VALM

Valmet OyjHLSE:VALMT Stock Report

Market Cap

€4.9b

7D

-4.7%

1Y

40.3%

Updated

17 Sep, 2021

Data

Company Financials +
VALMT fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance5/6
Financial Health5/6
Dividends3/6

VALMT Overview

Valmet Oyj, together with its subsidiaries, develops and supplies process technologies, automation, and services for the pulp, paper, and energy industries.

Share Price & News

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


Latest Share Price and Events

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

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


Market Performance


7 Day Return

-4.7%

VALMT

-5.0%

FI Machinery

-4.2%

FI Market


1 Year Return

40.3%

VALMT

5.6%

FI Machinery

19.8%

FI Market

Return vs Industry: VALMT exceeded the Finnish Machinery industry which returned 7.8% over the past year.

Return vs Market: VALMT exceeded the Finnish Market which returned 22% over the past year.


Shareholder returns

VALMTIndustryMarket
7 Day-4.7%-5.0%-4.2%
30 Day-1.0%-5.7%-2.9%
90 Day-8.6%-7.0%2.0%
1 Year44.6%40.3%8.7%5.6%23.3%19.8%
3 Year90.7%74.1%32.0%10.5%39.8%18.8%
5 Year184.0%144.2%55.9%22.7%75.8%41.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valmet Oyj Fundamentals Summary

How do Valmet Oyj's earnings and revenue compare to its market cap?
VALMT fundamental statistics
Market Cap€4.90b
Earnings (TTM)€278.00m
Revenue (TTM)€3.80b

17.6x

P/E Ratio

1.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VALMT income statement (TTM)
Revenue€3.80b
Cost of Revenue€2.86b
Gross Profit€942.00m
Expenses€664.00m
Earnings€278.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 26, 2021

Earnings per share (EPS)1.86
Gross Margin24.78%
Net Profit Margin7.31%
Debt/Equity Ratio36.5%

How did VALMT perform over the long term?

See historical performance and comparison

Dividends

2.7%

Current Dividend Yield

48%

Payout Ratio

Valuation

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

27.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VALMT (€32.77) is trading below our estimate of fair value (€44.9)

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


Price To Earnings Ratio

PE vs Industry: VALMT is good value based on its PE Ratio (17.6x) compared to the Finnish Machinery industry average (28.6x).

PE vs Market: VALMT is good value based on its PE Ratio (17.6x) compared to the Finnish market (23.7x).


Price to Earnings Growth Ratio

PEG Ratio: VALMT is poor value based on its PEG Ratio (3.4x)


Price to Book Ratio

PB vs Industry: VALMT is overvalued based on its PB Ratio (4.3x) compared to the FI Machinery industry average (2.7x).


Future Growth

How is Valmet Oyj forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

5.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VALMT's forecast earnings growth (5.2% per year) is above the savings rate (0.2%).

Earnings vs Market: VALMT's earnings (5.2% per year) are forecast to grow slower than the Finnish market (7.4% per year).

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

Revenue vs Market: VALMT's revenue (1.8% per year) is forecast to grow slower than the Finnish market (3.7% per year).

High Growth Revenue: VALMT's revenue (1.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VALMT's Return on Equity is forecast to be high in 3 years time (23.1%)


Past Performance

How has Valmet Oyj performed over the past 5 years?

24.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VALMT has high quality earnings.

Growing Profit Margin: VALMT's current net profit margins (7.3%) are higher than last year (5.5%).


Past Earnings Growth Analysis

Earnings Trend: VALMT's earnings have grown significantly by 24.5% per year over the past 5 years.

Accelerating Growth: VALMT's earnings growth over the past year (35.6%) exceeds its 5-year average (24.5% per year).

Earnings vs Industry: VALMT earnings growth over the past year (35.6%) underperformed the Machinery industry 35.6%.


Return on Equity

High ROE: VALMT's Return on Equity (24.3%) is considered high.


Financial Health

How is Valmet Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: VALMT's short term assets (€2.1B) do not cover its short term liabilities (€2.5B).

Long Term Liabilities: VALMT's short term assets (€2.1B) exceed its long term liabilities (€520.0M).


Debt to Equity History and Analysis

Debt Level: VALMT's debt to equity ratio (36.5%) is considered satisfactory.

Reducing Debt: VALMT's debt to equity ratio has reduced from 41.6% to 36.5% over the past 5 years.

Debt Coverage: VALMT's debt is well covered by operating cash flow (128.5%).

Interest Coverage: VALMT's interest payments on its debt are well covered by EBIT (63.2x coverage).


Balance Sheet


Dividend

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

2.75%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VALMT's dividend (2.75%) is higher than the bottom 25% of dividend payers in the Finnish market (1.67%).

High Dividend: VALMT's dividend (2.75%) is low compared to the top 25% of dividend payers in the Finnish market (3.64%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, VALMT has been paying a dividend for less than 10 years.

Growing Dividend: VALMT's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (48.4%), VALMT's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VALMT's dividends in 3 years are forecast to be covered by earnings (52.9% payout ratio).


Next Steps

Management

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

5.8yrs

Average management tenure


CEO

Pasi Laine (58 yo)

no data

Tenure

Mr. Pasi Kalevi Laine, MSc (El Eng) serves as Director at Ilmarinen Mutual Pension Insurance Company since 2019 and its Chairman since 2020. He has been the Chief Executive Officer and President of Neles O...


Leadership Team

Experienced Management: VALMT's management team is seasoned and experienced (5.8 years average tenure).


Board Members

Experienced Board: VALMT's board of directors are considered experienced (3.5 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

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


Key Information

  • Name: Valmet Oyj
  • Ticker: VALMT
  • Exchange: HLSE
  • Founded: 2013
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: €4.898b
  • Shares outstanding: 149.47m
  • Website: https://www.valmet.com

Number of Employees


Location

  • Valmet Oyj
  • Keilasatama 5
  • PO Box 11
  • Espoo
  • Uusimaa
  • 2150
  • Finland

Listings


Biography

Valmet Oyj, together with its subsidiaries, develops and supplies process technologies, automation, and services for the pulp, paper, and energy industries. The company offers solutions and services for th...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/17 22:31
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.