BIT:PST

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Poste Italiane SpA provides postal, logistics, and financial and insurance products and services in Italy.


Snowflake Analysis

Average dividend payer and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

6.1%

PST

2.6%

IT Insurance

5.2%

IT Market


1 Year Return

-9.3%

PST

-19.3%

IT Insurance

-11.0%

IT Market

Return vs Industry: PST exceeded the Italian Insurance industry which returned -19.3% over the past year.

Return vs Market: PST exceeded the Italian Market which returned -11% over the past year.


Shareholder returns

PSTIndustryMarket
7 Day6.1%2.6%5.2%
30 Day1.8%-7.1%1.8%
90 Day-17.9%-22.0%-16.0%
1 Year-3.5%-9.3%-15.8%-19.3%-8.7%-11.0%
3 Year49.2%24.6%3.7%-10.9%-10.1%-18.2%
5 Yearn/a-2.4%-26.4%-14.4%-43.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

8.49x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PST (€7.89) is trading above our estimate of fair value (€7.68)

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


Price To Earnings Ratio

PE vs Industry: PST is good value based on its PE Ratio (8.5x) compared to the Insurance industry average (9.9x).

PE vs Market: PST is good value based on its PE Ratio (8.5x) compared to the Italian market (16.1x).


Price to Earnings Growth Ratio

PEG Ratio: PST is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: PST is overvalued based on its PB Ratio (1.2x) compared to the IT Insurance industry average (0.8x).


Next Steps

Future Growth

How is Poste Italiane forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

9.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PST's forecast earnings growth (9% per year) is above the savings rate (2%).

Earnings vs Market: PST's earnings (9% per year) are forecast to grow slower than the Italian market (24.3% per year).

High Growth Earnings: PST's earnings are forecast to grow, but not significantly.

Revenue vs Market: PST's revenue is expected to decline over the next 3 years (-10.3% per year).

High Growth Revenue: PST's revenue is forecast to decline over the next 3 years (-10.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PST's Return on Equity is forecast to be low in 3 years time (11.2%).


Next Steps

Past Performance

How has Poste Italiane performed over the past 5 years?

24.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PST has a large one-off loss of €432.0M impacting its March 31 2020 financial results.

Growing Profit Margin: PST's current net profit margins (4%) are lower than last year (4.4%).


Past Earnings Growth Analysis

Earnings Trend: PST's earnings have grown significantly by 24.7% per year over the past 5 years.

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

Earnings vs Industry: PST had negative earnings growth (-10.7%) over the past year, making it difficult to compare to the Insurance industry average (7.5%).


Return on Equity

High ROE: PST's Return on Equity (13.9%) is considered low.


Next Steps

Financial Health

How is Poste Italiane's financial position?


Financial Position Analysis

Short Term Liabilities: PST's short term assets (€46.1B) do not cover its short term liabilities (€80.1B).

Long Term Liabilities: PST's short term assets (€46.1B) do not cover its long term liabilities (€156.7B).


Debt to Equity History and Analysis

Debt Level: PST's debt to equity ratio (1035.2%) is considered high.

Reducing Debt: PST's debt to equity ratio has increased from 657.8% to 1035.2% over the past 5 years.

Debt Coverage: PST's debt is not well covered by operating cash flow (5.1%).

Interest Coverage: PST's interest payments on its debt are well covered by EBIT (26.1x coverage).


Balance Sheet


Next Steps

Dividend

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

5.87%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: PST's dividend (5.87%) is higher than the bottom 25% of dividend payers in the Italian market (1.99%).

High Dividend: PST's dividend (5.87%) is in the top 25% of dividend payers in the Italian market (5.24%)


Stability and Growth of Payments

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

Growing Dividend: PST's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.8%), PST's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PST's dividends in 3 years are forecast to be covered by earnings (57% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Matteo Del Fante (52yo)

3.08yrs

Tenure

Dr. Matteo Del Fante has been Chief Executive Officer, General Manager and Director at Poste Italiane SpA since April 27, 2017. He has been Chief Executive Officer, Managing Director and Director at Poste  ...


Leadership Team

NamePositionTenureCompensationOwnership
Matteo Del Fante
CEO, GM & Director3.08yrsno datano data
Guido Nola
Chief Financial Officer1.75yrsno datano data
Antonio Nervi
Head of Investment Governance5.5yrsno datano data
Massimiliano Riggi
Head of Investor Relationsno datano datano data
Giuseppe Cannizzaro
Head of Legal and Corporate Affairsno datano datano data
Massimo Rosini
Head of the Mail Communications & Logistics Department4.08yrsno datano data
Paolo Bruschi
Vice GM-HR & Organization3.92yrsno datano data
Manlio Caporali
Head of Purchasing13.33yrsno datano data
Paolo Casati
Head of Internal Audit & Member of Supervisory Boardno datano datano data
Anna Sassano
Head of Digital Architecture & Services - Public Administration5.17yrsno datano data

4.1yrs

Average Tenure

60.5yo

Average Age

Experienced Management: PST's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Matteo Del Fante
CEO, GM & Director3.08yrsno datano data
Mauro Lonardo
Chairman of the Board of Statutory Auditors4yrsno datano data
Maria Flour
Chairwoman3.08yrsno datano data
Giovanni Azzone
Director4yrsno datano data
Mimi Kung
Director4yrsno datano data
Roberto Rossi
Director3.08yrsno datano data
Bernardo De Stasio
Independent Directorno datano datano data
Daniela Favrin
Independent Directorno datano datano data
Davide Iacovoni
Directorno datano datano data
Elisabetta Lunati
Independent Directorno datano datano data

3.5yrs

Average Tenure

54yo

Average Age

Experienced Board: PST's board of directors are considered experienced (3.5 years average tenure).


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.


Ownership Breakdown

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


Top Shareholders

Company Information

Poste Italiane SpA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Poste Italiane SpA
  • Ticker: PST
  • Exchange: BIT
  • Founded:
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: €10.269b
  • Shares outstanding: 1.30b
  • Website: https://www.posteitaliane.it

Number of Employees


Location

  • Poste Italiane SpA
  • Viale Europa, 190
  • Rome
  • Rome
  • 144
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PSTBIT (Borsa Italiana)YesOrdinary SharesITEUROct 2015
7PIDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 2015
PSTMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEUROct 2015
0RC2LSE (London Stock Exchange)YesOrdinary SharesGBEUROct 2015
PSTWBAG (Wiener Boerse AG)YesOrdinary SharesATEUROct 2015
PITA.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 2015

Biography

Poste Italiane SpA provides postal, logistics, and financial and insurance products and services in Italy. It operates in four segments: Mail, Parcels and Distribution; Payments, Mobile and Digital; Financial Services; and Insurance Services. The Mail, Parcels and Distribution segment offers letter post, express delivery, logistics, parcels, and philately services. As of December 31, 2019, it operated a network of 12,809 post offices in Italy. The Payments, Mobile and Digital segment provides payment services, card payments, and mobile telecommunications services, as well as digital services for the public sector. The Financial Services segment is involved in the collection of various forms of savings deposits; provision of payment and foreign currency exchange services, as well as investment services; and promotion and arrangement of loans issued by banks and other authorized financial institutions. The Insurance Services segment offers life and casualty insurance products. Poste Italiane SpA is headquartered in Rome, Italy. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/30 07:22
End of Day Share Price2020/05/29 00:00
Earnings2020/03/31
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.