OM:STRAX

Stock Analysis Report

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Executive Summary

Strax AB (publ) designs, develops, manufactures, and sells mobile accessories worldwide.


Snowflake Analysis

High growth potential and slightly overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

8.5%

STRAX

6.1%

SE Consumer Durables

3.9%

SE Market


1 Year Return

73.9%

STRAX

-19.9%

SE Consumer Durables

11.2%

SE Market

Return vs Industry: STRAX exceeded the Swedish Consumer Durables industry which returned -23.1% over the past year.

Return vs Market: STRAX exceeded the Swedish Market which returned 9.4% over the past year.


Shareholder returns

STRAXIndustryMarket
7 Day8.5%6.1%3.9%
30 Day35.6%26.6%13.1%
90 Day0.3%-9.1%4.0%
1 Year73.9%73.9%-12.4%-19.9%12.8%11.2%
3 Year-35.9%-35.9%-29.8%-38.1%17.5%1.6%
5 Yearn/a-4.2%-25.5%36.5%9.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Strax 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: STRAX (SEK3.3) is trading below our estimate of fair value (SEK10.41)

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


Price To Earnings Ratio

PE vs Industry: STRAX is unprofitable, so we can't compare its PE Ratio to the Consumer Durables industry average.

PE vs Market: STRAX is unprofitable, so we can't compare its PE Ratio to the Swedish market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: STRAX is overvalued based on its PB Ratio (2.1x) compared to the SE Consumer Durables industry average (1.7x).


Next Steps

Future Growth

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

66.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STRAX is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.5%).

Earnings vs Market: STRAX is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: STRAX's is expected to become profitable in the next 3 years.

Revenue vs Market: STRAX's revenue (6.2% per year) is forecast to grow faster than the Swedish market (5.9% per year).

High Growth Revenue: STRAX's revenue (6.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STRAX's Return on Equity is forecast to be high in 3 years time (22%)


Next Steps

Past Performance

How has Strax performed over the past 5 years?

26.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STRAX is currently unprofitable.

Growing Profit Margin: STRAX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: STRAX is unprofitable, but has reduced losses over the past 5 years at a rate of 26.1% per year.

Accelerating Growth: Unable to compare STRAX's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: STRAX is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Durables industry (-7.7%).


Return on Equity

High ROE: STRAX has a negative Return on Equity (-21.39%), as it is currently unprofitable.


Next Steps

Financial Health

How is Strax's financial position?


Financial Position Analysis

Short Term Liabilities: STRAX's short term assets (€50.5M) do not cover its short term liabilities (€53.9M).

Long Term Liabilities: STRAX's short term assets (€50.5M) exceed its long term liabilities (€12.2M).


Debt to Equity History and Analysis

Debt Level: STRAX's debt to equity ratio (89.7%) is considered high.

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

Debt Coverage: STRAX's debt is not well covered by operating cash flow (9.3%).

Interest Coverage: STRAX is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Strax's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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

2.4yrs

Average management tenure


CEO

Gudmundur Palmason (51yo)

no data

Tenure

€281,000

Compensation

Mr. Gudmundur Palmason serves as Chief Executive Officer and Managing Director at Strax AB (publ) and has been its Executive Director since 1999. Mr. Palmason serves as Managing Director at STRAX GmbH. Mr ...


CEO Compensation Analysis

Compensation vs Market: Gudmundur's total compensation ($USD314.32K) is above average for companies of similar size in the Swedish market ($USD221.38K).

Compensation vs Earnings: Gudmundur's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Gudmundur Palmason
CEO, MD & Executive Directorno data€281.00k26.04% 100.5m
Ingvi Tomasson
Founder & Director4.17yrs€299.00k25.87% 99.8m
Johan Heijbel
Chief Financial Officer4.08yrsno data0.065% 250.7k
Alap Shah
Chief Operations Officer0.67yrno datano data
Frank Hackmann
Head of European Distribution & Management of Procurist0.42yrno datano data
Marco Delhey
Head of Group Purchasing & Product Management OEM/Brands10.42yrsno datano data
James Myring
Chief Operating Officer of STRAX ASIA Ltdno datano datano data
Martin Wagner
Head of Group Marketingno datano datano data

2.4yrs

Average Tenure

51yo

Average Age

Experienced Management: STRAX's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Gudmundur Palmason
CEO, MD & Executive Directorno data€281.00k26.04% 100.5m
Ingvi Tomasson
Founder & Director4.17yrs€299.00k25.87% 99.8m
Anders Lönnqvist
Independent Director20.42yrs€16.00k1.07% 4.1m
Bertil Villard
Independent Chairman of the Board4.17yrs€23.00k0.34% 1.3m
Pia Anderberg
Independent Director2.08yrs€16.00kno data

4.2yrs

Average Tenure

55yo

Average Age

Experienced Board: STRAX's board of directors are considered experienced (4.2 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Strax AB (publ)
  • Ticker: STRAX
  • Exchange: OM
  • Founded: 1995
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Market Cap: kr385.895m
  • Shares outstanding: 120.59m
  • Website: https://www.strax.com

Number of Employees


Location

  • Strax AB (publ)
  • MAester Samuelsgatan 10
  • Stockholm
  • Stockholm County
  • 111 44
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STRAXOM (OMX Nordic Exchange Stockholm)YesRegistered SharesSESEKMay 2016
NOBCDB (Deutsche Boerse AG)YesRegistered SharesDEEURMay 2016
STRAXSBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBSEKMay 2016

Biography

Strax AB (publ) designs, develops, manufactures, and sells mobile accessories worldwide. It offers a range of protection, power, and audio products, as well as connected devices. The company provides its products under proprietary brands, such as XQISIT, Urbanista, and THOR GLASS, as well as under licensed brands comprising Adidas and Bugatti; and business-to-business POS solutions and business-to-consumer online shopping options. The company provides its products through telecom operators, mass merchants, and consumer electronics and lifestyle retailers, as well as directly through online. Strax AB (publ) was founded in 1995 and is based in Stockholm, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/05 10:19
End of Day Share Price2020/06/04 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.