Kinnevik (OM:KINV B) - Share price, News & Analysis

Q: What is the Fair Price of KINV B when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

KINV B (SEK168.55) is trading below our estimate of [[fair value]] (SEK1544.42)

KINV B fundamental analysis
Snowflake Score
Valuation	5/6
Future Growth	0/6
Past Performance	3/6
Financial Health	5/6
Dividends	0/6

KINV B Stock Overview

Kinnevik AB formerly known as Investment AB Kinnevik, is a venture capital firm specializing in investments in growth capital.

Rewards

Trading at 89.1% below our estimate of its fair value

Risk Analysis

Earnings are forecast to decline by an average of 13.3% per year for the next 3 years

Kinnevik Competitors

L E Lundbergföretagen

OM:LUND B

kr104.7b

Creades

OM:CRED A

kr10.7b

Investor

OM:INVE A

kr539.5b

Svolder

OM:SVOL B

kr5.5b

Price History & Performance

Summary of all time highs, changes and price drops for Kinnevik
Historical stock prices
Current Share Price	kr168.55
52 Week High	kr407.75
52 Week Low	kr151.45
Beta	1.16
1 Month Change	-14.44%
3 Month Change	-31.90%
1 Year Change	-50.80%
3 Year Change	-30.32%
5 Year Change	-34.31%
Change since IPO	349.47%

Shareholder Returns

	KINV B	SE Diversified Financial	SE Market
7D	2.4%	0.8%	-0.06%
1Y	-50.8%	-16.2%	-22.4%

Return vs Industry: KINV B underperformed the Swedish Diversified Financial industry which returned -15.6% over the past year.

Return vs Market: KINV B underperformed the Swedish Market which returned -22.4% over the past year.

Price Volatility

Is KINV B's price volatile compared to industry and market?
KINV B volatility
KINV B Average Weekly Movement	7.0%
Diversified Financial Industry Average Movement	5.3%
Market Average Movement	7.4%
10% most volatile stocks in SE Market	12.3%
10% least volatile stocks in SE Market	4.7%

Stable Share Price: KINV B is not significantly more volatile than the rest of Swedish stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: KINV B's weekly volatility (7%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1936	40	Georgi Ganev	https://www.kinnevik.com

Kinnevik AB formerly known as Investment AB Kinnevik, is a venture capital firm specializing in investments in growth capital. It prefers to invest in digital consumer business, education, communication, e-commerce and marketplaces, entertainment, healthcare, and financial services but may also invest in other areas. The firm invests worldwide, especially in Europe with a focus on the Nordics, Latin America, Asia, Australia, Africa, and North America.

Kinnevik Fundamentals Summary

How do Kinnevik's earnings and revenue compare to its market cap?
KINV B fundamental statistics
Market Cap	kr47.39b
Earnings (TTM)	kr4.16b
Revenue (TTM)	kr4.23b

11.3x

P/E Ratio

11.1x

P/S Ratio

Is KINV B overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
KINV B income statement (TTM)
Revenue	kr4.23b
Cost of Revenue	kr0
Gross Profit	kr4.23b
Other Expenses	kr69.00m
Earnings	kr4.16b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 11, 2022

Earnings per share (EPS)	14.98
Gross Margin	100.00%
Net Profit Margin	98.37%
Debt/Equity Ratio	5.2%

How did KINV B perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is KINV B undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for KINV B?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for KINV B. This is calculated by dividing KINV B's market cap by their current preferred multiple.
What is KINV B's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	kr47.39b

KINV B key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	10x
Enterprise Value/EBITDA	n/a
PEG Ratio	-0.8x

Price to Earnings Ratio vs Peers

How does KINV B's PE Ratio compare to its peers?

KINV B PE Ratio vs Peers

The above table shows the PE ratio for KINV B vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	14.5x
LUND B L E Lundbergföretagen	21.3x	n/a	kr104.7b
CRED A Creades	13.7x	n/a	kr10.7b
INVE A Investor	8x	n/a	kr539.5b
SVOL B Svolder	15x	n/a	kr5.5b
KINV B Kinnevik	11.3x	-13.3%	kr47.4b

Forward PE

Price-To-Earnings vs Peers: KINV B is good value based on its Price-To-Earnings Ratio (11.3x) compared to the peer average (14.5x).

Price to Earnings Ratio vs Industry

How does KINV B's PE Ratio compare vs other companies in the European Diversified Financial Industry?

Price-To-Earnings vs Industry: KINV B is good value based on its Price-To-Earnings Ratio (11.3x) compared to the Swedish Diversified Financial industry average (14.5x)

Price to Earnings Ratio vs Fair Ratio

What is KINV B's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

KINV B PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	11.3x
Fair PE Ratio	15.5x

Price-To-Earnings vs Fair Ratio: KINV B is good value based on its Price-To-Earnings Ratio (11.3x) compared to the estimated Fair Price-To-Earnings Ratio (15.5x).

Share Price vs Fair Value

What is the Fair Price of KINV B when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: KINV B (SEK168.55) is trading below our estimate of fair value (SEK1544.42)

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

Price to Earnings Growth Ratio

PEG Ratio: KINV B's earnings are forecast to decline next year, so we can't calculate its PEG ratio.

Discover undervalued companies

Future Growth

How is Kinnevik forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-13.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: KINV B's earnings are forecast to decline over the next 3 years (-13.3% per year).

Earnings vs Market: KINV B's earnings are forecast to decline over the next 3 years (-13.3% per year).

High Growth Earnings: KINV B's earnings are forecast to decline over the next 3 years.

Revenue vs Market: KINV B's revenue is expected to decline over the next 3 years (-3.3% per year).

High Growth Revenue: KINV B's revenue is forecast to decline over the next 3 years (-3.3% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: KINV B's Return on Equity is forecast to be low in 3 years time (5.2%).

Discover growth companies

Past Performance

How has Kinnevik performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

19.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: KINV B has high quality earnings.

Growing Profit Margin: KINV B's current net profit margins (98.4%) are higher than last year (97.8%).

Past Earnings Growth Analysis

Earnings Trend: KINV B's earnings have grown by 19.8% per year over the past 5 years.

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

Earnings vs Industry: KINV B had negative earnings growth (-92.4%) over the past year, making it difficult to compare to the Diversified Financial industry average (-73.7%).

Return on Equity

High ROE: KINV B's Return on Equity (6.1%) is considered low.

Discover strong past performing companies

Financial Health

How is Kinnevik's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: KINV B's short term assets (SEK8.6B) exceed its short term liabilities (SEK1.8B).

Long Term Liabilities: KINV B's short term assets (SEK8.6B) exceed its long term liabilities (SEK4.6B).

Debt to Equity History and Analysis

Debt Level: KINV B has more cash than its total debt.

Reducing Debt: KINV B's debt to equity ratio has increased from 2.7% to 5.2% over the past 5 years.

Debt Coverage: KINV B's debt is well covered by operating cash flow (36.8%).

Interest Coverage: KINV B earns more interest than it pays, so coverage of interest payments is not a concern.

Balance Sheet

Discover healthy companies

Dividend

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

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

2.36%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

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

Earnings Payout to Shareholders

Earnings Coverage: KINV B is not paying a notable dividend for the Swedish market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as KINV B has not reported any payouts.

Discover strong dividend paying companies

Management

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

1.9yrs

Average management tenure

CEO

Georgi Ganev (45 yo)

4.42yrs

Tenure

Mr. Georgi Ganev has been Supervisory Board Vice Chairman at Global Fashion Group S.A. since June 17, 2019. He serves as Chief Executive Officer at Kinnevik AB since January 1, 2018. He served as Director...

Leadership Team

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

Board Members

Experienced Board: KINV B's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.

Ownership

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

Insider Trading Volume

Insider Buying: KINV B 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/29 00:00
End of Day Share Price	2022/06/29 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31