HLSE:TIK1V

Stock Analysis Report

Executive Summary

Tikkurila Oyj, a paint company, produces and sells a range of decorative paints for surface protection and decoration to consumers and professionals in Sweden, Russia, Finland, Poland, the Baltic countries, and internationally.

Snowflake

Fundamentals

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.9%

TIK1V

0.4%

FI Chemicals

0.8%

FI Market


1 Year Return

-3.1%

TIK1V

3.0%

FI Chemicals

5.5%

FI Market

Return vs Industry: TIK1V underperformed the Finnish Chemicals industry which returned 3% over the past year.

Return vs Market: TIK1V underperformed the Finnish Market which returned 5.5% over the past year.


Shareholder returns

TIK1VIndustryMarket
7 Day-0.9%0.4%0.8%
30 Day-9.9%0.7%0.6%
90 Day-13.4%2.6%2.7%
1 Year1.2%-3.1%7.0%3.0%10.4%5.5%
3 Year-27.2%-34.8%23.5%12.5%29.6%14.2%
5 Year-7.1%-24.6%52.9%30.7%62.9%31.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: TIK1V (€12.68) is trading below our estimate of fair value (€12.9)

Significantly Undervalued: TIK1V is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: TIK1V is poor value based on its PE Ratio (22.6x) compared to the Chemicals industry average (17.2x).

PE vs Market: TIK1V is poor value based on its PE Ratio (22.6x) compared to the Finnish market (20.2x).


Price to Earnings Growth Ratio

Low PEG Ratio: TIK1V is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: TIK1V is overvalued based on its PB Ratio (3.5x) compared to the XE Chemicals industry average (1.6x).


Next Steps

Future Growth

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

10.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TIK1V's forecast earnings growth (10.2% per year) is above the savings rate (0.5%).

Earnings vs Market: TIK1V's earnings (10.2% per year) are forecast to grow slower than the Finnish market (13.4% per year).

High Growth Earnings: TIK1V's earnings are forecast to grow, but not significantly.

Revenue vs Market: TIK1V's revenue (2.4% per year) is forecast to grow faster than the Finnish market (2.1% per year).

High Growth Revenue: TIK1V's revenue (2.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: TIK1V's Return on Equity is forecast to be high in 3 years time (21.1%)


Next Steps

Past Performance

How has Tikkurila Oyj performed over the past 5 years?

-29.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: TIK1V's earnings have declined by -29% per year over the past 5 years.

Accelerating Growth: TIK1V's earnings growth over the past year (323.6%) exceeds its 5-year average (-29% per year).

Earnings vs Industry: TIK1V earnings growth over the past year (323.6%) exceeded the Chemicals industry 1.7%.


Return on Equity

High ROE: TIK1V's Return on Equity (15.4%) is considered low.


Return on Assets

ROA vs Industry: TIK1V's Return on Assets is below or equal to the Chemicals industry average last year.


Return on Capital Employed

ROCE Improving: TIK1V's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Tikkurila Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: TIK1V's short term assets (€327.9M) exceeds its short term liabilities (€269.6M)

Long Term Liabilities: TIK1V's short term assets (327.9M) exceeds its long term liabilities (99.6M)


Debt to Equity History and Analysis

Debt Level: TIK1V's debt to equity ratio (101%) is considered high

Reducing Debt: TIK1V's debt to equity ratio has increased from 57.3% to 101% over the past 5 years.

Debt Coverage: TIK1V's debt is well covered by operating cash flow (40.9%).

Interest Coverage: TIK1V's interest payments on its debt are well covered by EBIT (53.2x coverage).


Balance Sheet

Inventory Level: TIK1V has a high level of physical assets or inventory.

Debt Coverage by Assets: TIK1V's debt is covered by short term assets (assets are 2.015360x debt).


Next Steps

Dividend

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

2.60%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Tikkurila Oyj before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company2.6%marketbottom25%2.2%markettop25%5.1%industryaverage3.0%forecastin3Years5.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: TIK1V's dividend (2.6%) is higher than the bottom 25% of dividend payers in the Finnish market (2.24%).

High Dividend: TIK1V's dividend (2.6%) is low compared to the top 25% of dividend payers in the Finnish market (5.06%).

Stable Dividend: TIK1V has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: TIK1V has only been paying a dividend for 9 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (58.7%), TIK1V's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TIK1V's dividends in 3 years are forecast to be covered by earnings (78.6% payout ratio).


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Elisa Markula (53yo)

1.5yrs

Tenure

€557,540

Compensation

Ms. Elisa Markula has serves as President and Chief Executive Officer at Tikkurila Oyj since April 12, 2018. She serves as Senior Vice President and Managing Director of Coffee at Paulig Oy since 2010. Ms. ...


CEO Compensation Analysis

Compensation vs. Market: Elisa has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Finnish market.

Compensation vs Earnings: Insufficient data to compare Elisa's compensation with company performance.


Management Age and Tenure

1.3yrs

Average Tenure

45.5yo

Average Age

Experienced Management: TIK1V's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Age and Tenure

5.0yrs

Average Tenure

58yo

Average Age

Experienced Board: TIK1V's board of directors are considered experienced (5 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

  • Elisa Markula (53yo)

    President & CEO

    • Tenure: 1.5yrs
    • Compensation: €557.54k
  • Aleksander Truszczynski

    Head of Business Unit - Poland

    • Tenure: 5.7yrs
  • Meri Vainikka (48yo)

    Senior VP of Offering & Member of Management Board

    • Tenure: 2.4yrs
  • Tapio Pesola (38yo)

    Director of IR & Communications

    • Tenure: 0.4yrs
  • Melisa Bärholm (52yo)

    Senior VP of Human Resources & Member of Management Board

    • Tenure: 2.4yrs
  • Oskari Vidman (43yo)

    Senior VP of Sales & Member of Management Board

    • Tenure: 0.3yrs
  • Fredrik Linde (48yo)

    Senior VP of Operations & Member of Management Board

    • Tenure: 1.3yrs
  • Anders Rotkirch (39yo)

    Senior Vice President of Transformation & ICT

    • Tenure: 0.8yrs
  • Markus Melkko (43yo)

    CFO, Controller & Member of Management Board

    • Tenure: 0.5yrs
  • Sanna Lehti

    General Counsel

    • Tenure: 0yrs

Board Members

  • Petteri Walldén (71yo)

    Independent Vice Chairman of the Board

    • Tenure: 9.8yrs
  • Jari Paasikivi (65yo)

    Chairman

    • Tenure: 9.8yrs
  • Lars Lindfors (55yo)

    Independent Director

    • Tenure: 0.5yrs
  • Riitta Mynttinen (59yo)

    Independent Director

    • Tenure: 8.6yrs
  • Heikki Westerlund (53yo)

    Independent Director

    • Tenure: 1.5yrs
  • Catherine Sahlgren (57yo)

    Independent Director

    • Tenure: 1.5yrs

Company Information

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


Key Information

  • Name: Tikkurila Oyj
  • Ticker: TIK1V
  • Exchange: HLSE
  • Founded: 1862
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: €559.261m
  • Shares outstanding: 44.11m
  • Website: https://www.tikkurilagroup.com

Number of Employees


Location

  • Tikkurila Oyj
  • Heidehofintie 2
  • PO Box 53
  • Vantaa
  • Uusimaa
  • 1300
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
0MFILSE (London Stock Exchange)YesRegistered SharesGBEURMar 2010
TIK1VHLSE (OMX Nordic Exchange Helsinki)YesRegistered SharesFIEURMar 2010
7TODB (Deutsche Boerse AG)YesRegistered SharesDEEURMar 2010
TIK1VHBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEURMar 2010

Biography

Tikkurila Oyj, a paint company, produces and sells a range of decorative paints for surface protection and decoration to consumers and professionals in Sweden, Russia, Finland, Poland, the Baltic countries ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 21:41
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.