OM:HUSQ B

Stock Analysis Report

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Executive Summary

Husqvarna AB (publ) produces and sells outdoor power and garden watering products worldwide. More Details


Snowflake Analysis

Solid track record established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: HUSQ B has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-11.6%

HUSQ B

-7.5%

SE Consumer Durables

-6.1%

SE Market


1 Year Return

22.1%

HUSQ B

-8.2%

SE Consumer Durables

6.9%

SE Market

Return vs Industry: HUSQ B exceeded the Swedish Consumer Durables industry which returned -8.4% over the past year.

Return vs Market: HUSQ B exceeded the Swedish Market which returned 6.2% over the past year.


Shareholder returns

HUSQ BIndustryMarket
7 Day-11.6%-7.5%-6.1%
30 Day-7.0%-6.8%-6.6%
90 Day8.0%10.7%1.6%
1 Year24.9%22.1%-0.4%-8.2%8.9%6.9%
3 Year20.2%10.6%-6.9%-19.3%22.5%9.3%
5 Year80.1%57.9%22.8%-2.3%46.4%17.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

18.28x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HUSQ B (SEK91.64) is trading above our estimate of fair value (SEK69.12)

Significantly Below Fair Value: HUSQ B is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HUSQ B's PE Ratio (18.6x) is in line with the SE Consumer Durables industry average.

PE vs Market: HUSQ B is good value based on its PE Ratio (18.6x) compared to the Swedish market (21x).


Price to Earnings Growth Ratio

PEG Ratio: HUSQ B is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: HUSQ B is overvalued based on its PB Ratio (2.7x) compared to the SE Consumer Durables industry average (2.1x).


Next Steps

Future Growth

How is Husqvarna forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

14.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HUSQ B's forecast earnings growth (14.8% per year) is above the savings rate (0.5%).

Earnings vs Market: HUSQ B's earnings (14.8% per year) are forecast to grow faster than the Swedish market (12.6% per year).

High Growth Earnings: HUSQ B's earnings are forecast to grow, but not significantly.

Revenue vs Market: HUSQ B's revenue (3.3% per year) is forecast to grow slower than the Swedish market (3.4% per year).

High Growth Revenue: HUSQ B's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HUSQ B's Return on Equity is forecast to be low in 3 years time (16.7%).


Next Steps

Past Performance

How has Husqvarna performed over the past 5 years?

4.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HUSQ B has high quality earnings.

Growing Profit Margin: HUSQ B's current net profit margins (6.8%) are higher than last year (4.7%).


Past Earnings Growth Analysis

Earnings Trend: HUSQ B's earnings have grown by 4.6% per year over the past 5 years.

Accelerating Growth: HUSQ B's earnings growth over the past year (41.2%) exceeds its 5-year average (4.6% per year).

Earnings vs Industry: HUSQ B earnings growth over the past year (41.2%) exceeded the Consumer Durables industry -22.1%.


Return on Equity

High ROE: HUSQ B's Return on Equity (14.3%) is considered low.


Next Steps

Financial Health

How is Husqvarna's financial position?


Financial Position Analysis

Short Term Liabilities: HUSQ B's short term assets (SEK23.1B) exceed its short term liabilities (SEK13.2B).

Long Term Liabilities: HUSQ B's short term assets (SEK23.1B) exceed its long term liabilities (SEK13.2B).


Debt to Equity History and Analysis

Debt Level: HUSQ B's debt to equity ratio (51.4%) is considered high.

Reducing Debt: HUSQ B's debt to equity ratio has increased from 48.2% to 51.4% over the past 5 years.

Debt Coverage: HUSQ B's debt is well covered by operating cash flow (83.6%).

Interest Coverage: HUSQ B's interest payments on its debt are well covered by EBIT (15.1x coverage).


Balance Sheet


Next Steps

Dividend

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

2.50%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HUSQ B's dividend (2.46%) is higher than the bottom 25% of dividend payers in the Swedish market (1.31%).

High Dividend: HUSQ B's dividend (2.46%) is low compared to the top 25% of dividend payers in the Swedish market (4.4%).


Stability and Growth of Payments

Stable Dividend: HUSQ B's dividends per share have been stable in the past 10 years.

Growing Dividend: HUSQ B's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (45.6%), HUSQ B's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HUSQ B's dividends in 3 years are forecast to be well covered by earnings (48.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.9yrs

Average management tenure


CEO

Henric Andersson (47 yo)

0.50

Tenure

Mr. Henric Andersson serves as the President and Chief Executive Officer of Husqvarna AB (publ) since April 2, 2020 and serves as its Director since June 26, 2020. He was the President of Construction Divi ...


Leadership Team

NamePositionTenureCompensationOwnership
Henric Andersson
President0.50yrno data0.012%
SEK 6.3m
Glen Instone
CFO and Senior VP of Finance1.92yrsno data0.0059%
SEK 3.1m
Anders Johanson
Senior VP of Innovation & Technology and CTO5yrsno data0.0046%
SEK 2.4m
Pavel Hajman
Chief Information Officer and Senior VP of Operations Development & Global Information Services1yrno data0.021%
SEK 10.8m
Brian Belanger
Acting Senior VP of Business Dev. and Senior VP of Legal Affairs5.42yrsno data0.0075%
SEK 3.9m
Leigh Dagberg
Senior Vice President of People & Organization2yrsno data0.0029%
SEK 1.5m
Sascha Menges
President of Husqvarna Divisionno datano data0.017%
SEK 8.7m
Pär Åström
President of Gardena Divisionno datano data0.012%
SEK 6.5m
Karin Falk
President of Construction Division0.083yrno datano data
Johan Andersson
Director of Group Corporate Communications & Investor Relationsno datano datano data
Anna Fogelström
Group Supply Chain Planning Managerno datano datano data

1.9yrs

Average Tenure

50yo

Average Age

Experienced Management: HUSQ B's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Henric Andersson
President0.50yrno data0.012%
SEK 6.3m
Thomas Johnstone
Independent Chairman of the Board5.5yrskr2.08m0.0028%
SEK 1.4m
Lars Pettersson
Independent Director6.5yrskr720.00k0.00087%
SEK 455.3k
Ulla Litzén
Independent Director10.5yrskr820.00k0.0018%
SEK 915.8k
Daniel Nodhäll
Independent Director7.5yrskr715.00k0.0018%
SEK 915.8k
Christine Robins
Independent Director3.5yrskr580.00k0.00065%
SEK 340.2k
Katarina Martinson
Independent Director8.58yrskr715.00k0.086%
SEK 45.0m
Bertrand Neuschwander
Independent Director4.5yrskr660.00k0.0013%
SEK 685.6k
Dan Byström
Employee Representative Director0.33yrno data0%
SEK 0
Anders Köhler
Deputy Employee Representative of the Board of Director1.75yrsno data0.00019%
SEK 99.4k
Tina Hallberg
Employee Representative Director0.33yrno datano data

4.5yrs

Average Tenure

51.5yo

Average Age

Experienced Board: HUSQ B's board of directors are considered experienced (4.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: HUSQ B insiders have only sold shares 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

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


Key Information

  • Name: Husqvarna AB (publ)
  • Ticker: HUSQ B
  • Exchange: OM
  • Founded: 1689
  • Industry: Household Appliances
  • Sector: Consumer Durables
  • Market Cap: kr52.333b
  • Shares outstanding: 572.58m
  • Website: https://www.husqvarnagroup.com/en

Number of Employees


Location

  • Husqvarna AB (publ)
  • Regeringsgatan 28
  • Stockholm
  • Stockholm County
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HUSQ BOM (OMX Nordic Exchange Stockholm)YesClass B SharesSESEKJun 2006
HUSQ AOM (OMX Nordic Exchange Stockholm)Class A SharesSESEKJun 2006
HRZDB (Deutsche Boerse AG)YesClass B SharesDEEURJun 2006
0GWILSE (London Stock Exchange)Class A SharesGBSEKJun 2006
0GTRLSE (London Stock Exchange)YesClass B SharesGBSEKJun 2006
HUSQ.FOTCPK (Pink Sheets LLC)YesClass B SharesUSUSDJun 2006
HUSQBSBATS-CHIXE (BATS 'Chi-X Europe')YesClass B SharesGBSEKJun 2006
HUSQASBATS-CHIXE (BATS 'Chi-X Europe')Class A SharesGBSEKJun 2006
HUQV.FOTCPK (Pink Sheets LLC)Class A SharesUSUSDJun 2006
HRZADB (Deutsche Boerse AG)Class A SharesDEEURJun 2006
HSQV.YOTCPK (Pink Sheets LLC)SPON ADRUSUSDJun 2006

Biography

Husqvarna AB (publ) produces and sells outdoor power and garden watering products worldwide. It operates through three divisions: Husqvarna, Gardena, and Construction. The Husqvarna division offers handhel ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/29 21:44
End of Day Share Price2020/10/29 00:00
Earnings2020/09/30
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.