CTT - Correios De Portugal
Market Cap
€407.1m
Last Updated
2020/02/23 22:14 UTC
Data Sources
Company Financials +
Executive Summary
CTT - Correios De Portugal, S.A., together with its subsidiaries, provides postal and financial services worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with moderate growth potential.
Similar Companies
Share Price & News
How has CTT - Correios De Portugal's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CTT has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-4.2%
CTT
-2.4%
PT Logistics
2.2%
PT Market
1 Year Return
-2.9%
CTT
17.7%
PT Logistics
16.0%
PT Market
Return vs Industry: CTT underperformed the Portuguese Logistics industry which returned 17.7% over the past year.
Return vs Market: CTT underperformed the Portuguese Market which returned 16% over the past year.
Shareholder returns
| CTT | Industry | Market | |
|---|---|---|---|
| 7 Day | -4.2% | -2.4% | 2.2% |
| 30 Day | -13.6% | -2.4% | 5.7% |
| 90 Day | -14.0% | -3.1% | 10.7% |
| 1 Year | 1.7%-2.9% | 21.4%17.7% | 21.3%16.0% |
| 3 Year | -29.9%-45.9% | 23.1%11.6% | 43.1%26.2% |
| 5 Year | -60.6%-72.7% | 38.3%17.9% | 21.4%-52.4% |
Price Volatility Vs. Market
How volatile is CTT - Correios De Portugal's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Can We See Significant Institutional Ownership On The CTT - Correios De Portugal, S.A. (ELI:CTT) Share Register?4 weeks ago | Simply Wall St
At €3.14, Is CTT - Correios De Portugal, S.A. (ELI:CTT) Worth Looking At Closely?1 month ago | Simply Wall St
Should You Be Excited About CTT - Correios De Portugal, S.A.'s (ELI:CTT) 22% Return On Equity?Valuation
Is CTT - Correios De Portugal undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CTT (€2.71) is trading below our estimate of fair value (€6.55)
Significantly Below Fair Value: CTT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CTT is good value based on its PE Ratio (13.1x) compared to the Logistics industry average (15.7x).
PE vs Market: CTT is good value based on its PE Ratio (13.1x) compared to the Portuguese market (15.1x).
Price to Earnings Growth Ratio
PEG Ratio: CTT is good value based on its PEG Ratio (0.8x)
Price to Book Ratio
PB vs Industry: CTT is overvalued based on its PB Ratio (2.8x) compared to the XE Logistics industry average (2.6x).
Next Steps
Future Growth
How is CTT - Correios De Portugal forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
16.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CTT's forecast earnings growth (16.3% per year) is above the savings rate (0.4%).
Earnings vs Market: CTT's earnings (16.3% per year) are forecast to grow faster than the Portuguese market (8% per year).
High Growth Earnings: CTT's earnings are forecast to grow, but not significantly.
Revenue vs Market: CTT's revenue (1.2% per year) is forecast to grow slower than the Portuguese market (4.3% per year).
High Growth Revenue: CTT's revenue (1.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CTT's Return on Equity is forecast to be high in 3 years time (25.5%)
Next Steps
Past Performance
How has CTT - Correios De Portugal performed over the past 5 years?
-29.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CTT has a large one-off loss of €26.4M impacting its September 30 2019 financial results.
Growing Profit Margin: CTT's current net profit margins (4.3%) are higher than last year (2.8%).
Past Earnings Growth Analysis
Earnings Trend: CTT's earnings have declined by -29.7% per year over the past 5 years.
Accelerating Growth: CTT's earnings growth over the past year (61.6%) exceeds its 5-year average (-29.7% per year).
Earnings vs Industry: CTT earnings growth over the past year (61.6%) exceeded the Logistics industry 12.8%.
Return on Equity
High ROE: Whilst CTT's Return on Equity (21.62%) is high, this metric is skewed due to their high level of debt.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is CTT - Correios De Portugal's financial position?
Financial Position Analysis
Short Term Liabilities: CTT's short term assets (€728.4M) do not cover its short term liabilities (€1.7B).
Long Term Liabilities: CTT's short term assets (€728.4M) exceed its long term liabilities (€499.0M).
Debt to Equity History and Analysis
Debt Level: CTT's debt to equity ratio (121.9%) is considered high.
Reducing Debt: CTT's debt to equity ratio has increased from 1.7% to 121.9% over the past 5 years.
Debt Coverage: CTT's debt is well covered by operating cash flow (86.1%).
Interest Coverage: CTT's interest payments on its debt are well covered by EBIT (67.3x coverage).
Balance Sheet
Inventory Level: CTT has a low level of unsold assets or inventory.
Debt Coverage by Assets: CTT's debt is covered by short term assets (assets are 4.2x debt).
Next Steps
Dividend
What is CTT - Correios De Portugal's current dividend yield, its reliability and sustainability?
3.68%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: CTT's dividend (3.68%) is higher than the bottom 25% of dividend payers in the Portuguese market (2.78%).
High Dividend: CTT's dividend (3.68%) is low compared to the top 25% of dividend payers in the Portuguese market (6.57%).
Stability and Growth of Payments
Stable Dividend: CTT has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: CTT has only been paying a dividend for 6 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (48.3%), CTT's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CTT's dividends in 3 years are forecast to be covered by earnings (60.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.2yrs
Average board tenure
CEO
João Afonso Ramalho Sopas Bento (59yo)
€55,250
Compensation
Prof. João Afonso Ramalho Sopas Pereira Bento serves as the Chief Executive Officer of Efacec Capital, S.G.P.S., SA. Prof. Bento served as Head of Companhia de Concessoes Rodoviarias and Head of Elos - Lig ...
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Director & CEO | 0yrs | €55.25k | 0.013% €54.3k | |
| CFO & Executive Director | 2.2yrs | €416.41k | 0.0040% €16.3k | |
| COO, CTO & Executive Director | 2.8yrs | €376.14k | no data | |
| CCO of Corporate & Executive Director | 7.5yrs | €376.20k | 0.029% €116.2k | |
| CCO of Retail & Executive Director | 2.8yrs | €376.16k | 0.0023% €9.5k | |
| Non-Executive Director | 5.2yrs | €46.29k | no data | |
| Non-Executive Chairman & Lead Independent Director | 6.1yrs | €262.50k | no data | |
| Non-Executive Director | 3.5yrs | no data | no data | |
| Non Executive Director | 5.9yrs | €63.75k | no data | |
| Non-Executive Director | 2.8yrs | €76.50k | no data |
3.2yrs
Average Tenure
53yo
Average Age
Experienced Board: CTT's board of directors are considered experienced (3.2 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
CTT - Correios De Portugal, S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: CTT - Correios De Portugal, S.A.
- Ticker: CTT
- Exchange: ENXTLS
- Founded: 1520
- Industry: Air Freight and Logistics
- Sector: Transportation
- Market Cap: €407.100m
- Shares outstanding: 150.00m
- Website: https://www.ctt.pt
Number of Employees
Location
- CTT - Correios De Portugal, S.A.
- Avenida D. João II, no. 13
- Lisbon
- Lisbon
- 1999-001
- Portugal
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CTT | ENXTLS (Euronext Lisbon) | Yes | Ordinary Shares | PT | EUR | Dec 2013 |
| CTTU | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | EUR | Dec 2013 |
| C7T | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Dec 2013 |
| 0QIM | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | EUR | Dec 2013 |
| CTT N | BMV (Bolsa Mexicana de Valores) | Yes | Ordinary Shares | MX | MXN | Dec 2013 |
| CTTO.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Dec 2013 |
| CTTP.Y | OTCPK (Pink Sheets LLC) | ADR | US | USD | Jan 2015 |
Biography
CTT - Correios De Portugal, S.A., together with its subsidiaries, provides postal and financial services worldwide. The company operates through Mail, Express & Parcels, Financial Services, and Banco CTT segments. It offers courier, urgent mail, and merchandise services; banking services; services related with the distribution of advertising mail; and physical and hybrid mail production, as well as electronic document management services. The company also provides transport solutions in the road haulage market; and services related to the information and communication technologies, such as invoice processing and digital receipts. In addition, it enables the payment of various services and utilities through a network of approximately 4,000 agents covering business outlets as stationery stores, tobacco shops, kiosks, and supermarkets. The company operates a retail network of 2,369 contact points with 608 post offices; 1,761 postal agencies; and 1,899 stamp sale points, as well as 175 automatic stamp vending machines and 14 automatic postal product vending machines. It also operates a sorting network of 3 production and logistics centers, 7 logistics and delivery centers, and 1 business mail center; a transport network with 244 vehicles; and 235 postal delivery offices, including 60 delivery support offices, as well as 2 delivery support services. The company was formerly known as Correio Publico. CTT - Correios De Portugal, S.A. was founded in 1520 and is headquartered in Lisbon, Portugal.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 22:14 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.