OTCPK:PRBC.F

Stock Analysis Report

Executive Summary

Precise Biometrics AB (publ) develops and sells biometric authentication solutions for people’s digital identity and fingerprints in mobile phones and smart cards.


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

PRBC.F

-4.2%

US Electronic

-4.2%

US Market


1 Year Return

n/a

PRBC.F

2.0%

US Electronic

14.0%

US Market

Return vs Industry: Insufficient data to determine how PRBC.F performed against the US Electronic industry.

Return vs Market: Insufficient data to determine how PRBC.F performed against the US Market.


Shareholder returns

PRBC.FIndustryMarket
7 Day0%-4.2%-4.2%
30 Day-1.3%-8.2%-1.8%
90 Day7.5%-4.5%2.6%
1 Yearn/a3.0%2.0%16.3%14.0%
3 Year-64.8%-64.8%31.5%27.9%43.2%34.0%
5 Year-7.1%-7.1%60.5%52.6%65.9%47.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

562.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PRBC.F ($0.16) is trading above our estimate of fair value ($0.09)

Significantly Below Fair Value: PRBC.F is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PRBC.F is poor value based on its PE Ratio (581.1x) compared to the Electronic industry average (19x).

PE vs Market: PRBC.F is poor value based on its PE Ratio (581.1x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: PRBC.F is poor value based on its PEG Ratio (12.2x)


Price to Book Ratio

PB vs Industry: PRBC.F is overvalued based on its PB Ratio (4.7x) compared to the US Electronic industry average (2x).


Next Steps

Future Growth

How is Precise Biometrics forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

47.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PRBC.F's forecast earnings growth (47.5% per year) is above the savings rate (1.7%).

Earnings vs Market: PRBC.F's earnings (47.5% per year) are forecast to grow faster than the US market (14.1% per year).

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

Revenue vs Market: PRBC.F's revenue (12.2% per year) is forecast to grow faster than the US market (7.6% per year).

High Growth Revenue: PRBC.F's revenue (12.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PRBC.F's Return on Equity is forecast to be low in 3 years time (12.2%).


Next Steps

Past Performance

How has Precise Biometrics performed over the past 5 years?

-2.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRBC.F has a high level of non-cash earnings.

Growing Profit Margin: PRBC.F became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PRBC.F has become profitable over the past 5 years, growing earnings by -2% per year.

Accelerating Growth: PRBC.F has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PRBC.F has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electronic industry (13.8%).


Return on Equity

High ROE: PRBC.F's Return on Equity (0.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Precise Biometrics's financial position?


Financial Position Analysis

Short Term Liabilities: PRBC.F's short term assets (SEK108.4M) exceed its short term liabilities (SEK31.9M).

Long Term Liabilities: PRBC.F's short term assets (SEK108.4M) exceed its long term liabilities (SEK126.0K).


Debt to Equity History and Analysis

Debt Level: PRBC.F is debt free.

Reducing Debt: PRBC.F has not had any debt for past 5 years.


Balance Sheet

Inventory Level: PRBC.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if PRBC.F's debt is covered by short term assets.


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: PRBC.F is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: PRBC.F is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate PRBC.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 PRBC.F's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PRBC.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?

1.5yrs

Average management tenure


CEO

Stefan Persson (52yo)

1.5yrs

Tenure

kr2,780,000

Compensation

Mr. Stefan Kenth Persson has been the Chief Executive Officer of Precise Biometrics AB since August 1, 2018. Mr. Persson served as Member of Executive Management Board at Bang & Olufsen a/s since October 1 ...


CEO Compensation Analysis

Compensation vs Market: Stefan's total compensation ($USD285.91K) is below average for companies of similar size in the US market ($USD521.92K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Torgny Hellström
Executive Chairman of the Board5.8yrskr605.00k0.11% SEK65.4k
Stefan Persson
Chief Executive Officer1.5yrskr2.78m0.11% SEK67.1k
Ulrik Nilsson
Chief Financial Officer1.4yrsno data0.056% SEK32.7k
Tom Søberg
Chief Technology Officer1.1yrsno datano data
Ann-sofi Höijenstam
Director of Investors Relations & Communications0yrsno datano data
Fredrik Sjöholm
Vice President of Sales2.5yrsno datano data

1.5yrs

Average Tenure

51yo

Average Age

Experienced Management: PRBC.F's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Torgny Hellström
Executive Chairman of the Board5.8yrskr605.00k0.11% SEK65.4k
Mats Lindoff
Independent Director5.8yrskr215.00k0.021% SEK12.3k
Synnöve Trygg
Independent Director3.8yrskr225.00k0.017% SEK9.8k
Torbjorn Clementz
Independent Director11.1yrskr260.00k0.017% SEK9.7k
Åsa Schwarz
Director0.8yrsno datano data

5.8yrs

Average Tenure

58yo

Average Age

Experienced Board: PRBC.F's board of directors are considered experienced (5.8 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Precise Biometrics AB (publ)
  • Ticker: PRBC.F
  • Exchange: OTCPK
  • Founded: 1997
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: kr573.488m
  • Listing Market Cap: kr58.922m
  • Shares outstanding: 360.23m
  • Website: https://precisebiometrics.com

Number of Employees


Location

  • Precise Biometrics AB (publ)
  • Mobilvägen 10
  • Lund
  • 223 62
  • Sweden

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PBCBDB (Deutsche Boerse AG)YesSeries A SharesDEEURJan 2000
PRECOM (OMX Nordic Exchange Stockholm)YesSeries A SharesSESEKJan 2000
0JDULSE (London Stock Exchange)YesSeries A SharesGBSEKJan 2000
PRBC.FOTCPK (Pink Sheets LLC)YesSeries A SharesUSUSDJan 2000
PRECSBATS-CHIXE (BATS 'Chi-X Europe')YesSeries A SharesGBSEKJan 2000

Biography

Precise Biometrics AB (publ) develops and sells biometric authentication solutions for people’s digital identity and fingerprints in mobile phones and smart cards. Its product portfolio consists of Precise YOUNiQ that secures digital identity by combining a range of biometric data, such as face, fingerprint, iris, and voice with geographical information; Precise BioMatch Card, which enables authentication and storage of the user’s fingerprint template in a secure chip on the card; Precise BioMatch Mobile, a fingerprint recognition for smartphones and tablets; and Precise BioMatch Embedded, a fingerprint recognition for Internet of Things, cars, and wearables. The company offers its products to sensor manufacturers, security companies, and system integrators, as well as finance, betting, healthcare, and transport sectors. It operates in Sweden, Denmark, Finland, China, Norway, Italy, Switzerland, Spain, Portugal, and internationally. Precise Biometrics AB (publ) was founded in 1997 and is headquartered in Lund, Sweden. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 00:53
End of Day Share Price2020/02/14 00:00
Earnings2019/12/31
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.