MISX:ALRS

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Public Joint Stock Company ALROSA, together with subsidiaries, operates as a diamond mining company. More Details


Snowflake Analysis

Reasonable growth potential with adequate balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: ALRS has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.6%

ALRS

0.7%

RU Metals and Mining

-2.3%

RU Market


1 Year Return

3.3%

ALRS

61.1%

RU Metals and Mining

-9.3%

RU Market

Return vs Industry: ALRS underperformed the Russian Metals and Mining industry which returned 59.6% over the past year.

Return vs Market: ALRS exceeded the Russian Market which returned -8.8% over the past year.


Shareholder returns

ALRSIndustryMarket
7 Day-2.6%0.7%-2.3%
30 Day-0.9%-0.8%-7.5%
90 Day16.4%18.0%-5.4%
1 Year7.6%3.3%67.4%61.1%-3.1%-9.3%
3 Year25.0%-3.3%112.4%72.0%40.0%16.5%
5 Year104.7%39.3%288.0%183.1%97.0%50.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.51x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ALRS (RUB75.79) is trading above our estimate of fair value (RUB58.36)

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


Price To Earnings Ratio

PE vs Industry: ALRS is poor value based on its PE Ratio (19.5x) compared to the RU Metals and Mining industry average (9.9x).

PE vs Market: ALRS is poor value based on its PE Ratio (19.5x) compared to the Russian market (9.9x).


Price to Earnings Growth Ratio

PEG Ratio: ALRS is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: ALRS is overvalued based on its PB Ratio (2.3x) compared to the RU Metals and Mining industry average (0.9x).


Next Steps

Future Growth

How is ALROSA forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

25.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ALRS's forecast earnings growth (25.8% per year) is above the savings rate (8.3%).

Earnings vs Market: ALRS's earnings (25.8% per year) are forecast to grow slower than the Russian market (25.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ALRS's revenue (13% per year) is forecast to grow faster than the Russian market (8.2% per year).

High Growth Revenue: ALRS's revenue (13% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ALRS's Return on Equity is forecast to be high in 3 years time (28.4%)


Next Steps

Past Performance

How has ALROSA performed over the past 5 years?

3.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ALRS has high quality earnings.

Growing Profit Margin: ALRS's current net profit margins (17.3%) are lower than last year (29.6%).


Past Earnings Growth Analysis

Earnings Trend: ALRS's earnings have grown by 3.3% per year over the past 5 years.

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

Earnings vs Industry: ALRS had negative earnings growth (-59.3%) over the past year, making it difficult to compare to the Metals and Mining industry average (-21.8%).


Return on Equity

High ROE: ALRS's Return on Equity (12%) is considered low.


Next Steps

Financial Health

How is ALROSA's financial position?


Financial Position Analysis

Short Term Liabilities: ALRS's short term assets (RUB279.5B) exceed its short term liabilities (RUB121.5B).

Long Term Liabilities: ALRS's short term assets (RUB279.5B) exceed its long term liabilities (RUB171.6B).


Debt to Equity History and Analysis

Debt Level: ALRS's debt to equity ratio (88.5%) is considered high.

Reducing Debt: ALRS's debt to equity ratio has reduced from 108.9% to 88.5% over the past 5 years.

Debt Coverage: ALRS's debt is not well covered by operating cash flow (14.1%).

Interest Coverage: ALRS's interest payments on its debt are well covered by EBIT (12.3x coverage).


Balance Sheet


Next Steps

Dividend

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

6.94%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ALRS's dividend (6.94%) is higher than the bottom 25% of dividend payers in the Russian market (3.88%).

High Dividend: ALRS's dividend (6.94%) is low compared to the top 25% of dividend payers in the Russian market (8.99%).


Stability and Growth of Payments

Stable Dividend: ALRS has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ALRS's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (67.7%), ALRS's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ALRS's dividends in 3 years are not forecast to be well covered by earnings (94.4% payout ratio).


Next Steps

Management

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

3.1yrs

Average management tenure


CEO

Sergey Ivanov (40 yo)

3.58yrs

Tenure

Mr. Sergey Sergeevich Ivanov, Jr., has been the President and Chief Executive Officer of Public Joint Stock Company ALROSA since March 13, 2017 and has been its Chairman of the Executive Committee since Ja ...


Leadership Team

NamePositionTenureCompensationOwnership
Sergey Ivanov
President3.58yrsno datano data
Alexey Filippovsky
CFO, Deputy General Director & Member of the Management Board3.17yrsno datano data
Igor Sobolev
First Deputy General Directorno datano datano data
Sergei Barsukov
Deputy General Director & Member of the Management Board3.08yrsno datano data
Andrey Cherepnov
Chief Engineer & Member of the Management Boardno datano data0.00041%
RUB 2.2m
Evgeny Agureev
Deputy General Directorno datano datano data
Svetlana Linnik
Chief Accountant5.75yrsno datano data
Sergey Takhiev
Head of Corporate Finance2.42yrsno datano data
Vadim Zheltuhin
Chief Financial Officer and Risk Managementno datano data0%
RUB 0
Konstantin Garanin
Chief Geologist4.42yrsno datano data
Alexey Dyachkovsky
Deputy Chief Executive Officer2.75yrsno datano data
Konstantin Mashinsky
Deputy Chief Executive Officer2.75yrsno datano data

3.1yrs

Average Tenure

48yo

Average Age

Experienced Management: ALRS's management team is considered experienced (3.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Sergey Ivanov
President3.58yrsno datano data
Kirill Dmitriev
Non-Executive Member of the Supervisory Board3.33yrs₽6.39mno data
Galina Makarova
Independent Member of the Supervisory Board2yrs₽5.49mno data
Maria Gordon
Senior Independent Member of the Supervisory Board3.08yrs₽8.85mno data
Aysen Nikolaev
First Non-Executive Deputy Chairman of the Supervisory Board0.75yrno datano data
Anton Siluanov
Non-Executive Chairman of the Supervisory Board0.75yrno datano data
Sergey Mestnikov
Non-Executive Member of the Supervisory Board3.33yrs₽8.40mno data
Evgenia Grigorieva
Non-Executive Member of the Supervisory Board5.33yrsno datano data
Natalia Guryeva
Member of the Supervisory Board0.33yrno datano data
Oleg Fedorov
Non-Executive Member of the Supervisory Board7.33yrs₽9.60mno data
Victor Pushmin
Deputy Chairman of the Auditing Committee1.58yrsno datano data
Dmitry Konov
Independent Member of the Supervisory Board3.33yrs₽7.71mno data

2.5yrs

Average Tenure

49.5yo

Average Age

Experienced Board: ALRS's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


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

Public Joint Stock Company ALROSA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Public Joint Stock Company ALROSA
  • Ticker: ALRS
  • Exchange: MISX
  • Founded: 1957
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Market Cap: ₽545.570b
  • Shares outstanding: 7.21b
  • Website: https://www.alrosa.ru

Number of Employees


Location

  • Public Joint Stock Company ALROSA
  • ul. Lenina, 6
  • Mirny
  • Arkhangelskaya obl.
  • 678174
  • Russia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALRSMISX (Micex - Rts)YesOrdinary SharesRURUBOct 2011

Biography

Public Joint Stock Company ALROSA, together with subsidiaries, operates as a diamond mining company. The company operates through Diamonds, Transportation, Social Infrastructure, and Other Activities segme ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/19 22:13
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
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.