Securitas
Market Cap
kr37.6b
Last Updated
2020/03/27 20:51 UTC
Data Sources
Company Financials +
Executive Summary
Securitas AB offers security services in North America, Europe, Latin America, Africa, the Middle East, Asia, and Australia.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet established dividend payer.
Similar Companies
Share Price & News
How has Securitas's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SECU B's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
4.1%
SECU B
3.6%
SE Commercial Services
4.5%
SE Market
1 Year Return
-31.4%
SECU B
-37.8%
SE Commercial Services
-10.2%
SE Market
Return vs Industry: SECU B exceeded the Swedish Commercial Services industry which returned -34.4% over the past year.
Return vs Market: SECU B underperformed the Swedish Market which returned -7.1% over the past year.
Shareholder returns
| SECU B | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.1% | 3.6% | 4.5% |
| 30 Day | -26.0% | -37.8% | -23.1% |
| 90 Day | -37.1% | -43.3% | -23.8% |
| 1 Year | -29.5%-31.4% | -35.9%-37.8% | -7.4%-10.2% |
| 3 Year | -20.1%-26.4% | -34.1%-39.8% | -0.2%-15.4% |
| 5 Year | -7.4%-19.1% | -25.1%-35.6% | 8.5%-14.7% |
Price Volatility Vs. Market
How volatile is Securitas's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Is Securitas AB (STO:SECU B) A High Quality Stock To Own?2 weeks ago | Simply Wall St
How Does Securitas's (STO:SECU B) P/E Compare To Its Industry, After The Share Price Drop?2 weeks ago | Simply Wall St
Read This Before Buying Securitas AB (STO:SECU B) SharesValuation
Is Securitas 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: SECU B (SEK103.05) is trading below our estimate of fair value (SEK213.44)
Significantly Below Fair Value: SECU B is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SECU B is good value based on its PE Ratio (11.2x) compared to the Commercial Services industry average (11.5x).
PE vs Market: SECU B is good value based on its PE Ratio (11.2x) compared to the Swedish market (14.4x).
Price to Earnings Growth Ratio
PEG Ratio: SECU B is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: SECU B is overvalued based on its PB Ratio (1.9x) compared to the SE Commercial Services industry average (1.6x).
Next Steps
Future Growth
How is Securitas forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
7.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SECU B's forecast earnings growth (7.8% per year) is above the savings rate (-0.4%).
Earnings vs Market: SECU B's earnings (7.8% per year) are forecast to grow faster than the Swedish market (7.8% per year).
High Growth Earnings: SECU B's earnings are forecast to grow, but not significantly.
Revenue vs Market: SECU B's revenue (3.4% per year) is forecast to grow slower than the Swedish market (4.1% per year).
High Growth Revenue: SECU B's revenue (3.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SECU B's Return on Equity is forecast to be low in 3 years time (18.3%).
Next Steps
Past Performance
How has Securitas performed over the past 5 years?
7.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SECU B has high quality earnings.
Growing Profit Margin: SECU B's current net profit margins (3%) are higher than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: SECU B's earnings have grown by 7.9% per year over the past 5 years.
Accelerating Growth: SECU B's earnings growth over the past year (11.3%) exceeds its 5-year average (7.9% per year).
Earnings vs Industry: SECU B earnings growth over the past year (11.3%) underperformed the Commercial Services industry 11.3%.
Return on Equity
High ROE: SECU B's Return on Equity (17.2%) is considered low.
Next Steps
Financial Health
How is Securitas's financial position?
Financial Position Analysis
Short Term Liabilities: SECU B's short term assets (SEK27.1B) exceed its short term liabilities (SEK19.9B).
Long Term Liabilities: SECU B's short term assets (SEK27.1B) exceed its long term liabilities (SEK22.7B).
Debt to Equity History and Analysis
Debt Level: SECU B's debt to equity ratio (94.4%) is considered high.
Reducing Debt: SECU B's debt to equity ratio has reduced from 126.8% to 94.4% over the past 5 years.
Debt Coverage: SECU B's debt is well covered by operating cash flow (31.1%).
Interest Coverage: SECU B's interest payments on its debt are well covered by EBIT (9.4x coverage).
Balance Sheet
Inventory Level: SECU B has a low level of unsold assets or inventory.
Debt Coverage by Assets: SECU B's debt is covered by short term assets (assets are 1.5x debt).
Next Steps
Dividend
What is Securitas's current dividend yield, its reliability and sustainability?
4.66%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: SECU B's dividend (4.66%) is higher than the bottom 25% of dividend payers in the Swedish market (2.1%).
High Dividend: SECU B's dividend (4.66%) is low compared to the top 25% of dividend payers in the Swedish market (6.51%).
Stability and Growth of Payments
Stable Dividend: SECU B's dividends per share have been stable in the past 10 years.
Growing Dividend: SECU B's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (52.2%), SECU B's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SECU B's dividends in 3 years are forecast to be covered by earnings (51.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.9yrs
Average management tenure
CEO
Magnus Ahlqvist (45yo)
2s
Tenure
kr24,166,200
Compensation
Mr. Magnus Ahlqvist has been President and Chief Executive Officer of Securitas AB since March 1, 2018. Mr. Ahlqvist was Divisional President of Security Services Europe at Securitas AB since September ...
CEO Compensation Analysis
Compensation vs Market: Magnus's total compensation ($USD2.43M) is above average for companies of similar size in the Swedish market ($USD1.37M).
Compensation vs Earnings: Insufficient data to compare Magnus's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President & CEO | 2yrs | kr24.17m | 0.030% SEK11.3m | |
| Advisor to the President & CEO | 2yrs | kr15.79m | no data | |
| Chief Financial Officer | 7.17yrs | no data | 0.010% SEK3.8m | |
| Chief Information Officer | 3.42yrs | no data | 0.00045% SEK169.2k | |
| Head of Investor Relations & Acting Senior VP of Corporate Communications | no data | no data | no data | |
| Senior Vice President & General Counsel | 1.83yrs | no data | 0.00013% SEK48.9k | |
| Marketing and Communications Director | 4.33yrs | no data | no data | |
| no data | no data | 0.017% SEK6.4m | ||
| Senior Vice President of Finance | 13.17yrs | no data | 0.0031% SEK1.2m | |
| COO & CTO of Security Services Europe | 9.5yrs | no data | 0.0050% SEK1.9m |
3.9yrs
Average Tenure
53yo
Average Age
Experienced Management: SECU B's management team is considered experienced (3.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Director | 11.92yrs | kr865.00k | 0.0011% SEK413.7k | |
| Chairman | 3.83yrs | kr2.10m | 0.0027% SEK1.0m | |
| Independent Director | 2.83yrs | kr580.00k | 0.000010% SEK3.8k | |
| Vice Chairman | 12.17yrs | kr895.00k | no data | |
| Chairman of Security Services Usa | no data | no data | no data | |
| Independent Director | 3.83yrs | kr760.00k | 0.0069% SEK2.6m | |
| Independent Director | 15.17yrs | kr760.00k | no data | |
| Employee Representative Director | 16.17yrs | no data | no data | |
| Employee Representative Director | 12.17yrs | no data | 0.000030% SEK11.3k | |
| Employee Representative Director | 12.17yrs | no data | no data |
12.2yrs
Average Tenure
60yo
Average Age
Experienced Board: SECU B's board of directors are seasoned and experienced ( 12.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if 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
Securitas AB's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Securitas AB
- Ticker: SECU B
- Exchange: OM
- Founded: 1934
- Industry: Security and Alarm Services
- Sector: Commercial Services
- Market Cap: kr37.606b
- Shares outstanding: 364.93m
- Website: https://www.securitas.com
Number of Employees
Location
- Securitas AB
- Lindhagensplan 70
- Stockholm
- Stockholm County
- 102 28
- Sweden
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SCTB.F | OTCPK (Pink Sheets LLC) | Yes | Series B Shares | US | USD | Jan 1992 |
| S7MB | DB (Deutsche Boerse AG) | Yes | Series B Shares | DE | EUR | Jan 1992 |
| SECU B | OM (OMX Nordic Exchange Stockholm) | Yes | Series B Shares | SE | SEK | Jan 1992 |
| 0IAH | LSE (London Stock Exchange) | Yes | Series B Shares | GB | SEK | Jan 1992 |
| SECUBS | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Series B Shares | GB | SEK | Jan 1992 |
| SCTB.Y | OTCPK (Pink Sheets LLC) | UNSPONSORED ADR | US | USD | Oct 2008 |
Biography
Securitas AB offers security services in North America, Europe, Latin America, Africa, the Middle East, Asia, and Australia. The company operates through three segments: Security Services North America, Security Services Europe, and Security Services Ibero-America. It primarily offers on-site, mobile and remote guarding, electronic security, fire and safety, and corporate risk management services. The company also provides aviation security, canine, executive protection, loss prevention, receptionist/concierge, remote video, response/call-out, screening, alarm, security consulting, guarding, and track and trace services. It serves small, medium, and large sized businesses, as well as residential sites. Securitas AB was founded in 1934 and is headquartered in Stockholm, Sweden.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/27 20:51 |
| End of Day Share Price | 2020/03/27 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.