FLSmidth
Market Cap
ø12.5b
Last Updated
2019/12/07 20:45 UTC
Data Sources
Company Financials +
Executive Summary
FLSmidth & Co. A/S supplies engineering, equipment, and services to the cement and mining industries worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with flawless balance sheet and pays a dividend.
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 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
1.6%
FLS
2.6%
DK Machinery
1.5%
DK Market
1 Year Return
-19.6%
FLS
-25.8%
DK Machinery
23.5%
DK Market
Return vs Industry: FLS exceeded the Danish Machinery industry which returned -25.8% over the past year.
Return vs Market: FLS underperformed the Danish Market which returned 23.5% over the past year.
Shareholder returns
| FLS | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.6% | 2.6% | 1.5% |
| 30 Day | -2.7% | 1.3% | 4.5% |
| 90 Day | -13.7% | -11.0% | 6.4% |
| 1 Year | -17.1%-19.6% | -24.2%-25.8% | 27.1%23.5% |
| 3 Year | -6.7%-12.8% | -7.7%-13.7% | 58.1%44.8% |
| 5 Year | 8.3%-3.2% | 8.1%-3.6% | 85.7%60.5% |
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
6 days ago | Simply Wall St
Introducing FLSmidth (CPH:FLS), The Stock That Dropped 25% In The Last Year2 weeks ago | Simply Wall St
These 4 Measures Indicate That FLSmidth (CPH:FLS) Is Using Debt Reasonably Well3 weeks ago | Simply Wall St
Does FLSmidth & Co. A/S (CPH:FLS) Have A Good P/E Ratio?Valuation
Is FLSmidth undervalued compared to its fair value and its price relative to the market?
41.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FLS (DKK253.2) is trading below our estimate of fair value (DKK432.45)
Significantly Below Fair Value: FLS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: FLS is good value based on its PE Ratio (14.3x) compared to the Machinery industry average (16.7x).
PE vs Market: FLS is good value based on its PE Ratio (14.3x) compared to the Danish market (15.4x).
Price to Earnings Growth Ratio
PEG Ratio: FLS is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: FLS is good value based on its PB Ratio (1.5x) compared to the DK Machinery industry average (1.5x).
Next Steps
Future Growth
How is FLSmidth forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
15.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FLS's forecast earnings growth (15.1% per year) is above the savings rate (-0.3%).
Earnings vs Market: FLS's earnings (15.1% per year) are forecast to grow faster than the Danish market (12.2% per year).
High Growth Earnings: FLS's earnings are forecast to grow, but not significantly.
Revenue vs Market: FLS's revenue (2.4% per year) is forecast to grow slower than the Danish market (6.7% per year).
High Growth Revenue: FLS's revenue (2.4% 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 (12.1%).
Next Steps
Past Performance
How has FLSmidth performed over the past 5 years?
0.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FLS has high quality earnings.
Growing Profit Margin: FLS's current net profit margins (4.4%) are higher than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: FLS's earnings have grown by 0.1% per year over the past 5 years.
Accelerating Growth: FLS's earnings growth over the past year (59.9%) exceeds its 5-year average (0.1% per year).
Earnings vs Industry: FLS earnings growth over the past year (59.9%) exceeded the Machinery industry 4.3%.
Return on Equity
High ROE: FLS's Return on Equity (10%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is FLSmidth's financial position?
Financial Position Analysis
Short Term Liabilities: FLS's short term assets (DKK12.5B) exceed its short term liabilities (DKK9.7B).
Long Term Liabilities: FLS's short term assets (DKK12.5B) exceed its long term liabilities (DKK4.8B).
Debt to Equity History and Analysis
Debt Level: FLS's debt to equity ratio (36%) is considered satisfactory.
Reducing Debt: FLS's debt to equity ratio has reduced from 77.1% to 36% over the past 5 years.
Debt Coverage: FLS's debt is well covered by operating cash flow (22.9%).
Interest Coverage: FLS's interest payments on its debt are well covered by EBIT (30x coverage).
Balance Sheet
Inventory Level: FLS has a high level of physical assets or inventory.
Debt Coverage by Assets: FLS's debt is covered by short term assets (assets are 4x debt).
Next Steps
Dividend
What is FLSmidth's current dividend yield, its reliability and sustainability?
3.55%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: FLS's dividend (3.55%) is higher than the bottom 25% of dividend payers in the Danish market (1.52%).
High Dividend: FLS's dividend (3.55%) is low compared to the top 25% of dividend payers in the Danish market (5.01%).
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 increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (50.7%), FLS's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: FLS's dividends in 3 years are forecast to be well covered by earnings (38.1% payout ratio).
Next Steps
Management
What is the CEO of FLSmidth's salary, the management and board of directors tenure and is there insider trading?
1.9yrs
Average management tenure
CEO
Thomas Schulz (54yo)
6.6yrs
Tenure
ø13,511,000
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 ($USD0.00) is below average for companies of similar size in the Danish market ($USD756.92K).
Compensation vs Earnings: Thomas's compensation has increased by more than 20% in the past year.
Management Age and Tenure
1.9yrs
Average Tenure
50yo
Average Age
Experienced Management: FLS's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.
Board Age and Tenure
2.9yrs
Average Tenure
56yo
Average Age
Experienced Board: FLS's board of directors are not considered experienced ( 2.9 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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Lars Vestergaard (45yo)
Group Executive VP & CFO
- Tenure: 5.7yrs
- Compensation: ø7.16m
Mikael Lindholm (45yo)
Chief Digital Officer
- Tenure: 1.6yrs
Thomas Schulz (54yo)
Group Chief Executive Officer
- Tenure: 6.6yrs
- Compensation: ø13.51m
Anders Wisdom
General Manager of Operations & Maintenance
- Tenure: 0yrs
Sofie Lindberg
Senior Vice President of Group Communications
- Tenure: 0yrs
Manfred Schaffer (61yo)
Mining President
- Tenure: 1.9yrs
Nicolai Mauritzen
Head of Investor Relations
- Tenure: 1.9yrs
Annette Terndrup
Head of Group Legal & Strategy
- Tenure: 6.9yrs
Cori Petersen (50yo)
Head of Group HR and HSE
- Tenure: 1.7yrs
Deon de Kock
President of Region Sub-Saharan Africa & Middle East
- Tenure: 0yrs
Board Members
Tom Knutzen (57yo)
Vice Chairman
- Tenure: 2.6yrs
- Compensation: ø844.00k
Vagn Sørensen (60yo)
Chairman
- Tenure: 8.7yrs
- Compensation: ø1.35m
Thras Moraitis (58yo)
Independent Director
- Tenure: 0.8yrs
Mette Dobel (52yo)
Employee-elected Member
- Tenure: 10.9yrs
- Compensation: ø450.00k
Gill Winckler (56yo)
Independent Director
- Tenure: 0.8yrs
Rob Smith (54yo)
Independent Director
- Tenure: 3.7yrs
- Compensation: ø650.00k
Søren Larsen (41yo)
Employee-Elected Member
- Tenure: 6.9yrs
- Compensation: ø544.00k
Anne Eberhard (56yo)
Independent Director
- Tenure: 2.8yrs
- Compensation: ø431.00k
Claus Østergaard (53yo)
Employee-Elected Member
- Tenure: 2.9yrs
- Compensation: ø413.00k
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: ø12.541b
- Shares outstanding: 50.04m
- 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
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| FLS | CPSE (OMX Nordic Exchange Copenhagen) | Yes | Common Shares | DK | DKK | Jan 1992 |
| F6O1 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jan 1992 |
| 0OJA | LSE (London Stock Exchange) | Yes | Common Shares | GB | DKK | Jan 1992 |
| FLID.F | OTCPK (Pink Sheets LLC) | Yes | Common Shares | US | USD | Jan 1992 |
| FLSC | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Common Shares | GB | DKK | Jan 1992 |
| FLID.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | May 2008 |
Biography
FLSmidth & Co. A/S supplies engineering, equipment, and services to the cement and mining industries worldwide. The company operates through Mining and Cement segments. The company also engages in the mini ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/12/07 20:45 |
| End of Day Share Price | 2019/12/06 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.