ENXTPA:MLHK

Stock Analysis Report

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Executive Summary

H&K AG, together with its subsidiary, develops, manufactures, markets, and distributes infantry and sidearms for federal, state, or local governmental agencies in NATO countries and the European Union.


Snowflake Analysis

Acceptable track record with weak fundamentals.


Similar Companies

Share Price & News

How has H&K's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

MLHK

4.8%

FR Aerospace & Defense

4.7%

FR Market


1 Year Return

-39.0%

MLHK

-35.9%

FR Aerospace & Defense

-6.6%

FR Market

Return vs Industry: MLHK matched the French Aerospace & Defense industry which returned -40% over the past year.

Return vs Market: MLHK underperformed the French Market which returned -8.1% over the past year.


Shareholder returns

MLHKIndustryMarket
7 Day0%4.8%4.7%
30 Day-17.8%9.4%6.2%
90 Day-17.8%-33.7%-9.6%
1 Year-39.0%-39.0%-35.9%-35.9%-4.9%-6.6%
3 Year-43.3%-65.2%-8.8%-11.9%4.9%-3.5%
5 Yearn/a25.8%16.6%24.8%8.8%

Price Volatility Vs. Market

How volatile is H&K's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is H&K undervalued compared to its fair value and its price relative to the market?

1628.5x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate MLHK's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate MLHK's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: MLHK is poor value based on its PE Ratio (1628.5x) compared to the Aerospace & Defense industry average (13.1x).

PE vs Market: MLHK is poor value based on its PE Ratio (1628.5x) compared to the French market (14.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: MLHK has negative assets, so we can't compare its PB Ratio to the FR Aerospace & Defense industry average.


Next Steps

Future Growth

How is H&K forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.2%

Forecasted Capital Goods industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as H&K has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has H&K performed over the past 5 years?

-40.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MLHK has high quality earnings.

Growing Profit Margin: MLHK became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MLHK has become profitable over the past 5 years, growing earnings by -40.6% per year.

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

Earnings vs Industry: MLHK has become profitable in the last year, making it difficult to compare its past year earnings growth to the Aerospace & Defense industry (19.4%).


Return on Equity

High ROE: MLHK's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is H&K's financial position?


Financial Position Analysis

Short Term Liabilities: MLHK has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: MLHK has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: MLHK has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: MLHK's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: MLHK's debt is not well covered by operating cash flow (6.4%).

Interest Coverage: MLHK's interest payments on its debt are not well covered by EBIT (1.6x coverage).


Balance Sheet


Next Steps

Dividend

What is H&K's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate MLHK'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 MLHK's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MLHK'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 MLHK's dividend in 3 years as they are not forecast to pay a notable one for the French market.


Next Steps

Management

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


CEO

Jens Koch (46yo)

2.08yrs

Tenure

Dr.-Ing. Jens Bodo Koch serves as Chairman of Executive Board & CEO at H&K AG since May 01, 2018. He has served as Managing Director of Heckler & Koch GmbH since May 1, 2018. He serves as a Member of Manag ...


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

H&K AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: H&K AG
  • Ticker: MLHK
  • Exchange: ENXTPA
  • Founded: 1949
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: €2.612b
  • Shares outstanding: 27.64m
  • Website: https://www.heckler-koch.com

Number of Employees


Location

  • H&K AG
  • Heckler & Koch-Street 1
  • Oberndorf am Neckar
  • Baden-Württemberg
  • 78727
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MLHKENXTPA (Euronext Paris)YesShare CapitalFREURJul 2015

Biography

H&K AG, together with its subsidiary, develops, manufactures, markets, and distributes infantry and sidearms for federal, state, or local governmental agencies in NATO countries and the European Union. It offers a range of small arms for military and law enforcement, and civil markets, such as pistols, submachine guns and pistols, assault rifles, precision rifles, machine guns, training systems, 40 MM systems, grenade launchers, and specialist equipment, as well as provides related accessories and services. The company was founded is 1949 and is based in Oberndorf am Neckar, Germany. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/02 00:13
End of Day Share Price2020/06/01 00:00
Earnings2019/12/31
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.