WSE:LTX

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Market Cap

zł446.3m

Last Updated

2021/07/28 21:30 UTC

Data Sources

Company Financials

Executive Summary

Lentex S.A. manufactures and sells flexible PVC floor coverings for residential and commercial areas, and sports facilities in Poland and internationally. More Details


Snowflake Analysis

Flawless balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: LTX is less volatile than 75% of Polish stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: LTX's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

-3.3%

LTX

1.6%

PL Consumer Durables

-0.2%

PL Market


1 Year Return

1.7%

LTX

39.2%

PL Consumer Durables

23.5%

PL Market

Return vs Industry: LTX underperformed the Polish Consumer Durables industry which returned 39.2% over the past year.

Return vs Market: LTX underperformed the Polish Market which returned 23.5% over the past year.


Shareholder returns

LTXIndustryMarket
7 Day-3.3%1.6%-0.2%
30 Day-7.3%-4.4%-2.2%
90 Day-6.0%0.4%6.9%
1 Year4.6%1.7%53.6%39.2%25.9%23.5%
3 Year44.4%28.2%69.6%43.5%11.3%5.2%
5 Year38.6%9.3%91.9%53.1%32.3%19.7%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LTX (PLN10.25) is trading below our estimate of fair value (PLN21.68)

Significantly Below Fair Value: LTX is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: LTX is poor value based on its PE Ratio (10.6x) compared to the Polish Consumer Durables industry average (10x).

PE vs Market: LTX is good value based on its PE Ratio (10.6x) compared to the Polish market (14.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: LTX's PB Ratio (1.5x) is in line with the PL Consumer Durables industry average.


Future Growth

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

-0.9%

Forecasted Consumer Durables industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Lentex has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Lentex performed over the past 5 years?

-18.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LTX has high quality earnings.

Growing Profit Margin: LTX's current net profit margins (10.9%) are higher than last year (7.9%).


Past Earnings Growth Analysis

Earnings Trend: LTX's earnings have declined by 18.7% per year over the past 5 years.

Accelerating Growth: LTX's earnings growth over the past year (65%) exceeds its 5-year average (-18.7% per year).

Earnings vs Industry: LTX earnings growth over the past year (65%) underperformed the Consumer Durables industry 65%.


Return on Equity

High ROE: LTX's Return on Equity (12.4%) is considered low.


Financial Health

How is Lentex's financial position?


Financial Position Analysis

Short Term Liabilities: LTX's short term assets (PLN205.3M) exceed its short term liabilities (PLN96.2M).

Long Term Liabilities: LTX's short term assets (PLN205.3M) exceed its long term liabilities (PLN44.7M).


Debt to Equity History and Analysis

Debt Level: LTX's debt to equity ratio (8.4%) is considered satisfactory.

Reducing Debt: LTX's debt to equity ratio has reduced from 28.5% to 8.4% over the past 5 years.

Debt Coverage: LTX's debt is well covered by operating cash flow (234.1%).

Interest Coverage: LTX earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

2.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: LTX's dividend (2.93%) is higher than the bottom 25% of dividend payers in the Polish market (2.05%).

High Dividend: LTX's dividend (2.93%) is low compared to the top 25% of dividend payers in the Polish market (5.95%).


Stability and Growth of Payments

Stable Dividend: LTX has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: LTX's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31%), LTX'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

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

4.8yrs

Average management tenure


CEO

Wojciech Hoffmann

no data

Tenure

zł810,000

Compensation

Mr. Wojciech Hoffmann has been the President of Management Board at Lentex S.A. (formerly known as Zaklady Lentex Spólka Akcyjna) since April 28, 2011 and serves as its Chief Executive Officer. He serves a...


Leadership Team

Experienced Management: LTX's management team is considered experienced (4.8 years average tenure).


Board Members

Experienced Board: LTX'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: LTX insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Lentex S.A.
  • Ticker: LTX
  • Exchange: WSE
  • Founded: 1911
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: zł446.321m
  • Shares outstanding: 43.97m
  • Website: https://www.lentex.pl

Number of Employees


Location

  • Lentex S.A.
  • ul. PowstancOw Slaskich 54
  • Lubliniec
  • 42-700
  • Poland

Listings


Biography

Lentex S.A. manufactures and sells flexible PVC floor coverings for residential and commercial areas, and sports facilities in Poland and internationally. It also offers nonwovens fabrics, including nonwov...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/07/28 21:30
End of Day Share Price2021/07/28 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.