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Newag

WSE:NWG
Snowflake Description

Adequate balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
NWG
WSE
PLN824M
Market Cap
  1. Home
  2. PL
  3. Capital Goods
Company description

Newag S.A. engages in the production and sale of rail vehicles in Poland. The last earnings update was 30 days ago. More info.


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NWG Share Price and Events
7 Day Returns
0.5%
WSE:NWG
1.8%
PL Machinery
1%
PL Market
1 Year Returns
5.2%
WSE:NWG
-13.2%
PL Machinery
2.6%
PL Market
NWG Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Newag (NWG) 0.5% 11.6% 17.3% 5.2% 29.8% -5.4%
PL Machinery 1.8% 5.2% 1.8% -13.2% 12.8% -15.1%
PL Market 1% 4.6% -3.1% 2.6% 15% -7.4%
1 Year Return vs Industry and Market
  • NWG outperformed the Machinery industry which returned -13.2% over the past year.
  • NWG outperformed the Market in Poland which returned 2.6% over the past year.
Price Volatility
NWG
Industry
5yr Volatility vs Market

NWG Value

 Is Newag undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Newag to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Newag.

WSE:NWG Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 12.5%
Perpetual Growth Rate 10-Year PL Government Bond Rate 2.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for WSE:NWG
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year PL Govt Bond Rate 2.9%
Equity Risk Premium S&P Global 7.1%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.065 (1 + (1- 19%) (52.28%))
1.346
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.35
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.85% + (1.346 * 7.14%)
12.46%

Discounted Cash Flow Calculation for WSE:NWG using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Newag is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

WSE:NWG DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (PLN, Millions) Source Present Value
Discounted (@ 12.46%)
2019 -1.70 Analyst x1 -1.51
2020 52.90 Analyst x1 41.83
2021 90.14 Est @ 70.39% 63.37
2022 135.32 Est @ 50.13% 84.60
2023 183.97 Est @ 35.95% 102.27
2024 231.83 Est @ 26.02% 114.60
2025 276.03 Est @ 19.07% 121.33
2026 315.23 Est @ 14.2% 123.21
2027 349.27 Est @ 10.8% 121.39
2028 378.65 Est @ 8.41% 117.02
Present value of next 10 years cash flows PLN888.13
WSE:NWG DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= PLN378.65 × (1 + 2.85%) ÷ (12.46% – 2.85%)
PLN4,052.62
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= PLN4,052.62 ÷ (1 + 12.46%)10
PLN1,252.49
WSE:NWG Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= PLN888.13 + PLN1,252.49
PLN2,140.62
Equity Value per Share
(PLN)
= Total value / Shares Outstanding
= PLN2,140.62 / 45.00
PLN47.57
WSE:NWG Discount to Share Price
Calculation Result
Value per share (PLN) From above. PLN47.57
Current discount Discount to share price of PLN18.30
= -1 x (PLN18.30 - PLN47.57) / PLN47.57
61.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Newag is available for.
Intrinsic value
>50%
Share price is PLN18.3 vs Future cash flow value of PLN47.57
Current Discount Checks
For Newag to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Newag's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Newag's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Newag's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Newag's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
WSE:NWG PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in PLN PLN2.10
WSE:NWG Share Price ** WSE (2019-06-19) in PLN PLN18.3
Poland Machinery Industry PE Ratio Median Figure of 22 Publicly-Listed Machinery Companies 8.51x
Poland Market PE Ratio Median Figure of 455 Publicly-Listed Companies 10.82x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Newag.

WSE:NWG PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= WSE:NWG Share Price ÷ EPS (both in PLN)

= 18.3 ÷ 2.10

8.72x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Newag is overvalued based on earnings compared to the PL Machinery industry average.
  • Newag is good value based on earnings compared to the Poland market.
Price based on expected Growth
Does Newag's expected growth come at a high price?
Raw Data
WSE:NWG PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.72x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
-32.9%per year
Poland Machinery Industry PEG Ratio Median Figure of 5 Publicly-Listed Machinery Companies 1.01x
Poland Market PEG Ratio Median Figure of 109 Publicly-Listed Companies 1.05x

*Line of best fit is calculated by linear regression .

WSE:NWG PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.72x ÷ -32.9%

-0.27x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Newag earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Newag's assets?
Raw Data
WSE:NWG PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in PLN PLN10.97
WSE:NWG Share Price * WSE (2019-06-19) in PLN PLN18.3
Poland Machinery Industry PB Ratio Median Figure of 31 Publicly-Listed Machinery Companies 0.73x
Poland Market PB Ratio Median Figure of 687 Publicly-Listed Companies 0.98x
WSE:NWG PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= WSE:NWG Share Price ÷ Book Value per Share (both in PLN)

= 18.3 ÷ 10.97

1.67x

* Primary Listing of Newag.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Newag is overvalued based on assets compared to the PL Machinery industry average.
X
Value checks
We assess Newag's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Newag has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

NWG Future Performance

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

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-32.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Newag expected to grow at an attractive rate?
  • Newag's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.9%.
Growth vs Market Checks
  • Newag's earnings are expected to decrease over the next 1-3 years, this is below the Poland market average.
  • Newag's revenues are expected to decrease over the next 1-3 years, this is below the Poland market average.
Annual Growth Rates Comparison
Raw Data
WSE:NWG Future Growth Rates Data Sources
Data Point Source Value (per year)
WSE:NWG Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts -32.9%
WSE:NWG Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts -1.7%
Poland Machinery Industry Earnings Growth Rate Market Cap Weighted Average -0.7%
Poland Machinery Industry Revenue Growth Rate Market Cap Weighted Average 0.9%
Poland Market Earnings Growth Rate Market Cap Weighted Average 10.5%
Poland Market Revenue Growth Rate Market Cap Weighted Average 5.6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
WSE:NWG Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in PLN Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
WSE:NWG Future Estimates Data
Date (Data in PLN Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 972 1
2022-12-31 947 1
2021-12-31 945 1
2020-12-31 997 109 53 1
2019-12-31 1,007 56 56 1
WSE:NWG Past Financials Data
Date (Data in PLN Millions) Revenue Cash Flow Net Income *
2019-03-31 1,044 7 94
2018-12-31 1,022 18 93
2018-09-30 861 92 46
2018-06-30 882 72 44
2018-03-31 744 10 17
2017-12-31 790 44 30
2017-09-30 672 36 17
2017-06-30 623 25 15
2017-03-31 650 115 36
2016-12-31 559 29 11
2016-09-30 791 243 51
2016-06-30 843 161 54

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Newag's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Newag's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
WSE:NWG Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Newag Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

WSE:NWG Future Estimates Data
Date (Data in PLN Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31 1.20 1.20 1.20 1.00
2019-12-31 1.30 1.30 1.30 1.00
WSE:NWG Past Financials Data
Date (Data in PLN Millions) EPS *
2019-03-31 2.10
2018-12-31 2.07
2018-09-30 1.02
2018-06-30 0.97
2018-03-31 0.38
2017-12-31 0.66
2017-09-30 0.38
2017-06-30 0.33
2017-03-31 0.81
2016-12-31 0.25
2016-09-30 1.14
2016-06-30 1.20

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Newag will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Newag's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Poland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Poland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Newag has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

NWG Past Performance

  How has Newag performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Newag's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Newag's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Newag's 1-year earnings growth exceeds its 5-year average (447.8% vs -4.5%)
  • Newag's earnings growth has exceeded the PL Machinery industry average in the past year (447.8% vs 84.4%).
Earnings and Revenue History
Newag's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Newag Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

WSE:NWG Past Revenue, Cash Flow and Net Income Data
Date (Data in PLN Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1,043.60 94.48 73.84
2018-12-31 1,021.56 93.35 74.41
2018-09-30 861.01 45.78 72.24
2018-06-30 882.46 43.65 70.47
2018-03-31 744.39 17.25 71.83
2017-12-31 789.87 29.74 68.22
2017-09-30 672.42 17.20 70.54
2017-06-30 622.56 14.66 74.85
2017-03-31 649.84 36.38 74.77
2016-12-31 559.06 11.19 74.32
2016-09-30 791.09 51.32 54.47
2016-06-30 843.22 53.99 57.49
2016-03-31 904.70 41.95 71.59
2015-12-31 1,035.47 64.87 72.81
2015-09-30 773.73 14.91 88.93
2015-06-30 919.98 49.43 84.03
2015-03-31 971.15 82.10 67.68
2014-12-31 900.61 78.36 65.80
2014-09-30 968.79 93.40 63.44
2014-06-30 785.44 57.61 61.25
2014-03-31 693.52 38.39 59.63
2013-12-31 680.51 36.55 59.28
2013-09-30 588.57 27.73 59.06
2013-06-30 621.87 38.82 60.33
2013-03-31 616.53 41.91 60.02
2012-12-31 655.38 55.51 58.72

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Newag has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Newag used its assets more efficiently than the PL Machinery industry average last year based on Return on Assets.
  • Newag has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Newag's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Newag has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

NWG Health

 How is Newag's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Newag's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Newag is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Newag's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Newag's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Newag Company Filings, last reported 2 months ago.

WSE:NWG Past Debt and Equity Data
Date (Data in PLN Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 494.11 430.52 63.82
2018-12-31 495.43 390.30 63.54
2018-09-30 420.16 316.89 35.32
2018-06-30 415.97 343.90 12.77
2018-03-31 401.09 341.69 10.87
2017-12-31 403.60 309.70 13.80
2017-09-30 375.52 299.88 7.59
2017-06-30 373.54 290.64 7.99
2017-03-31 415.33 211.06 7.81
2016-12-31 405.59 249.14 4.39
2016-09-30 390.03 246.37 17.68
2016-06-30 390.51 247.08 17.74
2016-03-31 401.84 283.84 36.41
2015-12-31 417.14 258.37 52.53
2015-09-30 360.25 433.60 9.67
2015-06-30 358.04 363.76 50.04
2015-03-31 403.85 316.39 9.22
2014-12-31 396.22 218.62 6.66
2014-09-30 385.72 339.07 3.26
2014-06-30 348.97 392.41 13.98
2014-03-31 337.36 419.53 5.26
2013-12-31 335.62 351.53 13.64
2013-09-30
2013-06-30 313.40 278.45 1.42
2013-03-31 309.27 254.81 4.90
2012-12-31 309.27 254.81 4.90
  • Newag's level of debt (87.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (124.2% vs 87.1% today).
  • Debt is not well covered by operating cash flow (1.5%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 14.5x coverage).
X
Financial health checks
We assess Newag's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Newag has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

NWG Dividends

 What is Newag's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.1%
Current annual income from Newag dividends. Estimated to be 0% next year.
If you bought PLN2,000 of Newag shares you are expected to receive PLN82 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Newag's pays a higher dividend yield than the bottom 25% of dividend payers in Poland (2.85%).
  • Newag's dividend is below the markets top 25% of dividend payers in Poland (7.53%).
Upcoming dividend payment

Purchase Newag before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
WSE:NWG Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Poland Machinery Industry Average Dividend Yield Market Cap Weighted Average of 9 Stocks 5.7%
Poland Market Average Dividend Yield Market Cap Weighted Average of 203 Stocks 4.2%
Poland Minimum Threshold Dividend Yield 10th Percentile 1.4%
Poland Bottom 25% Dividend Yield 25th Percentile 2.9%
Poland Top 25% Dividend Yield 75th Percentile 7.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

WSE:NWG Future Dividends Estimate Data
Date (Data in PLN) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31
2020-12-31 0.00 1.00
2019-12-31 0.00 1.00
WSE:NWG Past Annualized Dividends Data
Date (Data in PLN) Dividend per share (annual) Avg. Yield (%)
2019-05-20 0.750 4.270
2019-04-18 0.750 4.522
2018-11-19 0.000 0.000
2018-09-10 0.000 0.000
2018-05-21 0.000 0.000
2018-04-16 0.000 0.000
2017-09-18 0.700 4.283
2017-04-24 0.700 4.144
2016-03-18 0.500 3.385
2015-05-15 1.000 5.880
2015-03-20 1.000 4.337
2014-11-14 0.450 1.911
2014-08-29 0.450 2.127
2014-05-15 0.450 2.419
2014-03-21 0.450 2.298
2014-01-15 0.450 2.221

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Newag has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Newag only paid a dividend in the past 5 years.
Current Payout to shareholders
What portion of Newag's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.8x coverage).
Future Payout to shareholders
  • No need to calculate the sustainability of Newag's dividends in 3 years as they are not expected to pay a notable one for Poland.
X
Income/ dividend checks
We assess Newag's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.4%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Newag afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Newag has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

NWG Management

 What is the CEO of Newag's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
ZbiGniew KonieCzek
COMPENSATION PLN2,241,000
CEO Bio

Mr. ZbiGniew KonieCzek has been the President of the Board at Newag Spólka Akcyjna (Former Name: Newag S.A.) since 2001 and serves as its Chief Executive Officer, President. Mr. KonieCzek serves as a Member of the Management Board at Newag S.A. He served as a Member of Supervisory Board at Feroco SA. He started his professional career at Arabski & Gawor s.c. Brokerage House with registered office in Warsaw in 1994. In the years 1994-2000, he was the head of the economic team at Polski Bank Inwestycyjny S.A. with registered office in Warsaw (presently Kredyt Bank S.A.). In the period from 2000 to 2001, he worked at FM GLINIK S.A. with registered office in Gorlice as Finance Director. Since 2001, he has held the post of Finance Director at NEWAG S.A.

CEO Compensation
  • ZbiGniew 's compensation has been consistent with company performance over the past year, both up more than 20%.
  • ZbiGniew 's remuneration is higher than average for companies of similar size in Poland.
Management Team Tenure

Average tenure of the Newag management team in years:

4
Average Tenure
  • The tenure for the Newag management team is about average.
Management Team

ZbiGniew KonieCzek

TITLE
President of Management Board & CEO
COMPENSATION
PLN2M

Bogdan Borek

TITLE
Vice President of Management Board and Finance Director
COMPENSATION
PLN1M
TENURE
4.3 yrs

Józef Michalik

TITLE
Vice President of the Management Board
COMPENSATION
PLN310K
TENURE
3.3 yrs

Maciej Duczynski

TITLE
Director of Marketing and Development
COMPENSATION
PLN252K

Katarzyna Szwarc

TITLE
Secretary of the Supervisory Board
COMPENSATION
PLN62K
TENURE
4 yrs

Czeslawa Piotrowska

TITLE
Chief Accountant
Board of Directors

Zbigniew Jakubas

TITLE
Chairman of the Supervisory Board
COMPENSATION
PLN73K

Piotr Kaminski

TITLE
Vice President of the Supervisory Board
COMPENSATION
PLN62K

Agnieszka Pyszczek

TITLE
Member of the Supervisory Board
COMPENSATION
PLN57K
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (PLN) Value (PLN)
X
Management checks
We assess Newag's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Newag has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

NWG News

Simply Wall St News

Should You Like Newag S.A.’s (WSE:NWG) High Return On Capital Employed?

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Newag: 0.18 = zł126m ÷ (zł1.2b - zł500m) (Based on the trailing twelve months to March 2019.) Therefore, Newag has an ROCE of 18%. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise. … The Bottom Line On Newag's ROCE While its ROCE looks good, it's worth remembering that the current liabilities are making the business look better.

Simply Wall St -

Does The Data Make Newag S.A. (WSE:NWG) An Attractive Investment?

WSE:NWG Income Statement, June 4th 2019 Next Steps: For Newag, I've compiled three essential aspects you should further examine: Future Outlook: What are well-informed industry analysts predicting for NWG’s future growth? … Take a look at our free research report of analyst consensus for NWG’s outlook. … The intrinsic value infographic in our free research report helps visualize whether NWG is currently mispriced by the market.

Simply Wall St -

How Financially Strong Is Newag S.A. (WSE:NWG)?

On top of this, NWG has produced cash from operations of zł18m over the same time period, leading to an operating cash to total debt ratio of 4.5%, signalling that NWG’s debt is not covered by operating cash. … With current liabilities at zł495m, it seems that the business has maintained a safe level of current assets to meet its obligations, with the current ratio last standing at 1.47x. … Next Steps: Although NWG’s debt level is towards the higher end of the spectrum, its cash flow coverage seems adequate to meet obligations which means its debt is being efficiently utilised.

Simply Wall St -

Boasting A 19% Return On Equity, Is Newag S.A. (WSE:NWG) A Top Quality Stock?

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … That means that for every PLN1 worth of shareholders' equity, it generated PLN0.19 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

A Look At The Fair Value Of Newag S.A. (WSE:NWG)

by taking the foreast future cash flows of the company and discounting them back to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. … We use what is known as a 2-stage model, which simply means we have two different periods of growth rates for the company's cash flows

Simply Wall St -

What Kind Of Shareholder Appears On The Newag S.A.'s (WSE:NWG) Shareholder Register?

A look at the shareholders of Newag S.A. … Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … With a market capitalization of zł749m, Newag is a small cap stock, so it might not be well known by many institutional investors.

Simply Wall St -

If You Had Bought Newag (WSE:NWG) Stock A Year Ago, You'd Be Sitting On A 17% Loss, Today

One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … During the unfortunate twelve months during which the Newag share price fell, it actually saw its earnings per share (EPS) improve by 166%. … Since we can't easily explain the share price movement based on these metrics, it might be worth considering how market sentiment has changed towards the stock.

Simply Wall St -

What Does Newag S.A.'s (WSE:NWG) P/E Ratio Tell You?

This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … Newag has a price to earnings ratio of 14.84, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Newag S.A.’s (WSE:NWG) Investment Returns Are Lagging Its Industry

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St -

Is Newag SA's (WSE:NWG) Balance Sheet Strong Enough To Weather A Storm?

Newag SA (WSE:NWG) is a small-cap stock with a market capitalization of zł671m. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … So, understanding the company's financial health becomes.

Simply Wall St -

NWG Company Info

Description

Newag S.A. engages in the production and sale of rail vehicles in Poland. The company offers electric and diesel multiple units and locomotives, passenger cars, trams, and wagons, as well as rolling stocks and sub­way trains. It is also involved in the periodic repair and modernization of electric and diesel locomotives, and electric multiple units, as well as subassemblies for rail vehicles. The company was founded in 1876 and is based in Nowy Sacz, Poland.

Details
Name: Newag S.A.
NWG
Exchange: WSE
Founded: 1876
PLN823,500,018
45,000,001
Website: http://www.newag.pl
Address: Newag S.A.
ul. Wyspianskiego 3,
Nowy Sacz,
33–300,
Poland
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
WSE NWG Bearer Shares Warsaw Stock Exchange PL PLN 05. Dec 2013
DB N0GA Bearer Shares Deutsche Boerse AG DE EUR 05. Dec 2013
Number of employees
Current staff
Staff numbers
0
Newag employees.
Industry
Construction Machinery and Heavy Trucks
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/19 21:42
End of day share price update: 2019/06/19 00:00
Last estimates confirmation: 2019/04/18
Last earnings filing: 2019/05/20
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.