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LHV1

AS LHV GroupTLSE:LHV1T Stock Report

Market Cap

€1.3b

7D

-1.3%

1Y

168.2%

Updated

26 Nov, 2021

Data

Company Financials
LHV1T fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance5/6
Financial Health4/6
Dividends0/6

LHV1T Stock Overview

AS LHV Group, through its subsidiaries, provides banking, security brokerage, financial advisory, finance lease, and other lending services to private and business clients in Estonia.

AS LHV Group Competitors

AB Siauliu Bankas

NSEL:SAB1L

€446.4m

Price History & Performance

Summary of all time highs, changes and price drops for AS LHV Group
Historical stock prices
Current Share Price€45.20
52 Week High€48.50
52 Week Low€16.45
Beta0.75
1 Month Change0.22%
3 Month Change4.87%
1 Year Change168.25%
3 Year Change343.14%
5 Year Change392.38%
Change since IPO543.88%

Recent News & Updates

Aug 19
Do AS LHV Group's (TAL:LHV1T) Earnings Warrant Your Attention?

Do AS LHV Group's (TAL:LHV1T) Earnings Warrant Your Attention?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Shareholder Returns

LHV1TEE BanksEE Market
7D-1.3%-5.2%-1.4%
1Y168.2%20.2%48.6%

Return vs Industry: LHV1T exceeded the EE Banks industry which returned 20.2% over the past year.

Return vs Market: LHV1T exceeded the EE Market which returned 48.6% over the past year.

Price Volatility

Is LHV1T's price volatile compared to industry and market?
LHV1T volatility
LHV1T Average Weekly Movement6.9%
Banks Industry Average Movement3.4%
Market Average Movement3.5%
10% most volatile stocks in EE Market9.1%
10% least volatile stocks in EE Market1.9%

Stable Share Price: LHV1T is not significantly more volatile than the rest of EE stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: LHV1T's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1999600Madis Toomsaluhttps://www.lhv.ee

AS LHV Group, through its subsidiaries, provides banking, security brokerage, financial advisory, finance lease, and other lending services to private and business clients in Estonia. It operates through three segments: Retail Banking, Financial Intermediates, and Corporate Banking segments. The company offers demand and fixed-term deposits; pension investment and securities accounts; home and private, consumer, car, home repair, furnishing, health and beauty, student, micro, working capital, investment, margin, and apartment association loans; and overdrafts, leasing, hire-purchase, guarantees, letters of credit, documentary collection, and factoring services, as well as financing the acquisition of a company.

AS LHV Group Fundamentals Summary

How do AS LHV Group's earnings and revenue compare to its market cap?
LHV1T fundamental statistics
Market Cap€1.35b
Earnings (TTM)€57.25m
Revenue (TTM)€128.62m

23.6x

P/E Ratio

5.0x

P/B Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
LHV1T income statement (TTM)
Revenue€128.62m
Cost of Revenue€0
Gross Profit€128.62m
Expenses€71.38m
Earnings€57.25m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Dec 14, 2021

Earnings per share (EPS)1.92
Gross Margin100.00%
Net Profit Margin44.51%
Debt/Equity Ratio241.8%

How did LHV1T perform over the long term?

See historical performance and comparison

Dividends

0.6%

Current Dividend Yield

15%

Payout Ratio

Valuation

Is AS LHV Group undervalued compared to its fair value and its price relative to the market?

23.58x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: LHV1T (€45.2) is trading above our estimate of fair value (€13.82)

Significantly Below Fair Value: LHV1T is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: LHV1T is poor value based on its PE Ratio (23.6x) compared to the European Banks industry average (10.5x).

PE vs Market: LHV1T is poor value based on its PE Ratio (23.6x) compared to the EE market (15.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate LHV1T's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: LHV1T is overvalued based on its PB Ratio (5x) compared to the XE Banks industry average (0.7x).


Future Growth

How is AS LHV Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

4.3%

Forecasted Banks industry annual growth in earnings


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 AS LHV Group 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 SimplyWall St do have past financial data.


Past Performance

How has AS LHV Group performed over the past 5 years?

23.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LHV1T has high quality earnings.

Growing Profit Margin: LHV1T's current net profit margins (44.5%) are higher than last year (33.2%).


Past Earnings Growth Analysis

Earnings Trend: LHV1T's earnings have grown significantly by 23.5% per year over the past 5 years.

Accelerating Growth: LHV1T's earnings growth over the past year (121.6%) exceeds its 5-year average (23.5% per year).

Earnings vs Industry: LHV1T earnings growth over the past year (121.6%) exceeded the Banks industry 34.3%.


Return on Equity

High ROE: Whilst LHV1T's Return on Equity (21.11%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is AS LHV Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: LHV1T's Assets to Equity ratio (23.3x) is very high.

Allowance for Bad Loans: LHV1T has a low allowance for bad loans (92%).

Low Risk Liabilities: 88% of LHV1T's liabilities are made up of primarily low risk sources of funding.

Loan Level: LHV1T has an appropriate level of Loans to Assets ratio (39%).

Low Risk Deposits: LHV1T's Loans to Deposits ratio (47%) is appropriate.

Level of Bad Loans: LHV1T has an appropriate level of bad loans (0.8%).


Dividend

What is AS LHV Group current dividend yield, its reliability and sustainability?

0.64%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: LHV1T's dividend (0.64%) isn’t notable compared to the bottom 25% of dividend payers in the EE market (2.03%).

High Dividend: LHV1T's dividend (0.64%) is low compared to the top 25% of dividend payers in the EE market (5.3%).


Stability and Growth of Payments

Stable Dividend: LHV1T is not paying a notable dividend for the EE market, therefore no need to check if payments are stable.

Growing Dividend: LHV1T is not paying a notable dividend for the EE market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: LHV1T is not paying a notable dividend for the EE market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of LHV1T's dividend in 3 years as they are not forecast to pay a notable one for the EE market.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Madis Toomsalu

4.92yrs

Tenure

Mr. Madis Toomsalu serves as Member of the Supervisory Board at AS LHV Finance since June 26, 2020. He has been the Chief Executive Officer of AS LHV Group since December 5, 2016 and serves as its Member o...


Leadership Team

Experienced Management: LHV1T's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: LHV1T's board of directors are seasoned and experienced ( 11.8 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 been diluted in the past year, with total shares outstanding growing by 3.6%.


Top Shareholders

Company Information

AS LHV Group's employee growth, exchange listings and data sources


Key Information

  • Name: AS LHV Group
  • Ticker: LHV1T
  • Exchange: TLSE
  • Founded: 1999
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: €1.350b
  • Shares outstanding: 29.86m
  • Website: https://www.lhv.ee

Number of Employees


Location

  • AS LHV Group
  • Tartu mnt 2
  • Tallinn
  • 10145
  • Estonia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/26 21:30
End of Day Share Price2021/11/26 00:00
Earnings2021/09/30
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.