OM:BONG

Stock Analysis Report

Executive Summary

Bong AB (publ) manufactures and sells specialty packaging and envelope products.

Snowflake

Fundamentals

Flawless balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.6%

BONG

2.0%

SE Commercial Services

2.1%

SE Market


1 Year Return

-28.1%

BONG

14.5%

SE Commercial Services

12.1%

SE Market

Return vs Industry: BONG underperformed the Swedish Commercial Services industry which returned 14.5% over the past year.

Return vs Market: BONG underperformed the Swedish Market which returned 12.1% over the past year.


Shareholder returns

BONGIndustryMarket
7 Day-1.6%2.0%2.1%
30 Day-6.7%2.7%1.6%
90 Day-13.4%-1.2%3.8%
1 Year-28.1%-28.1%18.0%14.5%16.8%12.1%
3 Year-17.8%-17.8%14.4%4.5%32.3%12.4%
5 Year-31.4%-31.4%73.4%47.0%62.9%28.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: BONG (SEK0.75) is trading below our estimate of fair value (SEK3.55)

Significantly Undervalued: BONG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: BONG is unprofitable, so we can't compare its PE Ratio to the Commercial Services industry average.

PE vs Market: BONG is unprofitable, so we can't compare its PE Ratio to the Swedish market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BONG is good value based on its PB Ratio (0.3x) compared to the SE Commercial Services industry average (1.7x).


Next Steps

Future Growth

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

116.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BONG is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: BONG is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: BONG is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: BONG's revenue is expected to decline over the next 3 years (-3.1% per year).

High Growth Revenue: BONG's revenue is forecast to decline over the next 3 years (-3.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: BONG's Return on Equity is forecast to be low in 3 years time (1.5%).


Next Steps

Past Performance

How has Bong performed over the past 5 years?

-1.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BONG is unprofitable, and losses have increased over the past 5 years at a rate of -1.1% per year.

Accelerating Growth: Unable to compare BONG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BONG is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (1.3%).


Return on Equity

High ROE: BONG has a negative Return on Equity (-25.69%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: BONG is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: BONG is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Bong's financial position?


Financial Position Analysis

Short Term Liabilities: BONG's short term assets (SEK646.0M) exceeds its short term liabilities (SEK506.1M)

Long Term Liabilities: BONG's short term assets (646.0M) exceeds its long term liabilities (591.0M)


Debt to Equity History and Analysis

Debt Level: BONG's debt to equity ratio (37.4%) is considered satisfactory

Reducing Debt: BONG's debt to equity ratio has reduced from 190.6% to 37.4% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: BONG's debt is covered by short term assets (assets are 3.145080x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable BONG has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: BONG is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -31.3% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%1.8%markettop25%4.6%industryaverage3.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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


Next Steps

Management

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

0.8yrs

Average management tenure


CEO

Kai Steigleder (56yo)

1.1yrs

Tenure

kr1,951,140

Compensation

Mr. Kai Steigleder has been the Chief Executive Officer at Bong AB (publ) since 12th September, 2018. He was a Business Area Manager of Central Europe at Bong AB (publ) since 2014 to until 12th September,2 ...


CEO Compensation Analysis

Compensation vs. Market: Kai has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Swedish market.

Compensation vs Earnings: Insufficient data to compare Kai's compensation with company performance.


Management Age and Tenure

0.8yrs

Average Tenure

56yo

Average Age

Experienced Management: BONG's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Age and Tenure

9.8yrs

Average Tenure

58yo

Average Age

Experienced Board: BONG's board of directors are considered experienced (9.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Kari Ki (63yo)

    Bong Suomi Managing Director

    • Tenure: 0yrs
  • Pia Fjellander (61yo)

    Group Financial Manager

    • Tenure: 0.8yrs
  • Patrik Haraldsson

    Group Business Controller

    • Tenure: 0yrs
  • Simon Bennett (54yo)

    Sales & Marketing Director

    • Tenure: 0yrs
  • Kai Steigleder (56yo)

    Chief Executive Officer

    • Tenure: 1.1yrs
    • Compensation: kr1.95m
  • Carsten Grimmer (46yo)

    Chief Financial Officer

    • Tenure: 0.8yrs

Board Members

  • Mats Persson (64yo)

    Employee Representative Alternate Director

    • Tenure: 18.8yrs
  • Mikael Ekdahl (68yo)

    Independent Vice Chairman of the Board

    • Tenure: 0yrs
    • Compensation: kr250.00k
  • Stefan Lager (57yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: kr100.00k
  • Stéphane Hamelin (58yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: kr150.00k
  • Christian Paulsson (44yo)

    Independent Chairman of the Board

    • Tenure: 3.4yrs
    • Compensation: kr350.00k
  • Eric Joan (55yo)

    Independent Director

    • Tenure: 9.8yrs
    • Compensation: kr150.00k
  • Christer Muth (65yo)

    Employee Representative Director

    • Tenure: 11.8yrs
  • Helena Persson (49yo)

    Independent Director

    • Tenure: 4.4yrs
    • Compensation: kr150.00k
  • Kenth Jivetorp (61yo)

    Employee Representative Director

    • Tenure: 11.8yrs

Company Information

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


Key Information

  • Name: Bong AB (publ)
  • Ticker: BONG
  • Exchange: OM
  • Founded: 1737
  • Industry: Office Services and Supplies
  • Sector: Commercial Services
  • Market Cap: kr157.981m
  • Shares outstanding: 211.21m
  • Website: https://www.bong.com

Number of Employees


Location

  • Bong AB (publ)
  • Uddevägen 3
  • PO Box 516
  • Kristianstad
  • Skåne County
  • 291 25
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BONGOM (OMX Nordic Exchange Stockholm)YesCommon SharesSESEKSep 1992
BONGSBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBSEKSep 1992
20LDB (Deutsche Boerse AG)YesCommon SharesDEEURSep 1992

Biography

Bong AB (publ) manufactures and sells specialty packaging and envelope products. It provides solutions for distribution and packaging of information, advertising materials, and lightweight goods. The compa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 20:39
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.