OM:MTG B

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Modern Times Group Mtg

Executive Summary

Modern Times Group MTG AB, through its subsidiaries, operates as a digital entertainment company in the United States, Sweden, Denmark, Germany, rest of Europe, and internationally. More Details

Rewards

Trading at 22% below our estimate of its fair value

Earnings are forecast to grow 106.57% per year

Risk Analysis

No risks detected for MTG B from our risk checks.


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Modern Times Group Mtg's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MTG B is not significantly more volatile than the rest of Swedish stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: MTG B's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-8.4%

MTG B

-9.5%

SE Entertainment

0.1%

SE Market


1 Year Return

23.6%

MTG B

114.2%

SE Entertainment

16.7%

SE Market

Return vs Industry: MTG B underperformed the Swedish Entertainment industry which returned 114.2% over the past year.

Return vs Market: MTG B exceeded the Swedish Market which returned 16.7% over the past year.


Shareholder returns

MTG BIndustryMarket
7 Day-8.4%-9.5%0.1%
30 Day7.6%-10.0%7.3%
90 Day6.3%-0.5%7.3%
1 Year23.6%23.6%116.4%114.2%18.5%16.7%
3 Year6.0%-64.7%191.2%99.6%41.3%26.0%
5 Year63.9%-50.2%-17.8%-60.8%60.4%29.4%

Long-Term Price Volatility Vs. Market

How volatile is Modern Times Group Mtg's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Modern Times Group Mtg undervalued compared to its fair value and its price relative to the market?

22.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MTG B (SEK123.9) is trading below our estimate of fair value (SEK158.84)

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


Price To Earnings Ratio

PE vs Industry: MTG B is unprofitable, so we can't compare its PE Ratio to the SE Entertainment industry average.

PE vs Market: MTG B 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 MTG B's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: MTG B is good value based on its PB Ratio (1.7x) compared to the SE Entertainment industry average (3.9x).


Next Steps

Future Growth

How is Modern Times Group Mtg forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

106.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: MTG B's revenue (11% per year) is forecast to grow faster than the Swedish market (3.3% per year).

High Growth Revenue: MTG B's revenue (11% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MTG B's Return on Equity is forecast to be low in 3 years time (3.1%).


Next Steps

Past Performance

How has Modern Times Group Mtg performed over the past 5 years?

-60.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MTG B is currently unprofitable.

Growing Profit Margin: MTG B is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MTG B is unprofitable, and losses have increased over the past 5 years at a rate of 60.3% per year.

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

Earnings vs Industry: MTG B is unprofitable, making it difficult to compare its past year earnings growth to the Entertainment industry (56.8%).


Return on Equity

High ROE: MTG B has a negative Return on Equity (-5.91%), as it is currently unprofitable.


Next Steps

Financial Health

How is Modern Times Group Mtg's financial position?


Financial Position Analysis

Short Term Liabilities: MTG B's short term assets (SEK2.7B) exceed its short term liabilities (SEK1.5B).

Long Term Liabilities: MTG B's short term assets (SEK2.7B) exceed its long term liabilities (SEK1.1B).


Debt to Equity History and Analysis

Debt Level: MTG B is debt free.

Reducing Debt: MTG B has no debt compared to 5 years ago when its debt to equity ratio was 75.1%.

Debt Coverage: MTG B has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: MTG B has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Modern Times Group Mtg current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Current Payout to Shareholders

Dividend Coverage: MTG B is not paying a notable dividend for the Swedish market.


Future Payout to Shareholders

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

2.2yrs

Average management tenure


CEO

Maria Redin (42 yo)

0.17

Tenure

Ms. Maria Redin serves as President and Chief Executive Officer at Modern Times Group Mtg AB since September 03, 2020. She had been Chief Financial Officer at Modern Times Group Mtg AB since December 3, 20...


Leadership Team

NamePositionTenureCompensationOwnership
Jorgen Lindemann
0.17yrkr20.99m0.15%
SEK 12.8m
Maria Redin
President & CEO0.17yrno data0.015%
SEK 1.2m
Lars Torstensson
CFO, Executive VP and Head of Communications & Investor Relations0.17yrno data0.026%
SEK 2.2m
Johan Levinsson
Group General Counsel2.5yrsno data0.00061%
SEK 50.9k
Christina Bellander
Executive Vice President and President - Modern Studios Business Areano datano datano data
Anna Svensson
Chief Operating Officer of MTG Radio14.42yrsno datano data
Hasse Breitholtz
Executive Vice President of MTGno datano datano data
Manfred Åkesson
Head of MTG Sweden & Free for TV & Radio the Baltics12.83yrsno datano data
Bartek Gudowski
Chief Technology Officer of Viasat Broadcasting8yrsno datano data
Arnd Benninghoff
Executive Vice President of Esports & Gaming1.83yrsno data0.0049%
SEK 411.5k
Gabriel Catrina
Executive VPno datano datano data
Tobias Gyhlénius
Head of Public Relationsno datano datano data

2.2yrs

Average Tenure

51yo

Average Age

Experienced Management: MTG B's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Chance
Independent Chairman17.5yrskr1.50m0.0053%
SEK 441.5k
Simon Duffy
Independent Non-Executive Director12.83yrskr735.00k0.0026%
SEK 217.0k
Dawn Hudson
Director0.50yrno datano data
Gerhard Florin
Independent Non-Executive Director2.5yrskr553.00kno data
Natalie Tydeman
Independent Non-Executive Director3.5yrskr770.00kno data
Marjorie Lao
Director0.50yrno datano data
Christopher Carvalho
Director0.50yrno datano data

2.5yrs

Average Tenure

61yo

Average Age

Experienced Board: MTG B's board of directors are not considered experienced ( 2.5 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Modern Times Group Mtg AB's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Modern Times Group Mtg AB
  • Ticker: MTG B
  • Exchange: OM
  • Founded: 1987
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Market Cap: kr8.346b
  • Shares outstanding: 67.34m
  • Website: https://www.mtg.com

Number of Employees


Location

  • Modern Times Group Mtg AB
  • Skeppsbron 18
  • PO Box 2094
  • Stockholm
  • Stockholm County
  • 103 13
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MTG BOM (OMX Nordic Exchange Stockholm)YesClass B SharesSESEKOct 1997
MTG AOM (OMX Nordic Exchange Stockholm)Class A SharesSESEKOct 1997
MRTDB (Deutsche Boerse AG)YesClass B SharesDEEUROct 1997
0GQYLSE (London Stock Exchange)Class A SharesGBSEKOct 1997
0GXJLSE (London Stock Exchange)YesClass B SharesGBSEKOct 1997
MTGBSBATS-CHIXE (BATS 'Chi-X Europe')YesClass B SharesGBSEKOct 1997

Biography

Modern Times Group MTG AB, through its subsidiaries, operates as a digital entertainment company in the United States, Sweden, Denmark, Germany, rest of Europe, and internationally. It operates through Esp...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/26 20:09
End of Day Share Price2020/11/26 00:00
Earnings2020/09/30
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.