WSE:WWL

Stock Analysis Report

Executive Summary

Wawel S.A. produces and sells cocoa, chocolate, and confectionary products.

Snowflake

Fundamentals

Flawless balance sheet established dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

WWL

-1.0%

PL Food

1.1%

PL Market


1 Year Return

-19.8%

WWL

-15.4%

PL Food

-3.2%

PL Market

Return vs Industry: WWL underperformed the Polish Food industry which returned -15.4% over the past year.

Return vs Market: WWL underperformed the Polish Market which returned -3.2% over the past year.


Shareholder returns

WWLIndustryMarket
7 Day0%-1.0%1.1%
30 Day-1.5%-3.7%-2.6%
90 Day3.8%-14.9%-7.7%
1 Year-16.5%-19.8%-13.0%-15.4%-0.3%-3.2%
3 Year-18.7%-25.4%-21.4%-27.2%11.6%3.6%
5 Year-19.4%-28.5%33.3%17.0%0.2%-11.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

15.05x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: WWL (PLN658) is trading above our estimate of fair value (PLN600.29)

Significantly Undervalued: WWL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WWL is poor value based on its PE Ratio (15x) compared to the Food industry average (8.4x).

PE vs Market: WWL is poor value based on its PE Ratio (15x) compared to the Polish market (10x).


Price to Earnings Growth Ratio

Low PEG Ratio: WWL is poor value based on its PEG Ratio (5.2x)


Price to Book Ratio

PB vs Industry: WWL is overvalued based on its PB Ratio (1.5x) compared to the PL Food industry average (0.7x).


Next Steps

Future Growth

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

2.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

Earnings vs Market: WWL's earnings (2.9% per year) are forecast to grow slower than the Polish market (10.4% per year).

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

Revenue vs Market: WWL's revenue (1.2% per year) is forecast to grow slower than the Polish market (5.4% per year).

High Growth Revenue: WWL's revenue (1.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: WWL's Return on Equity is forecast to be low in 3 years time (9.7%).


Next Steps

Past Performance

How has Wawel performed over the past 5 years?

-0.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WWL's earnings have declined by -0.7% per year over the past 5 years.

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

Earnings vs Industry: WWL had negative earnings growth (-39.8%) over the past year, making it difficult to compare to the Food industry average (30.1%).


Return on Equity

High ROE: WWL's Return on Equity (10.1%) is considered low.


Return on Assets

ROA vs Industry: WWL has a higher Return on Assets than the Food industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Wawel's financial position?


Financial Position Analysis

Short Term Liabilities: WWL's short term assets (PLN365.1M) exceeds its short term liabilities (PLN102.2M)

Long Term Liabilities: WWL's short term assets (365.1M) exceeds its long term liabilities (19.1M)


Debt to Equity History and Analysis

Debt Level: WWL is debt free.

Reducing Debt: WWL has not had any debt for past 5 years.

Debt Coverage: WWL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: WWL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: WWL's debt is not covered by short term assets (assets are -2626.5x debt).


Next Steps

Dividend

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

3.80%

Current Dividend Yield


Dividend Yield vs Market

company3.8%marketbottom25%2.6%markettop25%7.4%industryaverage4.1%forecastin3Years5.2%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: WWL's dividend (3.8%) is higher than the bottom 25% of dividend payers in the Polish market (2.64%).

High Dividend: WWL's dividend (3.8%) is low compared to the top 25% of dividend payers in the Polish market (7.41%).

Stable Dividend: WWL's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (57.2%), WWL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WWL's dividends in 3 years are forecast to be covered by earnings (78.1% payout ratio).


Next Steps

Management

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


CEO

Dariusz Orlowski 0

0yrs

Tenure

0

Mr. Dariusz Orlowski serves as the President of the Management Board and Member of the Management Board at Wawel Spolka Akcyjna(ZPC Wawel SA). 


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

  • Dariusz Orlowski

    President of the Management Board

    • Tenure: 0yrs
  • Wojciech Winkel

    Production Director & Member of Management Board

    • Tenure: 0yrs
  • Pawel Balaga

    Secretary of Supervisory Board & Member of Supervisory Board

    • Tenure: 0yrs
  • Janusz Serwonski

    Chief Accountant

    • Tenure: 0yrs

Board Members

  • Eugeniusz Malek

    Chairman of Supervisory Board

    • Tenure: 0yrs
  • Nicole Opferkuch

    Member of Supervisory Board

    • Tenure: 0yrs
    • Compensation: zł123.00k
  • Pawel Balaga

    Secretary of Supervisory Board & Member of Supervisory Board

    • Tenure: 0yrs
  • Christoph Kohnlein

    Member of Supervisory Board

    • Tenure: 10.3yrs
  • Pawel Brukszo

    Member of Supervisory Board

    • Tenure: 10.3yrs
  • Laura Weiss

    Member of the Supervisory Board

    • Tenure: 0yrs

Company Information

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


Key Information

  • Name: Wawel S.A.
  • Ticker: WWL
  • Exchange: WSE
  • Founded: 1898
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: zł986.839m
  • Shares outstanding: 1.50m
  • Website: https://www.wawel.com.pl

Number of Employees


Location

  • Wawel S.A.
  • ul. Wladyslawa Warnenczyka 14
  • Kraków
  • 30-520
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WWLWSE (Warsaw Stock Exchange)YesBearer SharesPLPLNApr 1998

Biography

Wawel S.A. produces and sells cocoa, chocolate, and confectionary products. The company offers a range of chocolates, as well as bars, chocos and fruities, fresh and fruity jellies, candies in chocolate, t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:37
End of Day Share Price2019/10/10 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.