OM:SWEC B

Stock Analysis Report

Executive Summary

Sweco AB (publ) provides consulting services in engineering, environmental technology, and architecture fields worldwide.


Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

11.9%

SWEC B

11.8%

SE Construction

7.3%

SE Market


1 Year Return

37.0%

SWEC B

5.0%

SE Construction

-6.6%

SE Market

Return vs Industry: SWEC B exceeded the Swedish Construction industry which returned -2.8% over the past year.

Return vs Market: SWEC B exceeded the Swedish Market which returned -9.8% over the past year.


Shareholder returns

SWEC BIndustryMarket
7 Day11.9%11.8%7.3%
30 Day17.1%-4.0%-2.6%
90 Day-14.4%-18.4%-17.3%
1 Year37.0%37.0%6.1%5.0%-4.7%-6.6%
3 Year60.5%49.4%-1.6%-12.1%7.0%-8.2%
5 Year225.4%183.0%25.5%-4.5%15.3%-8.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

6.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SWEC B (SEK312) is trading below our estimate of fair value (SEK342.6)

Significantly Below Fair Value: SWEC B is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: SWEC B is poor value based on its PE Ratio (26.3x) compared to the Construction industry average (16.3x).

PE vs Market: SWEC B is poor value based on its PE Ratio (26.3x) compared to the Swedish market (15x).


Price to Earnings Growth Ratio

PEG Ratio: SWEC B is poor value based on its PEG Ratio (3.9x)


Price to Book Ratio

PB vs Industry: SWEC B is overvalued based on its PB Ratio (5.1x) compared to the SE Construction industry average (3.1x).


Next Steps

Future Growth

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

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SWEC B's forecast earnings growth (6.8% per year) is above the savings rate (-0.4%).

Earnings vs Market: SWEC B's earnings (6.8% per year) are forecast to grow slower than the Swedish market (8.9% per year).

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

Revenue vs Market: SWEC B's revenue (4.4% per year) is forecast to grow faster than the Swedish market (4.2% per year).

High Growth Revenue: SWEC B's revenue (4.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SWEC B's Return on Equity is forecast to be low in 3 years time (19.1%).


Next Steps

Past Performance

How has Sweco performed over the past 5 years?

21.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SWEC B has high quality earnings.

Growing Profit Margin: SWEC B's current net profit margins (6.7%) are higher than last year (6.7%).


Past Earnings Growth Analysis

Earnings Trend: SWEC B's earnings have grown significantly by 21.9% per year over the past 5 years.

Accelerating Growth: SWEC B's earnings growth over the past year (11.1%) is below its 5-year average (21.9% per year).

Earnings vs Industry: SWEC B earnings growth over the past year (11.1%) underperformed the Construction industry 21.5%.


Return on Equity

High ROE: SWEC B's Return on Equity (19.4%) is considered low.


Next Steps

Financial Health

How is Sweco's financial position?


Financial Position Analysis

Short Term Liabilities: SWEC B's short term assets (SEK7.5B) exceed its short term liabilities (SEK7.1B).

Long Term Liabilities: SWEC B's short term assets (SEK7.5B) exceed its long term liabilities (SEK5.1B).


Debt to Equity History and Analysis

Debt Level: SWEC B's debt to equity ratio (38.7%) is considered satisfactory.

Reducing Debt: SWEC B's debt to equity ratio has reduced from 70.5% to 38.7% over the past 5 years.

Debt Coverage: SWEC B's debt is well covered by operating cash flow (82.9%).

Interest Coverage: SWEC B's interest payments on its debt are well covered by EBIT (18.3x coverage).


Balance Sheet


Next Steps

Dividend

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

1.96%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: SWEC B's dividend (1.99%) isn’t notable compared to the bottom 25% of dividend payers in the Swedish market (2.07%).

High Dividend: SWEC B's dividend (1.99%) is low compared to the top 25% of dividend payers in the Swedish market (6.02%).


Stability and Growth of Payments

Stable Dividend: SWEC B's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.3%), SWEC B's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SWEC B's dividends in 3 years are forecast to be covered by earnings (56% payout ratio).


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Åsa Bergman (52yo)

2s

Tenure

Ms. Asa Bergman has been the President and Chief Executive Officer of at Sweco AB since April 20, 2018. Ms. Bergman serves as Chief Executive Officer of Sweco Sverige AB. She served as the President of SWE ...


Leadership Team

NamePositionTenureCompensationOwnership
Åsa Bergman
President2yrsno data0.037% SEK14.0m
Olof Stålnacke
Chief Financial Officer0.50yrno data0.0049% SEK1.8m
Lisa Lagerwall
General Counsel9.25yrsno data0.0085% SEK3.2m
Katarina Grönwall
Chief Communications Officer0.92yrno data0.00012% SEK44.9k
Mikael Landberg
Chief Human Resource Officer2.25yrsno data0.0011% SEK403.8k
Tapani Bastman
Head of Energy and Pulp & Paper Division - Sweco Industryno datano datano data
Jukka Korvenoja
Head of Chemical Industry Division - Sweco Industryno datano datano data
Lars Enander
Head of Water and Environment Division - Norway21.25yrsno datano data
Stig Bremer
Head of ITno datano datano data
Tor-Helge Indrebø
Head of Vest Divisionno datano datano data

2.1yrs

Average Tenure

53yo

Average Age

Experienced Management: SWEC B's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Åsa Bergman
President2yrsno data0.037% SEK14.0m
Gunnel Duveblad
Director12yrskr538.00k0.0034% SEK1.3m
Eva Lindqvist
Independent Director7yrskr448.00k0.00095% SEK355.2k
Anna Leonsson
Employee Representative Director15.25yrsno data0.00051% SEK190.7k
Johan Hjertonsson
Director5.25yrskr448.00k0.025% SEK9.5m
Johan Nordström
Chairman6yrskr880.00k0.51% SEK191.9m
Görgen Edenhagen
Employee Representative Director2.75yrsno data0.0037% SEK1.4m
Christine Wolff
Independent Director4yrskr478.00k0.00085% SEK317.8k
Elaine Weidman-Grunewald
Independent Director2.92yrskr452.00k0.00085% SEK317.8k
Maria Ekh
Employee Representative Director5.25yrsno data0.0016% SEK609.4k

5.3yrs

Average Tenure

52.5yo

Average Age

Experienced Board: SWEC B's board of directors are considered experienced (5.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SWEC 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

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


Key Information

  • Name: Sweco AB (publ)
  • Ticker: SWEC B
  • Exchange: OM
  • Founded:
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: kr37.386b
  • Shares outstanding: 117.84m
  • Website: https://www.sweco.se

Number of Employees


Location

  • Sweco AB (publ)
  • GjOerwellsgatan 22
  • Box 34044
  • Stockholm
  • Stockholm County
  • 100 26
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SWEC BOM (OMX Nordic Exchange Stockholm)YesClass B SharesSESEKSep 1998
0H0GLSE (London Stock Exchange)YesClass B SharesGBSEKSep 1998
SWECBsBATS-CHIXE (BATS 'Chi-X Europe')YesClass B SharesGBSEKSep 1998
7W7DB (Deutsche Boerse AG)YesClass B SharesDEEURSep 1998
SWEC AOM (OMX Nordic Exchange Stockholm)Class A SharesSESEKSep 1998
0GX5LSE (London Stock Exchange)Class A SharesGBSEKSep 1998

Biography

Sweco AB (publ) provides consulting services in engineering, environmental technology, and architecture fields worldwide. The company undertakes culture, leisure, sports, education, interior architecture, office, landscape architecture, visualization, urban development, infrastructure, housing, lighting design, cultural environment, retail and commercial, healthcare, and industry projects. It also provides renewable fuels, combined heating and power, dams, due diligence, district heating and cooling, electrical power, electricity distribution, energy efficiency enhancement, energy market and strategy, energy storage, hydropower, power transmission, solar energy, and wind power energy systems. In addition, the company offers steel structure, BIM, building construction design, building engineering physics and energy, construction administration, industrial construction design, prefabricated structure, and physical protection structural engineering services. Further, it provides bridge and tunnel engineering, cargo and logistics, electrical and geotechnical engineering, ITS and traffic system, measurement technology, port and marina engineering, public transportation, railway and rock engineering, risk management and safety, signaling, and traffic and urban planning services; and road, street, and land planning services, as well as Geolab, which performs geotechnical analyses of the nutrient values in gardening soils or contaminated sites. Additionally, the company offers electricity and automation, plant design, process engineering, and logistics services; HVAC and sanitation, fire engineering and risk analysis, electrical systems, physical protection, environment and energy, parametric design, telecom system, lighting design, and monitoring and inspection services for buildings; IT solution for urban development; and project management, social analysis, and water and environment services. The company is headquartered in Stockholm, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/10 02:35
End of Day Share Price2020/04/09 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.