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Market Cap

kr.11.3b

Last Updated

2021/04/19 17:01 UTC

Data Sources

Company Financials +

Executive Summary

FLSmidth & Co. A/S supplies engineering, equipment, and services solutions to the cement and mining industries worldwide. More Details


Snowflake Analysis

Flawless balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FLS is not significantly more volatile than the rest of Danish stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: FLS's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-4.6%

FLS

-4.2%

DK Machinery

0.5%

DK Market


1 Year Return

49.8%

FLS

64.2%

DK Machinery

34.2%

DK Market

Return vs Industry: FLS underperformed the Danish Machinery industry which returned 64.2% over the past year.

Return vs Market: FLS exceeded the Danish Market which returned 34.2% over the past year.


Shareholder returns

FLSIndustryMarket
7 Day-4.6%-4.2%0.5%
30 Day-5.9%-2.4%4.8%
90 Day-3.9%6.2%2.6%
1 Year51.0%49.8%65.4%64.2%36.9%34.2%
3 Year-38.4%-40.8%-36.5%-38.2%76.3%64.0%
5 Year-9.5%-16.2%102.6%26.9%79.9%58.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FLS (DKK225.1) is trading below our estimate of fair value (DKK247.73)

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


Price To Earnings Ratio

PE vs Industry: FLS is poor value based on its PE Ratio (48.9x) compared to the XE Machinery industry average (29.6x).

PE vs Market: FLS is poor value based on its PE Ratio (48.9x) compared to the Danish market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: FLS is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: FLS is good value based on its PB Ratio (1.4x) compared to the DK Machinery industry average (1.7x).


Future Growth

How is FLSmidth forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

28.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FLS's forecast earnings growth (28.8% per year) is above the savings rate (0.2%).

Earnings vs Market: FLS's earnings (28.8% per year) are forecast to grow faster than the Danish market (10.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: FLS's revenue (5.9% per year) is forecast to grow slower than the Danish market (6.7% per year).

High Growth Revenue: FLS's revenue (5.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FLS's Return on Equity is forecast to be low in 3 years time (9.2%).


Past Performance

How has FLSmidth performed over the past 5 years?

3.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FLS has high quality earnings.

Growing Profit Margin: FLS's current net profit margins (1.4%) are lower than last year (3.9%).


Past Earnings Growth Analysis

Earnings Trend: FLS's earnings have grown by 3.1% per year over the past 5 years.

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

Earnings vs Industry: FLS had negative earnings growth (-71%) over the past year, making it difficult to compare to the Machinery industry average (-13.7%).


Return on Equity

High ROE: FLS's Return on Equity (2.8%) is considered low.


Financial Health

How is FLSmidth's financial position?


Financial Position Analysis

Short Term Liabilities: FLS's short term assets (DKK10.4B) exceed its short term liabilities (DKK8.4B).

Long Term Liabilities: FLS's short term assets (DKK10.4B) exceed its long term liabilities (DKK4.0B).


Debt to Equity History and Analysis

Debt Level: FLS's debt to equity ratio (29.9%) is considered satisfactory.

Reducing Debt: FLS's debt to equity ratio has reduced from 60.1% to 29.9% over the past 5 years.

Debt Coverage: FLS's debt is well covered by operating cash flow (58.4%).

Interest Coverage: FLS's interest payments on its debt are well covered by EBIT (7.4x coverage).


Balance Sheet


Dividend

What is FLSmidth current dividend yield, its reliability and sustainability?

0.89%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FLS's dividend (0.89%) isn’t notable compared to the bottom 25% of dividend payers in the Danish market (1.15%).

High Dividend: FLS's dividend (0.89%) is low compared to the top 25% of dividend payers in the Danish market (3.5%).


Stability and Growth of Payments

Stable Dividend: FLS's dividend payments have been volatile in the past 10 years.

Growing Dividend: FLS's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (43.4%), FLS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FLS's dividends in 3 years are forecast to be well covered by earnings (42.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Thomas Schulz (55 yo)

7.92yrs

Tenure

kr.10,981,000

Compensation

Mr. Thomas Schulz has been Group Chief Executive Officer at FLSmidth & Co. A/S since May 1, 2013. Mr. Schulz has extensive experience from the global mining and construction industry. He served as the Pres...


CEO Compensation Analysis

Compensation vs Market: Thomas's total compensation ($USD1.77M) is about average for companies of similar size in the Danish market ($USD1.45M).

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


Leadership Team

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


Board Members

Experienced Board: FLS's board of directors are considered experienced (3.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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.


Top Shareholders

Company Information

FLSmidth & Co. A/S's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FLSmidth & Co. A/S
  • Ticker: FLS
  • Exchange: CPSE
  • Founded: 1882
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: kr.11.339b
  • Shares outstanding: 50.15m
  • Website: https://www.flsmidth.com

Number of Employees


Location

  • FLSmidth & Co. A/S
  • Vigerslev Allé 77
  • Valby
  • Copenhagen
  • Capital Region of Denmark
  • 2500
  • Denmark

Listings


Biography

FLSmidth & Co. A/S supplies engineering, equipment, and services solutions to the cement and mining industries worldwide. The company operates through Mining and Cement segments. The company also engages i...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/19 17:01
End of Day Share Price2021/04/19 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.