HLSE:VINCIT

Stock Analysis Report

Executive Summary

Vincit Oyj provides software development services.

Snowflake

Fundamentals

Reasonable growth potential with adequate balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

13.1%

VINCIT

0.4%

FI Software

2.3%

FI Market


1 Year Return

-16.4%

VINCIT

9.6%

FI Software

4.9%

FI Market

Return vs Industry: VINCIT underperformed the Finnish Software industry which returned 9.6% over the past year.

Return vs Market: VINCIT underperformed the Finnish Market which returned 4.9% over the past year.


Shareholder returns

VINCITIndustryMarket
7 Day13.1%0.4%2.3%
30 Day10.9%-3.1%0.4%
90 Day8.5%6.4%2.6%
1 Year-12.4%-16.4%10.3%9.6%9.8%4.9%
3 Year-19.9%-26.2%-10.0%-13.3%29.2%13.9%
5 Yearn/a1.7%-4.0%61.2%30.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

33.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: VINCIT (€5.1) is trading below our estimate of fair value (€7.69)

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


Price To Earnings Ratio

PE vs Industry: VINCIT is good value based on its PE Ratio (36.9x) compared to the Software industry average (46.6x).

PE vs Market: VINCIT is poor value based on its PE Ratio (36.9x) compared to the Finnish market (20.3x).


Price to Earnings Growth Ratio

Low PEG Ratio: VINCIT is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: VINCIT is good value based on its PB Ratio (3x) compared to the FI Software industry average (4.7x).


Next Steps

Future Growth

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

26.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VINCIT's forecast earnings growth (26.1% per year) is above the savings rate (0.5%).

Earnings vs Market: VINCIT's earnings (26.1% per year) are forecast to grow faster than the Finnish market (13.5% per year).

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

Revenue vs Market: VINCIT's revenue (8.1% per year) is forecast to grow faster than the Finnish market (2.1% per year).

High Growth Revenue: VINCIT's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if VINCIT's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Vincit Oyj performed over the past 5 years?

21.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: VINCIT's earnings have grown significantly by 21.5% per year over the past 5 years.

Accelerating Growth: VINCIT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: VINCIT had negative earnings growth (-75.5%) over the past year, making it difficult to compare to the Software industry average (9.1%).


Return on Equity

High ROE: VINCIT's Return on Equity (9.9%) is considered low.


Return on Assets

ROA vs Industry: VINCIT has a higher Return on Assets than the Software industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Vincit Oyj's financial position?


Financial Position Analysis

Short Term Liabilities: VINCIT's short term assets (€15.8M) exceeds its short term liabilities (€9.9M)

Long Term Liabilities: VINCIT's short term assets (15.8M) exceeds its long term liabilities (554.0K)


Debt to Equity History and Analysis

Debt Level: VINCIT's debt to equity ratio (7.8%) is considered satisfactory

Reducing Debt: Insufficient data to determine if VINCIT's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: VINCIT's debt is well covered by operating cash flow (188.6%).

Interest Coverage: VINCIT's interest payments on its debt are not well covered by EBIT (1.1x coverage).


Balance Sheet

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

Debt Coverage by Assets: VINCIT's debt is covered by short term assets (assets are 9.530220x debt).


Next Steps

Dividend

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

2.74%

Current Dividend Yield


Dividend Yield vs Market

company2.7%marketbottom25%2.3%markettop25%5.1%industryaverage1.4%forecastin3Years2.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: VINCIT's dividend (2.75%) is higher than the bottom 25% of dividend payers in the Finnish market (2.29%).

High Dividend: VINCIT's dividend (2.75%) is low compared to the top 25% of dividend payers in the Finnish market (5.08%).

Stable Dividend: Whilst dividend payments have been stable, VINCIT has been paying a dividend for less than 10 years.

Growing Dividend: VINCIT's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (101.4%), VINCIT's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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


CEO

Tomi Pienimäki (46yo)

0yrs

Tenure

0

Mr. Tomi Pienimäki has been Technology Director and Chief Information Officer of Itella Oyj since 2005. Mr. Pienimäki served as a Vice President and Member of Management Board at Itella Corporation. Mr. Pi ...


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

  • Tomi Pienimäki (46yo)

    Chief Executive Officer

    • Tenure: 0yrs
  • Mikko Kuitunen (39yo)

    Member of the Management Board

    • Tenure: 0yrs
  • Jussi Haverinen (43yo)

    Director of ICT Services

    • Tenure: 0yrs
  • Johanna Pystynen (35yo)

    Director of Human Resources & Member of the Management Board

    • Tenure: 0yrs
  • Niklas Wasenius (44yo)

    Chief Financial Officer

    • Tenure: 1yrs

Board Members

  • Niemi Petri (58yo)

    Chairman of the Board

    • Tenure: 0yrs
  • Mikko Kuitunen (39yo)

    Member of the Management Board

    • Tenure: 0yrs
  • Jussi Haverinen (43yo)

    Director of ICT Services

    • Tenure: 0yrs

Company Information

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


Key Information

  • Name: Vincit Oyj
  • Ticker: VINCIT
  • Exchange: HLSE
  • Founded:
  • Industry: Application Software
  • Sector: Software
  • Market Cap: €61.155m
  • Shares outstanding: 11.99m
  • Website: https://www.vincit.fi

Location

  • Vincit Oyj
  • Visiokatu 1
  • Tampere
  • Pirkanmaa
  • 33720
  • Finland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VINCITHLSE (OMX Nordic Exchange Helsinki)YesVo SharesFIEUROct 2016

Biography

Vincit Oyj provides software development services. It offers electronic services and information systems; browser-based HTML5 services and mobile applications for smartphone platforms; develops measurement ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 21:58
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.