BIT:BZU

Stock Analysis Report

Executive Summary

Buzzi Unicem SpA, together with its subsidiaries, manufactures, distributes, and sells cement, ready-mix concrete, and aggregates.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

5.2%

BZU

4.3%

IT Basic Materials

2.1%

IT Market


1 Year Return

34.3%

BZU

11.5%

IT Basic Materials

11.7%

IT Market

Return vs Industry: BZU exceeded the Italian Basic Materials industry which returned 11.5% over the past year.

Return vs Market: BZU exceeded the Italian Market which returned 11.7% over the past year.


Shareholder returns

BZUIndustryMarket
7 Day5.2%4.3%2.1%
30 Day9.4%0.2%1.5%
90 Day14.2%0.3%1.9%
1 Year35.2%34.3%15.0%11.5%16.6%11.7%
3 Year23.0%21.0%2.5%-5.8%26.6%9.2%
5 Year105.1%100.2%28.9%12.5%21.6%-26.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: BZU (€21.8) is trading below our estimate of fair value (€27.19)

Significantly Undervalued: BZU is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BZU is good value based on its PE Ratio (11.3x) compared to the Basic Materials industry average (12.5x).

PE vs Market: BZU is good value based on its PE Ratio (11.3x) compared to the Italian market (17.1x).


Price to Earnings Growth Ratio

Low PEG Ratio: BZU is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: BZU is overvalued based on its PB Ratio (1.3x) compared to the XE Basic Materials industry average (1x).


Next Steps

Future Growth

How is Buzzi Unicem forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

8.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BZU's forecast earnings growth (8% per year) is above the savings rate (2.9%).

Earnings vs Market: BZU's earnings (8% per year) are forecast to grow slower than the Italian market (8.6% per year).

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

Revenue vs Market: BZU's revenue (4.3% per year) is forecast to grow faster than the Italian market (3.1% per year).

High Growth Revenue: BZU's revenue (4.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: BZU's Return on Equity is forecast to be low in 3 years time (10.6%).


Next Steps

Past Performance

How has Buzzi Unicem performed over the past 5 years?

35.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BZU has become profitable over the past 5 years, growing earnings by 35.3% per year.

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

Earnings vs Industry: BZU had negative earnings growth (-0.8%) over the past year, making it difficult to compare to the Basic Materials industry average (15.1%).


Return on Equity

High ROE: BZU's Return on Equity (11.6%) is considered low.


Return on Assets

ROA vs Industry: BZU has a higher Return on Assets than the Basic Materials industry average last year.


Return on Capital Employed

ROCE Improving: BZU has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Buzzi Unicem's financial position?


Financial Position Analysis

Short Term Liabilities: BZU's short term assets (€1.7B) exceeds its short term liabilities (€805.8M)

Long Term Liabilities: BZU's short term assets (1.7B) do not cover its long term liabilities (1.9B)


Debt to Equity History and Analysis

Debt Level: BZU's debt to equity ratio (38.7%) is considered satisfactory

Reducing Debt: BZU's debt to equity ratio has reduced from 69.9% to 38.7% over the past 5 years.

Debt Coverage: BZU's debt is well covered by operating cash flow (32.4%).

Interest Coverage: BZU's interest payments on its debt are well covered by EBIT (13.1x coverage).


Balance Sheet

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

Debt Coverage by Assets: BZU's debt is covered by short term assets (assets are 1.272440x debt).


Next Steps

Dividend

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

0.57%

Current Dividend Yield


Dividend Yield vs Market

company0.6%marketbottom25%2.1%markettop25%4.4%industryaverage3.1%forecastin3Years0.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: BZU's dividend (0.57%) isn’t notable compared to the bottom 25% of dividend payers in the Italian market (2.07%).

High Dividend: BZU's dividend (0.57%) is low compared to the top 25% of dividend payers in the Italian market (4.44%).

Stable Dividend: BZU is not paying a notable dividend for the Italian market, therefore no need to check if payments are stable.

Growing Dividend: BZU is not paying a notable dividend for the Italian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: BZU is not paying a notable dividend for the Italian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BZU's dividend in 3 years as they are not forecast to pay a notable one for the Italian market.


Next Steps

Management

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

13.3yrs

Average board tenure


CEO

Buzzi Unicem has no CEO, or we have no data on them.


Board Age and Tenure

13.3yrs

Average Tenure

71yo

Average Age

Experienced Board: BZU's board of directors are seasoned and experienced ( 13.3 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€1,052,67128 Dec 18
Fimedi SpA
EntityCompany
Shares70,500
Max Price€14.93
Buy€1,946,88027 Dec 18
Fimedi SpA
EntityCompany
Shares130,000
Max Price€14.98
Buy€2,398,86421 Dec 18
Fimedi SpA
EntityCompany
Shares160,000
Max Price€14.99
Buy€11,96919 Dec 18
Fimedi SpA
EntityCompany
Shares800
Max Price€14.96
Buy€1,531,95818 Dec 18
Fimedi SpA
EntityCompany
Shares102,200
Max Price€14.99
Buy€545,56217 Dec 18
Fimedi SpA
EntityCompany
Shares36,500
Max Price€14.95

Ownership Breakdown


Management Team

  • Enrico Buzzi (81yo)

    Executive Chairman of the Board

    • Tenure: 2.4yrs
    • Compensation: €243.60k
  • Michele Buzzi (56yo)

    Chief Executive Operations & Executive Director

    • Tenure: 14.8yrs
    • Compensation: €315.99k
  • Pietro Buzzi (58yo)

    Chief Executive of Finance & Executive Director

    • Tenure: 19.8yrs
    • Compensation: €329.89k
  • Patrick Klein

    Group Treasurer & Financial Controller

    • Tenure: 0yrs
  • Agostino Pieressa

    Investor Relations Officer

    • Tenure: 0yrs

Board Members

  • Gianfelice Mario Rocca (71yo)

    Non-Executive Independent Director

    • Tenure: 16.8yrs
    • Compensation: €45.00k
  • Maurizio Sella (77yo)

    Non-Executive Independent Director

    • Tenure: 20.8yrs
    • Compensation: €60.00k
  • Enrico Buzzi (81yo)

    Executive Chairman of the Board

    • Tenure: 2.4yrs
    • Compensation: €243.60k
  • Sandro Buzzi (86yo)

    Honorary Chairman

    • Tenure: 0yrs
    • Compensation: €98.09k
  • Michele Buzzi (56yo)

    Chief Executive Operations & Executive Director

    • Tenure: 14.8yrs
    • Compensation: €315.99k
  • Pietro Buzzi (58yo)

    Chief Executive of Finance & Executive Director

    • Tenure: 19.8yrs
    • Compensation: €329.89k
  • Paolo Burlando (57yo)

    Non-Executive Independent Director

    • Tenure: 11.8yrs
    • Compensation: €210.00k
  • Elsa Fornero (71yo)

    Non-Executive Independent Director

    • Tenure: 5.8yrs
    • Compensation: €45.00k
  • Veronica Buzzi (48yo)

    Non-Executive Vice Chairman of the Board

    • Tenure: 2.4yrs
    • Compensation: €45.00k
  • Fabrizio Di Giusto

    Chairman of Board of Statutory Auditors

    • Tenure: 0yrs
    • Compensation: €45.00k

Company Information

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


Key Information

  • Name: Buzzi Unicem S.p.A.
  • Ticker: BZU
  • Exchange: BIT
  • Founded: 1907
  • Industry: Construction Materials
  • Sector: Materials
  • Market Cap: €4.160b
  • Shares outstanding: 205.30m
  • Website: https://www.buzziunicem.it

Number of Employees


Location

  • Buzzi Unicem S.p.A.
  • via Luigi Buzzi, 6
  • Casale Monferrato
  • Alessandria
  • 15033
  • Italy

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
0NVQLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
BZZF.FOTCPK (Pink Sheets LLC)Saving SharesUSUSDJan 1992
UCM1DB (Deutsche Boerse AG)Saving SharesDEEURJan 1992
BZUBIT (Borsa Italiana)YesOrdinary SharesITEURJan 1992
BZURBIT (Borsa Italiana)Saving SharesITEURJan 1992
BZZU.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
UCMDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
0NVRLSE (London Stock Exchange)Saving SharesGBEURJan 1992
BZURMBATS-CHIXE (BATS 'Chi-X Europe')Saving SharesGBEURJan 1992
BZUMBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992
BZUWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJan 1992
BZZU.YOTCPK (Pink Sheets LLC)UNSPONSORD ADRUSUSDOct 2008

Biography

Buzzi Unicem SpA, together with its subsidiaries, manufactures, distributes, and sells cement, ready-mix concrete, and aggregates. The company has operations in Italy, the United States, Germany, Luxembour ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 20:46
End of Day Share Price2019/10/17 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.