OM:IVSO

Stock Analysis Report

INVISIO Communications

Executive Summary

INVISIO Communications AB (publ) develops and sells personal communication and hearing protection systems for professionals in the defense and security sectors in Sweden, rest of Europe, North America, and internationally.


Snowflake Analysis

Flawless balance sheet with solid track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: IVSO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

18.3%

IVSO

0.5%

SE Aerospace & Defense

4.5%

SE Market


1 Year Return

57.5%

IVSO

-33.6%

SE Aerospace & Defense

-10.2%

SE Market

Return vs Industry: IVSO exceeded the Swedish Aerospace & Defense industry which returned -33.6% over the past year.

Return vs Market: IVSO exceeded the Swedish Market which returned -10.2% over the past year.


Shareholder returns

IVSOIndustryMarket
7 Day18.3%0.5%4.5%
30 Day-19.4%-31.9%-20.5%
90 Day4.0%-39.4%-23.7%
1 Year59.1%57.5%-32.6%-33.6%-7.7%-10.2%
3 Year57.3%53.2%-41.7%-48.5%-0.6%-15.4%
5 Year669.2%649.1%17.0%3.3%8.0%-14.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is INVISIO Communications undervalued compared to its fair value and its price relative to the market?

43.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IVSO (SEK103) is trading below our estimate of fair value (SEK182.64)

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


Price To Earnings Ratio

PE vs Industry: IVSO is poor value based on its PE Ratio (44.7x) compared to the Aerospace & Defense industry average (21.2x).

PE vs Market: IVSO is poor value based on its PE Ratio (44.7x) compared to the Swedish market (14.1x).


Price to Earnings Growth Ratio

PEG Ratio: IVSO is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: IVSO is overvalued based on its PB Ratio (12.4x) compared to the SE Aerospace & Defense industry average (1.2x).


Next Steps

Future Growth

How is INVISIO Communications forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

24.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IVSO's forecast earnings growth (24.8% per year) is above the savings rate (-0.4%).

Earnings vs Market: IVSO's earnings (24.8% per year) are forecast to grow faster than the Swedish market (7.8% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: IVSO's revenue (19.3% per year) is forecast to grow faster than the Swedish market (4.1% per year).

High Growth Revenue: IVSO's revenue (19.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IVSO's Return on Equity is forecast to be high in 3 years time (33.4%)


Next Steps

Past Performance

How has INVISIO Communications performed over the past 5 years?

-0.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IVSO has high quality earnings.

Growing Profit Margin: IVSO's current net profit margins (19.8%) are higher than last year (13.6%).


Past Earnings Growth Analysis

Earnings Trend: IVSO's earnings have declined by -0.4% per year over the past 5 years.

Accelerating Growth: IVSO's earnings growth over the past year (110.8%) exceeds its 5-year average (-0.4% per year).

Earnings vs Industry: IVSO earnings growth over the past year (110.8%) exceeded the Aerospace & Defense industry 9.5%.


Return on Equity

High ROE: IVSO's Return on Equity (27.8%) is considered high.


Next Steps

Financial Health

How is INVISIO Communications's financial position?


Financial Position Analysis

Short Term Liabilities: IVSO's short term assets (SEK361.7M) exceed its short term liabilities (SEK81.3M).

Long Term Liabilities: IVSO's short term assets (SEK361.7M) exceed its long term liabilities (SEK32.4M).


Debt to Equity History and Analysis

Debt Level: IVSO is debt free.

Reducing Debt: IVSO has no debt compared to 5 years ago when its debt to equity ratio was 44.1%.

Debt Coverage: IVSO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: IVSO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if IVSO's debt is covered by short term assets.


Next Steps

Dividend

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

0.83%

Current Dividend Yield


Upcoming Dividend Payment

TodayMar 29 2020Ex Dividend DateMay 06 2020Dividend Pay DateMay 12 20206 days from Ex DividendBuy in the next 38 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: IVSO's dividend (0.83%) isn’t notable compared to the bottom 25% of dividend payers in the Swedish market (2.12%).

High Dividend: IVSO's dividend (0.83%) is low compared to the top 25% of dividend payers in the Swedish market (6.54%).


Stability and Growth of Payments

Stable Dividend: IVSO is not paying a notable dividend for the Swedish market, therefore no need to check if payments are stable.

Growing Dividend: IVSO is not paying a notable dividend for the Swedish market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: IVSO is not paying a notable dividend for the Swedish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IVSO's dividend in 3 years as they are not forecast to pay a notable one for the Swedish market.


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Lars Hansen (56yo)

12.67s

Tenure

kr3,500,000

Compensation

Mr. Lars Højgård Hansen has been the Chief Executive Officer of INVISIO Communications AB (formerly Invisio Headsets AB) since July 2007 and serves as its President since 2007. Mr. Hojgard served as Head o ...


CEO Compensation Analysis

Compensation vs Market: Lars's total compensation ($USD352.10K) is below average for companies of similar size in the Swedish market ($USD662.04K).

Compensation vs Earnings: Lars's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Lars Hansen
President & CEO12.67yrskr3.50m1.19% SEK54.2m
Thomas Larsson
Chief Financial Officer7.92yrsno data0.55% SEK24.8m
Jan Larsen
Senior Vice President of R&D3.25yrsno data0.13% SEK5.8m
Joakim Birgersson
Senior Vice President of Operations1.5yrsno data0.020% SEK927.1k
Tina Lawesson
Vice President of Marketing & Communicationsno datano datano data
Carsten Aagesen
Senior Vice President of Global Sales & Marketing11.83yrsno data0.0069% SEK314.8k
Sigge Frolov
Senior Vice President of Product Management & Marketing2.17yrsno data0.0068% SEK308.9k
Ray Clarke
Senior Vice President of Sales - North America1.17yrsno datano data

3.3yrs

Average Tenure

56yo

Average Age

Experienced Management: IVSO's management team is considered experienced (3.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Lage Jonason
Director7.83yrskr200.00k0.36% SEK16.1m
Ulrika Hagdahl
Independent Director1.92yrskr100.00kno data
Charlott Samuelsson
Director0.83yrno datano data
Annika Andersson
Independent Chairman of the Board0.83yrkr200.00k0.050% SEK2.3m
Charlotta Falvin
Independent Director6.17yrskr200.00kno data
Martin Krupicka
Independent Director1.92yrskr100.00kno data

1.9yrs

Average Tenure

56.5yo

Average Age

Experienced Board: IVSO'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: IVSO 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

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


Key Information

  • Name: INVISIO Communications AB (publ)
  • Ticker: IVSO
  • Exchange: OM
  • Founded: 1999
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: kr4.542b
  • Shares outstanding: 44.10m
  • Website: https://www.invisio.com

Number of Employees


Location

  • INVISIO Communications AB (publ)
  • Box 151
  • Malmö
  • Skåne County
  • 201 21
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IVSOOM (OMX Nordic Exchange Stockholm)YesCommon SharesSESEKMay 2006
0R86LSE (London Stock Exchange)YesCommon SharesGBSEKMay 2006
IVSOSBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBSEKMay 2006
ICQDB (Deutsche Boerse AG)YesCommon SharesDEEURMay 2006

Biography

INVISIO Communications AB (publ) develops and sells personal communication and hearing protection systems for professionals in the defense and security sectors in Sweden, rest of Europe, North America, and internationally. The company offers headsets, control units, intercom systems, accessories and remote push-to-talk units, and cables. Its products are used in high noise, hearing protection, and submersible applications. INVISIO Communications AB (publ) markets and sells its products through partners and resellers. The company was formerly known as INVISIO Headsets AB (publ.) and changed its name to INVISIO Communications AB (publ) in June 2010. INVISIO Communications AB (publ) was founded in 1999 and is based in Malmö, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 21:13
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.