OM:HEXA B

Stock Analysis Report

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Executive Summary

Hexagon AB (publ) provides information technology solutions for geospatial and industrial landscapes worldwide. More Details

Rewards

Earnings are forecast to grow 18.54% per year

Risk Analysis

No risks detected for HEXA B from our risk checks.


Snowflake Analysis

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-4.7%

HEXA B

-1.6%

SE Electronic

-1.1%

SE Market


1 Year Return

32.3%

HEXA B

39.2%

SE Electronic

13.4%

SE Market

Return vs Industry: HEXA B underperformed the Swedish Electronic industry which returned 39.2% over the past year.

Return vs Market: HEXA B exceeded the Swedish Market which returned 13.4% over the past year.


Shareholder returns

HEXA BIndustryMarket
7 Day-4.7%-1.6%-1.1%
30 Day1.0%3.0%2.2%
90 Day10.9%14.8%6.3%
1 Year32.3%32.3%39.4%39.2%15.4%13.4%
3 Year56.9%53.3%59.7%54.8%30.9%16.9%
5 Year123.5%112.9%89.6%77.7%59.3%28.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

38.24x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HEXA B (SEK652.4) is trading above our estimate of fair value (SEK328.56)

Significantly Below Fair Value: HEXA B is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HEXA B is poor value based on its PE Ratio (38.2x) compared to the SE Electronic industry average (28.2x).

PE vs Market: HEXA B is poor value based on its PE Ratio (38.2x) compared to the Swedish market (22.2x).


Price to Earnings Growth Ratio

PEG Ratio: HEXA B is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: HEXA B's PB Ratio (3.8x) is in line with the SE Electronic industry average.


Next Steps

Future Growth

How is Hexagon forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

18.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HEXA B's forecast earnings growth (18.5% per year) is above the savings rate (0.5%).

Earnings vs Market: HEXA B's earnings (18.5% per year) are forecast to grow faster than the Swedish market (12.5% per year).

High Growth Earnings: HEXA B's earnings are forecast to grow, but not significantly.

Revenue vs Market: HEXA B's revenue (5.3% per year) is forecast to grow faster than the Swedish market (3.2% per year).

High Growth Revenue: HEXA B's revenue (5.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HEXA B's Return on Equity is forecast to be low in 3 years time (12.8%).


Next Steps

Past Performance

How has Hexagon performed over the past 5 years?

8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HEXA B has high quality earnings.

Growing Profit Margin: HEXA B's current net profit margins (15.9%) are lower than last year (18.3%).


Past Earnings Growth Analysis

Earnings Trend: HEXA B's earnings have grown by 8.4% per year over the past 5 years.

Accelerating Growth: HEXA B's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: HEXA B had negative earnings growth (-14.8%) over the past year, making it difficult to compare to the Electronic industry average (-2.9%).


Return on Equity

High ROE: HEXA B's Return on Equity (9.9%) is considered low.


Next Steps

Financial Health

How is Hexagon's financial position?


Financial Position Analysis

Short Term Liabilities: HEXA B's short term assets (€2.0B) do not cover its short term liabilities (€2.1B).

Long Term Liabilities: HEXA B's short term assets (€2.0B) do not cover its long term liabilities (€2.4B).


Debt to Equity History and Analysis

Debt Level: HEXA B's debt to equity ratio (34.6%) is considered satisfactory.

Reducing Debt: HEXA B's debt to equity ratio has reduced from 51.7% to 34.6% over the past 5 years.

Debt Coverage: HEXA B's debt is well covered by operating cash flow (54.2%).

Interest Coverage: HEXA B's interest payments on its debt are well covered by EBIT (60.1x coverage).


Balance Sheet


Next Steps

Dividend

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

1.03%

Forecast Dividend Yield


Dividend Yield vs Market

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

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


Current Payout to Shareholders

Dividend Coverage: HEXA 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 HEXA 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?

4.3yrs

Average management tenure


CEO

Ola Rollén (55 yo)

20.75yrs

Tenure

€5,252,000

Compensation

Mr. Ola Rollén, B.Sc., serves as an Advisor at EQT Partners AB. Mr. Rollén has been the Chief Executive Officer and President of Hexagon AB and Leica Geosystems Technology A/S since 2000. Prior to joining ...


CEO Compensation Analysis

Compensation vs Market: Ola's total compensation ($USD6.21M) is above average for companies of similar size in the Swedish market ($USD1.90M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Ola Rollén
CEO, President & Director20.75yrs€5.25m0.078%
€ 191.5m
Robert Belkic
CFO & Executive VP8.08yrsno datano data
Norbert Hanke
Chief Operating Officer0.67yrno data0.0064%
€ 15.8m
Burkhard Boeckem
Chief Technology Officer0.67yrno datano data
Robert Ashe
Chief Information Officer3.75yrsno datano data
Maria Luthstrom
Head of Sustainability & Investor Relations4.92yrsno datano data
Anthony Zana
General Counsel & Chief Compliance Officer0.75yrno datano data
Kristin Christensen
Chief Marketing Officer5.75yrsno datano data
Hongquan Li
VP & President of Hexagon China Region19.75yrsno data0.033%
€ 80.1m
Jüergen Dold
President of GSIno datano data0.0082%
€ 20.0m
Mattias Stenberg
President of PPM Division3.75yrsno data0.0016%
€ 4.0m
Andrea Meyer
Head of Taxno datano datano data

4.3yrs

Average Tenure

54yo

Average Age

Experienced Management: HEXA B's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ola Rollén
CEO, President & Director20.75yrs€5.25m0.078%
€ 191.5m
John Brandon
Independent Director3.42yrs€58.10k0.00082%
€ 2.0m
Gun Nilsson
Chairman of the Board3.42yrs€206.30k0.0034%
€ 8.5m
Ulrika Francke
Independent Director10.75yrs€77.00k0.0016%
€ 4.0m
Patrick Soderlund
Director0.50yrno datano data
Sofia Högberg
Director3.42yrs€82.60kno data
Henrik Henriksson
Independent Director3.42yrs€58.10k0.0022%
€ 5.3m
Märta Andreen
Director3.42yrs€58.10kno data

3.4yrs

Average Tenure

52.5yo

Average Age

Experienced Board: HEXA B's board of directors are considered experienced (3.4 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Hexagon AB (publ)
  • Ticker: HEXA B
  • Exchange: OM
  • Founded: 1975
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: kr245.377b
  • Shares outstanding: 367.55m
  • Website: https://www.hexagon.com

Number of Employees


Location

  • Hexagon AB (publ)
  • Lilla Bantorget 15
  • Stockholm
  • Stockholm County
  • 111 23
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HEXA BOM (OMX Nordic Exchange Stockholm)YesSeries B SharesSESEKSep 1992
HXGB.FOTCPK (Pink Sheets LLC)YesSeries B SharesUSUSDSep 1992
0GRXLSE (London Stock Exchange)YesSeries B SharesGBSEKSep 1992
HXGBDB (Deutsche Boerse AG)YesSeries B SharesDEEURSep 1992
HEXABSBATS-CHIXE (BATS 'Chi-X Europe')YesSeries B SharesGBSEKSep 1992
HEXAB NBMV (Bolsa Mexicana de Valores)YesSeries B SharesMXMXNSep 1992
HXGB.YOTCPK (Pink Sheets LLC)ADRUSUSDJan 2012
HXGCDB (Deutsche Boerse AG)ADRDEEURJan 2012

Biography

Hexagon AB (publ) provides information technology solutions for geospatial and industrial landscapes worldwide. The company operates through two segments, Industrial Enterprise Solutions (IES) and Geospati ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/26 21:31
End of Day Share Price2020/10/26 00:00
Earnings2020/06/30
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.