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A3 Allmänna IT- och telekomaktiebolaget

Executive Summary

A3 Allmänna IT- och telekomaktiebolaget (publ) provides broadband services in Sweden.


Snowflake Analysis

Proven track record with reasonable growth potential.

Share Price & News

How has A3 Allmänna IT- och telekomaktiebolaget's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.7%

ATRE

-0.5%

SE Telecom

0.8%

SE Market


1 Year Return

-6.7%

ATRE

-18.2%

SE Telecom

8.3%

SE Market

Return vs Industry: ATRE exceeded the Swedish Telecom industry which returned -18.2% over the past year.

Return vs Market: ATRE underperformed the Swedish Market which returned 8.3% over the past year.


Shareholder returns

ATREIndustryMarket
7 Day-0.7%-0.5%0.8%
30 Day3.7%10.2%8.9%
90 Day-14.5%-1.2%16.9%
1 Year-0.04%-6.7%-14.0%-18.2%9.9%8.3%
3 Year-6.3%-23.2%4.2%-11.2%21.8%8.9%
5 Year-0.3%-27.2%-11.6%-32.2%36.4%9.6%

Price Volatility Vs. Market

How volatile is A3 Allmänna IT- och telekomaktiebolaget's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is A3 Allmänna IT- och telekomaktiebolaget undervalued compared to its fair value and its price relative to the market?

39.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ATRE (SEK13.9) is trading below our estimate of fair value (SEK23.09)

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


Price To Earnings Ratio

PE vs Industry: ATRE is poor value based on its PE Ratio (59.5x) compared to the SE Telecom industry average (26.2x).

PE vs Market: ATRE is poor value based on its PE Ratio (59.5x) compared to the Swedish market (19.9x).


Price to Earnings Growth Ratio

PEG Ratio: ATRE is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: ATRE is overvalued based on its PB Ratio (2.7x) compared to the SE Telecom industry average (2.2x).


Next Steps

Future Growth

How is A3 Allmänna IT- och telekomaktiebolaget forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

68.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATRE's forecast earnings growth (68.9% per year) is above the savings rate (0.5%).

Earnings vs Market: ATRE's earnings (68.9% per year) are forecast to grow faster than the Swedish market (17.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ATRE's revenue (4% per year) is forecast to grow slower than the Swedish market (6.2% per year).

High Growth Revenue: ATRE's revenue (4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ATRE's Return on Equity is forecast to be high in 3 years time (35.5%)


Next Steps

Past Performance

How has A3 Allmänna IT- och telekomaktiebolaget performed over the past 5 years?

35.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ATRE has high quality earnings.

Growing Profit Margin: ATRE's current net profit margins (1%) are higher than last year (0.7%).


Past Earnings Growth Analysis

Earnings Trend: ATRE's earnings have grown significantly by 35.2% per year over the past 5 years.

Accelerating Growth: ATRE's earnings growth over the past year (33.7%) is below its 5-year average (35.2% per year).

Earnings vs Industry: ATRE earnings growth over the past year (33.7%) exceeded the Telecom industry 21.6%.


Return on Equity

High ROE: ATRE's Return on Equity (4.5%) is considered low.


Next Steps

Financial Health

How is A3 Allmänna IT- och telekomaktiebolaget's financial position?


Financial Position Analysis

Short Term Liabilities: ATRE's short term assets (SEK118.1M) do not cover its short term liabilities (SEK225.0M).

Long Term Liabilities: ATRE's short term assets (SEK118.1M) exceed its long term liabilities (SEK53.1M).


Debt to Equity History and Analysis

Debt Level: ATRE's debt to equity ratio (10.2%) is considered satisfactory.

Reducing Debt: ATRE's debt to equity ratio has reduced from 29.8% to 10.2% over the past 5 years.

Debt Coverage: ATRE's debt is well covered by operating cash flow (511.2%).

Interest Coverage: ATRE's interest payments on its debt are not well covered by EBIT (0.6x coverage).


Balance Sheet


Next Steps

Dividend

What is A3 Allmänna IT- och telekomaktiebolaget current dividend yield, its reliability and sustainability?

3.60%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ATRE's dividend (3.6%) is higher than the bottom 25% of dividend payers in the Swedish market (1.49%).

High Dividend: ATRE's dividend (3.6%) is low compared to the top 25% of dividend payers in the Swedish market (4.97%).


Stability and Growth of Payments

Stable Dividend: ATRE has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ATRE has only been paying a dividend for 6 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (214%), ATRE's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ATRE's dividends in 3 years are forecast to be covered by earnings (69.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.8yrs

Average board tenure


CEO

Paul Moonga (53yo)

2.25yrs

Tenure

Mr. Paul Moonga has been the Chief Executive Officer and Director of A3 Allmänna IT- och Telekomaktiebolaget AB (Alternate Name: A3 Allmänna IT- och telekomaktiebolaget (publ) (formerly known as AllTele Al ...


Board Members

NamePositionTenureCompensationOwnership
Paul Moonga
CEO & Director2.25yrsno data0.14% SEK616.6k
Björn Fernström
Director9.5yrsno datano data
Thomas Nygren
Chairman of the Board6.5yrsno data1.65% SEK7.6m
Anna Frick
Director0.50yrno datano data
Mark Hauschildt
Director7.5yrsno data46.74% SEK213.5m
Johan Åsberg
Directorno datano datano data
Lars Roth
Director3.5yrsno datano data

6.8yrs

Average Tenure

53yo

Average Age

Experienced Board: ATRE's board of directors are considered experienced (6.8 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.


Top Shareholders

Company Information

A3 Allmänna IT- och telekomaktiebolaget (publ)'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: A3 Allmänna IT- och telekomaktiebolaget (publ)
  • Ticker: ATRE
  • Exchange: OM
  • Founded:
  • Industry: Alternative Carriers
  • Sector: Telecom
  • Market Cap: kr456.718m
  • Shares outstanding: 32.86m
  • Website: https://www.a3.se

Location

  • A3 Allmänna IT- och telekomaktiebolaget (publ)
  • House 12
  • Umestan Business Park
  • Umea
  • Västerbotten County
  • 903 47
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATREOM (OMX Nordic Exchange Stockholm)YesClass A SharesSESEKMar 2013
0KUWLSE (London Stock Exchange)YesClass A SharesGBSEKMar 2013
ATRESBATS-CHIXE (BATS 'Chi-X Europe')YesClass A SharesGBSEKMar 2013
5A3BST (Boerse-Stuttgart)YesClass A SharesDEEURMar 2013

Biography

A3 Allmänna IT- och telekomaktiebolaget (publ) provides broadband services in Sweden. It offers streaming and mobile and home telephony services, as well as other services, including anonymous and safe surf, ID security, and installation help. The company operates as a contract provider for the Chamber of Commerce in the areas of communication, telecommunications, and infrastructure. It serves small companies and large offices, as well as business customers comprising shopping centers, companies, and hotel chains. The company was formerly known as A3 Allmänna IT- och Telekomaktiebolaget AB and changed its name to A3 Allmänna IT- och telekomaktiebolaget (publ) in December 2017. The company is based in Umea, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/14 20:56
End of Day Share Price2020/07/14 00:00
Earnings2020/03/31
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.