 253.73m
  • Website: https://www.aak.com

Number of Employees


Location

  • AAK AB (publ.)
  • Skrivaregatan 9
  • Malmö
  • Skåne County
  • 215 32
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AAKOM (OMX Nordic Exchange Stockholm)YesOrdinary SharesSESEKSep 2005
ARHU.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDSep 2005
0A0JLSE (London Stock Exchange)YesOrdinary SharesGBSEKSep 2005
6AA0DB (Deutsche Boerse AG)YesOrdinary SharesDEEURSep 2005
AAKSBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBSEKSep 2005

Biography

AAK AB (publ.) develops and sells vegetable oils and fats in Sweden and internationally. It offers food ingredients for the bakery, dairy, foodservice, and special nutrition industries; chocolate and confe ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/02 21:24
End of Day Share Price2020/07/31 00:00
Earnings2020/06/30
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.