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Troax Group

OM:TROAX
Snowflake Description

Outstanding track record with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TROAX
OM
SEK6B
Market Cap
  1. Home
  2. SE
  3. Capital Goods
Company description

Troax Group AB (publ), through its subsidiaries, develops and supplies metal-based mesh panel solutions in the Nordic region, the United Kingdom, North America, Continental Europe, and internationally. The last earnings update was 66 days ago. More info.


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TROAX Share Price and Events
7 Day Returns
-5.3%
OM:TROAX
-1.5%
SE Machinery
-1.3%
SE Market
1 Year Returns
0.9%
OM:TROAX
-4.5%
SE Machinery
3.3%
SE Market
TROAX Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Troax Group (TROAX) -5.3% -12.8% -15.5% 0.9% 139% -
SE Machinery -1.5% -3.7% -8.2% -4.5% 33.5% 36.5%
SE Market -1.3% -0.7% -1.3% 3.3% 12.8% 18.2%
1 Year Return vs Industry and Market
  • TROAX outperformed the Machinery industry which returned -4.5% over the past year.
  • TROAX underperformed the Market in Sweden which returned 3.3% over the past year.
Price Volatility
TROAX
Industry
5yr Volatility vs Market

TROAX Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Troax Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Troax Group.

OM:TROAX Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.2%
Perpetual Growth Rate 10-Year SE Government Bond Rate 0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OM:TROAX
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year SE Govt Bond Rate 0.4%
Equity Risk Premium S&P Global 6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.08
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.081 (1 + (1- 22%) (15.72%))
1.143
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.14
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.43% + (1.143 * 5.96%)
7.25%

Discounted Cash Flow Calculation for OM:TROAX using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Troax Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OM:TROAX DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (EUR, Millions) Source Present Value
Discounted (@ 7.25%)
2020 24.00 Analyst x1 22.38
2021 28.00 Analyst x1 24.34
2022 30.47 Est @ 8.82% 24.70
2023 32.39 Est @ 6.3% 24.48
2024 33.86 Est @ 4.54% 23.87
2025 34.98 Est @ 3.31% 22.99
2026 35.84 Est @ 2.45% 21.96
2027 36.50 Est @ 1.84% 20.85
2028 37.02 Est @ 1.42% 19.72
2029 37.44 Est @ 1.12% 18.60
Present value of next 10 years cash flows €223.89
OM:TROAX DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= €37.44 × (1 + 0.43%) ÷ (7.25% – 0.43%)
€551.82
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= €551.82 ÷ (1 + 7.25%)10
€274.10
OM:TROAX Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= €223.89 + €274.10
€498.00
Equity Value per Share
(EUR)
= Total value / Shares Outstanding
= €498.00 / 60.00
€8.3
OM:TROAX Discount to Share Price
Calculation Result
Exchange Rate EUR/SEK
(Reporting currency to currency of OM:TROAX)
10.525
Value per Share
(SEK)
= Value per Share in EUR x Exchange Rate (EUR/SEK)
= €8.3 x 10.525
SEK87.36
Value per share (SEK) From above. SEK87.36
Current discount Discount to share price of SEK94.20
= -1 x (SEK94.20 - SEK87.36) / SEK87.36
-7.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Troax Group is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Troax Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Troax Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OM:TROAX PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in EUR €0.40
OM:TROAX Share Price ** OM (2019-07-19) in SEK SEK94.2
OM:TROAX Share Price converted to EUR reporting currency Exchange rate (SEK/ EUR) 0.095 €8.95
Sweden Machinery Industry PE Ratio Median Figure of 16 Publicly-Listed Machinery Companies 15.02x
Sweden Market PE Ratio Median Figure of 325 Publicly-Listed Companies 16.12x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Troax Group.

OM:TROAX PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OM:TROAX Share Price ÷ EPS (both in EUR)

= 8.95 ÷ 0.40

22.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Troax Group is overvalued based on earnings compared to the SE Machinery industry average.
  • Troax Group is overvalued based on earnings compared to the Sweden market.
Price based on expected Growth
Does Troax Group's expected growth come at a high price?
Raw Data
OM:TROAX PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.3x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
8.5%per year
Sweden Machinery Industry PEG Ratio Median Figure of 14 Publicly-Listed Machinery Companies 2.34x
Sweden Market PEG Ratio Median Figure of 233 Publicly-Listed Companies 1.29x

*Line of best fit is calculated by linear regression .

OM:TROAX PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.3x ÷ 8.5%

2.64x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Troax Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Troax Group's assets?
Raw Data
OM:TROAX PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in EUR €1.44
OM:TROAX Share Price * OM (2019-07-19) in SEK SEK94.2
OM:TROAX Share Price converted to EUR reporting currency Exchange rate (SEK/ EUR) 0.095 €8.95
Sweden Machinery Industry PB Ratio Median Figure of 26 Publicly-Listed Machinery Companies 2.78x
Sweden Market PB Ratio Median Figure of 573 Publicly-Listed Companies 2.58x
OM:TROAX PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OM:TROAX Share Price ÷ Book Value per Share (both in EUR)

= 8.95 ÷ 1.44

6.23x

* Primary Listing of Troax Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Troax Group is overvalued based on assets compared to the SE Machinery industry average.
X
Value checks
We assess Troax Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Troax Group has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

TROAX Future Performance

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

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
8.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Troax Group expected to grow at an attractive rate?
  • Troax Group's earnings growth is expected to exceed the low risk savings rate of 0.4%.
Growth vs Market Checks
  • Troax Group's earnings growth is expected to exceed the Sweden market average.
  • Troax Group's revenue growth is expected to exceed the Sweden market average.
Annual Growth Rates Comparison
Raw Data
OM:TROAX Future Growth Rates Data Sources
Data Point Source Value (per year)
OM:TROAX Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 8.5%
OM:TROAX Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 6.3%
Sweden Machinery Industry Earnings Growth Rate Market Cap Weighted Average 1.7%
Sweden Machinery Industry Revenue Growth Rate Market Cap Weighted Average 2%
Sweden Market Earnings Growth Rate Market Cap Weighted Average 7.9%
Sweden Market Revenue Growth Rate Market Cap Weighted Average 4.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OM:TROAX Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in EUR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OM:TROAX Future Estimates Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 194 33 30 1
2020-12-31 176 30 26 1
2019-12-31 166 34 23 1
OM:TROAX Past Financials Data
Date (Data in EUR Millions) Revenue Cash Flow Net Income *
2019-03-31 163 25 24
2018-12-31 161 26 24
2018-09-30 159 26 21
2018-06-30 154 23 20
2018-03-31 153 20 18
2017-12-31 152 19 17
2017-09-30 143 19 19
2017-06-30 137 17 18
2017-03-31 125 19 17
2016-12-31 116 16 16
2016-09-30 112 13 13
2016-06-30 109 14 13

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Troax Group's earnings are expected to grow by 8.5% yearly, however this is not considered high growth (20% yearly).
  • Troax Group's revenue is expected to grow by 6.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OM:TROAX Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Troax Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:TROAX Future Estimates Data
Date (Data in EUR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 0.49 0.49 0.49 1.00
2020-12-31 0.43 0.43 0.43 1.00
2019-12-31 0.38 0.38 0.38 1.00
OM:TROAX Past Financials Data
Date (Data in EUR Millions) EPS *
2019-03-31 0.40
2018-12-31 0.41
2018-09-30 0.34
2018-06-30 0.33
2018-03-31 0.29
2017-12-31 0.28
2017-09-30 0.32
2017-06-30 0.30
2017-03-31 0.29
2016-12-31 0.27
2016-09-30 0.20
2016-06-30 0.19

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Troax Group is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Troax Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Sweden market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Sweden market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Troax Group has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

TROAX Past Performance

  How has Troax Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Troax Group's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Troax Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Troax Group's 1-year earnings growth exceeds its 5-year average (36.5% vs 27.2%)
  • Troax Group's earnings growth has exceeded the SE Machinery industry average in the past year (36.5% vs 28.6%).
Earnings and Revenue History
Troax Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Troax Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:TROAX Past Revenue, Cash Flow and Net Income Data
Date (Data in EUR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 163.44 24.08 31.24
2018-12-31 161.04 24.38 30.44
2018-09-30 158.51 20.54 29.54
2018-06-30 154.01 19.54 29.04
2018-03-31 152.51 17.64 29.24
2017-12-31 152.11 17.04 28.74
2017-09-30 142.99 19.40 27.60
2017-06-30 136.59 18.10 26.90
2017-03-31 125.29 17.50 25.40
2016-12-31 115.79 16.30 24.30
2016-09-30 111.78 13.48 24.87
2016-06-30 108.58 12.98 24.17
2016-03-31 105.78 12.88 23.67
2015-12-31 103.68 12.98 23.27
2015-09-30 101.14 7.92 23.28
2015-06-30 96.84 6.72 22.98
2015-03-31 91.34 7.02 21.38
2014-12-31 84.54 5.52 20.18
2013-12-31 70.21 -0.94 19.91
2012-12-31 72.74 7.41 16.64

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Troax Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Troax Group used its assets more efficiently than the SE Machinery industry average last year based on Return on Assets.
  • Troax Group has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Troax Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Troax Group has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

TROAX Health

 How is Troax Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Troax Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Troax Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Troax Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Troax Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Troax Group Company Filings, last reported 3 months ago.

OM:TROAX Past Debt and Equity Data
Date (Data in EUR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 86.20 84.40 24.80
2018-12-31 82.59 69.00 22.73
2018-09-30 75.00 77.60 16.60
2018-06-30 67.70 77.30 10.90
2018-03-31 70.10 76.90 17.70
2017-12-31 69.17 69.00 14.11
2017-09-30
2017-06-30 64.50 76.60 2.50
2017-03-31 70.20 79.80 16.60
2016-12-31 65.88 76.10 12.23
2016-09-30 59.00 64.40 10.70
2016-06-30 56.40 64.50 7.60
2016-03-31 62.10 64.50 12.40
2015-12-31 59.99 56.65 10.83
2015-09-30 53.20 64.90 7.40
2015-06-30 51.80 65.10 4.70
2015-03-31 48.20 72.90 14.80
2014-12-31 43.16 66.71 13.17
2013-12-31 45.86 51.04 15.57
2012-12-31 17.13 17.15 5.61
  • Troax Group's level of debt (97.9%) 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 (121.6% vs 97.9% today).
  • Debt is well covered by operating cash flow (29.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 41x coverage).
X
Financial health checks
We assess Troax Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Troax Group has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

TROAX Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.72%
Current annual income from Troax Group dividends. Estimated to be 2.38% next year.
If you bought SEK2,000 of Troax Group shares you are expected to receive SEK34 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Troax Group's pays a lower dividend yield than the bottom 25% of dividend payers in Sweden (1.89%).
  • Troax Group's dividend is below the markets top 25% of dividend payers in Sweden (4.38%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OM:TROAX Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Sweden Machinery Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 2.9%
Sweden Market Average Dividend Yield Market Cap Weighted Average of 244 Stocks 3.6%
Sweden Minimum Threshold Dividend Yield 10th Percentile 1.2%
Sweden Bottom 25% Dividend Yield 25th Percentile 1.9%
Sweden Top 25% Dividend Yield 75th Percentile 4.4%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OM:TROAX Future Dividends Estimate Data
Date (Data in €) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.24 1.00
2020-12-31 0.22 1.00
2019-12-31 0.18 1.00
OM:TROAX Past Annualized Dividends Data
Date (Data in €) Dividend per share (annual) Avg. Yield (%)
2019-04-16 0.154 1.623
2019-02-13 0.157 1.628
2018-05-02 0.132 1.515
2017-04-19 0.117 1.447
2017-02-14 0.130 1.550
2016-05-10 0.100 2.090

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Troax Group has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but Troax Group only paid a dividend in the past 3 years.
Current Payout to shareholders
What portion of Troax Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2x coverage).
X
Income/ dividend checks
We assess Troax Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Troax Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Troax Group has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

TROAX Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Thomas Widstrand
COMPENSATION €479,000
AGE 62
TENURE AS CEO 11.5 years
CEO Bio

Mr. Thomas Widstrand has been the Chief Executive Officer and President of Troax Group AB since 2008. Mr. Widstrand served as General Manager of Competence Centre Indoor Perimeter Security at Gunnebo AB. He has over 25 years of experience from leading positions within international businesses such as division manager at ESAB. He served as General Manager of Troax Group AB. He served as General Manager of Gunnebo Troax AB since 2008. He served as the Head of the Cardo Pump Business Area at Cardo AB. He joined Gunnebo from Borås Wäfveri AB, where he served as Chief Executive Officer and President. He served as Chief Executive Officer and President of Cardo Pump AB. He joined Cardo AB in 2000. He serves as the Chairman of MoWidare Företagsutveckling AB, Thomas Widstrand Förvaltnings AB and Tx Intressenter AB. He served as the Chairman and a Director of Morphic Technologies AB (publ) since 2004. He served as the Chairman of the Board at Mo Widare AB. He has been a Director of Troax Group AB since 2014. He serves as a Director of Väcker AB, Öglaend Pioner A/S, Bellman & Symfon AB and MoWidare. He has been a Director of ProfilGruppen AB since 2012. He served as a Member of the board of directors of Alvedoor AB and Alvedoor International AB. He is a graduate Economist. He holds an MBA from the University of Gothenburg, School of Business, Economics and Law.

CEO Compensation
  • Thomas's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Thomas's remuneration is about average for companies of similar size in Sweden.
Management Team Tenure

Average tenure and age of the Troax Group management team in years:

11.5
Average Tenure
53
Average Age
  • The average tenure for the Troax Group management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Thomas Widstrand

TITLE
CEO, President & Director
COMPENSATION
€479K
AGE
62
TENURE
11.5 yrs

Anders Eklöf

TITLE
Chief Financial Officer
AGE
49
TENURE
2.3 yrs

David Teulon

TITLE
MD & Regional Manager for UK/Ireland
AGE
66
TENURE
11.5 yrs

Wolfgang Falkenberg

TITLE
MD & Regional Manager for Central Europe
AGE
57
TENURE
11.5 yrs

Javier Garcia

TITLE
MD & Regional Manager for Southern Europe
AGE
47
TENURE
11.5 yrs

Jonas Rydqvist

TITLE
MD & Regional Manager for Nordic Region
AGE
47
TENURE
5.5 yrs
Board of Directors Tenure

Average tenure and age of the Troax Group board of directors in years:

3.5
Average Tenure
60
Average Age
  • The tenure for the Troax Group board of directors is about average.
Board of Directors

Jan Svensson

TITLE
Chairman
COMPENSATION
€54K
AGE
63
TENURE
3.2 yrs

Thomas Widstrand

TITLE
CEO, President & Director
COMPENSATION
€479K
AGE
62
TENURE
5.5 yrs

Anna Stålenbring

TITLE
Director
COMPENSATION
€30K
AGE
58
TENURE
4.5 yrs

Bength Håkansson

TITLE
Employee Representative Director
AGE
62
TENURE
9.5 yrs

Eva Nygren

TITLE
Director
COMPENSATION
€25K
AGE
64
TENURE
3.5 yrs

Milenko Simic

TITLE
Employee Representative Director
AGE
52
TENURE
3.5 yrs

Fredrik Hansson

TITLE
Director
COMPENSATION
€17K
AGE
48
TENURE
1.5 yrs

Bertil Persson

TITLE
Director
COMPENSATION
€20K
AGE
58
TENURE
1.5 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Troax Group individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SEK) Value (SEK)
15. May 19 Buy Bertil Persson Individual 15. May 19 15. May 19 4,500 SEK104.17 SEK468,750
X
Management checks
We assess Troax Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Troax Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

TROAX News

Simply Wall St News

Troax Group AB (publ) (STO:TROAX) Has Attractive Fundamentals

In the case of Troax Group AB (publ) (STO:TROAX), there's is a financially-sound company with a great history and a buoyant growth outlook. … Outstanding track record with reasonable growth potential In the previous year, TROAX has ramped up its bottom line by 37%, with its latest earnings level surpassing its average level over the last five years. … Dividend Income vs Capital Gains: Does TROAX return gains to shareholders through reinvesting in itself and growing earnings, or redistribute a decent portion of earnings as dividends?

Simply Wall St -

Is Troax Group AB (publ) (STO:TROAX) A Volatile Stock?

If you're interested in Troax Group AB (publ) (STO:TROAX), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … With a beta of 1.03, (which is quite close to 1) the share price of Troax Group has historically been about as voltile as the broader market. … It takes less capital to move the share price of small companies, and they are also more impacted by company specific events, so it's a bit of a surprise that the beta is so close to the overall market.

Simply Wall St -

A Look At The Intrinsic Value Of Troax Group AB (publ) (STO:TROAX)

Using the most recent financial data, we'll take a look at whether the stock is fairly priced by taking the expected future cash flows and discounting them to their present value. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) estimate 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF (€, Millions) €24.00 €24.00 €28.00 €30.47 €32.39 €33.86 €34.98 €35.84 €36.50 €37.02 Growth Rate Estimate Source Analyst x1 Analyst x1 Analyst x1 Est @ 8.82% Est @ 6.3% Est @ 4.54% Est @ 3.31% Est @ 2.45% Est @ 1.84% Est @ 1.42% Present Value (€, Millions) Discounted @ 7.06% €22.42 €20.94 €22.82 €23.19 €23.03 €22.49 €21.70 €20.77 €19.76 €18.72 Present Value of 10-year Cash Flow (PVCF)= €215.83m "Est" = FCF growth rate estimated by Simply Wall St After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … OM:TROAX Intrinsic value, June 3rd 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

What Does Troax Group AB (publ)'s (STO:TROAX) Share Price Indicate?

Troax Group AB (publ) (STO:TROAX), which is in the machinery business, and is based in Sweden, saw a decent share price growth in the teens level on the OM over the last few months. … This means that the opportunity to buy Troax Group at a good price has disappeared! … In addition to this, it seems like Troax Group’s share price is quite stable, which could mean two things: firstly, it may take the share price a while to fall back down to an attractive buying range, and secondly, there may be less chances to buy low in the future once it reaches that value.

Simply Wall St -

Why You Should Like Troax Group AB (publ)’s (STO:TROAX) ROCE

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

What Kind Of Investor Owns Most Of Troax Group AB (publ) (STO:TROAX)?

The big shareholder groups in Troax Group AB (publ) (STO:TROAX) have power over the company. … Troax Group is a smaller company with a market capitalization of kr6.8b, so it may still be flying under the radar of many institutional investors. … Taking a look at our data on the ownership groups (below), it's seems that

Simply Wall St -

Should You Be Tempted To Sell Troax Group AB (publ) (STO:TROAX) Because Of Its P/E Ratio?

Looking at earnings over the last twelve months, Troax Group has a P/E ratio of 26.25. … Price to Earnings Ratio = Price per Share (in the reporting currency) ÷ Earnings per Share (EPS) … P/E of 26.25 = €32 (Note: this is the share price in the reporting currency, namely, EUR ) ÷ €1.22

Simply Wall St -

Does Troax Group AB (publ)'s (STO:TROAX) Past Performance Indicate A Stronger Future?

In this article, I will take a look at Troax Group AB (publ)'s (STO:TROAX) track record on a high level, to give you some insight into how the company has been performing against its historical trend and its industry peers. … Did TROAX beat its long-term earnings growth trend and its industry. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of 32%, indicating the rate at which TROAX is growing has accelerated

Simply Wall St -

What Investors Should Know About Troax Group AB (publ)'s (STO:TROAX) Financial Strength

However, an important fact which most ignore is: how financially healthy is the business? … Evaluating financial health as part of your investment thesis is. … We'll look at some basic checks that can form a snapshot the company’s financial strength.

Simply Wall St -

Zooming in on STO:TROAX's 1.7% Dividend Yield

Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. … In the last few years Troax Group AB (publ) (STO:TROAX) has paid a dividend to shareholders. … Let's take a look at Troax Group in more detail.

Simply Wall St -

TROAX Company Info

Description

Troax Group AB (publ), through its subsidiaries, develops and supplies metal-based mesh panel solutions in the Nordic region, the United Kingdom, North America, Continental Europe, and internationally. The company offers machine guarding systems, including fixing systems for production environments; panels and posts, such as machine guarding panels, polycarbonate panels, sheet metal panels, posts, customization panels, and surface treatment panels; stainless steel competition lines and stainless steel high lines; and accessories, such as end profiles, snappers, cut profiles, kickplates, kit PC holders, kit cable ladders, kit foam infills, gap covers, and kit extension brackets. It also provides hinged, sliding, telescopic sliding, linear sliding, automatic sliding, and automatic quick roll doors, as well as locks; anti-collapse systems that include panels and accessories; mesh shelving systems; and warehouse partitions and industrial partitions, which comprise mesh partitions, and doors and gates for vehicles, as well as accessories for the material handling and logistics applications. In addition, the company offers doors; panels; and accessories, including shelves, door system kit silences, door system holder number plates, door system trim kits, and end profiles for storage and property protection applications. Troax Group AB (publ) was founded in 1955 and is headquartered in Hillerstorp, Sweden.

Details
Name: Troax Group AB (publ)
TROAX
Exchange: OM
Founded: 1955
SEK5,652,000,000
60,000,000
Website: http://www.troax.com
Address: Troax Group AB (publ)
Tyngel,
PO Box 89,
Hillerstorp,
Jönköping County, 335 04,
Sweden
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OM TROAX Ordinary A Shares OMX Nordic Exchange Stockholm SE SEK 27. Mar 2015
DB 5TOA Ordinary A Shares Deutsche Boerse AG DE EUR 27. Mar 2015
BATS-CHIXE TROAXS Ordinary A Shares BATS 'Chi-X Europe' GB SEK 27. Mar 2015
Number of employees
Current staff
Staff numbers
709
Troax Group employees.
Industry
Industrial Machinery
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/19 21:48
End of day share price update: 2019/07/19 00:00
Last estimates confirmation: 2019/07/17
Last earnings filing: 2019/05/14
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.