Atlas Copco
Market Cap
kr476.1b
Last Updated
2020/07/13 05:09 UTC
Data Sources
Company Financials +
Executive Summary
Atlas Copco AB, together with its subsidiaries, provides productivity solutions.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet established dividend payer.
Similar Companies
Share Price & News
How has Atlas Copco's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ATCO A has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.3%
ATCO A
2.2%
SE Machinery
1.1%
SE Market
1 Year Return
42.9%
ATCO A
20.2%
SE Machinery
7.0%
SE Market
Return vs Industry: ATCO A exceeded the Swedish Machinery industry which returned 20.2% over the past year.
Return vs Market: ATCO A exceeded the Swedish Market which returned 7% over the past year.
Shareholder returns
| ATCO A | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.3% | 2.2% | 1.1% |
| 30 Day | 9.7% | 10.5% | 7.2% |
| 90 Day | 18.9% | 22.4% | 17.6% |
| 1 Year | 45.6%42.9% | 21.3%20.2% | 8.7%7.0% |
| 3 Year | 87.0%31.1% | 31.1%11.6% | 19.8%7.0% |
| 5 Year | 143.2%62.2% | 89.1%52.1% | 35.8%8.9% |
Price Volatility Vs. Market
How volatile is Atlas Copco's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Three Things You Should Check Before Buying Atlas Copco AB (STO:ATCO A) For Its Dividend3 weeks ago | Simply Wall St
Why We Like Atlas Copco AB’s (STO:ATCO A) 26% Return On Capital Employed3 months ago | Simply Wall St
Could The Atlas Copco AB (STO:ATCO A) Ownership Structure Tell Us Something Useful?Valuation
Is Atlas Copco undervalued compared to its fair value and its price relative to the market?
29.75x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ATCO A (SEK407.8) is trading above our estimate of fair value (SEK258.64)
Significantly Below Fair Value: ATCO A is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ATCO A is poor value based on its PE Ratio (29.8x) compared to the SE Machinery industry average (18.1x).
PE vs Market: ATCO A is poor value based on its PE Ratio (29.8x) compared to the Swedish market (19.8x).
Price to Earnings Growth Ratio
PEG Ratio: ATCO A is poor value based on its PEG Ratio (2.4x)
Price to Book Ratio
PB vs Industry: ATCO A is overvalued based on its PB Ratio (8.4x) compared to the SE Machinery industry average (2.8x).
Next Steps
Future Growth
How is Atlas Copco forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?
12.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ATCO A's forecast earnings growth (12.4% per year) is above the savings rate (0.5%).
Earnings vs Market: ATCO A's earnings (12.4% per year) are forecast to grow slower than the Swedish market (17.3% per year).
High Growth Earnings: ATCO A's earnings are forecast to grow, but not significantly.
Revenue vs Market: ATCO A's revenue (5.4% per year) is forecast to grow slower than the Swedish market (6.2% per year).
High Growth Revenue: ATCO A's revenue (5.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ATCO A's Return on Equity is forecast to be high in 3 years time (26.9%)
Next Steps
Past Performance
How has Atlas Copco performed over the past 5 years?
7.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ATCO A has high quality earnings.
Growing Profit Margin: ATCO A's current net profit margins (15.9%) are lower than last year (16.8%).
Past Earnings Growth Analysis
Earnings Trend: ATCO A's earnings have grown by 7.5% per year over the past 5 years.
Accelerating Growth: ATCO A's earnings growth over the past year (1.4%) is below its 5-year average (7.5% per year).
Earnings vs Industry: ATCO A earnings growth over the past year (1.4%) exceeded the Machinery industry -7.2%.
Return on Equity
High ROE: ATCO A's Return on Equity (28.4%) is considered high.
Next Steps
Financial Health
How is Atlas Copco's financial position?
Financial Position Analysis
Short Term Liabilities: ATCO A's short term assets (SEK57.9B) exceed its short term liabilities (SEK34.1B).
Long Term Liabilities: ATCO A's short term assets (SEK57.9B) exceed its long term liabilities (SEK27.1B).
Debt to Equity History and Analysis
Debt Level: ATCO A's debt to equity ratio (33.3%) is considered satisfactory.
Reducing Debt: ATCO A's debt to equity ratio has reduced from 43% to 33.3% over the past 5 years.
Debt Coverage: ATCO A's debt is well covered by operating cash flow (91%).
Interest Coverage: ATCO A's interest payments on its debt are well covered by EBIT (87.9x coverage).
Balance Sheet
Next Steps
Dividend
What is Atlas Copco current dividend yield, its reliability and sustainability?
1.72%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ATCO A's dividend (1.72%) is higher than the bottom 25% of dividend payers in the Swedish market (1.55%).
High Dividend: ATCO A's dividend (1.72%) is low compared to the top 25% of dividend payers in the Swedish market (5.07%).
Stability and Growth of Payments
Stable Dividend: ATCO A's dividends per share have been stable in the past 10 years.
Growing Dividend: ATCO A's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (51.1%), ATCO A's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ATCO A's dividends in 3 years are forecast to be covered by earnings (50.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.7yrs
Average management tenure
CEO
Mats Rahmström (55yo)
3.25yrs
Tenure
kr50,131,000
Compensation
Mr. Mats Rahmström has been the Chief Executive Officer and President of Atlas Copco AB since April 27, 2017. Mr. Rahmström served as Senior Executive Vice President and Business Area President for Industr ...
CEO Compensation Analysis
Compensation vs Market: Mats's total compensation ($USD5.46M) is above average for companies of similar size in the Swedish market ($USD2.65M).
Compensation vs Earnings: Mats's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 3.25yrs | kr50.13m | 0.0018% SEK8.4m | |
| President of Industrial Air | no data | no data | no data | |
| CFO and Senior VP of Controlling & Finance | 21.5yrs | no data | 0.0037% SEK17.9m | |
| Chief Information officer & VP | 15.92yrs | no data | no data | |
| Vice President of Investor Relations | no data | no data | no data | |
| Senior VP | 8.5yrs | no data | 0.00079% SEK3.8m | |
| Senior Vice President of Corporate Communications & Governmental Affairs | 2.17yrs | no data | 0.00011% SEK523.7k | |
| Senior Vice President of Human Resources | 3.5yrs | no data | 0.00022% SEK1.0m | |
| Senior EVP & Business Area President of Vacuum Technique | 3.5yrs | no data | 0.00095% SEK4.5m | |
| Chairman of the Atlas Copco Compressors Customer Center & President of Specialty Rental | no data | no data | no data | |
| Senior EVP & Business Area President of Power Technique | 5.83yrs | no data | 0.00033% SEK1.6m | |
| President of MVI Tools and Assembly Systems | no data | no data | no data |
4.7yrs
Average Tenure
59yo
Average Age
Experienced Management: ATCO A's management team is considered experienced (4.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 3.25yrs | kr50.13m | 0.0018% SEK8.4m | |
| Independent Chairman of the Board | 6.25yrs | kr2.72m | 0.0027% SEK13.0m | |
| Independent Director | 12.25yrs | kr933.00k | 0.00091% SEK4.3m | |
| Employee Representative Director | 16.5yrs | no data | no data | |
| Independent Director | 17.5yrs | kr1.14m | 0.0041% SEK19.6m | |
| Independent Director | 0.25yr | no data | no data | |
| Independent Director | 8.25yrs | kr823.00k | 0.014% SEK65.4m | |
| Independent Director | 0.25yr | no data | no data | |
| Independent Director | 3.25yrs | kr735.00k | no data | |
| Employee Representative Director | 2.5yrs | no data | no data | |
| Deputy Employee Representative Director | 2.5yrs | no data | no data |
3.3yrs
Average Tenure
61yo
Average Age
Experienced Board: ATCO A'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: ATCO A insiders have sold more shares than they have bought 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
Atlas Copco AB's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Atlas Copco AB
- Ticker: ATCO A
- Exchange: OM
- Founded: 1873
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: kr476.133b
- Shares outstanding: 1.21b
- Website: https://www.atlascopcogroup.com/en
Number of Employees
Location
- Atlas Copco AB
- Sickla Industriväg 19
- Nacka
- Stockholm County
- Sweden
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ATLK.F | OTCPK (Pink Sheets LLC) | Yes | Series A Shares | US | USD | Jan 1980 |
| ATCO A | OM (OMX Nordic Exchange Stockholm) | Yes | Series A Shares | SE | SEK | Jan 1980 |
| ACO2 | DB (Deutsche Boerse AG) | Yes | Series A Shares | DE | EUR | Jan 1980 |
| 0XXT | LSE (London Stock Exchange) | Yes | Series A Shares | GB | SEK | Jan 1980 |
| ATCOAS | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Series A Shares | GB | SEK | Jan 1980 |
| ACOF N | BMV (Bolsa Mexicana de Valores) | Yes | Series A Shares | MX | MXN | Jan 1980 |
| ATCOAS | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Series A Shares | GB | SEK | Jan 1980 |
| 0XXV | LSE (London Stock Exchange) | Series B Shares | GB | SEK | Feb 1992 | |
| ATCO B | OM (OMX Nordic Exchange Stockholm) | Series B Shares | SE | SEK | Feb 1992 | |
| ATTL.F | OTCPK (Pink Sheets LLC) | Series B Shares | US | USD | Feb 1992 | |
| ACO1 | DB (Deutsche Boerse AG) | Series B Shares | DE | EUR | Feb 1992 | |
| ATCOBS | BATS-CHIXE (BATS 'Chi-X Europe') | Series B Shares | GB | SEK | Feb 1992 | |
| ACO1 | BST (Boerse-Stuttgart) | Series B Shares | DE | EUR | Feb 1992 | |
| ATCOBS | BATS-CHIXE (BATS 'Chi-X Europe') | Series B Shares | GB | SEK | Feb 1992 | |
| ATLK.Y | OTCPK (Pink Sheets LLC) | SP ADR A NEW | US | USD | Jun 1992 | |
| ATLC.Y | OTCPK (Pink Sheets LLC) | SP ADR B NEW | US | USD | Jun 2003 | |
| ATCO B | OM (OMX Nordic Exchange Stockholm) | SER'B'NPV (POST SPLIT) | SE | SEK | May 2015 |
Biography
Atlas Copco AB, together with its subsidiaries, provides productivity solutions. The company operates through Compressor Technique, Vacuum Technique, Industrial Technique, and Power Technique segments. It offers piston compressors, oil-free tooth and scroll compressors, rotary screw compressors, oil-free blowers, oil-free centrifugal compressors, gas and process compressors, air and gas treatment equipment, and medical air solutions primarily for use in the manufacturing and process industries. The company also provides oil-sealed rotary vane, dry, and liquid ring vacuum pumps; and turbomolecular and cryogenic pumps, as well as abatement and integrated systems for the semiconductor and scientific, chemical process, food packaging, and paper handling industries. In addition, it offers pneumatic, hydraulic, and electric assembly tools, as well as control systems and associated software for safety-critical tightening; self-pierce rivets, adhesives, and flow drill fasteners for the motor vehicle industry; self-pierce riveting tools, dispensing equipment for adhesives and sealants, and flow drill fastening equipment; and material removal tools, drills, and other pneumatic products. Further, the company provides portable compressors, boosters, generators, lighting towers, pumps, and construction and demolition tools for civil engineering, construction, and demolition applications, as well as specialty rental services. It operates in North America, South America, Europe, Africa, the Middle East, Asia, and Oceania. The company was founded in 1873 and is headquartered in Nacka, Sweden.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/07/13 05:09 |
| End of Day Share Price | 2020/07/10 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2019/12/31 |
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.