WSE:ERG

Stock Analysis Report

ERG Spólka Akcyjna

Executive Summary

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

Snowflake

Fundamentals

Excellent balance sheet and fair value.

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


Market Performance


7 Day Return

3.6%

ERG

1.8%

PL Chemicals

1.2%

PL Market


1 Year Return

-37.8%

ERG

-4.7%

PL Chemicals

-3.7%

PL Market

Return vs Industry: ERG underperformed the Polish Chemicals industry which returned -4.7% over the past year.

Return vs Market: ERG underperformed the Polish Market which returned -3.7% over the past year.


Shareholder returns

ERGIndustryMarket
7 Day3.6%1.8%1.2%
30 Day-4.6%-6.2%-2.9%
90 Day-21.2%-20.1%-6.8%
1 Year-37.8%-37.8%-2.6%-4.7%-0.8%-3.7%
3 Year-32.7%-34.0%-37.6%-43.0%11.5%3.5%
5 Year91.3%84.7%-25.2%-33.8%-0.9%-12.9%

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?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: ERG (PLN29) is trading below our estimate of fair value (PLN166.31)

Significantly Undervalued: ERG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ERG is unprofitable, so we can't compare its PE Ratio to the Chemicals industry average.

PE vs Market: ERG is unprofitable, so we can't compare its PE Ratio to the Polish market.


Price to Earnings Growth Ratio

Low 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 is good value based on its PB Ratio (0.6x) compared to the PL Chemicals industry average (0.8x).


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?

24.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ERG is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ERG is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ERG is forecast to remain unprofitable over the next 3 years.

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

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


Next Steps

Past Performance

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

1.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ERG is unprofitable, but has reduced losses over the past 5 years at a rate of 1.8% per year.

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

Earnings vs Industry: ERG is unprofitable, making it difficult to compare its past year earnings growth to the Chemicals industry (-1.9%).


Return on Equity

High ROE: ERG has a negative Return on Equity (-4.9%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ERG is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ERG is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is ERG Spólka Akcyjna's financial position?


Financial Position Analysis

Short Term Liabilities: ERG's short term assets (PLN27.7M) exceeds its short term liabilities (PLN23.6M)

Long Term Liabilities: ERG's short term assets (27.7M) exceeds its long term liabilities (10.3M)


Debt to Equity History and Analysis

Debt Level: ERG's debt to equity ratio (18.3%) is considered satisfactory

Reducing Debt: ERG's debt to equity ratio has reduced from 23% to 18.3% over the past 5 years.

Debt Coverage: ERG's debt is well covered by operating cash flow (148.7%).

Interest Coverage: Insufficient data to determine if ERG's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: ERG's debt is covered by short term assets (assets are 4.319430x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%2.6%markettop25%7.2%industryaverage5.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


CEO

ERG Spólka Akcyjna has no CEO, or we have no data on them.


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

  • Grzegorz Tajak

    President of the Management Board

    • Tenure: 0.3yrs
  • Piotr Szewczyk

    Head of Production-Technology Department

    • Tenure: 0yrs
  • Tomasz Gwizda

    Member of the Board

    • Tenure: 0.8yrs
  • Maria Purgal

    Secretary of the Supervisory Board

    • Tenure: 0yrs

Board Members

  • Anna Koczur-Purgal

    Chairman of the Supervisory Board

    • Tenure: 0yrs
  • Maria Czyzewicz-Tajak

    2nd Vice-Chairman of the Supervisory Board

    • Tenure: 0yrs
  • Beata Kubiak-Kossakowska

    Second Deputy Chairman of the Supervisory Board

    • Tenure: 0yrs
  • Migas Marta

    1st Deputy Chairman of the Supervisory Board

    • Tenure: 0yrs

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: zł22.325m
  • 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 Analysis2019/10/16 20:47
End of Day Share Price2019/10/16 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.