XTRA:VIH1

Stock Analysis Report

Executive Summary

VIB Vermögen AG develops, buys, holds, and manages commercial real estate properties in Southern Germany.

Rewards

PE ratio (14.2x) is below the German market (20.6x)

Earnings are forecast to grow 7.1% per year

Pays a high and reliable dividend of 2.19%

Risk Analysis

Debt is not well covered by operating cash flow

Large one-off items impacting financial results



Snowflake Analysis

Established dividend payer with mediocre balance sheet.


Similar Companies

WCM Beteiligungs- und Grundbesitz-AG

XTRA:WCMK

Share Price & News

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


Latest Share Price and Events

Stable Share Price: VIH1 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.0%

VIH1

2.0%

DE Real Estate

0.07%

DE Market


1 Year Return

39.3%

VIH1

6.6%

DE Real Estate

14.8%

DE Market

Return vs Industry: VIH1 exceeded the German Real Estate industry which returned 6.2% over the past year.

Return vs Market: VIH1 exceeded the German Market which returned 17.1% over the past year.


Shareholder returns

VIH1IndustryMarket
7 Day1.0%2.0%0.07%
30 Day-2.1%4.3%1.9%
90 Day9.3%5.6%7.1%
1 Year42.7%39.3%9.5%6.6%18.4%14.8%
3 Year67.2%54.5%54.7%42.9%17.4%7.0%
5 Year115.9%88.8%93.4%65.2%27.9%10.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

14.34x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: VIH1 (€29.7) is trading above our estimate of fair value (€9.79)

Significantly Below Fair Value: VIH1 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: VIH1 is poor value based on its PE Ratio (14.2x) compared to the Real Estate industry average (13.3x).

PE vs Market: VIH1 is good value based on its PE Ratio (14.2x) compared to the German market (20.6x).


Price to Earnings Growth Ratio

PEG Ratio: VIH1 is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: VIH1 is overvalued based on its PB Ratio (1.5x) compared to the DE Real Estate industry average (1.4x).


Next Steps

Future Growth

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

7.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VIH1's forecast earnings growth (7.1% per year) is above the savings rate (-0.4%).

Earnings vs Market: VIH1's earnings (7.1% per year) are forecast to grow slower than the German market (13.2% per year).

High Growth Earnings: VIH1's earnings are forecast to grow, but not significantly.

Revenue vs Market: VIH1's revenue (6.1% per year) is forecast to grow faster than the German market (4.8% per year).

High Growth Revenue: VIH1's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VIH1's Return on Equity is forecast to be low in 3 years time (9.9%).


Next Steps

Past Performance

How has VIB Vermögen performed over the past 5 years?

13.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VIH1 has a large one-off gain of €15.7M impacting its September 30 2019 financial results.

Growing Profit Margin: VIH1's current net profit margins (63.9%) are lower than last year (67.4%).


Past Earnings Growth Analysis

Earnings Trend: VIH1's earnings have grown by 13.6% per year over the past 5 years.

Accelerating Growth: VIH1's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: VIH1 had negative earnings growth (-0.5%) over the past year, making it difficult to compare to the Real Estate industry average (6.4%).


Return on Equity

High ROE: VIH1's Return on Equity (10.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is VIB Vermögen's financial position?


Financial Position Analysis

Short Term Liabilities: VIH1's short term assets (€40.4M) exceed its short term liabilities (€31.8M).

Long Term Liabilities: VIH1's short term assets (€40.4M) do not cover its long term liabilities (€706.6M).


Debt to Equity History and Analysis

Debt Level: VIH1's debt to equity ratio (121.4%) is considered high.

Reducing Debt: VIH1's debt to equity ratio has reduced from 159.3% to 121.4% over the past 5 years.

Debt Coverage: VIH1's debt is not well covered by operating cash flow (10%).

Interest Coverage: VIH1's interest payments on its debt are well covered by EBIT (4.7x coverage).


Balance Sheet

Inventory Level: VIH1 has a low level of unsold assets or inventory.

Debt Coverage by Assets: VIH1's debt is not covered by short term assets (assets are 0.1x debt).


Next Steps

Dividend

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

2.17%

Current Dividend Yield


Dividend Yield vs Market

company2.2%marketbottom25%1.4%markettop25%3.5%industryaverage2.7%forecastin3Years2.6%

Current dividend yield vs market & industry

Notable Dividend: VIH1's dividend (2.19%) is higher than the bottom 25% of dividend payers in the German market (1.38%).

High Dividend: VIH1's dividend (2.19%) is low compared to the top 25% of dividend payers in the German market (3.53%).


Stability and Growth of Payments

Stable Dividend: VIH1's dividends per share have been stable in the past 10 years.

Growing Dividend: VIH1's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.1%), VIH1's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VIH1's dividends in 3 years are forecast to be well covered by earnings (34.6% payout ratio).


Next Steps

Management

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

9.0yrs

Average management tenure


CEO

Martin Pfandzelter 0

3yrs

Tenure

0

Mr. Martin Pfandzelter has been Chairman of Management Board and Chief Executive Officer at VIB Vermögen AG since January 1, 2017. Mr. Pfandzelter served as the Chief Operating Officer of VIB Vermoegen AG  ...


Management Age and Tenure

9.0yrs

Average Tenure

54yo

Average Age

Experienced Management: VIH1's management team is seasoned and experienced (9 years average tenure).


Board Age and Tenure

14.3yrs

Average Tenure

67.5yo

Average Age

Experienced Board: VIH1's board of directors are seasoned and experienced ( 14.3 years average tenure).


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

  • Rainer Hettmer (61yo)

    Head of Participations Controlling and Financing

    • Roswitha Angermair

      Head of Real Estate Department

      • Tenure: 12yrs
    • Birgit Schreiber

      Head of Accounting

      • Tenure: 11yrs
    • Holger Pilgenrother (54yo)

      CFO & Member of Management Board

      • Tenure: 7.1yrs
    • Petra Riechert (51yo)

      Investor Relations

      • Martin Pfandzelter

        Chairman of Management Board & Chief Executive Officer

        • Tenure: 3yrs

      Board Members

      • Rolf Klug (70yo)

        Supervisory Board Member

        • Tenure: 20yrs
      • Ludwig Schlosser (65yo)

        Chairman of Supervisory Board

        • Tenure: 0.3yrs
      • Franz-Xaver Schmidbauer (76yo)

        Supervisory Board Member

        • Tenure: 20yrs
      • Jürgen Wittmann (56yo)

        Supervisory Board Deputy Chairman

        • Tenure: 8.5yrs

      Company Information

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


      Key Information

      • Name: VIB Vermögen AG
      • Ticker: VIH1
      • Exchange: XTRA
      • Founded: 1993
      • Industry: Real Estate Operating Companies
      • Sector: Real Estate
      • Market Cap: €826.014m
      • Shares outstanding: 27.58m
      • Website: https://www.vib-ag.de

      Number of Employees


      Location

      • VIB Vermögen AG
      • Tilly-Park 1
      • Neuburg an der Donau
      • Bavaria
      • 86633
      • Germany

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      VIH1ETLX (Eurotlx)YesRegistered SharesITEURNov 2005
      VIH1DB (Deutsche Boerse AG)YesRegistered SharesDEEURNov 2005
      VIH1XTRA (XETRA Trading Platform)YesRegistered SharesDEEURNov 2005
      VIHDBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEURNov 2005
      VIBV.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDSep 2013

      Biography

      VIB Vermögen AG develops, buys, holds, and manages commercial real estate properties in Southern Germany. As of December 31, 2017, the company’s real estate portfolio consisted of 105 properties with a total rentable area of 1.06 million square meters. Its property portfolio includes logistics properties, industrial real estate properties, shopping centers, and retail parks, as well as commercial and service centers. The company was founded in 1993 and is headquartered in Neuburg an der Donau, Germany. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/18 22:16
      End of Day Share Price2020/01/17 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.