OTCPK:STHH.F

Stock Analysis Report

Steinhoff International Holdings

Executive Summary

Steinhoff International Holdings N.V. engages in retailing of general merchandise and household goods in Africa, Australasia, Europe, Asia, the United Kingdom, and the United States.


Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

How has Steinhoff International Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: STHH.F's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

STHH.F

-0.4%

US Consumer Durables

-1.1%

US Market


1 Year Return

9.1%

STHH.F

27.7%

US Consumer Durables

17.9%

US Market

Return vs Industry: STHH.F underperformed the US Consumer Durables industry which returned 27.7% over the past year.

Return vs Market: STHH.F underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

STHH.FIndustryMarket
7 Day0%-0.4%-1.1%
30 Day71.4%1.6%1.4%
90 Dayn/a7.9%6.9%
1 Year9.1%9.1%29.4%27.7%20.3%17.9%
3 Yearn/a33.2%27.3%47.8%38.3%
5 Yearn/a39.7%30.7%71.9%53.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Steinhoff International Holdings undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Steinhoff International Holdings is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Steinhoff International Holdings has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of STHH.F’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.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Steinhoff International Holdings regulatory filings here.
  • Explore potentially undervalued companies in the Consumer Durables industry.

Future Growth

How is Steinhoff International Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

9.5%

Forecasted Consumer Durables 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 Steinhoff International Holdings 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.


Next Steps

  • Take a look at our analysis of STHH.F’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.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Steinhoff International Holdings's filings and announcements here.
  • Explore growth companies in the Consumer Durables industry.

Past Performance

How has Steinhoff International Holdings performed over the past 5 years?

-58.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STHH.F is currently unprofitable.

Growing Profit Margin: STHH.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: STHH.F is unprofitable, and losses have increased over the past 5 years at a rate of -58.5% per year.

Accelerating Growth: Unable to compare STHH.F's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: STHH.F is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Durables industry (5.5%).


Return on Equity

High ROE: STHH.F has a negative Return on Equity (-370.93%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Steinhoff International Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: STHH.F's short term assets (€5.7B) do not cover its short term liabilities (€12.0B).

Long Term Liabilities: STHH.F's short term assets (€5.7B) exceed its long term liabilities (€2.9B).


Debt to Equity History and Analysis

Debt Level: STHH.F's debt to equity ratio (6264.5%) is considered high.

Reducing Debt: STHH.F's debt to equity ratio has increased from 75.1% to 6264.5% over the past 5 years.


Balance Sheet

Inventory Level: STHH.F has a high level of physical assets or inventory.

Debt Coverage by Assets: STHH.F's debt is not covered by short term assets (assets are 0.5x debt).


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.

Stable Cash Runway: Insufficient data to determine if STHH.F has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if STHH.F has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Steinhoff International Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate STHH.F's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate STHH.F's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if STHH.F's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: STHH.F is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of STHH.F's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

1.1yrs

Average management tenure


CEO

Louis du Preez (50yo)

1.1yrs

Tenure

€1,918,000

Compensation

Mr. Louis Jacobus du Preez, BCom, LLB, is Chief Executive Officer of Steinhoff International Holdings N.V. since January 01, 2019 and its Member of Management Board since December 19, 2017. He was Acting C ...


CEO Compensation Analysis

Compensation vs Market: Louis's total compensation ($USD2.08M) is about average for companies of similar size in the US market ($USD1.67M).

Compensation vs Earnings: Insufficient data to compare Louis's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Louis du Preez
CEO & Member of Management Board1.1yrs€1.92m0.00012% 548.7
Theodore le de Klerk
CFO, Operational Director & Member of Management Board0.4yrs€1.57m0.0047% 21.4k
Alexandre Nodale
CEO of Conforama Group5.1yrs€2.16m0.012% 56.0k
Johannes du Plessis
Executvie of Legal Services0yrs€10.20mno data
Louis Strydom
Chief Compliance and Risk Officer0.6yrsno datano data
Dirk Schreiber
Chief Financial Officer of Steinhoff Europe0yrsno datano data
Sean Summers
Chief Executive Officer of Steinhoff UK Retail0yrsno datano data
Richard Heis
Chief Restructuring Officer2yrsno datano data
S. Stagner
Chief Executive Officer of Mattress Firm0yrsno datano data
Stephanus Grobler
Executive of Group Treasury & Finance Activities0yrs€22.65mno data

1.1yrs

Average Tenure

50yo

Average Age

Experienced Management: STHH.F's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Peter Wakkie
Member of Supervisory Board1.8yrsno datano data
Karel Grové
Executive Deputy Chairman of KAP Industrial Holdings Ltd0yrs€11.87mno data
Peter J. Pohlmann
Chairman of Supervisory Board for European Retail Management0yrsno datano data
Moira Moses
Member of Supervisory Board1.8yrsno datano data
David Pauker
Independent Member of Supervisory Board0.5yrsno datano data
Hugo Nelson
Member of Supervisory Board1.8yrsno datano data
Heather Sonn
Independent Chairperson of Supervisory Board2.2yrsno datano data
Alexandra Watson
Member of Supervisory Board1.8yrsno datano data
Khanyisile Kweyama
Member of Supervisory Board1.8yrsno datano data
Paul Copley
Independent Member of Supervisory Board0.8yrsno datano data

1.8yrs

Average Tenure

57.5yo

Average Age

Experienced Board: STHH.F's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


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

Steinhoff International Holdings N.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Steinhoff International Holdings N.V.
  • Ticker: STHH.F
  • Exchange: OTCPK
  • Founded: 1964
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: R6.842b
  • Listing Market Cap: R457.210m
  • Shares outstanding: 4.15b
  • Website: https://www.steinhoffinternational.com

Number of Employees


Location

  • Steinhoff International Holdings N.V.
  • Building B2
  • Vineyard Office Park
  • Stellenbosch
  • Western Cape
  • 7600
  • South Africa

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SNHJSE (The Johannesburg Securities Exchange)YesOrdinary SharesZAZARDec 2015
SNHDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2015
SNHXTRA (XETRA Trading Platform)YesOrdinary SharesDEEURDec 2015
SNHETLX (Eurotlx)YesOrdinary SharesITEURDec 2015
STHH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2015

Biography

Steinhoff International Holdings N.V. engages in retailing of general merchandise and household goods in Africa, Australasia, Europe, Asia, the United Kingdom, and the United States. It operates through seven segments: Conforaman, European Properties (Hemisphere), Pepkor Europe, Australasia (Greenlit Brands), Pepkor, Corporate and Treasury Services, and All Other segments. The company retails furniture, mattresses, household goods, appliances, home accessories, consumer electronics and technology goods, building materials, and DIY products and accessories; and clothing, footwear, personal accessories, cellular products, various financial services, and fast-moving consumer goods. It operates approximately 12,000 retail outlets. The company was founded in 1964 and is headquartered in Stellenbosch, South Africa. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 03:11
End of Day Share Price2020/02/05 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


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.