BIT:TES

Stock Analysis Report

Executive Summary

Tesmec S.p.A. designs, produces, and markets products and integrated solutions for the construction, maintenance, and streamlining of infrastructures relating to the transmission of electrical power, data, and material transport in Italy, rest of Europe, the Middle East, Africa, North and Central America, and BRIC and other countries.

Snowflake

Fundamentals

Reasonable growth potential with imperfect balance sheet.

Risks

  • Tesmec is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.4%

BIT:TES

0.8%

IT Machinery

0.2%

IT Market


1 Year Return

-14.4%

BIT:TES

-23.7%

IT Machinery

-0.3%

IT Market

TES outperformed the Machinery industry which returned -23.1% over the past year.

TES underperformed the Market in Italy which returned -0.6% over the past year.


Share holder returns

TESIndustryMarket
7 Day-2.4%0.8%0.2%
30 Day3.3%5.7%4.4%
90 Day-9.8%-4.5%1.1%
1 Year-14.4%-14.4%-22.4%-23.7%4.0%-0.3%
3 Year-15.6%-15.6%42.1%36.3%31.1%13.2%
5 Year-36.5%-41.3%82.0%70.9%12.8%-31.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Tesmec's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Tesmec's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Tesmec is overvalued based on earnings compared to the IT Machinery industry average.

Tesmec is overvalued based on earnings compared to the Italy market.


Price Based on Expected Growth

Tesmec is poor value based on expected growth next year.


Price Based on Value of Assets

Tesmec is good value based on assets compared to the IT Machinery industry average.


Next Steps

Future Growth

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

55.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Tesmec's revenue is expected to grow by 5.3% yearly, however this is not considered high growth (20% yearly).

Tesmec's earnings are expected to grow significantly at over 20% yearly.

Tesmec's revenue growth is expected to exceed the Italy market average.

Tesmec's earnings growth is expected to exceed the Italy market average.

Tesmec's earnings growth is expected to exceed the low risk savings rate of 2.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Tesmec is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Tesmec performed over the past 5 years?

-49.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Tesmec's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Tesmec's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Tesmec's 1-year earnings growth is negative, it can't be compared to the IT Machinery industry average.


Return on Equity

Tesmec has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Tesmec used its assets less efficiently than the IT Machinery industry average last year based on Return on Assets.


Return on Capital Employed

Tesmec's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Tesmec's financial position?


Financial Position Analysis

Tesmec is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Tesmec's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Tesmec's level of debt (280.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (200.1% vs 280.4% today).

Debt is not well covered by operating cash flow (11.5%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 0.9x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.6x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Tesmec's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Tesmec's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Tesmec has not reported any payouts.

Unable to verify if Tesmec's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Tesmec has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

9.6yrs

Average board tenure


CEO

Ambrogio Dominioni (73yo)

0yrs

Tenure

€480,000

Compensation

Mr. Ambrogio Caccia Dominioni serves as the Chairman of the Board and Chief Executive Officer of Tesmec S.p.A. and served as its Managing Director. From 1971 to 1979, Mr. Dominioni served for Andersen Cons ...


CEO Compensation Analysis

Ambrogio's remuneration is higher than average for companies of similar size in Italy.

Ambrogio's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

9.6yrs

Average Tenure

60yo

Average Age

The tenure for the Tesmec board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Ambrogio Dominioni (73yo)

    Chairman & CEO

    • Tenure: 0yrs
    • Compensation: €480.00k
  • Marco Paredi

    Investor Relations Manager

    • Tenure: 0yrs

Board Members

  • Ambrogio Dominioni (73yo)

    Chairman & CEO

    • Tenure: 0yrs
    • Compensation: €480.00k
  • Gioacchino Attanzio (76yo)

    Lead Independent Director

    • Tenure: 9.6yrs
    • Compensation: €30.00k
  • Gianluca Bolelli (60yo)

    Vice Chairman

    • Tenure: 0yrs
    • Compensation: €83.20k
  • Paola Durante

    Independent Director

    • Tenure: 0yrs
    • Compensation: €20.00k
  • Guido Giuseppe Corbetta (60yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: €20.00k
  • Simone Cavalli (54yo)

    Chairman of Board of Statutory Auditors

    • Tenure: 0yrs
    • Compensation: €38.72k
  • Caterina Dominioni (40yo)

    Director

    • Tenure: 9.6yrs
    • Compensation: €52.00k
  • Sergio Arnoldi (72yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: €20.80k
  • Stefano Chirico (52yo)

    Statutory Auditor & Member of Supervisory Board

    • Tenure: 9.6yrs
    • Compensation: €26.47k
  • Lucia Dominioni

    Director

    • Tenure: 0yrs
    • Compensation: €20.00k

Company Information

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


Key Information

  • Name: Tesmec S.p.A.
  • Ticker: TES
  • Exchange: BIT
  • Founded: 1951
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: €41.461m
  • Shares outstanding: 102.37m
  • Website: https://www.tesmec.com

Number of Employees


Location

  • Tesmec S.p.A.
  • Via Zanica, 17/O
  • Grassobbio
  • Bergamo
  • 24050
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TESBIT (Borsa Italiana)YesOrdinary SharesITEURJul 2010
2GVDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 2010

Biography

Tesmec S.p.A. designs, produces, and markets products and integrated solutions for the construction, maintenance, and streamlining of infrastructures relating to the transmission of electrical power, data, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/18 21:12
End of Day Share Price2019/09/18 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.