Fortinova Fastigheter (OM:FNOVA B) - Share price, News & Analysis

FNOVA B fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	1/6
Financial Health	1/6
Dividends	2/6

FNOVA B Stock Overview

Fortinova Fastigheter AB (Publ), a real estate company, acquires, develops, and manages residential properties in Sweden.

Rewards

Trading at 54.8% below our estimate of its fair value

Revenue grew by 41.2% over the past year

Risk Analysis

Debt is not well covered by operating cash flow

Large one-off items impacting financial results

Fortinova Fastigheter Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Fortinova Fastigheter
Historical stock prices
Current Share Price	kr35.60
52 Week High	kr65.00
52 Week Low	kr32.10
Beta	0
1 Month Change	-8.25%
3 Month Change	-32.96%
1 Year Change	-22.27%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-23.38%

Shareholder Returns

	FNOVA B	SE Real Estate	SE Market
7D	-5.6%	0.07%	-1.0%
1Y	-22.3%	-29.4%	-23.6%

Return vs Industry: FNOVA B exceeded the Swedish Real Estate industry which returned -27.8% over the past year.

Return vs Market: FNOVA B underperformed the Swedish Market which returned -20.4% over the past year.

Price Volatility

Is FNOVA B's price volatile compared to industry and market?
FNOVA B volatility
FNOVA B Average Weekly Movement	8.3%
Real Estate Industry Average Movement	5.8%
Market Average Movement	7.4%
10% most volatile stocks in SE Market	12.2%
10% least volatile stocks in SE Market	4.7%

Stable Share Price: FNOVA B is not significantly more volatile than the rest of Swedish stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: FNOVA B's weekly volatility (8%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2010	48	Anders Johansson	https://www.fortinova.se

Fortinova Fastigheter AB (Publ), a real estate company, acquires, develops, and manages residential properties in Sweden. The company was founded in 2010 and is headquartered in Varberg, Sweden.

Fortinova Fastigheter Fundamentals Summary

How do Fortinova Fastigheter's earnings and revenue compare to its market cap?
FNOVA B fundamental statistics
Market Cap	kr1.83b
Earnings (TTM)	kr301.70m
Revenue (TTM)	kr228.90m

6.1x

P/E Ratio

8.0x

P/S Ratio

Is FNOVA B overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FNOVA B income statement (TTM)
Revenue	kr228.90m
Cost of Revenue	kr105.90m
Gross Profit	kr123.00m
Other Expenses	-kr178.70m
Earnings	kr301.70m

Last Reported Earnings

Feb 28, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	5.88
Gross Margin	53.74%
Net Profit Margin	131.80%
Debt/Equity Ratio	90.3%

How did FNOVA B perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

8%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

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 FNOVA B?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for FNOVA B. This is calculated by dividing FNOVA B's market cap by their current preferred multiple.
What is FNOVA B's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	kr1.83b

FNOVA 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	14x
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

FNOVA B PE Ratio vs Peers

The above table shows the PE ratio for FNOVA 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	3.5x

Forward PE

Price-To-Earnings vs Peers: FNOVA B is expensive based on its Price-To-Earnings Ratio (6.1x) compared to the peer average (3.5x).

Price to Earnings Ratio vs Industry

How does FNOVA B's PE Ratio compare vs other companies in the Swedish Real Estate Industry?

Price-To-Earnings vs Industry: FNOVA B is expensive based on its Price-To-Earnings Ratio (6.1x) compared to the Swedish Real Estate industry average (4.4x)

Price to Earnings Ratio vs Fair Ratio

What is FNOVA 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.

FNOVA B PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	6.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate FNOVA B's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

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

Below Fair Value: FNOVA B (SEK35.6) is trading below our estimate of fair value (SEK78.73)

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

Price to Earnings Growth Ratio

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

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Future Growth

How is Fortinova Fastigheter forecast to perform in the next 1 to 3 years based on estimates from 0 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

-25.1%

Forecasted Real Estate industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Fortinova Fastigheter has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Take a look at our analysis of FNOVA B’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
Fortinova Fastigheter competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Fortinova Fastigheter performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

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

80.6%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: FNOVA B has a large one-off gain of SEK282.4M impacting its February 28 2022 financial results.

Growing Profit Margin: FNOVA B's current net profit margins are higher than last year .

Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if FNOVA B's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare FNOVA B's past year earnings growth to its 5-year average.

Earnings vs Industry: FNOVA B earnings growth over the past year (80.6%) underperformed the Real Estate industry 109.3%.

Return on Equity

High ROE: FNOVA B's Return on Equity (13%) is considered low.

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Financial Health

How is Fortinova Fastigheter's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

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

Financial Position Analysis

Short Term Liabilities: FNOVA B's short term assets (SEK826.0M) do not cover its short term liabilities (SEK1.2B).

Long Term Liabilities: FNOVA B's short term assets (SEK826.0M) do not cover its long term liabilities (SEK1.1B).

Debt to Equity History and Analysis

Debt Level: FNOVA B's net debt to equity ratio (59.3%) is considered high.

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

Debt Coverage: FNOVA B's debt is not well covered by operating cash flow (4.3%).

Interest Coverage: FNOVA B's interest payments on its debt are well covered by EBIT (5.8x coverage).

Balance Sheet

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Dividend

What is Fortinova Fastigheter current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

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

1.29%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: FNOVA B's dividend (1.29%) isn’t notable compared to the bottom 25% of dividend payers in the Swedish market (1.65%).

High Dividend: FNOVA B's dividend (1.29%) is low compared to the top 25% of dividend payers in the Swedish market (5.34%).

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (7.7%), FNOVA B's dividend payments are thoroughly covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (42.2%), FNOVA B'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?

0.8yrs

Average management tenure

CEO

Anders Johansson

no data

Tenure

Mr. Anders Johansson serves as Chief Executive Officer at Fortinova Fastigheter AB (Publ). Mr. Johansson Founded Fortinova in 2010 and has since the start been responsible for day-to-day management. He hol...

Leadership Team

Experienced Management: FNOVA B's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.

Board Members

Experienced Board: FNOVA B's board of directors are considered experienced (5.4 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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/23 00:00
End of Day Share Price	2022/06/23 00:00
Earnings	2022/02/28
Annual Earnings	2021/08/31