BIT:CIR

Stock Analysis Report

Compagnie Industriali Riunite

Executive Summary

Compagnie Industriali Riunite S.p.A., together with its subsidiaries, operates in the automotive components, media, healthcare, and non-core investment sectors in Italy, other European countries, North America, South America, Asia, and internationally.

Snowflake

Fundamentals

Mediocre balance sheet with moderate growth potential.

Share Price & News

How has Compagnie Industriali Riunite's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.1%

CIR

-0.2%

IT Auto Components

0.5%

IT Market


1 Year Return

4.8%

CIR

-7.5%

IT Auto Components

11.6%

IT Market

Return vs Industry: CIR exceeded the Italian Auto Components industry which returned -7.5% over the past year.

Return vs Market: CIR underperformed the Italian Market which returned 11.6% over the past year.


Shareholder returns

CIRIndustryMarket
7 Day0.1%-0.2%0.5%
30 Day0.9%-4.4%0.07%
90 Day-1.3%-1.6%1.2%
1 Year8.9%4.8%-4.9%-7.5%16.5%11.6%
3 Year4.2%-5.9%-12.3%-19.5%25.2%8.0%
5 Year30.4%12.8%21.8%8.0%21.1%-26.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Compagnie Industriali Riunite undervalued compared to its fair value and its price relative to the market?

84.2x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CIR (€0.94) is trading above our estimate of fair value (€0.23)

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


Price To Earnings Ratio

PE vs Industry: CIR is poor value based on its PE Ratio (84.2x) compared to the Auto Components industry average (17.7x).

PE vs Market: CIR is poor value based on its PE Ratio (84.2x) compared to the Italian market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: CIR is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: CIR is good value based on its PB Ratio (0.7x) compared to the IT Auto Components industry average (1.2x).


Next Steps

Future Growth

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

63.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CIR's forecast earnings growth (63.7% per year) is above the savings rate (2.9%).

Earnings vs Market: CIR's earnings (63.7% per year) are forecast to grow faster than the Italian market (8.6% per year).

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

Revenue vs Market: Insufficient data to determine if CIR's revenue is forecast to grow faster than the Italian market.

High Growth Revenue: Insufficient data to determine if CIR's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Compagnie Industriali Riunite performed over the past 5 years?

-84.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CIR's earnings have declined by -84.8% per year over the past 5 years.

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

Earnings vs Industry: CIR has become profitable in the last year, making it difficult to compare its past year earnings growth to the Auto Components industry (-6.3%).


Return on Equity

High ROE: CIR's Return on Equity (-0.2%) is considered low.


Return on Assets

ROA vs Industry: CIR's Return on Assets is below or equal to the Auto Components industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Compagnie Industriali Riunite's financial position?


Financial Position Analysis

Short Term Liabilities: CIR's short term assets (€1.3B) exceeds its short term liabilities (€1.2B)

Long Term Liabilities: CIR's short term assets (1.3B) do not cover its long term liabilities (1.4B)


Debt to Equity History and Analysis

Debt Level: CIR's debt to equity ratio (58.8%) is considered high

Reducing Debt: CIR's debt to equity ratio has reduced from 66.8% to 58.8% over the past 5 years.

Debt Coverage: CIR's debt is well covered by operating cash flow (26.7%).

Interest Coverage: CIR's interest payments on its debt are not well covered by EBIT (1.5x coverage).


Balance Sheet

Inventory Level: CIR has a high level of physical assets or inventory.

Debt Coverage by Assets: CIR's debt is covered by short term assets (assets are 1.554080x debt).


Next Steps

Dividend

What is Compagnie Industriali Riunite's current dividend yield, its reliability and sustainability?

4.14%

Current Dividend Yield


Dividend Yield vs Market

company4.1%marketbottom25%2.1%markettop25%4.4%industryaverage3.7%forecastin3Years4.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: CIR's dividend (4.14%) is higher than the bottom 25% of dividend payers in the Italian market (2.08%).

High Dividend: CIR's dividend (4.14%) is low compared to the top 25% of dividend payers in the Italian market (4.41%).

Stable Dividend: CIR has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: CIR's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (349%), CIR'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 Compagnie Industriali Riunite's salary, the management and board of directors tenure and is there insider trading?

6.5yrs

Average management tenure


CEO

Monica Mondardini (59yo)

6.5yrs

Tenure

€1,962,593

Compensation

Ms. Monica Mondardini has been Non Executive Director of GEDI Gruppo Editoriale S.p.A. since September 16, 2008 and has been its Deputy Chairman since May 2018. Ms. Mondardini served as the Chief Executive ...


CEO Compensation Analysis

Compensation vs. Market: Monica's total compensation ($USD0.00) is too low to compare against companies of similar size in the Italian market ($USD0.00).

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


Management Age and Tenure

6.5yrs

Average Tenure

Experienced Management: CIR's management team is seasoned and experienced (6.5 years average tenure).


Board Age and Tenure

5.3yrs

Average Tenure

63.5yo

Average Age

Experienced Board: CIR's board of directors are considered experienced (5.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy€1,112,49816 Sep 19
Rodolfo, Marco ed Edoardo De Benedetti S.a.p.a.
EntityCompany
Shares1,171,050
Max Price€0.95

Ownership Breakdown


Management Team

  • Massimo Segre

    Secretary to the Board

    • Tenure: 0yrs
    • Compensation: €7.00k
  • Giuseppe Gianoglio

    Chief Administration Officer

    • Tenure: 6.5yrs
  • Michele Cavigioli

    Finance Director

    • Tenure: 9.1yrs
  • Monica Mondardini (59yo)

    CEO, GM & Executive Director

    • Tenure: 6.5yrs
    • Compensation: €1.96m

Board Members

  • Rodolfo De Benedetti (58yo)

    Chairman of the Board

    • Tenure: 6.5yrs
    • Compensation: €2.13m
  • Carlo De Benedetti (85yo)

    Honorary Chairman

    • Tenure: 5.3yrs
    • Compensation: €60.00k
  • Claudio Recchi (64yo)

    Independent Director

    • Tenure: 0yrs
    • Compensation: €32.00k
  • Franco Debenedetti (86yo)

    Non Executive Director

    • Tenure: 0yrs
    • Compensation: €20.00k
  • Guido Tabellini (63yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: €31.00k
  • Pietro Manzonetto (75yo)

    Chairman of Board of Statutory Auditors

    • Tenure: 0yrs
    • Compensation: €75.20k
  • Maristella Botticini

    Independent Director

    • Tenure: 0yrs
    • Compensation: €36.00k
  • Silvia Giannini

    Independent Director

    • Tenure: 0yrs
    • Compensation: €35.00k
  • Edoardo De Benedetti (55yo)

    Non Executive Director

    • Tenure: 5.3yrs
    • Compensation: €20.00k
  • Monica Mondardini (59yo)

    CEO, GM & Executive Director

    • Tenure: 6.5yrs
    • Compensation: €1.96m

Company Information

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


Key Information

  • Name: Compagnie Industriali Riunite S.p.A.
  • Ticker: CIR
  • Exchange: BIT
  • Founded: 1976
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: €603.376m
  • Shares outstanding: 641.21m
  • Website: https://www.cirgroup.it

Number of Employees


Location

  • Compagnie Industriali Riunite S.p.A.
  • Via Ciovassino, 1
  • Milan
  • Milan
  • 20121
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CIRBIT (Borsa Italiana)YesOrdinary SharesITEUROct 1990
CIRDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1990
0MHALSE (London Stock Exchange)YesOrdinary SharesGBEUROct 1990
CIRMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 1990

Biography

Compagnie Industriali Riunite S.p.A., together with its subsidiaries, operates in the automotive components, media, healthcare, and non-core investment sectors in Italy, other European countries, North Ame ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 20:42
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.