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SOLO

Solon EiendomOB:SOLON Stock Report

Market Cap

kr3.2b

7D

-2.0%

1Y

20.4%

Updated

24 Sep, 2021

Data

Company Financials +
SOLON fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance2/6
Financial Health5/6
Dividends0/6

SOLON Overview

Solon Eiendom ASA acquires, develops, and sells residential real estate properties in Norway.

Price History & Performance

Summary of all time highs, changes and price drops for Solon Eiendom
Historical stock prices
Current Share Pricekr39.00
52 Week Highkr30.70
52 Week Lowkr40.80
Beta0.52
1 Month Change-0.76%
3 Month Change5.98%
1 Year Change20.37%
3 Year Change37.32%
5 Year Changen/a
Change since IPO30.00%

Recent News & Updates

Jun 09
A Look At The Fair Value Of Solon Eiendom ASA (OB:SOLON)

A Look At The Fair Value Of Solon Eiendom ASA (OB:SOLON)

How far off is Solon Eiendom ASA ( OB:SOLON ) from its intrinsic value? Using the most recent financial data, we'll...

Shareholder Returns

SOLONNO Real EstateNO Market
7D-2.0%-1.6%0.5%
1Y20.4%35.9%25.9%

Return vs Industry: SOLON underperformed the Norwegian Real Estate industry which returned 35.9% over the past year.

Return vs Market: SOLON underperformed the Norwegian Market which returned 25.9% over the past year.

Price Volatility

Is SOLON's price volatile compared to industry and market?
SOLON volatility
SOLON Beta0.52
Industry Beta0.92
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
200649Andreas Martinussenhttps://www.soloneiendom.no

Solon Eiendom ASA acquires, develops, and sells residential real estate properties in Norway. The company was formerly known as Bionor Pharma ASA and changed its name to Solon Eiendom ASA. The company was founded in 2006 and is headquartered in Oslo, Norway.

Solon Eiendom Fundamentals Summary


Earnings & Revenue

Key profitability statistics from the latest earnings report
SOLON income statement (TTM)
Revenuekr2.18b
Cost of Revenuekr1.68b
Gross Profitkr503.71m
Expenseskr173.89m
Earningskr329.83m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 17, 2021

Earnings per share (EPS)4.06
Gross Margin23.10%
Net Profit Margin15.12%
Debt/Equity Ratio210.5%

How did SOLON perform over the long term?

See historical performance and comparison

Valuation

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

9.62x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SOLON (NOK39) is trading above our estimate of fair value (NOK12.8)

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


Price To Earnings Ratio

PE vs Industry: SOLON is poor value based on its PE Ratio (9.6x) compared to the Norwegian Real Estate industry average (8.4x).

PE vs Market: SOLON is good value based on its PE Ratio (9.6x) compared to the Norwegian market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: SOLON is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: SOLON is overvalued based on its PB Ratio (1.7x) compared to the NO Real Estate industry average (1.2x).


Future Growth

How is Solon Eiendom forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

8.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOLON's forecast earnings growth (8% per year) is above the savings rate (1.2%).

Earnings vs Market: SOLON's earnings (8% per year) are forecast to grow slower than the Norwegian market (10.3% per year).

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

Revenue vs Market: SOLON's revenue (13.4% per year) is forecast to grow faster than the Norwegian market (5.8% per year).

High Growth Revenue: SOLON's revenue (13.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SOLON's Return on Equity is forecast to be low in 3 years time (14.9%).


Past Performance

How has Solon Eiendom performed over the past 5 years?

21.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SOLON has a large one-off gain of NOK101.3M impacting its June 30 2021 financial results.

Growing Profit Margin: SOLON became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: SOLON's earnings have grown significantly by 21.4% per year over the past 5 years.

Accelerating Growth: SOLON has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: SOLON has become profitable in the last year, making it difficult to compare its past year earnings growth to the Real Estate industry (95.7%).


Return on Equity

High ROE: SOLON's Return on Equity (17.7%) is considered low.


Financial Health

How is Solon Eiendom's financial position?


Financial Position Analysis

Short Term Liabilities: SOLON's short term assets (NOK5.9B) exceed its short term liabilities (NOK2.9B).

Long Term Liabilities: SOLON's short term assets (NOK5.9B) exceed its long term liabilities (NOK1.8B).


Debt to Equity History and Analysis

Debt Level: SOLON's debt to equity ratio (210.5%) is considered high.

Reducing Debt: SOLON's debt to equity ratio has reduced from 303.3% to 210.5% over the past 5 years.

Debt Coverage: SOLON's debt is well covered by operating cash flow (22.5%).

Interest Coverage: SOLON earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Solon Eiendom current dividend yield, its reliability and sustainability?

2.38%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate SOLON'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 SOLON's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: SOLON is not paying a notable dividend for the Norwegian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SOLON'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?

1.5yrs

Average management tenure


CEO

Andreas Martinussen

1.67yrs

Tenure

kr10,262,000

Compensation

Mr. Andreas Martinussen serves as Chief Executive Officer at Solon Eiendom ASA since 2020. He served as the Chief Executive Officer of Solon Eiendom ASA.


CEO Compensation Analysis

Compensation vs Market: Andreas's total compensation ($USD1.19M) is above average for companies of similar size in the Norwegian market ($USD621.72K).

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


Leadership Team

Experienced Management: SOLON's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.8%.


Top Shareholders

Company Information

Solon Eiendom ASA's employee growth, exchange listings and data sources


Key Information

  • Name: Solon Eiendom ASA
  • Ticker: SOLON
  • Exchange: OB
  • Founded: 2006
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: kr3.172b
  • Shares outstanding: 81.33m
  • Website: https://www.soloneiendom.no

Number of Employees


Location

  • Solon Eiendom ASA
  • Olav Vs gate 5
  • Oslo
  • Oslo
  • 161
  • Norway

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/24 23:02
End of Day Share Price2021/09/24 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.