OTCNO:TORG

Stock Analysis Report

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Executive Summary

Torghatten ASA provides transportation services through ferries, boats, buses, and airplanes in Norway. More Details


Snowflake Analysis

Adequate balance sheet with questionable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: TORG is not significantly more volatile than the rest of Norwegian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: TORG's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

5.6%

TORG

-0.7%

NO Shipping

-0.6%

NO Market


1 Year Return

31.0%

TORG

-4.7%

NO Shipping

0.4%

NO Market

Return vs Industry: TORG exceeded the Norwegian Shipping industry which returned -4.7% over the past year.

Return vs Market: TORG exceeded the Norwegian Market which returned -0.6% over the past year.


Shareholder returns

TORGIndustryMarket
7 Day5.6%-0.7%-0.6%
30 Day42.0%14.0%13.9%
90 Day31.0%22.1%7.8%
1 Year33.1%31.0%3.0%-4.7%4.1%0.4%
3 Year109.9%100.0%-23.4%-35.7%8.5%-3.7%
5 Year183.4%164.9%12.2%-0.3%58.0%26.8%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

15.35x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TORG (NOK169) is trading above our estimate of fair value (NOK73.36)

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


Price To Earnings Ratio

PE vs Industry: TORG is good value based on its PE Ratio (15.3x) compared to the NO Shipping industry average (17.3x).

PE vs Market: TORG's PE Ratio (15.3x) is in line with the Norwegian market.


Price to Earnings Growth Ratio

PEG Ratio: TORG is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: TORG is overvalued based on its PB Ratio (2.7x) compared to the NO Shipping industry average (0.8x).


Next Steps

Future Growth

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

13.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TORG's forecast earnings growth (13.9% per year) is above the savings rate (1.6%).

Earnings vs Market: TORG's earnings (13.9% per year) are forecast to grow slower than the Norwegian market (33.7% per year).

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

Revenue vs Market: TORG's revenue (5% per year) is forecast to grow slower than the Norwegian market (6.3% per year).

High Growth Revenue: TORG's revenue (5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TORG's Return on Equity is forecast to be low in 3 years time (16.7%).


Next Steps

Past Performance

How has Torghatten performed over the past 5 years?

10.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TORG has high quality earnings.

Growing Profit Margin: TORG's current net profit margins (4%) are lower than last year (5.3%).


Past Earnings Growth Analysis

Earnings Trend: TORG's earnings have grown by 10.1% per year over the past 5 years.

Accelerating Growth: TORG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TORG had negative earnings growth (-25.7%) over the past year, making it difficult to compare to the Shipping industry average (-34.3%).


Return on Equity

High ROE: TORG's Return on Equity (13.2%) is considered low.


Next Steps

Financial Health

How is Torghatten's financial position?


Financial Position Analysis

Short Term Liabilities: TORG's short term assets (NOK3.1B) exceed its short term liabilities (NOK1.8B).

Long Term Liabilities: TORG's short term assets (NOK3.1B) do not cover its long term liabilities (NOK5.9B).


Debt to Equity History and Analysis

Debt Level: TORG's debt to equity ratio (132.7%) is considered high.

Reducing Debt: TORG's debt to equity ratio has reduced from 184.4% to 132.7% over the past 5 years.

Debt Coverage: TORG's debt is well covered by operating cash flow (25.9%).

Interest Coverage: TORG's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Next Steps

Dividend

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

1.18%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TORG's dividend (1.18%) isn’t notable compared to the bottom 25% of dividend payers in the Norwegian market (2.5%).

High Dividend: TORG's dividend (1.18%) is low compared to the top 25% of dividend payers in the Norwegian market (5.88%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

kr3m

CEO Compensation


CEO

Roger Granheim (56 yo)

1.5yrs

Tenure

kr3,403,000

Compensation

Mr. Roger Granheim has been Chief Executive Officer at Torghatten ASA since May 6, 2019. He served as Deputy Chief Executive Officer and Executive Vice President at Torghatten ASA since January 01, 2010 un...


CEO Compensation Analysis

Compensation vs Market: Roger's total compensation ($USD383.02K) is below average for companies of similar size in the Norwegian market ($USD572.14K).

Compensation vs Earnings: Roger's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


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.


Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Torghatten ASA
  • Ticker: TORG
  • Exchange: OTCNO
  • Founded:
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: kr7.364b
  • Shares outstanding: 44.90m
  • Website: https://www.torghatten.no

Number of Employees


Location

  • Torghatten ASA
  • Havnegata 40
  • Brønnøysund
  • Nordland
  • 8900
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TORGOTCNO (Norway OTC)YesShare CapitalNONOKJan 2000

Biography

Torghatten ASA provides transportation services through ferries, boats, buses, and airplanes in Norway. It is also involved in garage, travel agency, and real estate activities. The company is based in Brø...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/01 20:11
End of Day Share Price2020/12/01 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.