HLSE:PON1V

Stock Analysis Report

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Executive Summary

Ponsse Oyj, together with its subsidiaries, develops, manufactures, and sells cut-to-length forest machines. More Details


Snowflake Analysis

Excellent balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PON1V is less volatile than 75% of Finnish stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: PON1V's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.1%

PON1V

-1.6%

FI Machinery

-2.0%

FI Market


1 Year Return

32.2%

PON1V

18.2%

FI Machinery

16.7%

FI Market

Return vs Industry: PON1V exceeded the Finnish Machinery industry which returned 17.7% over the past year.

Return vs Market: PON1V exceeded the Finnish Market which returned 15.3% over the past year.


Shareholder returns

PON1VIndustryMarket
7 Day0.1%-1.6%-2.0%
30 Day8.2%4.1%-2.4%
90 Day15.5%4.9%3.4%
1 Year33.8%32.2%29.6%18.2%25.1%16.7%
3 Year31.6%23.2%35.6%15.7%34.6%11.3%
5 Year96.4%74.5%72.5%36.0%73.3%35.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

13.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PON1V (€33.5) is trading below our estimate of fair value (€38.64)

Significantly Below Fair Value: PON1V is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: PON1V is good value based on its PE Ratio (29.1x) compared to the FI Machinery industry average (34.7x).

PE vs Market: PON1V is poor value based on its PE Ratio (29.1x) compared to the Finnish market (27.8x).


Price to Earnings Growth Ratio

PEG Ratio: PON1V is poor value based on its PEG Ratio (1.6x)


Price to Book Ratio

PB vs Industry: PON1V is overvalued based on its PB Ratio (3.7x) compared to the FI Machinery industry average (2.5x).


Next Steps

Future Growth

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

18.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PON1V's forecast earnings growth (18.5% per year) is above the savings rate (0.3%).

Earnings vs Market: PON1V's earnings (18.5% per year) are forecast to grow slower than the Finnish market (19.8% per year).

High Growth Earnings: PON1V's earnings are forecast to grow, but not significantly.

Revenue vs Market: PON1V's revenue (4.7% per year) is forecast to grow faster than the Finnish market (3.5% per year).

High Growth Revenue: PON1V's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PON1V's Return on Equity is forecast to be low in 3 years time (19.4%).


Next Steps

Past Performance

How has Ponsse Oyj performed over the past 5 years?

-3.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PON1V has high quality earnings.

Growing Profit Margin: PON1V's current net profit margins (5.1%) are lower than last year (7.8%).


Past Earnings Growth Analysis

Earnings Trend: PON1V's earnings have declined by 3.8% per year over the past 5 years.

Accelerating Growth: PON1V's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: PON1V had negative earnings growth (-37.8%) over the past year, making it difficult to compare to the Machinery industry average (-32.9%).


Return on Equity

High ROE: PON1V's Return on Equity (12.7%) is considered low.


Next Steps

Financial Health

How is Ponsse Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: PON1V's short term assets (€316.1M) exceed its short term liabilities (€167.3M).

Long Term Liabilities: PON1V's short term assets (€316.1M) exceed its long term liabilities (€51.6M).


Debt to Equity History and Analysis

Debt Level: PON1V's debt to equity ratio (42.2%) is considered high.

Reducing Debt: PON1V's debt to equity ratio has reduced from 52.1% to 42.2% over the past 5 years.

Debt Coverage: PON1V's debt is well covered by operating cash flow (69.4%).

Interest Coverage: PON1V's interest payments on its debt are well covered by EBIT (22.6x coverage).


Balance Sheet


Next Steps

Dividend

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

1.79%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: PON1V's dividend (1.79%) isn’t notable compared to the bottom 25% of dividend payers in the Finnish market (1.8%).

High Dividend: PON1V's dividend (1.79%) is low compared to the top 25% of dividend payers in the Finnish market (3.87%).


Stability and Growth of Payments

Stable Dividend: PON1V's dividend payments have been volatile in the past 10 years.

Growing Dividend: PON1V's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.2%), PON1V's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PON1V's dividends in 3 years are forecast to be well covered by earnings (44.6% payout ratio).


Next Steps

Management

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

11.7yrs

Average management tenure


CEO

Juho Nummela (43 yo)

12.67yrs

Tenure

€501,983

Compensation

Dr. Juho Aleksi Nummela, M.Sc. (Eng.), has been the President and Chief Executive Officer of Ponsse Oyj since June 2008. Dr. Nummela serves as Chairman of Management Team at Ponsse Oyj. He serves as the Ch...


CEO Compensation Analysis

Compensation vs Market: Juho's total compensation ($USD0.00) is below average for companies of similar size in the Finnish market ($USD638.14K).

Compensation vs Earnings: Juho's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Juho Nummela
President & CEO12.67yrs€501.98k0.42%
€ 4.0m
Petri Härkönen
CFO & Deputy CEO11.33yrsno data0.027%
€ 259.2k
Juha Inberg
Director of Technology and R&D12.08yrsno data0.046%
€ 432.5k
Marko Mattila
Group Sales & Marketing Director0.67yrno datano data
Paula Oksman
Director of Human Resources & Ponsse Academy15.5yrsno data0.023%
€ 217.6k
Patrick Murphy
Managing Director of Ponsse Machines Ireland1.83yrsno datano data

11.7yrs

Average Tenure

47yo

Average Age

Experienced Management: PON1V's management team is seasoned and experienced (11.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jarmo Vidgren
Chairman0.75yrno data13.16%
€ 124.5m
Juha Vidgren
Director21.08yrs€48.00k22.17%
€ 209.8m
Juha Vanhainen
Independent Director2.83yrs€38.00kno data
Marja Kaario
Independent Vice Chairmanno data€45.00k0.016%
€ 152.1k
Jukka Vidgren
Director9.83yrs€38.00k13.45%
€ 127.2m
Janne Vidgren
Director7.83yrs€38.00k13.18%
€ 124.8m
Matti Kylavainio
Independent Director4.83yrs€38.00kno data

6.3yrs

Average Tenure

50yo

Average Age

Experienced Board: PON1V's board of directors are considered experienced (6.3 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

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


Key Information

  • Name: Ponsse Oyj
  • Ticker: PON1V
  • Exchange: HLSE
  • Founded: 1970
  • Industry: Agricultural and Farm Machinery
  • Sector: Capital Goods
  • Market Cap: €946.392m
  • Shares outstanding: 28.00m
  • Website: https://www.ponsse.com

Number of Employees


Location

  • Ponsse Oyj
  • Ponssentie 22
  • Vieremä
  • Northern Savonia
  • 74200
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PON1VHLSE (OMX Nordic Exchange Helsinki)YesRegistered SharesFIEURJun 1996
PNSBST (Boerse-Stuttgart)YesRegistered SharesDEEURJun 1996
0FNZLSE (London Stock Exchange)YesRegistered SharesGBEURJun 1996
PON1VHBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEURJun 1996

Biography

Ponsse Oyj, together with its subsidiaries, develops, manufactures, and sells cut-to-length forest machines. The company operates in four segments: Northern Europe; Central and Southern Europe; Russia and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/26 19:46
End of Day Share Price2021/02/26 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.