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Securitas

OM:SECU B
Snowflake Description

Excellent balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SECU B
OM
SEK59B
Market Cap
  1. Home
  2. SE
  3. Commercial Services
Company description

Securitas AB provides security services in North America, Europe, Latin America, Africa, the Middle East, Asia, and Australia. The last earnings update was 17 days ago. More info.


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SECU B Share Price and Events
7 Day Returns
-2.8%
OM:SECU B
-1.7%
SE Commercial Services
0.7%
SE Market
1 Year Returns
15.4%
OM:SECU B
8.8%
SE Commercial Services
0.1%
SE Market
SECU B Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Securitas (SECU B) -2.8% -2% 7.2% 15.4% 22.3% 107.5%
SE Commercial Services -1.7% -2.8% 0.3% 8.8% 12% 54.5%
SE Market 0.7% -2.1% 2.8% 0.1% 12.9% 17.5%
1 Year Return vs Industry and Market
  • SECU B outperformed the Commercial Services industry which returned 8.8% over the past year.
  • SECU B outperformed the Market in Sweden which returned 0.1% over the past year.
Price Volatility
SECU B
Industry
5yr Volatility vs Market

Value

 Is Securitas 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 Securitas 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 Securitas.

OM:SECU B Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 15 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.2%
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:SECU B
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year SE Govt Bond Rate 0.4%
Equity Risk Premium S&P Global 6%
Commercial Services Unlevered Beta Simply Wall St/ S&P Global 0.72
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.719 (1 + (1- 22%) (39.86%))
0.962
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.96
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.43% + (0.962 * 5.96%)
6.17%

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

The calculations below outline how an intrinsic value for Securitas 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:SECU B DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SEK, Millions) Source Present Value
Discounted (@ 6.17%)
2019 2,437.67 Analyst x6 2,296.09
2020 2,838.07 Analyst x9 2,517.98
2021 3,575.90 Analyst x7 2,988.33
2022 3,888.34 Est @ 8.74% 3,060.71
2023 4,131.22 Est @ 6.25% 3,063.03
2024 4,317.25 Est @ 4.5% 3,015.04
2025 4,458.95 Est @ 3.28% 2,933.15
2026 4,567.21 Est @ 2.43% 2,829.87
2027 4,650.78 Est @ 1.83% 2,714.29
2028 4,716.41 Est @ 1.41% 2,592.72
Present value of next 10 years cash flows SEK28,011.21
OM:SECU B DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= SEK4,716.41 × (1 + 0.43%) ÷ (6.17% – 0.43%)
SEK82,643.53
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SEK82,643.53 ÷ (1 + 6.17%)10
SEK45,431.15
OM:SECU B Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SEK28,011.21 + SEK45,431.15
SEK73,442.36
Equity Value per Share
(SEK)
= Total value / Shares Outstanding
= SEK73,442.36 / 365.06
SEK201.18
OM:SECU B Discount to Share Price
Calculation Result
Value per share (SEK) From above. SEK201.18
Current discount Discount to share price of SEK160.50
= -1 x (SEK160.50 - SEK201.18) / SEK201.18
20.2%

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

Current Discount
Amount off the current price Securitas is available for.
Intrinsic value
20%
Share price is SEK160.5 vs Future cash flow value of SEK201.18
Current Discount Checks
For Securitas to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Securitas's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Securitas's share price is below the future cash flow value, but not at a substantial discount (< 40%).
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 Securitas's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Securitas's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OM:SECU B PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in SEK SEK8.45
OM:SECU B Share Price ** OM (2019-05-23) in SEK SEK160.5
Sweden Commercial Services Industry PE Ratio Median Figure of 11 Publicly-Listed Commercial Services Companies 16.42x
Sweden Market PE Ratio Median Figure of 323 Publicly-Listed Companies 16.87x

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

** Primary Listing of Securitas.

OM:SECU B PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OM:SECU B Share Price ÷ EPS (both in SEK)

= 160.5 ÷ 8.45

18.99x

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

  • Securitas is overvalued based on earnings compared to the SE Commercial Services industry average.
  • Securitas is overvalued based on earnings compared to the Sweden market.
Price based on expected Growth
Does Securitas's expected growth come at a high price?
Raw Data
OM:SECU B PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.99x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts
9.1%per year
Sweden Commercial Services Industry PEG Ratio Median Figure of 10 Publicly-Listed Commercial Services Companies 1.07x
Sweden Market PEG Ratio Median Figure of 235 Publicly-Listed Companies 1.34x

*Line of best fit is calculated by linear regression .

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

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.99x ÷ 9.1%

2.08x

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

  • Securitas is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Securitas's assets?
Raw Data
OM:SECU B PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in SEK SEK51.55
OM:SECU B Share Price * OM (2019-05-23) in SEK SEK160.5
Sweden Commercial Services Industry PB Ratio Median Figure of 19 Publicly-Listed Commercial Services Companies 1.83x
Sweden Market PB Ratio Median Figure of 568 Publicly-Listed Companies 2.46x
OM:SECU B PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OM:SECU B Share Price ÷ Book Value per Share (both in SEK)

= 160.5 ÷ 51.55

3.11x

* Primary Listing of Securitas.

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

  • Securitas is overvalued based on assets compared to the SE Commercial Services industry average.
X
Value checks
We assess Securitas'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 Commercial Services 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 Commercial Services industry average (and greater than 0)? (1 check)
  5. Securitas has a total score of 1/6, 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.

Future Performance

 How is Securitas expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

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
9.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Securitas expected to grow at an attractive rate?
  • Securitas's earnings growth is expected to exceed the low risk savings rate of 0.4%.
Growth vs Market Checks
  • Securitas's earnings growth is expected to exceed the Sweden market average.
  • Securitas's revenue growth is positive but not above the Sweden market average.
Annual Growth Rates Comparison
Raw Data
OM:SECU B Future Growth Rates Data Sources
Data Point Source Value (per year)
OM:SECU B Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts 9.1%
OM:SECU B Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts 3.8%
Sweden Commercial Services Industry Earnings Growth Rate Market Cap Weighted Average 12.7%
Sweden Commercial Services Industry Revenue Growth Rate Market Cap Weighted Average 4.4%
Sweden Market Earnings Growth Rate Market Cap Weighted Average 8.7%
Sweden Market Revenue Growth Rate Market Cap Weighted Average 4.6%

*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:SECU B Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below
All numbers in SEK Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OM:SECU B Future Estimates Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 122,708 4,178 1
2021-12-31 119,574 6,516 4,285 13
2020-12-31 114,889 5,693 3,816 15
2019-12-31 111,010 4,853 3,544 11
OM:SECU B Past Financials Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income *
2019-03-31 104,855 4,715 3,085
2018-12-31 101,467 3,857 3,016
2018-09-30 98,667 3,304 2,924
2018-06-30 95,497 2,689 2,951
2018-03-31 93,062 2,742 2,811
2017-12-31 92,197 4,039 2,750
2017-09-30 91,888 3,435 2,804
2017-06-30 91,553 3,771 2,750
2017-03-31 90,039 3,490 2,691
2016-12-31 88,162 3,293 2,642
2016-09-30 85,478 3,024 2,610
2016-06-30 83,630 3,187 2,567

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Securitas's earnings are expected to grow by 9.1% yearly, however this is not considered high growth (20% yearly).
  • Securitas's revenue is expected to grow by 3.8% 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:SECU B Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 15 Analyst Estimates (S&P Global) See Below

All data from Securitas Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:SECU B Future Estimates Data
Date (Data in SEK Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31 11.44 11.44 11.44 1.00
2021-12-31 11.42 13.70 8.78 9.00
2020-12-31 10.24 11.58 8.47 11.00
2019-12-31 9.73 10.14 9.38 8.00
OM:SECU B Past Financials Data
Date (Data in SEK Millions) EPS *
2019-03-31 8.45
2018-12-31 8.26
2018-09-30 8.01
2018-06-30 8.08
2018-03-31 7.70
2017-12-31 7.53
2017-09-30 7.68
2017-06-30 7.53
2017-03-31 7.37
2016-12-31 7.24
2016-09-30 7.15
2016-06-30 7.03

*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.
  • Securitas is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Securitas'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.
Securitas has a total score of 2/6, 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.

Past Performance

  How has Securitas 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 Securitas's growth in the last year to its industry (Commercial Services).
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.
  • Securitas's year on year earnings growth rate has been positive over the past 5 years.
  • Securitas's 1-year earnings growth exceeds its 5-year average (9.8% vs 9.3%)
  • Securitas's earnings growth has not exceeded the SE Commercial Services industry average in the past year (9.8% vs 9.8%).
Earnings and Revenue History
Securitas'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 Securitas Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:SECU B Past Revenue, Cash Flow and Net Income Data
Date (Data in SEK Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 104,854.70 3,084.90 13,027.50
2018-12-31 101,466.70 3,015.90 12,654.50
2018-09-30 98,667.20 2,923.70 12,430.50
2018-06-30 95,497.40 2,951.20 11,963.30
2018-03-31 93,062.20 2,810.50 11,738.60
2017-12-31 92,196.80 2,749.70 11,593.80
2017-09-30 91,888.30 2,804.40 11,546.90
2017-06-30 91,552.80 2,750.10 11,497.10
2017-03-31 90,038.60 2,690.50 11,255.00
2016-12-31 88,162.40 2,642.00 10,970.80
2016-09-30 85,477.70 2,609.50 10,612.60
2016-06-30 83,630.20 2,566.90 10,367.60
2016-03-31 81,988.30 2,484.50 10,162.80
2015-12-31 80,860.10 2,436.50 10,063.20
2015-09-30 78,812.30 2,402.30 9,808.20
2015-06-30 76,347.10 2,287.70 9,500.10
2015-03-31 73,592.10 2,186.00 9,140.70
2014-12-31 70,217.10 2,068.40 8,726.60
2014-09-30 67,959.20 1,927.90 8,438.80
2014-06-30 66,561.60 1,873.60 8,265.60
2014-03-31 65,951.20 1,886.70 8,198.00
2013-12-31 65,700.10 1,852.50 8,112.40
2013-09-30 65,725.70 1,426.40 7,988.90
2013-06-30 65,594.30 1,340.70 7,971.50
2013-03-31 66,054.00 1,207.30 8,027.80
2012-12-31 66,458.20 1,174.20 8,081.50
2012-09-30 66,733.20 1,588.10 8,139.10
2012-06-30 66,888.20 1,673.70 8,124.60

*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.
  • Securitas has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Securitas used its assets more efficiently than the SE Commercial Services industry average last year based on Return on Assets.
  • Securitas's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Securitas'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 Commercial Services 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.
Securitas has a total score of 3/6, 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.

Health

 How is Securitas'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 Securitas's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Securitas is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Securitas's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Securitas'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.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.2x 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 Securitas Company Filings, last reported 1 month ago.

OM:SECU B Past Debt and Equity Data
Date (Data in SEK Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 18,847.00 23,355.00 3,472.00
2018-12-31 17,656.60 18,362.40 3,228.80
2018-09-30 16,807.70 18,755.90 2,377.40
2018-06-30 16,436.80 20,034.10 2,630.20
2018-03-31 16,474.70 17,778.30 2,495.10
2017-12-31 15,539.00 16,607.50 3,610.60
2017-09-30 14,196.50 16,715.00 2,546.20
2017-06-30 13,921.50 18,069.00 3,039.00
2017-03-31 14,904.90 16,610.30 2,462.70
2016-12-31 14,507.90 16,446.70 2,414.50
2016-09-30 13,295.50 16,875.50 2,391.70
2016-06-30 12,263.40 17,305.20 2,179.70
2016-03-31 12,552.00 16,500.30 2,804.40
2015-12-31 12,530.40 12,565.30 2,071.20
2015-09-30 12,003.90 13,963.20 2,622.40
2015-06-30 11,377.60 14,508.70 2,386.30
2015-03-31 12,267.60 14,174.80 2,525.00
2014-12-31 11,299.20 14,448.50 3,425.10
2014-09-30 10,185.80 13,696.90 2,290.70
2014-06-30 9,260.80 14,031.50 2,233.60
2014-03-31 9,568.90 12,817.50 2,552.00
2013-12-31 9,381.30 13,870.00 4,049.80
2013-09-30 8,696.40 13,188.50 2,731.60
2013-06-30 8,567.00 14,126.00 2,170.10
2013-03-31 8,824.50 16,902.50 6,640.00
2012-12-31 8,602.20 15,085.90 4,880.70
2012-09-30 8,382.30 15,942.50 4,564.60
2012-06-30 9,341.00 15,041.40 4,464.00
  • Securitas's level of debt (123.9%) 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 (134.1% vs 123.9% today).
  • Debt is well covered by operating cash flow (20.2%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 10.4x coverage).
X
Financial health checks
We assess Securitas'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. Securitas has a total score of 5/6, 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.

Dividends

 What is Securitas'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
2.74%
Current annual income from Securitas dividends. Estimated to be 3.3% next year.
If you bought SEK2,000 of Securitas shares you are expected to receive SEK55 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?
  • Securitas's pays a higher dividend yield than the bottom 25% of dividend payers in Sweden (1.82%).
  • Securitas's dividend is below the markets top 25% of dividend payers in Sweden (4.36%).
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:SECU B 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 15 Analyst Estimates (S&P Global) See Below
Sweden Commercial Services Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 3.2%
Sweden Market Average Dividend Yield Market Cap Weighted Average of 243 Stocks 3.2%
Sweden Minimum Threshold Dividend Yield 10th Percentile 1.2%
Sweden Bottom 25% Dividend Yield 25th Percentile 1.8%
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:SECU B Future Dividends Estimate Data
Date (Data in SEK) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 5.89 1.00
2021-12-31 5.74 14.00
2020-12-31 5.19 16.00
2019-12-31 4.92 14.00
OM:SECU B Past Annualized Dividends Data
Date (Data in SEK) Dividend per share (annual) Avg. Yield (%)
2019-03-26 4.400 2.752
2018-03-26 4.000 2.711
2017-03-30 3.750 2.679
2016-04-01 3.500 2.561
2015-03-27 3.000 2.533
2014-04-14 3.000 3.489
2014-02-10 3.000 4.185
2013-02-07 3.000 4.591
2012-08-08 3.000 5.731
2012-02-09 3.000 5.224
2011-03-29 3.000 4.919
2010-05-04 3.000 4.093

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

  • Whilst dividend payments have been stable, Securitas has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Securitas only paid a dividend in the past 9 years.
Current Payout to shareholders
What portion of Securitas's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.9x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.1x coverage).
X
Income/ dividend checks
We assess Securitas'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 Securitas afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Securitas has a total score of 3/6, see the detailed checks below.


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

Management

 What is the CEO of Securitas'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
Magnus Ahlqvist
AGE 44
TENURE AS CEO 1.2 years
CEO Bio

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 1, 2015 and served as its Member of Securitas Group Management from September 1, 2015 to March 1, 2018. Mr. Ahlqvist served as Corporate Vice President of EMEA and APAC of Motorola Mobility, Inc. He holds a Master of Science in Economics and Business Administration from Stockholm School of Economics and studied leadership from Harvard Business School.

CEO Compensation
  • Insufficient data for Magnus to compare compensation growth.
  • Insufficient data for Magnus to establish whether their remuneration is reasonable compared to companies of similar size in Sweden.
Management Team Tenure

Average tenure and age of the Securitas management team in years:

3
Average Tenure
52
Average Age
  • The tenure for the Securitas management team is about average.
Management Team

Alf Göransson

TITLE
Advisor to the President & CEO
COMPENSATION
SEK29M
AGE
61
TENURE
1.2 yrs

Magnus Ahlqvist

TITLE
President & CEO
AGE
44
TENURE
1.2 yrs

Bart Adam

TITLE
Chief Financial Officer
AGE
53
TENURE
6.3 yrs

Martin Althén

TITLE
Chief Information Officer
AGE
50
TENURE
2.6 yrs

Lisa Sjökvist

TITLE
Head of Investor Relations & Acting Senior VP of Corporate Communications
AGE
48

Frida Rosenholm

TITLE
Senior Vice President & General Counsel
AGE
44
TENURE
1 yrs

Cathryn Halton

TITLE
Marketing and Communications Director
TENURE
3.5 yrs

Bill Barthelemy

TITLE
Chief Operating Officer of Security Services - North America
AGE
64

Jan Lindström

TITLE
Senior Vice President of Finance
AGE
52
TENURE
12.3 yrs

Aimé Lyagre

TITLE
COO & CTO of Security Services Europe
AGE
59
TENURE
8.7 yrs
Board of Directors Tenure

Average tenure and age of the Securitas board of directors in years:

11.3
Average Tenure
59
Average Age
  • The average tenure for the Securitas board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Marie Ehrling

TITLE
Chairman
COMPENSATION
SEK2M
AGE
63
TENURE
3 yrs

Carl Douglas

TITLE
Vice Chairman
COMPENSATION
SEK850K
AGE
53
TENURE
11.3 yrs

Don Walker

TITLE
Chairman of Security Services Usa

Fredrik Cappelen

TITLE
Director
COMPENSATION
SEK825K
AGE
61
TENURE
11.1 yrs

Dick Lennart Seger

TITLE
Director
COMPENSATION
SEK550K
AGE
65
TENURE
2 yrs

Sofia Högberg

TITLE
Director
COMPENSATION
SEK725K
AGE
40
TENURE
14.3 yrs

Susanne Israelsson

TITLE
Employee Representative Director
AGE
60
TENURE
15.3 yrs

Åse Hjelm

TITLE
Employee Representative Director
AGE
56
TENURE
11.3 yrs

Jan Prang

TITLE
Employee Representative Director
AGE
59
TENURE
11.3 yrs

Anders Böös

TITLE
Director
COMPENSATION
SEK725K
AGE
54
TENURE
3 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Securitas insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SEK) Value (SEK)
07. Mar 19 Sell Martin Althén Individual 06. Mar 19 06. Mar 19 -2,546 SEK146.74 SEK-373,600
07. Mar 19 Buy Martin Althén Individual 06. Mar 19 06. Mar 19 4,388 SEK146.74 SEK643,895
07. Mar 19 Sell Magnus Ahlqvist Individual 06. Mar 19 06. Mar 19 -1,824 SEK146.74 SEK-267,654
07. Mar 19 Buy Magnus Ahlqvist Individual 06. Mar 19 06. Mar 19 4,052 SEK146.74 SEK594,590
07. Mar 19 Buy Luis Posadas Individual 06. Mar 19 06. Mar 19 6,201 SEK146.74 SEK909,935
07. Mar 19 Sell Aimé Lyagre Individual 06. Mar 19 06. Mar 19 -2,807 SEK146.74 SEK-411,899
07. Mar 19 Buy Aimé Lyagre Individual 06. Mar 19 06. Mar 19 4,710 SEK146.74 SEK691,145
07. Mar 19 Buy Marc Pissens Individual 06. Mar 19 06. Mar 19 12,740 SEK146.74 SEK1,869,468
07. Mar 19 Sell Bart Adam Individual 06. Mar 19 06. Mar 19 -9,625 SEK146.74 SEK-1,412,372
07. Mar 19 Buy Bart Adam Individual 06. Mar 19 06. Mar 19 16,153 SEK146.74 SEK2,370,291
07. Mar 19 Sell Jan Lindström Individual 06. Mar 19 06. Mar 19 -2,536 SEK146.74 SEK-372,133
07. Mar 19 Buy Jan Lindström Individual 06. Mar 19 06. Mar 19 4,371 SEK146.74 SEK641,401
07. Mar 19 Sell Henrik Zetterberg Individual 06. Mar 19 06. Mar 19 -2,140 SEK146.74 SEK-314,024
07. Mar 19 Buy Henrik Zetterberg Individual 06. Mar 19 06. Mar 19 3,687 SEK146.74 SEK541,030
07. Mar 19 Buy William Barthelemy Individual 06. Mar 19 06. Mar 19 8,750 SEK146.74 SEK1,283,975
07. Mar 19 Buy Santiago Galaz Individual 06. Mar 19 06. Mar 19 33,264 SEK146.74 SEK4,881,159
X
Management checks
We assess Securitas'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. Securitas 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.

News

Simply Wall St News

Read This Before Buying Securitas AB (STO:SECU B) For Its Dividend

Dividend paying stocks like Securitas AB (STO:SECU B) tend to be popular with investors, and for good reason - some research suggests a significant amount of all stock market returns come from reinvested dividends. … Strong earnings per share (EPS) growth might encourage our interest in the company despite fluctuating dividends, which is why it's great to see Securitas has grown its earnings per share at 11% per annum over the past five years. … Securitas's earnings per share have grown rapidly in recent years, although more than half of its profits are being paid out as dividends, which makes us wonder if the company has a limited number of reinvestment opportunities in its business.

Simply Wall St -

If You Had Bought Securitas (STO:SECU B) Shares Five Years Ago You'd Have Made 117%

For example, the Securitas AB (STO:SECU B) share price has soared 117% in the last half decade. … During five years of share price growth, Securitas achieved compound earnings per share (EPS) growth of 10% per year. … When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return.

Simply Wall St -

Interested In Securitas AB (STO:SECU B)’s Upcoming kr4.40 Dividend? You Have 3 Days Left

Investors who want to cash in on Securitas AB's (STO:SECU B) upcoming dividend of kr4.40 per share have only 3 days left to buy the shares before its ex-dividend date, 07 May 2019, in time for dividends payable on the 13 May 2019. … Is it paying an annual yield above 75% of dividend payers? … Has it consistently paid a stable dividend without missing a payment or drastically cutting payout?

Simply Wall St -

Why You Should Like Securitas AB’s (STO:SECU B) ROCE

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding 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 -

If You Like EPS Growth Then Check Out Securitas (STO:SECU B) Before It's Too Late

So if you're like me, you might be more interested in profitable, growing companies, like Securitas (STO:SECU B). … It's no surprise, then, that I like to invest in companies with EPS growth. … Securitas maintained stable EBIT margins over the last year, all while growing revenue 10% to kr101b.

Simply Wall St -

How Much Are Securitas AB (STO:SECU B) Insiders Spending On Buying Shares?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … So shareholders might well want to know whether insiders have been buying or selling shares in Securitas AB (STO:SECU B). … The good news for Securitas share holders is that insiders were buying at near the current price.

Simply Wall St -

How Financially Strong Is Securitas AB (STO:SECU B)?

Small-caps and large-caps are wildly popular among investors, however, mid-cap stocks, such as Securitas AB (STO:SECU B), with a market capitalization of kr57b, rarely draw their attention from the investing community. … Let’s take a look at SECU B’s debt concentration and assess their financial liquidity to get an idea of their ability to fund strategic acquisitions and grow through cyclical pressures. … SECU B’s Debt (And Cash Flows)

Simply Wall St -

Is Securitas AB's (STO:SECU B) ROE Of 17% Impressive?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every SEK1 worth of equity in the company, it was able to earn SEK0.17. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is Securitas AB's (STO:SECU B) High P/E Ratio A Problem For Investors?

The goal of this article is to teach you how to use price to earnings ratios (P/E ratios). … Securitas has a price to earnings ratio of 18.1, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Securitas AB (STO:SECU B): What Does The Future Look Like?

The latest earnings release Securitas AB's (STO:SECU B) announced in December 2018a … suggested

Simply Wall St -

Company Info

Description

Securitas AB provides 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, international security, loss prevention, receptionist/concierge, response/call-out, screening, alarm, security consulting, 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.

Details
Name: Securitas AB
SECU B
Exchange: OM
Founded: 1934
SEK58,591,952,968
365,058,897
Website: http://www.securitas.com
Address: Securitas AB
Lindhagensplan 70,
Stockholm,
Stockholm County, 102 28,
Sweden
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OM SECU B Series B Shares OMX Nordic Exchange Stockholm SE SEK 02. Jan 1992
OTCPK SCTB.F Series B Shares Pink Sheets LLC US USD 02. Jan 1992
DB S7MB Series B Shares Deutsche Boerse AG DE EUR 02. Jan 1992
LSE 0IAH Series B Shares London Stock Exchange GB SEK 02. Jan 1992
BATS-CHIXE SECUBS Series B Shares BATS 'Chi-X Europe' GB SEK 02. Jan 1992
OTCPK SCTB.Y UNSPONSORED ADR Pink Sheets LLC US USD 22. Oct 2008
Number of employees
Current staff
Staff numbers
370,000
Securitas employees.
Industry
Security and Alarm Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 20:38
End of day share price update: 2019/05/23 00:00
Last estimates confirmation: 2019/05/21
Last earnings filing: 2019/05/06
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.