XTRA:SBS

Stock Analysis Report

Executive Summary

STRATEC SE designs and manufactures automation and instrumentation solutions in the fields of in-vitro diagnostics and life sciences in Germany and internationally.


Snowflake Analysis

Reasonable growth potential average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

5.4%

SBS

1.4%

DE Medical Equipment

-0.9%

DE Market


1 Year Return

17.9%

SBS

25.2%

DE Medical Equipment

12.8%

DE Market

Return vs Industry: SBS underperformed the German Medical Equipment industry which returned 25% over the past year.

Return vs Market: SBS exceeded the German Market which returned 13.7% over the past year.


Shareholder returns

SBSIndustryMarket
7 Day5.4%1.4%-0.9%
30 Day5.2%-4.8%-0.2%
90 Day1.6%1.1%3.0%
1 Year19.4%17.9%27.1%25.2%16.3%12.8%
3 Year53.0%47.4%141.7%135.4%15.8%5.7%
5 Year62.3%51.8%275.2%256.5%19.8%3.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

60.75x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SBS (€68.6) is trading above our estimate of fair value (€51.37)

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


Price To Earnings Ratio

PE vs Industry: SBS is poor value based on its PE Ratio (60.7x) compared to the Medical Equipment industry average (42.1x).

PE vs Market: SBS is poor value based on its PE Ratio (60.7x) compared to the German market (20.9x).


Price to Earnings Growth Ratio

PEG Ratio: SBS is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: SBS is good value based on its PB Ratio (5.5x) compared to the DE Medical Equipment industry average (5.9x).


Next Steps

Future Growth

How is Stratec forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

32.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SBS's forecast earnings growth (32.3% per year) is above the savings rate (-0.4%).

Earnings vs Market: SBS's earnings (32.3% per year) are forecast to grow faster than the German market (13.1% per year).

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

Revenue vs Market: SBS's revenue (9.9% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: SBS's revenue (9.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SBS's Return on Equity is forecast to be low in 3 years time (18%).


Next Steps

Past Performance

How has Stratec performed over the past 5 years?

-5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SBS has high quality earnings.

Growing Profit Margin: SBS's current net profit margins (6.3%) are lower than last year (8.5%).


Past Earnings Growth Analysis

Earnings Trend: SBS's earnings have declined by -5.8% per year over the past 5 years.

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

Earnings vs Industry: SBS had negative earnings growth (-17.6%) over the past year, making it difficult to compare to the Medical Equipment industry average (17%).


Return on Equity

High ROE: SBS's Return on Equity (9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Stratec's financial position?


Financial Position Analysis

Short Term Liabilities: SBS's short term assets (€130.0M) exceed its short term liabilities (€44.4M).

Long Term Liabilities: SBS's short term assets (€130.0M) exceed its long term liabilities (€104.9M).


Debt to Equity History and Analysis

Debt Level: SBS's debt to equity ratio (54%) is considered high.

Reducing Debt: SBS's debt to equity ratio has increased from 6.6% to 54% over the past 5 years.

Debt Coverage: SBS's debt is not well covered by operating cash flow (9.4%).

Interest Coverage: SBS's interest payments on its debt are well covered by EBIT (18.7x coverage).


Balance Sheet

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

Debt Coverage by Assets: SBS's debt is covered by short term assets (assets are 1.6x debt).


Next Steps

Dividend

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

1.20%

Current Dividend Yield


Dividend Yield vs Market

company1.2%marketbottom25%1.3%markettop25%3.6%industryaverage1.4%forecastin3Years1.7%

Current dividend yield vs market & industry

Notable Dividend: SBS's dividend (1.2%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.31%).

High Dividend: SBS's dividend (1.2%) is low compared to the top 25% of dividend payers in the German market (3.65%).


Stability and Growth of Payments

Stable Dividend: SBS's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (72.6%), SBS's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SBS's dividends in 3 years are forecast to be well covered by earnings (36% payout ratio).


Next Steps

Management

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

8.9yrs

Average management tenure


CEO

Marcus Wolfinger (52yo)

8.8yrs

Tenure

€1,064,000

Compensation

Mr. Marcus Wolfinger has been Chairman of Management Board and Chief Executive Officer at STRATEC Biomedical AG since April 01, 2011 and its Member of the Management Board since July 1999. Mr. Wolfinger ha ...


CEO Compensation Analysis

Compensation vs Market: Marcus's total compensation ($USD1.15M) is about average for companies of similar size in the German market ($USD1.19M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Marcus Wolfinger
Chairman of Board of Management & CEO8.8yrs€1.06mno data
Robert Siegle
Director of Finance & Human Resources and Member of Board of Management9yrs€765.00kno data
Claus Vielsack
Director of Product Development & Member of Board of Management6yrs€669.00kno data
Hermann Leistner
Founder & Advisor8.9yrsno data2.38% 19.6m
Sandra Eberle
Head of Investor Relations0yrsno datano data
Andre Loy
Director of Corporate Communications0yrsno datano data
Roland Utz
Head of Supply Chain Management & Senior VP0yrsno datano data

8.9yrs

Average Tenure

52yo

Average Age

Experienced Management: SBS's management team is seasoned and experienced (8.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Frank Hiller
Chairman of the Supervisory Board0.8yrsno datano data
Stefanie Remmele
Member of Supervisory Board5.7yrs€29.00kno data
Roland Baule
Deputy Chairman of Supervisory Board2.7yrs€41.00kno data

2.7yrs

Average Tenure

53yo

Average Age

Experienced Board: SBS's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


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

Stratec SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Stratec SE
  • Ticker: SBS
  • Exchange: XTRA
  • Founded: 1979
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: €824.936m
  • Shares outstanding: 12.03m
  • Website: https://www.stratec.com

Number of Employees


Location

  • Stratec SE
  • Gewerbestrasse 35-37
  • Birkenfeld
  • 75217
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SBSDB (Deutsche Boerse AG)YesRegistered SharesDEEUROct 1998
SBSSWX (SIX Swiss Exchange)YesRegistered SharesCHCHFOct 1998
SBSXTRA (XETRA Trading Platform)YesRegistered SharesDEEUROct 1998
0RARLSE (London Stock Exchange)YesRegistered SharesGBEUROct 1998
SBSDBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEUROct 1998
SBSETLX (Eurotlx)YesRegistered SharesITEUROct 1998

Biography

STRATEC SE designs and manufactures automation and instrumentation solutions in the fields of in-vitro diagnostics and life sciences in Germany and internationally. The company operates in three segments: Instrumentation, Diatron, and Smart Consumables. The Instrumentation segment designs and manufactures automated analyzer systems for clinical diagnostics and biotechnology customers. The Diatron segment offers systems, system components, consumables, and tests for the low throughput hematology and clinical chemistry applications. The Smart Consumables segment develops and manufactures smart consumables in the fields of diagnostics, life sciences, and medical technology. STRATEC SE also develops workflow software for networking various analyzer systems, as well as develops and sells scientific materials and technologies. The company was formerly known as STRATEC Biomedical AG and changed its name to STRATEC SE in December 2018. STRATEC SE was founded in 1979 and is headquartered in Birkenfeld, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 23:12
End of Day Share Price2020/02/21 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.