HLSE:METSB

Stock Analysis Report

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Executive Summary

Metsä Board Oyj produces barrier boards, folding boxboard, food service boards, and white kraftliners worldwide. More Details


Snowflake Analysis

Flawless balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-5.5%

METSB

-3.1%

FI Forestry

-1.6%

FI Market


1 Year Return

20.4%

METSB

-1.8%

FI Forestry

5.0%

FI Market

Return vs Industry: METSB exceeded the Finnish Forestry industry which returned -1.8% over the past year.

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


Shareholder returns

METSBIndustryMarket
7 Day-5.5%-3.1%-1.6%
30 Day4.2%-0.3%3.6%
90 Day14.7%8.5%7.5%
1 Year25.3%20.4%1.2%-1.8%13.9%5.0%
3 Year25.1%11.2%9.6%-1.9%21.6%0.3%
5 Year49.4%25.1%74.7%5.5%55.3%22.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

20.92x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: METSB (€7.25) is trading above our estimate of fair value (€3.77)

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


Price To Earnings Ratio

PE vs Industry: METSB is poor value based on its PE Ratio (20.9x) compared to the XE Forestry industry average (12.1x).

PE vs Market: METSB is good value based on its PE Ratio (20.9x) compared to the Finnish market (23.8x).


Price to Earnings Growth Ratio

PEG Ratio: METSB is poor value based on its PEG Ratio (3.5x)


Price to Book Ratio

PB vs Industry: METSB is overvalued based on its PB Ratio (2x) compared to the XE Forestry industry average (1x).


Next Steps

Future Growth

How is Metsä Board Oyj forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

5.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: METSB's forecast earnings growth (5.9% per year) is above the savings rate (0.4%).

Earnings vs Market: METSB's earnings (5.9% per year) are forecast to grow slower than the Finnish market (14.8% per year).

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

Revenue vs Market: METSB's revenue (1.7% per year) is forecast to grow slower than the Finnish market (4.6% per year).

High Growth Revenue: METSB's revenue (1.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: METSB's Return on Equity is forecast to be low in 3 years time (11.4%).


Next Steps

Past Performance

How has Metsä Board Oyj performed over the past 5 years?

9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: METSB has high quality earnings.

Growing Profit Margin: METSB's current net profit margins (6.4%) are lower than last year (10.7%).


Past Earnings Growth Analysis

Earnings Trend: METSB's earnings have grown by 9.2% per year over the past 5 years.

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

Earnings vs Industry: METSB had negative earnings growth (-39.8%) over the past year, making it difficult to compare to the Forestry industry average (-28.1%).


Return on Equity

High ROE: METSB's Return on Equity (9.6%) is considered low.


Next Steps

Financial Health

How is Metsä Board Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: METSB's short term assets (€836.5M) exceed its short term liabilities (€368.4M).

Long Term Liabilities: METSB's short term assets (€836.5M) exceed its long term liabilities (€560.9M).


Debt to Equity History and Analysis

Debt Level: METSB's debt to equity ratio (35.1%) is considered satisfactory.

Reducing Debt: METSB's debt to equity ratio has reduced from 65.2% to 35.1% over the past 5 years.

Debt Coverage: METSB's debt is well covered by operating cash flow (64.1%).

Interest Coverage: METSB's interest payments on its debt are well covered by EBIT (12.8x coverage).


Balance Sheet


Next Steps

Dividend

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

3.31%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: METSB's dividend (3.31%) is higher than the bottom 25% of dividend payers in the Finnish market (1.98%).

High Dividend: METSB's dividend (3.31%) is low compared to the top 25% of dividend payers in the Finnish market (4.54%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (69.3%), METSB's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: METSB's dividends in 3 years are forecast to be covered by earnings (59.8% payout ratio).


Next Steps

Management

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

3.7yrs

Average management tenure


CEO

Mika Joukio (56 yo)

6yrs

Tenure

€2,576,018

Compensation

Mr. Mika Joukio, M.Sc. (Eng), MBA, has been the Chief Executive Officer of Metsa Board Oyj since October 1, 2014. Mr. Joukio has been Chief Executive Officer of Metsä Board Corporation since 2014. He has b ...


CEO Compensation Analysis

Compensation vs Market: Mika's total compensation ($USD3.05M) is above average for companies of similar size in the Finnish market ($USD1.62M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Mika Joukio
Chief Executive Officer6yrs€2.58m0.084%
€ 2.2m
Jussi Noponen
Chief Financial Officer4.08yrsno data0.021%
€ 528.5k
Katri Sundström
Vice President of Investor Relationsno datano datano data
Marjo Halonen
Vice President of Communicationsno datano datano data
Sari Pajari-Sederholm
Senior Vice President of Sales & Marketing3.33yrsno data0.019%
€ 478.5k
Camilla Wikström
Senior Vice President of Human Resources1.33yrsno data0.0050%
€ 129.0k
Ari Kiviranta
Senior Vice President of Development6.75yrsno data0.013%
€ 325.9k
Harri Pihlajaniemi
Senior Vice President of Production3.08yrsno datano data

3.7yrs

Average Tenure

51yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Veli Sundbäck
Independent Director7.75yrs€74.20k0.018%
€ 453.8k
Kai Korhonen
Independent Director12.75yrs€98.67k0.059%
€ 1.5m
Hannu Anttila
Independent Director2.58yrs€87.36k0.037%
€ 949.9k
Jukka Moisio
Independent Director0.33yrno datano data
Timo Saukkonen
Director0.33yrno datano data
Jussi Linnaranta
Vice Chairman0.33yr€86.53k0.0040%
€ 102.7k
Ilkka Hamala
Chairman of the Board2.58yrs€123.51k0.062%
€ 1.6m
Kirsi Komi
Independent Director10.75yrs€86.25k0.021%
€ 528.7k
Liisa Leino
Independent Director11.58yrs€85.44k0.050%
€ 1.3m

2.6yrs

Average Tenure

59yo

Average Age

Experienced Board: METSB's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


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

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


Key Information

  • Name: Metsä Board Oyj
  • Ticker: METSB
  • Exchange: HLSE
  • Founded:
  • Industry: Paper Products
  • Sector: Materials
  • Market Cap: €2.574b
  • Shares outstanding: 355.51m
  • Website: https://www.metsaboard.com

Number of Employees


Location

  • Metsä Board Oyj
  • Revontulenpuisto 2
  • Espoo
  • Uusimaa
  • 2100
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MTSA.FOTCPK (Pink Sheets LLC)YesSeries B SharesUSUSDDec 1987
METSBHLSE (OMX Nordic Exchange Helsinki)YesSeries B SharesFIEURDec 1987
0O7ALSE (London Stock Exchange)YesSeries B SharesGBEURDec 1987
MSRBDB (Deutsche Boerse AG)YesSeries B SharesDEEURDec 1987
METSBHBATS-CHIXE (BATS 'Chi-X Europe')YesSeries B SharesGBEURDec 1987
METSAHLSE (OMX Nordic Exchange Helsinki)Series A SharesFIEURJun 1992
0O79LSE (London Stock Exchange)Series A SharesGBEURJun 1992
METSAHBATS-CHIXE (BATS 'Chi-X Europe')Series A SharesGBEURJun 1992

Biography

Metsä Board Oyj produces barrier boards, folding boxboard, food service boards, and white kraftliners worldwide. The company offers lightweight paperboards for consumer goods packaging, retail-ready, and f ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/25 21:08
End of Day Share Price2020/10/23 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.