OB:YAR

Stock Analysis Report

Yara International

Executive Summary

Yara International ASA provides environmental and industrial solutions in Norway and internationally.

Snowflake

Fundamentals

Adequate balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-0.4%

YAR

2.6%

NO Chemicals

1.1%

NO Market


1 Year Return

5.2%

YAR

2.1%

NO Chemicals

-7.3%

NO Market

Return vs Industry: YAR exceeded the Norwegian Chemicals industry which returned 2.1% over the past year.

Return vs Market: YAR exceeded the Norwegian Market which returned -7.3% over the past year.


Shareholder returns

YARIndustryMarket
7 Day-0.4%2.6%1.1%
30 Day-0.8%1.2%-0.7%
90 Day-6.6%2.9%2.3%
1 Year7.0%5.2%6.1%2.1%-2.5%-7.3%
3 Year51.3%41.3%23.4%12.3%41.3%22.8%
5 Year48.1%27.6%51.6%29.5%59.8%22.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

27.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: YAR (NOK387.3) is trading below our estimate of fair value (NOK536.98)

Significantly Undervalued: YAR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: YAR is poor value based on its PE Ratio (19.8x) compared to the Chemicals industry average (17.4x).

PE vs Market: YAR is poor value based on its PE Ratio (19.8x) compared to the Norwegian market (13.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: YAR is poor value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: YAR is good value based on its PB Ratio (1.3x) compared to the XE Chemicals industry average (1.6x).


Next Steps

Future Growth

How is Yara International forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

19.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: YAR's forecast earnings growth (19.3% per year) is above the savings rate (1.8%).

Earnings vs Market: YAR's earnings (19.3% per year) are forecast to grow faster than the Norwegian market (14.8% per year).

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

Revenue vs Market: YAR's revenue (3.9% per year) is forecast to grow slower than the Norwegian market (4.7% per year).

High Growth Revenue: YAR's revenue (3.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: YAR's Return on Equity is forecast to be low in 3 years time (11.1%).


Next Steps

Past Performance

How has Yara International performed over the past 5 years?

-29.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: YAR's earnings have declined by -29.1% per year over the past 5 years.

Accelerating Growth: YAR's earnings growth over the past year (492.9%) exceeds its 5-year average (-29.1% per year).

Earnings vs Industry: YAR earnings growth over the past year (492.9%) exceeded the Chemicals industry 1.7%.


Return on Equity

High ROE: YAR's Return on Equity (6.2%) is considered low.


Return on Assets

ROA vs Industry: YAR's Return on Assets is below or equal to the Chemicals industry average last year.


Return on Capital Employed

ROCE Improving: YAR's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Yara International's financial position?


Financial Position Analysis

Short Term Liabilities: YAR's short term assets ($5.8B) exceeds its short term liabilities ($4.1B)

Long Term Liabilities: YAR's short term assets (5.8B) exceeds its long term liabilities (4.4B)


Debt to Equity History and Analysis

Debt Level: YAR's debt to equity ratio (43.2%) is considered high

Reducing Debt: YAR's debt to equity ratio has increased from 14.9% to 43.2% over the past 5 years.

Debt Coverage: YAR's debt is well covered by operating cash flow (23.7%).

Interest Coverage: YAR's interest payments on its debt are well covered by EBIT (9.4x coverage).


Balance Sheet

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

Debt Coverage by Assets: YAR's debt is covered by short term assets (assets are 1.476330x debt).


Next Steps

Dividend

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

1.68%

Current Dividend Yield


Dividend Yield vs Market

company1.7%marketbottom25%2.6%markettop25%6.3%industryaverage3.0%forecastin3Years3.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: YAR's dividend (1.68%) isn’t notable compared to the bottom 25% of dividend payers in the Norwegian market (2.64%).

High Dividend: YAR's dividend (1.68%) is low compared to the top 25% of dividend payers in the Norwegian market (6.32%).

Stable Dividend: YAR's dividend payments have been volatile in the past 10 years.

Growing Dividend: YAR's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.2%), YAR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: YAR's dividends in 3 years are forecast to be well covered by earnings (33.6% payout ratio).


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Svein Holsether (47yo)

4.1yrs

Tenure

US$1,612,000

Compensation

Mr. Svein Tore Holsether has been the Chief Executive Officer and President of Yara International ASA since joining on September 9, 2015. Mr. Holsether Joined Yara International ASA in 2015. He served as t ...


CEO Compensation Analysis

Compensation vs. Market: Svein's total compensation ($USD1.61M) is about average for companies of similar size in the Norwegian market ($USD1.70M).

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


Management Age and Tenure

3.3yrs

Average Tenure

53yo

Average Age

Experienced Management: YAR's management team is considered experienced (3.3 years average tenure).


Board Age and Tenure

1.3yrs

Average Tenure

56yo

Average Age

Experienced Board: YAR's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$540,51215 Feb 19
Lars Røsæg
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares1,600
Max PriceUS$337.82
BuyUS$11,84104 Dec 18
Terje Tollefsen
EntityIndividual
Role
Senior Key Executive
Newco IPO Lead / Senior VP of Strategy & Business Development
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Geir Sundbø
EntityIndividual
Role
Member of the Board of Directors
Director
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Kristine Ryssdal
EntityIndividual
Role
Chief Legal Officer
Executive VP & General Counsel
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Thor Giæver
EntityIndividual
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Nina Kleiv
EntityIndividual
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Pablo Lopez
EntityIndividual
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Rune Bratteberg
EntityIndividual
Role
Member of the Board of Directors
Head of Chemical Compliance & Director
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Steinar Skarstein
EntityIndividual
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Terje Knutsen
EntityIndividual
Role
Head of Sales
Executive Vice President of Sales & Marketing
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Vidar Viskjer
EntityIndividual
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Svein Holsether
EntityIndividual
Role
Chief Executive Officer
President & CEO
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Tove Andersen
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Production
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Lene Trollnes
EntityIndividual
Role
Head of Human Resources
Executive Vice President of People & Global Functions
Shares42
Max PriceUS$281.92
BuyUS$11,84104 Dec 18
Lars Røsæg
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares42
Max PriceUS$281.92
BuyUS$173,70030 Nov 18
Pablo Lopez
EntityIndividual
Shares500
Max PriceUS$347.40
BuyUS$497,59719 Nov 18
Kristine Ryssdal
EntityIndividual
Role
Chief Legal Officer
Executive VP & General Counsel
Shares1,450
Max PriceUS$343.17
BuyUS$1,043,40019 Nov 18
Trond Berger
EntityIndividual
Role
Vice Chairman
Vice Chairman
Shares3,000
Max PriceUS$347.80

Ownership Breakdown


Management Team

  • Torgeir Kvidal (54yo)

    Head of Mining Operations

    • Tenure: 1.6yrs
    • Compensation: US$367.71k
  • Kristine Ryssdal (59yo)

    Executive VP & General Counsel

    • Tenure: 3.4yrs
    • Compensation: US$605.00k
  • Svein Holsether (47yo)

    President & CEO

    • Tenure: 4.1yrs
    • Compensation: US$1.61m
  • Lars Røsæg (37yo)

    Executive VP & CFO

    • Tenure: 0.9yrs
    • Compensation: US$492.41k
  • Rune Bratteberg (59yo)

    Head of Chemical Compliance & Director

    • Tenure: 7.8yrs
  • Terje Tollefsen (56yo)

    Newco IPO Lead / Senior VP of Strategy & Business Development

    • Tenure: 3.3yrs
    • Compensation: US$597.00k
  • Terje Knutsen (57yo)

    Executive Vice President of Sales & Marketing

    • Tenure: 0.8yrs
    • Compensation: US$808.00k
  • Lene Trollnes (51yo)

    Executive Vice President of People & Global Functions

    • Tenure: 3.1yrs
    • Compensation: US$694.00k
  • Tove Andersen (49yo)

    Executive Vice President of Production

    • Tenure: 3.7yrs
    • Compensation: US$722.00k
  • Lair Hanzen (52yo)

    Executive Vice President of Yara Brazil

    • Tenure: 3.7yrs
    • Compensation: US$1.26m

Board Members

  • Trond Berger (62yo)

    Vice Chairman

    • Tenure: 0.4yrs
  • John Thuestad (59yo)

    Director

    • Tenure: 5.4yrs
  • Geir Isaksen (65yo)

    Chairman of the Board

    • Tenure: 1.8yrs
  • Geir Sundbø (56yo)

    Director

    • Tenure: 9.8yrs
  • Håkon Reistad Fure (32yo)

    Director

    • Tenure: 0.8yrs
  • Hilde Bakken (53yo)

    Director

    • Tenure: 5.4yrs
  • Kimberly Lein-Mathisen (47yo)

    Director

    • Tenure: 0.4yrs
  • Rune Bratteberg (59yo)

    Head of Chemical Compliance & Director

    • Tenure: 7.8yrs
  • Kari Nøstberg

    Director

    • Tenure: 0.08yrs
  • Adele Norman Pran (49yo)

    Director

    • Tenure: 0.4yrs

Company Information

Yara International ASA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Yara International ASA
  • Ticker: YAR
  • Exchange: OB
  • Founded: 1905
  • Industry: Fertilizers and Agricultural Chemicals
  • Sector: Materials
  • Market Cap: kr105.502b
  • Shares outstanding: 272.40m
  • Website: https://www.yara.com

Number of Employees


Location

  • Yara International ASA
  • Drammensveien 131
  • Oslo
  • Oslo
  • 277
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IU2DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2004
YAROB (Oslo Bors)YesOrdinary SharesNONOKMar 2004
0O7DLSE (London Stock Exchange)YesOrdinary SharesGBNOKMar 2004
YRAI.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMar 2004
YAROBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBNOKMar 2004
YARSWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFMar 2004
YARI.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDApr 2004

Biography

Yara International ASA provides environmental and industrial solutions in Norway and internationally. It operates through three segments: Crop Nutrition, Industrial, and Production. The Crop Nutrition segm ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 20:41
End of Day Share Price2019/10/17 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.