Norbit (OB:NORBT) - Share price, News & Analysis

Q: What is the Fair Price of NORBT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

NORBT (NOK24.4) is trading above our estimate of [[fair value]] (NOK23.33)

NORBT fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	1/6
Past Performance	4/6
Financial Health	5/6
Dividends	0/6

NORBT Stock Overview

NORBIT ASA provides technology products and solutions.

Rewards

Price-To-Earnings ratio (18.5x) is below the Electronic industry average (19x)

Revenue is forecast to grow 15.05% per year

Earnings grew by 112.2% over the past year

Trading at good value vs. peer average Price-To-Earnings ratio

Risk Analysis

Earnings have declined by 0.3% per year over past 5 years

Has a high level of debt

Norbit Competitors

StrongPoint

OB:STRO

kr759.2m

Q-Free

OB:QFR

kr667.5m

Kitron

OB:KIT

kr3.6b

Smartoptics Group

OB:SMOP

kr1.3b

Price History & Performance

Summary of all time highs, changes and price drops for Norbit
Historical stock prices
Current Share Price	kr24.40
52 Week High	kr38.30
52 Week Low	kr22.90
Beta	0.75
1 Month Change	-12.86%
3 Month Change	-4.69%
1 Year Change	-17.29%
3 Year Change	25.13%
5 Year Change	n/a
Change since IPO	17.36%

Recent News & Updates

May 11

A Look At The Fair Value Of Norbit ASA (OB:NORBT)

Does the May share price for Norbit ASA ( OB:NORBT ) reflect what it's really worth? Today, we will estimate the...

Shareholder Returns

	NORBT	NO Electronic	NO Market
7D	-3.9%	-3.9%	-6.3%
1Y	-17.3%	-40.1%	-7.0%

Return vs Industry: NORBT exceeded the Norwegian Electronic industry which returned -40% over the past year.

Return vs Market: NORBT underperformed the Norwegian Market which returned -4.5% over the past year.

Price Volatility

Is NORBT's price volatile compared to industry and market?
NORBT volatility
NORBT Average Weekly Movement	5.3%
Electronic Industry Average Movement	7.7%
Market Average Movement	6.7%
10% most volatile stocks in NO Market	11.2%
10% least volatile stocks in NO Market	3.8%

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

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

About the Company

Founded	Employees	CEO	Website
1980	400	Per Weisethaunet	https://www.norbit.com

NORBIT ASA provides technology products and solutions. It operates through three segments: Oceans, Connectivity, and Product Innovation and Realization. The company designs and develops wideband multibeam sonars used for hydrographic and forward-looking applications, as well as for detection of advanced subsea leakage; and provides cable assemblies, electromechanical box builds, and business solutions.

Norbit Fundamentals Summary

How do Norbit's earnings and revenue compare to its market cap?
NORBT fundamental statistics
Market Cap	kr1.44b
Earnings (TTM)	kr77.50m
Revenue (TTM)	kr999.60m

18.5x

P/E Ratio

1.4x

P/S Ratio

Is NORBT overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
NORBT income statement (TTM)
Revenue	kr999.60m
Cost of Revenue	kr452.10m
Gross Profit	kr547.50m
Other Expenses	kr470.00m
Earnings	kr77.50m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Nov 11, 2022

Earnings per share (EPS)	1.32
Gross Margin	54.77%
Net Profit Margin	7.75%
Debt/Equity Ratio	59.2%

How did NORBT perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

23%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is NORBT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NORBT?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for NORBT. This is calculated by dividing NORBT's market cap by their current preferred multiple.
What is NORBT's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	kr1.44b

NORBT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	1.7x
Enterprise Value/EBITDA	11.6x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does NORBT's PE Ratio compare to its peers?

NORBT PE Ratio vs Peers

The above table shows the PE ratio for NORBT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	25.9x
STRO StrongPoint	43.1x	44.5%	kr759.2m
QFR Q-Free	10.6x	10.7%	kr667.5m
KIT Kitron	21.2x	17.2%	kr3.6b
SMOP Smartoptics Group	28.6x	37.1%	kr1.3b
NORBT Norbit	18.5x	n/a	kr1.4b

Price-To-Earnings vs Peers: NORBT is good value based on its Price-To-Earnings Ratio (18.5x) compared to the peer average (25.9x).

Price to Earnings Ratio vs Industry

How does NORBT's PE Ratio compare vs other companies in the European Electronic Industry?

Price-To-Earnings vs Industry: NORBT is good value based on its Price-To-Earnings Ratio (18.5x) compared to the European Electronic industry average (19x)

Price to Earnings Ratio vs Fair Ratio

What is NORBT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NORBT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	18.5x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate NORBT's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of NORBT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NORBT (NOK24.4) is trading above our estimate of fair value (NOK23.33)

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

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

How is Norbit forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

15.0%

Forecasted annual revenue growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if NORBT's forecast earnings growth is above the savings rate (1.1%).

Earnings vs Market: Insufficient data to determine if NORBT's earnings are forecast to grow faster than the Norwegian market

High Growth Earnings: Insufficient data to determine if NORBT's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: NORBT's revenue (15% per year) is forecast to grow faster than the Norwegian market (0.2% per year).

High Growth Revenue: NORBT's revenue (15% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: Insufficient data to determine if NORBT's Return on Equity is forecast to be high in 3 years time

Discover growth companies

Past Performance

How has Norbit performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-0.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NORBT has high quality earnings.

Growing Profit Margin: NORBT's current net profit margins (7.8%) are higher than last year (5.6%).

Past Earnings Growth Analysis

Earnings Trend: NORBT's earnings have declined by 0.3% per year over the past 5 years.

Accelerating Growth: NORBT's earnings growth over the past year (112.2%) exceeds its 5-year average (-0.3% per year).

Earnings vs Industry: NORBT earnings growth over the past year (112.2%) exceeded the Electronic industry 11.1%.

Return on Equity

High ROE: NORBT's Return on Equity (14.4%) is considered low.

Discover strong past performing companies

Financial Health

How is Norbit's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: NORBT's short term assets (NOK600.8M) exceed its short term liabilities (NOK392.5M).

Long Term Liabilities: NORBT's short term assets (NOK600.8M) exceed its long term liabilities (NOK170.3M).

Debt to Equity History and Analysis

Debt Level: NORBT's net debt to equity ratio (52.2%) is considered high.

Reducing Debt: NORBT's debt to equity ratio has reduced from 148.3% to 59.2% over the past 5 years.

Debt Coverage: NORBT's debt is well covered by operating cash flow (24.4%).

Interest Coverage: NORBT's interest payments on its debt are well covered by EBIT (9.6x coverage).

Balance Sheet

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Dividend

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

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

1.23%

Current Dividend Yield

Dividend Yield vs Market

Norbit Dividend Yield vs Market

How does Norbit dividend yield compare to the market?
Segment	Dividend Yield
Company (Norbit)	1.2%
Market Bottom 25% (NO)	3.8%
Market Top 25% (NO)	8.0%
Industry Average (Electronic)	2.0%
Analyst forecast in 3 Years (Norbit)	5.1%

Notable Dividend: NORBT's dividend (1.23%) isn’t notable compared to the bottom 25% of dividend payers in the Norwegian market (3.8%).

High Dividend: NORBT's dividend (1.23%) is low compared to the top 25% of dividend payers in the Norwegian market (7.97%).

Stability and Growth of Payments

Stable Dividend: NORBT is not paying a notable dividend for the Norwegian market, therefore no need to check if payments are stable.

Growing Dividend: NORBT is not paying a notable dividend for the Norwegian market, therefore no need to check if payments are increasing.

Earnings Payout to Shareholders

Earnings Coverage: NORBT is not paying a notable dividend for the Norwegian market.

Cash Payout to Shareholders

Cash Flow Coverage: NORBT is paying a dividend but the company has no free cash flows.

Discover strong dividend paying companies

Management

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

6.7yrs

Average management tenure

CEO

Per Weisethaunet

21.67yrs

Tenure

kr3,600,000

Compensation

Mr. Per Jorgen Weisethaunet has been Group Chief Executive Officer of Norbit ASA, which position he has held since joining in 2001. Mr. Weisethaunet has been the co-owner of NORBIT since 2008. Further, Mr....

CEO Compensation Analysis

Per Weisethaunet's Compensation vs Norbit Earnings

How has Per Weisethaunet's remuneration changed compared to Norbit's earnings?
Date	Total Comp.	Salary	Company Earnings
Jun 30 2022	n/a	n/a	kr78m
Mar 31 2022	n/a	n/a	kr62m
Dec 31 2021	kr4m	kr3m	kr48m
Sep 30 2021	n/a	n/a	kr33m
Jun 30 2021	n/a	n/a	kr37m
Mar 31 2021	n/a	n/a	kr21m
Dec 31 2020	kr3m	kr3m	kr27m
Sep 30 2020	n/a	n/a	kr55m
Jun 30 2020	n/a	n/a	kr59m
Mar 31 2020	n/a	n/a	kr48m
Dec 31 2019	kr9m	kr2m	kr77m
Sep 30 2019	n/a	n/a	kr60m
Jun 30 2019	n/a	n/a	kr49m
Mar 31 2019	n/a	n/a	kr85m
Dec 31 2018	kr2m	kr2m	kr48m

Compensation vs Market: Per's total compensation ($USD335.36K) is about average for companies of similar size in the Norwegian market ($USD322.95K).

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

Leadership Team

Experienced Management: NORBT's management team is seasoned and experienced (6.7 years average tenure).

Board Members

Experienced Board: NORBT's board of directors are not considered experienced ( 1.8 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: NORBT insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

OB:NORBT Recent Insider Transactions by Companies or Individuals
Date	Value	Name	Entity	Shares	Max Price
08 Sep 22	Buykr265,000	Per Weisethaunet	Individual	10,000	kr26.50
13 May 22	Buykr247,630	Bente Landsnes	Individual	9,000	kr27.51
11 Nov 21	Buykr834,250	Per Weisethaunet	Individual	25,000	kr33.37

Ownership Breakdown

What is the ownership structure of NORBT?
Owner Type	Number of Shares	Ownership Percentage
Individual Insiders	9,338,687	15.9%
General Public	13,434,454	22.8%
Institutions	15,818,253	26.9%
Private Companies	20,292,913	34.5%

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

Top Shareholders

Top 25 shareholders own 77.06% of the company

Ownership	Name	Shares	Current Value	Change %	Portfolio %
11.89%	Per Weisethaunet	7,002,944	NOK170.9m	0.14%	no data
9.9%	Reitan Kapital AS	5,828,392	NOK142.2m	0%	no data
9.69%	New Draupnir Invest	5,702,949	NOK139.2m	0%	no data
7.08%	Handelsbanken Asset Management	4,168,527	NOK101.7m	0%	0.02%
6.51%	Esmar AS	3,832,286	NOK93.5m	0%	no data
6.51%	Eidco AS	3,832,286	NOK93.5m	0%	no data
4.92%	Hanover Investors Management LLP	2,900,000	NOK70.8m	0%	18%
4.57%	Arctic Asset Management AS	2,692,374	NOK65.7m	0%	0.47%
2.93%	Citigroup Inc.,Banking and Securities Investments	1,725,000	NOK42.1m	0%	no data
1.78%	Danske Invest Asset Management AS	1,050,000	NOK25.6m	0%	0.56%
1.61%	Taiga Fund Management AS	945,187	NOK23.1m	0%	4.75%
1.31%	Peter Eriksen	772,427	NOK18.8m	3.19%	no data
1.23%	Arild Soraunet	721,989	NOK17.6m	0%	no data
1.21%	T.D. VEEN AS	715,000	NOK17.4m	0%	4.81%
1.16%	Nordea Investment Management AB	684,247	NOK16.7m	0%	no data
1.15%	Sonstad AS	676,000	NOK16.5m	0%	no data
1.07%	Carnegie Fonder AB	627,216	NOK15.3m	0%	0.03%
0.71%	Gh Holding AS	421,000	NOK10.3m	0%	no data
0.53%	Bergen Kommunale Pensjonskasse	310,344	NOK7.6m	0%	4.63%
0.52%	Stein Beyer	304,103	NOK7.4m	3.03%	no data
0.34%	Peter Tschulik	201,640	NOK4.9m	0%	no data
0.14%	Finn Haugan	81,078	NOK2.0m	0%	no data
0.12%	Bente Landsnes	69,473	NOK1.7m	14.88%	no data
0.11%	Tom Solberg	65,789	NOK1.6m	0%	no data
0.076%	Per Reppe	44,903	NOK1.1m	86.96%	no data

Ticker	Exchange	Primary Security	Security Type	Country	Currency	Listed on
NORBT	OB (Oslo Bors)	Yes	Ordinary Shares	NO	NOK	Jun 2019
4NK	DB (Deutsche Boerse AG)	Yes	Ordinary Shares	DE	EUR	Jun 2019

Data	Last Updated (UTC time)
Company Analysis	2022/09/29 00:00
End of Day Share Price	2022/09/29 00:00
Earnings	2022/06/30
Annual Earnings	2021/12/31