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EUR

Eurocash WSE:EUR Stock Report

Last Price

zł11.60

Market Cap

zł1.6b

7D

1.0%

1Y

-7.6%

Updated

06 Aug, 2022

Data

Company Financials +
EUR fundamental analysis
Snowflake Score
Valuation5/6
Future Growth3/6
Past Performance0/6
Financial Health2/6
Dividends3/6

EUR Stock Overview

Eurocash S.A. distributes fast moving consumer goods (FMCG) in Poland.

Eurocash Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Eurocash
Historical stock prices
Current Share Pricezł11.60
52 Week Highzł14.65
52 Week Lowzł8.21
Beta0.45
1 Month Change10.69%
3 Month Change0.086%
1 Year Change-7.64%
3 Year Change-38.62%
5 Year Change-66.30%
Change since IPO255.83%

Recent News & Updates

Shareholder Returns

EURPL Consumer RetailingPL Market
7D1.0%1.4%-2.1%
1Y-7.6%17.3%-23.4%

Return vs Industry: EUR underperformed the Polish Consumer Retailing industry which returned 17.3% over the past year.

Return vs Market: EUR exceeded the Polish Market which returned -23.4% over the past year.

Price Volatility

Is EUR's price volatile compared to industry and market?
EUR volatility
EUR Average Weekly Movement5.8%
Consumer Retailing Industry Average Movement5.1%
Market Average Movement6.5%
10% most volatile stocks in PL Market11.9%
10% least volatile stocks in PL Market4.1%

Stable Share Price: EUR is not significantly more volatile than the rest of Polish stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: EUR's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a20,882Pawel Surowkahttps://www.eurocash.pl

Eurocash S.A. distributes fast moving consumer goods (FMCG) in Poland. The company operates through three segments: Wholesale, Retail, and Projects segments. Its FMCG products include food products, soft drinks, alcoholic beverages, tobacco products, and household chemicals and cosmetics.

Eurocash Fundamentals Summary

How do Eurocash's earnings and revenue compare to its market cap?
EUR fundamental statistics
Market Capzł1.61b
Earnings (TTM)-zł94.81m
Revenue (TTM)zł27.00b

0.1x

P/S Ratio

-17.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
EUR income statement (TTM)
Revenuezł27.00b
Cost of Revenuezł23.42b
Gross Profitzł3.58b
Other Expenseszł3.67b
Earnings-zł94.81m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 30, 2022

Earnings per share (EPS)-0.68
Gross Margin13.25%
Net Profit Margin-0.35%
Debt/Equity Ratio148.7%

How did EUR perform over the long term?

See historical performance and comparison

Dividends

4.1%

Current Dividend Yield

-70%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is EUR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for EUR?

Other financial metrics that can be useful for relative valuation.

EUR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.2x
Enterprise Value/EBITDA11.8x
PEG Ration/a

Price to Sales Ratio vs Peers

How does EUR's PS Ratio compare to its peers?

EUR PS Ratio vs Peers
The above table shows the PS ratio for EUR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.8x
DNP Dino Polska
2.5x20.2%zł36.0b
ORG ORGANIC Farma Zdrowia
0.2xn/azł19.2m
3539 JM HoldingsLtd
0.3xn/aJP¥42.4b
NGVC Natural Grocers by Vitamin Cottage
0.3xn/aUS$367.4m
EUR Eurocash
0.06x3.3%zł1.6b

Price-To-Sales vs Peers: EUR is good value based on its Price-To-Sales Ratio (0.1x) compared to the peer average (0.8x).


Price to Earnings Ratio vs Industry

How does EUR's PE Ratio compare vs other companies in the European Consumer Retailing Industry?

Price-To-Sales vs Industry: EUR is good value based on its Price-To-Sales Ratio (0.1x) compared to the Polish Consumer Retailing industry average (0.2x)


Price to Sales Ratio vs Fair Ratio

What is EUR's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

EUR PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.06x
Fair PS Ratio0.1x

Price-To-Sales vs Fair Ratio: EUR is good value based on its Price-To-Sales Ratio (0.1x) compared to the estimated Fair Price-To-Sales Ratio (0.1x).


Share Price vs Fair Value

What is the Fair Price of EUR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: EUR (PLN11.6) is trading below our estimate of fair value (PLN15.87)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Future Growth

How is Eurocash forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


61.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EUR is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.6%).

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

High Growth Earnings: EUR is expected to become profitable in the next 3 years.

Revenue vs Market: EUR's revenue (3.3% per year) is forecast to grow slower than the Polish market (5.6% per year).

High Growth Revenue: EUR's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EUR's Return on Equity is forecast to be low in 3 years time (10.3%).


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Past Performance

How has Eurocash performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-39.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EUR is currently unprofitable.

Growing Profit Margin: EUR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EUR is unprofitable, and losses have increased over the past 5 years at a rate of 39.5% per year.

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

Earnings vs Industry: EUR is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Retailing industry (25.2%).


Return on Equity

High ROE: EUR has a negative Return on Equity (-10.71%), as it is currently unprofitable.


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Financial Health

How is Eurocash's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: EUR's short term assets (PLN3.2B) do not cover its short term liabilities (PLN5.0B).

Long Term Liabilities: EUR's short term assets (PLN3.2B) exceed its long term liabilities (PLN2.7B).


Debt to Equity History and Analysis

Debt Level: EUR's net debt to equity ratio (133.2%) is considered high.

Reducing Debt: EUR's debt to equity ratio has increased from 61.5% to 148.7% over the past 5 years.

Debt Coverage: EUR's debt is well covered by operating cash flow (61.3%).

Interest Coverage: EUR's interest payments on its debt are not well covered by EBIT (1.6x coverage).


Balance Sheet


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Dividend

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

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


4.14%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: EUR's dividend (4.14%) is higher than the bottom 25% of dividend payers in the Polish market (2.74%).

High Dividend: EUR's dividend (4.14%) is low compared to the top 25% of dividend payers in the Polish market (8.59%).


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: EUR is paying a dividend but the company is unprofitable.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (14.3%), EUR's dividend payments are thoroughly covered by cash flows.


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Management

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

0.6yrs

Average management tenure


CEO

Pawel Surowka

0.58

Tenure

Mr. Pawel Surowka, CFA, serves as Chairman of Management Board at Eurocash S.A. since 2022. He serves as Chief Executive Officer of Eurocash S.A. since January 1, 2022. He has been Financial Advisor at Ban...


Leadership Team

Experienced Management: EUR's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: EUR's board of directors are considered experienced (3.3 years average tenure).


Ownership

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


Insider Trading Volume

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


Ownership Breakdown

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


Top Shareholders

Company Information

Eurocash S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: Eurocash S.A.
  • Ticker: EUR
  • Exchange: WSE
  • Founded: NaN
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Implied Market Cap: zł1.614b
  • Shares outstanding: 139.16m
  • Website: https://www.eurocash.pl

Number of Employees


Location

  • Eurocash S.A.
  • Wisniowa 11st
  • Komorniki
  • 62-052
  • Poland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/06 00:00
End of Day Share Price2022/08/05 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.