OB:NOFI

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Norwegian Finans Holding

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


Snowflake Analysis

Good value with adequate balance sheet.

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

-1.5%

NOFI

-1.8%

NO Banks

0.1%

NO Market


1 Year Return

-22.4%

NOFI

1.5%

NO Banks

-0.7%

NO Market

Return vs Industry: NOFI underperformed the Norwegian Banks industry which returned 3% over the past year.

Return vs Market: NOFI underperformed the Norwegian Market which returned 0.4% over the past year.


Shareholder returns

NOFIIndustryMarket
7 Day-1.5%-1.8%0.1%
30 Day3.8%18.2%12.7%
90 Day5.2%14.0%8.8%
1 Year-22.4%-22.4%2.6%1.5%2.9%-0.7%
3 Year-19.3%-19.3%18.1%6.7%10.3%-2.1%
5 Year40.5%40.5%85.2%53.2%57.9%26.7%

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

Valuation

Is Norwegian Finans Holding undervalued compared to its fair value and its price relative to the market?

48.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: NOFI (NOK70.25) is trading below our estimate of fair value (NOK137.33)

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 (6.7x) compared to the NO Banks industry average (9.5x).

PE vs Market: NOFI is good value based on its PE Ratio (6.7x) compared to the Norwegian market (15.3x).


Price to Earnings Growth Ratio

PEG Ratio: NOFI is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: NOFI is overvalued based on its PB Ratio (1.2x) compared to the NO Banks industry average (0.5x).


Next Steps

Future Growth

How is Norwegian Finans Holding forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

4.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NOFI's forecast earnings growth (4% per year) is above the savings rate (1.6%).

Earnings vs Market: NOFI's earnings (4% per year) are forecast to grow slower than the Norwegian market (33.8% per year).

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

Revenue vs Market: NOFI's revenue (7.6% per year) is forecast to grow faster than the Norwegian market (6.3% per year).

High Growth Revenue: NOFI's revenue (7.6% 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 (17.8%).


Next Steps

Past Performance

How has Norwegian Finans Holding performed over the past 5 years?

23.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NOFI has a high level of non-cash earnings.

Growing Profit Margin: NOFI's current net profit margins (49.8%) are lower than last year (50.6%).


Past Earnings Growth Analysis

Earnings Trend: NOFI's earnings have grown significantly by 23% per year over the past 5 years.

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

Earnings vs Industry: NOFI had negative earnings growth (-0.1%) over the past year, making it difficult to compare to the Banks industry average (-8.2%).


Return on Equity

High ROE: NOFI's Return on Equity (17.9%) is considered low.


Next Steps

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 (5.9x) is low.

Allowance for Bad Loans: NOFI has a low allowance for bad loans (49%).

Low Risk Liabilities: 82% 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 (62%).

Low Risk Deposits: NOFI's Loans to Deposits ratio (91%) is appropriate.

Level of Bad Loans: NOFI has a high level of bad loans (22.3%).


Next Steps

Dividend

What is Norwegian Finans Holding current dividend yield, its reliability and sustainability?

7.55%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate NOFI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate NOFI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if NOFI's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NOFI's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

1.6yrs

Average board tenure


CEO

Tine Gottlob Wollebekk (58 yo)

3.5yrs

Tenure

kr5,332,000

Compensation

Ms. Tine Gottlob Kirstan Wollebekk serves as Director of Ekornes ASA since 2017. Ms. Wollebekk serves as an Advisor of FSN Capital Partners AS. Ms. Wollebekk serves as the Managing Director of the card com...


CEO Compensation Analysis

Compensation vs Market: Tine Gottlob's total compensation ($USD604.65K) is about average for companies of similar size in the Norwegian market ($USD575.98K).

Compensation vs Earnings: Tine Gottlob's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Klaus-Anders Nysteen
Chairman of the Board0.67yrno data0.0029%
NOK 385.9k
Christine Rødsæther
Independent Director3.92yrskr325.00kno data
Kjetil Garstad
Director1.58yrsno datano data
Knut-Arne Alsaker
Director1.92yrsno datano data
John Høsteland
Director13.92yrskr625.00kno data
Anita Marie Aarnæs
Independent Director13.92yrskr325.00kno data
Hans Torsten Larsson
Director0.67yrno datano data
Izabella Kibsgaard-Petersen
Director0.67yrno datano data
Charlotte Ager
Employee Representative Director0.33yrno datano data

1.6yrs

Average Tenure

54yo

Average Age

Experienced Board: NOFI's board of directors are not considered experienced ( 1.6 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.


Recent Insider Transactions

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


Number of Employees


Location

  • Norwegian Finans Holding ASA
  • Snarøyveien 36
  • Fornebu
  • Akershus
  • 1364
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NOFIOB (Oslo Bors)YesShare CapitalNONOKJun 2014
0RIULSE (London Stock Exchange)YesShare CapitalGBNOKJun 2014
NOFIOBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBNOKJun 2014
NWEG.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDJun 2014
4NFDB (Deutsche Boerse AG)YesShare CapitalDEEURJun 2014

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. It offers deposi...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 17:20
End of Day Share Price2020/12/01 00:00
Earnings2020/09/30
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.