Balco Group
Market Cap
kr1.7b
Last Updated
2020/04/02 01:02 UTC
Data Sources
Company Financials +
Executive Summary
Balco Group AB develops, produces, and sells balcony systems to tenant-owner associations, private landlords, and publicly housing and construction companies in Sweden, Norway, Denmark, Germany, Finland, the United Kingdom, the Netherlands, and Switzerland.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet with proven track record.
Share Price & News
How has Balco Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BALCO's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
3.1%
BALCO
-2.0%
SE Building
0.9%
SE Market
1 Year Return
39.8%
BALCO
-7.2%
SE Building
-11.6%
SE Market
Return vs Industry: BALCO exceeded the Swedish Building industry which returned -7.2% over the past year.
Return vs Market: BALCO exceeded the Swedish Market which returned -11.6% over the past year.
Shareholder returns
| BALCO | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.1% | -2.0% | 0.9% |
| 30 Day | -21.4% | -17.8% | -17.1% |
| 90 Day | -17.3% | -20.4% | -22.6% |
| 1 Year | 44.3%39.8% | -5.7%-7.2% | -9.4%-11.6% |
| 3 Year | n/a | 15.2%9.0% | 1.9%-13.0% |
| 5 Year | n/a | 26.9%16.5% | 9.3%-13.6% |
Price Volatility Vs. Market
How volatile is Balco Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
With EPS Growth And More, Balco Group (STO:BALCO) Is Interesting2 weeks ago | Simply Wall St
A Sliding Share Price Has Us Looking At Balco Group AB's (STO:BALCO) P/E Ratio3 weeks ago | Simply Wall St
How Does Balco Group AB (STO:BALCO) Fare As A Dividend Stock?Valuation
Is Balco Group 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: BALCO (SEK79.4) is trading below our estimate of fair value (SEK182.97)
Significantly Below Fair Value: BALCO is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: BALCO is poor value based on its PE Ratio (16.6x) compared to the Building industry average (16.5x).
PE vs Market: BALCO is poor value based on its PE Ratio (16.6x) compared to the Swedish market (14.8x).
Price to Earnings Growth Ratio
PEG Ratio: BALCO is poor value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: BALCO is overvalued based on its PB Ratio (3.3x) compared to the SE Building industry average (2.2x).
Next Steps
Future Growth
How is Balco Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
16.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BALCO's forecast earnings growth (16% per year) is above the savings rate (-0.4%).
Earnings vs Market: BALCO's earnings (16% per year) are forecast to grow faster than the Swedish market (8% per year).
High Growth Earnings: BALCO's earnings are forecast to grow, but not significantly.
Revenue vs Market: BALCO's revenue (10.5% per year) is forecast to grow faster than the Swedish market (4.1% per year).
High Growth Revenue: BALCO's revenue (10.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BALCO's Return on Equity is forecast to be high in 3 years time (21.4%)
Next Steps
Past Performance
How has Balco Group performed over the past 5 years?
55.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BALCO has high quality earnings.
Growing Profit Margin: BALCO's current net profit margins (8.4%) are higher than last year (7.3%).
Past Earnings Growth Analysis
Earnings Trend: BALCO has become profitable over the past 5 years, growing earnings by 55.5% per year.
Accelerating Growth: BALCO's earnings growth over the past year (33.9%) is below its 5-year average (55.5% per year).
Earnings vs Industry: BALCO earnings growth over the past year (33.9%) exceeded the Building industry 11.3%.
Return on Equity
High ROE: BALCO's Return on Equity (20%) is considered low.
Next Steps
Financial Health
How is Balco Group's financial position?
Financial Position Analysis
Short Term Liabilities: BALCO's short term assets (SEK458.8M) exceed its short term liabilities (SEK288.0M).
Long Term Liabilities: BALCO's short term assets (SEK458.8M) exceed its long term liabilities (SEK303.4M).
Debt to Equity History and Analysis
Debt Level: BALCO's debt to equity ratio (43.8%) is considered high.
Reducing Debt: BALCO's debt to equity ratio has reduced from 322.1% to 43.8% over the past 5 years.
Debt Coverage: BALCO's debt is well covered by operating cash flow (43%).
Interest Coverage: BALCO's interest payments on its debt are well covered by EBIT (16.1x coverage).
Balance Sheet
Inventory Level: BALCO has a low level of unsold assets or inventory.
Debt Coverage by Assets: BALCO's debt is covered by short term assets (assets are 2x debt).
Next Steps
Dividend
What is Balco Group's current dividend yield, its reliability and sustainability?
3.15%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: BALCO's dividend (3.15%) is higher than the bottom 25% of dividend payers in the Swedish market (2.05%).
High Dividend: BALCO's dividend (3.15%) is low compared to the top 25% of dividend payers in the Swedish market (6.28%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, BALCO has been paying a dividend for less than 10 years.
Growing Dividend: BALCO's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (52.2%), BALCO's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BALCO's dividends in 3 years are forecast to be covered by earnings (53.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.6yrs
Average management tenure
CEO
Kenneth Lundahl (52yo)
7.25s
Tenure
kr4,482,000
Compensation
Mr. Kenneth Lundahl serves as President and Chief Executive Officer at Balco AB. Mr. Lundahl has been Chief Executive Officer of Balco Group AB (publ) since 2013 and serves as its President. Mr. Lundahl se ...
CEO Compensation Analysis
Compensation vs Market: Kenneth's total compensation ($USD447.53K) is about average for companies of similar size in the Swedish market ($USD533.60K).
Compensation vs Earnings: Kenneth's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President & CEO | 7.25yrs | kr4.48m | 1.57% SEK27.0m | |
| CFO, Head of IR & IT | 1yr | no data | no data | |
| Chief Operating Officer | 0.50yr | no data | no data | |
| Marketing Manager | 6.25yrs | no data | 0.50% SEK8.5m | |
| Head of Sales | 10.25yrs | no data | 0.11% SEK1.9m | |
| Head of Marketing & Export | 0.50yr | no data | 0.12% SEK2.0m | |
| Human Resources Manager | 6.25yrs | no data | 0.092% SEK1.6m | |
| Head of Business Development | 1yr | no data | 1.4% SEK24.0m |
3.6yrs
Average Tenure
50.5yo
Average Age
Experienced Management: BALCO's management team is considered experienced (3.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Director | 4.25yrs | kr329.00k | 0.12% SEK2.0m | |
| Independent Director | 4.25yrs | kr237.00k | 0.21% SEK3.6m | |
| Director | 1.92yrs | kr289.00k | no data | |
| Independent Chairman | 0.92yr | kr322.00k | 0.17% SEK2.9m | |
| Director | 1.92yrs | kr269.00k | 0.046% SEK794.1k | |
| Director | 0.92yr | no data | no data |
1.9yrs
Average Tenure
58yo
Average Age
Experienced Board: BALCO's board of directors are not considered experienced ( 1.9 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: BALCO 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
Balco Group AB's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Balco Group AB
- Ticker: BALCO
- Exchange: OM
- Founded: 1987
- Industry: Building Products
- Sector: Capital Goods
- Market Cap: kr1.717b
- Shares outstanding: 21.62m
- Website: https://www.balcogroup.se
Number of Employees
Location
- Balco Group AB
- Älgvägen 4
- Växjö
- Kronoberg County
- 352 45
- Sweden
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| B9C | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Oct 2017 |
| 0RUW | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | SEK | Oct 2017 |
| BALCO | OM (OMX Nordic Exchange Stockholm) | Yes | Ordinary Shares | SE | SEK | Oct 2017 |
| BALCOS | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | SEK | Oct 2017 |
Biography
Balco Group AB develops, produces, and sells balcony systems to tenant-owner associations, private landlords, and publicly housing and construction companies in Sweden, Norway, Denmark, Germany, Finland, the United Kingdom, the Netherlands, and Switzerland. The company operates in two segments, Renovation and New Build. It offers glazed balconies, including climate walls, access balconies, and etage products; open balconies, such as city, maritime, and prefabricated balconies; and accessories and other products comprising flooring products, screens, glass corners, powered awnings, sunscreens, roller blinds, and window boxes. The company was founded in 1987 and is headquartered in Växjö, Sweden.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/02 01:02 |
| End of Day Share Price | 2020/04/01 00:00 |
| Earnings | 2019/12/31 |
| 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.