OB:KIT

Stock Analysis Report

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Executive Summary

Kitron ASA, an electronics manufacturing services company, together with its subsidiaries, develops, industrializes, and manufactures electronics for the energy/telecoms, defense/aerospace, offshore/marine, medical device, and industry sectors. More Details


Snowflake Analysis

Outstanding track record and undervalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: KIT is not significantly more volatile than the rest of Norwegian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: KIT's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-2.3%

KIT

0%

NO Electronic

0%

NO Market


1 Year Return

61.9%

KIT

0%

NO Electronic

0%

NO Market

Return vs Industry: KIT underperformed the Norwegian Electronic industry which returned 105.8% over the past year.

Return vs Market: KIT exceeded the Norwegian Market which returned 15.6% over the past year.


Shareholder returns

KITIndustryMarket
7 Day-2.3%0%0%
30 Day5.5%0%0%
90 Day-6.5%0%0%
1 Year66.9%61.9%0%0%0%0%
3 Year136.8%107.3%0%0%0%0%
5 Year432.8%330.4%0%0%0%0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

22.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KIT (NOK17) is trading below our estimate of fair value (NOK21.85)

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


Price To Earnings Ratio

PE vs Industry: KIT is good value based on its PE Ratio (14.3x) compared to the XE Electronic industry average (27.1x).

PE vs Market: KIT is good value based on its PE Ratio (14.3x) compared to the Norwegian market (15.3x).


Price to Earnings Growth Ratio

PEG Ratio: KIT is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: KIT is good value based on its PB Ratio (3.5x) compared to the NO Electronic industry average (4.5x).


Next Steps

Future Growth

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

7.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KIT's forecast earnings growth (7.7% per year) is above the savings rate (1.4%).

Earnings vs Market: KIT's earnings (7.7% per year) are forecast to grow slower than the Norwegian market (26.5% per year).

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

Revenue vs Market: KIT's revenue (6.5% per year) is forecast to grow slower than the Norwegian market (7.5% per year).

High Growth Revenue: KIT's revenue (6.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KIT's Return on Equity is forecast to be high in 3 years time (23.7%)


Next Steps

Past Performance

How has Kitron performed over the past 5 years?

20.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KIT has high quality earnings.

Growing Profit Margin: KIT's current net profit margins (5.4%) are higher than last year (4%).


Past Earnings Growth Analysis

Earnings Trend: KIT's earnings have grown significantly by 20.6% per year over the past 5 years.

Accelerating Growth: KIT's earnings growth over the past year (60.8%) exceeds its 5-year average (20.6% per year).

Earnings vs Industry: KIT earnings growth over the past year (60.8%) exceeded the Electronic industry -2.3%.


Return on Equity

High ROE: KIT's Return on Equity (24.1%) is considered high.


Next Steps

Financial Health

How is Kitron's financial position?


Financial Position Analysis

Short Term Liabilities: KIT's short term assets (NOK2.0B) exceed its short term liabilities (NOK1.5B).

Long Term Liabilities: KIT's short term assets (NOK2.0B) exceed its long term liabilities (NOK281.4M).


Debt to Equity History and Analysis

Debt Level: KIT's debt to equity ratio (76.7%) is considered high.

Reducing Debt: KIT's debt to equity ratio has increased from 57.3% to 76.7% over the past 5 years.

Debt Coverage: KIT's debt is well covered by operating cash flow (34.9%).

Interest Coverage: KIT's interest payments on its debt are well covered by EBIT (8.1x coverage).


Balance Sheet


Next Steps

Dividend

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

4.12%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: KIT's dividend (4.12%) is higher than the bottom 25% of dividend payers in the Norwegian market (1.87%).

High Dividend: KIT's dividend (4.12%) is low compared to the top 25% of dividend payers in the Norwegian market (5.33%).


Stability and Growth of Payments

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

Growing Dividend: KIT'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 (58.8%), KIT's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KIT's dividends in 3 years are forecast to be covered by earnings (69.9% payout ratio).


Next Steps

Management

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

7.5yrs

Average management tenure


CEO

Lars Nilsson (56 yo)

6.25yrs

Tenure

kr19,091,000

Compensation

Mr. Lars Peter Nilsson has been the Chief Executive Officer of Kitron ASA since November 10, 2014 and serves as its President. He served as the President of Electronics Technology Division at PartnerTech A...


CEO Compensation Analysis

Compensation vs Market: Lars's total compensation ($USD2.27M) is above average for companies of similar size in the Norwegian market ($USD611.99K).

Compensation vs Earnings: Lars's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Lars Nilsson
CEO & President6.25yrskr19.09mno data
Cathrin Nylander
Chief Financial Officer7.5yrskr8.12m0.49%
NOK 14.8m
Israel Salvador
COO & Chief of Sales Office8.08yrskr9.27m0.42%
NOK 12.7m
Bjørn Gottschlich
Employee Representative Director9.08yrskr247.00k0.011%
NOK 325.9k
Tanja Rørheim
Employee Representative Director5.5yrskr259.00k0.011%
NOK 325.9k
Jarle Larsen
Employee Representative Director1.75yrskr206.00k0.0070%
NOK 212.5k
Hans Thomassen
MD of Kitron AS - Norway & VP of North America5.33yrskr6.61m0.24%
NOK 7.3m
Mindaugas Sestokas
MD of UAB Kitron - Lithuania & VP of Central Eastern Europe13yrskr6.76m0.20%
NOK 6.2m
Zygimantas Dirse
Managing Director of Kitron Electronics Manufacturing (Ningbo) CO Ltd.no datakr5.72m0.25%
NOK 7.7m
Stefan Hansson-Mutas
Managing Director of Kitron AB- Swedenno datakr6.61mno data
Stian Haugen
Chief Technology Officerno datano datano data
Magnus Lindseth
General Manager of Kitron Sweden and Board Observerno datakr10.00kno data

7.5yrs

Average Tenure

48.5yo

Average Age

Experienced Management: KIT's management team is seasoned and experienced (7.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Bjørn Gottschlich
Employee Representative Director9.08yrskr247.00k0.011%
NOK 325.9k
Tanja Rørheim
Employee Representative Director5.5yrskr259.00k0.011%
NOK 325.9k
Jarle Larsen
Employee Representative Director1.75yrskr206.00k0.0070%
NOK 212.5k
Magnus Lindseth
General Manager of Kitron Sweden and Board Observerno datakr10.00kno data
Tuomo Lähdesmäki
Independent Chairman of the Board7.08yrskr515.00k0.12%
NOK 3.7m
Christian Jebsen
Independent Director2.83yrskr279.00k0.011%
NOK 325.9k
Espen Gundersen
Independent Director3.83yrskr290.00k0.027%
NOK 836.5k
Maalfrid Brath
Independent Director2.83yrskr276.00k0.011%
NOK 325.9k
Gro Braekken
Independent Deputy Chair of the Board3.83yrskr268.00k0.024%
NOK 734.3k
Elisabeth Jacobsen
Employee Representative Deputy Board Memberno datakr67.00kno data
Vidar Hushovd
Employee Representative Deputy Board Memberno datano datano data
Petra Grandinson
Director0.83yrno data0.0051%
NOK 154.6k

3.8yrs

Average Tenure

54.5yo

Average Age

Experienced Board: KIT's board of directors are considered experienced (3.8 years average tenure).


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

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


Key Information

  • Name: Kitron ASA
  • Ticker: KIT
  • Exchange: OB
  • Founded: NaN
  • Industry: Electronic Manufacturing Services
  • Sector: Tech
  • Market Cap: kr3.048b
  • Shares outstanding: 179.10m
  • Website: https://www.kitron.com

Number of Employees


Location

  • Kitron ASA
  • Olav Brunborgs vei 4
  • Billingstad
  • Akershus
  • 1396
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KITOB (Oslo Bors)YesOrdinary SharesNONOKJan 1998
0F0JLSE (London Stock Exchange)YesOrdinary SharesGBNOKJan 1998
KITOBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBNOKJan 1998
KP5DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1998

Biography

Kitron ASA, an electronics manufacturing services company, together with its subsidiaries, develops, industrializes, and manufactures electronics for the energy/telecoms, defense/aerospace, offshore/marine...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/26 17:21
End of Day Share Price2021/02/26 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.