BIT:PRI

Stock Analysis Report

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Executive Summary

Prima Industrie SpA develops, manufactures, and markets laser systems for industrial applications, sheet metal processing machines, and industrial electronics and laser sources. More Details


Snowflake Analysis

Excellent balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-4.8%

PRI

2.2%

IT Machinery

0.05%

IT Market


1 Year Return

-3.5%

PRI

-0.7%

IT Machinery

-12.0%

IT Market

Return vs Industry: PRI matched the Italian Machinery industry which returned -3.7% over the past year.

Return vs Market: PRI exceeded the Italian Market which returned -14.2% over the past year.


Shareholder returns

PRIIndustryMarket
7 Day-4.8%2.2%0.05%
30 Day-13.4%3.2%-2.4%
90 Day-13.8%15.2%-4.2%
1 Year-3.5%-3.5%-0.3%-0.7%-9.8%-12.0%
3 Year-71.3%-72.3%-19.6%-22.2%-12.1%-20.0%
5 Year-14.9%-20.7%47.7%39.5%-5.7%-27.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

24.86x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PRI (€11.12) is trading above our estimate of fair value (€6.03)

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


Price To Earnings Ratio

PE vs Industry: PRI is poor value based on its PE Ratio (24.9x) compared to the IT Machinery industry average (12.6x).

PE vs Market: PRI is poor value based on its PE Ratio (24.9x) compared to the Italian market (15.9x).


Price to Earnings Growth Ratio

PEG Ratio: PRI is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: PRI is good value based on its PB Ratio (0.6x) compared to the IT Machinery industry average (1.2x).


Next Steps

Future Growth

How is Prima Industrie forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

93.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PRI's forecast earnings growth (93.5% per year) is above the savings rate (2%).

Earnings vs Market: PRI's earnings (93.5% per year) are forecast to grow faster than the Italian market (23.6% per year).

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

Revenue vs Market: PRI's revenue (12.2% per year) is forecast to grow faster than the Italian market (3.6% per year).

High Growth Revenue: PRI's revenue (12.2% 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 PRI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Prima Industrie performed over the past 5 years?

9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRI has a large one-off loss of €1.7M impacting its June 30 2020 financial results.

Growing Profit Margin: PRI's current net profit margins (1.2%) are lower than last year (3.2%).


Past Earnings Growth Analysis

Earnings Trend: PRI's earnings have grown by 9.2% per year over the past 5 years.

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

Earnings vs Industry: PRI had negative earnings growth (-70%) over the past year, making it difficult to compare to the Machinery industry average (-11.6%).


Return on Equity

High ROE: PRI's Return on Equity (2.2%) is considered low.


Next Steps

Financial Health

How is Prima Industrie's financial position?


Financial Position Analysis

Short Term Liabilities: PRI's short term assets (€277.2M) exceed its short term liabilities (€208.8M).

Long Term Liabilities: PRI's short term assets (€277.2M) exceed its long term liabilities (€126.2M).


Debt to Equity History and Analysis

Debt Level: PRI's debt to equity ratio (75.6%) is considered high.

Reducing Debt: PRI's debt to equity ratio has reduced from 105.8% to 75.6% over the past 5 years.

Debt Coverage: PRI's debt is well covered by operating cash flow (22.8%).

Interest Coverage: PRI's interest payments on its debt are well covered by EBIT (6.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Prima Industrie current dividend yield, its reliability and sustainability?

3.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PRI's dividend (3.96%) is higher than the bottom 25% of dividend payers in the Italian market (1.63%).

High Dividend: PRI's dividend (3.96%) is low compared to the top 25% of dividend payers in the Italian market (5.5%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, PRI has been paying a dividend for less than 10 years.

Growing Dividend: PRI's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (98.4%), PRI'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

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

0.7yrs

Average board tenure


CEO

Domenico Peiretti

no data

Tenure

€22,000

Compensation

Mr. Domenico Peiretti serves as Chief Executive Officer of Prima Electro S.p.A. Mr. Peiretti has been Chief Executive Officer of Prima Electronics since May 2, 2011 and also serves as its Managing Director ...


CEO Compensation Analysis

Compensation vs Market: Domenico's total compensation ($USD0.00) is below average for companies of similar size in the Italian market ($USD423.21K).

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


Board Members

NamePositionTenureCompensationOwnership
Gianfranco Carbonato
Executive Chairman9.33yrs€407.06k3.62%
€ 4.4m
Domenico Peiretti
Executive Deputy Chairman & CEOno data€22.00kno data
Ezio Basso
MD, GM & Executive Directorno data€335.26kno data
Mario Mauri
Independent Directorno data€23.00kno data
Lisa Tan
Director0.67yrno datano data
Michael Mansour
Non-Independent Directorno data€22.00kno data
Carlalberto Guglielminotti
Independent Director0.67yrno datano data
Donatella Busso
Independent Directorno data€27.00kno data
Franco Nada
Chairman of the Board of Statutory Auditors no datano datano data
Paola Gatto
Independent Director3.42yrsno datano data
Francesca de Fraja Frangipane
Independent Director0.67yrno datano data
Giuliana Mattiazzo
Independent Director0.67yrno datano data

0.7yrs

Average Tenure

52.5yo

Average Age

Experienced Board: PRI's board of directors are not considered experienced ( 0.7 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

Prima Industrie SpA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Prima Industrie SpA
  • Ticker: PRI
  • Exchange: BIT
  • Founded: 1977
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: €120.654m
  • Shares outstanding: 10.38m
  • Website: https://www.primaindustrie.com

Number of Employees


Location

  • Prima Industrie SpA
  • Via Antonelli, 32
  • Collegno
  • Turin
  • 10093
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PRIBIT (Borsa Italiana)YesOrdinary SharesITEUROct 1999
PA6DB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 1999
0NFPLSE (London Stock Exchange)YesOrdinary SharesGBEUROct 1999
PRIMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 1999

Biography

Prima Industrie SpA develops, manufactures, and markets laser systems for industrial applications, sheet metal processing machines, and industrial electronics and laser sources. The company operates in two ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/30 20:54
End of Day Share Price2020/09/30 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.