ELMERA GROUP ASA (ELMRA.OL) Stock Fundamental Analysis
Europe - Euronext Oslo - OSL:ELMRA - NO0010815673 - Common Stock
38.45 NOK
-0.4 (-1.03%)
We assign a fundamental rating of 4 out of 10 to ELMRA. ELMRA was compared to 29 industry peers in the Electric Utilities industry. ELMRA has only an average score on both its financial health and profitability. ELMRA has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- ELMRA had positive earnings in the past year.
- In the past year ELMRA had a positive cash flow from operations.
- ELMRA had positive earnings in each of the past 5 years.
- In multiple years ELMRA reported negative operating cash flow during the last 5 years.
1.2 Ratios
- The Return On Assets of ELMRA (6.00%) is better than 86.21% of its industry peers.
- With an excellent Return On Equity value of 23.90%, ELMRA belongs to the best of the industry, outperforming 82.76% of the companies in the same industry.
- The Return On Invested Capital of ELMRA (8.76%) is better than 75.86% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ELMRA is in line with the industry average of 6.33%.
- The last Return On Invested Capital (8.76%) for ELMRA is above the 3 year average (7.64%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6% | ||
| ROE | 23.9% | ||
| ROIC | 8.76% |
ROA(3y)2.9%
ROA(5y)3.8%
ROE(3y)14.57%
ROE(5y)15.75%
ROIC(3y)7.64%
ROIC(5y)10.35%
1.3 Margins
- ELMRA's Profit Margin of 2.61% is on the low side compared to the rest of the industry. ELMRA is outperformed by 79.31% of its industry peers.
- In the last couple of years the Profit Margin of ELMRA has declined.
- The Operating Margin of ELMRA (3.24%) is worse than 86.21% of its industry peers.
- In the last couple of years the Operating Margin of ELMRA has declined.
- ELMRA's Gross Margin of 14.95% is on the low side compared to the rest of the industry. ELMRA is outperformed by 86.21% of its industry peers.
- ELMRA's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.24% | ||
| PM (TTM) | 2.61% | ||
| GM | 14.95% |
OM growth 3Y7.92%
OM growth 5Y-12.47%
PM growth 3Y19.29%
PM growth 5Y-11.05%
GM growth 3Y8.43%
GM growth 5Y-2.66%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ELMRA is destroying value.
- Compared to 1 year ago, ELMRA has more shares outstanding
- ELMRA has more shares outstanding than it did 5 years ago.
- The debt/assets ratio for ELMRA is higher compared to a year ago.
2.2 Solvency
- ELMRA has an Altman-Z score of 3.35. This indicates that ELMRA is financially healthy and has little risk of bankruptcy at the moment.
- With an excellent Altman-Z score value of 3.35, ELMRA belongs to the best of the industry, outperforming 96.55% of the companies in the same industry.
- A Debt/Equity ratio of 1.17 is on the high side and indicates that ELMRA has dependencies on debt financing.
- ELMRA has a better Debt to Equity ratio (1.17) than 65.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.35 |
ROIC/WACC0.91
WACC9.67%
2.3 Liquidity
- A Current Ratio of 1.05 indicates that ELMRA should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.05, ELMRA is in the better half of the industry, outperforming 68.97% of the companies in the same industry.
- A Quick Ratio of 1.04 indicates that ELMRA should not have too much problems paying its short term obligations.
- ELMRA has a Quick ratio of 1.04. This is in the better half of the industry: ELMRA outperforms 79.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
- ELMRA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.13%, which is quite impressive.
- Measured over the past years, ELMRA shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.54% on average per year.
- The Revenue for ELMRA has decreased by -18.29% in the past year. This is quite bad
- The Revenue has been growing by 11.42% on average over the past years. This is quite good.
EPS 1Y (TTM)33.13%
EPS 3Y5.23%
EPS 5Y-1.54%
EPS Q2Q%23.66%
Revenue 1Y (TTM)-18.29%
Revenue growth 3Y-6.74%
Revenue growth 5Y11.42%
Sales Q2Q%38.56%
3.2 Future
- The Earnings Per Share is expected to decrease by -2.76% on average over the next years.
- Based on estimates for the next years, ELMRA will show a small growth in Revenue. The Revenue will grow by 4.20% on average per year.
EPS Next Y-41%
EPS Next 2Y-7.25%
EPS Next 3Y-2.76%
EPS Next 5YN/A
Revenue Next Year2.61%
Revenue Next 2Y5.65%
Revenue Next 3Y4.2%
Revenue Next 5YN/A
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 10.53 indicates a reasonable valuation of ELMRA.
- Based on the Price/Earnings ratio, ELMRA is valued cheaply inside the industry as 93.10% of the companies are valued more expensively.
- ELMRA is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 11.42 indicates a reasonable valuation of ELMRA.
- Based on the Price/Forward Earnings ratio, ELMRA is valued cheaper than 93.10% of the companies in the same industry.
- ELMRA is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.53 | ||
| Fwd PE | 11.42 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ELMRA indicates a somewhat cheap valuation: ELMRA is cheaper than 72.41% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.79 |
4.3 Compensation for Growth
- ELMRA's earnings are expected to decrease with -2.76% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-7.25%
EPS Next 3Y-2.76%
5. Dividend
5.1 Amount
- ELMRA has a Yearly Dividend Yield of 7.92%, which is a nice return.
- ELMRA's Dividend Yield is rather good when compared to the industry average which is at 3.10. ELMRA pays more dividend than 100.00% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, ELMRA pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.92% |
5.2 History
- The dividend of ELMRA has a limited annual growth rate of 0.91%.
Dividend Growth(5Y)0.91%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 109.37% of the earnings are spent on dividend by ELMRA. This is not a sustainable payout ratio.
- ELMRA's earnings are declining while the Dividend Rate has been growing. This means the dividend growth is most likely not sustainable.
DP109.37%
EPS Next 2Y-7.25%
EPS Next 3Y-2.76%
ELMERA GROUP ASA / ELMRA.OL FAQ
What is the fundamental rating for ELMRA stock?
ChartMill assigns a fundamental rating of 4 / 10 to ELMRA.OL.
What is the valuation status for ELMRA stock?
ChartMill assigns a valuation rating of 5 / 10 to ELMERA GROUP ASA (ELMRA.OL). This can be considered as Fairly Valued.
What is the profitability of ELMRA stock?
ELMERA GROUP ASA (ELMRA.OL) has a profitability rating of 4 / 10.
Can you provide the PE and PB ratios for ELMRA stock?
The Price/Earnings (PE) ratio for ELMERA GROUP ASA (ELMRA.OL) is 10.53 and the Price/Book (PB) ratio is 3.51.
What is the expected EPS growth for ELMERA GROUP ASA (ELMRA.OL) stock?
The Earnings per Share (EPS) of ELMERA GROUP ASA (ELMRA.OL) is expected to decline by -41% in the next year.