HLSE:CAV1V

Stock Analysis Report

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Executive Summary

Caverion Oyj, together with its subsidiaries, designs, builds, operates, and maintains technical solutions for buildings, industries, and infrastructures in Northern, Central, and Eastern Europe. More Details


Snowflake Analysis

Reasonable growth potential and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CAV1V has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

4.6%

CAV1V

2.3%

FI Commercial Services

2.2%

FI Market


1 Year Return

7.9%

CAV1V

4.8%

FI Commercial Services

5.3%

FI Market

Return vs Industry: CAV1V exceeded the Finnish Commercial Services industry which returned 2.7% over the past year.

Return vs Market: CAV1V exceeded the Finnish Market which returned 5% over the past year.


Shareholder returns

CAV1VIndustryMarket
7 Day4.6%2.3%2.2%
30 Day0.8%0.4%3.7%
90 Day8.5%6.5%10.1%
1 Year7.9%7.9%7.6%4.8%14.7%5.3%
3 Year-20.3%-21.0%-15.3%-23.1%25.2%3.9%
5 Year-25.6%-28.7%10.4%-7.1%70.5%34.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CAV1V (€6.16) is trading below our estimate of fair value (€12.82)

Significantly Below Fair Value: CAV1V is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CAV1V is poor value based on its PE Ratio (29.3x) compared to the XE Commercial Services industry average (19.2x).

PE vs Market: CAV1V is poor value based on its PE Ratio (29.3x) compared to the Finnish market (23.2x).


Price to Earnings Growth Ratio

PEG Ratio: CAV1V is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: CAV1V is overvalued based on its PB Ratio (4.4x) compared to the FI Commercial Services industry average (2.5x).


Next Steps

Future Growth

How is Caverion Oyj forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

35.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CAV1V's forecast earnings growth (35.8% per year) is above the savings rate (0.4%).

Earnings vs Market: CAV1V's earnings (35.8% per year) are forecast to grow faster than the Finnish market (14.6% per year).

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

Revenue vs Market: CAV1V's revenue (2.7% per year) is forecast to grow slower than the Finnish market (4.5% per year).

High Growth Revenue: CAV1V's revenue (2.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CAV1V's Return on Equity is forecast to be high in 3 years time (21.4%)


Next Steps

Past Performance

How has Caverion Oyj performed over the past 5 years?

-24.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CAV1V has high quality earnings.

Growing Profit Margin: CAV1V became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CAV1V's earnings have declined by 24.2% per year over the past 5 years.

Accelerating Growth: CAV1V has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CAV1V has become profitable in the last year, making it difficult to compare its past year earnings growth to the Commercial Services industry (-2.1%).


Return on Equity

High ROE: CAV1V's Return on Equity (15.8%) is considered low.


Next Steps

Financial Health

How is Caverion Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: CAV1V's short term assets (€664.0M) do not cover its short term liabilities (€753.5M).

Long Term Liabilities: CAV1V's short term assets (€664.0M) exceed its long term liabilities (€320.2M).


Debt to Equity History and Analysis

Debt Level: CAV1V's debt to equity ratio (73.1%) is considered high.

Reducing Debt: CAV1V's debt to equity ratio has increased from 55.2% to 73.1% over the past 5 years.

Debt Coverage: CAV1V's debt is well covered by operating cash flow (122.7%).

Interest Coverage: CAV1V's interest payments on its debt are well covered by EBIT (5.4x coverage).


Balance Sheet


Next Steps

Dividend

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

1.30%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CAV1V's dividend (1.3%) isn’t notable compared to the bottom 25% of dividend payers in the Finnish market (2.1%).

High Dividend: CAV1V's dividend (1.3%) is low compared to the top 25% of dividend payers in the Finnish market (4.73%).


Stability and Growth of Payments

Stable Dividend: CAV1V is not paying a notable dividend for the Finnish market, therefore no need to check if payments are stable.

Growing Dividend: CAV1V is not paying a notable dividend for the Finnish market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: CAV1V is not paying a notable dividend for the Finnish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CAV1V'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?

3.7yrs

Average management tenure


CEO

Ari Lehtoranta (57 yo)

3.67yrs

Tenure

€2,608,017

Compensation

Mr. Ari Tapio Lehtoranta, M.Sc. (Eng.), serves as the Chief Executive Officer and President of Nokian Tyres, Inc. Mr. Lehtoranta has been Chief Executive Officer, President and Member of Management Board a ...


CEO Compensation Analysis

Compensation vs Market: Ari's total compensation ($USD3.09M) is above average for companies of similar size in the Finnish market ($USD539.94K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Ari Lehtoranta
President3.67yrs€2.61m0.58%
€ 4.9m
Martti Ala-Härkönen
CFO of Finance3.17yrsno data0.076%
€ 634.0k
Jarno Hacklin
VP of Project Management & Execution Development and Member of Management Board7.25yrsno datano data
Knut Gaaserud
Executive VP7.25yrsno data0.049%
€ 409.2k
Manfred Simmet
Senior VP7.25yrsno data0.038%
€ 319.3k
Klas Tocklin
Executive VP4.08yrsno datano data
Ville Tamminen
Executive VP of Caverion Finland & Member of Management Board3.67yrsno data0.049%
€ 412.4k
Anne Viitala
Head of Legal & Compliance3.67yrsno data0.037%
€ 306.5k
Minna Schrey-Hyppänen
Head of Human Resources & Safety and Member of Management Board3.25yrsno data0.037%
€ 310.8k
Thomas Hietto
Deputy CEO3.17yrsno data0.065%
€ 541.6k
Juha Mennander
Head of the Caverion Sweden Division & Member of Management Board2.67yrsno data0.037%
€ 307.7k
Michael Kaiser
Executive VP of Caverion Projects & Member of Management Board2.25yrsno data0.066%
€ 553.5k

3.7yrs

Average Tenure

54.5yo

Average Age

Experienced Management: CAV1V's management team is considered experienced (3.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Joachim Hallengren
Independent Director3.5yrs€64.91k0.012%
€ 104.7k
Thomas Hinnerskov
Independent Director3.5yrs€64.91k0.029%
€ 246.4k
Jussi Aho
Director3.5yrs€64.91kno data
Markus Ehrnrooth
Independent Vice Chairman3.5yrs€81.75kno data
Mats Paulsson
Chairman of the Board1.5yrs€97.31kno data
Kristina Jahn
Director0.33yrno datano data
Jasmin Soravia
Director0.33yrno datano data

3.5yrs

Average Tenure

52yo

Average Age

Experienced Board: CAV1V'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

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


Key Information

  • Name: Caverion Oyj
  • Ticker: CAV1V
  • Exchange: HLSE
  • Founded: 1912
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: €838.451m
  • Shares outstanding: 136.11m
  • Website: https://www.caverion.com

Number of Employees


Location

  • Caverion Oyj
  • Torpantie 2
  • Vantaa
  • Uusimaa
  • 1650
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CAV1VHLSE (OMX Nordic Exchange Helsinki)YesShare CapitalFIEURJul 2013
0QFCLSE (London Stock Exchange)YesShare CapitalGBEURJul 2013
CAV1VHBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBEURJul 2013
C7ODB (Deutsche Boerse AG)YesShare CapitalDEEURJul 2013

Biography

Caverion Oyj, together with its subsidiaries, designs, builds, operates, and maintains technical solutions for buildings, industries, and infrastructures in Northern, Central, and Eastern Europe. The compa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/19 02:53
End of Day Share Price2020/09/18 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.