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Market Cap

kr1.1b

Last Updated

2021/05/08 16:22 UTC

Data Sources

Company Financials

Executive Summary

Itera ASA, together with its subsidiaries, designs, develops, and operates digital solutions for companies and organizations in Norway, Sweden, Denmark, Slovakia, and Ukraine. More Details

Rewards

Trading at 54.3% below our estimate of its fair value

Earnings grew by 16.7% over the past year

Risk Analysis

ITERA passed our risk checks.


Snowflake Analysis

Excellent balance sheet with solid track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: ITERA is less volatile than 75% of Norwegian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: ITERA's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

0.4%

ITERA

-2.3%

NO IT

0.6%

NO Market


1 Year Return

25.5%

ITERA

48.7%

NO IT

37.3%

NO Market

Return vs Industry: ITERA underperformed the Norwegian IT industry which returned 48.7% over the past year.

Return vs Market: ITERA underperformed the Norwegian Market which returned 37.3% over the past year.


Shareholder returns

ITERAIndustryMarket
7 Day0.4%-2.3%0.6%
30 Day-8.9%-0.2%0.9%
90 Day-4.7%5.2%5.2%
1 Year31.6%25.5%50.0%48.7%43.2%37.3%
3 Year62.7%41.5%29.3%21.2%14.0%1.4%
5 Year374.8%263.4%103.4%84.1%79.6%46.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ITERA (NOK13.3) is trading below our estimate of fair value (NOK29.09)

Significantly Below Fair Value: ITERA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ITERA is good value based on its PE Ratio (22.1x) compared to the XE IT industry average (25.7x).

PE vs Market: ITERA is poor value based on its PE Ratio (22.1x) compared to the Norwegian market (15.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ITERA is overvalued based on its PB Ratio (31.3x) compared to the XE IT industry average (3.5x).


Future Growth

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

28.5%

Forecasted Software 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 Itera 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 Itera performed over the past 5 years?

21.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ITERA has high quality earnings.

Growing Profit Margin: ITERA's current net profit margins (7.9%) are higher than last year (7.4%).


Past Earnings Growth Analysis

Earnings Trend: ITERA's earnings have grown significantly by 21% per year over the past 5 years.

Accelerating Growth: ITERA's earnings growth over the past year (16.7%) is below its 5-year average (21% per year).

Earnings vs Industry: ITERA earnings growth over the past year (16.7%) exceeded the IT industry 12.3%.


Return on Equity

High ROE: ITERA's Return on Equity (141.6%) is considered outstanding.


Financial Health

How is Itera's financial position?


Financial Position Analysis

Short Term Liabilities: ITERA's short term assets (NOK141.6M) do not cover its short term liabilities (NOK164.4M).

Long Term Liabilities: ITERA's short term assets (NOK141.6M) exceed its long term liabilities (NOK25.7M).


Debt to Equity History and Analysis

Debt Level: ITERA is debt free.

Reducing Debt: ITERA has not had any debt for past 5 years.

Debt Coverage: ITERA has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: ITERA has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Itera current dividend yield, its reliability and sustainability?

1.88%

Current Dividend Yield


Upcoming Dividend Payment

TodayMay 08 2021Ex Dividend DateMay 26 2021Dividend Pay DateJun 08 202113 days from Ex DividendBuy in the next 17 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: ITERA's dividend (1.88%) isn’t notable compared to the bottom 25% of dividend payers in the Norwegian market (1.91%).

High Dividend: ITERA's dividend (1.88%) is low compared to the top 25% of dividend payers in the Norwegian market (4.95%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (41.6%), ITERA's dividend payments are well 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

  • Explore strong dividend paying companies in the Software industry.

Management

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

1.3yrs

Average management tenure


CEO

Arne Mjøs

no data

Tenure

kr3,675,000

Compensation

Mr. Arne Mjøs has founded Itera ASA. He serves as the Chief Executive Officer of Itera ASA. Mr. Mjøs serves as the Chief Executive Officer at Itera Consulting Group ASA. Mr. Mjøs serves as a Director of It...


CEO Compensation Analysis

Compensation vs Market: Arne's total compensation ($USD447.07K) is about average for companies of similar size in the Norwegian market ($USD359.08K).

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


Leadership Team

Experienced Management: ITERA's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: ITERA's board of directors are not considered experienced ( 1.3 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: ITERA 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

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


Key Information

  • Name: Itera ASA
  • Ticker: ITERA
  • Exchange: OB
  • Founded: 1989
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: kr1.076b
  • Shares outstanding: 80.92m
  • Website: https://www.itera.no

Number of Employees


Location

  • Itera ASA
  • Nydalsveien 28
  • PO Box 4814
  • Oslo
  • Oslo
  • 422
  • Norway

Listings


Biography

Itera ASA, together with its subsidiaries, designs, develops, and operates digital solutions for companies and organizations in Norway, Sweden, Denmark, Slovakia, and Ukraine. It delivers projects and serv...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/08 16:22
End of Day Share Price2021/05/07 00:00
Earnings2020/12/31
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.