OM:JM

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

JM AB (publ) develops and sells housing and residential areas in the Nordic region. More Details


Snowflake Analysis

Average dividend payer and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: JM is less volatile than 75% of Swedish stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: JM's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

0.5%

JM

-0.9%

SE Consumer Durables

0.7%

SE Market


1 Year Return

5.9%

JM

-4.1%

SE Consumer Durables

17.7%

SE Market

Return vs Industry: JM exceeded the Swedish Consumer Durables industry which returned -1.6% over the past year.

Return vs Market: JM underperformed the Swedish Market which returned 19.6% over the past year.


Shareholder returns

JMIndustryMarket
7 Day0.5%-0.9%0.7%
30 Day5.3%0.8%9.5%
90 Day6.0%4.7%9.3%
1 Year12.2%5.9%5.3%-4.1%19.6%17.7%
3 Year69.2%40.2%6.1%-10.3%43.3%27.7%
5 Year38.3%7.2%34.4%6.8%69.2%36.5%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

2.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: JM (SEK275.3) is trading below our estimate of fair value (SEK282.87)

Significantly Below Fair Value: JM is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: JM is good value based on its PE Ratio (14.1x) compared to the SE Consumer Durables industry average (19.4x).

PE vs Market: JM is good value based on its PE Ratio (14.1x) compared to the Swedish market (22.6x).


Price to Earnings Growth Ratio

PEG Ratio: JM is poor value based on its PEG Ratio (5.3x)


Price to Book Ratio

PB vs Industry: JM is overvalued based on its PB Ratio (2.5x) compared to the SE Consumer Durables industry average (2.1x).


Next Steps

Future Growth

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

2.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JM's forecast earnings growth (2.7% per year) is above the savings rate (0.5%).

Earnings vs Market: JM's earnings (2.7% per year) are forecast to grow slower than the Swedish market (11.5% per year).

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

Revenue vs Market: JM's revenue (2.2% per year) is forecast to grow slower than the Swedish market (3.4% per year).

High Growth Revenue: JM's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JM's Return on Equity is forecast to be low in 3 years time (16.2%).


Next Steps

Past Performance

How has JM performed over the past 5 years?

2.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JM has a high level of non-cash earnings.

Growing Profit Margin: JM's current net profit margins (9.2%) are lower than last year (9.3%).


Past Earnings Growth Analysis

Earnings Trend: JM's earnings have grown by 2.3% per year over the past 5 years.

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

Earnings vs Industry: JM had negative earnings growth (-8.4%) over the past year, making it difficult to compare to the Consumer Durables industry average (-11.1%).


Return on Equity

High ROE: JM's Return on Equity (18.1%) is considered low.


Next Steps

Financial Health

How is JM's financial position?


Financial Position Analysis

Short Term Liabilities: JM's short term assets (SEK22.8B) exceed its short term liabilities (SEK10.5B).

Long Term Liabilities: JM's short term assets (SEK22.8B) exceed its long term liabilities (SEK5.2B).


Debt to Equity History and Analysis

Debt Level: JM's debt to equity ratio (87%) is considered high.

Reducing Debt: JM's debt to equity ratio has increased from 23.7% to 87% over the past 5 years.

Debt Coverage: JM's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: JM's interest payments on its debt are well covered by EBIT (28.1x coverage).


Balance Sheet


Next Steps

Dividend

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

2.27%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: JM's dividend (2.27%) is higher than the bottom 25% of dividend payers in the Swedish market (1.1%).

High Dividend: JM's dividend (2.27%) is low compared to the top 25% of dividend payers in the Swedish market (3.8%).


Stability and Growth of Payments

Stable Dividend: JM's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (32%), JM's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: JM's dividends in 3 years are forecast to be covered by earnings (64.2% payout ratio).


Next Steps

Management

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

6.3yrs

Average management tenure


CEO

Johan Skoglund (58 yo)

18.08yrs

Tenure

kr6,525,000

Compensation

Mr. Johan Skoglund has been the Chief Executive Officer and President of JM AB (publ) since November 1, 2002. Mr. Skoglund was Director of Castellum AB (publ) since March 25, 2010 until March 2020. He serv...


Leadership Team

NamePositionTenureCompensationOwnership
Johan Skoglund
President & CEO18.08yrskr6.53m0.072%
SEK 13.8m
Claes Åkesson
CFO & Head of IR22.92yrsno data0.040%
SEK 7.7m
Per Lundquist
Director of Operations Development4.33yrsno data0.0065%
SEK 1.2m
Maria Bäckman
Chief Legal Counsel of Legal Affairs & Development and Secretary of the Board8.17yrsno data0.0014%
SEK 277.1k
Sepideh Imani
Head of Communication & Analysisno datano datano data
Malin Lundgren
Director of Human Resources0.083yrno datano data
Par Vennerstrom
Head of JM Residential Stockholm & Business Unit Manager of JM Residential Stockholm0.58yrno data0.0057%
SEK 1.1m
Martin Asp
President of JM Norge AS and Business Unit Manager of JM Norway & JM Finlandno datano data0.0091%
SEK 1.7m
Christian Benfatto
Senior Executive of Civil Engineering - JM Entreprenad ABno datano datano data

6.3yrs

Average Tenure

47yo

Average Age

Experienced Management: JM's management team is seasoned and experienced (6.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Thomas Thuresson
Independent Director4.67yrskr458.00k0.0022%
SEK 415.6k
Eva Nygren
Independent Director7.67yrskr465.00k0.0014%
SEK 277.1k
Kaj-Gustaf Bergh
Independent Director7.67yrskr398.00k0.0083%
SEK 1.6m
Fredrik Persson
Independent Chairman of the Board3.67yrskr950.00k0.0057%
SEK 1.1m
Olav Line
Independent Director3.67yrskr415.00k0.0011%
SEK 221.3k
Jonny Änges
Employee Representative Deputy Director5.92yrsno datano data
Annica Ånäs
Independent Director1.75yrskr215.00k0.00072%
SEK 138.5k
Kerstin Gillsbro
Independent Director1.75yrskr205.00k0.0018%
SEK 346.3k
Per Petersén
Deputy Employee Representative Director2.92yrsno datano data
Camilla Krogh
Independent Director0.75yrno datano data

3.7yrs

Average Tenure

58.5yo

Average Age

Experienced Board: JM's board of directors are considered experienced (3.7 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

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


Key Information

  • Name: JM AB (publ)
  • Ticker: JM
  • Exchange: OM
  • Founded: 1945
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Market Cap: kr19.240b
  • Shares outstanding: 69.58m
  • Website: https://www.jm.se

Number of Employees


Location

  • JM AB (publ)
  • Gustav III:s Boulevard 64
  • Solna
  • Stockholm County
  • 169 82
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JMMDB (Deutsche Boerse AG)YesCommon SharesDEEURAug 1992
JMOM (OMX Nordic Exchange Stockholm)YesCommon SharesSESEKAug 1992
0MI3LSE (London Stock Exchange)YesCommon SharesGBSEKAug 1992
JMSBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBSEKAug 1992

Biography

JM AB (publ) develops and sells housing and residential areas in the Nordic region. The company operates in five segments: JM Residential Stockholm, JM Residential Sweden, JM International, JM Property Dev...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/02 18:57
End of Day Share Price2020/12/02 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.