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SSAB

SSAB OM:SSAB A Stock Report

Last Price

kr45.48

Market Cap

kr44.6b

7D

-4.7%

1Y

11.5%

Updated

26 Jun, 2022

Data

Company Financials +
SSAB A fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance6/6
Financial Health6/6
Dividends5/6

SSAB A Stock Overview

SSAB AB (publ) produces and sells steel products in the United States, Sweden, Finland, Germany, Denmark, and internationally.

SSAB Competitors

Price History & Performance

Summary of all time highs, changes and price drops for SSAB
Historical stock prices
Current Share Pricekr45.48
52 Week Highkr75.56
52 Week Lowkr40.78
Beta1.27
1 Month Change-24.88%
3 Month Change-38.07%
1 Year Change11.47%
3 Year Change40.50%
5 Year Change18.28%
Change since IPO565.56%

Recent News & Updates

May 09
Estimating The Intrinsic Value Of SSAB AB (publ) (STO:SSAB A)

Estimating The Intrinsic Value Of SSAB AB (publ) (STO:SSAB A)

In this article we are going to estimate the intrinsic value of SSAB AB (publ) ( STO:SSAB A ) by taking the forecast...

Apr 24
We Think SSAB (STO:SSAB A) Can Stay On Top Of Its Debt

We Think SSAB (STO:SSAB A) Can Stay On Top Of Its Debt

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Shareholder Returns

SSAB ASE Metals and MiningSE Market
7D-4.7%-4.9%-1.3%
1Y11.5%0.4%-23.6%

Return vs Industry: SSAB A exceeded the Swedish Metals and Mining industry which returned 0.4% over the past year.

Return vs Market: SSAB A exceeded the Swedish Market which returned -23.6% over the past year.

Price Volatility

Is SSAB A's price volatile compared to industry and market?
SSAB A volatility
SSAB A Average Weekly Movement6.7%
Metals and Mining Industry Average Movement7.7%
Market Average Movement7.4%
10% most volatile stocks in SE Market12.2%
10% least volatile stocks in SE Market4.7%

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

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

About the Company

FoundedEmployeesCEOWebsite
187814,361Martin Lindqvisthttps://www.ssab.com

SSAB AB (publ) produces and sells steel products in the United States, Sweden, Finland, Germany, Denmark, and internationally. It operates through five segments: SSAB Special Steels, SSAB Europe, SSAB Americas, Tibnor, and Ruukki Construction. The SSAB Special Steels segment offers quenched and tempered steels, and hot-rolled advanced high-strength steel products.

SSAB Fundamentals Summary

How do SSAB's earnings and revenue compare to its market cap?
SSAB A fundamental statistics
Market Capkr44.60b
Earnings (TTM)kr19.17b
Revenue (TTM)kr107.81b

2.4x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SSAB A income statement (TTM)
Revenuekr107.81b
Cost of Revenuekr77.57b
Gross Profitkr30.23b
Other Expenseskr11.07b
Earningskr19.17b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 22, 2022

Earnings per share (EPS)18.61
Gross Margin28.05%
Net Profit Margin17.78%
Debt/Equity Ratio12.1%

How did SSAB A perform over the long term?

See historical performance and comparison

Dividends

11.5%

Current Dividend Yield

28%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • 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 SSAB A?

Other financial metrics that can be useful for relative valuation.

SSAB A 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/Revenue0.4x
Enterprise Value/EBITDA1.4x
PEG Ratio-0.04x

Price to Earnings Ratio vs Peers

How does SSAB A's PE Ratio compare to its peers?

SSAB A PE Ratio vs Peers
The above table shows the PE ratio for SSAB A vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average12.8x
BOL Boliden
8.6x-13.4%kr90.4b
HOLM B Holmen
17.9x-16.2%kr68.9b
HPOL B HEXPOL
12.3x6.7%kr29.9b
BILL BillerudKorsnäs
12.4x7.3%kr24.6b
SSAB A SSAB
2.4x-55.9%kr44.6b

Price-To-Earnings vs Peers: SSAB A is good value based on its Price-To-Earnings Ratio (2.4x) compared to the peer average (12.8x).


Price to Earnings Ratio vs Industry

How does SSAB A's PE Ratio compare vs other companies in the European Metals and Mining Industry?

Price-To-Earnings vs Industry: SSAB A is good value based on its Price-To-Earnings Ratio (2.4x) compared to the Swedish Metals and Mining industry average (13.1x)


Price to Earnings Ratio vs Fair Ratio

What is SSAB A'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.

SSAB A PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio2.4x
Fair PE Ratio3.4x

Price-To-Earnings vs Fair Ratio: SSAB A is good value based on its Price-To-Earnings Ratio (2.4x) compared to the estimated Fair Price-To-Earnings Ratio (3.4x).


Share Price vs Fair Value

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

Below Fair Value: SSAB A (SEK45.48) is trading below our estimate of fair value (SEK50.53)

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


Price to Earnings Growth Ratio

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


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Future Growth

How is SSAB forecast to perform in the next 1 to 3 years based on estimates from 15 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


-55.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SSAB A's earnings are forecast to decline over the next 3 years (-55.9% per year).

Earnings vs Market: SSAB A's earnings are forecast to decline over the next 3 years (-55.9% per year).

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

Revenue vs Market: SSAB A's revenue is expected to decline over the next 3 years (-13.3% per year).

High Growth Revenue: SSAB A's revenue is forecast to decline over the next 3 years (-13.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SSAB A's Return on Equity is forecast to be low in 3 years time (7.8%).


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Past Performance

How has SSAB performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


37.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SSAB A has high quality earnings.

Growing Profit Margin: SSAB A's current net profit margins (17.8%) are higher than last year (1.2%).


Past Earnings Growth Analysis

Earnings Trend: SSAB A's earnings have grown significantly by 37.4% per year over the past 5 years.

Accelerating Growth: SSAB A's earnings growth over the past year (2234.7%) exceeds its 5-year average (37.4% per year).

Earnings vs Industry: SSAB A earnings growth over the past year (2234.7%) exceeded the Metals and Mining industry 171.9%.


Return on Equity

High ROE: SSAB A's Return on Equity (23.5%) is considered high.


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Financial Health

How is SSAB's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: SSAB A's short term assets (SEK63.8B) exceed its short term liabilities (SEK29.4B).

Long Term Liabilities: SSAB A's short term assets (SEK63.8B) exceed its long term liabilities (SEK12.9B).


Debt to Equity History and Analysis

Debt Level: SSAB A has more cash than its total debt.

Reducing Debt: SSAB A's debt to equity ratio has reduced from 42% to 12.1% over the past 5 years.

Debt Coverage: SSAB A's debt is well covered by operating cash flow (171.1%).

Interest Coverage: SSAB A's interest payments on its debt are well covered by EBIT (39x coverage).


Balance Sheet


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Dividend

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

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


11.54%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: SSAB A's dividend (11.54%) is higher than the bottom 25% of dividend payers in the Swedish market (1.67%).

High Dividend: SSAB A's dividend (11.54%) is in the top 25% of dividend payers in the Swedish market (5.41%)


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (28.2%), SSAB A's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (41.7%), SSAB A's dividend payments are well covered by cash flows.


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Management

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

6.3yrs

Average management tenure


CEO

Martin Lindqvist (59 yo)

11.42yrs

Tenure

Mr. Martin Lindqvist, B.Sc. (Economics) Eng, M.B.A, has been the Chief Executive Officer and President of SSAB AB (publ) since January 01, 2011. Mr. Lindqvist is employed at SSAB since 1998. He had been th...


Leadership Team

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


Board Members

Experienced Board: SSAB A's board of directors are not considered experienced ( 1.4 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: 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

SSAB AB (publ)'s employee growth, exchange listings and data sources


Key Information

  • Name: SSAB AB (publ)
  • Ticker: SSAB A
  • Exchange: OM
  • Founded: 1878
  • Industry: Steel
  • Sector: Materials
  • Implied Market Cap: kr44.602b
  • Shares outstanding: 1.03b
  • Website: https://www.ssab.com

Number of Employees


Location

  • SSAB AB (publ)
  • Klarabergsviadukten 70, D6
  • PO Box 70
  • Stockholm
  • Stockholm County
  • 101 21
  • Sweden

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/26 00:00
End of Day Share Price2022/06/23 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.