OM:EQT

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

EQT AB (publ) is a private equity firm specializing in buyout investments. More Details


Snowflake Analysis

Exceptional growth potential with excellent balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: EQT is less volatile than 75% of Swedish stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: EQT's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

-4.2%

EQT

-3.9%

SE Capital Markets

-0.4%

SE Market


1 Year Return

65.9%

EQT

61.4%

SE Capital Markets

13.3%

SE Market

Return vs Industry: EQT underperformed the Swedish Capital Markets industry which returned 67.9% over the past year.

Return vs Market: EQT exceeded the Swedish Market which returned 15.4% over the past year.


Shareholder returns

EQTIndustryMarket
7 Day-4.2%-3.9%-0.4%
30 Day8.4%8.8%4.0%
90 Day8.7%11.8%7.8%
1 Year67.9%65.9%63.6%61.4%16.4%13.3%
3 Yearn/a99.1%83.6%45.2%27.9%
5 Yearn/a156.3%116.7%85.8%46.5%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

147.28x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: EQT (SEK207) is trading above our estimate of fair value (SEK154.43)

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


Price To Earnings Ratio

PE vs Industry: EQT is poor value based on its PE Ratio (147.3x) compared to the SE Capital Markets industry average (27.1x).

PE vs Market: EQT is poor value based on its PE Ratio (147.3x) compared to the Swedish market (23.8x).


Price to Earnings Growth Ratio

PEG Ratio: EQT is poor value based on its PEG Ratio (5.2x)


Price to Book Ratio

PB vs Industry: EQT is overvalued based on its PB Ratio (20.9x) compared to the SE Capital Markets industry average (1.3x).


Next Steps

Future Growth

How is EQT forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

28.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EQT's forecast earnings growth (28.4% per year) is above the savings rate (0.4%).

Earnings vs Market: EQT's earnings (28.4% per year) are forecast to grow faster than the Swedish market (12% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: EQT's revenue (22.5% per year) is forecast to grow faster than the Swedish market (3.4% per year).

High Growth Revenue: EQT's revenue (22.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EQT's Return on Equity is forecast to be high in 3 years time (37.7%)


Next Steps

Past Performance

How has EQT performed over the past 5 years?

34.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EQT has high quality earnings.

Growing Profit Margin: EQT's current net profit margins (22.1%) are lower than last year (32.4%).


Past Earnings Growth Analysis

Earnings Trend: EQT's earnings have grown significantly by 34.1% per year over the past 5 years.

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

Earnings vs Industry: EQT had negative earnings growth (-19%) over the past year, making it difficult to compare to the Capital Markets industry average (106.2%).


Return on Equity

High ROE: EQT's Return on Equity (13.9%) is considered low.


Next Steps

Financial Health

How is EQT's financial position?


Financial Position Analysis

Short Term Liabilities: EQT's short term assets (€1.1B) exceed its short term liabilities (€323.0M).

Long Term Liabilities: EQT's short term assets (€1.1B) exceed its long term liabilities (€78.0M).


Debt to Equity History and Analysis

Debt Level: EQT's debt to equity ratio (0.9%) is considered satisfactory.

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

Debt Coverage: EQT's debt is well covered by operating cash flow (2808.8%).

Interest Coverage: EQT's interest payments on its debt are well covered by EBIT (22.4x coverage).


Balance Sheet


Next Steps

Dividend

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

1.01%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: EQT's dividend (1.01%) is higher than the bottom 25% of dividend payers in the Swedish market (0.93%).

High Dividend: EQT's dividend (1.01%) is low compared to the top 25% of dividend payers in the Swedish market (3.54%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether EQT's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if EQT's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (151.2%), EQT's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: EQT's dividends in 3 years are forecast to be covered by earnings (68.5% payout ratio).


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Christian Sinding (48 yo)

2yrs

Tenure

€400,000

Compensation

Mr. Christian Sinding has been Managing Partner and Chief Executive Officer of EQT Partners AB since January 1, 2019. He has been Managing Partner and Chief Executive Officer of EQT AB since January 1, 201...


CEO Compensation Analysis

Compensation vs Market: Christian's total compensation ($USD483.62K) is below average for companies of similar size in the Swedish market ($USD2.00M).

Compensation vs Earnings: Insufficient data to compare Christian's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Christian Sinding
CEO & Managing Partner2yrs€400.00k3.28%
€ 6.8b
Caspar Callerström
Deputy CEO & COO3.92yrs€500.00k3.19%
€ 6.6b
Kim Henriksson
Chief Financial Officer2.25yrsno data0.024%
€ 48.8m
Lena Almefelt
General Counselno datano datano data
Nina Nornholm
Head of Communicationsno datano datano data
Anna Wahlström
Global Head of Human Resources3.25yrsno data0.061%
€ 125.2m
Lennart Blecher
Deputy Managing Partnerno datano data3.4%
€ 7.0b
Jussi Saarinen
Partner and Head of Client Relations & Capital Raising7yrsno data0.20%
€ 405.3m
Thomas von Koch
Deputy Managing Partner & Chairperson of Asia-Pacific2yrs€481.91k4.03%
€ 8.3b
Ken Wong
MD and Head of EQT Australia & New Zealandno datano datano data
Therése Lennehag
Head of Sustainabilityno datano datano data
Marcus Brennecke
Co-Head of Private Equity Advisory Teamno datano data3.27%
€ 6.8b

2.8yrs

Average Tenure

52.5yo

Average Age

Experienced Management: EQT's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Conni Jonsson
Chairperson7.42yrs€300.00k4.86%
€ 10.0b
Johan Forssell
Director5.42yrs€100.00kno data
Finn Rausing
Independent Director7.42yrs€100.00kno data
Diony Lebot
Director0.58yrno datano data
Peter Wallenberg
Director6.5yrs€100.00kno data
Edith Cooper
Independent Director2.25yrs€200.00kno data
Gordon Robert-Halyburton Orr
Independent Director2.25yrs€200.00k0.0033%
€ 6.8m
Nicola Kimm
Director0.58yrno datano data

3.8yrs

Average Tenure

59yo

Average Age

Experienced Board: EQT's board of directors are considered experienced (3.8 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

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


Key Information

  • Name: EQT AB (publ)
  • Ticker: EQT
  • Exchange: OM
  • Founded: 2012
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: kr206.771b
  • Shares outstanding: 953.30m
  • Website: https://www.eqtgroup.com

Number of Employees


Location

  • EQT AB (publ)
  • Regeringsgatan 25
  • Stockholm
  • Stockholm County
  • 111 53
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EQTOM (OMX Nordic Exchange Stockholm)YesShare CapitalSESEKSep 2019
EQTSBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBSEKSep 2019
6EQDB (Deutsche Boerse AG)YesShare CapitalDEEURSep 2019
EQBB.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDSep 2019

Biography

EQT AB (publ) is a private equity firm specializing in buyout investments. It seeks to focus on investment opportunities in Australia and New Zealand. It seeks to take a majority stake. EQT AB (publ) was f...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/15 19:19
End of Day Share Price2021/01/15 00:00
Earnings2020/06/30
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.