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Somero Enterprises

AIM:SOM
Snowflake Description

Outstanding track record with flawless balance sheet and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SOM
AIM
£146M
Market Cap
  1. Home
  2. GB
  3. Capital Goods
Company description

Somero Enterprises, Inc., together with its subsidiaries, designs, assembles, remanufactures, sells, and distributes concrete leveling, contouring, and placing equipment. The last earnings update was 92 days ago. More info.


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  • Somero Enterprises has significant price volatility in the past 3 months.
SOM Share Price and Events
7 Day Returns
-10.3%
AIM:SOM
-2.6%
GB Machinery
-0.2%
GB Market
1 Year Returns
-34.2%
AIM:SOM
-6.3%
GB Machinery
-1.4%
GB Market
SOM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Somero Enterprises (SOM) -10.3% -10.3% -29.7% -34.2% 60% 106.3%
GB Machinery -2.6% 0.8% -4.1% -6.3% 34.3% 4.2%
GB Market -0.2% 1.7% 0.2% -1.4% 11.7% 7.5%
1 Year Return vs Industry and Market
  • SOM underperformed the Machinery industry which returned -6.3% over the past year.
  • SOM underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -1.4% over the past year.
Price Volatility
SOM
Industry
5yr Volatility vs Market

Value

 Is Somero Enterprises undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Somero Enterprises to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Somero Enterprises.

AIM:SOM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.5%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for AIM:SOM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.09
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.086 (1 + (1- 21%) (0%))
1.058
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.06
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.058 * 5.96%)
7.53%

Discounted Cash Flow Calculation for AIM:SOM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Somero Enterprises is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

AIM:SOM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.53%)
2020 18.45 Analyst x2 17.16
2021 17.83 Est @ -3.34% 15.42
2022 17.48 Est @ -1.97% 14.06
2023 17.31 Est @ -1.01% 12.94
2024 17.25 Est @ -0.34% 12.00
2025 17.27 Est @ 0.13% 11.17
2026 17.35 Est @ 0.46% 10.44
2027 17.47 Est @ 0.69% 9.77
2028 17.62 Est @ 0.85% 9.17
2029 17.79 Est @ 0.96% 8.61
Present value of next 10 years cash flows $120.74
AIM:SOM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $17.79 × (1 + 1.23%) ÷ (7.53% – 1.23%)
$285.65
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $285.65 ÷ (1 + 7.53%)10
$138.19
AIM:SOM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $120.74 + $138.19
$258.93
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $258.93 / 56.34
$4.6
AIM:SOM Discount to Share Price
Calculation Result
Exchange Rate USD/GBP
(Reporting currency to currency of AIM:SOM)
0.799
Value per Share
(GBP)
= Value per Share in USD x Exchange Rate (USD/GBP)
= $4.6 x 0.799
£3.67
Value per share (GBP) From above. £3.67
Current discount Discount to share price of £2.60
= -1 x (£2.60 - £3.67) / £3.67
29.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Somero Enterprises is available for.
Intrinsic value
29%
Share price is £2.6 vs Future cash flow value of £3.67
Current Discount Checks
For Somero Enterprises to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Somero Enterprises's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Somero Enterprises's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Somero Enterprises's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Somero Enterprises's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:SOM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $0.38
AIM:SOM Share Price ** AIM (2019-07-16) in GBP £2.6
AIM:SOM Share Price converted to USD reporting currency Exchange rate (GBP/ USD) 1.251 $3.25
United Kingdom of Great Britain and Northern Ireland Machinery Industry PE Ratio Median Figure of 21 Publicly-Listed Machinery Companies 17.92x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 790 Publicly-Listed Companies 16.56x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Somero Enterprises.

AIM:SOM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= AIM:SOM Share Price ÷ EPS (both in USD)

= 3.25 ÷ 0.38

8.5x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Somero Enterprises is good value based on earnings compared to the GB Machinery industry average.
  • Somero Enterprises is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Somero Enterprises's expected growth come at a high price?
Raw Data
AIM:SOM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.5x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
-0.8%per year
United Kingdom of Great Britain and Northern Ireland Machinery Industry PEG Ratio Median Figure of 14 Publicly-Listed Machinery Companies 2.5x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 573 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

AIM:SOM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.5x ÷ -0.8%

-10.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Somero Enterprises earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Somero Enterprises's assets?
Raw Data
AIM:SOM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $0.98
AIM:SOM Share Price * AIM (2019-07-16) in GBP £2.6
AIM:SOM Share Price converted to USD reporting currency Exchange rate (GBP/ USD) 1.251 $3.25
United Kingdom of Great Britain and Northern Ireland Machinery Industry PB Ratio Median Figure of 24 Publicly-Listed Machinery Companies 1.9x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,377 Publicly-Listed Companies 1.5x
AIM:SOM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= AIM:SOM Share Price ÷ Book Value per Share (both in USD)

= 3.25 ÷ 0.98

3.32x

* Primary Listing of Somero Enterprises.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Somero Enterprises is overvalued based on assets compared to the GB Machinery industry average.
X
Value checks
We assess Somero Enterprises's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Somero Enterprises has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Somero Enterprises expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-0.8%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Somero Enterprises expected to grow at an attractive rate?
  • Somero Enterprises's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Somero Enterprises's earnings are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.
  • Somero Enterprises's revenues are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
AIM:SOM Future Growth Rates Data Sources
Data Point Source Value (per year)
AIM:SOM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts -0.8%
AIM:SOM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts -1.7%
United Kingdom of Great Britain and Northern Ireland Machinery Industry Earnings Growth Rate Market Cap Weighted Average 7.5%
United Kingdom of Great Britain and Northern Ireland Machinery Industry Revenue Growth Rate Market Cap Weighted Average 4.8%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
AIM:SOM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AIM:SOM Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 90 24 21 2
2019-12-31 87 20 20 2
AIM:SOM Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 94 24 22
2018-09-30 91 23 20
2018-06-30 88 23 19
2018-03-31 87 21 19
2017-12-31 86 20 18
2017-09-30 84 20 18
2017-06-30 82 21 17
2017-03-31 81 19 16
2016-12-31 79 17 14
2016-09-30 77 15 14
2016-06-30 75 13 13
2016-03-31 72 14 12

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Somero Enterprises's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Somero Enterprises's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
AIM:SOM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Somero Enterprises Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:SOM Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 0.38 0.38 0.38 1.00
2019-12-31 0.35 0.35 0.35 1.00
AIM:SOM Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 0.38
2018-09-30 0.36
2018-06-30 0.35
2018-03-31 0.34
2017-12-31 0.33
2017-09-30 0.32
2017-06-30 0.30
2017-03-31 0.28
2016-12-31 0.25
2016-09-30 0.24
2016-06-30 0.23
2016-03-31 0.22

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Somero Enterprises is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Somero Enterprises's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Somero Enterprises has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Somero Enterprises performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Somero Enterprises's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Somero Enterprises's year on year earnings growth rate has been positive over the past 5 years.
  • Somero Enterprises's 1-year earnings growth exceeds its 5-year average (17% vs 16.2%)
  • Somero Enterprises's earnings growth has exceeded the GB Machinery industry average in the past year (17% vs 16.7%).
Earnings and Revenue History
Somero Enterprises's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Somero Enterprises Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:SOM Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 94.00 21.54 23.10 1.36
2018-09-30 91.09 20.48 22.47 1.38
2018-06-30 88.17 19.42 21.84 1.40
2018-03-31 86.90 18.92 21.97 1.31
2017-12-31 85.63 18.42 22.11 1.22
2017-09-30 83.86 17.77 22.62 1.25
2017-06-30 82.08 17.13 23.14 1.28
2017-03-31 80.72 15.69 22.98 1.18
2016-12-31 79.35 14.26 22.82 1.07
2016-09-30 76.98 13.57 22.11 1.05
2016-06-30 74.60 12.88 21.40 1.03
2016-03-31 72.41 12.22 20.98 1.03
2015-12-31 70.22 11.55 20.56 1.03
2015-09-30 67.67 11.64 19.99 1.09
2015-06-30 65.12 11.72 19.42 1.14
2015-03-31 62.20 13.13 18.83 1.15
2014-12-31 59.28 14.54 18.23 1.17
2014-09-30 56.43 13.31 17.82 1.12
2014-06-30 53.58 12.08 17.41 1.07
2014-03-31 49.33 8.73 16.83 0.98
2013-12-31 45.08 5.38 16.26 0.88
2013-09-30 41.07 3.52 15.84 0.78
2013-06-30 37.06 1.66 15.42 0.68
2013-03-31 34.61 1.34 14.55 0.62
2012-12-31 32.17 1.02 13.69 0.56
2012-09-30 29.89 0.53 12.90 0.55

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Somero Enterprises has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Somero Enterprises used its assets more efficiently than the GB Machinery industry average last year based on Return on Assets.
  • Somero Enterprises has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Somero Enterprises's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Somero Enterprises has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Somero Enterprises's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Somero Enterprises's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Somero Enterprises is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Somero Enterprises's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Somero Enterprises's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Somero Enterprises has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Somero Enterprises Company Filings, last reported 6 months ago.

AIM:SOM Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 55.10 0.00 28.23
2018-09-30 55.10 0.00 28.23
2018-06-30 48.82 0.00 20.65
2018-03-31 48.82 0.00 20.65
2017-12-31 46.87 0.00 19.04
2017-09-30 46.87 0.00 19.04
2017-06-30 40.87 0.00 18.26
2017-03-31 40.87 0.00 18.26
2016-12-31 48.17 0.99 21.22
2016-09-30 48.17 0.99 21.22
2016-06-30 41.83 0.99 12.10
2016-03-31 41.83 0.99 12.10
2015-12-31 38.21 1.00 13.71
2015-09-30 38.21 1.00 13.71
2015-06-30 33.46 1.10 10.08
2015-03-31 33.46 1.10 10.08
2014-12-31 30.78 1.34 7.95
2014-09-30 30.78 1.34 7.95
2014-06-30 30.98 1.97 9.32
2014-03-31 30.98 1.97 9.32
2013-12-31 23.90 2.60 5.98
2013-09-30 23.90 2.60 5.98
2013-06-30 21.36 2.73 4.02
2013-03-31 21.36 2.73 4.02
2012-12-31 20.11 3.08 1.17
2012-09-30 20.11 3.08 1.17
  • Somero Enterprises has no debt.
  • Somero Enterprises has no debt compared to 5 years ago when it was 10.8%.
  • Somero Enterprises has no debt, it does not need to be covered by operating cash flow.
  • Somero Enterprises has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Somero Enterprises's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Somero Enterprises has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Somero Enterprises's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
5.84%
Current annual income from Somero Enterprises dividends. Estimated to be 6.13% next year.
If you bought £2,000 of Somero Enterprises shares you are expected to receive £117 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Somero Enterprises's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.94%).
  • Somero Enterprises's dividend is above the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.43%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
AIM:SOM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Machinery Industry Average Dividend Yield Market Cap Weighted Average of 19 Stocks 2.7%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 706 Stocks 4.2%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 1.9%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.4%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

AIM:SOM Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.22 2.00
2019-12-31 0.18 2.00
AIM:SOM Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-04-15 0.190 4.608
2019-03-13 0.190 3.937
2018-04-30 0.155 3.288
2018-03-14 0.155 2.820
2017-04-13 0.111 2.770
2017-03-15 0.111 2.910
2016-04-12 0.069 2.840
2016-03-01 0.069 3.241
2015-04-07 0.080 3.860
2014-09-08 0.030 1.647
2014-04-23 0.026 1.285
2014-04-08 0.026 1.440
2013-09-03 0.018 1.115
2013-02-26 0.008 0.921
2010-05-18 0.000 0.000
2010-05-17 0.000 0.000
2009-09-15 0.000 0.000
2008-09-09 0.060 23.011

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Somero Enterprises's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.6x coverage).
X
Income/ dividend checks
We assess Somero Enterprises's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Somero Enterprises afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Somero Enterprises has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jack Cooney
COMPENSATION $746,306
AGE 72
TENURE AS CEO 21.6 years
CEO Bio

Mr. John Thomas Cooney, also known as Jack, has been the Chief Executive Officer of Somero Enterprises Inc. since December 1997 and serves as its President. He is the Chief Executive Officer of Somero Enterprises at Dover Refrigeration & Food Equipment, Inc. Mr. Cooney has 31 years of experience in various senior management and sales and marketing positions. From 1995 to 1997, he served as the chief executive officer of Advance Mchine Company, a US$145m industrial equipment manufacturer located in Minneapolis, Minnesota, USA. From 1990 to 1995, he served as a Vice President of sales and marketing, as well as the Vice President of manufacturing at Ganton Technologies, an aluminium die caster and precision machine business located in Wisconsin, USA. He has been a Director of Somero Enterprises, Inc. since August 10, 2005. Mr. Cooney has an Associates Degree in Industrial Engineering from Central New England College and a Master of Business Administration degree from College of St. Thomas.

CEO Compensation
  • Jack's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.
  • Jack's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Somero Enterprises management team in years:

4.2
Average Tenure
58
Average Age
  • The tenure for the Somero Enterprises management team is about average.
Management Team

Jack Cooney

TITLE
President
COMPENSATION
$746K
AGE
72
TENURE
21.6 yrs

John Yuncza

TITLE
CFO, Company Secretary & Director
COMPENSATION
$351K
AGE
48
TENURE
4.2 yrs

Howard Hohmann

TITLE
Executive VP of Sales
COMPENSATION
$319K
AGE
58

Jennifer Oliver

TITLE
Director of Legal Services & Investor Relations Contact
TENURE
3.7 yrs
Board of Directors Tenure

Average tenure and age of the Somero Enterprises board of directors in years:

6.4
Average Tenure
65
Average Age
  • The tenure for the Somero Enterprises board of directors is about average.
Board of Directors

Larry Horsch

TITLE
Non-Executive Chairman
COMPENSATION
$92K
AGE
84
TENURE
9.8 yrs

Jack Cooney

TITLE
President
COMPENSATION
$746K
AGE
72
TENURE
13.9 yrs

John Yuncza

TITLE
CFO, Company Secretary & Director
COMPENSATION
$351K
AGE
48
TENURE
4.5 yrs

Howard Hohmann

TITLE
Executive VP of Sales
COMPENSATION
$319K
AGE
58
TENURE
4.7 yrs

Tom Anderson

TITLE
Independent Non-Executive Director
COMPENSATION
$66K
AGE
68
TENURE
8.1 yrs

Bob Scheuer

TITLE
Independent Non-Executive Director
COMPENSATION
$75K
AGE
62
TENURE
3.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
12. Sep 18 Sell Lawrence Horsch Individual 07. Sep 18 07. Sep 18 -46,000 £4.13 £-189,960
X
Management checks
We assess Somero Enterprises's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Somero Enterprises has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Should You Be Excited About Somero Enterprises, Inc.'s (LON:SOM) 39% Return On Equity?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Somero Enterprises: 39% = US$22m ÷ US$55m (Based on the trailing twelve months to December 2018.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Combining Somero Enterprises's Debt And Its 39% Return On Equity Shareholders will be pleased to learn that Somero Enterprises has not one iota of net debt! … Companies that can achieve high returns on equity without too much debt are generally of good quality.

Simply Wall St -

How Much Are Somero Enterprises, Inc. (LON:SOM) Insiders Taking Off The Table?

As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.' See our latest analysis for Somero Enterprises Somero Enterprises Insider Transactions Over The Last Year The Non-Executive Chairman, Lawrence Horsch, made the biggest insider sale in the last 12 months. … AIM:SOM Recent Insider Trading, July 4th 2019 Does Somero Enterprises Boast High Insider Ownership? … Our data indicates that Somero Enterprises insiders own about UK£4.7m worth of shares (which is 2.9% of the company).

Simply Wall St -

A Close Look At Somero Enterprises, Inc.’s (LON:SOM) 53% ROCE

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Somero Enterprises: 0.53 = US$29m ÷ (US$67m - US$12m) (Based on the trailing twelve months to December 2018.) Therefore, Somero Enterprises has an ROCE of 53%. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise. … Our Take On Somero Enterprises's ROCE This is good to see, and with such a high ROCE, Somero Enterprises may be worth a closer look.

Simply Wall St -

Why We Like Somero Enterprises, Inc.’s (LON:SOM) 53% Return On Capital Employed

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Somero Enterprises: 0.53 = US$29m ÷ (US$67m - US$12m) (Based on the trailing twelve months to December 2018.) So, Somero Enterprises has an ROCE of 53%. … What Are Current Liabilities, And How Do They Affect Somero Enterprises's ROCE? … Our Take On Somero Enterprises's ROCE This is good to see, and with such a high ROCE, Somero Enterprises may be worth a closer look.

Simply Wall St -

Does Somero Enterprises, Inc.'s (LON:SOM) CEO Pay Reflect Performance?

View our latest analysis for Somero Enterprises How Does Jack Cooney's Compensation Compare With Similar Sized Companies? … So Jack Cooney is paid around the average of the companies we looked at. … Boasting a total shareholder return of 186% over three years, Somero Enterprises, Inc.

Simply Wall St -

Why Fundamental Investors Might Love Somero Enterprises, Inc. (LON:SOM)

For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Somero Enterprises here. … AIM:SOM Income Statement, May 13th 2019 Next Steps: For Somero Enterprises, I've put together three essential factors you should look at: Future Outlook: What are well-informed industry analysts predicting for SOM’s future growth? … Take a look at our free research report of analyst consensus for SOM’s outlook.

Simply Wall St -

Do You Like Somero Enterprises, Inc. (LON:SOM) At This P/E Ratio?

We'll apply a basic P/E ratio analysis to Somero Enterprises, Inc.'s (LON:SOM), to help you decide if the stock is worth further research. … Looking at earnings over the last twelve months, Somero Enterprises has a P/E ratio of 12.32. … Price to Earnings Ratio = Share Price (in reporting currency) ÷ Earnings per Share (EPS)

Simply Wall St -

Shareholders Are Thrilled That The Somero Enterprises (LON:SOM) Share Price Increased 235%

One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … Over half a decade, Somero Enterprises managed to grow its earnings per share at 32% a year. … So the EPS growth rate is rather close to the annualized share price gain of 27% per year.

Simply Wall St -

Somero Enterprises, Inc. (LON:SOM) Delivered A Better ROE Than Its Industry

By way of learning-by-doing, we'll look at ROE to gain a better understanding of Somero Enterprises, Inc. … Over the last twelve months Somero Enterprises has recorded a ROE of 39%. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Why Somero Enterprises, Inc.’s (LON:SOM) Return On Capital Employed Is Impressive

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

Company Info

Description

Somero Enterprises, Inc., together with its subsidiaries, designs, assembles, remanufactures, sells, and distributes concrete leveling, contouring, and placing equipment. It also offers related parts and accessories, as well as provides training services. The company’s proprietary products include the CopperHead, Mini Screed C, S-840 Laser Screed, S-15R Laser Screed, S-22E Laser Screed, S-22EZ Advanced Laser Screed, S-485 Laser Screed, S-940 Laser Screed, S-10A Laser Screed, and the S-158 Laser Screed machines; and STS-11M Spreader, as well as the 3-D Profiler System software, the Somero Floor Levelness System, and the SP-16 Concrete Hose Line-Pulling and Placing System. Its equipment is used to place and screed the concrete slab in various building types, including floors in multi-story buildings; and used in the construction of warehouses, manufacturing assembly plants, exterior paving and parking structures, retail centers, and other commercial construction projects that require flat concrete-slab floors. Somero Enterprises, Inc. also provides SiteShape, a software package for real three-dimensional grade shaping. The company markets and sells its products primarily to concrete contractors in North America, Europe, China, the Middle East, Australia, Latin America, Scandinavia, Southeast Asia, Korea, Russia, and India. Somero Enterprises, Inc. was founded in 1985 and is headquartered in Fort Myers, Florida.

Details
Name: Somero Enterprises, Inc.
SOM
Exchange: AIM
Founded: 1985
£146,479,689
56,338,342
Website: http://www.somero.com
Address: Somero Enterprises, Inc.
14530 Global Parkway,
Fort Myers,
Florida, 33913,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM SOM Common Shares London Stock Exchange AIM Market GB GBP 01. Nov 2006
BST SET Common Shares Boerse-Stuttgart DE EUR 01. Nov 2006
Number of employees
Current staff
Staff numbers
190
Somero Enterprises employees.
Industry
Construction Machinery and Heavy Trucks
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/16 21:01
End of day share price update: 2019/07/16 00:00
Last estimates confirmation: 2019/07/11
Last earnings filing: 2019/04/15
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.