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ARCU

ArcusOB:ARCUS Stock Report

Market Cap

kr3.4b

7D

5.6%

1Y

23.1%

Updated

25 Aug, 2021

Data

Company Financials
ARCUS fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health4/6
Dividends2/6

ARCUS Overview

Arcus ASA, together with its subsidiaries, produces, imports, markets, sells, and distributes wine and spirits.

Price History & Performance

Summary of all time highs, changes and price drops for Arcus
Historical stock prices
Current Share Pricekr49.85
52 Week Highkr39.60
52 Week Lowkr50.70
Beta0.42
1 Month Change3.75%
3 Month Change12.15%
1 Year Change23.09%
3 Year Change11.77%
5 Year Changen/a
Change since IPO15.93%

Recent News & Updates

Apr 13
Arcus (OB:ARCUS) Has Some Way To Go To Become A Multi-Bagger

Arcus (OB:ARCUS) Has Some Way To Go To Become A Multi-Bagger

There are a few key trends to look for if we want to identify the next multi-bagger. Typically, we'll want to notice a...

Shareholder Returns

ARCUSNO BeverageNO Market
7D5.6%1.0%1.2%
1Y23.1%25.1%26.4%

Return vs Industry: ARCUS exceeded the Norwegian Beverage industry which returned 20.7% over the past year.

Return vs Market: ARCUS underperformed the Norwegian Market which returned 27.2% over the past year.

Price Volatility

Is ARCUS's price volatile compared to industry and market?
ARCUS volatility
ARCUS Beta0.42
Industry Beta0.82
Market Beta1

Stable Share Price: ARCUS is less volatile than 75% of Norwegian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ARCUS's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2004439Sigmund Tothhttps://www.arcus.no

Arcus ASA, together with its subsidiaries, produces, imports, markets, sells, and distributes wine and spirits. It offers its products under the Lysholm Linie, Løiten Linie, Gammel Opland, Gilde, Aalborg, Malteserkreutz and Snälleröds, Gammel Dansk, Braastad cognac, Vikingfjord, Amundsen, Brennevin Seksti, Vanlig, Dworek, Hammer, Kalinka, Dobra, Wongraven, Doppio Passo, Pietro de Campo, Hot n’Sweet, Dooley’s, Eau de Vie, Golden Cock, St. Hallvard, Upper Ten, Dry Anis, Star Gin, and Aquavit brands. The company also provides logistics services for alcoholic beverages.

Arcus Fundamentals Summary

How do Arcus's earnings and revenue compare to its market cap?
ARCUS fundamental statistics
Market Capkr3.39b
Earnings (TTM)kr167.52m
Revenue (TTM)kr3.27b

20.2x

P/E Ratio

1.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ARCUS income statement (TTM)
Revenuekr3.27b
Cost of Revenuekr1.81b
Gross Profitkr1.45b
Expenseskr1.29b
Earningskr167.52m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 10, 2021

Earnings per share (EPS)2.46
Gross Margin44.54%
Net Profit Margin5.13%
Debt/Equity Ratio44.2%

How did ARCUS perform over the long term?

See historical performance and comparison

Dividends

3.3%

Current Dividend Yield

67%

Payout Ratio

Valuation

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

20.24x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ARCUS (NOK49.85) is trading above our estimate of fair value (NOK43.96)

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


Price To Earnings Ratio

PE vs Industry: ARCUS is good value based on its PE Ratio (20.2x) compared to the European Beverage industry average (28.1x).

PE vs Market: ARCUS is poor value based on its PE Ratio (20.2x) compared to the Norwegian market (14.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ARCUS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ARCUS is good value based on its PB Ratio (2x) compared to the XE Beverage industry average (2.6x).


Future Growth

How is Arcus forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.1%

Forecasted Food, Beverage & Tobacco industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Arcus has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Arcus performed over the past 5 years?

27.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ARCUS has a large one-off loss of NOK117.2M impacting its June 30 2021 financial results.

Growing Profit Margin: ARCUS's current net profit margins (5.1%) are lower than last year (7.1%).


Past Earnings Growth Analysis

Earnings Trend: ARCUS's earnings have grown significantly by 27% per year over the past 5 years.

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

Earnings vs Industry: ARCUS had negative earnings growth (-18.5%) over the past year, making it difficult to compare to the Beverage industry average (6.3%).


Return on Equity

High ROE: ARCUS's Return on Equity (10.1%) is considered low.


Financial Health

How is Arcus's financial position?


Financial Position Analysis

Short Term Liabilities: ARCUS's short term assets (NOK2.3B) exceed its short term liabilities (NOK1.9B).

Long Term Liabilities: ARCUS's short term assets (NOK2.3B) exceed its long term liabilities (NOK2.1B).


Debt to Equity History and Analysis

Debt Level: ARCUS's debt to equity ratio (44.2%) is considered high.

Reducing Debt: ARCUS's debt to equity ratio has reduced from 134.6% to 44.2% over the past 5 years.

Debt Coverage: ARCUS's debt is not well covered by operating cash flow (1.2%).

Interest Coverage: ARCUS's interest payments on its debt are well covered by EBIT (7.3x coverage).


Balance Sheet


Dividend

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

3.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ARCUS's dividend (3.33%) is higher than the bottom 25% of dividend payers in the Norwegian market (1.9%).

High Dividend: ARCUS's dividend (3.33%) is low compared to the top 25% of dividend payers in the Norwegian market (5.22%).


Stability and Growth of Payments

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

Growing Dividend: ARCUS's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (67.4%), ARCUS's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Sigmund Toth

0.50

Tenure

kr4,928,000

Compensation

Mr. Sigmund L. Toth has been Chief Financial Officer of Arcus AS since 2016. He served as Group Director of Finance at Arcus ASA until 2021. Mr. Toth serves as Interim Group CEO at Arcus ASA since February...


CEO Compensation Analysis

Compensation vs Market: Sigmund's total compensation ($USD557.74K) is about average for companies of similar size in the Norwegian market ($USD609.60K).

Compensation vs Earnings: Sigmund's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: ARCUS's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: ARCUS's board of directors are not considered experienced ( 2.3 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

Arcus ASA's employee growth, exchange listings and data sources


Key Information

  • Name: Arcus ASA
  • Ticker: ARCUS
  • Exchange: OB
  • Founded: 2004
  • Industry: Distillers and Vintners
  • Sector: Food, Beverage & Tobacco
  • Market Cap: kr3.391b
  • Shares outstanding: 68.02m
  • Website: https://www.arcus.no

Number of Employees


Location

  • Arcus ASA
  • Destilleriveien 11
  • Postbox 64
  • Hagan
  • Akershus
  • 1483
  • Norway

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/25 20:58
End of Day Share Price2021/08/25 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.