OB:BAKKA

Stock Analysis Report

Executive Summary

P/F Bakkafrost, together with its subsidiaries, produces and sells salmon products under the Bakkafrost and Havsbrún brands in the United States, Europe, China, and internationally.


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has P/F Bakkafrost's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BAKKA has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.6%

BAKKA

-0.05%

NO Food

-0.5%

NO Market


1 Year Return

59.5%

BAKKA

15.1%

NO Food

3.9%

NO Market

Return vs Industry: BAKKA exceeded the Norwegian Food industry which returned 19% over the past year.

Return vs Market: BAKKA exceeded the Norwegian Market which returned 4.5% over the past year.


Shareholder returns

BAKKAIndustryMarket
7 Day-0.6%-0.05%-0.5%
30 Day3.3%-1.8%0.3%
90 Day16.8%2.8%3.6%
1 Year63.5%59.5%20.0%15.1%9.5%3.9%
3 Year132.1%111.1%68.0%44.7%30.2%14.0%
5 Year397.4%320.9%194.5%130.2%62.8%25.7%

Price Volatility Vs. Market

How volatile is P/F Bakkafrost's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is P/F Bakkafrost undervalued compared to its fair value and its price relative to the market?

3.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BAKKA (NOK679.5) is trading below our estimate of fair value (NOK693.81)

Significantly Below Fair Value: BAKKA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BAKKA is poor value based on its PE Ratio (44.8x) compared to the Food industry average (26.5x).

PE vs Market: BAKKA is poor value based on its PE Ratio (44.8x) compared to the Norwegian market (14.2x).


Price to Earnings Growth Ratio

PEG Ratio: BAKKA is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: BAKKA is overvalued based on its PB Ratio (4.2x) compared to the NO Food industry average (4.1x).


Next Steps

Future Growth

How is P/F Bakkafrost forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

29.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BAKKA's forecast earnings growth (30.4% per year) is above the savings rate (0.7%).

Earnings vs Market: BAKKA's earnings (30.4% per year) are forecast to grow faster than the Norwegian market (20.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: BAKKA's revenue (16.2% per year) is forecast to grow faster than the Norwegian market (3.2% per year).

High Growth Revenue: BAKKA's revenue (16.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BAKKA's Return on Equity is forecast to be low in 3 years time (18.7%).


Next Steps

Past Performance

How has P/F Bakkafrost performed over the past 5 years?

1.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BAKKA has high quality earnings.

Growing Profit Margin: BAKKA's current net profit margins (15.7%) are lower than last year (28.4%).


Past Earnings Growth Analysis

Earnings Trend: BAKKA's earnings have grown by 1.7% per year over the past 5 years.

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

Earnings vs Industry: BAKKA had negative earnings growth (-39.1%) over the past year, making it difficult to compare to the Food industry average (-5.9%).


Return on Equity

High ROE: BAKKA's Return on Equity (9.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is P/F Bakkafrost's financial position?


Financial Position Analysis

Short Term Liabilities: BAKKA's short term assets (DKK4.8B) exceed its short term liabilities (DKK788.9M).

Long Term Liabilities: BAKKA's short term assets (DKK4.8B) exceed its long term liabilities (DKK2.1B).


Debt to Equity History and Analysis

Debt Level: BAKKA's debt to equity ratio (22.2%) is considered satisfactory.

Reducing Debt: BAKKA's debt to equity ratio has reduced from 38.9% to 22.2% over the past 5 years.

Debt Coverage: BAKKA's debt is well covered by operating cash flow (83.8%).

Interest Coverage: BAKKA's interest payments on its debt are well covered by EBIT (92.1x coverage).


Balance Sheet

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

Debt Coverage by Assets: BAKKA's debt is covered by short term assets (assets are 3.6x debt).


Next Steps

Dividend

What is P/F Bakkafrost's current dividend yield, its reliability and sustainability?

1.63%

Current Dividend Yield


Dividend Yield vs Market

company1.6%marketbottom25%2.4%markettop25%5.5%industryaverage3.6%forecastin3Years2.4%

Current dividend yield vs market & industry

Notable Dividend: BAKKA's dividend (1.57%) isn’t notable compared to the bottom 25% of dividend payers in the Norwegian market (2.4%).

High Dividend: BAKKA's dividend (1.57%) is low compared to the top 25% of dividend payers in the Norwegian market (5.71%).


Stability and Growth of Payments

Stable Dividend: BAKKA has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BAKKA's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (70.4%), BAKKA's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BAKKA's dividends in 3 years are forecast to be well covered by earnings (48.3% payout ratio).


Next Steps

Management

What is the CEO of P/F Bakkafrost's salary, the management and board of directors tenure and is there insider trading?

5.2yrs

Average management tenure


CEO

Reja Jacobsen (53yo)

31yrs

Tenure

0

Mr. Johan Regin Jacobsen, also known as Reja, has been the Chief Executive Officer of P/F Bakkafrost Holding (Bakkafrost) since 1989. From 1982 to 1988, Mr. Jacobsen served as an Accounting Manager of the  ...


Management Age and Tenure

5.2yrs

Average Tenure

53.5yo

Average Age

Experienced Management: BAKKA's management team is seasoned and experienced (5.2 years average tenure).


Board Age and Tenure

8.4yrs

Average Tenure

54.5yo

Average Age

Experienced Board: BAKKA's board of directors are considered experienced (8.4 years average tenure).


Insider Trading

Insider Buying: BAKKA insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buykr8,26819 Dec 19
Høgni Jakobsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares13
Max Pricekr636.00
Buykr3,81619 Dec 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares6
Max Pricekr636.00
Buykr13,35619 Dec 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares21
Max Pricekr636.00
Buykr10,81219 Dec 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares17
Max Pricekr636.00
Buykr3,64225 Nov 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares6
Max Pricekr607.00
Buykr9,10525 Nov 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares15
Max Pricekr607.00
Buykr8,49825 Nov 19
Høgni Jakobsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares14
Max Pricekr607.00
Buykr13,35425 Nov 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares22
Max Pricekr607.00
Buykr8,44026 Sep 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares16
Max Pricekr527.50
Buykr8,44026 Sep 19
Høgni Jakobsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares16
Max Pricekr527.50
Buykr3,69326 Sep 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7
Max Pricekr527.50
Buykr13,18826 Sep 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares25
Max Pricekr527.50
Buykr8,09327 Aug 19
Høgni Jakobsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares15
Max Pricekr539.50
Buykr13,48827 Aug 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares25
Max Pricekr539.50
Buykr3,77727 Aug 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7
Max Pricekr539.50
Buykr8,63227 Aug 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares16
Max Pricekr539.50
Buykr8,84826 Jul 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares17
Max Pricekr520.50
Buykr14,05326 Jul 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares27
Max Pricekr520.50
Buykr3,64326 Jul 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7
Max Pricekr520.50
Buykr8,32826 Jul 19
Høgni Jakobsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares16
Max Pricekr520.50
Buykr13,04127 Jun 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares27
Max Pricekr483.00
Buykr8,69427 Jun 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares18
Max Pricekr483.00
Buykr7,72827 Jun 19
Høgni Jakobsen
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares16
Max Pricekr483.00
Buykr3,38127 Jun 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares7
Max Pricekr483.00
Buykr41,77707 Jun 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares89
Max Pricekr469.40
Buykr22,53107 Jun 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares48
Max Pricekr469.40
Buykr46,47107 Jun 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares99
Max Pricekr469.40
Buykr8,62025 Mar 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares20
Max Pricekr431.00
Buykr13,36125 Mar 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares31
Max Pricekr431.00
Buykr3,44825 Mar 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares8
Max Pricekr431.00
Buykr9,59325 Feb 19
Odd Eliasen
EntityIndividual
Role
Senior Key Executive
Managing Director of Havsbrún
Shares21
Max Pricekr456.80
Buykr3,65425 Feb 19
Annika Frederiksberg
EntityIndividual
Role
Member of the Board of Directors
Director
Shares8
Max Pricekr456.80
Buykr15,98825 Feb 19
Johan Jacobsen
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer
Shares35
Max Pricekr456.80

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Odd Eliasen (54yo)

    Managing Director of Havsbrún

    • Tenure: 7.3yrs
  • Reja Jacobsen (53yo)

    Chief Executive Officer

    • Tenure: 31yrs
  • Símun Jacobsen (56yo)

    Senior Sales Manager

    • Tenure: 7.1yrs
  • Sverri Kjærbæk (55yo)

    Operations Manager

    • Tenure: 3.3yrs
  • Høgni Jakobsen (47yo)

    Chief Financial Officer

    • Tenure: 0.8yrs
  • Heini Kristiansen (33yo)

    Group Human Resource Manager

    • Tenure: 1.2yrs

Board Members

  • Einar Wathne (58yo)

    Independent Director

    • Tenure: 1yrs
  • Tesa Samuelsen (47yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: ø248.00k
  • Rúni Hansen (52yo)

    Independent Chairman of the Board

    • Tenure: 10.1yrs
    • Compensation: ø455.00k
  • Annika Frederiksberg (48yo)

    Director

    • Tenure: 11.9yrs
    • Compensation: ø206.00k
  • Johannes Jensen (57yo)

    Deputy Chairman of the Board

    • Tenure: 11yrs
    • Compensation: ø258.00k
  • Øystein Sandvik (71yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: ø259.00k

Company Information

P/F Bakkafrost's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: P/F Bakkafrost
  • Ticker: BAKKA
  • Exchange: OB
  • Founded: 1968
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: kr39.950b
  • Shares outstanding: 59.14m
  • Website: https://www.bakkafrost.com

Number of Employees


Location

  • P/F Bakkafrost
  • Bakkavegur 9
  • PO Box 221
  • Glyvrar
  • The Faroe Islands
  • 625
  • Denmark

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BAKKAOB (Oslo Bors)YesOrdinary SharesNONOKMar 2010
0MQ2LSE (London Stock Exchange)YesOrdinary SharesGBNOKMar 2010
BKFK.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMar 2010
6BFDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2010
BAKKAOBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBNOKMar 2010

Biography

P/F Bakkafrost, together with its subsidiaries, produces and sells salmon products under the Bakkafrost and Havsbrún brands in the United States, Europe, China, and internationally. The company operates through three segments: Fish Farming; Value Added Products; and Fishmeal, Fish Oil, and Fish Feed. It is involved in the breeding and on-growing of salmon; harvesting, sale, and distribution of salmon; and production of skinless and boneless portions of salmon. The company also produces and sells fishmeal, fish oil, and fish feed. It operates fleet of six farming service vessels. The company also exports its products. P/F Bakkafrost was founded in 1968 and is headquartered in Glyvrar, Denmark. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/23 21:44
End of Day Share Price2020/01/23 00:00
Earnings2019/09/30
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.