OM:MMGR B

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Executive Summary

Momentum Group AB (publ) resells industrial consumables and components; and provides services and maintenance to professional end users in the industrial and construction sectors in the Nordic region and internationally.


Snowflake Analysis

Excellent balance sheet and good value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

15.3%

MMGR B

6.2%

SE Trade Distributors

4.1%

SE Market


1 Year Return

-2.7%

MMGR B

22.5%

SE Trade Distributors

8.9%

SE Market

Return vs Industry: MMGR B underperformed the Swedish Trade Distributors industry which returned 22.5% over the past year.

Return vs Market: MMGR B underperformed the Swedish Market which returned 9.1% over the past year.


Shareholder returns

MMGR BIndustryMarket
7 Day15.3%6.2%4.1%
30 Day23.2%22.7%5.8%
90 Day-2.0%10.1%-2.2%
1 Year0.1%-2.7%23.4%22.5%10.4%8.9%
3 Yearn/a97.6%83.2%11.5%-3.4%
5 Yearn/a224.4%174.5%30.8%5.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Momentum Group undervalued compared to its fair value and its price relative to the market?

22.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MMGR B (SEK109) is trading below our estimate of fair value (SEK139.84)

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


Price To Earnings Ratio

PE vs Industry: MMGR B is poor value based on its PE Ratio (14.1x) compared to the Trade Distributors industry average (13.9x).

PE vs Market: MMGR B is good value based on its PE Ratio (14.1x) compared to the Swedish market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: MMGR B is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: MMGR B is overvalued based on its PB Ratio (1.9x) compared to the SE Trade Distributors industry average (1.8x).


Next Steps

Future Growth

How is Momentum Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

26.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MMGR B's forecast earnings growth (26.8% per year) is above the savings rate (0.5%).

Earnings vs Market: MMGR B's earnings (26.8% per year) are forecast to grow faster than the Swedish market (16.8% per year).

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

Revenue vs Market: MMGR B's revenue (14.1% per year) is forecast to grow faster than the Swedish market (5.9% per year).

High Growth Revenue: MMGR B's revenue (14.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MMGR B's Return on Equity is forecast to be low in 3 years time (10.8%).


Next Steps

Past Performance

How has Momentum Group performed over the past 5 years?

21.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MMGR B has high quality earnings.

Growing Profit Margin: MMGR B's current net profit margins (3.5%) are lower than last year (3.8%).


Past Earnings Growth Analysis

Earnings Trend: MMGR B's earnings have grown significantly by 21.3% per year over the past 5 years.

Accelerating Growth: MMGR B's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: MMGR B had negative earnings growth (-6.5%) over the past year, making it difficult to compare to the Trade Distributors industry average (3.8%).


Return on Equity

High ROE: MMGR B's Return on Equity (7.5%) is considered low.


Next Steps

Financial Health

How is Momentum Group's financial position?


Financial Position Analysis

Short Term Liabilities: MMGR B's short term assets (SEK4.7B) exceed its short term liabilities (SEK1.4B).

Long Term Liabilities: MMGR B's short term assets (SEK4.7B) exceed its long term liabilities (SEK1.7B).


Debt to Equity History and Analysis

Debt Level: MMGR B's debt to equity ratio (45.8%) is considered high.

Reducing Debt: MMGR B's debt to equity ratio has reduced from 76.9% to 45.8% over the past 5 years.

Debt Coverage: MMGR B's debt is well covered by operating cash flow (38.2%).

Interest Coverage: MMGR B's interest payments on its debt are well covered by EBIT (15.2x coverage).


Balance Sheet


Next Steps

Dividend

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

3.52%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate MMGR B's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate MMGR B's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MMGR B's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MMGR B's dividend payments have been increasing.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MMGR B'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?

2.5yrs

Average board tenure


CEO

Ulf Lilius (47yo)

2.92yrs

Tenure

kr6,653,000

Compensation

Mr. Ulf Lilius, B.Sc. Econ., has been the President & Chief Executive Officer at Momentum Group AB since 2016. Mr. Lilius served as the Chief Executive Officer and President of B&B Tools AB from November 1 ...


CEO Compensation Analysis

Compensation vs Market: Ulf's total compensation ($USD705.94K) is about average for companies of similar size in the Swedish market ($USD743.61K).

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


Board Members

NamePositionTenureCompensationOwnership
Gunilla Spongh
Independent Director4.33yrskr325.00k0.0027% SEK147.2k
Göran Näsholm
Independent Director0.75yrno datano data
Johan Sjö
Independent Chairman of the Board0.75yrno datano data
Charlotte Hansson
Independent Director4.33yrskr275.00k0.015% SEK817.5k
Stefan Hedelius
Independent Director4.33yrskr275.00k0.0030% SEK163.7k
Pernilla Andersson
Employee Representative Director0.33yrno datano data

2.5yrs

Average Tenure

52.5yo

Average Age

Experienced Board: MMGR B's board of directors are not considered experienced ( 2.5 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: MMGR 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 been substantially diluted in the past year, with total shares outstanding growing by 81.5%.


Top Shareholders

Company Information

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


Key Information

  • Name: Momentum Group AB (publ)
  • Ticker: MMGR B
  • Exchange: OM
  • Founded: 2016
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: kr5.494b
  • Shares outstanding: 50.41m
  • Website: https://www.momentum.group

Number of Employees


Location

  • Momentum Group AB (publ)
  • PO Box 5900
  • Stockholm
  • Stockholm County
  • 102 40
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MMGR BOM (OMX Nordic Exchange Stockholm)YesClass B SharesSESEKJun 2017
0RTKLSE (London Stock Exchange)YesClass B SharesGBSEKJun 2017
MMGRBSBATS-CHIXE (BATS 'Chi-X Europe')YesClass B SharesGBSEKJun 2017

Biography

Momentum Group AB (publ) resells industrial consumables and components; and provides services and maintenance to professional end users in the industrial and construction sectors in the Nordic region and internationally. The company operates through Tools & Consumables and Components & Services segments. It offers hand tools, machinery, personal protective equipment, fastening elements, and workplace equipment; and spare parts for customers’ production equipment, including bearings, seals, transmission, and automation products. The company also provides functional workwear, protective footwear, profile clothing, and promotional products. In addition, it offers related services, such as inventory optimization, maintenance planning, repair, training, layout, advisory, set-up, consulting, permit control and monitoring, and standby services, as well as logistics solutions. The company sells its products through a network of approximately 160 local sales units in Sweden, Norway, and Finland, as well as online. It serves customers in the industrial, construction and civil engineering, public, and service sectors; warehouses and engineering businesses; and process and manufacturing companies, including paper and pulp, sawmill, automotive, food, mining, and engineering companies. Momentum Group AB (publ) was founded in 2016 and is headquartered in Stockholm, Sweden. Momentum Group AB operates independently of B&B Tools AB (publ) as of June 21, 2017.  


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/01 00:58
End of Day Share Price2020/05/29 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


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.