OM:ALCA

Stock Analysis Report

Alcadon Group

Executive Summary

Alcadon Group AB (publ) engages in the data and telecommunications business in Sweden.

Snowflake

Fundamentals

Very undervalued with reasonable growth potential.

Risks

  • Alcadon Group has significant price volatility in the past 3 months.
  • Alcadon Group is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.4%

ALCA

-3.1%

SE Electronic

0.2%

SE Market


1 Year Return

-53.9%

ALCA

-5.1%

SE Electronic

1.7%

SE Market

ALCA underperformed the Electronic industry which returned -5.1% over the past year.

ALCA underperformed the Market in Sweden which returned 1.7% over the past year.


Share holder returns

ALCAIndustryMarket
7 Day-1.4%-3.1%0.2%
30 Day-18.7%5.6%5.8%
90 Day-36.7%-5.3%1.8%
1 Year-53.1%-53.9%-3.8%-5.1%6.0%1.7%
3 Year-25.9%-28.0%9.8%6.7%30.5%11.0%
5 Yearn/a111.5%96.5%56.7%23.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Alcadon Group undervalued based on future cash flows and its price relative to the stock market?

49%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Alcadon Group's share price is below the future cash flow value, and at a moderate discount (> 20%).

Alcadon Group's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Alcadon Group is good value based on earnings compared to the SE Electronic industry average.

Alcadon Group is good value based on earnings compared to the Sweden market.


Price Based on Expected Growth

Alcadon Group is good value based on expected growth next year.


Price Based on Value of Assets

Alcadon Group is good value based on assets compared to the SE Electronic industry average.


Next Steps

Future Growth

How is Alcadon Group expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

24.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Alcadon Group's revenue is expected to grow by 7.1% yearly, however this is not considered high growth (20% yearly).

Alcadon Group's earnings are expected to grow significantly at over 20% yearly.

Alcadon Group's revenue growth is expected to exceed the Sweden market average.

Alcadon Group's earnings growth is expected to exceed the Sweden market average.

Alcadon Group's earnings growth is expected to exceed the low risk savings rate of 0.4%.


Earnings per Share Growth Estimates


Future Return on Equity

Alcadon Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Alcadon Group performed over the past 5 years?

24.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Alcadon Group has delivered over 20% year on year earnings growth in the past 5 years.

Alcadon Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Alcadon Group's 1-year earnings growth is negative, it can't be compared to the SE Electronic industry average.


Return on Equity

Alcadon Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Alcadon Group used its assets less efficiently than the SE Electronic industry average last year based on Return on Assets.


Return on Capital Employed

Alcadon Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Alcadon Group's financial position?


Financial Position Analysis

Alcadon Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Alcadon Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Alcadon Group's level of debt (79.3%) compared to net worth is high (greater than 40%).

Unable to establish if Alcadon Group's debt level has increased without past 5-year debt data.

Debt is not well covered by operating cash flow (19.4%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 6.6x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.2x debt.


Next Steps

Dividend

What is Alcadon Group's current dividend yield, its reliability and sustainability?

3.54%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Alcadon Group's pays a higher dividend yield than the bottom 25% of dividend payers in Sweden (1.86%).

Alcadon Group's dividend is below the markets top 25% of dividend payers in Sweden (4.8%).

Whilst dividend payments have been stable, Alcadon Group has been paying a dividend for less than 10 years.

Alcadon Group has only been paying a dividend for 2 years, and since then there has been no growth.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (4.1x coverage).


Next Steps

Management

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

10.7yrs

Average management tenure


CEO

Sonny Mirborn 0

0.2yrs

Tenure

0

Sonny Mirborn serves as Chief Executive Officer at Alcadon Group AB (publ). since July 2019. 


Management Age and Tenure

10.7yrs

Average Tenure

52yo

Average Age

The average tenure for the Alcadon Group management team is over 5 years, this suggests they are a seasoned and experienced team.


Insider Trading

Alcadon Group individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sellkr389,65309 Sep 19
Joacim Löwstett
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares19,688
Max Pricekr20.15
Sellkr23,866,02027 Aug 19
Athanese Industrial Partners Ltd.
EntityCompany
Shares1,189,139
Max Pricekr20.07
Buykr23,866,02027 Aug 19
Athanese Industrial Partners Ltd.
EntityCompany
Shares1,189,139
Max Pricekr20.07
Sellkr213,46630 Apr 19
Joacim Löwstett
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares7,412
Max Pricekr28.80
Buykr118,46504 Mar 19
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,300
Max Pricekr27.55
Buykr299,27921 Feb 19
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares10,700
Max Pricekr27.97
Buykr808,92229 Dec 18
Athanese Industrial Partners Ltd.
EntityCompany
Shares27,505
Max Pricekr29.41
Buykr287,00007 Dec 18
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares10,000
Max Pricekr28.70
Sellkr287,00007 Dec 18
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares10,000
Max Pricekr28.70
Buykr85,50020 Nov 18
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares3,000
Max Pricekr28.50
Buykr29,20019 Nov 18
Mats Nyberg
EntityIndividual
Shares1,000
Max Pricekr29.20
Buykr149,05007 Nov 18
Jonas Mårtensson
EntityIndividual
Role
Chairman of the Board
Chairman
Shares5,000
Max Pricekr29.81
Buykr163,67806 Nov 18
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,335
Max Pricekr30.68
Buykr11,02505 Nov 18
Mats Nyberg
EntityIndividual
Shares350
Max Pricekr31.50
Buykr6,592,00001 Nov 18
Mats Nyberg
EntityIndividual
Shares206,000
Max Pricekr32.00
Buykr75,90001 Oct 18
Stefan Charette
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,000
Max Pricekr37.95
Sellkr4,636,80029 Sep 18
Pierre Fors
EntityIndividual
Role
Member of the Board of Directors
Director
Shares120,000
Max Pricekr38.64

Ownership Breakdown


Management Team

  • Joacim Löwstett (41yo)

    Chief Financial Officer

    • Tenure: 6.7yrs
  • Stefan Eriksson (62yo)

    Chief Business Development Officer

    • Tenure: 14.7yrs
  • Mikael Ljungman (52yo)

    Sales Manager

    • Tenure: 27.7yrs
  • Sonny Mirborn

    Chief Executive Officer

    • Tenure: 0.2yrs

Board Members

  • Stefan Charette (47yo)

    Director

    • Tenure: 3.7yrs
    • Compensation: kr113.00k
  • Jonas Mårtensson (56yo)

    Chairman

    • Tenure: 0yrs
    • Compensation: kr193.00k
  • Pierre Fors (56yo)

    Director

    • Tenure: 0yrs
    • Compensation: kr3.19m
  • Marie Ygge

    Director

    • Tenure: 0.3yrs

Company Information

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


Key Information

  • Name: Alcadon Group AB (publ)
  • Ticker: ALCA
  • Exchange: OM
  • Founded: 1988
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: kr297.566m
  • Shares outstanding: 16.86m
  • Website: https://www.alcadongroup.se

Location

  • Alcadon Group AB (publ)
  • Segelbåtsvägen 7
  • Stockholm
  • Stockholm County
  • 112 64
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ALCAOM (OMX Nordic Exchange Stockholm)YesCommon StockSESEKSep 2016

Biography

Alcadon Group AB (publ) engages in the data and telecommunications business in Sweden. It offers passive products, including installation materials, such as fiber and copper cables, sockets, and connectors ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 21:37
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
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.