company background image
WRT1

Wärtsilä Oyj Abp HLSE:WRT1V Stock Report

Last Price

€8.65

Market Cap

€5.1b

7D

2.6%

1Y

-31.5%

Updated

08 Aug, 2022

Data

Company Financials +
WRT1V fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance0/6
Financial Health5/6
Dividends1/6

WRT1V Stock Overview

Wärtsilä Oyj Abp provides technologies and lifecycle solutions for the marine and energy markets worldwide.

Wärtsilä Oyj Abp Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Wärtsilä Oyj Abp
Historical stock prices
Current Share Price€8.65
52 Week High€13.87
52 Week Low€6.90
Beta1.08
1 Month Change9.22%
3 Month Change19.42%
1 Year Change-31.47%
3 Year Change-19.29%
5 Year Change-54.56%
Change since IPO1,631.53%

Recent News & Updates

Shareholder Returns

WRT1VFI MachineryFI Market
7D2.6%0.7%1.2%
1Y-31.5%-33.1%-19.7%

Return vs Industry: WRT1V exceeded the Finnish Machinery industry which returned -34.1% over the past year.

Return vs Market: WRT1V underperformed the Finnish Market which returned -20.2% over the past year.

Price Volatility

Is WRT1V's price volatile compared to industry and market?
WRT1V volatility
WRT1V Average Weekly Movement6.1%
Machinery Industry Average Movement5.5%
Market Average Movement5.0%
10% most volatile stocks in FI Market9.0%
10% least volatile stocks in FI Market3.4%

Stable Share Price: WRT1V is not significantly more volatile than the rest of Finnish stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: WRT1V's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
183417,547Hakan Agnevallhttps://www.wartsila.com

Wärtsilä Oyj Abp provides technologies and lifecycle solutions for the marine and energy markets worldwide. The company’s marine power portfolio includes engines, propulsion systems, hybrid technology, and integrated powertrain systems; marine systems comprising products and lifecycle services related to the gas value chain, exhaust treatment, shaft line, underwater repair, and electrical integrations; voyage solutions consists of bridge infrastructure, cloud data services, decision support systems, and smart port solutions to enable shore-to-shore visibility, as well as builds end-to-end connected digital ecosystem for shipping; and decarbonization energy services include future-fuel enabled balancing power plants, hybrid solutions, energy storage, and optimization technology, such as the GEMS energy management platform. It provides power and propulsion products, such as electrical and power systems, engines and generating sets, propulsors and gears, and shaft line solutions; gas, ballast water management, freshwater generation, waste and wastewater treatment, and exhaust treatment solutions; and voyage and fleet optimization services comprising autonomy, simulation and training, fleet optimization and safety, integrated vessel control systems, port and traffic management, and dynamic positioning services.

Wärtsilä Oyj Abp Fundamentals Summary

How do Wärtsilä Oyj Abp's earnings and revenue compare to its market cap?
WRT1V fundamental statistics
Market Cap€5.10b
Earnings (TTM)€41.00m
Revenue (TTM)€5.36b

124.5x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WRT1V income statement (TTM)
Revenue€5.36b
Cost of Revenue€3.37b
Gross Profit€2.00b
Other Expenses€1.95b
Earnings€41.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Oct 25, 2022

Earnings per share (EPS)0.069
Gross Margin37.21%
Net Profit Margin0.76%
Debt/Equity Ratio33.0%

How did WRT1V perform over the long term?

See historical performance and comparison

Dividends

2.8%

Current Dividend Yield

340%

Payout Ratio

Does WRT1V pay a reliable dividends?

See WRT1V dividend history and benchmarks
When do you need to buy WRT1V by to receive an upcoming dividend?
Wärtsilä Oyj Abp dividend dates
Ex Dividend DateSep 28 2022
Dividend Pay DateOct 06 2022
Days until Ex dividend50 days
Days until Dividend pay date58 days

Does WRT1V pay a reliable dividends?

See WRT1V dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is WRT1V undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for WRT1V?

Other financial metrics that can be useful for relative valuation.

WRT1V key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1x
Enterprise Value/EBITDA17x
PEG Ratio3x

Price to Earnings Ratio vs Peers

How does WRT1V's PE Ratio compare to its peers?

WRT1V PE Ratio vs Peers
The above table shows the PE ratio for WRT1V vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average17.4x
VALMT Valmet Oyj
14.9x8.3%€4.8b
CGCBV Cargotec
8.2x11.2%€2.2b
KCR Konecranes
19.1x26.3%€2.0b
KNEBV KONE Oyj
27.4x11.1%€21.9b
WRT1V Wärtsilä Oyj Abp
124.5x42.2%€5.1b

Price-To-Earnings vs Peers: WRT1V is expensive based on its Price-To-Earnings Ratio (124.5x) compared to the peer average (17.4x).


Price to Earnings Ratio vs Industry

How does WRT1V's PE Ratio compare vs other companies in the European Machinery Industry?

Price-To-Earnings vs Industry: WRT1V is expensive based on its Price-To-Earnings Ratio (124.5x) compared to the Finnish Machinery industry average (26.6x)


Price to Earnings Ratio vs Fair Ratio

What is WRT1V's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

WRT1V PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio124.5x
Fair PE Ratio49.9x

Price-To-Earnings vs Fair Ratio: WRT1V is expensive based on its Price-To-Earnings Ratio (124.5x) compared to the estimated Fair Price-To-Earnings Ratio (49.9x).


Share Price vs Fair Value

What is the Fair Price of WRT1V when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: WRT1V (€8.65) is trading below our estimate of fair value (€18.54)

Significantly Below Fair Value: WRT1V is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


Discover undervalued companies

Future Growth

How is Wärtsilä Oyj Abp forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


42.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WRT1V's forecast earnings growth (42.2% per year) is above the savings rate (0.2%).

Earnings vs Market: WRT1V's earnings (42.2% per year) are forecast to grow faster than the Finnish market (7.8% per year).

High Growth Earnings: WRT1V's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WRT1V's revenue (5.4% per year) is forecast to grow faster than the Finnish market (1.7% per year).

High Growth Revenue: WRT1V's revenue (5.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WRT1V's Return on Equity is forecast to be low in 3 years time (16.6%).


Discover growth companies

Past Performance

How has Wärtsilä Oyj Abp performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-29.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: WRT1V has a large one-off loss of €121.0M impacting its June 30 2022 financial results.

Growing Profit Margin: WRT1V's current net profit margins (0.8%) are lower than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: WRT1V's earnings have declined by 29.9% per year over the past 5 years.

Accelerating Growth: WRT1V's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: WRT1V had negative earnings growth (-71.1%) over the past year, making it difficult to compare to the Machinery industry average (-15.4%).


Return on Equity

High ROE: WRT1V's Return on Equity (2.1%) is considered low.


Discover strong past performing companies

Financial Health

How is Wärtsilä Oyj Abp's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: WRT1V's short term assets (€3.8B) exceed its short term liabilities (€3.3B).

Long Term Liabilities: WRT1V's short term assets (€3.8B) exceed its long term liabilities (€991.0M).


Debt to Equity History and Analysis

Debt Level: WRT1V's net debt to equity ratio (9.1%) is considered satisfactory.

Reducing Debt: WRT1V's debt to equity ratio has increased from 29.6% to 33% over the past 5 years.

Debt Coverage: WRT1V's debt is well covered by operating cash flow (29.5%).

Interest Coverage: WRT1V's interest payments on its debt are well covered by EBIT (23.1x coverage).


Balance Sheet


Discover healthy companies

Dividend

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

Dividend Score

1/6

Dividend Score 1/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.78%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 09 2022Ex Dividend DateSep 28 2022Dividend Pay DateOct 06 20228 days from Ex DividendBuy in the next 50 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: WRT1V's dividend (2.78%) is higher than the bottom 25% of dividend payers in the Finnish market (2.33%).

High Dividend: WRT1V's dividend (2.78%) is low compared to the top 25% of dividend payers in the Finnish market (4.88%).


Stability and Growth of Payments

Stable Dividend: WRT1V's dividend payments have been volatile in the past 10 years.

Growing Dividend: WRT1V's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (339.9%), WRT1V's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (252.9%), WRT1V's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

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

2.1yrs

Average management tenure


CEO

Hakan Agnevall (56 yo)

1.5yrs

Tenure

Mr. Hakan Agnevall, M.Sc. (Tech), MBA., has been the President of Volvo Bussar Aktiebolag (formerly known as Volvo Bussar AB) since June 2013. Mr. Agnevall serves as President and CEO at Wärtsilä Oyj Abp s...


Leadership Team

Experienced Management: WRT1V's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: WRT1V's board of directors are considered experienced (3.9 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

Wärtsilä Oyj Abp's employee growth, exchange listings and data sources


Key Information

  • Name: Wärtsilä Oyj Abp
  • Ticker: WRT1V
  • Exchange: HLSE
  • Founded: 1834
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Implied Market Cap: €5.103b
  • Shares outstanding: 590.02m
  • Website: https://www.wartsila.com

Number of Employees


Location

  • Wärtsilä Oyj Abp
  • Hiililaiturinkuja 2
  • Helsinki
  • Uusimaa
  • 180
  • Finland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/08 00:00
End of Day Share Price2022/08/08 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.