OM:GUNN

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Gunnebo AB (publ) develops and supplies security products, services, and software for banks, retail, mass transit, public and commercial buildings, and industrial and high-risk sites.


Snowflake Analysis

Fair value with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

2.2%

GUNN

2.9%

SE Commercial Services

2.6%

SE Market


1 Year Return

-26.8%

GUNN

-21.1%

SE Commercial Services

6.0%

SE Market

Return vs Industry: GUNN underperformed the Swedish Commercial Services industry which returned -21.1% over the past year.

Return vs Market: GUNN underperformed the Swedish Market which returned 6% over the past year.


Shareholder returns

GUNNIndustryMarket
7 Day2.2%2.9%2.6%
30 Day-6.6%-8.8%-0.7%
90 Day21.4%26.9%20.9%
1 Year-23.6%-26.8%-19.7%-21.1%7.5%6.0%
3 Year-54.9%-59.4%-11.9%-18.8%20.5%7.7%
5 Year-44.1%-52.1%0.2%-13.5%37.8%10.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GUNN (SEK18.82) is trading below our estimate of fair value (SEK66.12)

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


Price To Earnings Ratio

PE vs Industry: GUNN is poor value based on its PE Ratio (49.3x) compared to the Commercial Services industry average (19.7x).

PE vs Market: GUNN is poor value based on its PE Ratio (49.3x) compared to the Swedish market (20.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GUNN is good value based on its PB Ratio (1.2x) compared to the SE Commercial Services industry average (1.5x).


Next Steps

Future Growth

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

24.3%

Forecasted Commercial Services 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 Gunnebo 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 Gunnebo performed over the past 5 years?

-18.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GUNN has a large one-off loss of SEK51.0M impacting its March 31 2020 financial results.

Growing Profit Margin: GUNN's current net profit margins (0.6%) are lower than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: GUNN's earnings have declined by -18.8% per year over the past 5 years.

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

Earnings vs Industry: GUNN had negative earnings growth (-68.3%) over the past year, making it difficult to compare to the Commercial Services industry average (2.1%).


Return on Equity

High ROE: GUNN's Return on Equity (2.2%) is considered low.


Next Steps

Financial Health

How is Gunnebo's financial position?


Financial Position Analysis

Short Term Liabilities: GUNN's short term assets (SEK2.8B) exceed its short term liabilities (SEK1.6B).

Long Term Liabilities: GUNN's short term assets (SEK2.8B) exceed its long term liabilities (SEK2.4B).


Debt to Equity History and Analysis

Debt Level: GUNN's debt to equity ratio (126.8%) is considered high.

Reducing Debt: Insufficient data to determine if GUNN's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: GUNN's debt is not well covered by operating cash flow (17%).

Interest Coverage: GUNN's interest payments on its debt are well covered by EBIT (11.8x coverage).


Balance Sheet


Next Steps

Dividend

What is Gunnebo current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate GUNN'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 GUNN's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

1.4yrs

Average management tenure


CEO

Stefan Syrén (54yo)

0.67

Tenure

kr1,004,000

Compensation

Mr. Stefan Syrén is President and CEO at Gunnebo AB (publ) since November 07, 2019 and serves as its SVP Business Unit Safe Storage since 2019 and also serves as its Senior Vice President of Business Uni ...


CEO Compensation Analysis

Compensation vs Market: Stefan's total compensation ($USD108.34K) is below average for companies of similar size in the Swedish market ($USD435.83K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Stefan Syrén
President0.67yrkr1.00m0.15% SEK2.6m
Robert Hermans
EVP & Deputy CEO and SVP Business Unit Entrance Control1.5yrskr837.00k0.058% SEK1.0m
Åke Bengtsson
Chief Financial Officer0.42yrno data0.016% SEK282.4k
Isabelle Ljunggren
Director of Investor Relationsno datano datano data
Christian Carlsson
Senior Vice President of Human Resources & Sustainability3.58yrsno datano data
Christian Weisser
Senior Vice President of Business Unit Cash Management1.42yrsno data0.094% SEK1.7m

1.4yrs

Average Tenure

54yo

Average Age

Experienced Management: GUNN's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Martin Svalstedt
Independent Director17.5yrskr500.00k0.27% SEK4.8m
Mikael Jönsson
Independent Director20.5yrskr315.00k0.20% SEK3.6m
Eva Elmstedt
Independent Director5.5yrskr320.00k0.013% SEK225.5k
Charlotte Jansdotter Karlberg
Independent Director8.33yrskr255.00k0.0039% SEK70.5k
Panu Routila
Chairman of the Board0.083yrno datano data
Crister Carlsson
Employee Representative Director1.5yrskr38.70kno data
Anna Saether
Independent Director3.25yrskr270.00k0.0039% SEK70.5k
Micke Fridström
Employee Representative Director2.5yrsno data0.0013% SEK23.6k

4.4yrs

Average Tenure

56.5yo

Average Age

Experienced Board: GUNN's board of directors are considered experienced (4.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: GUNN insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 25%.


Top Shareholders

Company Information

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


Key Information

  • Name: Gunnebo AB (publ)
  • Ticker: GUNN
  • Exchange: OM
  • Founded: 1764
  • Industry: Security and Alarm Services
  • Sector: Commercial Services
  • Market Cap: kr1.798b
  • Shares outstanding: 95.56m
  • Website: https://www.gunnebo.com

Number of Employees


Location

  • Gunnebo AB (publ)
  • PO Box 5181
  • Gothenburg
  • Västra Götaland County
  • 402 26
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GUNNOM (OMX Nordic Exchange Stockholm)YesOrdinary SharesSESEKDec 1993
0GNXLSE (London Stock Exchange)YesOrdinary SharesGBSEKDec 1993
GUNNsBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBSEKDec 1993

Biography

Gunnebo AB (publ) develops and supplies security products, services, and software for banks, retail, mass transit, public and commercial buildings, and industrial and high-risk sites. It offers cash management solutions, such as closed cash handling terminals that replaces manual tills; cash deposit solutions, which enhance cash management and cash handling processes; cash recycling self-service terminals for managing notes and coins; and CashControl, a Web-based application that allows retailers and cash in transit to control the cash process in the stores. The company also provides entrance security solutions, including retail gates, tripod and full height turnstiles, speed gates, entrance gates, airport security gates, metro ticket gates, revolving doors, and security booths; integrated security solutions, such as security and interlocking doors, windows, partitions, and fire safety products, as well as electronic access control, intrusion detection, and video surveillance solutions; and safe storage solutions, including high security server cabinets, high security locks, automated and mechanical safe deposit lockers, strong rooms, vault doors, and safes. The company offers cash management solutions under the Gunnebo, sallén, and Hamilton brands; entrance control solutions under the Gunnebo and elkosta brands; safe storage solutions under the Chubbsafes, Rosengrens, Hamilton, Steelage, and Gunnebo brands; and integrated security solutions under the Gunnebo, Minimax, and gateway brands. It operates in Europe, the Middle East, Africa, the Asia Pacific, the Americas, and internationally. Gunnebo AB (publ) was founded in 1764 and is headquartered in Gothenburg, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/06 20:48
End of Day Share Price2020/07/06 00:00
Earnings2020/03/31
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.