XTRA:SYZ

Stock Analysis Report

Executive Summary

SYZYGY AG, through its subsidiaries, provides creative, technological, and media services for digital marketing in Germany, the United Kingdom, Poland, and the United States.

Snowflake

Excellent balance sheet established dividend payer.

Rewards

Trading at 2.8% below its fair value

Earnings are forecast to grow by 16.22% next year

Earnings have grown 1.1% per year over the past 5 years

Pays a high and reliable dividend of 5.21%

Risk Analysis

Dividend of 5.21% is not well covered by earnings

Highly volatile share price over past 3 months

Large one-off items impacting financial results

Current net profit margin (6.2%) is lower than last year (7.2%)


Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

4.3%

SYZ

-2.9%

DE Media

0.8%

DE Market


1 Year Return

-14.1%

SYZ

-0.5%

DE Media

9.0%

DE Market

Return vs Industry: SYZ underperformed the German Media industry which returned -0.5% over the past year.

Return vs Market: SYZ underperformed the German Market which returned 9% over the past year.


Shareholder returns

SYZIndustryMarket
7 Day4.3%-2.9%0.8%
30 Day-7.7%2.4%6.3%
90 Day-8.1%6.3%14.4%
1 Year-10.5%-14.1%3.9%-0.5%12.4%9.0%
3 Year-29.6%-37.0%-0.04%-11.2%25.6%14.5%
5 Year46.1%21.5%5.9%-15.7%41.0%21.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

2.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SYZ (€7.68) is trading below our estimate of fair value (€7.9)

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


Price To Earnings Ratio

PE vs Industry: SYZ is good value based on its PE Ratio (25.4x) compared to the Media industry average (25.4x).

PE vs Market: SYZ is poor value based on its PE Ratio (25.4x) compared to the German market (19.9x).


Price to Earnings Growth Ratio

PEG Ratio: SYZ is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: SYZ is good value based on its PB Ratio (2.1x) compared to the DE Media industry average (3.1x).


Next Steps

Future Growth

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

12.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SYZ's forecast earnings growth (12.4% per year) is above the savings rate (0.2%).

Earnings vs Market: SYZ's earnings (12.4% per year) are forecast to grow slower than the German market (12.8% per year).

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

Revenue vs Market: SYZ's revenue (7% per year) is forecast to grow faster than the German market (4.9% per year).

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


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SYZ's Return on Equity is forecast to be low in 3 years time (12%).


Next Steps

Past Performance

How has SYZYGY performed over the past 5 years?

1.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SYZ has large one-off items impacting its financial results.

Growing Profit Margin: SYZ's current net profit margins (6.2%) are lower than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: SYZ's earnings have grown by 1.1% per year over the past 5 years.

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

Earnings vs Industry: SYZ had negative earnings growth (-11.3%) over the past year, making it difficult to compare to the Media industry average (-5.2%).


Return on Equity

High ROE: SYZ's Return on Equity (8.2%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is SYZYGY's financial position?


Financial Position Analysis

Short Term Liabilities: SYZ's short term assets (€29.2M) exceeds its short term liabilities (€27.1M)

Long Term Liabilities: SYZ's short term assets (29.2M) do not cover its long term liabilities (43.9M)


Debt to Equity History and Analysis

Debt Level: SYZ is debt free.

Reducing Debt: SYZ had no debt 5 years ago.

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

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


Balance Sheet

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

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


Next Steps

Dividend

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

5.21%

Current Dividend Yield


Dividend Yield vs Market

company5.2%marketbottom25%1.4%markettop25%3.6%industryaverage5.8%forecastin3Years4.7%

Current dividend yield vs market & industry

Notable Dividend: SYZ's dividend (5.21%) is higher than the bottom 25% of dividend payers in the German market (1.39%).

High Dividend: SYZ's dividend (5.21%) is in the top 25% of dividend payers in the German market (3.64%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (132.3%), SYZ's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SYZ's dividends in 3 years are forecast to be covered by earnings (89.5% payout ratio).


Next Steps

Management

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

3.9yrs

Average management tenure


CEO

Lars Lehne (49yo)

3.3yrs

Tenure

€434,000

Compensation

Mr. Lars Lehne serves as Chairman of Management Board at Syzygy AG. Mr. Lehne has been the Chief Executive Officer and Additional Member of the Management Board at Syzygy AG since July 7, 2016 and April 01 ...


CEO Compensation Analysis

Compensation vs Market: Lars's total compensation ($USD477.97K) is above average for companies of similar size in the German market ($USD215.15K).

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


Management Age and Tenure

3.9yrs

Average Tenure

Experienced Management: SYZ's management team is considered experienced (3.9 years average tenure).


Board Age and Tenure

1.7yrs

Average Tenure

Experienced Board: SYZ's board of directors are not considered experienced ( 1.7 years average tenure), which suggests a new board.


Insider Trading

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.


Management Team

  • Erwin Greiner

    CFO, Finance Director & Member of the Management Board

    • Tenure: 4.8yrs
    • Compensation: €386.00k
  • Lars Lehne (49yo)

    CEO & Chairman of Management Board

    • Tenure: 3.3yrs
    • Compensation: €434.00k
  • Florian Schmitt

    Chief Creative Officer

    • Tenure: 4.5yrs
  • Frank Ladner (47yo)

    Group CTO & Member of Management Board

    • Tenure: 1.8yrs
    • Compensation: €373.00k
  • Susan Wallenborn

    Investor & Public Relations Manager

    • Tenure: 0yrs

Board Members

  • Wilfried Beeck (59yo)

    Chairman of the Supervisory Board

    • Tenure: 1.7yrs
    • Compensation: €15.00k
  • Dominic Grainger (54yo)

    Member of Supervisory Board

    • Tenure: 0.4yrs
  • Andrew Payne

    Member of the Supervisory Board

    • Tenure: 1.7yrs

Company Information

SYZYGY AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SYZYGY AG
  • Ticker: SYZ
  • Exchange: XTRA
  • Founded: 1995
  • Industry: Advertising
  • Sector: Media
  • Market Cap: €103.116m
  • Shares outstanding: 13.43m
  • Website: https://www.syzygy.net

Number of Employees


Location

  • SYZYGY AG
  • Horexstrasse 28
  • Bad Homburg vor der Höhe
  • Hessen
  • 61352
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SYZDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2000
SYZXTRA (XETRA Trading Platform)YesCommon StockDEEUROct 2000
0NKHLSE (London Stock Exchange)YesCommon StockGBEUROct 2000
SYZdBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEUROct 2000

Biography

SYZYGY AG, through its subsidiaries, provides creative, technological, and media services for digital marketing in Germany, the United Kingdom, Poland, and the United States. It provides an integrated port ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/12 20:56
End of Day Share Price2019/11/12 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.