There may be nothing higher than beginning a yr with taking a look at 15 “contemporary” and randomly chosen Norwegian shares. Three of them made it onto my preliminary watch record. As all the time, I’m very happy to get my reader’s enter within the feedback as these are fairly fast evaluation and I almost definitely miss plenty of attention-grabbing issues. Let’s go:
16. Melhus Sparebank
Melhus is a 43 mn EUR market cap native financial savings financial institution. The inventory trades at round 10x earnings, pays a 6% dividend however hasn’t moved a lot for the final 20 years. EPS is oscillating in a spread since 20 years, too. “Go”.
17. Europris ASA
Europris is a 1,1 bn EUR market cap retailer that sells “low cost selection” gadgets in Norway, each by way of a series of 300 shops but in addition on-line.
AT 12x earnings, the inventory doesn’t look costly and in line with TIKR, they did 10x their EBIT since 2013. The corporate IPOed in 2015 and searching on the chart, they appear to have carried out fairly nicely for a retailer, particularly in the previous couple of years regardless of Covid
They’ve a really attention-grabbing current capital markets presentation. Amongst others, they appear to have acquired a Skandinavian toy retailer. General I discover it fairly attention-grabbing though the query clearly is how a lot progress alternatives are left in a small nation like Norway, nonetheless it’s a “watch”.
18. Sparebank -1 SR Financial institution
Sparebank is a 2,9 bn regional financial institution that appears equally low cost than most of its Nordic friends with a P/E of ~9x and 4,5% dividend yield. Their long run share worth chart seems to be “constructive” and returns on Fairness have been largely within the low double digits which is superb. However, for some causes I’m not so eager on regional Nordic banks, due to this fact I’ll “go”.
EQVA is a 21 mn EUR market cap firm that till Mid November referred to as itself Havyard ASA. The corporate is usually a shipbuilder that companies the oil offshore sector in addition to renewable and fishing.
The corporate had damaging earnings from 2015-2019 and has been making earnings in 2020 and 2021. The share worth seems to be very very similar to a theme park curler coaster:
The corporate claims to have shifted its enterprise mannequin in direction of a extra secure service mannequin, hwoever in Q3 they once more confirmed EBITDA losses. General, regardless of the brand new identify, I might “go”.
20. Horsiont Energi
Horisont is a 81 mn EUR market cap firm that was IPOed in 2021. The corporate is a developer of “blue Hydrogen” initiatives, i.e. producing Hydrogen from Pure Fuel with an built-in Carbon Seize and Storage. The corporate has no revenues and Blue Hydrogen has misplaced most of its enchantment as a consequence of excessive Pure Fuel costs. “Go”.
21. Tomra Programs
Tomra is a 5,4 bn market cap firm, whose merchandise many people may need encountered in a grocery store: Tomra is the undisputed chief in “reverse merchandising machines” that automate the gathering of used bottles, cans and so on. in coutnries the place clients must pay a deposit.
Trying on the share worth, it’s fairly clear that Tomra will not be an “undiscovered” inventory:
Regardless of the -1/3 pullback, Tomra remains to be costly and is worth at 44x P/E and 32 EV/EBIT. On the optimistic facet, Tomra is rising properly over a few years. Even in 2020, progress was 6,5% and in a standard yr they develop by 10% or extra. EBIT margins are between 12-15%, returns on Capital are oK, with an ROE of ~17%. The corporate has solely tillte debt
Within the current years, Tomra has diversified additionally into recycling. Apparently, in 2022, they appear to struge with price pressures and for the primary 9M have reported declining earnings regardless of rising high line.
General, Tomra seems to be ilke a brilliant attention-grabbing firm, nevertheless it’s clearly a lot too costly for my style. However I might put them on “watch”. Perhaps the they are going to be out there at a greater valuation in some unspecified time in the future sooner or later.
22. Voss Veksel Ogland
Voss is a forty five mn EUR market cap small financial institution that’s situated within the city with the identical identify. As most different regional Skandinavian banks, the inventory ist low cost at 8x P/E and a 5,8% dividend yield. However, ROE’s are solely 8% and progress is low. “Go”.
23. Cover Holdings
Cover is a 2021 IPO that has misplaced -95% of its share worth over a yr with a remaining market cap of 4 mn EUR. they’re doing one thing with expertise and are loss making. “Go”.
Axactor is a 169 mn EUR market cap firm that makes a speciality of “debt assortment”. Trying on the chart, the corporate appears to come across some points:
The corporate has fairly unstable outcomes with losses in 2020 and 2021. At the moment, the corporate appears to be fairly worthwhile, with a 2022 P/E within the center single digits. Nonetheless, the corporate carries vital leverage.
I feel it might be actually attention-grabbing to take a look at this nearer though it may be a really tough enterprise mannequin, due to this fact I’ll put them on “watch”.
25. Webstep ASA
Webstep is a 61 mn EUR market cap IT service/consulting firm energetic largely in Norway and Sweden. The corporate has been in a position to develop their high line, however the backside line is sort of unstable. Gross margins are within the vary of 15-20%, so that they appear to be somewhat an outsourcing firm than a “worth add” guide.
Q3 2022 seems to be good from the highest line however dreadful for earnings. Nothing to see right here, “go”.
26. Bergenbio ASA
Bergenbio is a 6 mn EUR market cap Biopharmaceutical firm that develops primarily based on “small molecule” expertise remedy towards some types of most cancers. The corporate has solely section II initiatives and is loss making, “go”.
27. Havila Delivery
Havila Delivery is a 26 mn EUR market cap firm that operates a number of offshore vessels. The corporate has been making operational losses for a while and carries vital debt. Internet revenue is both an enormous loss or an enormous revenue primarily based on particular gadgets. “Go”.
28. Olav Thon Eiendoms
Olav Thon is a 1.7 bn EUR market cap actual property firm that manages buying facilities (and has nothing to do with former German soccer participant Olaf Thon).
Trying on the share worth, they’ve carried out loads higher than their buying middle friends. The corporate seems to be moderately low cost (7% FCF yield, 5% dividend yield), however buying facilities usually are not my power. In addition they run valuation modifications instantly by way of the P&L. “Go”.
29. NRC Group
NRC Group is a 101 mn EUR market cap “infrastructure development” group energetic in Scandinavia. In response to TIKR, they’ve been loss making for six out of the final 10 years and the srock worth has misplaced -75% since 2018. “Go”.
30. Gram Automobile Carriers
Gram Automobile Carriers is a 444 mn EUR market cap firm that was IPOed in March 2022 and ” invests in and operates property within the pure automobile and truck provider transport phase. It supplies a fleet of vessels for numerous facets of the seaborne automobile transportation commerce”.
For some purpose, the inventory tripled since then, making them almost definitely one of the profitable recnt IPOs;
In response to their Q3 report, for some causes, transport charges have quintupled in 2022. Undecided if that is sustainable. Delivery is a sector, the place I’m extraordinarily cautious, due to this fact I’ll “go”.