HLSE:QTCOM

Stock Analysis Report

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, China, Japan, South Korea, France, and the United Kingdom.

Snowflake

Fundamentals

Exceptional growth potential with excellent balance sheet.

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

1.9%

QTCOM

2.7%

FI Software

-0.4%

FI Market


1 Year Return

126.1%

QTCOM

23.1%

FI Software

6.2%

FI Market

Return vs Industry: QTCOM exceeded the Finnish Software industry which returned 23.1% over the past year.

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


Shareholder returns

QTCOMIndustryMarket
7 Day1.9%2.7%-0.4%
30 Day29.9%12.9%1.3%
90 Day39.2%21.7%4.6%
1 Year126.1%126.1%23.8%23.1%11.2%6.2%
3 Year297.4%284.4%7.8%4.0%34.8%18.5%
5 Yearn/a6.6%0.6%55.1%25.2%

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?

20.31x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: QTCOM (€18.45) is trading above our estimate of fair value (€11.94)

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


Price To Earnings Ratio

PE vs Industry: QTCOM is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: QTCOM is unprofitable, so we can't compare its PE Ratio to the Finnish market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate QTCOM's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: QTCOM is overvalued based on its PB Ratio (20.3x) compared to the FI Software industry average (4.7x).


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?

82.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: QTCOM is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.5%).

Earnings vs Market: QTCOM is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: QTCOM's is expected to become profitable in the next 3 years.

Revenue vs Market: QTCOM's revenue (22% per year) is forecast to grow faster than the Finnish market (1.5% per year).

High Growth Revenue: QTCOM's revenue (22% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: QTCOM's Return on Equity is forecast to be high in 3 years time (33.5%)


Next Steps

Past Performance

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

-19.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: QTCOM has high quality earnings.

Growing Profit Margin: QTCOM's current net profit margins (-3%) are higher than last year (-3.8%).


Past Earnings Growth Analysis

Earnings Trend: QTCOM is unprofitable, and losses have increased over the past 5 years at a rate of -19% per year.

Accelerating Growth: Unable to compare QTCOM's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: QTCOM is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (9.2%).


Return on Equity

High ROE: QTCOM has a negative Return on Equity (-9.02%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Qt Group Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: QTCOM's short term assets (€27.1M) exceeds its short term liabilities (€24.7M)

Long Term Liabilities: QTCOM's short term assets (€27.1M) exceeds its long term liabilities (4.3M)


Debt to Equity History and Analysis

Debt Level: QTCOM is debt free.

Reducing Debt: QTCOM had no debt 5 years ago.


Balance Sheet

Inventory Level: QTCOM has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if QTCOM's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: QTCOM has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if QTCOM has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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

0.75%

Forecast Dividend Yield


Dividend Yield vs Market

companyn/amarketbottom25%2.2%markettop25%4.8%industryaverage1.3%forecastin3Years0.7%

Current dividend yield vs market & industry

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

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

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

3.5yrs

Average management tenure


CEO

Juha Varelius (56yo)

3.5yrs

Tenure

€443,722

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 ($USD490.19K) is about average for companies of similar size in the Finnish market ($USD467.22K).

Compensation vs Earnings: Juha's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

3.5yrs

Average Tenure

48yo

Average Age

Experienced Management: QTCOM's management team is considered experienced (3.5 years average tenure).


Board Age and Tenure

3.8yrs

Average Tenure

50yo

Average Age

Experienced Board: QTCOM's board of directors are considered experienced (3.8 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

  • Juha Varelius (56yo)

    President & CEO

    • Tenure: 3.5yrs
    • Compensation: €443.72k
  • Lars Knoll (48yo)

    Chief Technology Officer

    • Tenure: 3.5yrs
  • Mika Harjuaho (53yo)

    Chief Financial Officer

    • Tenure: 0yrs
  • Mika Pälsi (49yo)

    General Counsel

    • Tenure: 3.5yrs
  • Juhapekka Niemi (51yo)

    Executive Vice President of Sales & Business Development

    • Tenure: 3.5yrs
  • Petteri Holländer (45yo)

    Senior Vice President of Product Management

    • Tenure: 3.5yrs
  • Katja Kumpulainen (46yo)

    Senior Vice President of Marketing

    • Tenure: 3.5yrs
  • Tuukka Turunen (45yo)

    Senior Vice President of Research & Development

    • Tenure: 3.5yrs
  • Helena Telaranta (46yo)

    Senior Vice President of Human Resources

    • Tenure: 0.8yrs

Board Members

  • Leena Saarinen (59yo)

    Director

    • Tenure: 3.8yrs
    • Compensation: €37.00k
  • Tommi Uhari (48yo)

    Vice-Chairman

    • Tenure: 3.8yrs
    • Compensation: €52.00k
  • Robert Ingman (58yo)

    Chairman of the Board of Directors

    • Tenure: 3.8yrs
    • Compensation: €72.00k
  • Mikko Marsio (48yo)

    Director

    • Tenure: 1.7yrs
    • Compensation: €27.00k
  • Jaakko Koppinen (50yo)

    Director

    • Tenure: 1.7yrs
    • Compensation: €27.00k

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: €438.968m
  • Shares outstanding: 23.79m
  • 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

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, China, Jap ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/17 22:10
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.