OM:ELTEL

Stock Analysis Report

Executive Summary

Eltel AB (publ) provides technical services for the power and communication infrastructure networks in Sweden, Finland, Norway, Poland, Denmark, Germany, and the Baltic countries.

Snowflake

Fundamentals

Adequate balance sheet with moderate growth potential.

Risks

  • Eltel is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.3%

OM:ELTEL

1.0%

SE Construction

2.6%

SE Market


1 Year Return

-11.5%

OM:ELTEL

2.8%

SE Construction

-2.6%

SE Market

ELTEL underperformed the Construction industry which returned 3.9% over the past year.

ELTEL underperformed the Market in Sweden which returned -2.1% over the past year.


Share holder returns

ELTELIndustryMarket
7 Day-2.3%1.0%2.6%
30 Day-7.3%-4.4%-4.7%
90 Day9.3%5.5%0.2%
1 Year-11.5%-11.5%6.4%2.8%1.6%-2.6%
3 Year-58.4%-75.1%11.2%-4.1%25.1%6.3%
5 Yearn/a69.5%28.5%46.5%15.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Eltel undervalued based on future cash flows and its price relative to the stock market?

1.34x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Eltel's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Eltel's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Eltel is loss making, we can't compare its value to the SE Construction industry average.

Eltel is loss making, we can't compare the value of its earnings to the Sweden market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Eltel, we can't assess if its growth is good value.


Price Based on Value of Assets

Eltel is good value based on assets compared to the SE Construction industry average.


Next Steps

Future Growth

How is Eltel expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

109.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Eltel's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Eltel's earnings are expected to grow significantly at over 20% yearly.

Eltel's revenues are expected to decrease over the next 1-3 years, this is below the Sweden market average.

Eltel's earnings growth is expected to exceed the Sweden market average.

Eltel's earnings growth is expected to exceed the low risk savings rate of 0.4%.


Earnings per Share Growth Estimates


Future Return on Equity

Eltel is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Eltel performed over the past 5 years?

-31.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Eltel does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Eltel's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Eltel's 1-year growth to the SE Construction industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Eltel has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Eltel has efficiently used its assets last year compared to the SE Construction industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Eltel improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Eltel's financial position?


Financial Position Analysis

Eltel's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Eltel's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Eltel's level of debt (102.5%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (132.9% vs 102.5% today).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.5x debt.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Whilst loss making Eltel has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making Eltel has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 11.4% per year.


Next Steps

Dividend

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

0.85%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Unable to evaluate Eltel's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Eltel's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Eltel has not reported any payouts.

Unable to verify if Eltel's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Eltel has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Eltel's dividends in 3 years as they are not expected to pay a notable one for Sweden.


Next Steps

Management

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

1.5yrs

Average management tenure


CEO

Casimir Lindholm (48yo)

0.9yrs

Tenure

€674,000

Compensation

Mr. Casimir Lindholm, M.Sc. (Econ.), MBA, has been the CEO and President at Eltel AB (publ) since September 01, 2018. He also served as Acting Managing Director of Country Unit Sweden at Eltel AB (publ) si ...


CEO Compensation Analysis

Casimir's remuneration is higher than average for companies of similar size in Sweden.

Insufficient data for Casimir to compare compensation growth.


Management Age and Tenure

1.5yrs

Average Tenure

54yo

Average Age

The average tenure for the Eltel management team is less than 2 years, this suggests a new team.


Board Age and Tenure

2.2yrs

Average Tenure

56yo

Average Age

The average tenure for the Eltel board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

Buy€708,72130 Nov 18
Håkan Dahlström
EntityIndividual
Role
Member of the Board of Directors
Director
Shares50,500
Max Price€14.18
Buy€289,20020 Nov 18
Håkan Dahlström
EntityIndividual
Role
Member of the Board of Directors
Director
Shares20,000
Max Price€14.46
Buy€70,73107 Nov 18
Mikael Malmgren
EntityIndividual
Shares5,000
Max Price€14.15
Buy€141,49107 Nov 18
Leif Göransson
EntityIndividual
Role
Senior Key Executive
Managing Director of Country Unit Sweden
Shares10,000
Max Price€14.15

Ownership Breakdown


Management Team

  • Gustav Bard (55yo)

    Executive

    • Tenure: 0.0yrs
    • Compensation: €33.33k
  • Thor-Egel Bråthen (54yo)

    Managing Director of Country Unit Norway

    • Tenure: 1.5yrs
  • Casimir Lindholm (48yo)

    President & CEO

    • Tenure: 0.9yrs
    • Compensation: €674.00k
  • Petter Traaholt (56yo)

    Chief Financial Officer

    • Tenure: 2.1yrs
  • Karin Woolford (50yo)

    Director of Human Resources

    • Tenure: 1.6yrs
  • Juha Luusua (54yo)

    Managing Director of Country Unit Finland

    • Tenure: 1.5yrs
  • Henrik Sundell (55yo)

    General Counsel

    • Tenure: 2.8yrs
  • Leif Göransson (52yo)

    Managing Director of Country Unit Sweden

    • Tenure: 0.8yrs
  • Claus Jensen (51yo)

    Managing Director of Country Unit Denmark

    • Tenure: 1.5yrs
  • Elin Otter

    Head of Communications & Investor Relations

    • Tenure: 0.6yrs

Board Members

  • Hans von Uthmann (61yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: €48.00k
  • Ulf Mattsson (55yo)

    Chairman of the Board

    • Tenure: 2.2yrs
    • Compensation: €183.00k
  • Ulf Lundahl (67yo)

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: €48.00k
  • Håkan Dahlström (57yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: €48.00k
  • Joakim Olsson (54yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: €24.00k
  • Mikael Aro (54yo)

    Director

    • Tenure: 0.9yrs
    • Compensation: €8.00k
  • Markku Moilanen (58yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: €40.00k
  • Jonny Andersson (41yo)

    Employee Representative Director

    • Tenure: 4.3yrs
  • Björn Ekblom (43yo)

    Employee Representative Director

    • Tenure: 4.3yrs
  • Gunilla Fransson (59yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: €50.00k

Company Information

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


Key Information

  • Name: Eltel AB (publ)
  • Ticker: ELTEL
  • Exchange: OM
  • Founded:
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: kr3.290b
  • Shares outstanding: 156.65m
  • Website: https://www.eltelgroup.com

Number of Employees


Location

  • Eltel AB (publ)
  • Adolfsbergsvägen 13
  • POB 126 23
  • Bromma
  • Stockholm County
  • 112 92
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ELTELOM (OMX Nordic Exchange Stockholm)YesCommon StockSESEKFeb 2015
ELTELSBATS-CHIXE (BATS 'Chi-X Europe')YesCommon StockGBSEKFeb 2015
E5EDB (Deutsche Boerse AG)YesCommon StockDEEURFeb 2015
0R53LSE (London Stock Exchange)YesCommon StockGBSEKFeb 2015

Biography

Eltel AB (publ) provides technical services for the power and communication infrastructure networks in Sweden, Finland, Norway, Poland, Denmark, Germany, and the Baltic countries. It operates through Power ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 21:57
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
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.