OTCPK:SNMM.F

Stock Analysis Report

Sunrise Communications Group

Executive Summary

Sunrise Communications Group AG, together with its subsidiaries, provides telecommunications services to residential and business customers, and other carriers in Switzerland.

Snowflake

Fundamentals

Adequate balance sheet and slightly overvalued.


Similar Companies

Share Price & News

How has Sunrise Communications Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

SNMM.F

-0.7%

US Telecom

1.3%

US Market


1 Year Return

n/a

SNMM.F

10.4%

US Telecom

5.9%

US Market

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

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


Shareholder returns

SNMM.FIndustryMarket
7 Day0%-0.7%1.3%
30 Day0%-1.4%-1.9%
90 Dayn/a6.7%-1.8%
1 Yearn/a16.1%10.4%8.3%5.9%
3 Year15.8%15.8%19.1%1.8%45.6%36.2%
5 Yearn/a38.9%7.3%66.1%47.9%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Sunrise Communications Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: SNMM.F ($76.8) is trading below our estimate of fair value ($154.56)

Significantly Undervalued: SNMM.F is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SNMM.F is poor value based on its PE Ratio (28.5x) compared to the Telecom industry average (18.7x).

PE vs Market: SNMM.F is poor value based on its PE Ratio (28.5x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: SNMM.F is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: SNMM.F is overvalued based on its PB Ratio (2.7x) compared to the US Telecom industry average (1.4x).


Next Steps

Future Growth

How is Sunrise Communications Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

15.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SNMM.F's forecast earnings growth (15.3% per year) is above the savings rate (2.7%).

Earnings vs Market: SNMM.F's earnings (15.3% per year) are forecast to grow faster than the US market (14.4% per year).

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

Revenue vs Market: SNMM.F's revenue (0.7% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: SNMM.F's revenue (0.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: SNMM.F's Return on Equity is forecast to be low in 3 years time (9.1%).


Next Steps

Past Performance

How has Sunrise Communications Group performed over the past 5 years?

53.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SNMM.F has become profitable over the past 5 years, growing earnings by 53.5% per year.

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

Earnings vs Industry: SNMM.F had negative earnings growth (-74.9%) over the past year, making it difficult to compare to the Telecom industry average (-23%).


Return on Equity

High ROE: SNMM.F's Return on Equity (9.5%) is considered low.


Return on Assets

ROA vs Industry: SNMM.F's Return on Assets is below or equal to the Telecom industry average last year.


Return on Capital Employed

ROCE Improving: SNMM.F has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Sunrise Communications Group's financial position?


Financial Position Analysis

Short Term Liabilities: SNMM.F's short term assets (CHF691.2M) exceeds its short term liabilities (CHF576.7M)

Long Term Liabilities: SNMM.F's short term assets (691.2M) do not cover its long term liabilities (2.1B)


Debt to Equity History and Analysis

Debt Level: SNMM.F's debt to equity ratio (117.1%) is considered high

Reducing Debt: SNMM.F's debt to equity ratio has reduced from 344.2% to 117.1% over the past 5 years.

Debt Coverage: SNMM.F's debt is well covered by operating cash flow (34.2%).

Interest Coverage: SNMM.F's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet

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

Debt Coverage by Assets: SNMM.F's debt is not covered by short term assets (assets are 0.4x debt).


Next Steps

Dividend

What is Sunrise Communications Group's current dividend yield, its reliability and sustainability?

5.23%

Current Dividend Yield


Dividend Yield vs Market

company5.2%marketbottom25%1.5%markettop25%3.8%industryaverage4.9%forecastin3Years5.8%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SNMM.F's dividend (5.23%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: SNMM.F's dividend (5.23%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: Whilst dividend payments have been stable, SNMM.F has been paying a dividend for less than 10 years.

Growing Dividend: SNMM.F's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (149%), SNMM.F's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SNMM.F's dividends in 3 years are not forecast to be well covered by earnings (131.1% payout ratio).


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Olaf Swantee (53yo)

3.4yrs

Tenure

CHF2,191,000

Compensation

Mr. Olaf Swantee servedas Director of T-Mobile US, Inc. since June 13, 2018 until June 2019. He has been Chief Executive Officer and Member of Management Board at Sunrise Communications Group AG since May  ...


CEO Compensation Analysis

Compensation vs. Market: Olaf's total compensation ($USD2.20M) is about average for companies of similar size in the US market ($USD5.10M).

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


Management Age and Tenure

2.8yrs

Average Tenure

52yo

Average Age

Experienced Management: SNMM.F's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

3.5yrs

Average Tenure

62yo

Average Age

Experienced Board: SNMM.F's board of directors are considered experienced (3.5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Bruno Duarte (53yo)

    Chief Consumer Officer & Member of Management Board

    • Tenure: 2.3yrs
  • Elmar Grasser (54yo)

    CTO & Member of Management Board

    • Tenure: 0yrs
  • Carl Wich

    Head of Business Customers Unit

    • Tenure: 12.8yrs
  • Olaf Swantee (53yo)

    CEO & Member of Management Board

    • Tenure: 3.4yrs
    • Compensation: CHF2.19m
  • André Krause (49yo)

    CFO & Member of Management Board

    • Tenure: 8.8yrs
  • Françoise Clemes (52yo)

    Chief Services Officer & Member of Management Board

    • Tenure: 3.3yrs
  • Patrick Meier (37yo)

    Director of Legal

    • Tenure: 1.2yrs
  • Uwe Schiller

    Senior Vice President of Investor Relations

    • Tenure: 0yrs
  • Marcel Huber

    Chief Administrative Officer

    • Tenure: 0.7yrs
  • Tobias Foster (44yo)

    Chief HR Officer & Member of the Executive Leadership Team

    • Tenure: 0.8yrs

Board Members

  • Peter Kurer (70yo)

    Chairman of the Board of Directors

    • Tenure: 3.5yrs
    • Compensation: CHF381.00k
  • Jens Ovesen (62yo)

    Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: CHF163.00k
  • Michael Krammer (62yo)

    Non-Executive Director

    • Tenure: 3.5yrs
    • Compensation: CHF130.00k
  • Robin Bienenstock (51yo)

    Non-Executive Director

    • Tenure: 3.5yrs
    • Compensation: CHF139.00k
  • Christoph Vilanek (51yo)

    Non-Executive Director

    • Tenure: 3.5yrs
    • Compensation: CHF130.00k
  • Ingrid Deltenre (59yo)

    Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: CHF118.00k
  • Ingo Arnold

    Director

    • Tenure: 0.5yrs
  • Peter Schöpfer (62yo)

    Vice Chairman

    • Tenure: 4.3yrs
    • Compensation: CHF161.00k

Company Information

Sunrise Communications Group AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sunrise Communications Group AG
  • Ticker: SNMM.F
  • Exchange: OTCPK
  • Founded: 2015
  • Industry: Integrated Telecommunication Services
  • Sector: Telecom
  • Market Cap: CHF3.617b
  • Listing Market Cap: CHF3.628b
  • Shares outstanding: 45.07m
  • Website: https://www.sunrise.ch

Number of Employees


Location

  • Sunrise Communications Group AG
  • Binzmühlestrasse 130
  • Zürich
  • Zurich
  • 8050
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SRCGSWX (SIX Swiss Exchange)YesCommon SharesCHCHFFeb 2015
SR2DB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 2015
0R5GLSE (London Stock Exchange)YesCommon SharesGBCHFFeb 2015
SNMM.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDFeb 2015

Biography

Sunrise Communications Group AG, together with its subsidiaries, provides telecommunications services to residential and business customers, and other carriers in Switzerland. The company offers mobile voi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 00:36
End of Day Share Price2019/09/10 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.