OM:ASSA B

Stock Analysis Report

Executive Summary

ASSA ABLOY AB (publ) provides door opening products, solutions, and services for the institutional, commercial, and consumer markets in Europe, the Middle East, Africa, North and South America, Asia, and Oceania.

Snowflake

Fundamentals

Excellent balance sheet with proven track record and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.9%

ASSA B

-0.2%

SE Building

0.7%

SE Market


1 Year Return

26.1%

ASSA B

31.3%

SE Building

17.7%

SE Market

Return vs Industry: ASSA B underperformed the Swedish Building industry which returned 31.3% over the past year.

Return vs Market: ASSA B exceeded the Swedish Market which returned 17.7% over the past year.


Shareholder returns

ASSA BIndustryMarket
7 Day-0.9%-0.2%0.7%
30 Day6.0%7.1%6.1%
90 Day7.3%7.7%14.4%
1 Year28.3%26.1%33.5%31.3%22.8%17.7%
3 Year43.3%36.2%53.1%45.5%39.5%18.1%
5 Year88.0%73.6%101.4%86.5%60.9%26.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

27.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ASSA B (SEK227.3) is trading above our estimate of fair value (SEK156.14)

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


Price To Earnings Ratio

PE vs Industry: ASSA B is poor value based on its PE Ratio (27.7x) compared to the Building industry average (20x).

PE vs Market: ASSA B is poor value based on its PE Ratio (27.7x) compared to the Swedish market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: ASSA B is poor value based on its PEG Ratio (4.1x)


Price to Book Ratio

PB vs Industry: ASSA B is overvalued based on its PB Ratio (4.4x) compared to the SE Building industry average (2.5x).


Next Steps

Future Growth

How is ASSA ABLOY forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ASSA B's forecast earnings growth (6.8% per year) is above the savings rate (0.4%).

Earnings vs Market: ASSA B's earnings (6.8% per year) are forecast to grow slower than the Swedish market (9.4% per year).

High Growth Earnings: ASSA B's earnings are forecast to grow, but not significantly.

Revenue vs Market: ASSA B's revenue (6.4% per year) is forecast to grow faster than the Swedish market (4.3% per year).

High Growth Revenue: ASSA B's revenue (6.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ASSA B's Return on Equity is forecast to be low in 3 years time (17.6%).


Next Steps

Past Performance

How has ASSA ABLOY performed over the past 5 years?

-3.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ASSA B has high quality earnings.

Growing Profit Margin: ASSA B's current net profit margins (9.9%) are higher than last year (4.3%).


Past Earnings Growth Analysis

Earnings Trend: ASSA B's earnings have declined by -3.3% per year over the past 5 years.

Accelerating Growth: ASSA B's earnings growth over the past year (159.3%) exceeds its 5-year average (-3.3% per year).

Earnings vs Industry: ASSA B earnings growth over the past year (159.3%) exceeded the Building industry 30.3%.


Return on Equity

High ROE: ASSA B's Return on Equity (15.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is ASSA ABLOY's financial position?


Financial Position Analysis

Short Term Liabilities: ASSA B's short term assets (SEK33.9B) exceeds its short term liabilities (SEK32.6B)

Long Term Liabilities: ASSA B's short term assets (33.9B) exceeds its long term liabilities (31.7B)


Debt to Equity History and Analysis

Debt Level: ASSA B's debt to equity ratio (51.7%) is considered high

Reducing Debt: ASSA B's debt to equity ratio has reduced from 62.6% to 51.7% over the past 5 years.

Debt Coverage: ASSA B's debt is well covered by operating cash flow (42.4%).

Interest Coverage: ASSA B's interest payments on its debt are well covered by EBIT (14x coverage).


Balance Sheet

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

Debt Coverage by Assets: ASSA B's debt is covered by short term assets (assets are 1.1x debt).


Next Steps

Dividend

What is ASSA ABLOY's current dividend yield, its reliability and sustainability?

1.54%

Current Dividend Yield


Dividend Yield vs Market

company1.5%marketbottom25%1.7%markettop25%4.8%industryaverage1.5%forecastin3Years1.8%

Current dividend yield vs market & industry

Notable Dividend: ASSA B's dividend (1.54%) isn’t notable compared to the bottom 25% of dividend payers in the Swedish market (1.72%).

High Dividend: ASSA B's dividend (1.54%) is low compared to the top 25% of dividend payers in the Swedish market (4.8%).


Stability and Growth of Payments

Stable Dividend: ASSA B's dividends per share have been stable in the past 10 years.

Growing Dividend: ASSA B's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.7%), ASSA B's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ASSA B's dividends in 3 years are forecast to be well covered by earnings (40.3% payout ratio).


Next Steps

Management

What is the CEO of ASSA ABLOY's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Nico Delvaux (53yo)

1.7yrs

Tenure

kr29,133,885

Compensation

Mr. Nico Delvaux has been President, Chief Executive Officer and Head of Global Technologies Division of Assa Abloy AB since March 15, 2018. Mr. Delvaux served as Chief Executive Officer and President at M ...


CEO Compensation Analysis

Compensation vs Market: Nico's total compensation ($USD3.00M) is above average for companies of similar size in the Swedish market ($USD1.89M).

Compensation vs Earnings: Insufficient data to compare Nico's compensation with company performance.


Management Age and Tenure

2.8yrs

Average Tenure

51yo

Average Age

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


Board Age and Tenure

6.2yrs

Average Tenure

59yo

Average Age

Experienced Board: ASSA B's board of directors are considered experienced (6.2 years average tenure).


Insider Trading

Insider Buying: ASSA B insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sellkr3,088,00631 Oct 19
Stefan Widing
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit HID Global
Shares13,342
Max Pricekr231.45
Sellkr2,687,29130 Oct 19
Stefan Widing
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit HID Global
Shares11,775
Max Pricekr228.22
Buykr2,549,97022 May 19
Nico Delvaux
EntityIndividual
Role
Chief Executive Officer
President
Shares13,050
Max Pricekr195.40
Buykr247,37622 May 19
Erik Pieder
EntityIndividual
Role
Chief Financial Officer
Executive VP & CFO
Shares1,266
Max Pricekr195.40
Buykr242,88222 May 19
Neil Vann
EntityIndividual
Shares1,243
Max Pricekr195.40
Buykr350,15722 May 19
Chris Bone
EntityIndividual
Role
Chief Technology Officer
Executive VP & Technical Director
Shares1,792
Max Pricekr195.40
Buykr471,50022 May 19
Christophe Sut
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit of Assa Abloy Global Solutions
Shares2,413
Max Pricekr195.40
Buykr835,92122 May 19
Anders Maltesen
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Asia Pacific Division
Shares4,278
Max Pricekr195.40
Buykr980,51721 May 19
Lucas Boselli
EntityIndividual
Shares5,018
Max Pricekr195.40
Buykr726,10621 May 19
Mogens Jensen
EntityIndividual
Shares3,716
Max Pricekr195.40
Buykr1,029,56321 May 19
Stefan Widing
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit HID Global
Shares5,269
Max Pricekr195.40
Buykr246,59521 May 19
Maria Ewerth
EntityIndividual
Role
Head of Human Resources
Executive VP & Chief Human Resources Officer
Shares1,262
Max Pricekr195.40
Sellkr148,16906 May 19
Neil Vann
EntityIndividual
Shares722
Max Pricekr205.22
Sellkr1,218,36003 May 19
Stefan Widing
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit HID Global
Shares6,000
Max Pricekr203.06
Buykr587,85930 Apr 19
Lucas Boselli
EntityIndividual
Shares2,899
Max Pricekr202.78
Sellkr466,02930 Apr 19
Christophe Sut
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit of Assa Abloy Global Solutions
Shares2,283
Max Pricekr204.13
Buykr1,954,59629 Apr 19
Stefan Widing
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit HID Global
Shares9,639
Max Pricekr202.78
Buykr550,34529 Apr 19
Mogens Jensen
EntityIndividual
Shares2,714
Max Pricekr202.78
Buykr305,18429 Apr 19
Neil Vann
EntityIndividual
Shares1,505
Max Pricekr202.78
Buykr432,73329 Apr 19
Maria Ewerth
EntityIndividual
Role
Head of Human Resources
Executive VP & Chief Human Resources Officer
Shares2,134
Max Pricekr202.78
Buykr292,00329 Apr 19
Christophe Sut
EntityIndividual
Role
Senior Key Executive
Executive VP & Head of Global Technologies Business Unit of Assa Abloy Global Solutions
Shares1,440
Max Pricekr202.78
Buykr385,68827 Apr 19
Chris Bone
EntityIndividual
Role
Chief Technology Officer
Executive VP & Technical Director
Shares1,902
Max Pricekr202.78

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Ann Holmberg

    Head of Corporate Communications

    • Tenure: 17.3yrs
  • Nico Delvaux (53yo)

    President

    • Tenure: 1.7yrs
    • Compensation: kr29.13m
  • Maria Ewerth (41yo)

    Executive VP & Chief Human Resources Officer

    • Tenure: 5.9yrs
  • Anders Maltesen (54yo)

    Executive VP & Head of Asia Pacific Division

    • Tenure: 2.2yrs
  • Monica Nascimento

    Director of Marketing Communications

    • Tenure: 0yrs
  • Björn Tibell

    Head of Investor Relations

    • Tenure: 0yrs
  • Stefan Widing (42yo)

    Executive VP & Head of Global Technologies Business Unit HID Global

    • Tenure: 4.3yrs
  • Christophe Sut (46yo)

    Executive VP & Head of Global Technologies Business Unit of Assa Abloy Global Solutions

    • Tenure: 3.3yrs
  • Chris Bone (54yo)

    Executive VP & Technical Director

    • Tenure: 1.7yrs
  • Erik Pieder (51yo)

    Executive VP & CFO

    • Tenure: 0.8yrs

Board Members

  • Birgitta Klasén (70yo)

    Independent Director

    • Tenure: 11.3yrs
    • Compensation: kr830.00k
  • Mats Persson (64yo)

    Employee Representative Director

    • Tenure: 25.8yrs
  • Carl Douglas (54yo)

    Vice Chairman

    • Tenure: 7.6yrs
    • Compensation: kr900.00k
  • Lars Renström (68yo)

    Chairman

    • Tenure: 7.6yrs
    • Compensation: kr2.25m
  • Jan Svensson (63yo)

    Independent Director

    • Tenure: 7.6yrs
    • Compensation: kr980.00k
  • Sofia Högberg (41yo)

    Independent Director

    • Tenure: 2.6yrs
    • Compensation: kr830.00k
  • Rune Hjälm (55yo)

    Employee Representative Director

    • Tenure: 2.8yrs
  • Bjarne Johansson (53yo)

    Deputy Director

    • Tenure: 4.8yrs
  • Eva Karlsson (53yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: kr630.00k
  • Lena Olving (63yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: kr630.00k

Company Information

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


Key Information

  • Name: ASSA ABLOY AB (publ)
  • Ticker: ASSA B
  • Exchange: OM
  • Founded: 1994
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: kr252.479b
  • Shares outstanding: 1.11b
  • Website: https://www.assaabloy.com

Number of Employees


Location

  • ASSA ABLOY AB (publ)
  • Klarabergsviadukten 90
  • Stockholm
  • Stockholm County
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ASAZ.FOTCPK (Pink Sheets LLC)YesSeries B SharesUSUSDNov 1994
ASSA BOM (OMX Nordic Exchange Stockholm)YesSeries B SharesSESEKNov 1994
ALZCDB (Deutsche Boerse AG)YesSeries B SharesDEEURNov 1994
0R87LSE (London Stock Exchange)YesSeries B SharesGBSEKNov 1994
ASSABSBATS-CHIXE (BATS 'Chi-X Europe')YesSeries B SharesGBSEKNov 1994
0R87 NBMV (Bolsa Mexicana de Valores)YesSeries B SharesMXMXNNov 1994
ASAZ.YOTCPK (Pink Sheets LLC)ADRUSUSDApr 2008

Biography

ASSA ABLOY AB (publ) provides door opening products, solutions, and services for the institutional, commercial, and consumer markets in Europe, the Middle East, Africa, North and South America, Asia, and O ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/12 20:35
End of Day Share Price2019/11/12 00:00
Earnings2019/09/30
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.