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Verkkokauppa.com Oyj

HLSE:VERK
Snowflake Description

Flawless balance sheet with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
VERK
HLSE
€161M
Market Cap
  1. Home
  2. FI
  3. Retail
Company description

Verkkokauppa.com Oyj operates as an online consumer electronics retailer in Finland. The last earnings update was 73 days ago. More info.


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VERK Share Price and Events
7 Day Returns
-1.1%
HLSE:VERK
-1.3%
Europe Online Retail
-0.3%
FI Market
1 Year Returns
-38.8%
HLSE:VERK
-16.8%
Europe Online Retail
-4%
FI Market
VERK Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Verkkokauppa.com Oyj (VERK) -1.1% 1.4% -12.4% -38.8% -47.9% -10.3%
Europe Online Retail -1.3% -0.5% -6.4% -16.8% 27.3% 61.9%
FI Market -0.3% -0.3% -3.6% -4% 14.5% 24.8%
1 Year Return vs Industry and Market
  • VERK underperformed the Online Retail industry which returned -16.8% over the past year.
  • VERK underperformed the Market in Finland which returned -4% over the past year.
Price Volatility
VERK
Industry
5yr Volatility vs Market
Related Companies

Sorry, no analysis for Verkkokauppa.com Oyj's competitors could be found in our database.

VERK Value

 Is Verkkokauppa.com Oyj undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Verkkokauppa.com Oyj to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Verkkokauppa.com Oyj.

HLSE:VERK Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 10.8%
Perpetual Growth Rate 10-Year FI Government Bond Rate 0.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for HLSE:VERK
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year FI Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.5%
Online Retail Unlevered Beta Simply Wall St/ S&P Global 1.64
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.64 (1 + (1- 20%) (15.93%))
1.569
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.57
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.54% + (1.569 * 6.51%)
10.75%

Discounted Cash Flow Calculation for HLSE:VERK using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Verkkokauppa.com Oyj is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

HLSE:VERK DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 10.75%)
2020 12.75 Analyst x4 11.51
2021 13.45 Analyst x4 10.96
2022 16.67 Analyst x3 12.27
2023 17.97 Analyst x3 11.94
2024 18.94 Est @ 5.42% 11.37
2025 19.69 Est @ 3.96% 10.67
2026 20.27 Est @ 2.93% 9.91
2027 20.72 Est @ 2.21% 9.15
2028 21.07 Est @ 1.71% 8.40
2029 21.36 Est @ 1.36% 7.69
Present value of next 10 years cash flows €103.88
HLSE:VERK DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= €21.36 × (1 + 0.54%) ÷ (10.75% – 0.54%)
€210.23
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €210.23 ÷ (1 + 10.75%)10
€75.70
HLSE:VERK Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €103.88 + €75.70
€179.58
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €179.58 / 44.96
€3.99
HLSE:VERK Discount to Share Price
Calculation Result
Value per share (EUR) From above. €3.99
Current discount Discount to share price of €3.59
= -1 x (€3.59 - €3.99) / €3.99
10.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Verkkokauppa.com Oyj is available for.
Intrinsic value
10%
Share price is €3.59 vs Future cash flow value of €3.99
Current Discount Checks
For Verkkokauppa.com Oyj to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Verkkokauppa.com Oyj's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Verkkokauppa.com Oyj's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Verkkokauppa.com Oyj's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Verkkokauppa.com Oyj's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
HLSE:VERK PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in EUR €0.20
HLSE:VERK Share Price ** HLSE (2019-07-22) in EUR €3.59
Europe Online Retail Industry PE Ratio Median Figure of 29 Publicly-Listed Online Retail Companies 20.48x
Finland Market PE Ratio Median Figure of 108 Publicly-Listed Companies 20.07x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Verkkokauppa.com Oyj.

HLSE:VERK PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= HLSE:VERK Share Price ÷ EPS (both in EUR)

= 3.59 ÷ 0.20

17.87x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Verkkokauppa.com Oyj is good value based on earnings compared to the Europe Online Retail industry average.
  • Verkkokauppa.com Oyj is good value based on earnings compared to the Finland market.
Price based on expected Growth
Does Verkkokauppa.com Oyj's expected growth come at a high price?
Raw Data
HLSE:VERK PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 17.87x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
14.2%per year
Europe Online Retail Industry PEG Ratio Median Figure of 15 Publicly-Listed Online Retail Companies 1.54x
Finland Market PEG Ratio Median Figure of 93 Publicly-Listed Companies 1.77x

*Line of best fit is calculated by linear regression .

HLSE:VERK PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 17.87x ÷ 14.2%

1.26x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Verkkokauppa.com Oyj is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Verkkokauppa.com Oyj's assets?
Raw Data
HLSE:VERK PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in EUR €0.82
HLSE:VERK Share Price * HLSE (2019-07-22) in EUR €3.59
Europe Online Retail Industry PB Ratio Median Figure of 69 Publicly-Listed Online Retail Companies 1.76x
Finland Market PB Ratio Median Figure of 142 Publicly-Listed Companies 1.95x
HLSE:VERK PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= HLSE:VERK Share Price ÷ Book Value per Share (both in EUR)

= 3.59 ÷ 0.82

4.37x

* Primary Listing of Verkkokauppa.com Oyj.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Verkkokauppa.com Oyj is overvalued based on assets compared to the Europe Online Retail industry average.
X
Value checks
We assess Verkkokauppa.com Oyj's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Online Retail industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Online Retail industry average (and greater than 0)? (1 check)
  5. Verkkokauppa.com Oyj has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

VERK Future Performance

 How is Verkkokauppa.com Oyj expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Verkkokauppa.com Oyj expected to grow at an attractive rate?
  • Verkkokauppa.com Oyj's earnings growth is expected to exceed the low risk savings rate of 0.5%.
Growth vs Market Checks
  • Verkkokauppa.com Oyj's earnings growth is expected to exceed the Finland market average.
  • Verkkokauppa.com Oyj's revenue growth is expected to exceed the Finland market average.
Annual Growth Rates Comparison
Raw Data
HLSE:VERK Future Growth Rates Data Sources
Data Point Source Value (per year)
HLSE:VERK Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 14.2%
HLSE:VERK Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 7.4%
Europe Online Retail Industry Earnings Growth Rate Market Cap Weighted Average 41.8%
Europe Online Retail Industry Revenue Growth Rate Market Cap Weighted Average 16.4%
Finland Market Earnings Growth Rate Market Cap Weighted Average 13.9%
Finland Market Revenue Growth Rate Market Cap Weighted Average 2%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
HLSE:VERK Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
HLSE:VERK Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 696 21 2
2022-12-31 660 17 13 2
2021-12-31 626 17 13 4
2020-12-31 573 15 11 4
2019-12-31 524 14 9 4
HLSE:VERK Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-03-31 491 18 9
2018-12-31 478 9 9
2018-09-30 449 9 9
2018-06-30 438 13 8
2018-03-31 435 13 10
2017-12-31 432 23 9
2017-09-30 419 8 9
2017-06-30 406 7 11
2017-03-31 388 13 10
2016-12-31 371 19 10
2016-09-30 364 15 10
2016-06-30 354 10 9

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Verkkokauppa.com Oyj's earnings are expected to grow by 14.2% yearly, however this is not considered high growth (20% yearly).
  • Verkkokauppa.com Oyj's revenue is expected to grow by 7.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
HLSE:VERK Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Verkkokauppa.com Oyj Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

HLSE:VERK Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31 0.29 0.29 0.29 1.00
2021-12-31 0.29 0.34 0.24 4.00
2020-12-31 0.25 0.28 0.22 4.00
2019-12-31 0.20 0.21 0.18 4.00
HLSE:VERK Past Financials Data
Date (Data in EUR Millions) EPS *
2019-03-31 0.20
2018-12-31 0.21
2018-09-30 0.21
2018-06-30 0.18
2018-03-31 0.22
2017-12-31 0.21
2017-09-30 0.21
2017-06-30 0.25
2017-03-31 0.23
2016-12-31 0.22
2016-09-30 0.21
2016-06-30 0.20

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Verkkokauppa.com Oyj is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Verkkokauppa.com Oyj's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Verkkokauppa.com Oyj has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

VERK Past Performance

  How has Verkkokauppa.com Oyj performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Verkkokauppa.com Oyj's growth in the last year to its industry (Online Retail).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Verkkokauppa.com Oyj has delivered over 20% year on year earnings growth in the past 5 years.
  • Verkkokauppa.com Oyj's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Verkkokauppa.com Oyj's 1-year earnings growth is negative, it can't be compared to the Europe Online Retail industry average.
Earnings and Revenue History
Verkkokauppa.com Oyj's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Verkkokauppa.com Oyj Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

HLSE:VERK Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 490.94 9.05 6.67
2018-12-31 477.83 9.33 6.67
2018-09-30 449.14 9.47 5.02
2018-06-30 437.79 8.20 5.02
2018-03-31 434.59 9.71 5.02
2017-12-31 431.87 9.45 5.02
2017-09-30 419.27 9.46 11.19
2017-06-30 406.46 11.22 11.19
2017-03-31 387.52 10.23 11.19
2016-12-31 371.04 10.11 11.19
2016-09-30 363.75 9.66 10.42
2016-06-30 354.39 8.86 10.42
2016-03-31 354.32 9.26 10.42
2015-12-31 343.68 5.44 10.42
2015-09-30 322.73 3.10 9.22
2015-06-30 307.47 2.12 9.22
2015-03-31 288.08 0.56 9.22
2014-12-31 275.78 4.30 9.22
2014-09-30 264.31 4.24 6.36
2014-06-30 253.33 3.95 6.36
2014-03-31 241.52 4.40 6.36
2013-12-31 238.01 4.08 6.36
2012-12-31 224.50 -0.63 7.15

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Verkkokauppa.com Oyj has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Verkkokauppa.com Oyj used its assets more efficiently than the Europe Online Retail industry average last year based on Return on Assets.
  • Verkkokauppa.com Oyj's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Verkkokauppa.com Oyj's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Online Retail industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Verkkokauppa.com Oyj has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

VERK Health

 How is Verkkokauppa.com Oyj's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Verkkokauppa.com Oyj's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Verkkokauppa.com Oyj is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Verkkokauppa.com Oyj's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Verkkokauppa.com Oyj's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Verkkokauppa.com Oyj has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Verkkokauppa.com Oyj Company Filings, last reported 3 months ago.

HLSE:VERK Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 37.00 0.00 34.58
2018-12-31 37.57 0.00 46.75
2018-09-30 38.90 0.00 25.98
2018-06-30 38.26 0.00 21.30
2018-03-31 40.50 0.00 27.99
2017-12-31 36.80 0.00 51.88
2017-09-30 37.95 0.00 29.86
2017-06-30 38.43 0.00 21.93
2017-03-31 39.29 0.00 30.56
2016-12-31 39.45 0.00 41.69
2016-09-30 34.21 0.00 29.38
2016-06-30 31.07 0.00 20.53
2016-03-31 30.26 0.00 20.82
2015-12-31 35.59 0.00 30.77
2015-09-30 31.39 1.32 23.19
2015-06-30 29.05 1.54 19.83
2015-03-31 27.84 1.76 15.77
2014-12-31 36.62 8.49 35.31
2014-09-30 34.49 2.20 28.53
2014-06-30 33.13 2.42 26.19
2014-03-31 14.62 2.64 15.25
2013-12-31 7.87 12.54 22.68
2012-12-31 3.51 9.54 13.84
  • Verkkokauppa.com Oyj has no debt.
  • Verkkokauppa.com Oyj has no debt compared to 5 years ago when it was 17.8%.
  • Verkkokauppa.com Oyj has no debt, it does not need to be covered by operating cash flow.
  • Verkkokauppa.com Oyj has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Verkkokauppa.com Oyj's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Verkkokauppa.com Oyj has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

VERK Dividends

 What is Verkkokauppa.com Oyj's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
5.52%
Current annual income from Verkkokauppa.com Oyj dividends. Estimated to be 6.17% next year.
If you bought €2,000 of Verkkokauppa.com Oyj shares you are expected to receive €110 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Verkkokauppa.com Oyj's pays a higher dividend yield than the bottom 25% of dividend payers in Finland (2.25%).
  • Verkkokauppa.com Oyj's dividend is above the markets top 25% of dividend payers in Finland (5.21%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
HLSE:VERK Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
Europe Online Retail Industry Average Dividend Yield Market Cap Weighted Average of 13 Stocks 3.3%
Finland Market Average Dividend Yield Market Cap Weighted Average of 100 Stocks 4.4%
Finland Minimum Threshold Dividend Yield 10th Percentile 1.5%
Finland Bottom 25% Dividend Yield 25th Percentile 2.3%
Finland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

HLSE:VERK Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.23 4.00
2020-12-31 0.23 4.00
2019-12-31 0.21 4.00
HLSE:VERK Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2019-03-06 0.198 5.168
2018-10-26 0.138 3.239
2018-02-19 0.182 3.446
2017-02-15 0.166 2.105
2017-02-10 0.166 2.328
2016-02-18 0.150 2.172
2015-03-18 0.142 2.461

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Verkkokauppa.com Oyj has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Verkkokauppa.com Oyj only paid a dividend in the past 4 years.
Current Payout to shareholders
What portion of Verkkokauppa.com Oyj's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.3x coverage).
X
Income/ dividend checks
We assess Verkkokauppa.com Oyj's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.5%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Verkkokauppa.com Oyj afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Verkkokauppa.com Oyj has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

VERK Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Panu Porkka
COMPENSATION €508,000
AGE 42
TENURE AS CEO 1.3 years
CEO Bio

Mr. Panu Porkka serves as Independent Director of Solteq Oyj since 2019. He has been the Chief Executive Officer of Verkkokauppa.com Oyj since March 22, 2018. Mr. Porkka served as Chief Executive Officer of Suomalainen Kirjakauppa Oy since January 2017. He served as a Director of Verkkokauppa.com Oyj since April 28, 2017 until March 21, 2018. He served as Sales Director of Tokmanni Group Oyj (formerly, Tokmanni Oy) since March 1, 2013 and served as its Member of Executive Group since 2013. Mr. Porkka was responsible for the profitable operation of the Tokmanni Group’s store organisation. He has previously worked in the Lidl organisation in Finland and abroad. He served as a Sales Director of Lidl Switzerland from 2009 to 2010. He served as a Sales Director of International Operations at Lidl Stiftung Germany since 2008. He served as a Sales Director of Lidl Suomi Ky from 2004 to 2007. He served as the Chairman of the Board of Directors of PHP Consulting Oy from 2011 to 2014. He served as the Chairman of the Board of Directors of Waucher Finland Oy from 2011 to 2013. He served as a Member of the Board of Directors of Patakukkonen Oy from 2011 to 2014. He served as a Director of Lvis Finland Group Oy. Previously, Mr. Porkka was a start-up Investor from 2011 to 2012. Mr. Porkka has studied business administration from Otto-von-Guericke University in Germany.

CEO Compensation
  • Insufficient data for Panu to compare compensation growth.
  • Panu's remuneration is higher than average for companies of similar size in Finland.
Management Team Tenure

Average tenure and age of the Verkkokauppa.com Oyj management team in years:

1.3
Average Tenure
43.5
Average Age
  • The average tenure for the Verkkokauppa.com Oyj management team is less than 2 years, this suggests a new team.
Management Team

Panu Porkka

TITLE
Chief Executive Officer
COMPENSATION
€508K
AGE
42
TENURE
1.3 yrs

Sipi Seppälä

TITLE
Founder & Director
COMPENSATION
€62K
AGE
44
TENURE
27.5 yrs

Henrik Weckström

TITLE
Chief Technology Officer
AGE
43
TENURE
20.5 yrs

Jussi Tallgren

TITLE
Chief Financial Officer
AGE
53

Seppo Niemelä

TITLE
Director of Marketing & Communications
AGE
38
TENURE
0.9 yrs

Kalle Koutajoki

TITLE
Chief Sales Officer
AGE
43
TENURE
0.4 yrs

Taina Suorsa

TITLE
Human Resources Director
TENURE
0.5 yrs

Antti Tiitola

TITLE
Managing Director
AGE
52
TENURE
2.8 yrs

Esa Hjerppe

TITLE
Web Sales Director
AGE
50
Board of Directors Tenure

Average tenure and age of the Verkkokauppa.com Oyj board of directors in years:

6
Average Tenure
49
Average Age
  • The tenure for the Verkkokauppa.com Oyj board of directors is about average.
Board of Directors

Christoffer Häggblom

TITLE
Chairman
COMPENSATION
€75K
AGE
38

Sipi Seppälä

TITLE
Founder & Director
COMPENSATION
€62K
AGE
44
TENURE
21.5 yrs

Henrik Weckström

TITLE
Chief Technology Officer
AGE
43
TENURE
18.5 yrs

Kai Aarne Seikku

TITLE
Independent Director
COMPENSATION
€45K
AGE
54
TENURE
6.5 yrs

Mikael Hagman

TITLE
Independent Director
COMPENSATION
€50K
AGE
51
TENURE
5.5 yrs

Robert Burén

TITLE
Independent Director
COMPENSATION
€32K
AGE
49
TENURE
2.3 yrs

Arja Talma

TITLE
Independent Director
AGE
57
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Verkkokauppa.com Oyj's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Verkkokauppa.com Oyj has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

VERK News

Simply Wall St News

A Look At The Fair Value Of Verkkokauppa.com Oyj (HEL:VERK)

Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) estimate 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF (€, Millions) €12.8m €13.5m €16.7m €16.2m €15.8m €15.7m €15.5m €15.5m €15.5m €15.5m Growth Rate Estimate Source Analyst x4 Analyst x4 Analyst x3 Analyst x3 Est @ -1.97% Est @ -1.22% Est @ -0.69% Est @ -0.32% Est @ -0.06% Est @ 0.12% Present Value (€, Millions) Discounted @ 10.71% €11.5 €11.0 €12.3 €10.8 €9.5 €8.5 €7.6 €6.9 €6.2 €5.6 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= €89.8m After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 10-year government bond rate of 0.5%. … HLSE:VERK Intrinsic value, July 12th 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

Will Verkkokauppa.com Oyj's (HEL:VERK) Earnings Grow In The Year Ahead?

Based on Verkkokauppa.com Oyj's (HEL:VERK) earnings update in March 2019, analyst consensus outlook appear cautiously subdued, with earnings expected to grow by 6.2% in the upcoming year relative to the higher past 5-year average growth rate of 22%. … To reduce the year-on-year volatility of analyst earnings forecast, I've inserted a line of best fit through the expected earnings figures to determine the annual growth rate from the slope of the line. … HLSE:VERK Past and Future Earnings, July 2nd 2019 From the current net income level of €9.3m and the final forecast of €14m by 2022, the annual rate of growth for VERK’s earnings is 14%.

Simply Wall St -

Here's How P/E Ratios Can Help Us Understand Verkkokauppa.com Oyj (HEL:VERK)

We'll look at Verkkokauppa.com Oyj's (HEL:VERK) P/E ratio and reflect on what it tells us about the company's share price. … See our latest analysis for Verkkokauppa.com Oyj How Do I Calculate A Price To Earnings Ratio? … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Verkkokauppa.com Oyj: P/E of 18.02 = €3.62 ÷ €0.20 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good?

Simply Wall St -

Would Verkkokauppa.com Oyj (HEL:VERK) Be Valuable To Income Investors?

Verkkokauppa.com Oyj's dividend payments have fluctuated, so it hasn't grown 8.7% every year, but the CAGR is a useful rule of thumb for approximating the historical growth. … Conclusion To summarise, shareholders should always check that Verkkokauppa.com Oyj's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend. … We were also glad to see it growing earnings, but it was concerning to see the dividend has been cut at least once in the past.

Simply Wall St -

Verkkokauppa.com Oyj (HEL:VERK): Does The Earnings Decline Make It An Underperformer?

Analyzing Verkkokauppa.com Oyj's (HEL:VERK) track record of past performance is a valuable exercise for investors. … See our latest analysis for Verkkokauppa.com Oyj Commentary On VERK's Past Performance VERK's trailing twelve-month earnings (from 31 March 2019) of €9.0m has declined by -6.9% compared to the previous year. … Furthermore, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 22%, indicating the rate at which VERK is growing has slowed down.

Simply Wall St -

What Kind Of Shareholder Appears On The Verkkokauppa.com Oyj's (HEL:VERK) Shareholder Register?

Our analysis of the ownership of the company, below, shows that institutions are noticeable on the share registry. … View our latest analysis for Verkkokauppa.com Oyj HLSE:VERK Ownership Summary, May 17th 2019 What Does The Institutional Ownership Tell Us About Verkkokauppa.com Oyj? … Insider Ownership Of Verkkokauppa.com Oyj While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders.

Simply Wall St -

Should Verkkokauppa.com Oyj (HEL:VERK) Be Your Next Stock Pick?

Help shape the future of investing tools and you could win a $250 gift card! … I've been keeping an eye on Verkkokauppa.com Oyj (HEL:VERK) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe VERK has a lot to offer.

Simply Wall St -

Verkkokauppa.com Oyj (HEL:VERK) Delivered A Better ROE Than Its Industry

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … That means that for every €1 worth of shareholders' equity, it generated €0.25 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Verkkokauppa.com Oyj (HEL:VERK): Time For A Financial Health Check

While small-cap stocks, such as Verkkokauppa.com Oyj (HEL:VERK) with its market cap of €184m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … The following basic checks can help you get a picture of the company's balance sheet strength.

Simply Wall St -

Here's What Verkkokauppa.com Oyj's (HEL:VERK) ROCE Can Tell Us

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St -

VERK Company Info

Description

Verkkokauppa.com Oyj operates as an online consumer electronics retailer in Finland. The company also operates four retail stores. In addition, it offers installation and maintenance services. The company was founded in 1992 and is headquartered in Helsinki, Finland.

Details
Name: Verkkokauppa.com Oyj
VERK
Exchange: HLSE
Founded: 1992
€161,421,223
44,964,129
Website: http://www.verkkokauppa.com
Address: Verkkokauppa.com Oyj
Tyynenmerenkatu 11,
Helsinki,
Uusimaa, 00220,
Finland
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
HLSE VERK Registered Shares OMX Nordic Exchange Helsinki FI EUR 04. Apr 2014
Number of employees
Current staff
Staff numbers
657
Verkkokauppa.com Oyj employees.
Industry
Internet and Direct Marketing Retail
Retail
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/22 21:49
End of day share price update: 2019/07/22 00:00
Last estimates confirmation: 2019/06/28
Last earnings filing: 2019/05/10
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.