Solteq Oyj
Market Cap
€57.9m
Last Updated
2021/01/21 19:49 UTC
Data Sources
Company Financials +
Executive Summary
Solteq Oyj, an IT service and software company, provides digital business solutions in Finland, Sweden, Norway, Denmark, Poland, and the United Kingdom. More Details
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with acceptable track record.
Share Price & News
How has Solteq Oyj's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SOLTEQ is more volatile than 90% of Finnish stocks over the past 3 months, typically moving +/- 10% a week.
Volatility Over Time: SOLTEQ's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of Finnish stocks.
Market Performance
7 Day Return
0%
SOLTEQ
-4.9%
FI Software
1.4%
FI Market
1 Year Return
102.7%
SOLTEQ
69.6%
FI Software
9.7%
FI Market
Return vs Industry: SOLTEQ exceeded the Finnish Software industry which returned 71.7% over the past year.
Return vs Market: SOLTEQ exceeded the Finnish Market which returned 8.6% over the past year.
Shareholder returns
| SOLTEQ | Industry | Market | |
|---|---|---|---|
| 7 Day | 0% | -4.9% | 1.4% |
| 30 Day | 8.0% | -0.9% | 6.7% |
| 90 Day | 83.9% | 20.7% | 12.0% |
| 1 Year | 102.7%102.7% | 69.9%69.6% | 19.0%9.7% |
| 3 Year | 100.7%100.7% | 86.0%83.2% | 37.1%13.1% |
| 5 Year | 68.5%63.5% | 47.1%39.7% | 75.9%37.1% |
Long-Term Price Volatility Vs. Market
How volatile is Solteq Oyj's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Solteq Oyj's (HEL:SOLTEQ) Stock Is Going Strong: Have Financials A Role To Play?3 weeks ago | Simply Wall St
Is Now The Time To Look At Buying Solteq Oyj (HEL:SOLTEQ)?1 month ago | Simply Wall St
Here's Why We Don't Think Solteq Oyj's (HEL:SOLTEQ) Statutory Earnings Reflect Its Underlying Earnings PotentialValuation
Is Solteq Oyj undervalued compared to its fair value and its price relative to the market?
37.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SOLTEQ (€2.96) is trading below our estimate of fair value (€4.75)
Significantly Below Fair Value: SOLTEQ is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SOLTEQ is good value based on its PE Ratio (17.1x) compared to the FI Software industry average (44.8x).
PE vs Market: SOLTEQ is good value based on its PE Ratio (17.1x) compared to the Finnish market (26.4x).
Price to Earnings Growth Ratio
PEG Ratio: SOLTEQ is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: SOLTEQ is good value based on its PB Ratio (2.2x) compared to the FI Software industry average (8x).
Next Steps
Future Growth
How is Solteq Oyj forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
19.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SOLTEQ's forecast earnings growth (19% per year) is above the savings rate (0.3%).
Earnings vs Market: SOLTEQ's earnings (19% per year) are forecast to grow faster than the Finnish market (15.9% per year).
High Growth Earnings: SOLTEQ's earnings are forecast to grow, but not significantly.
Revenue vs Market: SOLTEQ's revenue (4% per year) is forecast to grow slower than the Finnish market (4.2% per year).
High Growth Revenue: SOLTEQ's revenue (4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SOLTEQ's Return on Equity is forecast to be low in 3 years time (10.7%).
Next Steps
Past Performance
How has Solteq Oyj performed over the past 5 years?
-3.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SOLTEQ has a large one-off gain of €2.5M impacting its September 30 2020 financial results.
Growing Profit Margin: SOLTEQ's current net profit margins (5.7%) are higher than last year (1.5%).
Past Earnings Growth Analysis
Earnings Trend: SOLTEQ's earnings have declined by 3.5% per year over the past 5 years.
Accelerating Growth: SOLTEQ's earnings growth over the past year (284.8%) exceeds its 5-year average (-3.5% per year).
Earnings vs Industry: SOLTEQ earnings growth over the past year (284.8%) exceeded the Software industry 100.7%.
Return on Equity
High ROE: SOLTEQ's Return on Equity (13.2%) is considered low.
Next Steps
Financial Health
How is Solteq Oyj's financial position?
Financial Position Analysis
Short Term Liabilities: SOLTEQ's short term assets (€15.7M) do not cover its short term liabilities (€41.5M).
Long Term Liabilities: SOLTEQ's short term assets (€15.7M) exceed its long term liabilities (€7.0M).
Debt to Equity History and Analysis
Debt Level: SOLTEQ's debt to equity ratio (98.7%) is considered high.
Reducing Debt: SOLTEQ's debt to equity ratio has reduced from 169% to 98.7% over the past 5 years.
Debt Coverage: SOLTEQ's debt is well covered by operating cash flow (29.5%).
Interest Coverage: SOLTEQ's interest payments on its debt are not well covered by EBIT (2x coverage).
Balance Sheet
Next Steps
Dividend
What is Solteq Oyj current dividend yield, its reliability and sustainability?
2.25%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SOLTEQ's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SOLTEQ'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 SOLTEQ's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SOLTEQ's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: SOLTEQ is not paying a notable dividend for the Finnish market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of SOLTEQ'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?
3.8yrs
Average management tenure
CEO
Olli Väätäinen (54 yo)
3.75yrs
Tenure
€290,000
Compensation
Mr. Olli Väätäinen previously served as Chief Operating Officer of Kotipizza Oyj. Mr. Väätäinen has been Chief Executive Officer of Solteq Oyj since April 1, 2017. He served as the Chief Operating Officer ...
CEO Compensation Analysis
Compensation vs Market: Olli's total compensation ($USD350.83K) is about average for companies of similar size in the Finnish market ($USD329.20K).
Compensation vs Earnings: Olli's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chief Executive Officer | 3.75yrs | €290.00k | 2.99% € 1.7m | |
| Chief Financial Officer | 1.33yrs | no data | no data | |
| General Counsel | 6.33yrs | no data | no data | |
| Vice President of People & Culture | 3.75yrs | no data | no data | |
| Head of Customer Specifi C Solutions Business Unit & Senior Advisor | no data | no data | no data | |
| Head of Retail and Wholesale Business Unit | no data | no data | no data | |
| Executive Vice President of Digital Services | 3.58yrs | no data | no data | |
| Chief Digital Officer | 3.58yrs | no data | no data | |
| Senior Consultant | 12.42yrs | no data | no data |
3.8yrs
Average Tenure
47yo
Average Age
Experienced Management: SOLTEQ's management team is considered experienced (3.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Director | 5.25yrs | €28.00k | no data | |
| Independent Director | 5.25yrs | €27.00k | no data | |
| Independent Chairman of the Board | no data | €46.00k | 0.078% € 45.0k | |
| Independent Director | 2yrs | €15.00k | no data | |
| Independent Director | 2.25yrs | €28.00k | no data | |
| Independent Director | 2yrs | €16.00k | no data |
2.3yrs
Average Tenure
45yo
Average Age
Experienced Board: SOLTEQ's board of directors are not considered experienced ( 2.3 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
Solteq Oyj's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Solteq Oyj
- Ticker: SOLTEQ
- Exchange: HLSE
- Founded: 1982
- Industry: Application Software
- Sector: Software
- Market Cap: €57.920m
- Shares outstanding: 19.31m
- Website: https://www.solteq.com
Number of Employees
Location
- Solteq Oyj
- Karhumäentie 3
- 5th Floor
- Vantaa
- Uusimaa
- 1530
- Finland
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SOLTEQ | HLSE (OMX Nordic Exchange Helsinki) | Yes | Ordinary Shares | FI | EUR | Sep 1999 |
| 0G5H | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Sep 1999 |
| SOLTEH | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | EUR | Sep 1999 |
Biography
Solteq Oyj, an IT service and software company, provides digital business solutions in Finland, Sweden, Norway, Denmark, Poland, and the United Kingdom. The company offers Solteq Cloud POS, a point-of sale...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/21 19:49 |
| End of Day Share Price | 2021/01/21 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.