HLSE:QTCOM

Stock Analysis Report

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Executive Summary

Qt Group Oyj, a software company, develops, productizes, and licenses software development tools under commercial and open source licenses in Finland, Norway, Germany, the United States, Russia, Japan, China, South Korea, France, and the United Kingdom.


Snowflake Analysis

Flawless balance sheet with high growth potential.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: QTCOM's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.8%

QTCOM

2.7%

FI Software

3.3%

FI Market


1 Year Return

135.6%

QTCOM

50.7%

FI Software

1.4%

FI Market

Return vs Industry: QTCOM exceeded the Finnish Software industry which returned 52.8% over the past year.

Return vs Market: QTCOM exceeded the Finnish Market which returned 3.2% over the past year.


Shareholder returns

QTCOMIndustryMarket
7 Day6.8%2.7%3.3%
30 Day6.4%3.4%4.8%
90 Day30.7%19.4%9.6%
1 Year135.6%135.6%50.9%50.7%10.3%1.4%
3 Year333.1%333.1%14.5%12.6%18.4%-1.0%
5 Yearn/a-0.5%-5.0%45.2%14.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

370.96x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: QTCOM (€29.8) is trading above our estimate of fair value (€15.91)

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


Price To Earnings Ratio

PE vs Industry: QTCOM is poor value based on its PE Ratio (371x) compared to the FI Software industry average (56.5x).

PE vs Market: QTCOM is poor value based on its PE Ratio (371x) compared to the Finnish market (20.6x).


Price to Earnings Growth Ratio

PEG Ratio: QTCOM is poor value based on its PEG Ratio (7.4x)


Price to Book Ratio

PB vs Industry: QTCOM is overvalued based on its PB Ratio (39.1x) compared to the FI Software industry average (6.5x).


Next Steps

Future Growth

How is Qt Group Oyj forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

50.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: QTCOM's forecast earnings growth (50.2% per year) is above the savings rate (0.4%).

Earnings vs Market: QTCOM's earnings (50.2% per year) are forecast to grow faster than the Finnish market (13.3% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: QTCOM's revenue (15.7% per year) is forecast to grow faster than the Finnish market (5.1% per year).

High Growth Revenue: QTCOM's revenue (15.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: QTCOM's Return on Equity is forecast to be very high in 3 years time (42.4%).


Next Steps

  • Explore growth companies in the Software industry.

Past Performance

How has Qt Group Oyj performed over the past 5 years?

-2.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: QTCOM has high quality earnings.

Growing Profit Margin: QTCOM became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: QTCOM has become profitable over the past 5 years, growing earnings by -2.5% per year.

Accelerating Growth: QTCOM has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: QTCOM has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (91.5%).


Return on Equity

High ROE: QTCOM's Return on Equity (10.3%) is considered low.


Next Steps

Financial Health

How is Qt Group Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: QTCOM's short term assets (€32.4M) exceed its short term liabilities (€28.4M).

Long Term Liabilities: QTCOM's short term assets (€32.4M) exceed its long term liabilities (€4.4M).


Debt to Equity History and Analysis

Debt Level: QTCOM is debt free.

Reducing Debt: QTCOM has no debt compared to 5 years ago when its debt to equity ratio was 16.2%.

Debt Coverage: QTCOM has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: QTCOM has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Qt Group Oyj current dividend yield, its reliability and sustainability?

0.50%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate QTCOM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate QTCOM's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if QTCOM's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if QTCOM's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of QTCOM's dividend in 3 years as they are not forecast to pay a notable one for the Finnish market.


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Juha Varelius (57 yo)

4.25yrs

Tenure

€327,446

Compensation

Mr. Juha Pekka Varelius, M.Sc. (Econ.), M.B.A., has been President and Chief Executive Officer at Qt Group Oyj since May 01, 2016. Mr. Varelius served as the Chief Executive Officer and President at Digia ...


CEO Compensation Analysis

Compensation vs Market: Juha's total compensation ($USD387.88K) is about average for companies of similar size in the Finnish market ($USD536.57K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Juha Varelius
President & CEO4.25yrs€327.45k1.16%
€ 8.4m
Jouni Lintunen
Chief Financial Officer0.58yrno datano data
Mika Pälsi
General Counsel4.25yrsno data0.0086%
€ 62.2k
Katja Kumpulainen
Senior Vice President of Marketing4.25yrsno datano data
Juhapekka Niemi
Executive Vice President of Sales & Business Development4.25yrsno data0.13%
€ 900.3k
Helena Telaranta
Senior Vice President of Human Resources1.58yrsno datano data
Petteri Holländer
Senior Vice President of Product Management4.25yrsno data0.021%
€ 153.0k
Tuukka Turunen
Senior Vice President of Research & Development4.25yrsno data0.55%
€ 3.9m

4.3yrs

Average Tenure

48yo

Average Age

Experienced Management: QTCOM's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Leena Saarinen
Independent Director4.58yrs€38.00k0.012%
€ 84.7k
Tommi Uhari
Independent Vice-Chairman4.58yrs€52.00k1.7%
€ 12.2m
Robert Ingman
Chairman of the Board of Directors4.58yrs€72.00k21.42%
€ 154.2m
Mikko Marsio
Independent Director2.42yrs€36.00k0.0018%
€ 12.8k
Jaakko Koppinen
Independent Director2.42yrs€36.00kno data

4.6yrs

Average Tenure

51yo

Average Age

Experienced Board: QTCOM's board of directors are considered experienced (4.6 years average tenure).


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

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


Key Information

  • Name: Qt Group Oyj
  • Ticker: QTCOM
  • Exchange: HLSE
  • Founded:
  • Industry: Application Software
  • Sector: Software
  • Market Cap: €719.800m
  • Shares outstanding: 24.15m
  • Website: https://www.qt.io

Number of Employees


Location

  • Qt Group Oyj
  • Bertel Jungin aukio D3A
  • Espoo
  • Uusimaa
  • 2600
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
QTCOMHLSE (OMX Nordic Exchange Helsinki)YesShare CapitalFIEURMay 2016
0RG5LSE (London Stock Exchange)YesShare CapitalGBEURMay 2016
2QTDB (Deutsche Boerse AG)YesShare CapitalDEEURMay 2016
QTCOMHBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBEURMay 2016
QTGP.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDMay 2016

Biography

Qt Group Oyj, a software company, develops, productizes, and licenses software development tools under commercial and open source licenses in Finland, Norway, Germany, the United States, Russia, Japan, Chi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/06 20:43
End of Day Share Price2020/08/06 00:00
Earnings2020/03/31
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.