HLSE:HUH1V

Stock Analysis Report

Executive Summary

Huhtamäki Oyj, through its subsidiaries, manufactures and sells packaging products for food and drinks worldwide.

Snowflake

Fundamentals

Adequate balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HUH1V has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.7%

HUH1V

1.3%

FI Packaging

-0.4%

FI Market


1 Year Return

60.8%

HUH1V

17.6%

FI Packaging

6.2%

FI Market

Return vs Industry: HUH1V exceeded the Finnish Packaging industry which returned 17.6% over the past year.

Return vs Market: HUH1V exceeded the Finnish Market which returned 6.2% over the past year.


Shareholder returns

HUH1VIndustryMarket
7 Day0.7%1.3%-0.4%
30 Day10.3%8.7%1.4%
90 Day18.5%15.1%6.2%
1 Year64.6%60.8%21.6%17.6%11.2%6.2%
3 Year27.4%19.1%35.1%22.2%34.8%18.5%
5 Year129.3%106.3%95.1%66.4%55.1%25.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

26.62x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HUH1V (€41.12) is trading above our estimate of fair value (€39.32)

Significantly Below Fair Value: HUH1V is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HUH1V is poor value based on its PE Ratio (26.6x) compared to the Packaging industry average (15.3x).

PE vs Market: HUH1V is poor value based on its PE Ratio (26.6x) compared to the Finnish market (19.1x).


Price to Earnings Growth Ratio

PEG Ratio: HUH1V is poor value based on its PEG Ratio (2.3x)


Price to Book Ratio

PB vs Industry: HUH1V is overvalued based on its PB Ratio (3.2x) compared to the XE Packaging industry average (1.5x).


Next Steps

Future Growth

How is Huhtamäki Oyj forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

11.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HUH1V's forecast earnings growth (11.5% per year) is above the savings rate (0.5%).

Earnings vs Market: HUH1V's earnings (11.5% per year) are forecast to grow slower than the Finnish market (14% per year).

High Growth Earnings: HUH1V's earnings are forecast to grow, but not significantly.

Revenue vs Market: HUH1V's revenue (4.9% per year) is forecast to grow faster than the Finnish market (1.5% per year).

High Growth Revenue: HUH1V's revenue (4.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HUH1V's Return on Equity is forecast to be low in 3 years time (16.6%).


Next Steps

Past Performance

How has Huhtamäki Oyj performed over the past 5 years?

5.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HUH1V has high quality earnings.

Growing Profit Margin: HUH1V's current net profit margins (4.8%) are lower than last year (6.1%).


Past Earnings Growth Analysis

Earnings Trend: HUH1V's earnings have grown by 5.9% per year over the past 5 years.

Accelerating Growth: HUH1V's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HUH1V had negative earnings growth (-13.2%) over the past year, making it difficult to compare to the Packaging industry average (2.3%).


Return on Equity

High ROE: HUH1V's Return on Equity (12.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Huhtamäki Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: HUH1V's short term assets (€1.3B) exceeds its short term liabilities (€1.1B)

Long Term Liabilities: HUH1V's short term assets (1.3B) exceeds its long term liabilities (1.0B)


Debt to Equity History and Analysis

Debt Level: HUH1V's debt to equity ratio (78.1%) is considered high

Reducing Debt: HUH1V's debt to equity ratio has increased from 75% to 78.1% over the past 5 years.

Debt Coverage: HUH1V's debt is well covered by operating cash flow (31.2%).

Interest Coverage: HUH1V's interest payments on its debt are well covered by EBIT (11.7x coverage).


Balance Sheet

Inventory Level: HUH1V has a high level of physical assets or inventory.

Debt Coverage by Assets: HUH1V's debt is covered by short term assets (assets are 1.2x debt).


Next Steps

Dividend

What is Huhtamäki Oyj's current dividend yield, its reliability and sustainability?

2.04%

Current Dividend Yield


Dividend Yield vs Market

company2.0%marketbottom25%2.2%markettop25%4.8%industryaverage2.8%forecastin3Years2.4%

Current dividend yield vs market & industry

Notable Dividend: HUH1V's dividend (2.04%) isn’t notable compared to the bottom 25% of dividend payers in the Finnish market (2.22%).

High Dividend: HUH1V's dividend (2.04%) is low compared to the top 25% of dividend payers in the Finnish market (4.76%).


Stability and Growth of Payments

Stable Dividend: HUH1V's dividends per share have been stable in the past 10 years.

Growing Dividend: HUH1V's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (54.4%), HUH1V's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HUH1V's dividends in 3 years are forecast to be well covered by earnings (44.4% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Charles Héaulmé (53yo)

0.6yrs

Tenure

0

Mr. Charles Héaulmé, BBA has been the Chief Executive Officer and President of Huhtamäki Oyj since April 26, 2019. Mr. Héaulmé joined Huhtamaki from Tetra Pak International S.A., where his latest position  ...


Management Age and Tenure

4.1yrs

Average Tenure

52yo

Average Age

Experienced Management: HUH1V's management team is considered experienced (4.1 years average tenure).


Board Age and Tenure

3.6yrs

Average Tenure

64yo

Average Age

Experienced Board: HUH1V's board of directors are considered experienced (3.6 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

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Clay Dunn (62yo)

    Executive Vice President of North America Region

    • Tenure: 0yrs
  • Eric Le Lay (57yo)

    Executive Vice President of Foodservice Europe-Asia-Oceania & Fiber Packaging

    • Tenure: 0yrs
  • Leena Lie (51yo)

    Senior VP of Marketing & Communications

    • Tenure: 1.3yrs
  • Olli Koponen (60yo)

    Executive Vice President of Flexible Packaging

    • Tenure: 8.8yrs
  • Sami Pauni (45yo)

    Senior VP of Corporate Affairs & Legal and Group General Counsel

    • Tenure: 4.8yrs
  • Teija Sarajärvi (50yo)

    Senior Vice President of Human Resources

    • Tenure: 4.1yrs
  • Thomas Geust (46yo)

    Chief Financial Officer

    • Tenure: 5.3yrs
  • Charles Héaulmé (53yo)

    CEO & President

    • Tenure: 0.6yrs
  • Calle Loikkanen

    Head of Investor Relations & Financial Communications

    • Tenure: 0yrs
  • Wouter van Tol

    Head of Corporate Responsibility

    • Tenure: 2.8yrs

Board Members

  • Pekka Ala-Pietilä (62yo)

    Chairman of the Board

    • Tenure: 6.6yrs
    • Compensation: €143.84k
  • Kerttu Tuomas (62yo)

    Vice Chairman

    • Tenure: 0.6yrs
    • Compensation: €78.00k
  • Ralf Wunderlich (53yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: €32.50k
  • Bill Barker (70yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: €77.00k
  • Doug Baillie (64yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: €78.00k
  • Anja Korhonen (66yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: €53.75k
  • Sandra Turner (67yo)

    Independent Director

    • Tenure: 8.6yrs
    • Compensation: €77.00k

Company Information

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


Key Information

  • Name: Huhtamäki Oyj
  • Ticker: HUH1V
  • Exchange: HLSE
  • Founded: 1920
  • Industry: Paper Packaging
  • Sector: Materials
  • Market Cap: €4.291b
  • Shares outstanding: 104.35m
  • Website: https://www.huhtamaki.com

Number of Employees


Location

  • Huhtamäki Oyj
  • Revontulenkuja 1
  • Espoo
  • Uusimaa
  • 2100
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HUH1VHLSE (OMX Nordic Exchange Helsinki)YesSeries I SharesFIEURFeb 1984
HUKIDB (Deutsche Boerse AG)YesSeries I SharesDEEURFeb 1984
0K9WLSE (London Stock Exchange)YesSeries I SharesGBEURFeb 1984
HOYF.FOTCPK (Pink Sheets LLC)YesSeries I SharesUSUSDFeb 1984
HUH1VHBATS-CHIXE (BATS 'Chi-X Europe')YesSeries I SharesGBEURFeb 1984

Biography

Huhtamäki Oyj, through its subsidiaries, manufactures and sells packaging products for food and drinks worldwide. It operates through Foodservice Packaging, Flexible Packaging, and Fiber Packaging business ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/16 20:41
End of Day Share Price2019/11/15 00:00
Earnings2019/09/30
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.