Discounted Cash Flow Calculation for DB:HYI using Dividend Discount Model Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future dividends to their present value. This
approach is used for finance firms where free cash flow is difficult to estimate
(e.g. Banks/ Insurance firms).
If the firm does not pay the majority of its earnings out as a dividend this
method will often arrive at a value significantly lower than the share price.
The current share price of
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Hyrican Informationssysteme's earnings available for a low price, and how does
this compare to other companies in the same industry?
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Hyrican Informationssysteme has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Tech industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare Hyrican Informationssysteme's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Hyrican Informationssysteme's earnings growth to the Germany market average as no estimate data is available.
Unable to compare Hyrican Informationssysteme's revenue growth to the Germany market average as no estimate data is available.
Unable to determine if Hyrican Informationssysteme is high growth as no earnings estimate data is available.
Unable to determine if Hyrican Informationssysteme is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Hyrican Informationssysteme's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Hyrican Informationssysteme's finances.
The net worth of a company is the difference between its assets and liabilities.
Hyrican Informationssysteme is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Hyrican Informationssysteme's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Hyrican Informationssysteme's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Hyrican Informationssysteme has no debt, it does not need to be covered by short term assets.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
Mr. Michael Lehmann serves as the Chairman of Management Board of Hyrican Informationssysteme AG and served its Chief Executive Officer. Mr. Lehmann served as a Partner of MIFA Mitteldeutsche Fahrradwerke AG.
Insufficient data for Michael to compare compensation growth.
Insufficient data for Michael to establish whether their remuneration is reasonable compared to companies of similar size in Germany.
Is Hyrican Informationssysteme Aktiengesellschaft's (FRA:HYI) Balance Sheet Strong Enough To Weather A Storm?
However, the trade-off is HYI will have to follow strict debt obligations which will reduce its financial flexibility. … Is HYI growing fast enough to value financial flexibility over lower cost of capital. … Debt capital generally has lower cost of capital compared to equity funding
How Financially Strong Is Hyrican Informationssysteme Aktiengesellschaft (FRA:HYI)?
Hyrican Informationssysteme Aktiengesellschaft (FRA:HYI), which has zero-debt on its balance sheet, can maximize capital returns by increasing debt due to its lower cost of capital. … However, the trade-off is HYI will have to follow strict debt obligations which will reduce its financial flexibility. … Is financial flexibility worth the lower cost of capital
Can Hyrican Informationssysteme Aktiengesellschaft (FRA:HYI) Improve Your Portfolio Returns?
A widely-used metric to measure a stock's market risk is beta, and the broad market index represents a beta value of one. … Hyrican Informationssysteme's beta of 0.24 indicates that the stock value will be less variable compared to the whole stock market. … As a result, the company may be less volatile relative to broad market movements, compared to a company of similar size but higher proportion of fixed assets.
What Does Hyrican Informationssysteme Aktiengesellschaft's (FRA:HYI) Ownership Structure Look Like?
View our latest analysis for Hyrican Informationssysteme DB:HYI Ownership_summary Apr 27th 18 Institutional Ownership Institutional investors transact in large blocks which can influence the momentum of stock prices, at least in the short-term, especially when there is a low level of public shares available on the market to trade. … General Public Ownership The general public holds a substantial 99.65% stake in HYI, making it a highly popular stock among retail investors. … This level of ownership gives retail investors the power to sway key policy decisions such as board composition, executive compensation, and potential acquisitions.
Is Hyrican Informationssysteme Aktiengesellschaft (FRA:HYI) A Sell At Its Current PE Ratio?
Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for HYI Price per share = €3.96 Earnings per share = €0.053 ∴ Price-Earnings Ratio = €3.96 ÷ €0.053 = 74.2x On its own, the P/E ratio doesn’t tell you much; however, it becomes extremely useful when you compare it with other similar companies. … For example, if you inadvertently compared riskier firms with HYI, then investors would naturally value HYI at a higher price since it is a less risky investment. … Similarly, if you accidentally compared lower growth firms with HYI, investors would also value HYI at a higher price since it is a higher growth investment.
Will Hyrican Informationssysteme Aktiengesellschaft (FRA:HYI) Continue To Underperform Its Industry?
Hyrican Informationssysteme Aktiengesellschaft (DB:HYI) generated a below-average return on equity of 0.92% in the past 12 months, while its industry returned 10.86%. … View our latest analysis for Hyrican Informationssysteme Breaking down ROE — the mother of all ratios Return on Equity (ROE) weighs Hyrican Informationssysteme’s profit against the level of its shareholders’ equity. … For now, let’s just look at the cost of equity number for Hyrican Informationssysteme, which is 9.64%.
Is Hyrican Informationssysteme Aktiengesellschaft (FRA:HYI) As Strong As Its Balance Sheet Indicates?
Hyrican Informationssysteme Aktiengesellschaft (DB:HYI), which has zero-debt on its balance sheet, can maximize capital returns by increasing debt due to its lower cost of capital. … Check out our latest analysis for Hyrican Informationssysteme Does HYI's growth rate justify its decision for financial flexibility over lower cost of capital? … HYI’s absence of debt on its balance sheet may be due to lack of access to cheaper capital, or it may simply believe low cost is not worth sacrificing financial flexibility.
Hyrican Informationssysteme Aktiengesellschaft offers IT systems and solutions in Germany and internationally. The company provides PCs, notebooks, servers, workstations, and peripherals. It also offers gaming systems; and supplies hardware products. In addition, the company provides IT solutions, including mobility technologies, cloud computing, and data center solutions; and client management, server and storage, IT security, networking, software, and communication solutions, as well as managed, professional, and training services. Further, it offers business to business solutions for public sector, education sector, industries, and companies. Hyrican Informationssysteme Aktiengesellschaft was founded in 1990 and is headquartered in Kindelbrück, Germany.
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