Svenska Handelsbanken AB (publ) provides various banking products and services for private and corporate customers primarily in Sweden, the United Kingdom, Norway, Denmark, Finland, the Netherlands, and internationally. More Details
Undervalued established dividend payer.
Share Price & News
How has Svenska Handelsbanken's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SHB A is less volatile than 75% of Swedish stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: SHB A's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: SHB A underperformed the Swedish Banks industry which returned 26.9% over the past year.
Return vs Market: SHB A underperformed the Swedish Market which returned 44.6% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Svenska Handelsbanken's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 weeks ago | Simply Wall StWhat Type Of Shareholders Own The Most Number of Svenska Handelsbanken AB (publ) (STO:SHB A) Shares?
2 months ago | Simply Wall StHow Much Are Svenska Handelsbanken AB (publ) (STO:SHB A) Insiders Spending On Buying Shares?
3 months ago | Simply Wall StDid Svenska Handelsbanken's (STO:SHB A) Share Price Deserve to Gain 25%?
Is Svenska Handelsbanken undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SHB A (SEK96.22) is trading below our estimate of fair value (SEK153.48)
Significantly Below Fair Value: SHB A is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SHB A is good value based on its PE Ratio (11.3x) compared to the Swedish Banks industry average (11.6x).
PE vs Market: SHB A is good value based on its PE Ratio (11.3x) compared to the Swedish market (23.3x).
Price to Earnings Growth Ratio
PEG Ratio: SHB A is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: SHB A is good value based on its PB Ratio (1.1x) compared to the SE Banks industry average (1.3x).
How is Svenska Handelsbanken forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SHB A's forecast earnings growth (4.6% per year) is above the savings rate (0.3%).
Earnings vs Market: SHB A's earnings (4.6% per year) are forecast to grow faster than the Swedish market (4.3% per year).
High Growth Earnings: SHB A's earnings are forecast to grow, but not significantly.
Revenue vs Market: SHB A's revenue (2.8% per year) is forecast to grow faster than the Swedish market (2.7% per year).
High Growth Revenue: SHB A's revenue (2.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SHB A's Return on Equity is forecast to be low in 3 years time (10.2%).
How has Svenska Handelsbanken performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SHB A has high quality earnings.
Growing Profit Margin: SHB A's current net profit margins (37.1%) are higher than last year (36.6%).
Past Earnings Growth Analysis
Earnings Trend: SHB A's earnings have declined by 0.4% per year over the past 5 years.
Accelerating Growth: SHB A's earnings growth over the past year (6%) exceeds its 5-year average (-0.4% per year).
Earnings vs Industry: SHB A earnings growth over the past year (6%) underperformed the Banks industry 36.6%.
Return on Equity
High ROE: SHB A's Return on Equity (9.4%) is considered low.
How is Svenska Handelsbanken's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: SHB A's Assets to Equity ratio (19.2x) is moderate.
Allowance for Bad Loans: SHB A has a low allowance for bad loans (45%).
Low Risk Liabilities: 57% of SHB A's liabilities are made up of primarily higher risk sources of funding.
Loan Level: SHB A has an appropriate level of Loans to Assets ratio (69%).
Low Risk Deposits: SHB A's Loans to Deposits ratio (167%) is high.
Level of Bad Loans: SHB A has an appropriate level of bad loans (0.3%).
What is Svenska Handelsbanken current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SHB A's dividend (4.26%) is higher than the bottom 25% of dividend payers in the Swedish market (0.95%).
High Dividend: SHB A's dividend (4.26%) is in the top 25% of dividend payers in the Swedish market (3.5%)
Stability and Growth of Payments
Stable Dividend: SHB A's dividend payments have been volatile in the past 10 years.
Growing Dividend: SHB A's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (48.3%), SHB A's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SHB A's dividends in 3 years are forecast to be covered by earnings (74.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Carina Akerstrom (59 yo)
Ms. Carina Akerstrom has been President, Group Chief Executive and Executive Director of Svenska Handelsbanken AB (publ) since March 27, 2019. Ms. Akerstrom served as Deputy Group Chief Executive at Svensk...
CEO Compensation Analysis
Compensation vs Market: Carina's total compensation ($USD1.99M) is about average for companies of similar size in the Swedish market ($USD2.40M).
Compensation vs Earnings: Carina's compensation has been consistent with company performance over the past year.
Experienced Management: SHB A's management team is considered experienced (2.3 years average tenure).
Experienced Board: SHB A's board of directors are considered experienced (5.8 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Svenska Handelsbanken AB (publ)'s company bio, employee growth, exchange listings and data sources
- Name: Svenska Handelsbanken AB (publ)
- Ticker: SHB A
- Exchange: OM
- Founded: 1871
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: kr190.775b
- Shares outstanding: 1.98b
- Website: https://www.handelsbanken.se
Number of Employees
- Svenska Handelsbanken AB (publ)
- Kungsträdgårdsgatan 2
- Stockholm County
- 106 70
Svenska Handelsbanken AB (publ) provides various banking products and services for private and corporate customers primarily in Sweden, the United Kingdom, Norway, Denmark, Finland, the Netherlands, and in...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/24 19:57|
|End of Day Share Price||2021/07/23 00:00|
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.