CPSE:TOP

Stock Analysis Report

Executive Summary

Topdanmark A/S, together with its subsidiaries, operates as an insurance company in Denmark.

Snowflake

Fundamentals

Adequate balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.2%

CPSE:TOP

0.03%

DK Insurance

2.0%

DK Market


1 Year Return

22.5%

CPSE:TOP

2.3%

DK Insurance

4.0%

DK Market

TOP outperformed the Insurance industry which returned 1.5% over the past year.

TOP outperformed the Market in Denmark which returned 4.5% over the past year.


Share holder returns

TOPIndustryMarket
7 Day-2.2%0.03%2.0%
30 Day-10.8%-6.7%1.7%
90 Day-7.5%-3.1%3.2%
1 Year28.0%22.5%7.7%2.3%7.2%4.0%
3 Year108.5%86.5%49.2%28.6%29.9%19.2%
5 Year115.2%92.5%53.8%19.3%65.8%41.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Topdanmark undervalued based on future cash flows and its price relative to the stock market?

12%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Topdanmark's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Topdanmark's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Topdanmark is overvalued based on earnings compared to the Europe Insurance industry average.

Topdanmark is overvalued based on earnings compared to the Denmark market.


Price Based on Expected Growth

Topdanmark earnings are not expected to grow next year, we can't assess if its growth is good value.


Price Based on Value of Assets

Topdanmark is overvalued based on assets compared to the Europe Insurance industry average.


Next Steps

Future Growth

How is Topdanmark expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

-0.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Topdanmark's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Topdanmark's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Topdanmark's revenues are expected to decrease over the next 1-3 years, this is below the Denmark market average.

Topdanmark's earnings are expected to decrease over the next 1-3 years, this is below the Denmark market average.

Topdanmark's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Topdanmark is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Topdanmark performed over the past 5 years?

2.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Topdanmark's year on year earnings growth rate has been positive over the past 5 years.

Topdanmark's 1-year earnings growth exceeds its 5-year average (6.3% vs 2.5%)

Topdanmark's earnings growth has not exceeded the Europe Insurance industry average in the past year (6.3% vs 7%).


Return on Equity

Topdanmark has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Topdanmark used its assets more efficiently than the Europe Insurance industry average last year based on Return on Assets.


Return on Capital Employed

Topdanmark's use of capital has not improved over the past 3 years (Return on Capital Employed).


Next Steps

Financial Health

How is Topdanmark's financial position?


Financial Position Analysis

Topdanmark's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Topdanmark's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Topdanmark's level of debt (35%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (48.9% vs 35% today).

Debt is well covered by operating cash flow (475.6%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 26.4x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 2.9x debt.


Next Steps

Dividend

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

5.14%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Topdanmark's pays a higher dividend yield than the bottom 25% of dividend payers in Denmark (1.75%).

Topdanmark's dividend is below the markets top 25% of dividend payers in Denmark (5.01%).

Topdanmark has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

Topdanmark has only been paying a dividend for 2 years, and since then dividends per share have fallen.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are not well covered by earnings (1x coverage).


Next Steps

Management

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

1.5yrs

Average management tenure


CEO

Peter Hermann (46yo)

1.5yrs

Tenure

ø7,286,700

Compensation

Mr. Peter Hermann has been the Chief Executive Officer of Topdanmark A/S since February 5, 2018 and has been its Member of Executive Board since February 5, 2018. Mr. Hermann has been the Chief Executive O ...


CEO Compensation Analysis

Peter's remuneration is lower than average for companies of similar size in Denmark.

Insufficient data for Peter to compare compensation growth.


Management Age and Tenure

1.5yrs

Average Tenure

53yo

Average Age

The average tenure for the Topdanmark management team is less than 2 years, this suggests a new team.


Board Age and Tenure

0.4yrs

Average Tenure

51yo

Average Age

The average tenure for the Topdanmark board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Niels Olesen

    Head of Accounting

    • Tenure: 0.0yrs
  • Lars Thykier (64yo)

    CFO & Member of the Executive Board

    • Tenure: 0.0yrs
    • Compensation: ø6.60m
  • Steffen Heegaard (60yo)

    Group Communications

    • Tenure: 0.0yrs
  • Peter Hermann (46yo)

    CEO & Member of Executive Board

    • Tenure: 1.5yrs
    • Compensation: ø7.29m
  • Lars Skovsende (47yo)

    Head of Intern Revision

    • Tenure: 0.0yrs
  • Jens Ellborg (55yo)

    Head of Reinsurance

    • Tenure: 0.0yrs
  • Brian Jacobsen (56yo)

    Head of Personal

    • Tenure: 3.4yrs
    • Compensation: ø6.30m
  • Thomas Erichsen (47yo)

    Head of Group Development

    • Tenure: 0.8yrs
    • Compensation: ø5.20m
  • Jens Green (53yo)

    Head of Marketing

    • Tenure: 0.0yrs
  • Louise Hørdum (49yo)

    Head of Human Resources

    • Tenure: 1.6yrs

Board Members

  • Petri Niemisvirta (49yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: ø385.00k
  • Ricard Wennerklint (50yo)

    Chairman

    • Tenure: 0.3yrs
    • Compensation: ø642.00k
  • Morten Thorsrud (48yo)

    Director

    • Tenure: 0.3yrs
  • Jens Aaløse (53yo)

    Deputy Chairman

    • Tenure: 1.3yrs
    • Compensation: ø770.00k
  • Mette Jensen (43yo)

    Employee Representative Director

    • Tenure: 4.6yrs
    • Compensation: ø481.00k
  • Anne Eberhard (56yo)

    Director

    • Tenure: 0.3yrs
  • Cristina Hansen (65yo)

    Director

    • Tenure: 0.3yrs
  • Elise Bundgaard (51yo)

    Employee Representative Director

    • Tenure: 0.4yrs
  • Ole Mortensen (62yo)

    Employee Representative Director

    • Tenure: 0.4yrs

Company Information

Topdanmark A/S's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Topdanmark A/S
  • Ticker: TOP
  • Exchange: CPSE
  • Founded: 1985
  • Industry: Multi-line Insurance
  • Sector: Insurance
  • Market Cap: ø28.820b
  • Shares outstanding: 86.86m
  • Website: https://www.topdanmark.com

Number of Employees


Location

  • Topdanmark A/S
  • Borupvang 4
  • Ballerup
  • 2750
  • Denmark

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TOPCPSE (OMX Nordic Exchange Copenhagen)YesOrdinary SharesDKDKKJan 1992
0QCQLSE (London Stock Exchange)YesOrdinary SharesGBDKKJan 1992
TOPCBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBDKKJan 1992
TPDK.YOTCPK (Pink Sheets LLC)ADRUSUSDOct 2008

Biography

Topdanmark A/S, together with its subsidiaries, operates as an insurance company in Denmark. The company offers non-life insurance products, motor insurance policies, professional risk management advice, a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 20:45
End of Day Share Price2019/08/19 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.