ENXTPA:AKA

Stock Analysis Report

Executive Summary

AKKA Technologies SE provides engineering and technology consulting services in France, Germany, the United States, and internationally.


Snowflake Analysis

Undervalued with solid track record and pays a dividend.


Similar Companies

Share Price & News

How has AKKA Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-5.4%

AKA

3.3%

FR Professional Services

2.5%

FR Market


1 Year Return

-59.4%

AKA

-8.8%

FR Professional Services

-18.6%

FR Market

Return vs Industry: AKA underperformed the French Professional Services industry which returned -11.5% over the past year.

Return vs Market: AKA underperformed the French Market which returned -18.9% over the past year.


Shareholder returns

AKAIndustryMarket
7 Day-5.4%3.3%2.5%
30 Day-50.8%-18.7%-17.0%
90 Day-62.2%-22.0%-25.0%
1 Year-59.0%-59.4%-7.1%-8.8%-15.7%-18.6%
3 Year-40.7%-42.8%21.7%14.5%0.8%-8.6%
5 Year3.3%-3.6%52.5%36.6%10.8%-6.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is AKKA Technologies undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AKA (€24.75) is trading below our estimate of fair value (€63.85)

Significantly Below Fair Value: AKA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AKA is good value based on its PE Ratio (6.8x) compared to the Professional Services industry average (8.6x).

PE vs Market: AKA is good value based on its PE Ratio (6.8x) compared to the French market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: AKA is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: AKA is overvalued based on its PB Ratio (1.9x) compared to the FR Professional Services industry average (1.4x).


Next Steps

Future Growth

How is AKKA Technologies forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

14.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AKA's forecast earnings growth (14.8% per year) is above the savings rate (-0.1%).

Earnings vs Market: AKA's earnings (14.8% per year) are forecast to grow faster than the French market (12.3% per year).

High Growth Earnings: AKA's earnings are forecast to grow, but not significantly.

Revenue vs Market: AKA's revenue (4.4% per year) is forecast to grow faster than the French market (3.6% per year).

High Growth Revenue: AKA's revenue (4.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AKA's Return on Equity is forecast to be high in 3 years time (21.5%)


Next Steps

Past Performance

How has AKKA Technologies performed over the past 5 years?

25.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AKA has high quality earnings.

Growing Profit Margin: AKA's current net profit margins (4.1%) are higher than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: AKA's earnings have grown significantly by 25.7% per year over the past 5 years.

Accelerating Growth: AKA's earnings growth over the past year (45.6%) exceeds its 5-year average (25.7% per year).

Earnings vs Industry: AKA earnings growth over the past year (45.6%) exceeded the Professional Services industry 8.1%.


Return on Equity

High ROE: Whilst AKA's Return on Equity (27.3%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is AKKA Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: AKA's short term assets (€593.8M) exceed its short term liabilities (€468.3M).

Long Term Liabilities: AKA's short term assets (€593.8M) do not cover its long term liabilities (€644.6M).


Debt to Equity History and Analysis

Debt Level: AKA's debt to equity ratio (205.8%) is considered high.

Reducing Debt: AKA's debt to equity ratio has increased from 133.4% to 205.8% over the past 5 years.

Debt Coverage: AKA's debt is not well covered by operating cash flow (17%).

Interest Coverage: AKA's interest payments on its debt are well covered by EBIT (7.3x coverage).


Balance Sheet

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

Debt Coverage by Assets: AKA's debt is covered by short term assets (assets are 1.1x debt).


Next Steps

Dividend

What is AKKA Technologies's current dividend yield, its reliability and sustainability?

2.83%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AKA's dividend (2.83%) is higher than the bottom 25% of dividend payers in the French market (2.04%).

High Dividend: AKA's dividend (2.83%) is low compared to the top 25% of dividend payers in the French market (6.44%).


Stability and Growth of Payments

Stable Dividend: AKA's dividend payments have been volatile in the past 10 years.

Growing Dividend: AKA's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (19.1%), AKA's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AKA's dividends in 3 years are forecast to be well covered by earnings (19.7% payout ratio).


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Mauro Ricci (58yo)

no data

Tenure

€1,573,283

Compensation

Mr. Maurice Ricci, also known as Mauro, serves as the Chief Executive Officer of Akka Technologies SE and served as its President. Mr. Ricci is a Co-Owner of Société Ideactive Events. Mr. Ricci serves as t ...


CEO Compensation Analysis

Compensation vs Market: Mauro's total compensation ($USD1.74M) is above average for companies of similar size in the French market ($USD603.71K).

Compensation vs Earnings: Mauro's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Maurice Ricci
Chairman of the Board of Directors & CEOno data€1.57m11.82% 58.5m
Nathalie Buhnemann
Group Chief Financial Officer0.58yr€165.00kno data
Jean-Franck Ricci
Group MD of Business Development & Sales and Director19yrs€997.26k4.5% 22.3m
Nicolas Valtille
Group MD & Director7.67yrs€1.02m1.02% 5.0m
Dov Lévy
Vice President of Investor Relations & Corporate Developmentno datano datano data
Markus Leutert
Group Head of Communicationsno datano datano data
Yaël Mamane
Marketing & Development Directorno datano datano data
Patrick Houry
Group Human Resources Director5.25yrsno datano data
Paolo Del Noce
Chief Executive Officer of France & Northern Europe3.25yrsno datano data
Primo Meregalli
Chief Executive Officer of Southern Europe3.67yrsno datano data

3.5yrs

Average Tenure

52yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Maurice Ricci
Chairman of the Board of Directors & CEOno data€1.57m11.82% 58.5m
Jean-Franck Ricci
Group MD of Business Development & Sales and Director19yrs€997.26k4.5% 22.3m
Nicolas Valtille
Group MD & Director7.67yrs€1.02m1.02% 5.0m
Steven Nickerson
Chairman of the Board & CEO of AKKA North America1.25yrsno datano data
Guy Lacroix
Director7.67yrsno datano data
Alain Tisserand
Independent Director12.67yrs€40.00kno data
Charlotte Ricci
Director7.67yrsno data0.98% 4.8m
Muriel Barnéoud
Independent Director2.67yrs€40.00kno data
Cécile Monnot
Director19yrsno data2.19% 10.8m
Valérie Magloire
Independent Director2.67yrs€40.00kno data

7.7yrs

Average Tenure

56yo

Average Age

Experienced Board: AKA's board of directors are considered experienced (7.7 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

AKKA Technologies SE's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AKKA Technologies SE
  • Ticker: AKA
  • Exchange: ENXTPA
  • Founded: 1984
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Market Cap: €495.201m
  • Shares outstanding: 20.01m
  • Website: https://www.akka-technologies.com

Number of Employees


Location

  • AKKA Technologies SE
  • Avenue Louise 235
  • Brussels
  • Brussels
  • 1050
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AF5DB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 2005
AKAENXTPA (Euronext Paris)YesOrdinary SharesFREURApr 2005
0OK7LSE (London Stock Exchange)YesOrdinary SharesGBEURApr 2005
AKAPBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURApr 2005

Biography

AKKA Technologies SE provides engineering and technology consulting services in France, Germany, the United States, and internationally. The company offers systems engineering, mechanical engineering, process engineering, support engineering, digitalization, embedded software and electronics, and information systems and consulting services. It serves automotive, aeronautics, railway, energy, life sciences, telecom, space, and defense sectors. AKKA Technologies SE was founded in 1984 and is based in Brussels, Belgium. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 21:43
End of Day Share Price2020/03/31 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.