WSE:ERG

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ERG Spólka Akcyjna

Executive Summary

ERG Spólka Akcyjna produces films, injection products, and tapes in Poland. More Details


Snowflake Analysis

Flawless balance sheet and slightly overvalued.

Share Price & News

How has ERG Spólka Akcyjna's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ERG is not significantly more volatile than the rest of Polish stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: ERG's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

2.0%

ERG

1.9%

PL Chemicals

-0.8%

PL Market


1 Year Return

44.8%

ERG

10.5%

PL Chemicals

2.0%

PL Market

Return vs Industry: ERG exceeded the Polish Chemicals industry which returned 10.5% over the past year.

Return vs Market: ERG exceeded the Polish Market which returned 2% over the past year.


Shareholder returns

ERGIndustryMarket
7 Day2.0%1.9%-0.8%
30 Day8.4%13.2%6.7%
90 Day8.9%17.8%17.1%
1 Year44.8%44.8%12.6%10.5%2.9%2.0%
3 Year-22.5%-22.5%-35.3%-41.4%-13.0%-18.3%
5 Year127.1%119.3%-45.2%-52.2%26.3%12.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is ERG Spólka Akcyjna undervalued compared to its fair value and its price relative to the market?

11.72x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ERG (PLN41.4) is trading above our estimate of fair value (PLN20.24)

Significantly Below Fair Value: ERG is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ERG is good value based on its PE Ratio (11.7x) compared to the PL Chemicals industry average (15.8x).

PE vs Market: ERG is good value based on its PE Ratio (11.7x) compared to the Polish market (13.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ERG's PB Ratio (0.8x) is in line with the PL Chemicals industry average.


Next Steps

Future Growth

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

19.8%

Forecasted Materials 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 ERG Spólka Akcyjna 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.


Next Steps

Past Performance

How has ERG Spólka Akcyjna performed over the past 5 years?

-25.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ERG has high quality earnings.

Growing Profit Margin: ERG became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: ERG's earnings have declined by 25.7% per year over the past 5 years.

Accelerating Growth: ERG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: ERG has become profitable in the last year, making it difficult to compare its past year earnings growth to the Chemicals industry (-1.4%).


Return on Equity

High ROE: ERG's Return on Equity (7.2%) is considered low.


Next Steps

Financial Health

How is ERG Spólka Akcyjna's financial position?


Financial Position Analysis

Short Term Liabilities: ERG's short term assets (PLN27.4M) exceed its short term liabilities (PLN16.6M).

Long Term Liabilities: ERG's short term assets (PLN27.4M) exceed its long term liabilities (PLN10.4M).


Debt to Equity History and Analysis

Debt Level: ERG's debt to equity ratio (7%) is considered satisfactory.

Reducing Debt: ERG's debt to equity ratio has reduced from 8.1% to 7% over the past 5 years.

Debt Coverage: ERG's debt is well covered by operating cash flow (216.2%).

Interest Coverage: ERG's interest payments on its debt are well covered by EBIT (15.5x coverage).


Balance Sheet


Next Steps

Dividend

What is ERG Spólka Akcyjna current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ERG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ERG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ERG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ERG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: ERG is not paying a notable dividend for the Polish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ERG's dividend in 3 years as they are not forecast to pay a notable one for the Polish market.


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Grzegorz Tajak

1.58yrs

Tenure

zł245,000

Compensation

Mr. Grzegorz Tajak serves as the President of the Management Board and Chief Executive Officer at ERG Spólka Akcyjna since June 01, 2019. He served as Secretary of Zaklady Lentex Spólka Akcyjna (formerly L...


Leadership Team

NamePositionTenureCompensationOwnership
Grzegorz Tajak
President of the Management Board & CEO1.58yrszł245.00k10.29%
PLN 3.5m
Tomasz Gwizda
Member of the Management Board2yrszł240.00kno data
Maria Purgal
Secretary of the Supervisory Board2.58yrszł21.00k2.09%
PLN 718.3k
Piotr Szewczyk
Head of Production-Technology Departmentno datano datano data

2.0yrs

Average Tenure

Experienced Management: ERG's management team is considered experienced (2 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

ERG Spólka Akcyjna's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ERG Spólka Akcyjna
  • Ticker: ERG
  • Exchange: WSE
  • Founded: 1896
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: zł34.335m
  • Shares outstanding: 769.84k
  • Website: https://www.erg.com.pl

Location

  • ERG Spólka Akcyjna
  • Chemiczna 6
  • Dabrowa Górnicza
  • 42-520
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ERGWSE (Warsaw Stock Exchange)YesCommon Bearer SharesPLPLNApr 2005

Biography

ERG Spólka Akcyjna produces films, injection products, and tapes in Poland. It offers foil products comprising collective bags for packaging and storing food and sanitary products; bags for packing coal, s...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/21 18:13
End of Day Share Price2021/01/21 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.