XTRA:COK

Stock Analysis Report

Executive Summary

CANCOM SE provides information technology (IT) infrastructure and services in Germany, Austria, Belgium, Switzerland, the United States, and the United Kingdom.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-7.5%

COK

-3.8%

DE IT

1.7%

DE Market


1 Year Return

42.9%

COK

-15.3%

DE IT

7.2%

DE Market

Return vs Industry: COK exceeded the German IT industry which returned -15.3% over the past year.

Return vs Market: COK exceeded the German Market which returned 7.2% over the past year.


Shareholder returns

COKIndustryMarket
7 Day-7.5%-3.8%1.7%
30 Day-9.2%-14.8%2.4%
90 Day-1.4%-17.0%2.3%
1 Year44.4%42.9%-14.9%-15.3%10.6%7.2%
3 Year124.1%117.4%119.1%113.4%18.4%8.1%
5 Year239.0%220.3%268.7%253.0%42.3%22.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

27.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: COK (€47.72) is trading below our estimate of fair value (€65.98)

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


Price To Earnings Ratio

PE vs Industry: COK is poor value based on its PE Ratio (35.2x) compared to the IT industry average (26x).

PE vs Market: COK is poor value based on its PE Ratio (35.2x) compared to the German market (19x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: COK is overvalued based on its PB Ratio (4.1x) compared to the DE IT industry average (3.6x).


Next Steps

Future Growth

How is Cancom forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

19.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: COK's forecast earnings growth (19% per year) is above the savings rate (0.2%).

Earnings vs Market: COK's earnings (19% per year) are forecast to grow faster than the German market (12.7% per year).

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

Revenue vs Market: COK's revenue (7.5% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: COK's revenue (7.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: COK's Return on Equity is forecast to be low in 3 years time (15.3%).


Next Steps

Past Performance

How has Cancom performed over the past 5 years?

19.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: COK's earnings have grown by 19.6% per year over the past 5 years.

Accelerating Growth: COK's earnings growth over the past year (16.9%) is below its 5-year average (19.6% per year).

Earnings vs Industry: COK earnings growth over the past year (16.9%) underperformed the IT industry 22.7%.


Return on Equity

High ROE: COK's Return on Equity (11.8%) is considered low.


Return on Assets

ROA vs Industry: COK has a higher Return on Assets than the IT industry average last year.


Return on Capital Employed

ROCE Improving: COK's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Cancom's financial position?


Financial Position Analysis

Short Term Liabilities: COK's short term assets (€459.4M) exceeds its short term liabilities (€340.7M)

Long Term Liabilities: COK's short term assets (459.4M) exceeds its long term liabilities (84.2M)


Debt to Equity History and Analysis

Debt Level: COK's debt to equity ratio (2.1%) is considered satisfactory

Reducing Debt: COK's debt to equity ratio has reduced from 27.9% to 2.1% over the past 5 years.

Debt Coverage: COK's debt is well covered by operating cash flow (1121.4%).

Interest Coverage: COK's interest payments on its debt are well covered by EBIT (54.5x coverage).


Balance Sheet

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

Debt Coverage by Assets: COK's debt is covered by short term assets (assets are 52.715170x debt).


Next Steps

Dividend

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

1.05%

Current Dividend Yield


Dividend Yield vs Market

company1.0%marketbottom25%1.5%markettop25%3.8%industryaverage0.6%forecastin3Years1.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: COK's dividend (1.05%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.48%).

High Dividend: COK's dividend (1.05%) is low compared to the top 25% of dividend payers in the German market (3.83%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.9%), COK's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: COK's dividends in 3 years are forecast to be well covered by earnings (34.7% payout ratio).


Next Steps

Management

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

2.6yrs

Average board tenure


CEO

Thomas Volk (61yo)

1yrs

Tenure

€980,600

Compensation

Mr. Thomas P. Volk serves as Vice President of EMEA at Dell Inc. Mr. Volk has been the Chief Executive Officer at Lumesse, Inc. since January 2013. He has been President, GM & Member of Executive Board at  ...


CEO Compensation Analysis

Compensation vs. Market: Thomas has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the German market.

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


Board Age and Tenure

2.6yrs

Average Tenure

49yo

Average Age

Experienced Board: COK's board of directors are not considered experienced ( 2.6 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


Management Team

  • Thomas Volk (61yo)

    CEO, President

    • Tenure: 1yrs
    • Compensation: €980.60k
  • Rudi Hotter

    COO & Member of Management Board

    • Tenure: 0yrs
    • Compensation: €1.43m
  • Thomas Stark (48yo)

    CFO & Executive Board Member

    • Tenure: 1.9yrs
    • Compensation: €352.52k

Board Members

  • Stefan Kober (49yo)

    Vice-Chairman of Supervisory Board

    • Tenure: 0yrs
    • Compensation: €233.00k
  • Martin Wild

    Member of Supervisory Board

    • Tenure: 2.6yrs
    • Compensation: €34.00k
  • Regina Weinmann (47yo)

    Member of Supervisory Board

    • Tenure: 10.8yrs
    • Compensation: €35.00k
  • Lothar Koniarski (64yo)

    Chairman of Supervisory Board

    • Tenure: 2.8yrs
    • Compensation: €132.00k
  • Isabell Welpe (44yo)

    Member of the Supervisory Board

    • Tenure: 0.8yrs
  • Hans-Ulrich Holdenried (68yo)

    Member of Supervisory Board

    • Tenure: 0.8yrs

Company Information

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


Key Information

  • Name: Cancom SE
  • Ticker: COK
  • Exchange: XTRA
  • Founded: 1992
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: €1.672b
  • Shares outstanding: 35.04m
  • Website: https://www.cancom.de

Number of Employees


Location

  • Cancom SE
  • Erika-Mann-Straße 69
  • Munich
  • Bavaria
  • 80636
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
COKDB (Deutsche Boerse AG)YesBearer SharesDEEURSep 1999
COKXTRA (XETRA Trading Platform)YesBearer SharesDEEURSep 1999
0O0FLSE (London Stock Exchange)YesBearer SharesGBEURSep 1999
CCCM.FOTCPK (Pink Sheets LLC)YesBearer SharesUSUSDSep 1999
COKDBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURSep 1999
COKSWX (SIX Swiss Exchange)YesBearer SharesCHCHFSep 1999
COKWBAG (Wiener Boerse AG)YesBearer SharesATEURSep 1999

Biography

CANCOM SE provides information technology (IT) infrastructure and services in Germany, Austria, Belgium, Switzerland, the United States, and the United Kingdom. The company operates through Cloud Solutions ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 20:57
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
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.