HLSE:LEHTO

Stock Analysis Report

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Executive Summary

Lehto Group Oyj, together with its subsidiaries, engages in the construction and real estate business in Finland. More Details


Snowflake Analysis

Mediocre balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Lehto Group Oyj's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: LEHTO is more volatile than 75% of Finnish stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: LEHTO's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of Finnish stocks.


Market Performance


7 Day Return

8.0%

LEHTO

-0.1%

FI Construction

-1.4%

FI Market


1 Year Return

11.4%

LEHTO

11.9%

FI Construction

29.3%

FI Market

Return vs Industry: LEHTO exceeded the Finnish Construction industry which returned 0.9% over the past year.

Return vs Market: LEHTO underperformed the Finnish Market which returned 18.5% over the past year.


Shareholder returns

LEHTOIndustryMarket
7 Day8.0%-0.1%-1.4%
30 Day52.4%2.0%-1.4%
90 Day66.4%3.9%3.1%
1 Year35.0%11.4%14.5%11.9%38.8%29.3%
3 Year-78.4%-83.7%7.3%-2.3%31.2%8.2%
5 Yearn/a29.4%11.5%72.1%34.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Lehto Group Oyj undervalued compared to its fair value and its price relative to the market?

42.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LEHTO (€1.96) is trading below our estimate of fair value (€3.38)

Significantly Below Fair Value: LEHTO is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: LEHTO's PB Ratio (1.4x) is in line with the XE Construction industry average.


Next Steps

Future Growth

How is Lehto Group Oyj forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

68.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LEHTO is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.3%).

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

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

Revenue vs Market: LEHTO's revenue (1% per year) is forecast to grow slower than the Finnish market (3.8% per year).

High Growth Revenue: LEHTO's revenue (1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LEHTO's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has Lehto Group Oyj performed over the past 5 years?

-42.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LEHTO is currently unprofitable.

Growing Profit Margin: LEHTO is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LEHTO is unprofitable, and losses have increased over the past 5 years at a rate of 42.7% per year.

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

Earnings vs Industry: LEHTO is unprofitable, making it difficult to compare its past year earnings growth to the Construction industry (-0.7%).


Return on Equity

High ROE: LEHTO has a negative Return on Equity (-6.63%), as it is currently unprofitable.


Next Steps

Financial Health

How is Lehto Group Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: LEHTO's short term assets (€320.4M) exceed its short term liabilities (€205.7M).

Long Term Liabilities: LEHTO's short term assets (€320.4M) exceed its long term liabilities (€54.5M).


Debt to Equity History and Analysis

Debt Level: LEHTO's debt to equity ratio (65%) is considered high.

Reducing Debt: LEHTO's debt to equity ratio has increased from 48.9% to 65% over the past 5 years.

Debt Coverage: LEHTO's debt is well covered by operating cash flow (91.5%).

Interest Coverage: Insufficient data to determine if LEHTO's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Lehto Group Oyj current dividend yield, its reliability and sustainability?

1.28%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate LEHTO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate LEHTO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LEHTO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LEHTO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: LEHTO is not paying a notable dividend for the Finnish market.


Future Payout to Shareholders

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


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

Hannu Lehto (57 yo)

6.75yrs

Tenure

€126,000

Compensation

Mr. Hannu Mikael Lehto is an Owner at Päätoimija Oy. Mr. Lehto has been the Chief Executive Officer at Lehto Group Oyj since June 2, 2014 and serves as its Member of Executive Board and served as its Head ...


Leadership Team

NamePositionTenureCompensationOwnership
Hannu Lehto
CEO & Member of Executive Board6.75yrs€126.00kno data
Veli-Pekka Paloranta
CFO & Member of Executive Board5.33yrsno data0.37%
€ 634.8k
Jaakko Heikkilä
Executive VP of Business Premises & Member of Executive Boardno datano data0.73%
€ 1.3m
Timo Reiniluoto
Executive VP of Business Support Services & Member of Executive Boardno datano data0.017%
€ 29.1k
Arto Tolonen
Chief Development Officer & Member of Executive Board2.83yrsno data0.0021%
€ 3.5k
Kaarle Törrönen
Executive VP of Human Resources & Member of Executive Board1.92yrsno data0.0034%
€ 5.9k
Juha Höyhtyä
Executive VP of Housing & Member of the Executive Board1.75yrsno datano data
Jukka Haapalainen
EVP of Factory Production & Member of Executive Board1.58yrsno datano data
Antti Asteljoki
Chief Commercial Officer & Member of Executive Board0.50yrno datano data
Tapani Päkkilä
Chief Information Officer4.58yrsno datano data
Markus Kouhi
General Counselno datano datano data
Teija Kettunen
Director of Communicationsno datano datano data

2.4yrs

Average Tenure

54yo

Average Age

Experienced Management: LEHTO's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Seppo Laine
Independent Chairman0.92yr€41.00k0.031%
€ 53.3k
Mikko Räsänen
Independent Director7.25yrs€49.00k0.0072%
€ 12.3k
Anne Korkiakoski
Independent Director2yrs€40.00k0.024%
€ 41.6k
Helena Säteri
Independent Director0.92yrno datano data
Raimo Lehtiö
Independent Director0.92yrno datano data

0.9yrs

Average Tenure

56yo

Average Age

Experienced Board: LEHTO's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


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 49.4%.


Top Shareholders

Company Information

Lehto Group Oyj's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lehto Group Oyj
  • Ticker: LEHTO
  • Exchange: HLSE
  • Founded: 1976
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: €170.174m
  • Shares outstanding: 87.09m
  • Website: https://www.lehto.fi/en

Number of Employees


Location

  • Lehto Group Oyj
  • Voimatie 6 B
  • Kempele
  • Northern Ostrobothnia
  • 90440
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LEHTOHLSE (OMX Nordic Exchange Helsinki)YesShare CapitalFIEURApr 2016
LEHTOHBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBEURApr 2016
0RFZLSE (London Stock Exchange)YesShare CapitalGBEURApr 2016
L7GDB (Deutsche Boerse AG)YesShare CapitalDEEURApr 2016

Biography

Lehto Group Oyj, together with its subsidiaries, engages in the construction and real estate business in Finland. It constructs business, housing, and social care and educational premises. Lehto Group Oyj ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/08 20:17
End of Day Share Price2021/03/08 00:00
Earnings2020/12/31
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.