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Westpay

OM:WPAY
Snowflake Description

Exceptional growth potential with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WPAY
OM
SEK92M
Market Cap
  1. Home
  2. SE
  3. Tech
Company description

Westpay AB provides smart transaction and payment solutions in Sweden, Norway, South Africa, and Australia. The last earnings update was 62 days ago. More info.


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  • Westpay has significant price volatility in the past 3 months.
WPAY Share Price and Events
7 Day Returns
-0.5%
OM:WPAY
1.8%
SE Electronic
0.5%
SE Market
1 Year Returns
-64.7%
OM:WPAY
3.5%
SE Electronic
5%
SE Market
WPAY Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Westpay (WPAY) -0.5% -5.8% -14.8% -64.7% 6.2% 57.9%
SE Electronic 1.8% 5.1% 18% 3.5% 24.3% 121.4%
SE Market 0.5% 2.8% 10.8% 5% 12.4% 25.2%
1 Year Return vs Industry and Market
  • WPAY underperformed the Electronic industry which returned 3.5% over the past year.
  • WPAY underperformed the Market in Sweden which returned 5% over the past year.
Price Volatility
WPAY
Industry
5yr Volatility vs Market
Related Companies

WPAY Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Westpay to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Westpay.

OM:WPAY Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.7%
Perpetual Growth Rate 10-Year SE Government Bond Rate 0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OM:WPAY
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year SE Govt Bond Rate 0.4%
Equity Risk Premium S&P Global 6%
Electronic Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.067 (1 + (1- 22%) (0%))
1.045
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.04
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.43% + (1.045 * 5.96%)
6.66%

Discounted Cash Flow Calculation for OM:WPAY using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Westpay is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

OM:WPAY DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (SEK, Millions) Source Present Value
Discounted (@ 6.66%)
2019 -10.00 Analyst x1 -9.38
2020 -3.00 Analyst x1 -2.64
2021 16.00 Analyst x1 13.19
2022 26.45 Est @ 65.32% 20.44
2023 38.58 Est @ 45.86% 27.95
2024 51.02 Est @ 32.23% 34.65
2025 62.59 Est @ 22.69% 39.85
2026 72.62 Est @ 16.01% 43.35
2027 80.85 Est @ 11.34% 45.25
2028 87.38 Est @ 8.07% 45.85
Present value of next 10 years cash flows SEK258.50
OM:WPAY DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= SEK87.38 × (1 + 0.43%) ÷ (6.66% – 0.43%)
SEK1,409.17
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= SEK1,409.17 ÷ (1 + 6.66%)10
SEK739.40
OM:WPAY Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= SEK258.50 + SEK739.40
SEK997.90
Equity Value per Share
(SEK)
= Total value / Shares Outstanding
= SEK997.90 / 22.50
SEK44.35
OM:WPAY Discount to Share Price
Calculation Result
Value per share (SEK) From above. SEK44.35
Current discount Discount to share price of SEK4.09
= -1 x (SEK4.09 - SEK44.35) / SEK44.35
90.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Westpay is available for.
Intrinsic value
>50%
Share price is SEK4.09 vs Future cash flow value of SEK44.35
Current Discount Checks
For Westpay to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Westpay's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Westpay's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Westpay's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Westpay's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OM:WPAY PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in SEK SEK-0.60
OM:WPAY Share Price ** OM (2019-04-18) in SEK SEK4.09
Sweden Electronic Industry PE Ratio Median Figure of 17 Publicly-Listed Electronic Companies 21.57x
Sweden Market PE Ratio Median Figure of 323 Publicly-Listed Companies 16.95x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Westpay.

OM:WPAY PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OM:WPAY Share Price ÷ EPS (both in SEK)

= 4.09 ÷ -0.60

-6.79x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Westpay is loss making, we can't compare its value to the SE Electronic industry average.
  • Westpay is loss making, we can't compare the value of its earnings to the Sweden market.
Price based on expected Growth
Does Westpay's expected growth come at a high price?
Raw Data
OM:WPAY PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -6.79x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
95.9%per year
Sweden Electronic Industry PEG Ratio Median Figure of 14 Publicly-Listed Electronic Companies 1.4x
Sweden Market PEG Ratio Median Figure of 234 Publicly-Listed Companies 1.33x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Westpay, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Westpay's assets?
Raw Data
OM:WPAY PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in SEK SEK1.20
OM:WPAY Share Price * OM (2019-04-18) in SEK SEK4.09
Sweden Electronic Industry PB Ratio Median Figure of 33 Publicly-Listed Electronic Companies 2.48x
Sweden Market PB Ratio Median Figure of 565 Publicly-Listed Companies 2.5x
OM:WPAY PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OM:WPAY Share Price ÷ Book Value per Share (both in SEK)

= 4.09 ÷ 1.20

3.42x

* Primary Listing of Westpay.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Westpay is overvalued based on assets compared to the SE Electronic industry average.
X
Value checks
We assess Westpay's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electronic industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electronic industry average (and greater than 0)? (1 check)
  5. Westpay has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

WPAY Future Performance

 How is Westpay expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
95.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Westpay expected to grow at an attractive rate?
  • Westpay's earnings growth is expected to exceed the low risk savings rate of 0.4%.
Growth vs Market Checks
  • Westpay's earnings growth is expected to exceed the Sweden market average.
  • Westpay's revenue growth is expected to exceed the Sweden market average.
Annual Growth Rates Comparison
Raw Data
OM:WPAY Future Growth Rates Data Sources
Data Point Source Value (per year)
OM:WPAY Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts 95.9%
OM:WPAY Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 21.1%
Sweden Electronic Industry Earnings Growth Rate Market Cap Weighted Average 11.1%
Sweden Electronic Industry Revenue Growth Rate Market Cap Weighted Average 7.1%
Sweden Market Earnings Growth Rate Market Cap Weighted Average 9.1%
Sweden Market Revenue Growth Rate Market Cap Weighted Average 4.6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OM:WPAY Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in SEK Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OM:WPAY Future Estimates Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 158 1
2021-12-31 131 25 12 1
2020-12-31 105 12 5 1
2019-12-31 73 2 -6 1
OM:WPAY Past Financials Data
Date (Data in SEK Millions) Revenue Cash Flow Net Income *
2018-12-31 73 -13 -14
2018-09-30 88 -7 -6
2018-06-30 99 -4 0
2018-03-31 103 -4 3
2017-12-31 99 0 4
2017-09-30 101 6 6
2017-06-30 93 10 5
2017-03-31 89 8 5
2016-12-31 83 7 2
2016-09-30 82 9 3
2016-06-30 76 2 1
2016-03-31 76 4 0

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Westpay's earnings are expected to grow significantly at over 20% yearly.
  • Westpay's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OM:WPAY Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Westpay Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:WPAY Future Estimates Data
Date (Data in SEK Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 0.56 0.56 0.56 1.00
2020-12-31 0.21 0.21 0.21 1.00
2019-12-31 -0.26 -0.26 -0.26 1.00
OM:WPAY Past Financials Data
Date (Data in SEK Millions) EPS *
2018-12-31 -0.60
2018-09-30 -0.28
2018-06-30 0.02
2018-03-31 0.15
2017-12-31 0.20
2017-09-30 0.27
2017-06-30 0.21
2017-03-31 0.23
2016-12-31 0.10
2016-09-30 0.14
2016-06-30 0.07
2016-03-31 -0.01

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Westpay is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Westpay's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Sweden market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Sweden market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Westpay has a total score of 6/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

WPAY Past Performance

  How has Westpay performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Westpay's growth in the last year to its industry (Electronic).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Westpay does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare Westpay's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Westpay's 1-year growth to the SE Electronic industry average as it is not currently profitable.
Earnings and Revenue History
Westpay's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Westpay Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OM:WPAY Past Revenue, Cash Flow and Net Income Data
Date (Data in SEK Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 72.82 -13.56 56.97
2018-09-30 87.72 -6.26 55.49
2018-06-30 99.08 0.34 53.68
2018-03-31 102.50 3.40 52.34
2017-12-31 99.45 4.42 49.59
2017-09-30 100.54 6.12 48.70
2017-06-30 93.24 4.82 44.26
2017-03-31 89.04 4.99 39.09
2016-12-31 83.41 2.22 35.14
2016-09-30 82.20 2.83 31.09
2016-06-30 76.48 1.36 30.30
2016-03-31 76.47 -0.18 29.74
2015-12-31 79.25 0.47 29.75
2015-09-30 84.51 0.95 30.34
2015-06-30 82.21 0.54 29.08
2015-03-31 78.67 0.50 28.22
2014-12-31 69.65 -1.97 27.29
2014-09-30 54.60 -3.39 24.26
2014-06-30 54.21 -3.02 23.53
2014-03-31 44.99 -5.67 22.97
2013-12-31 47.90 -4.53 22.35
2013-09-30 46.27 -7.02 25.55
2013-06-30 45.54 -5.71 24.92
2013-03-31 48.55 -4.12 24.26
2012-12-31 48.10 -3.97 24.04
2012-09-30 46.89 -2.08 20.63
2012-06-30 46.39 -3.03 20.21

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Westpay has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Westpay has efficiently used its assets last year compared to the SE Electronic industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Westpay improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Westpay's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electronic industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Westpay has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

WPAY Health

 How is Westpay's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Westpay's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Westpay is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Westpay's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Westpay's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Westpay has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Westpay Company Filings, last reported 3 months ago.

OM:WPAY Past Debt and Equity Data
Date (Data in SEK Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 26.93 0.00 1.67
2018-09-30 35.15 0.00 0.35
2018-06-30 40.73 0.00 2.57
2018-03-31 41.43 0.00 1.62
2017-12-31 40.49 0.00 12.34
2017-09-30 41.41 0.00 11.76
2017-06-30 40.39 0.00 13.80
2017-03-31 38.03 0.00 12.47
2016-12-31 36.07 0.00 19.08
2016-09-30 35.29 0.00 14.46
2016-06-30 35.57 0.00 13.32
2016-03-31 20.31 0.00 2.29
2015-12-31 21.12 0.00 6.90
2015-09-30 19.74 0.00 0.00
2015-06-30 21.49 0.00 1.80
2015-03-31 20.49 0.00 0.22
2014-12-31 20.64 0.00 6.26
2014-09-30 14.63 0.00 0.04
2014-06-30 16.78 0.00 2.33
2014-03-31 15.83 0.00 1.82
2013-12-31 16.86 0.68 1.21
2013-09-30 16.43 0.00 1.74
2013-06-30 10.92 0.00 0.04
2013-03-31 12.61 0.00 0.15
2012-12-31 14.10 3.42 3.01
2012-09-30 16.15 0.00 0.20
2012-06-30 16.62 0.00 1.02
  • Westpay has no debt.
  • Westpay has no debt compared to 5 years ago when it was 4%.
CASH RUNWAY ANALYSIS

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

  • Information is not available.
  • Unable to confirm if Westpay has at least 1 year of cash runway based on growing free cash flows without relevant data.
X
Financial health checks
We assess Westpay's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Westpay has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

WPAY Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Westpay dividends.
If you bought SEK2,000 of Westpay shares you are expected to receive SEK0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Westpay's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Westpay's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OM:WPAY Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Sweden Electronic Industry Average Dividend Yield Market Cap Weighted Average of 15 Stocks 1.2%
Sweden Market Average Dividend Yield Market Cap Weighted Average of 245 Stocks 3.5%
Sweden Minimum Threshold Dividend Yield 10th Percentile 1.2%
Sweden Bottom 25% Dividend Yield 25th Percentile 1.9%
Sweden Top 25% Dividend Yield 75th Percentile 4.3%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OM:WPAY Future Dividends Estimate Data
Date (Data in SEK) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Westpay has not reported any payouts.
  • Unable to verify if Westpay's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Westpay's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Westpay has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Westpay's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Westpay afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Westpay has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

WPAY Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Sten Karlsson
AGE 55
TENURE AS CEO 8.8 years
CEO Bio

Mr. Sten Karlsson has been the Chief Executive Officer of West International AB. since June 2010. Mr. Karlsson co-founded Real Venture Group and serves as its Chief Executive Officer. Mr. Karlsson serves as Managing Director of Handmark Europe AB. Mr. Karlsson serves as Vice President of Europe Operations and Director of Development at Handmark, Inc. Mr. Karlsson is the Co-founder and Managing Director of Handmark Europe AB. Mr. Karlsson has 15 years experience from the wireless industry, both as an entrepreneur and investor. He was responsible for strategic planning at Ericsson. He held several management positions in sales and marketing within the wireless communications area at Ericsson. He served as the Chief Executive Officer of CUB Handdatorsystem. He serves as a Director of Real Venture Group. He served as a Director of Red Message. He holds an MSc in Industrial Engineering and Management from Chalmers University of Technology.

CEO Compensation
  • Insufficient data for Sten to compare compensation growth.
  • Insufficient data for Sten to establish whether their remuneration is reasonable compared to companies of similar size in Sweden.
Management Team

Sten Karlsson

TITLE
Chief Executive Officer
AGE
55
TENURE
8.8 yrs

Lars Levin

TITLE
Chief Financial Officer
TENURE
1.3 yrs

Alf Egnell

TITLE
Chief Operating Officer

Tomas Nilsson

TITLE
Chief Technology Officer
AGE
40

Nils Karlsen

TITLE
Chief Sales Officer

Neil Coatsworth

TITLE
Head of Supply

Mattias Lantz

TITLE
Head of Development
Board of Directors Tenure

Average tenure and age of the Westpay board of directors in years:

3.3
Average Tenure
64
Average Age
  • The tenure for the Westpay board of directors is about average.
Board of Directors

Christina Detlefsen

TITLE
Chairman of the Board
AGE
69
TENURE
3.3 yrs

Malte Roggetin

TITLE
Director
AGE
64
TENURE
24.3 yrs

Per Jörgen Nordlund

TITLE
Director
AGE
53
TENURE
5.3 yrs

Jan Lundblad

TITLE
Director
TENURE
1.3 yrs

Paivo Eerola

TITLE
Director
TENURE
3.3 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Westpay insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (SEK) Value (SEK)
13. Mar 19 Buy Päivö Eerola Individual 01. Mar 19 01. Mar 19 27,500 SEK4.40 SEK121,000
15. Sep 18 Buy Päivö Eerola Individual 08. Sep 18 08. Sep 18 10,000 SEK9.30 SEK93,000
12. Sep 18 Buy Christina Detlefsen Individual 12. Sep 18 12. Sep 18 20,000 SEK7.60 SEK152,000
11. Sep 18 Buy Sten Karlsson Individual 11. Sep 18 11. Sep 18 10,000 SEK7.85 SEK78,500
04. Sep 18 Buy Sten Karlsson Individual 04. Sep 18 04. Sep 18 11,000 SEK9.14 SEK100,540
01. Aug 18 Buy Päivö Eerola Individual 27. Jul 18 27. Jul 18 12,500 SEK12.75 SEK159,375
28. Jun 18 Buy Päivö Eerola Individual 21. Jun 18 21. Jun 18 20,000 SEK12.00 SEK240,000
13. Jun 18 Buy Päivö Eerola Individual 08. Jun 18 13. Jun 18 50,000 SEK12.50 SEK601,243
29. May 18 Buy Sten Karlsson Individual 29. May 18 29. May 18 13,609 SEK11.83 SEK161,062
X
Management checks
We assess Westpay's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Westpay has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

WPAY News

Simply Wall St News

Imagine Owning Westpay (STO:WPAY) While The Price Tanked 65%

Because Westpay is loss-making, we think the market is probably more focussed on revenue and revenue growth, at least for now. … When a company doesn't make profits, we'd generally expect to see good revenue growth. … Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth.

Simply Wall St -

Do Institutions Own Shares In Westpay AB (STO:WPAY)?

The big shareholder groups in Westpay AB (STO:WPAY) have power over the company. … Westpay is a smaller company with a market capitalization of kr98m, so it may still be flying under the radar of many institutional investors. … institutional investors have bought into the company.

Simply Wall St -

What Investors Should Know About Westpay AB's (STO:WPAY) Financial Strength

The direct benefit for Westpay AB (STO:WPAY), which sports a zero-debt capital structure, to include debt in its capital structure is the reduced cost of capital. … Is financial flexibility worth the lower cost of capital … There are well-known benefits of including debt in capital structure, primarily a lower cost of capital.

Simply Wall St -

Westpay AB (STO:WPAY) Insiders Increased Their Holdings

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … The flip side of that is that there are more than a few examples of insiders dumping stock prior to a period of weak performance. … It is perfectly legal for company insiders, including board members, to buy and sell stock in a company.

Simply Wall St -

What Kind Of Shareholders Own Westpay AB (STO:WPAY)?

A look at the shareholders of Westpay AB (STO:WPAY) can tell us which group is most powerful. … Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … Companies that used to be publicly owned tend to have lower insider ownership.

Simply Wall St -

How Financially Strong Is Westpay AB (STO:WPAY)?

The direct benefit for Westpay AB (STO:WPAY), which sports a zero-debt capital structure, to include debt in its capital structure is the reduced cost of capital. … Is financial flexibility worth the lower cost of capital. … There are well-known benefits of including debt in capital structure, primarily a lower cost of capital

Simply Wall St -

Should You Follow This Trend For Westpay AB (STO:WPAY)?

some insider buying over the past three months, with insiders investing in. … It is widely considered that insider buying stock in their own companies is potentially a bullish signal. … A two-decade research published in The MIT Press (1998) showed that stocks following insider buying outperformed the market by 4.5%

Simply Wall St -

Why Westpay AB's (STO:WPAY) Ownership Structure Is Important

In this article, I will take a quick look at Westpay AB’s (STO:WPAY) recent ownership structure – an unconventional investing subject, but an important one. … Ownership structure has been found to have an impact on shareholder returns in both short- and long-term. … The effect of an active institutional investor with a similar ownership as a passive pension-fund can be vastly different on a company's corporate governance and accountability to shareholders.

Simply Wall St -

WPAY Company Info

Description

Westpay AB provides smart transaction and payment solutions in Sweden, Norway, South Africa, and Australia. It offers counter-top, mobile, and unattended terminals for in-store and card present transactions; online payment solutions for Web or mobile apps for use in a separate window or form, or integrated into the Web shop of the merchant; and self-service and payment solutions. The company sells its solutions to retail, hotel and restaurant, fuel and charging, and retail banking sectors. Westpay AB was founded in 1988 and is headquartered in Upplands Väsby, Sweden.

Details
Name: Westpay AB
WPAY
Exchange: OM
Founded: 1988
SEK92,025,000
22,500,000
Website: http://www.westpay.se
Address: Westpay AB
Kanalvägen 14, 2tr,
Upplands Väsby,
Stockholm County, 194 61,
Sweden
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OM WPAY Share Capital OMX Nordic Exchange Stockholm SE SEK 26. Oct 2007
Number of employees
Current staff
Staff numbers
40
Westpay employees.
Industry
Electronic Equipment and Instruments
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/18 21:18
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2019/03/20
Last earnings filing: 2019/02/15
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.