HLSE:LAT1V

Stock Analysis Report

Executive Summary

Lassila & Tikanoja Oyj operates as a service company in Finland, Sweden, and Russia.

Snowflake

Fundamentals

Proven track record and fair value.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.6%

LAT1V

-0.2%

FI Commercial Services

0.8%

FI Market


1 Year Return

-17.0%

LAT1V

5.3%

FI Commercial Services

5.5%

FI Market

Return vs Industry: LAT1V underperformed the Finnish Commercial Services industry which returned 5.3% over the past year.

Return vs Market: LAT1V underperformed the Finnish Market which returned 5.5% over the past year.


Shareholder returns

LAT1VIndustryMarket
7 Day-0.6%-0.2%0.8%
30 Day-4.3%-4.4%0.5%
90 Day-6.2%-11.5%2.5%
1 Year-11.8%-17.0%8.6%5.3%10.4%5.5%
3 Year-16.7%-29.1%7.3%-2.7%29.6%14.2%
5 Year17.6%-9.0%30.5%10.3%62.9%31.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Lassila & Tikanoja Oyj undervalued compared to its fair value and its price relative to the market?

27.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LAT1V (€13.02) is trading below our estimate of fair value (€18.03)

Significantly Below Fair Value: LAT1V is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LAT1V is good value based on its PE Ratio (13.3x) compared to the Commercial Services industry average (16.4x).

PE vs Market: LAT1V is good value based on its PE Ratio (13.3x) compared to the Finnish market (20x).


Price to Earnings Growth Ratio

PEG Ratio: LAT1V is poor value based on its PEG Ratio (11.4x)


Price to Book Ratio

PB vs Industry: LAT1V is overvalued based on its PB Ratio (2.6x) compared to the FI Commercial Services industry average (1.4x).


Next Steps

Future Growth

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

1.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LAT1V's forecast earnings growth (1.2% per year) is above the savings rate (0.5%).

Earnings vs Market: LAT1V's earnings (1.2% per year) are forecast to grow slower than the Finnish market (13.4% per year).

High Growth Earnings: LAT1V's earnings are forecast to grow, but not significantly.

Revenue vs Market: LAT1V's revenue (0.8% per year) is forecast to grow slower than the Finnish market (2.1% per year).

High Growth Revenue: LAT1V's revenue (0.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LAT1V's Return on Equity is forecast to be low in 3 years time (17.4%).


Next Steps

Past Performance

How has Lassila & Tikanoja Oyj performed over the past 5 years?

7.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LAT1V's earnings have grown by 7.5% per year over the past 5 years.

Accelerating Growth: LAT1V's earnings growth over the past year (13.6%) exceeds its 5-year average (7.5% per year).

Earnings vs Industry: LAT1V earnings growth over the past year (13.6%) exceeded the Commercial Services industry 6.5%.


Return on Equity

High ROE: LAT1V's Return on Equity (19.8%) is considered low.


Return on Assets

ROA vs Industry: LAT1V has a higher Return on Assets than the Commercial Services industry average last year.


Return on Capital Employed

ROCE Improving: LAT1V's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Lassila & Tikanoja Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: LAT1V's short term assets (€198.3M) do not cover its short term liabilities (€216.3M)

Long Term Liabilities: LAT1V's short term assets (198.3M) exceeds its long term liabilities (194.2M)


Debt to Equity History and Analysis

Debt Level: LAT1V's debt to equity ratio (67.2%) is considered high

Reducing Debt: LAT1V's debt to equity ratio has increased from 54.1% to 67.2% over the past 5 years.

Debt Coverage: LAT1V's debt is well covered by operating cash flow (76.4%).

Interest Coverage: LAT1V's interest payments on its debt are well covered by EBIT (29.2x coverage).


Balance Sheet

Inventory Level: LAT1V has a high level of physical assets or inventory.

Debt Coverage by Assets: LAT1V's debt is covered by short term assets (assets are 1.555290x debt).


Next Steps

Dividend

What is Lassila & Tikanoja Oyj's current dividend yield, its reliability and sustainability?

7.07%

Current Dividend Yield


Dividend Yield vs Market

company7.1%marketbottom25%2.2%markettop25%5.1%industryaverage3.1%forecastin3Years7.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: LAT1V's dividend (7.07%) is higher than the bottom 25% of dividend payers in the Finnish market (2.24%).

High Dividend: LAT1V's dividend (7.07%) is in the top 25% of dividend payers in the Finnish market (5.06%)

Stable Dividend: LAT1V's dividend payments have been volatile in the past 10 years.

Growing Dividend: LAT1V's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (94%), LAT1V's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LAT1V's dividends in 3 years are not forecast to be well covered by earnings (97% payout ratio).


Next Steps

Management

What is the CEO of Lassila & Tikanoja Oyj's salary, the management and board of directors tenure and is there insider trading?

0.8yrs

Average management tenure


CEO

Eero Hautaniemi (54yo)

0.8yrs

Tenure

€2,100

Compensation

Mr. Eero Hautaniemi, M.Sc. (Econ.), has been President and Chief Executive Officer of Lassila & Tikanoja plc since January 1, 2019 and also serves as it's Member of the Group Executive Board since January  ...


Management Age and Tenure

0.8yrs

Average Tenure

50yo

Average Age

Experienced Management: LAT1V's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Age and Tenure

4.7yrs

Average Tenure

53yo

Average Age

Experienced Board: LAT1V's board of directors are considered experienced (4.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Eero Hautaniemi (54yo)

    President

    • Tenure: 0.8yrs
    • Compensation: €2.10k
  • Jorma Mikkonen (56yo)

    Director of Corporate Relations & Responsibility and Member of the Group Executive Board

    • Tenure: 4.3yrs
  • Sirpa Huopalainen (54yo)

    General Counsel

    • Tenure: 0.7yrs
  • Valtteri Palin (46yo)

    CFO & Member of the Group Executive Board

    • Tenure: 0.2yrs
  • Kirsi Matero (51yo)

    • Tenure: 0.4yrs
  • Antti Tervo (41yo)

    VP of Industrial Services & Member of the Group Executive Board

    • Tenure: 7.7yrs
  • Tuomas Mäkipeska (41yo)

    VP of Facility Services Finland & Member of the Group Executive Board

    • Tenure: 7.7yrs
  • Petri Salermo (49yo)

    VP of Environmental Services & Member of Group Executive Board

    • Tenure: 6.8yrs
  • Erik Sundström

    VP of Facility Services Sweden & Member of the Group Executive Board

    • Tenure: 0.7yrs

Board Members

  • Heikki Bergholm (63yo)

    Independent Chairman

    • Tenure: 8.7yrs
    • Compensation: €75.80k
  • Teemu Kangas-Kärki (53yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: €39.50k
  • Sakari Lassila (64yo)

    Independent Vice Chairman

    • Tenure: 2.6yrs
    • Compensation: €53.30k
  • Miikka Maijala (52yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: €38.50k
  • Laura Tarkka (49yo)

    Independent Director

    • Tenure: 2.6yrs
    • Compensation: €39.00k
  • Laura Lares (53yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: €38.50k

Company Information

Lassila & Tikanoja Oyj's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Lassila & Tikanoja Oyj
  • Ticker: LAT1V
  • Exchange: HLSE
  • Founded: 1905
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: €498.482m
  • Shares outstanding: 38.29m
  • Website: https://www.lt.fi/fi

Number of Employees


Location

  • Lassila & Tikanoja Oyj
  • Valimotie 27
  • Helsinki
  • Uusimaa
  • 380
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LAT1VHLSE (OMX Nordic Exchange Helsinki)YesOrdinary SharesFIEUROct 2001
LT5DB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 2001
0F29LSE (London Stock Exchange)YesOrdinary SharesGBEUROct 2001
LASK.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 2001
LAT1VHBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 2001

Biography

Lassila & Tikanoja Oyj operates as a service company in Finland, Sweden, and Russia. It operates through four segments: Environmental Services, Industrial Services, Facility Services Finland, and Facility  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 20:37
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.