WSE:ABK

Stock Analysis Report

Executive Summary

Abak S.A. provides accounting services to individuals and companies in Poland.

Snowflake

Fundamentals

Excellent balance sheet and good value.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.2%

ABK

3.1%

PL Professional Services

0.7%

PL Market


1 Year Return

-26.7%

ABK

-23.5%

PL Professional Services

-4.5%

PL Market

Return vs Industry: ABK underperformed the Polish Professional Services industry which returned -23.5% over the past year.

Return vs Market: ABK underperformed the Polish Market which returned -4.5% over the past year.


Shareholder returns

ABKIndustryMarket
7 Day1.2%3.1%0.7%
30 Day1.2%0.6%-2.5%
90 Day-24.1%4.0%-6.9%
1 Year-24.0%-26.7%-23.4%-23.5%-1.6%-4.5%
3 Year-20.6%-26.1%-20.9%-21.2%11.8%3.9%
5 Year6.1%-5.0%2.8%1.0%-1.0%-13.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

47.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: ABK (PLN1.7) is trading below our estimate of fair value (PLN3.21)

Significantly Undervalued: ABK is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ABK is good value based on its PE Ratio (11.2x) compared to the Professional Services industry average (16.3x).

PE vs Market: ABK is poor value based on its PE Ratio (11.2x) compared to the Polish market (10x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ABK is good value based on its PB Ratio (1.6x) compared to the PL Professional Services industry average (1.7x).


Next Steps

Future Growth

How is Abak forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-5.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ABK's earnings are forecast to decline over the next 3 years (-5.6% per year).

Earnings vs Market: ABK's earnings are forecast to decline over the next 3 years (-5.6% per year).

High Growth Earnings: ABK's earnings are forecast to decline over the next 3 years.

Revenue vs Market: Insufficient data to determine if ABK's revenue is forecast to grow faster than the Polish market.

High Growth Revenue: Insufficient data to determine if ABK's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Abak performed over the past 5 years?

61.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ABK has become profitable over the past 5 years, growing earnings by 61.1% per year.

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

Earnings vs Industry: ABK had negative earnings growth (-40.8%) over the past year, making it difficult to compare to the Professional Services industry average (-28.2%).


Return on Equity

High ROE: ABK's Return on Equity (14.1%) is considered low.


Return on Assets

ROA vs Industry: ABK has a higher Return on Assets than the Professional Services industry average last year.


Return on Capital Employed

ROCE Improving: ABK's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Abak's financial position?


Financial Position Analysis

Short Term Liabilities: ABK's short term assets (PLN4.9M) exceeds its short term liabilities (PLN3.8M)

Long Term Liabilities: ABK's short term assets (4.9M) exceeds its long term liabilities (763.7K)


Debt to Equity History and Analysis

Debt Level: ABK's debt to equity ratio (41.1%) is considered high

Reducing Debt: ABK's debt to equity ratio has reduced from 71.1% to 41.1% over the past 5 years.

Debt Coverage: ABK's debt is well covered by operating cash flow (90.6%).

Interest Coverage: ABK's interest payments on its debt are well covered by EBIT (9.7x coverage).


Balance Sheet

Inventory Level: ABK has a low level of unsold assets or inventory.

Debt Coverage by Assets: ABK's debt is covered by short term assets (assets are 4.153760x debt).


Next Steps

Dividend

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

4.12%

Current Dividend Yield


Dividend Yield vs Market

company4.1%marketbottom25%2.6%markettop25%7.3%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ABK's dividend (4.12%) is higher than the bottom 25% of dividend payers in the Polish market (2.6%).

High Dividend: ABK's dividend (4.12%) is low compared to the top 25% of dividend payers in the Polish market (7.25%).

Stable Dividend: Whilst dividend payments have been stable, ABK has been paying a dividend for less than 10 years.

Growing Dividend: ABK has only been paying a dividend for 2 years, and since then payments have not increased.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.3%), ABK's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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


CEO

Pawel Puterko 0

10.3yrs

Tenure

0

Mr. Paul Puterko has been President of the Management Board at ABAK Spolka Akcyjna. since June 2009. Mr. Puterko served as Vice Chairman of the Supervisory Board at Rank Progress Spólka Akcyjna. He served ...


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Pawel Puterko

    President of Management Board

    • Tenure: 10.3yrs
  • Ewa Stolarczyk

    Member of Management Board

    • Tenure: 0yrs
  • Igor Puterko

    Member of Management Board

    • Tenure: 0yrs

Board Members

  • Krzysztof Olbrycht

    Member of Supervisory Board

    • Tenure: 0yrs
  • Szczepan Czyczerski

    Chairman of Supervisory Board

    • Tenure: 9yrs
  • Slawomir Rudowicz

    Member of Supervisory Board

    • Tenure: 0yrs
  • Wojciech Kaliciak

    Member of Supervisory Board

    • Tenure: 0yrs
  • Malgorzata Puterko

    Member of Supervisory Board

    • Tenure: 0yrs

Company Information

Abak S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Abak S.A.
  • Ticker: ABK
  • Exchange: WSE
  • Founded:
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: zł4.581m
  • Shares outstanding: 2.69m
  • Website: https://www.abak.com.pl

Location

  • Abak S.A.
  • 18/20 Marii Sklodowskiej-Curie St.
  • Office 12
  • Olsztyn
  • 10-109
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ABKWSE (Warsaw Stock Exchange)YesShare CapitalPLPLNOct 2010

Biography

Abak S.A. provides accounting services to individuals and companies in Poland. It offers services in the fields of accounting, payroll taxes, and tax services. The company is based in Olsztyn, Poland. Abak ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 21:17
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.