ENXTAM:ARCAD

Stock Analysis Report

Executive Summary

Arcadis NV operates as a design and consultancy firm for natural and built assets worldwide.

Snowflake

Fundamentals

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

7.1%

ENXTAM:ARCAD

6.0%

NL Construction

1.3%

NL Market


1 Year Return

27.4%

ENXTAM:ARCAD

-10.8%

NL Construction

3.4%

NL Market

ARCAD outperformed the Construction industry which returned -10.8% over the past year.

ARCAD outperformed the Market in Netherlands which returned 3.4% over the past year.


Share holder returns

ARCADIndustryMarket
7 Day7.1%6.0%1.3%
30 Day10.7%4.6%5.6%
90 Day11.1%-4.0%1.9%
1 Year31.0%27.4%-8.1%-10.8%8.0%3.4%
3 Year63.1%49.9%-8.4%-15.8%46.8%30.6%
5 Year-20.1%-31.1%-31.5%-41.3%54.6%23.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

10%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Arcadis is loss making, we can't compare its value to the Europe Construction industry average.

Arcadis is loss making, we can't compare the value of its earnings to the Netherlands market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Arcadis, we can't assess if its growth is good value.


Price Based on Value of Assets

Arcadis is overvalued based on assets compared to the NL Construction industry average.


Next Steps

Future Growth

How is Arcadis expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

52.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Arcadis's revenue is expected to grow by 2.8% yearly, however this is not considered high growth (20% yearly).

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

Arcadis's revenue growth is positive but not above the Netherlands market average.

Arcadis's earnings growth is expected to exceed the Netherlands market average.

Arcadis's earnings growth is expected to exceed the low risk savings rate of 0.4%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Arcadis performed over the past 5 years?

-31.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Arcadis does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Arcadis's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Arcadis's 1-year growth to the Europe Construction industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Arcadis has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

Arcadis used its assets less efficiently than the Europe Construction industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if Arcadis improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Arcadis's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Arcadis's level of debt (64%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (76.3% vs 64% today).

Debt is well covered by operating cash flow (42.2%, greater than 20% of total debt).

Arcadis is making a loss, therefore interest payments are not well covered by earnings.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 2.4x debt.


Next Steps

Dividend

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

3.28%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Arcadis's pays a higher dividend yield than the bottom 25% of dividend payers in Netherlands (2.24%).

Arcadis's dividend is below the markets top 25% of dividend payers in Netherlands (5.83%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

The company is paying a dividend however it is incurring a loss.


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Peter W. Oosterveer (62yo)

2.4yrs

Tenure

€1,782,000

Compensation

Mr. Peter W. B. Oosterveer has been Chief Executive Officer and Member of Executive Board at ARCADIS NV since April 26, 2017. Mr. Oosterveer served as the Chief Operating Officer of Fluor Corporation since ...


CEO Compensation Analysis

Peter W.'s remuneration is about average for companies of similar size in Netherlands.

Peter W.'s compensation has increased whilst company is loss making.


Management Age and Tenure

2.0yrs

Average Tenure

52yo

Average Age

The average tenure for the Arcadis management team is less than 2 years, this suggests a new team.


Board Age and Tenure

4.7yrs

Average Tenure

59yo

Average Age

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


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

Buy€7,04517 May 19
Peter W. Oosterveer
EntityIndividual
Role
Chief Executive Officer
CEO & Chairman of the Executive Board
Shares428
Max Price€16.46
Buy€1,51417 May 19
Sarah Kuijlaars
EntityIndividual
Role
Chief Financial Officer
CFO & Member of the Executive Board
Shares92
Max Price€16.46

Ownership Breakdown


Management Team

  • Jurgen Pullens (51yo)

    Director of Investor Relations

    • Tenure: 3.5yrs
  • Stephan Ritter (51yo)

    Group Executive of Innovation & Transformation

    • Tenure: 1.5yrs
    • Compensation: €763.00k
  • Peter W. Oosterveer (62yo)

    CEO & Chairman of the Executive Board

    • Tenure: 2.4yrs
    • Compensation: €1.78m
  • Mary Hopkins (54yo)

    Group Executive of the Americas & for CallisonRTKL

    • Tenure: 1.5yrs
    • Compensation: €997.58k
  • Bartheke Weerstra (46yo)

    General Counsel & Company Secretary

    • Tenure: 9.7yrs
  • Gerard Spans (53yo)

    Chief Information Officer

    • Tenure: 6.7yrs
  • Roland Van Dijk (49yo)

    Global Director of Corporate Development

    • Tenure: 5.7yrs
  • Erik Blokhuis (52yo)

    Group Executive of Sales & Business Development

    • Tenure: 1.4yrs
  • Sarah Kuijlaars (52yo)

    CFO & Member of the Executive Board

    • Tenure: 1.4yrs
    • Compensation: €835.94k
  • Sophie Brewitt

    Global Chief Marketing Officer

    • Tenure: 1.2yrs

Board Members

  • Ruth Markland (66yo)

    Member of Supervisory Board

    • Tenure: 10.3yrs
  • Jan Carel Schönfeld (70yo)

    Member of Supervisory Board

    • Tenure: 11.3yrs
  • Gee Ang Wee (58yo)

    Member of Supervisory Board

    • Tenure: 2.4yrs
  • Niek Hoek (63yo)

    Chairman of Supervisory Board

    • Tenure: 4.7yrs
  • Deanna Goodwin (54yo)

    Member of Supervisory Board

    • Tenure: 3.4yrs
  • Michiel Lap (57yo)

    Vice Chairman of Supervisory Board

    • Tenure: 4.7yrs
  • Michael Putnam (59yo)

    Member of Supervisory Board

    • Tenure: 1.4yrs

Company Information

Arcadis NV's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arcadis NV
  • Ticker: ARCAD
  • Exchange: ENXTAM
  • Founded: 1888
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: €1.640b
  • Shares outstanding: 88.67m
  • Website: https://www.arcadis.com

Number of Employees


Location

  • Arcadis NV
  • Gustav Mahlerplein 97-103
  • Amsterdam
  • Noord-Holland
  • 1082 MS
  • Netherlands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ARCA.YOTCPK (Pink Sheets LLC)NY REGISTRY SHUSUSDDec 1993
ARCV.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDOct 1995
ARCADENXTAM (Euronext Amsterdam)YesCommon SharesNLEUROct 1995
0N6BLSE (London Stock Exchange)YesCommon SharesGBEUROct 1995
HIJ2DB (Deutsche Boerse AG)YesCommon SharesDEEUROct 1995
ARCADABATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEUROct 1995

Biography

Arcadis NV operates as a design and consultancy firm for natural and built assets worldwide. The company operates through Europe & Middle East, the Americas, Asia Pacific, and CallisonRTKL segments. It off ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 20:42
End of Day Share Price2019/09/13 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.