XTRA:YSN

Stock Analysis Report

secunet Security Networks

Executive Summary

secunet Security Networks Aktiengesellschaft provides consultancy and systems solutions for information security and related activities in Germany and internationally.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has secunet Security Networks's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.8%

YSN

2.8%

DE IT

0.1%

DE Market


1 Year Return

31.6%

YSN

-3.5%

DE IT

8.8%

DE Market

Return vs Industry: YSN exceeded the German IT industry which returned -3.5% over the past year.

Return vs Market: YSN exceeded the German Market which returned 8.8% over the past year.


Shareholder returns

YSNIndustryMarket
7 Day-2.8%2.8%0.1%
30 Day3.9%-4.6%5.9%
90 Day8.6%0.8%15.0%
1 Year34.0%31.6%-3.0%-3.5%12.2%8.8%
3 Year227.7%214.6%136.8%130.7%25.5%14.5%
5 Year559.4%516.2%268.7%253.4%40.1%21.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is secunet Security Networks undervalued compared to its fair value and its price relative to the market?

37.69x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: YSN (€120.5) is trading above our estimate of fair value (€86.06)

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


Price To Earnings Ratio

PE vs Industry: YSN is poor value based on its PE Ratio (37.7x) compared to the IT industry average (31x).

PE vs Market: YSN is poor value based on its PE Ratio (37.7x) compared to the German market (19.8x).


Price to Earnings Growth Ratio

PEG Ratio: YSN is poor value based on its PEG Ratio (3.4x)


Price to Book Ratio

PB vs Industry: YSN is overvalued based on its PB Ratio (12.3x) compared to the DE IT industry average (4.1x).


Next Steps

Future Growth

How is secunet Security Networks forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

11.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: YSN's forecast earnings growth (11% per year) is above the savings rate (0.2%).

Earnings vs Market: YSN's earnings (11% per year) are forecast to grow slower than the German market (12.7% per year).

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

Revenue vs Market: YSN's revenue (8.2% per year) is forecast to grow faster than the German market (4.9% per year).

High Growth Revenue: YSN's revenue (8.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: YSN's Return on Equity is forecast to be high in 3 years time (28.2%)


Next Steps

Past Performance

How has secunet Security Networks performed over the past 5 years?

35.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: YSN has a high level of non-cash earnings.

Growing Profit Margin: YSN's current net profit margins (10.3%) are lower than last year (10.6%).


Past Earnings Growth Analysis

Earnings Trend: YSN's earnings have grown significantly by 35.3% per year over the past 5 years.

Accelerating Growth: YSN's earnings growth over the past year (17.2%) is below its 5-year average (35.3% per year).

Earnings vs Industry: YSN earnings growth over the past year (17.2%) underperformed the IT industry 22.7%.


Return on Equity

High ROE: YSN's Return on Equity (31.8%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is secunet Security Networks's financial position?


Financial Position Analysis

Short Term Liabilities: YSN's short term assets (€99.1M) exceeds its short term liabilities (€43.5M)

Long Term Liabilities: YSN's short term assets (99.1M) exceeds its long term liabilities (41.3M)


Debt to Equity History and Analysis

Debt Level: YSN is debt free.

Reducing Debt: YSN has not had any debt for past 5 years.

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

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


Balance Sheet

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

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


Next Steps

Dividend

What is secunet Security Networks's current dividend yield, its reliability and sustainability?

1.69%

Current Dividend Yield


Dividend Yield vs Market

company1.7%marketbottom25%1.4%markettop25%3.7%industryaverage0.6%forecastin3Years1.7%

Current dividend yield vs market & industry

Notable Dividend: YSN's dividend (1.69%) is higher than the bottom 25% of dividend payers in the German market (1.38%).

High Dividend: YSN's dividend (1.69%) is low compared to the top 25% of dividend payers in the German market (3.68%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, YSN has been paying a dividend for less than 10 years.

Growing Dividend: YSN's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (63.8%), YSN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: YSN's dividends in 3 years are forecast to be well covered by earnings (48.1% payout ratio).


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Axel Deininger (48yo)

0yrs

Tenure

€411,198

Compensation

Mr. Axel Deininger has been Chairman of the Management Board at secunet Security Networks Aktiengesellschaft since June 2019 and serves as its Chief Executive Officer. He serves as Chief Executive Officer  ...


CEO Compensation Analysis

Compensation vs Market: Axel's total compensation ($USD452.46K) is below average for companies of similar size in the German market ($USD1.16M).

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


Management Age and Tenure

3.3yrs

Average Tenure

Experienced Management: YSN's management team is considered experienced (3.3 years average tenure).


Board Age and Tenure

5.0yrs

Average Tenure

Experienced Board: YSN's board of directors are considered experienced (5 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

  • Thomas Pleines

    Member of the Management Board

    • Tenure: 3.3yrs
    • Compensation: €428.19k
  • Axel Deininger (48yo)

    CEO & Chairman of the Management Board

    • Tenure: 0yrs
    • Compensation: €411.20k
  • Torsten Henn

    COO & Member of the Management Board

    • Tenure: 3.3yrs
  • Kai Martius

    CTO & Member of the Management Board

    • Tenure: 4.8yrs

Board Members

  • Elmar Legge

    Member of the Supervisory Board

    • Tenure: 5.5yrs
  • Peter Zattler

    Deputy Chairman of Supervisory Board

    • Tenure: 2.5yrs
  • Hans-Wolfgang Kunz

    Member of Supervisory Board

    • Tenure: 13.5yrs
  • Wolf-Rüdiger Moritz

    Member of the Supervisory Board

    • Tenure: 4.5yrs
  • Ralf Wintergerst

    Chairman of Supervisory Board

    • Tenure: 2.5yrs
  • Günter Schäfer

    Member of the Supervisory Board

    • Tenure: 5.5yrs

Company Information

secunet Security Networks Aktiengesellschaft's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: secunet Security Networks Aktiengesellschaft
  • Ticker: YSN
  • Exchange: XTRA
  • Founded:
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: €779.575m
  • Shares outstanding: 6.47m
  • Website: https://www.secunet.com

Number of Employees


Location

  • secunet Security Networks Aktiengesellschaft
  • Kurfürstenstrasse 58
  • Essen
  • North Rhine-Westphalia
  • 45138
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
YSNDB (Deutsche Boerse AG)YesBearer SharesDEEURNov 1999
YSNXTRA (XETRA Trading Platform)YesBearer SharesDEEURNov 1999
0NWCLSE (London Stock Exchange)YesBearer SharesGBEURNov 1999
YSNDBATS-CHIXE (BATS 'Chi-X Europe')YesBearer SharesGBEURNov 1999

Biography

secunet Security Networks Aktiengesellschaft provides consultancy and systems solutions for information security and related activities in Germany and internationally. It operates through two divisions, Pu ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/13 20:49
End of Day Share Price2019/11/13 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.