Executive Summary
Norwegian Finans Holding ASA, through its subsidiary, Bank Norwegian AS, provides various digital banking products and services to retail customers in Norway, Finland, Sweden, and Denmark. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with adequate balance sheet and pays a dividend.
Share Price & News
How has Norwegian Finans Holding's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NOFI is less volatile than 75% of Norwegian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: NOFI's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
0.3%
NOFI
1.9%
NO Banks
-0.6%
NO Market
1 Year Return
44.9%
NOFI
46.8%
NO Banks
36.1%
NO Market
Return vs Industry: NOFI underperformed the Norwegian Banks industry which returned 46.8% over the past year.
Return vs Market: NOFI exceeded the Norwegian Market which returned 36.1% over the past year.
Shareholder returns
| NOFI | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.3% | 1.9% | -0.6% |
| 30 Day | -0.2% | 1.6% | 1.8% |
| 90 Day | 2.1% | 7.9% | 4.9% |
| 1 Year | 52.7%44.9% | 53.4%46.8% | 41.5%36.1% |
| 3 Year | 16.1%10.2% | 37.8%24.6% | 19.8%6.3% |
| 5 Year | 39.3%32.1% | 135.5%95.9% | 85.7%51.6% |
Long-Term Price Volatility Vs. Market
How volatile is Norwegian Finans Holding's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Norwegian Finans Holding undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NOFI (NOK99.1) is trading below our estimate of fair value (NOK223.31)
Significantly Below Fair Value: NOFI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NOFI is good value based on its PE Ratio (9.8x) compared to the Norwegian Banks industry average (10.8x).
PE vs Market: NOFI is good value based on its PE Ratio (9.8x) compared to the Norwegian market (14.5x).
Price to Earnings Growth Ratio
PEG Ratio: NOFI is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: NOFI is overvalued based on its PB Ratio (1.6x) compared to the NO Banks industry average (0.6x).
Future Growth
How is Norwegian Finans Holding forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
11.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NOFI's forecast earnings growth (11.3% per year) is above the savings rate (1.2%).
Earnings vs Market: NOFI's earnings (11.3% per year) are forecast to grow slower than the Norwegian market (15.1% per year).
High Growth Earnings: NOFI's earnings are forecast to grow, but not significantly.
Revenue vs Market: NOFI's revenue (12.4% per year) is forecast to grow faster than the Norwegian market (4.3% per year).
High Growth Revenue: NOFI's revenue (12.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NOFI's Return on Equity is forecast to be low in 3 years time (17.5%).
Past Performance
How has Norwegian Finans Holding performed over the past 5 years?
16.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NOFI has high quality earnings.
Growing Profit Margin: NOFI's current net profit margins (49%) are higher than last year (47.6%).
Past Earnings Growth Analysis
Earnings Trend: NOFI's earnings have grown by 16.6% per year over the past 5 years.
Accelerating Growth: NOFI's earnings growth over the past year (3.3%) is below its 5-year average (16.6% per year).
Earnings vs Industry: NOFI earnings growth over the past year (3.3%) underperformed the Banks industry 18.7%.
Return on Equity
High ROE: NOFI's Return on Equity (16.4%) is considered low.
Financial Health
How is Norwegian Finans Holding's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: NOFI's Assets to Equity ratio (5.1x) is low.
Allowance for Bad Loans: NOFI has a low allowance for bad loans (46%).
Low Risk Liabilities: 83% of NOFI's liabilities are made up of primarily low risk sources of funding.
Loan Level: NOFI has an appropriate level of Loans to Assets ratio (60%).
Low Risk Deposits: NOFI's Loans to Deposits ratio (90%) is appropriate.
Level of Bad Loans: NOFI has a high level of bad loans (26.2%).
Dividend
What is Norwegian Finans Holding current dividend yield, its reliability and sustainability?
6.05%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NOFI's dividend (6.05%) is higher than the bottom 25% of dividend payers in the Norwegian market (1.88%).
High Dividend: NOFI's dividend (6.05%) is in the top 25% of dividend payers in the Norwegian market (5.03%)
Stability and Growth of Payments
Stable Dividend: Too early to tell whether NOFI's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if NOFI's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (59.5%), NOFI's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NOFI's dividends in 3 years are forecast to be covered by earnings (64.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.8yrs
Average management tenure
CEO
Tine Gottlob Wollebekk (59 yo)
4yrs
Tenure
kr5,520,000
Compensation
Ms. Tine Gottlob Kirstan Wollebekk serves as Director of Ekornes ASA since 2017. She serves as Chief Executive Officer of Bank Norwegian AS. Ms. Wollebekk serves as an Advisor of FSN Capital Partners AS. M...
CEO Compensation Analysis
Compensation vs Market: Tine Gottlob's total compensation ($USD643.40K) is about average for companies of similar size in the Norwegian market ($USD661.99K).
Compensation vs Earnings: Tine Gottlob's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: NOFI's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.
Board Members
Experienced Board: NOFI's board of directors are not considered experienced ( 2.1 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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Norwegian Finans Holding ASA's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Norwegian Finans Holding ASA
- Ticker: NOFI
- Exchange: OB
- Founded: 2007
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: kr18.517b
- Shares outstanding: 186.85m
- Website: https://www.banknorwegian.no/OmOss/InvestorRelations
Number of Employees
Location
- Norwegian Finans Holding ASA
- Snarøyveien 36
- Fornebu
- Akershus
- 1364
- Norway
Listings
Biography
Norwegian Finans Holding ASA, through its subsidiary, Bank Norwegian AS, provides various digital banking products and services to retail customers in Norway, Finland, Sweden, and Denmark. The company offe...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/22 22:26 |
| End of Day Share Price | 2021/06/22 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
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.