OM:OEM B

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Executive Summary

OEM International AB (publ), together with its subsidiaries, trades in industrial components and systems. More Details

Rewards

Trading at 46.5% below our estimate of its fair value

Earnings grew by 12.2% over the past year

Risk Analysis

OEM B passed our risk checks.


Snowflake Analysis

Flawless balance sheet with solid track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: OEM B has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

11.5%

OEM B

-5.1%

SE Trade Distributors

-2.7%

SE Market


1 Year Return

34.6%

OEM B

51.2%

SE Trade Distributors

16.4%

SE Market

Return vs Industry: OEM B underperformed the Swedish Trade Distributors industry which returned 51.2% over the past year.

Return vs Market: OEM B exceeded the Swedish Market which returned 16.4% over the past year.


Shareholder returns

OEM BIndustryMarket
7 Day11.5%-5.1%-2.7%
30 Day17.7%-4.8%0.6%
90 Day19.7%19.1%11.5%
1 Year34.6%34.6%52.1%51.2%18.4%16.4%
3 Year61.8%51.7%131.1%121.3%31.5%17.4%
5 Year183.3%149.6%312.9%250.3%69.2%36.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is OEM International undervalued compared to its fair value and its price relative to the market?

46.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: OEM B (SEK292) is trading below our estimate of fair value (SEK546.21)

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


Price To Earnings Ratio

PE vs Industry: OEM B is poor value based on its PE Ratio (22.6x) compared to the SE Trade Distributors industry average (19.3x).

PE vs Market: OEM B is poor value based on its PE Ratio (22.6x) compared to the Swedish market (22.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate OEM B's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: OEM B is overvalued based on its PB Ratio (5.5x) compared to the SE Trade Distributors industry average (2.5x).


Next Steps

Future Growth

How is OEM International forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.4%

Forecasted Capital Goods industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as OEM International has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has OEM International performed over the past 5 years?

12.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OEM B has high quality earnings.

Growing Profit Margin: OEM B's current net profit margins (9.2%) are higher than last year (8.2%).


Past Earnings Growth Analysis

Earnings Trend: OEM B's earnings have grown by 12.6% per year over the past 5 years.

Accelerating Growth: OEM B's earnings growth over the past year (12.2%) is below its 5-year average (12.6% per year).

Earnings vs Industry: OEM B earnings growth over the past year (12.2%) exceeded the Trade Distributors industry 6.9%.


Return on Equity

High ROE: OEM B's Return on Equity (24.5%) is considered high.


Next Steps

Financial Health

How is OEM International's financial position?


Financial Position Analysis

Short Term Liabilities: OEM B's short term assets (SEK1.3B) exceed its short term liabilities (SEK466.0M).

Long Term Liabilities: OEM B's short term assets (SEK1.3B) exceed its long term liabilities (SEK165.0M).


Debt to Equity History and Analysis

Debt Level: OEM B's debt to equity ratio (5.2%) is considered satisfactory.

Reducing Debt: OEM B's debt to equity ratio has reduced from 45.8% to 5.2% over the past 5 years.

Debt Coverage: OEM B's debt is well covered by operating cash flow (633.8%).

Interest Coverage: OEM B's interest payments on its debt are well covered by EBIT (111.5x coverage).


Balance Sheet


Next Steps

Dividend

What is OEM International current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate OEM 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 OEM 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 OEM B's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: OEM 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 OEM 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?

11.2yrs

Average management tenure


CEO

Jörgen Zahlin (56 yo)

18.67yrs

Tenure

kr7,100,000

Compensation

Mr. Jörgen Zahlin serves as Chairman of BE Group AB (publ) since September 18, 2019 and he has been its Director since April 26, 2013. Mr. Zahlin has been the Chief Executive Officer of OEM International A ...


CEO Compensation Analysis

Compensation vs Market: Jörgen's total compensation ($USD777.42K) is about average for companies of similar size in the Swedish market ($USD773.27K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Jörgen Zahlin
MD & CEO18.67yrskr7.10m0.17%
SEK 11.6m
Johan Broman
Chief Financial Officer0.50yrno data0.0058%
SEK 394.0k
Björn Pettersson
Head of Marketing & Business Development3.67yrsno datano data
Patrick Nyström
Head of Region Finlandno datano data0.097%
SEK 6.6m
Patrik Jägenstedt
Head of Development for Automatic Lawnmowers At Husqvarnano datano datano data
Jan Hultman
Deputy MD & Business Development Manager - Group Electronics18.67yrsno datano data

11.2yrs

Average Tenure

56yo

Average Age

Experienced Management: OEM B's management team is seasoned and experienced (11.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Petter Stillström
Independent Chairman of the Board3.42yrskr500.00kno data
Asa Winberg
Independent Director5.67yrskr200.00k0.0087%
SEK 584.3k
Agne Svenberg
Independent Director1.67yrskr200.00k3.82%
SEK 257.9m
Ulf Barkman
Independent Director23.67yrskr300.00k0.18%
SEK 12.3m
Jörgen Rosengren
Independent Director3.42yrskr200.00k0.0032%
SEK 215.9k
Richard Pantzar
Independent Director1.67yrskr200.00kno data
Mattias Franzén
Independent Director1.67yrskr200.00k0.023%
SEK 1.6m

3.4yrs

Average Tenure

53yo

Average Age

Experienced Board: OEM B's board of directors are considered experienced (3.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: OEM 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.


Top Shareholders

Company Information

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


Key Information

  • Name: OEM International AB (publ)
  • Ticker: OEM B
  • Exchange: OM
  • Founded:
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: kr6.747b
  • Shares outstanding: 23.11m
  • Website: https://www.oem.se

Number of Employees


Location

  • OEM International AB (publ)
  • Förrådsvägen 2
  • Box 1009
  • Tranås
  • Jönköping County
  • 573 28
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OEM BOM (OMX Nordic Exchange Stockholm)YesClass B SharesSESEKJun 1994
0QTYLSE (London Stock Exchange)YesClass B SharesGBSEKJun 1994
OEMBsBATS-CHIXE (BATS 'Chi-X Europe')YesClass B SharesGBSEKJun 1994
OEADB (Deutsche Boerse AG)YesClass B SharesDEEURJun 1994

Biography

OEM International AB (publ), together with its subsidiaries, trades in industrial components and systems. The company offers a range of industrial automation components in the areas of electrical component ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/26 04:16
End of Day Share Price2020/09/25 00:00
Earnings2020/06/30
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.