OB:SCATC

Stock Analysis Report

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Market Cap

kr35.0b

Last Updated

2021/06/12 16:22 UTC

Data Sources

Company Financials +

Executive Summary

Scatec ASA, together with its subsidiaries, operates as a renewable power producer worldwide. More Details


Snowflake Analysis

High growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SCATC is more volatile than 75% of Norwegian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: SCATC's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of Norwegian stocks.


Market Performance


7 Day Return

0.5%

SCATC

0.5%

NO Renewable Energy

-0.6%

NO Market


1 Year Return

42.3%

SCATC

32.6%

NO Renewable Energy

34.9%

NO Market

Return vs Industry: SCATC exceeded the Norwegian Renewable Energy industry which returned 32.6% over the past year.

Return vs Market: SCATC exceeded the Norwegian Market which returned 35.1% over the past year.


Shareholder returns

SCATCIndustryMarket
7 Day0.5%0.5%-0.6%
30 Day10.7%10.0%5.4%
90 Day-16.1%-17.0%2.8%
1 Year43.7%42.3%36.2%32.6%40.3%34.9%
3 Year279.7%271.5%82.5%68.7%18.8%5.5%
5 Year555.3%519.9%169.2%143.6%89.0%54.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.93x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: SCATC (NOK220.7) is trading above our estimate of fair value (NOK59.94)

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


Price To Earnings Ratio

PE vs Industry: SCATC is unprofitable, so we can't compare its PE Ratio to the European Renewable Energy industry average.

PE vs Market: SCATC is unprofitable, so we can't compare its PE Ratio to the Norwegian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SCATC is overvalued based on its PB Ratio (3.9x) compared to the XE Renewable Energy industry average (2.1x).


Future Growth

How is Scatec forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

7.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SCATC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.2%).

Earnings vs Market: SCATC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SCATC's is expected to become profitable in the next 3 years.

Revenue vs Market: SCATC's revenue (27.7% per year) is forecast to grow faster than the Norwegian market (4.2% per year).

High Growth Revenue: SCATC's revenue (27.7% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SCATC's Return on Equity is forecast to be low in 3 years time (8.2%).


Past Performance

How has Scatec performed over the past 5 years?

-36.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SCATC is currently unprofitable.

Growing Profit Margin: SCATC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SCATC is unprofitable, and losses have increased over the past 5 years at a rate of 36.1% per year.

Accelerating Growth: Unable to compare SCATC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SCATC is unprofitable, making it difficult to compare its past year earnings growth to the Renewable Energy industry (11.7%).


Return on Equity

High ROE: SCATC has a negative Return on Equity (-6.48%), as it is currently unprofitable.


Financial Health

How is Scatec's financial position?


Financial Position Analysis

Short Term Liabilities: SCATC's short term assets (NOK6.4B) exceed its short term liabilities (NOK4.2B).

Long Term Liabilities: SCATC's short term assets (NOK6.4B) do not cover its long term liabilities (NOK19.8B).


Debt to Equity History and Analysis

Debt Level: SCATC's debt to equity ratio (204%) is considered high.

Reducing Debt: SCATC's debt to equity ratio has reduced from 441.3% to 204% over the past 5 years.

Debt Coverage: SCATC's debt is not well covered by operating cash flow (6%).

Interest Coverage: SCATC is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Dividend

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

0.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SCATC's dividend (0.49%) isn’t notable compared to the bottom 25% of dividend payers in the Norwegian market (1.85%).

High Dividend: SCATC's dividend (0.49%) is low compared to the top 25% of dividend payers in the Norwegian market (4.95%).


Stability and Growth of Payments

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

Growing Dividend: SCATC 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: SCATC is not paying a notable dividend for the Norwegian market.


Future Payout to Shareholders

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

7.4yrs

Average management tenure


CEO

Raymond Carlsen (65 yo)

12.42yrs

Tenure

kr6,594,000

Compensation

Mr. Raymond Carlsen serves as Chief Executive Officer at Scatec Solar AS since 2009. Mr. Carlsen has been with Aker Kvaerner since 1989, with senior management assignments in South East Asia, Europe and th...


CEO Compensation Analysis

Compensation vs Market: Raymond's total compensation ($USD789.39K) is about average for companies of similar size in the Norwegian market ($USD837.58K).

Compensation vs Earnings: Raymond's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: SCATC's management team is seasoned and experienced (7.4 years average tenure).


Board Members

Experienced Board: SCATC's board of directors are considered experienced (3.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SCATC insiders have bought more shares than they have sold 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 15.4%.


Top Shareholders

Company Information

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


Key Information

  • Name: Scatec ASA
  • Ticker: SCATC
  • Exchange: OB
  • Founded: 2007
  • Industry: Renewable Electricity
  • Sector: Utilities
  • Market Cap: kr35.045b
  • Shares outstanding: 158.79m
  • Website: https://scatec.com

Number of Employees


Location

  • Scatec ASA
  • Askekroken 11
  • Oslo
  • Oslo
  • 277
  • Norway

Listings


Biography

Scatec ASA, together with its subsidiaries, operates as a renewable power producer worldwide. The company operates through Power Production; Services; and Development and Construction segments. It develops...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/12 16:22
End of Day Share Price2021/06/11 00:00
Earnings2021/03/31
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.