AF GRUPPEN ASA (AFG.OL) Stock Fundamental Analysis
OSL:AFG - Euronext Oslo - NO0003078107 - Common Stock - Currency: NOK
We assign a fundamental rating of 4 out of 10 to AFG. AFG was compared to 40 industry peers in the Construction & Engineering industry. AFG has an average financial health and profitability rating. AFG has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AFG had positive earnings in the past year.
In the past year AFG had a positive cash flow from operations.
In the past 5 years AFG has always been profitable.
Each year in the past 5 years AFG had a positive operating cash flow.
1.2 Ratios
AFG has a Return On Assets (3.23%) which is comparable to the rest of the industry.
AFG has a better Return On Equity (22.35%) than 70.00% of its industry peers.
The Return On Invested Capital of AFG (13.77%) is better than 77.50% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AFG is below the industry average of 20.73%.
The 3 year average ROIC (18.59%) for AFG is well above the current ROIC(13.77%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 22.35% | ||
| ROIC | 13.77% |
ROA(3y)5.72%
ROA(5y)6.27%
ROE(3y)30.96%
ROE(5y)33.87%
ROIC(3y)18.59%
ROIC(5y)18.1%
1.3 Margins
AFG has a Profit Margin of 1.67%. This is in the lower half of the industry: AFG underperforms 67.50% of its industry peers.
AFG's Profit Margin has declined in the last couple of years.
AFG has a Operating Margin of 2.53%. This is in the lower half of the industry: AFG underperforms 70.00% of its industry peers.
AFG's Operating Margin has declined in the last couple of years.
The Gross Margin of AFG (32.83%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of AFG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.53% | ||
| PM (TTM) | 1.67% | ||
| GM | 32.83% |
OM growth 3Y-17.95%
OM growth 5Y-13.5%
PM growth 3Y-28.44%
PM growth 5Y-20.37%
GM growth 3Y0.99%
GM growth 5Y-0.78%
2. Health
2.1 Basic Checks
AFG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, AFG has more shares outstanding
AFG has more shares outstanding than it did 5 years ago.
AFG has a better debt/assets ratio than last year.
2.2 Solvency
AFG has an Altman-Z score of 2.59. This is not the best score and indicates that AFG is in the grey zone with still only limited risk for bankruptcy at the moment.
AFG has a better Altman-Z score (2.59) than 80.00% of its industry peers.
The Debt to FCF ratio of AFG is 0.90, which is an excellent value as it means it would take AFG, only 0.90 years of fcf income to pay off all of its debts.
AFG has a Debt to FCF ratio of 0.90. This is amongst the best in the industry. AFG outperforms 95.00% of its industry peers.
A Debt/Equity ratio of 0.36 indicates that AFG is not too dependend on debt financing.
AFG has a Debt to Equity ratio of 0.36. This is in the better half of the industry: AFG outperforms 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 0.9 | ||
| Altman-Z | 2.59 |
ROIC/WACC1.66
WACC8.29%
2.3 Liquidity
A Current Ratio of 0.62 indicates that AFG may have some problems paying its short term obligations.
AFG has a worse Current ratio (0.62) than 95.00% of its industry peers.
A Quick Ratio of 0.56 indicates that AFG may have some problems paying its short term obligations.
AFG's Quick ratio of 0.56 is on the low side compared to the rest of the industry. AFG is outperformed by 92.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The earnings per share for AFG have decreased strongly by -58.26% in the last year.
Measured over the past years, AFG shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -13.87% on average per year.
Looking at the last year, AFG shows a decrease in Revenue. The Revenue has decreased by -0.98% in the last year.
Measured over the past years, AFG shows a quite strong growth in Revenue. The Revenue has been growing by 10.22% on average per year.
EPS 1Y (TTM)-58.26%
EPS 3Y-26.11%
EPS 5Y-13.87%
EPS Q2Q%330.23%
Revenue 1Y (TTM)-0.98%
Revenue growth 3Y4.15%
Revenue growth 5Y10.22%
Sales Q2Q%4.3%
3.2 Future
Based on estimates for the next years, AFG will show a very strong growth in Earnings Per Share. The EPS will grow by 34.14% on average per year.
Based on estimates for the next years, AFG will show a small growth in Revenue. The Revenue will grow by 2.54% on average per year.
EPS Next Y60.01%
EPS Next 2Y62.02%
EPS Next 3Y42.39%
EPS Next 5Y34.14%
Revenue Next Year-1.37%
Revenue Next 2Y1.05%
Revenue Next 3Y2.09%
Revenue Next 5Y2.54%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 38.77 indicates a quite expensive valuation of AFG.
72.50% of the companies in the same industry are cheaper than AFG, based on the Price/Earnings ratio.
AFG is valuated rather expensively when we compare the Price/Earnings ratio to 29.35, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 14.77, the valuation of AFG can be described as correct.
Based on the Price/Forward Earnings ratio, AFG is valued a bit more expensive than 70.00% of the companies in the same industry.
AFG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.77 | ||
| Fwd PE | 14.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AFG is valued a bit more expensive than 60.00% of the companies in the same industry.
AFG's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. AFG is cheaper than 67.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.9 | ||
| EV/EBITDA | 11.71 |
4.3 Compensation for Growth
AFG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as AFG's earnings are expected to grow with 42.39% in the coming years.
PEG (NY)0.65
PEG (5Y)N/A
EPS Next 2Y62.02%
EPS Next 3Y42.39%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.48%, AFG has a reasonable but not impressive dividend return.
AFG's Dividend Yield is a higher than the industry average which is at 3.65.
Compared to an average S&P500 Dividend Yield of 2.33, AFG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.48% |
5.2 History
The dividend of AFG decreases each year by -5.31%.
Dividend Growth(5Y)-5.31%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
AFG pays out 74.80% of its income as dividend. This is not a sustainable payout ratio.
DP74.8%
EPS Next 2Y62.02%
EPS Next 3Y42.39%
OSL:AFG (3/7/2025, 7:00:00 PM)
145
+1.4 (+0.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)
Earnings (Next)
Inst Owners14.03%
Inst Owner ChangeN/A
Ins Owners23.78%
Ins Owner ChangeN/A
Market Cap15.74B
Analysts48
Price Target163.97 (13.08%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.48% |
Yearly Dividend6.47
Dividend Growth(5Y)-5.31%
DP74.8%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-53.98%
Min EPS beat(2)-103.85%
Max EPS beat(2)-4.1%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.41%
Min Revenue beat(2)-3.64%
Max Revenue beat(2)-1.18%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)13.4%
PT rev (3m)17.12%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.58%
EPS NY rev (1m)-0.14%
EPS NY rev (3m)-2.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.77%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.91%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.77 | ||
| Fwd PE | 14.77 | ||
| P/S | 0.52 | ||
| P/FCF | 7.9 | ||
| P/OCF | 7.9 | ||
| P/B | 6.92 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.71 |
EPS(TTM)3.74
EY2.58%
EPS(NY)9.82
Fwd EY6.77%
FCF(TTM)18.35
FCFY12.66%
OCF(TTM)18.35
OCFY12.66%
SpS280.29
BVpS20.94
TBVpS-21.63
PEG (NY)0.65
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.23% | ||
| ROE | 22.35% | ||
| ROCE | 17.67% | ||
| ROIC | 13.77% | ||
| ROICexc | 15.65% | ||
| ROICexgc | N/A | ||
| OM | 2.53% | ||
| PM (TTM) | 1.67% | ||
| GM | 32.83% | ||
| FCFM | 6.55% |
ROA(3y)5.72%
ROA(5y)6.27%
ROE(3y)30.96%
ROE(5y)33.87%
ROIC(3y)18.59%
ROIC(5y)18.1%
ROICexc(3y)21.46%
ROICexc(5y)22.05%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)23.85%
ROCE(5y)24.33%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-16.03%
ROICexc growth 5Y-17.59%
OM growth 3Y-17.95%
OM growth 5Y-13.5%
PM growth 3Y-28.44%
PM growth 5Y-20.37%
GM growth 3Y0.99%
GM growth 5Y-0.78%
F-Score4
Asset Turnover1.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | 0.9 | ||
| Debt/EBITDA | 0.57 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 7.4 | ||
| Cash Conversion | 137.19% | ||
| Profit Quality | 392.13% | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 2.59 |
F-Score4
WACC8.29%
ROIC/WACC1.66
Cap/Depr(3y)61.5%
Cap/Depr(5y)56.39%
Cap/Sales(3y)1.14%
Cap/Sales(5y)1.13%
Profit Quality(3y)164.52%
Profit Quality(5y)146.42%
High Growth Momentum
Growth
EPS 1Y (TTM)-58.26%
EPS 3Y-26.11%
EPS 5Y-13.87%
EPS Q2Q%330.23%
EPS Next Y60.01%
EPS Next 2Y62.02%
EPS Next 3Y42.39%
EPS Next 5Y34.14%
Revenue 1Y (TTM)-0.98%
Revenue growth 3Y4.15%
Revenue growth 5Y10.22%
Sales Q2Q%4.3%
Revenue Next Year-1.37%
Revenue Next 2Y1.05%
Revenue Next 3Y2.09%
Revenue Next 5Y2.54%
EBIT growth 1Y-10.05%
EBIT growth 3Y-14.55%
EBIT growth 5Y-4.66%
EBIT Next Year79.47%
EBIT Next 3Y38.1%
EBIT Next 5YN/A
FCF growth 1Y10.73%
FCF growth 3Y1.59%
FCF growth 5Y3.87%
OCF growth 1Y10.73%
OCF growth 3Y9.29%
OCF growth 5Y13.04%