BME:OHL

Stock Analysis Report

Obrascón Huarte Lain

Executive Summary

Obrascón Huarte Lain, S.A. engages in the concessions and construction businesses primarily in Spain, the United States, Canada, Mexico, Colombia, Peru, Chile, and Central Europe.

Snowflake

Fundamentals

Excellent balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Obrascón Huarte Lain's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: OHL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.4%

OHL

-2.7%

ES Construction

0.6%

ES Market


1 Year Return

3.4%

OHL

19.6%

ES Construction

3.1%

ES Market

Return vs Industry: OHL underperformed the Spanish Construction industry which returned 19.6% over the past year.

Return vs Market: OHL matched the Spanish Market which returned 3.1% over the past year.


Shareholder returns

OHLIndustryMarket
7 Day-0.4%-2.7%0.6%
30 Day6.5%1.0%1.3%
90 Day-0.7%3.4%6.5%
1 Year3.4%3.4%23.3%19.6%6.9%3.1%
3 Year-67.0%-69.9%50.2%41.4%21.1%9.6%
5 Year-91.1%-95.3%44.6%10.3%13.1%-6.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Obrascón Huarte Lain undervalued compared to its fair value and its price relative to the market?

0.38x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate OHL's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate OHL's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: OHL is unprofitable, so we can't compare its PE Ratio to the Construction industry average.

PE vs Market: OHL is unprofitable, so we can't compare its PE Ratio to the Spanish market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: OHL is good value based on its PB Ratio (0.4x) compared to the ES Construction industry average (2x).


Next Steps

Future Growth

How is Obrascón Huarte Lain forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

56.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OHL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.5%).

Earnings vs Market: OHL is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: OHL's is expected to become profitable in the next 3 years.

Revenue vs Market: OHL's revenue (2.8% per year) is forecast to grow slower than the Spanish market (3.4% per year).

High Growth Revenue: OHL's revenue (2.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OHL's Return on Equity is forecast to be low in 3 years time (0.9%).


Next Steps

Past Performance

How has Obrascón Huarte Lain performed over the past 5 years?

-54.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OHL has large one-off items impacting its financial results.

Growing Profit Margin: OHL's current net profit margins (-22.4%) are lower than last year (-8.8%).


Past Earnings Growth Analysis

Earnings Trend: OHL is unprofitable, and losses have increased over the past 5 years at a rate of -54.4% per year.

Accelerating Growth: Unable to compare OHL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: OHL is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (14.6%).


Return on Equity

High ROE: OHL has a negative Return on Equity (-83.61%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Obrascón Huarte Lain's financial position?


Financial Position Analysis

Short Term Liabilities: OHL's short term assets (€2.6B) exceeds its short term liabilities (€2.4B)

Long Term Liabilities: OHL's short term assets (2.6B) exceeds its long term liabilities (784.9M)


Debt to Equity History and Analysis

Debt Level: OHL's debt to equity ratio (107.1%) is considered high

Reducing Debt: OHL's debt to equity ratio has reduced from 220.5% to 107.1% over the past 5 years.


Balance Sheet

Inventory Level: OHL has a low level of unsold assets or inventory.

Debt Coverage by Assets: OHL's debt is covered by short term assets (assets are 3.2x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: OHL has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: OHL has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -12.2% each year


Next Steps

Dividend

What is Obrascón Huarte Lain's current dividend yield, its reliability and sustainability?

34.37%

Current Dividend Yield


Dividend Yield vs Market

company34.4%marketbottom25%2.3%markettop25%5.6%industryaverage3.9%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: OHL's dividend (34.37%) is higher than the bottom 25% of dividend payers in the Spanish market (2.34%).

High Dividend: OHL's dividend (34.37%) is in the top 25% of dividend payers in the Spanish market (5.58%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: Unable to calculate sustainability of dividends as OHL has not reported any payouts.


Future Payout to Shareholders

Future Dividend Coverage: OHL is not forecast to pay a dividend in 3 years.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Jose Antonio Fernández Gallar 0

0yrs

Tenure

0

Mr. Jose Antonio Fernández Gallar is Second Deputy Chairman and Chief Executive Officer at Obrascón Huarte Lain, S.A. since June 28, 2018. He is Civil Engineer specialized in hydraulic and energy by the Un ...


Management Age and Tenure

2.1yrs

Average Tenure

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


Board Age and Tenure

3.0yrs

Average Tenure

Experienced Board: OHL's board of directors are considered experienced (3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Sell€1,34003 Jan 19
Carmen de Andrés Conde
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares2,000
Max Price€0.67

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Jose Maria del Cuvillo Pemán (57yo)

    GM of Legal Advice & Secretary

    • Tenure: 0yrs
  • Ángel Puente De Lucas

    Technical General Manager

    • Tenure: 0yrs
  • Andrés Pan de Soraluce Muguiro

    Managing Director of Development

    • Tenure: 2.1yrs
  • Ignacio Botella Rodriguez

    Managing Director of Engineering & Construction

    • Tenure: 2.1yrs
  • Alfonso Orantes Casado de Amezua

    Chief Strategy

    • Tenure: 2.1yrs
  • Gonzalo Targhetta Reina

    Chief Organization & Corporate Resources Officer

    • Tenure: 2.1yrs
  • Jose Antonio Fernández Gallar

    Second Deputy Chairman & CEO

    • Tenure: 0yrs
  • Ignacio Cano Torollo

    General Manager of Human Resources & General Services

    • Tenure: 0yrs
  • Jose María Sagardoy Llonis

    Chief Financial Officer

    • Tenure: 0yrs
  • Pedro Villanueva

    Director of Investor Relation

    • Tenure: 0yrs

Board Members

  • Juan Villar-Mir de Fuentes (57yo)

    Chairman & President of the Administrative Advisory Board

    • Tenure: 3.4yrs
    • Compensation: €130.00k
  • Juan José Nieto Bueso (52yo)

    Lead Independent Director

    • Tenure: 2.7yrs
    • Compensation: €242.50k
  • Silvia Villar-Mir de Fuentes

    First Deputy Chairman

    • Tenure: 3.4yrs
    • Compensation: €110.00k
  • Reyes Calderón Cuadrado

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: €235.00k
  • Manuel Garrido Ruano

    Proprietary Director

    • Tenure: 3.4yrs
    • Compensation: €130.00k
  • Juan Antonio Santamera Sánchez

    Non-Executive Director

    • Tenure: 3.4yrs
    • Compensation: €130.00k
  • Javier Goñi de Cacho

    Proprietary Director

    • Tenure: 2.5yrs
    • Compensation: €110.00k
  • Jose Antonio Fernández Gallar

    Second Deputy Chairman & CEO

    • Tenure: 0yrs
  • Carmen de Andrés Conde

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: €75.00k
  • César Cañedo-Argüelles Torrejón

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: €65.00k

Company Information

Obrascón Huarte Lain, S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Obrascón Huarte Lain, S.A.
  • Ticker: OHL
  • Exchange: BME
  • Founded: 1911
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: €290.534m
  • Shares outstanding: 286.10m
  • Website: https://www.ohl.es

Number of Employees


Location

  • Obrascón Huarte Lain, S.A.
  • Paseo de la Castellana, 259 D
  • Torrespacio
  • Madrid
  • Madrid
  • 28046
  • Spain

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OHLBME (Bolsas y Mercados Espanoles)YesCommon StockESEURMar 1995
HUADB (Deutsche Boerse AG)YesCommon StockDEEURMar 1995
0MKGLSE (London Stock Exchange)YesCommon StockGBEURMar 1995
OBSJ.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDMar 1995
OHLEBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBEURMar 1995
OHL NBMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNMar 1995

Biography

Obrascón Huarte Lain, S.A. engages in the concessions and construction businesses primarily in Spain, the United States, Canada, Mexico, Colombia, Peru, Chile, and Central Europe. The company operates thro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/11 20:32
End of Day Share Price2019/11/11 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.