WSE:LTX

Stock Analysis Report

Executive Summary

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

Snowflake

Fundamentals

Flawless balance sheet second-rate dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.7%

LTX

1.1%

PL Consumer Durables

1.1%

PL Market


1 Year Return

-2.5%

LTX

-0.9%

PL Consumer Durables

-3.2%

PL Market

Return vs Industry: LTX underperformed the Polish Consumer Durables industry which returned -0.9% over the past year.

Return vs Market: LTX matched the Polish Market which returned -3.2% over the past year.


Shareholder returns

LTXIndustryMarket
7 Day1.7%1.1%1.1%
30 Day1.1%-2.1%-2.6%
90 Day-6.6%-4.4%-7.7%
1 Year-2.5%-2.5%5.2%-0.9%-0.3%-3.2%
3 Year-18.4%-27.5%-6.1%-17.8%11.6%3.6%
5 Year5.6%-15.4%18.9%0.3%0.2%-11.9%

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

Undervalued: LTX (PLN7.08) is trading below our estimate of fair value (PLN20.54)

Significantly Undervalued: 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 (15.2x) compared to the Consumer Durables industry average (9x).

PE vs Market: LTX is poor value based on its PE Ratio (15.2x) compared to the Polish market (10x).


Price to Earnings Growth Ratio

Low 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 is overvalued based on its PB Ratio (1x) compared to the PL Consumer Durables industry average (1x).


Next Steps

Future Growth

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

2.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LTX's forecast earnings growth (2.6% per year) is below the savings rate (2.9%).

Earnings vs Market: LTX's earnings (2.6% per year) are forecast to grow slower than the Polish market (10.4% per year).

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

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

High Growth Revenue: Insufficient data to determine if LTX'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 LTX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Lentex performed over the past 5 years?

-10.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LTX's earnings have declined by -10.2% per year over the past 5 years.

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

Earnings vs Industry: LTX had negative earnings growth (-21.6%) over the past year, making it difficult to compare to the Consumer Durables industry average (2.4%).


Return on Equity

High ROE: LTX's Return on Equity (6.9%) is considered low.


Return on Assets

ROA vs Industry: LTX has a higher Return on Assets than the Consumer Durables industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Lentex's financial position?


Financial Position Analysis

Short Term Liabilities: LTX's short term assets (PLN242.5M) exceeds its short term liabilities (PLN103.7M)

Long Term Liabilities: LTX's short term assets (242.5M) exceeds its long term liabilities (76.9M)


Debt to Equity History and Analysis

Debt Level: LTX's debt to equity ratio (17.3%) is considered satisfactory

Reducing Debt: LTX's debt to equity ratio has reduced from 24.9% to 17.3% over the past 5 years.

Debt Coverage: LTX's debt is well covered by operating cash flow (106.8%).

Interest Coverage: LTX's interest payments on its debt are well covered by EBIT (29.2x coverage).


Balance Sheet

Inventory Level: LTX has a high level of physical assets or inventory.

Debt Coverage by Assets: LTX's debt is covered by short term assets (assets are 3.307200x debt).


Next Steps

Dividend

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

7.77%

Current Dividend Yield


Dividend Yield vs Market

company7.8%marketbottom25%2.6%markettop25%7.4%industryaverage9.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: LTX's dividend (7.77%) is higher than the bottom 25% of dividend payers in the Polish market (2.64%).

High Dividend: LTX's dividend (7.77%) is in the top 25% of dividend payers in the Polish market (7.41%)

Stable Dividend: LTX's dividend payments have been volatile in the past 10 years.

Growing Dividend: LTX's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (118.3%), LTX's dividend payments are not 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 Lentex's salary, the management and board of directors tenure and is there insider trading?

8.3yrs

Average board tenure


CEO

Wojciech Hoffmann 0

0yrs

Tenure

zł1,240,000

Compensation

Mr. Wojciech Hoffmann has been the President of Management Board at Zaklady Lentex Spólka Akcyjna since April 28, 2011 and serves as its Chief Executive Officer. Mr. Hoffmann has been running his own compa ...


Board Age and Tenure

8.3yrs

Average Tenure

Experienced Board: LTX's board of directors are considered experienced (8.3 years average tenure).


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

  • Wojciech Hoffmann

    President of Management Board & MD

    • Tenure: 0yrs
    • Compensation: zł1.24m
  • Barbara Trenda

    Finance & Economics Director and Member of the Management Board

    • Tenure: 5.9yrs
    • Compensation: zł427.00k
  • Adrian Grabowski

    Board Member & Technical Director

    • Tenure: 0yrs
  • Krzysztof Wydmanski

    Secretary of the Supervisory Board

    • Tenure: 0yrs

Board Members

  • Borys Synytsya

    Member of Supervisory Board

    • Tenure: 8.3yrs
    • Compensation: zł64.00k
  • Janusz Malarz

    Chairman of Supervisory Board

    • Tenure: 8.3yrs
    • Compensation: zł112.00k
  • Zbigniew Rogóz

    Vice Chairman of the Supervisory Board

    • Tenure: 0yrs
    • Compensation: zł91.00k
  • Adrian Moska

    Member of Supervisory Board

    • Tenure: 6.9yrs
    • Compensation: zł64.00k
  • Krzysztof Wydmanski

    Secretary of the Supervisory Board

    • Tenure: 0yrs

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: zł328.614m
  • Shares outstanding: 46.41m
  • Website: https://www.lentex.pl

Number of Employees


Location

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

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LTXWSE (Warsaw Stock Exchange)YesCommon Bearer SharesPLPLNMay 1997

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 Analysis2019/10/14 20:33
End of Day Share Price2019/10/14 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.