OM:RESURS

Stock Analysis Report

Executive Summary

Resurs Holding AB (publ), through its subsidiaries, provides payment solutions, consumer loans, and insurance products in Sweden, Denmark, Norway, and Finland.

Rewards

Trading at 37.7% below its fair value

Revenue is forecast to grow 14% per year

Earnings have grown 17.4% per year over the past 5 years

Risk Analysis

High level of non-cash earnings

Unstable dividend track record



Snowflake Analysis

Good value average dividend payer.


Similar Companies

Samsung Electronics

KOSE:A005930

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-6.7%

RESURS

-1.7%

SE Consumer Finance

-1.0%

SE Market


1 Year Return

-5.3%

RESURS

-14.2%

SE Consumer Finance

23.4%

SE Market

Return vs Industry: RESURS exceeded the Swedish Consumer Finance industry which returned -12.8% over the past year.

Return vs Market: RESURS underperformed the Swedish Market which returned 26.1% over the past year.


Shareholder returns

RESURSIndustryMarket
7 Day-6.7%-1.7%-1.0%
30 Day-10.3%0.3%0.7%
90 Day-8.8%3.7%5.8%
1 Year1.0%-5.3%-10.6%-14.2%28.6%23.4%
3 Year9.0%-11.0%-24.3%-39.1%36.4%15.4%
5 Yearn/a-9.2%-36.0%52.0%19.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

42.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RESURS (SEK60.9) is trading below our estimate of fair value (SEK97.68)

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


Price To Earnings Ratio

PE vs Industry: RESURS is good value based on its PE Ratio (10.1x) compared to the Consumer Finance industry average (12.4x).

PE vs Market: RESURS is good value based on its PE Ratio (10.1x) compared to the Swedish market (19.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: RESURS is overvalued based on its PB Ratio (1.8x) compared to the XE Consumer Finance industry average (1.3x).


Next Steps

Future Growth

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

14.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if RESURS's forecast earnings growth is above the savings rate (-0.4%).

Earnings vs Market: Insufficient data to determine if RESURS's earnings are forecast to grow faster than the Swedish market

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

Revenue vs Market: RESURS's revenue (15% per year) is forecast to grow faster than the Swedish market (4.4% per year).

High Growth Revenue: RESURS's revenue (15% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RESURS's Return on Equity is forecast to be low in 3 years time (19.6%).


Next Steps

Past Performance

How has Resurs Holding performed over the past 5 years?

17.4%

Historical annual earnings growth


Earnings and Revenue History

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

Growing Profit Margin: RESURS's current net profit margins (40.1%) are lower than last year (40.3%).


Past Earnings Growth Analysis

Earnings Trend: RESURS's earnings have grown by 17.4% per year over the past 5 years.

Accelerating Growth: RESURS's earnings growth over the past year (5.4%) is below its 5-year average (17.4% per year).

Earnings vs Industry: RESURS earnings growth over the past year (5.4%) underperformed the Consumer Finance industry 8.5%.


Return on Equity

High ROE: RESURS's Return on Equity (17.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Resurs Holding's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: RESURS has a low level of unsold assets or inventory.

Debt Coverage by Assets: RESURS's debt is not covered by short term assets (assets are 1x debt).


Financial Institutions Analysis

Asset Level: RESURS's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if RESURS has a sufficient allowance for bad loans.

Low Risk Liabilities: RESURS reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if RESURS has an acceptable proportion of non-loan assets held.

Low Risk Deposits: RESURS has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if RESURS has an appropriate level of bad loans.


Next Steps

Dividend

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

6.93%

Current Dividend Yield


Dividend Yield vs Market

company6.9%marketbottom25%1.6%markettop25%4.5%industryaverage4.3%forecastin3Years8.0%

Current dividend yield vs market & industry

Notable Dividend: RESURS's dividend (6.16%) is higher than the bottom 25% of dividend payers in the Swedish market (1.57%).

High Dividend: RESURS's dividend (6.16%) is in the top 25% of dividend payers in the Swedish market (4.45%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, RESURS has been paying a dividend for less than 10 years.

Growing Dividend: RESURS's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (61.9%), RESURS's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RESURS's dividends in 3 years are forecast to be covered by earnings (56% payout ratio).


Next Steps

Management

What is the CEO of Resurs Holding's salary, the management and board of directors tenure and is there insider trading?

2.0yrs

Average management tenure


CEO

Kenneth Nilsson (57yo)

8yrs

Tenure

kr5,966,000

Compensation

Mr. Kenneth Nilsson has been the Chief Executive Officer and President at Resurs Holding AB (publ) since 2012. Mr. Nilsson has been the Chief Executive Officer of Resurs Bank AB (publ) since September 01,  ...


CEO Compensation Analysis

Compensation vs Market: Kenneth's total compensation ($USD630.43K) is about average for companies of similar size in the Swedish market ($USD727.33K).

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


Management Age and Tenure

2.0yrs

Average Tenure

46yo

Average Age

Experienced Management: RESURS's management team is considered experienced (2 years average tenure).


Board Age and Tenure

5.0yrs

Average Tenure

53.5yo

Average Age

Experienced Board: RESURS's board of directors are considered experienced (5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Sellkr1,350,10023 Jul 19
Mariana Linder
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares23,000
Max Pricekr58.70
Buykr5,510,08030 May 19
Waldir AB
EntityCompany
Shares100,000
Max Pricekr55.10

Ownership Breakdown

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


Management Team

  • Christina Kassberg (51yo)

    Interim CFO & Head of IR

    • Tenure: 1yrs
  • Eva Brike (51yo)

    Chief Human Resources Officer

    • Tenure: 2.8yrs
  • Kenneth Nilsson (57yo)

    President & CEO

    • Tenure: 8yrs
    • Compensation: kr5.97m
  • Erik Frick (37yo)

    Chief Operating Officer

    • Tenure: 1.3yrs
  • Marcus Tillberg (44yo)

    MD of Solid Försäkringar

    • Anette Riple (44yo)

      Chief Marketing Officer

      • Tenure: 2.8yrs
    • Anna Nauclér

      Chief Commercial Officer

      • Tenure: 2yrs
    • Sebastian Green (46yo)

      Chief Information Officer

      • Tenure: 2yrs
    • Christina Ohlsson

      Investor Relations Officer


      Board Members

      • Mariana Linder (62yo)

        Independent Director

        • Tenure: 5yrs
        • Compensation: kr607.00k
      • Lars Nordstrand (68yo)

        Independent Director

        • Tenure: 8yrs
        • Compensation: kr795.00k
      • Anders Dahlvig (62yo)

        Independent Director

        • Tenure: 8yrs
        • Compensation: kr469.00k
      • Fredrik Carlsson (49yo)

        Independent Director

        • Tenure: 8yrs
        • Compensation: kr651.00k
      • Marita Engström (58yo)

        Independent Director

        • Tenure: 5yrs
        • Compensation: kr552.00k
      • Martin Bengtsson (49yo)

        Chairman

        • Tenure: 0.3yrs
        • Compensation: kr460.00k
      • Mikael Wintzell (38yo)

        Independent Director

        • Tenure: 1.8yrs
        • Compensation: kr293.00k
      • Johanna Berlinde (49yo)

        Independent Director

        • Tenure: 0.8yrs

      Company Information

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


      Key Information

      • Name: Resurs Holding AB (publ)
      • Ticker: RESURS
      • Exchange: OM
      • Founded: 1977
      • Industry: Consumer Finance
      • Sector: Diversified Financials
      • Market Cap: kr10.820b
      • Shares outstanding: 200.00m
      • Website: https://www.resursholding.se

      Number of Employees


      Location

      • Resurs Holding AB (publ)
      • Ekslingan 9
      • Väla North
      • Helsingborg
      • Skåne County
      • Sweden

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      RESURSOM (OMX Nordic Exchange Stockholm)YesShare CapitalSESEKApr 2016
      4R6DB (Deutsche Boerse AG)YesShare CapitalDEEURApr 2016
      0RFPLSE (London Stock Exchange)YesShare CapitalGBSEKApr 2016
      RSRS.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDApr 2016
      RESURSBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBSEKApr 2016

      Biography

      Resurs Holding AB (publ), through its subsidiaries, provides payment solutions, consumer loans, and insurance products in Sweden, Denmark, Norway, and Finland. The company’s payment solutions comprises retail finance, which includes sales-driving finance, and payment and loyalty solutions to chain stores and e-commerce companies; credit cards for retail finance partner; and factoring that focuses on invoice factoring and invoice discounting for small and mid-sized companies increase their liquidity and reduce credit risk. It also offers consumer loans focusing primarily on lending to consumers; and insurance products, such as product, security, motor, and travel. The company was founded in 1977 and is headquartered in Helsingborg, Sweden. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/23 22:32
      End of Day Share Price2020/01/23 00:00
      Earnings2019/09/30
      Annual Earnings2018/12/31


      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.