Bergman & Beving (OM:BERG B) - Share price, News & Analysis

BERG B fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	2/6
Past Performance	4/6
Financial Health	4/6
Dividends	4/6

BERG B Stock Overview

Bergman & Beving AB (publ) acquires, designs, develops, and provides products and brands for the manufacturing and construction sectors in Sweden, Norway, Finland, and internationally.

Rewards

Trading at 48.3% below our estimate of its fair value

Earnings are forecast to grow 12.01% per year

Earnings have grown 0.3% per year over the past 5 years

Risk Analysis

Has a high level of debt

Unstable dividend track record

Bergman & Beving Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Bergman & Beving
Historical stock prices
Current Share Price	kr107.00
52 Week High	kr183.40
52 Week Low	kr105.00
Beta	1.21
1 Month Change	-12.58%
3 Month Change	-23.68%
1 Year Change	-15.08%
3 Year Change	6.15%
5 Year Change	-13.88%
Change since IPO	291.46%

Shareholder Returns

	BERG B	SE Trade Distributors	SE Market
7D	-5.3%	-4.1%	-1.3%
1Y	-15.1%	-9.7%	-23.6%

Return vs Industry: BERG B underperformed the Swedish Trade Distributors industry which returned -9.7% over the past year.

Return vs Market: BERG B exceeded the Swedish Market which returned -23.6% over the past year.

Price Volatility

Is BERG B's price volatile compared to industry and market?
BERG B volatility
BERG B Average Weekly Movement	5.6%
Trade Distributors Industry Average Movement	7.4%
Market Average Movement	7.4%
10% most volatile stocks in SE Market	12.2%
10% least volatile stocks in SE Market	4.7%

Stable Share Price: BERG B is less volatile than 75% of Swedish stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: BERG B's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1906	1,227	Magnus Söderlind	https://www.bergmanbeving.com

Bergman & Beving AB (publ) acquires, designs, develops, and provides products and brands for the manufacturing and construction sectors in Sweden, Norway, Finland, and internationally. The company operates through three divisions: Building Materials, Workplace Safety, and Tools & Consumables. The Building Materials division develops and markets a range of products and solutions for fastening elements, fire protection, and tilers and bricklaying applications under the ESSVE, H&H, KGC, BVS, and Fireseal brands.

Bergman & Beving Fundamentals Summary

How do Bergman & Beving's earnings and revenue compare to its market cap?
BERG B fundamental statistics
Market Cap	kr2.84b
Earnings (TTM)	kr200.00m
Revenue (TTM)	kr4.58b

14.2x

P/E Ratio

0.6x

P/S Ratio

Is BERG B overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
BERG B income statement (TTM)
Revenue	kr4.58b
Cost of Revenue	kr2.63b
Gross Profit	kr1.96b
Other Expenses	kr1.76b
Earnings	kr200.00m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 13, 2022

Earnings per share (EPS)	7.54
Gross Margin	42.69%
Net Profit Margin	4.37%
Debt/Equity Ratio	55.4%

How did BERG B perform over the long term?

See historical performance and comparison

Dividends

3.2%

Current Dividend Yield

45%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is BERG B undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for BERG B?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for BERG B. This is calculated by dividing BERG B's market cap by their current preferred multiple.
What is BERG B's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	kr2.84b

BERG B key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.9x
Enterprise Value/EBITDA	11x
PEG Ratio	1.2x

Price to Earnings Ratio vs Peers

How does BERG B's PE Ratio compare to its peers?

BERG B PE Ratio vs Peers

The above table shows the PE ratio for BERG B vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	16.2x

Forward PE

Price-To-Earnings vs Peers: BERG B is good value based on its Price-To-Earnings Ratio (14.2x) compared to the peer average (16.2x).

Price to Earnings Ratio vs Industry

How does BERG B's PE Ratio compare vs other companies in the Trade Distributors Industry?

Price-To-Earnings vs Industry: BERG B is good value based on its Price-To-Earnings Ratio (14.2x) compared to the Swedish Trade Distributors industry average (17.9x)

Price to Earnings Ratio vs Fair Ratio

What is BERG B's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

BERG B PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	14.2x
Fair PE Ratio	17.7x

Price-To-Earnings vs Fair Ratio: BERG B is good value based on its Price-To-Earnings Ratio (14.2x) compared to the estimated Fair Price-To-Earnings Ratio (17.7x).

Share Price vs Fair Value

What is the Fair Price of BERG B when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: BERG B (SEK107) is trading below our estimate of fair value (SEK206.82)

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

Price to Earnings Growth Ratio

PEG Ratio: BERG B is poor value based on its PEG Ratio (1.2x)

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Future Growth

How is Bergman & Beving forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

12.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: BERG B's forecast earnings growth (12% per year) is above the savings rate (0.3%).

Earnings vs Market: BERG B's earnings (12% per year) are forecast to grow faster than the Swedish market (9.8% per year).

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

Revenue vs Market: BERG B's revenue (4.5% per year) is forecast to grow slower than the Swedish market (5.6% per year).

High Growth Revenue: BERG B's revenue (4.5% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: BERG B's Return on Equity is forecast to be low in 3 years time (12.5%).

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Past Performance

How has Bergman & Beving performed over the past 5 years?

Past Performance Score

4/6

Past Performance Score 4/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

0.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BERG B has high quality earnings.

Growing Profit Margin: BERG B's current net profit margins (4.4%) are higher than last year (3.8%).

Past Earnings Growth Analysis

Earnings Trend: BERG B's earnings have grown by 0.3% per year over the past 5 years.

Accelerating Growth: BERG B's earnings growth over the past year (22%) exceeds its 5-year average (0.3% per year).

Earnings vs Industry: BERG B earnings growth over the past year (22%) underperformed the Trade Distributors industry 41.7%.

Return on Equity

High ROE: BERG B's Return on Equity (10.5%) is considered low.

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Financial Health

How is Bergman & Beving's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: BERG B's short term assets (SEK2.6B) exceed its short term liabilities (SEK1.6B).

Long Term Liabilities: BERG B's short term assets (SEK2.6B) exceed its long term liabilities (SEK1.8B).

Debt to Equity History and Analysis

Debt Level: BERG B's net debt to equity ratio (46%) is considered high.

Reducing Debt: BERG B's debt to equity ratio has increased from 11.9% to 55.4% over the past 5 years.

Debt Coverage: BERG B's debt is well covered by operating cash flow (21%).

Interest Coverage: BERG B's interest payments on its debt are well covered by EBIT (7.5x coverage).

Balance Sheet

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Dividend

What is Bergman & Beving current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

3.18%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BERG B's dividend (3.18%) is higher than the bottom 25% of dividend payers in the Swedish market (1.67%).

High Dividend: BERG B's dividend (3.18%) is low compared to the top 25% of dividend payers in the Swedish market (5.41%).

Stability and Growth of Payments

Stable Dividend: BERG B's dividend payments have been volatile in the past 10 years.

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

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (45.1%), BERG B's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (51.8%), BERG B's dividend payments are covered by cash flows.

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Management

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

6.2yrs

Average management tenure

CEO

Magnus Söderlind (55 yo)

1.08yrs

Tenure

Mr. Magnus Söderlind serves as the President of Protect Data Sweden. He has been the President and Chief Executive Officer of Bergman & Beving AB (publ) since May 01, 2021. Mr. Söderlind served as an Execu...

Leadership Team

Experienced Management: BERG B's management team is seasoned and experienced (6.2 years average tenure).

Board Members

Experienced Board: BERG B's board of directors are considered experienced (5 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: BERG B 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/23 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31