BATS-CHIXE:ETHM

Stock Analysis Report

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Executive Summary

Eurotech S.p.A. engages in the research and development, production, and marketing of miniaturized computers and high-performance computers featuring high computing capacity in Italy and internationally. More Details


Snowflake Analysis

Excellent balance sheet and good value.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-11.3%

ETHM

-3.6%

GB Tech

-5.1%

GB Market


1 Year Return

-63.4%

ETHM

54.4%

GB Tech

-20.0%

GB Market

Return vs Industry: ETHM underperformed the UK Tech industry which returned 54.4% over the past year.

Return vs Market: ETHM underperformed the UK Market which returned -19.3% over the past year.


Shareholder returns

ETHMIndustryMarket
7 Day-11.3%-3.6%-5.1%
30 Day-17.9%4.9%-4.3%
90 Day-32.1%13.5%-4.5%
1 Year-63.4%-63.4%56.2%54.4%-17.0%-20.0%
3 Year133.7%133.7%54.1%47.3%-13.6%-24.3%
5 Year86.9%86.9%163.9%142.4%10.2%-14.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

10.49x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ETHM (€3.18) is trading above our estimate of fair value (€1.78)

Significantly Below Fair Value: ETHM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ETHM is good value based on its PE Ratio (10.5x) compared to the XE Tech industry average (19.8x).

PE vs Market: ETHM is good value based on its PE Ratio (10.5x) compared to the UK market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: ETHM is good value based on its PEG Ratio (0.4x)


Price to Book Ratio

PB vs Industry: ETHM is good value based on its PB Ratio (0.9x) compared to the XE Tech industry average (1.7x).


Next Steps

Future Growth

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

28.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ETHM's forecast earnings growth (28.4% per year) is above the savings rate (1.2%).

Earnings vs Market: ETHM's earnings (28.4% per year) are forecast to grow faster than the UK market (23.8% per year).

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

Revenue vs Market: ETHM's revenue (13.5% per year) is forecast to grow faster than the UK market (5.8% per year).

High Growth Revenue: ETHM's revenue (13.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Eurotech performed over the past 5 years?

67.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ETHM has high quality earnings.

Growing Profit Margin: ETHM's current net profit margins (12.8%) are lower than last year (13.2%).


Past Earnings Growth Analysis

Earnings Trend: ETHM has become profitable over the past 5 years, growing earnings by 67.6% per year.

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

Earnings vs Industry: ETHM had negative earnings growth (-12.9%) over the past year, making it difficult to compare to the Tech industry average (4%).


Return on Equity

High ROE: ETHM's Return on Equity (8.8%) is considered low.


Next Steps

Financial Health

How is Eurotech's financial position?


Financial Position Analysis

Short Term Liabilities: ETHM's short term assets (€66.1M) exceed its short term liabilities (€26.7M).

Long Term Liabilities: ETHM's short term assets (€66.1M) exceed its long term liabilities (€19.6M).


Debt to Equity History and Analysis

Debt Level: ETHM's debt to equity ratio (13.6%) is considered satisfactory.

Reducing Debt: ETHM's debt to equity ratio has increased from 11.3% to 13.6% over the past 5 years.

Debt Coverage: ETHM's debt is well covered by operating cash flow (80.8%).

Interest Coverage: ETHM's interest payments on its debt are well covered by EBIT (22.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Eurotech current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

10.6yrs

Average management tenure


CEO

Roberto Siagri (60 yo)

no data

Tenure

€410,000

Compensation

Dr. Roberto Siagri had been Chairman of Eurotech S.p.A. since 2019 until April 2020 and serves as its Chief Executive Officer and President. Dr. Siagri served as Vice Chairman of Eurotech S.p.A. since May ...


CEO Compensation Analysis

Compensation vs Market: Roberto's total compensation ($USD0.00) is below average for companies of similar size in the UK market ($USD349.56K).

Compensation vs Earnings: Roberto's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Roberto Siagri
CEO, President & Directorno data€410.00k3.63%
€ 4.1m
Sandro Barazza
Group CFO & Corporate Financial Reporting Manager12.42yrs€44.00kno data
Ludovico Ciferri
President of Advanet Inc6.58yrsno datano data
Leann Zawodniak
Chief Financial Officer of Eurotech Inc10.58yrsno datano data

10.6yrs

Average Tenure

Experienced Management: ETHM's management team is seasoned and experienced (10.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Roberto Siagri
CEO, President & Directorno data€410.00k3.63%
€ 4.1m
Chiara Mio
Lead Independent Director6.42yrs€32.00kno data
Marco Costaguta
Director0.50yrno datano data
Patrizio Mapelli
Chairman of the Board0.50yrno datano data
Laura Rovizzi
Independent Director0.50yrno datano data
Gaetano Rebecchini
Statutory Auditor3.5yrsno datano data
Fabio Monti
Chairman of the Board of Statutory Auditors0.50yrno datano data
Aldo Serafino Fumagalli
Deputy Chairman0.75yrno datano data
Susanna Curti
Director0.92yrno datano data
Antongiulio Marti
Director0.92yrno datano data
Maria Filippini
Independent Director0.50yrno datano data
Daniela Savi
Statutory Auditor0.50yrno datano data

0.6yrs

Average Tenure

56yo

Average Age

Experienced Board: ETHM's board of directors are not considered experienced ( 0.6 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Eurotech S.p.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eurotech S.p.A.
  • Ticker: ETHM
  • Exchange: BATS-CHIXE
  • Founded: 1992
  • Industry: Technology Hardware, Storage and Peripherals
  • Sector: Tech
  • Market Cap: €112.110m
  • Shares outstanding: 35.17m
  • Website: https://www.eurotech.com

Number of Employees


Location

  • Eurotech S.p.A.
  • Via Fratelli Solari 3/a
  • Amaro
  • Udine
  • 33020
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ETHBIT (Borsa Italiana)YesOrdinary SharesITEURDec 2005
E5TDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2005
0E7ZLSE (London Stock Exchange)YesOrdinary SharesGBEURDec 2005
ETHMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURDec 2005
ERTW.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2005

Biography

Eurotech S.p.A. engages in the research and development, production, and marketing of miniaturized computers and high-performance computers featuring high computing capacity in Italy and internationally. T ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 19:40
End of Day Share Price2020/10/29 00:00
Earnings2020/06/30
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.