OM:TFBANK

Stock Analysis Report

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Executive Summary

TF Bank AB (publ) provides consumer banking services in Sweden, Finland, Norway, Denmark, Estonia, Latvia, Lithuania, Poland, Germany, and Austria.


Snowflake Analysis

Exceptional growth potential and good value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: TFBANK's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.1%

TFBANK

3.1%

SE Banks

2.6%

SE Market


1 Year Return

-22.3%

TFBANK

11.8%

SE Banks

18.1%

SE Market

Return vs Industry: TFBANK underperformed the Swedish Banks industry which returned 9.4% over the past year.

Return vs Market: TFBANK underperformed the Swedish Market which returned 16.9% over the past year.


Shareholder returns

TFBANKIndustryMarket
7 Day2.1%3.1%2.6%
30 Day0%7.1%5.1%
90 Day24.9%29.3%20.9%
1 Year-22.3%-22.3%12.4%11.8%20.0%18.1%
3 Year-3.9%-8.7%-15.2%-28.1%32.5%18.5%
5 Yearn/a-31.3%-47.6%45.4%16.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is TF Bank 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: TFBANK (SEK87.4) is trading below our estimate of fair value (SEK191.14)

Significantly Below Fair Value: TFBANK is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: TFBANK is poor value based on its PE Ratio (9.5x) compared to the XE Banks industry average (9.3x).

PE vs Market: TFBANK is good value based on its PE Ratio (9.5x) compared to the Swedish market (22.1x).


Price to Earnings Growth Ratio

PEG Ratio: TFBANK is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: TFBANK is overvalued based on its PB Ratio (1.9x) compared to the SE Banks industry average (1.1x).


Next Steps

Future Growth

How is TF Bank forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

29.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TFBANK's forecast earnings growth (29% per year) is above the savings rate (0.5%).

Earnings vs Market: TFBANK's earnings (29% per year) are forecast to grow faster than the Swedish market (19.8% per year).

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

Revenue vs Market: TFBANK's revenue (23.6% per year) is forecast to grow faster than the Swedish market (6.4% per year).

High Growth Revenue: TFBANK's revenue (23.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TFBANK's Return on Equity is forecast to be high in 3 years time (23.1%)


Next Steps

Past Performance

How has TF Bank performed over the past 5 years?

18.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TFBANK has high quality earnings.

Growing Profit Margin: TFBANK's current net profit margins (34.1%) are lower than last year (39.8%).


Past Earnings Growth Analysis

Earnings Trend: TFBANK's earnings have grown by 18.3% per year over the past 5 years.

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

Earnings vs Industry: TFBANK had negative earnings growth (-6.6%) over the past year, making it difficult to compare to the Banks industry average (-4.9%).


Return on Equity

High ROE: TFBANK's Return on Equity (21.1%) is considered high.


Next Steps

Financial Health

How is TF Bank's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: TFBANK's Assets to Equity ratio (9.4x) is low.

Allowance for Bad Loans: TFBANK has a low allowance for bad loans (95%).

Low Risk Liabilities: 95% of TFBANK's liabilities are made up of primarily low risk sources of funding.

Loan Level: TFBANK has an appropriate level of Loans to Assets ratio (77%).

Low Risk Deposits: TFBANK's Loans to Deposits ratio (90%) is appropriate.

Level of Bad Loans: TFBANK has a high level of bad loans (4.6%).


Next Steps

Dividend

What is TF Bank current dividend yield, its reliability and sustainability?

1.14%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate TFBANK'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 TFBANK's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: TFBANK is not paying a notable dividend for the Swedish market.


Future Payout to Shareholders

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


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Mattias Carlsson (48 yo)

2.75yrs

Tenure

kr4,525,000

Compensation

Mr. Mattias Carlsson has been Director at Monivent AB since May 2019. He has been Chief Executive Officer of TF Bank AB since April 2018 and serves as its President. He served as Acting Chief Executive Off ...


CEO Compensation Analysis

Compensation vs Market: Mattias's total compensation ($USD517.60K) is about average for companies of similar size in the Swedish market ($USD450.29K).

Compensation vs Earnings: Mattias's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Mattias Carlsson
President2.75yrskr4.53m0.72%
SEK 13.5m
Mikael Meomuttel
CFO, Deputy CEO & Head of Investor Relations11.58yrskr4.50mno data
Bjorn Skytt
Chief Information Officer10.58yrsno datano data
Wojciech Drozd
Head of Polandno datano datano data
Espen Johannesen
Head of the Consumer Lending Segment2.67yrsno datano data
Mikael Johansson
Head of the Ecommerce Solutions Segment2.67yrsno datano data
Vilma Sool
Head of Estonia and Regional Manager Balticsno datano datano data
Juho Maanpää
Head of Finlandno datano datano data
Juris Puce
Head of Latviano datano datano data
Lennart Swoboda
Head of Germanyno datano datano data
Sarunas Dmukauskas
Head of Lithuaniano datano datano data
Declan Mac Guinness
2.75yrskr2.32mno data

2.8yrs

Average Tenure

46yo

Average Age

Experienced Management: TFBANK's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mari Thjomoe
Independent Director3.25yrskr650.00kno data
Tone Bjornov
Independent Director4.67yrskr400.00kno data
John Brehmer
Independent Chairman0.25yrkr350.00k2.52%
SEK 47.4m
Bertil Larsson
Independent Director13.58yrskr300.00kno data
Per Weil
Member of Nomination Committee12.58yrsno datano data
Charlotta Bjornberg-Paul
Independent Director3.25yrskr300.00kno data
Sara Mindus
Independent Director0.25yrno datano data

3.3yrs

Average Tenure

55yo

Average Age

Experienced Board: TFBANK's board of directors are considered experienced (3.3 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

TF Bank AB (publ)'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TF Bank AB (publ)
  • Ticker: TFBANK
  • Exchange: OM
  • Founded: 1987
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: kr1.879b
  • Shares outstanding: 21.50m
  • Website: https://www.tfbankgroup.com

Number of Employees


Location

  • TF Bank AB (publ)
  • Lilla Brogatan 6
  • Borås
  • Västra Götaland County
  • 501 10
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TFBANKOM (OMX Nordic Exchange Stockholm)YesOrdinary SharesSESEKJun 2016
0RHMLSE (London Stock Exchange)YesOrdinary SharesGBSEKJun 2016
TFBANSBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBSEKJun 2016

Biography

TF Bank AB (publ) provides consumer banking services in Sweden, Finland, Norway, Denmark, Estonia, Latvia, Lithuania, Poland, Germany, and Austria. The company operates through three segments: Consumer Len ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/11 20:43
End of Day Share Price2020/08/11 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.