TYRE

Nokian Renkaat OyjHLSE:TYRES Stock Report

Market Cap

€4.3b

7D

-1.6%

1Y

28.8%

Updated

17 Sep, 2021

Data

Company Financials +
TYRES fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance4/6
Financial Health6/6
Dividends5/6

TYRES Overview

Nokian Renkaat Oyj develops and manufactures tires in Finland, Nordics, Russia, the rest of Europe, Asia, the Americas, and internationally.

Nokian Renkaat Oyj Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Nokian Renkaat Oyj
Historical stock prices
Current Share Price€31.02
52 Week High€22.53
52 Week Low€36.70
Beta0.71
1 Month Change-6.51%
3 Month Change-6.71%
1 Year Change28.82%
3 Year Change-11.04%
5 Year Change-3.49%
Change since IPO4,663.08%

Recent News & Updates

Aug 04
Nokian Renkaat Oyj (HEL:TYRES) Shares Could Be 33% Above Their Intrinsic Value Estimate

Nokian Renkaat Oyj (HEL:TYRES) Shares Could Be 33% Above Their Intrinsic Value Estimate

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Nokian Renkaat Oyj...

Jul 14
These 4 Measures Indicate That Nokian Renkaat Oyj (HEL:TYRES) Is Using Debt Reasonably Well

These 4 Measures Indicate That Nokian Renkaat Oyj (HEL:TYRES) Is Using Debt Reasonably Well

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Jun 08
Be Wary Of Nokian Renkaat Oyj (HEL:TYRES) And Its Returns On Capital

Be Wary Of Nokian Renkaat Oyj (HEL:TYRES) And Its Returns On Capital

If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...

Shareholder Returns

TYRESFI Auto ComponentsFI Market
7D-1.6%-4.3%-2.5%
1Y28.8%19.3%22.0%

Return vs Industry: TYRES exceeded the Finnish Auto Components industry which returned 25.6% over the past year.

Return vs Market: TYRES exceeded the Finnish Market which returned 22.8% over the past year.

Price Volatility

Is TYRES's price volatile compared to industry and market?
TYRES volatility
TYRES Beta0.71
Industry Beta1.52
Market Beta1

Stable Share Price: TYRES is less volatile than 75% of Finnish stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: TYRES's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18984,822Jukka Moisiohttps://www.nokiantyres.com

Nokian Renkaat Oyj develops and manufactures tires in Finland, Nordics, Russia, the rest of Europe, Asia, the Americas, and internationally. It operates through Passenger Car Tyres, Heavy Tyres, and Vianor segments. The Passenger Car Tyres segment develops and produces summer and winter tires for cars and vans.

Valuation

Is Nokian Renkaat Oyj undervalued compared to its fair value and its price relative to the market?

20.57x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TYRES (€31.32) is trading above our estimate of fair value (€27.22)

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


Price To Earnings Ratio

PE vs Industry: TYRES is poor value based on its PE Ratio (20.8x) compared to the European Auto Components industry average (17.1x).

PE vs Market: TYRES is good value based on its PE Ratio (20.8x) compared to the Finnish market (23.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: TYRES is overvalued based on its PB Ratio (2.9x) compared to the XE Auto Components industry average (1.6x).


Future Growth

How is Nokian Renkaat Oyj forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

12.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TYRES's forecast earnings growth (12.2% per year) is above the savings rate (0.2%).

Earnings vs Market: TYRES's earnings (12.2% per year) are forecast to grow faster than the Finnish market (7.3% per year).

High Growth Earnings: TYRES's earnings are forecast to grow, but not significantly.

Revenue vs Market: TYRES's revenue (5.7% per year) is forecast to grow faster than the Finnish market (3.7% per year).

High Growth Revenue: TYRES's revenue (5.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TYRES's Return on Equity is forecast to be low in 3 years time (15.6%).


Past Performance

How has Nokian Renkaat Oyj performed over the past 5 years?

-2.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TYRES has high quality earnings.

Growing Profit Margin: TYRES's current net profit margins (13.7%) are higher than last year (8%).


Past Earnings Growth Analysis

Earnings Trend: TYRES's earnings have declined by 2.3% per year over the past 5 years.

Accelerating Growth: TYRES's earnings growth over the past year (89.6%) exceeds its 5-year average (-2.3% per year).

Earnings vs Industry: TYRES earnings growth over the past year (89.6%) exceeded the Auto Components industry 36.6%.


Return on Equity

High ROE: TYRES's Return on Equity (14%) is considered low.


Financial Health

How is Nokian Renkaat Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: TYRES's short term assets (€1.1B) exceed its short term liabilities (€495.3M).

Long Term Liabilities: TYRES's short term assets (€1.1B) exceed its long term liabilities (€271.8M).


Debt to Equity History and Analysis

Debt Level: TYRES's debt to equity ratio (11.7%) is considered satisfactory.

Reducing Debt: TYRES's debt to equity ratio has reduced from 14.2% to 11.7% over the past 5 years.

Debt Coverage: TYRES's debt is well covered by operating cash flow (240.8%).

Interest Coverage: TYRES's interest payments on its debt are well covered by EBIT (38.9x coverage).


Balance Sheet


Dividend

What is Nokian Renkaat Oyj current dividend yield, its reliability and sustainability?

3.87%

Current Dividend Yield


Upcoming Dividend Payment

TodaySep 17 2021Ex Dividend DateNov 03 2021Dividend Pay DateDec 09 202136 days from Ex DividendBuy in the next 46 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TYRES's dividend (3.83%) is higher than the bottom 25% of dividend payers in the Finnish market (1.66%).

High Dividend: TYRES's dividend (3.83%) is in the top 25% of dividend payers in the Finnish market (3.63%)


Stability and Growth of Payments

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

Growing Dividend: TYRES's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (79.6%), TYRES's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TYRES's dividends in 3 years are forecast to be covered by earnings (77.5% payout ratio).


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Jukka Moisio (60 yo)

1.33yrs

Tenure

€1,122,660

Compensation

Mr. Jukka Moisio, M.Sc. (Econ), MBA, is the President and Chief Executive Officer at Nokian Renkaat Oyj since May 27, 2020. He served as Chair of the Board at Neles Oyj until March 26, 2021. He serves as D...


CEO Compensation Analysis

Compensation vs Market: Jukka's total compensation ($USD1.32M) is below average for companies of similar size in the Finnish market ($USD2.42M).

Compensation vs Earnings: Insufficient data to compare Jukka's compensation with company performance.


Leadership Team

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


Board Members

Experienced Board: TYRES's board of directors are considered experienced (4.4 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

Nokian Renkaat Oyj's employee growth, exchange listings and data sources


Key Information

  • Name: Nokian Renkaat Oyj
  • Ticker: TYRES
  • Exchange: HLSE
  • Founded: 1898
  • Industry: Tires and Rubber
  • Sector: Automobiles
  • Market Cap: €4.329b
  • Shares outstanding: 138.22m
  • Website: https://www.nokiantyres.com

Number of Employees


Location

  • Nokian Renkaat Oyj
  • Pirkkalaistie 7
  • PO Box 20
  • Nokia
  • Pirkanmaa
  • 37101
  • Finland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/17 17:42
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
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.