BusinessBayer AG operates as a life science company worldwide, it is one of the world's leaders in designing, producing, and marketing,
The Consumer Health segment markets nonprescription over-the-counter medicines, medical products, medicated skincare products, nutritional supplements, and self-care solutions in dermatology, nutritional supplements, pain and cardiovascular risk prevention, digestive health, allergy, and cold and cough. The Crop Science segment offers chemical and biological crop protection products, improved plant traits, seeds, digital solution, and pest and weed control products, as well as customer service for agriculture. This segment also provides
Net sales are distributed by product family as follows:
Bayer Brand’s Portfolio As we see in the picture above, Bayer AG owns and markets a wide range of brands across its different business segments. Some of the notable brands include pharmaceuticals, such Aspring, Xarelo, Adalat, Levitra and Nexavar. Bayern’s widely recognized agriculture brands are Roundup, Dekalb, Seresto, Poncho and Basta, in addition to the agriculture and pharmaceuticals brand, Bayern owns a trusted and popular brand such as Claritin, Alveve and DR. Scoll’s. Key Data Bayer AG - Technical AnalysisHistorical daily share price chart and data for Bayer AG since 2017 adjusted for splits. The latest closing stock price for Bayer as of April 08, 2023, is 60.
 It is with a good reason once, George Box said, “ All models are wrong, but some are useful”. Many widely used financial models assume a normal distribution of stock price returns, despite increasing evidence that this is not the case. These assumptions ignore the real chances of extreme events and fluctuations occurring, as we can see few declines greater than 8 %, with one recently in March 2020 decline over 10% in ROC model, therefore we can observe they underestimate the risk of investing in the market. Briefly the most significant difference in the case between normal and power law distributions is tail size. Power law distributions have fatter tails than normal distributions, meaning that the probability of extreme events happening is much higher in power law distributions than in those that are normal. When we look at BAYER last 1000 trading days distribution, it is clear that 80 % of the price fluctuation falls within the range of [ 13 to 16].  BAYRY Yearly Adjusted price 2017-12-29 25.22 2018-12-31 21.79 2019-12-31 15.70 2020-12-31 15.20 2021-12-31 14.32 2022-12-30 14.49 2023-04-03 15.30 Financial HealthyBayer is leader in life sciences, it aims to improve health and spread health around the world by focusing on innovation and sustainability core competitive advantage. As date April 2023 Bayer is the world's 229th most valuable company by market cap according to our data. The following chart provide a summary of BAYER AG. Income Statements Eleven-years compound annual growth rate in revenue. The revenue CAGR for Bayer (BAYN.BE) stock is 0.37% for the period of 2022. Compound annual growth rate (CAGR) is a commonly used business and investing term that measures the growth of a metric over multiple periods. CAGRs are useful since they reduce the effect of volatility in specific periods, unlike arithmetic means. We can conclude that Bayer has one of the worst CAGR within the blue-chip companies. What do they offer ?
ValuationPrice to Earnings Ratio vs IndustryBayer AG ~ Price-To-Earnings vs Peers: As date April 2023 BAYN is good value based on its Price-To-Earnings Ratio 14.3x compared to the peer average 27.8x. Performance Highlights  Bayer AG generates 8 cents for each dollar of sales, while Eli Lilly, which operates in the same sector generates 3x than Bayer. Based on the latest financial disclosure, Bayer AG performs far less than that of the drag manufactures sector and significantly less than that of the pharmaceuticals industry. The P/E ratio is an excellent indicator that we can rely on while investing in equites. Comparing Bayer’s P/E ratio and market cap  Since a stock's share price can swing wildly from day to day and week to week, we had argued that a market cap is not really the best way to determine what a company is worth. Using discounted cash flow analysis is a more useful way to value a company (and thus know what to pay for its shares), though as with any valuation method it has its own flaws. Bayer’s Monthly Performance We notice that on the table, Bayern overall had bad performance for several years.  Bayer AG - CompetitorsBayer’s products and services are designed to benefit people and improve their quality of life  Some of the key competitors of Bayer AG in each of its business segments are: Pharmaceuticals:
DowDuPont Inc. Consumer Health:
Bayer AG - SWOT AnalysisSwot Analysis of BayerThe goal of SWOT analysis is to formulate a successful strategy for the future. Accordingly, the SWOT analysis of Bayer is carried out. Strengths:Strong brand portfolio: Bayer AG owns and markets well-known brands in the pharmaceuticals, agriculture, and consumer health sectors, which provide a competitive advantage in the market. Diversified business segments: Bayer AG operates in multiple industries, including pharmaceuticals, agriculture, and consumer health, which diversifies its revenue streams and reduces dependency on a single market. Research and development capabilities: Bayer AG has a strong focus on research and development (R&D), investing significantly in innovation to develop new products and technologies, which can lead to competitive advantages and market leadership. Global presence: Bayer AG has a global presence with operations in multiple countries, which provides access to diverse markets and customer bases. Weaknesses:Litigation risks: Bayer AG has faced and continues to face legal challenges related to its acquisition of Monsanto and the alleged harmful effects of glyphosate-containing products, which could result in financial liabilities and reputational damage. Integration challenges: The acquisition of Monsanto has posed integration challenges for Bayer AG, including cultural differences, operational complexities, and regulatory hurdles. Dependence on key products: Bayer AG's revenue is dependent on a few key products, including Xarelto and Eylea, which exposes the company to risks associated with product concentration and potential loss of exclusivity. Opportunities:Growth in emerging markets: Bayer AG has opportunities for growth in emerging markets, where rising population, urbanization, and increasing healthcare and agricultural needs present significant market potential. Expansion of digital solutions: Bayer AG can leverage digital technologies, such as data analytics, precision farming, and telemedicine, to develop and market innovative solutions for the pharmaceuticals and agriculture sectors. Focus on sustainability: The increasing demand for sustainable products and practices presents an opportunity for Bayer AG to develop and market environmentally friendly products and solutions, aligning with changing consumer preferences and regulatory trends. Threats:Competitive landscape: Bayer AG faces intense competition from other global players in the pharmaceuticals, agriculture, and consumer health sectors, which could impact its market share, pricing, and profitability. Regulatory challenges: Bayer AG operates in highly regulated industries, and changes in regulations related to product approvals, pricing, labeling, and safety could pose challenges and impact its business operations. Economic and market risks: Bayer AG is exposed to risks associated with economic and market factors, such as currency fluctuations, inflation, trade policies, and geopolitical uncertainties, which could impact its financial performance and operations. Bayer AG - ManagementAverage management tenure 5.1 years. CEO – Wernwr Baumann (60 years young): have 13.3 years tenure, with a compensation of €7,825,000 Mr. Werner Baumann has been Chairman of Management Board and Chief Executive Officer at Bayer AG since May 1, 2016 and has been its Member of Management Board since January 1, 2010. Since January 1, 2020, Mr. Baumann is a Chief Sustainability Officer of Bayer AG. He served as Labor Director at Bayer AG. until January 31, 2021. Mr. Baumann served as Chief of Strategy & Portfolio Management - Europe / Middle East / Africa Region at Bayer AG. He served as the Chairman of Management Board and Chief Executive Officer of Bayer HealthCare AG from March 31, 2015 to December 2015. He served as the Chief Strategy & Portfolio Officer of Bayer AG from October 1, 2014 to May 1, 2016 and was responsible for the Europe, Middle East and Africa Region. He served as Chief Financial Officer of Bayer AG from January 1, 2010 to October 1, 2014. He served as the President of Business Development & Licensing at Bayer HealthCare AG since March 1, 2006 and also served as its President of Central Administration & Organization from July 2002 to 2009. He joined Bayer AG in Leverkusen as a Commercial Trainee on April 1, 1966. Mr. Baumann served as a Member of Management Board at Bayer HealthCare AG since October 1, 2003 and served as its Labor Director. As a member of the Board of Management and Labor Director of Bayer Schering Pharma AG, Berlin, Germany, from 2006 through September 2009, he actively participated in its integration into the former HealthCare subgroup. He served as Vice President of German Chemical Industry Association (VCI), Frankfurt. He served as President of German Chemical Industry Association from September 2005 to September 2007 and Vice President of Federation of German Industries (BDI), Berlin. He served as Head of Business Planning & Administration at Bayer HealthCare AG until 2002. He joined Bayer AG in 1988 and served in Southwest Europe section of Corporate Finance Department. He served as Controller of Bayer Hispania Commercial in Barcelona, Spain since 1991 and also served as Assistant to Managing Director since 1995. He moved to Bayer Corporation in Tarrytown, New York, where he held various positions in Bayer's global Diagnostics Business Group. Since 1978, he served as Managing Director and administrative head of the Peruvian company. Since April 1996, he served as Head of Corporate Planning and Controlling in Leverkusen. From 1970 to 1975, Mr. Baumann established and managed the finance and accounting department of Bayer Industrial S.A. He serves as Chairman of Supervisory Board at Bayer CropScience AG. He served as Chairman of Supervisory Board at Covestro AG until March 26, 2015. He serves as a Member of Supervisory board of Henkel KGaA. He serves as a Member of the Advisory Council at Allianz Global Corporate & Specialty SE. Mr. Baumann served as a Member of Supervisory Board at Bayer Business Services GmbH. He studied Economics from RWTH Aachen Technical University and the University of Cologne. WHO OWNS BAYER – OWNERSHIP STRUCTURENorges Bank Investment Management owns 27.5 million shares of Bayer AG, represents 2.8% of total shares outstanding, as of April 2023. Norges Bank investment, which manages the Government Pension Fund abroad on behalf of the Ministry of Finance. The value of the fund was NOK 14,372 billion in April 2023. TOP SHAREHOLDERS
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BusinessSafaricom PLC is a leading telecommunication company in East Africa. It provides
In addition, it provides m-tiba, a health payment application; M Salama platform; FULIZA, an overdraft facility that allows customers to complete their transaction in case of insufficient funds; M-Shwari, a micro-lending/savings product; M-Kesho, an equity bank account; and Shupavu291, an education platform that enables students to study without an internet connection. The company serves individual, corporate, and SME customers, as well as government agencies. It sells its products and services through dealers and retail outlets. Safaricom PLC was incorporated in 1997 and is based in Nairobi, Kenya. As today Safaricom PLC serves over 42 million customers connected and play a critical role in the society, supporting over one million jobs both directly and indirectly while our total economic value was estimated at KES 362 Billion ($ 3.2 billion) for the 12 months through March 2021. They are listed on the Nairobi Securities Exchange (NSE) and with annual revenues of close to KES 298 Billion ($2.5 billion) as at March 2022.  Safaricom Plc. Stock price fluctuationsStock prices are driven by a variety of factors, but ultimately on the long-term horizon stock price are driven by earnings power and the managers ability to create values for every dollar that deployed. Current Safaricom's stock prices as 13 March 2023 are at the level of 2017 and 2019.  HOW DOES SAFARICOM Plc. MAKE MONEY ?
CAGRs are useful since they reduce the effect of volatility in specific periods, unlike arithmetic means. We can find the calculation details for Safaricom’s Revenue CAGR outlined below. The calculation starts by listing values for Revenue for the last ten fiscal years that are required to calculate CAGR:  Price to Earnings Ratio vs IndustrySafaricom ~ Price-To-Earnings vs Peers: SCOM is good value based on its Price-To-Earnings Ratio 14x compared to the peer average 24.2x. What do they offer ?  CompetitorsThe Kenya Telecom Market is expected to witness growth CAGR of 2.00% during the forecast period of 2021 to 2026, this is approximately a valuation of $3.5 billion. Most of the major telecom companies in Kenya, such as Safaricom, Airtel, and Telkom, are promote innovation by making significant R&D investments consistently. The Kenya’s telecommunication sector, which underpins the operations of all enterprises, public safety groups, and the government, is a crucial part of the country's economy. The number of active mobile subscriptions as 31 March 2023 stood at 61.4 million, representing an increase of 2.6% from the preceding quarter. Subsequently, mobile (SIM) penetration grew, by 3.3% points to stand at 129.1% during the period under review. During the same period, the data for Jamii Telecommunications Limited – a privately owned Kenyan telecommunication service provider offering broadband and mobile services under the "FAIBA" brand – is included in cellular mobile services sub-section which main services are delivering mobile data through 4G but also include Voice over LTE (VoLTE).  Financial HealthSafaricom celebrated the 15th anniversary of the introduction of M-PESA with various awareness campaigns. With its over 30 million monthly active customers, more than 3.2 million businesses, and over 42,000 developers engaged in ongoing development within the Super Apps, some 50 million transactions per day, and a velocity of funds exceeding KShs 2 trillion monthly, M-PESA truly constitutes a massive ecosystem whose potential is only just beginning to make itself felt.
ManagementAverage management tenure 2.3 years. CEO – Peter Nfegwa (53 years young): have 2.9 years tenure, with a compensation of KSH 288 930 000.  Mr. Peter Waititu Ndegwa has been Chief Executive Officer and Executive Director of Safaricom PLC since April 1, 2020. He serves as the Chief Executive Officer of Safaricom PLC. at Vodacom Group Limited since April 1, 2020. He served as the Chief Executive Officer and Managing Director of Guinness Nigeria Plc from September 4, 2015 until June 30, 2018. Mr. Ndegwa served as Managing Director of Guinness Ghana Breweries Ltd. until July 20, 2015. Mr. Ndegwa served as Group Finance Director of East African Breweries Ltd., since August 28, 2008 and served as its Managing Director of Serengeti Breweries Limited. He was responsible for Diageo PLC operations in 50 countries in Western and Eastern Europe, Russia, Middle East and North Africa regions. Mr. Ndegwa has experience in sales, Financial Services, General Management, Fast Moving Consumer Goods (FMCG), Business strategy, Finance Operations, business advisory and finance in a variety of sectors including retail, manufacturing, banking and insurance and general services. He joined EABL as Head of Group Strategy in January 2004 and Change Director Sales since March 2006, Head a radical change programme within the sales and commercial area. He served as EABL Sales Director of Kenya. He trained and worked with PricewaterhouseCoopers, in a variety of senior roles both in Eastern Africa and in the UK and served as an Associate Director in the Corporate Finance and Strategy practice. He holds an MBA in Strategy and Finance from the London Business School and an Economics degree from the University of Nairobi. He is also a Certified Public Accountant. Ownership Safaricom were founded in 1997 as a fully owned subsidiary of Telkom Kenya before a 40 percent acquisition by Vodafone Group PLC in May 2000, and a public offering of 25 percent shares through the NSE in 2008.   Distribution of shareholders   BUSINESSAlphabet Inc. is a holding company which are organized around 6 areas of activities: the largest of which is Google. Google is divided in two segments, Google Services and Google Cloud; they also report all non-Google businesses collectively as Other Bets. YouTube provides people with entertainment, information, and opportunities to learn something new. And Google Assistant offers the best way to get things done seamlessly across different devices, providing intelligent help throughout a person's day, no matter where they are. To achieve their objective goal Google are continually innovating and building new product features that will help their users, partners, customers, and communities. Google have invested more than $100 billion in R&D over the last five years. Other Bets also remain focused on innovation through technology that can positively affect people's lives. For instance, Waymo is working toward making transportation safer and easier for everyone and Verily is developing tools and platforms to improve health outcome. Nest Labs is develops and production of home automation solutions: Wi-Fi networks synchronized with the control programs for thermostats, smoke detectors and security systems; while Google X research into artificial intelligence. Google Ventures an investment services: management of an investment fund devoted to young businesses that operate in the new technology sector and Goggle capital an investment fund intended for already developed companies. Google Fiber focuses on fiber optic internet access network infrastructure. The company was founded in 1998 and is headquartered in Mountain View, California. BRANDSGoogle’s intellectual property rights are valuable, and any inability to protect them could reduce the value of our products, services, and brands as well as affect our ability to compete.  KEY DATA GOOG- STOCK PRICE FLUCTUATIONS [2017- SYS.DATE] MONTHLY HISTORICAL STOCK PRICE HOW WAS |
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Key Data - of VolvoCar stock
The following tables provide a summary of
VolvoCar Income Statements
Sources of VolvoCar revenues
Unit cars sold annually is descending since top Q4 2022. One way to protect revenue is selling at higher price than of year 2020.
Unit cars sold annually is descending since top Q4 2022. One way to protect revenue is selling at higher price than of year 2020.
What do they offer ?
We can see clearly that automotive branch generates the greatest revenue in total 89% of the 2021 revenues, while used cars business covers 7%.
Sales per region
Sales per region is well diversified. This provides a protection against a sharp macroeconomic decline.
R & D
One of the most significant and noticeable aspects that distinguish modern cars even from their 10-year-old predecessors is the number of software-controlled options. As we all know, describing the Volvo brand in one word is simply: safety. Therefore, role of software has kept providing Volvo brand to live up to its brand. This means not only quality-of-life improvements for the drivers but also that the manufacturers need to come up with new innovative solutions to compete. Latest engineered performance seen in VolvoCar is a result of the constant investment and tireless innovation of their R&D team. We know R&D section plays a significant role for modern automotive in order to succeed. The cost of R&D for VolvoCar is as follows.
Since 2012 VolvoCar R&R expense on average was -4.9% of its revenue. This means Volvo have managed to keep R&D costs low while improving its digital technology.
VolvoCar
Historical
Stock Price
Monthly VolvoCar stock
price fluctuations
Valuation
Let’s see if VOLCAR is undervalued compared to its fair value, analyst forecasts and its price relative to the market? Base of PE Ratio VolvoCar is good value 11x compared to the peer average as date November 2022. However, VolvoCar is slightly expensive compare to the Global auto industry average.
SWOT ANALYSIS
Reading the swot analysis of Volvo, we will understand what are the critical factors which are responsible for the success of this firm and factors which can be dynamic and game-changing in the future.
Strength of VolvoCar
VolvoCar has strong market position – they are the market leader for most of its segments. Volvo has a strong position throughout the world due to its continuous expansion and use of modern technology. Strong R&D team provides them an edge over competitors’ products, and it helps them to stay in the race and innovate. At the same time what matters for customers is safety, reliable brand – Volvo is one of the most reliable and trusted brands in the world. They have a reputation for making the world’s safest cars for several decades. Having a successful and strong market presence also what helps a company like Volvo be recognized in the industry.
Weaknesses of VolvoCar,
Weaknesses are internal factors that place the company at a disadvantage compared to its competitors. As most auto manufacturing, in 2019 Volvo to recall 460,769 cars worldwide over air bag rupture fatality. Lately in 2022 Volvo's plug-in hybrid XC60 and XC90 have been recalled to fix a problem with the engine control module, although owners won't need to visit a dealer for a fix. If problems continue to rise thus can affected the brand image of VolvoCar and can has create a bad impact on the brand name of VolvoCar going forward.
Opportunities for VolvoCar
Opportunities are external factors that the company can potentially benefit from when recognized. It is not surprising that electric cars are the future of the automation industry. After huge demand for Tesla cars and the public’s concern towards sustainability become a huge opportunity for electric vehicles. Volvo has already set a goal to end fuel vehicle with in 2030. Therefore, Volvo Cars commitment to electrification also results in the launch of Polestar, a progressive stand-alone electric performance car brand, in which Volvo Cars owns shares. Volvo Cars also holds shares in the automotive brand LYNK&CO, which focuses on young open-minded urban people through a flexible customer offering.
Treats to VolvoCar
Threats are external factors that a company should be aware of to hold its status in the market. Threats to Volvo – Price wars – Internal competition with competitors causes price wars. Volvo faces tough competition in all its segments which forces them to do product competition i.e., fighting for giving a better quality of product or service. Currency fluctuations – Volvo operates globally in so many countries and hence it receives many kinds of currencies. All currencies are not stable, and some are unacceptable due to fluctuations happening in their value. Volvo accepts Swedish Konner and US dollars create fluctuations in their total value.
Competitors of Volvo
Following are the major competitors of VolvoCar
Strength of VolvoCar
VolvoCar has strong market position – they are the market leader for most of its segments. Volvo has a strong position throughout the world due to its continuous expansion and use of modern technology. Strong R&D team provides them an edge over competitors’ products, and it helps them to stay in the race and innovate. At the same time what matters for customers is safety, reliable brand – Volvo is one of the most reliable and trusted brands in the world. They have a reputation for making the world’s safest cars for several decades. Having a successful and strong market presence also what helps a company like Volvo be recognized in the industry.
Weaknesses of VolvoCar,
Weaknesses are internal factors that place the company at a disadvantage compared to its competitors. As most auto manufacturing, in 2019 Volvo to recall 460,769 cars worldwide over air bag rupture fatality. Lately in 2022 Volvo's plug-in hybrid XC60 and XC90 have been recalled to fix a problem with the engine control module, although owners won't need to visit a dealer for a fix. If problems continue to rise thus can affected the brand image of VolvoCar and can has create a bad impact on the brand name of VolvoCar going forward.
Opportunities for VolvoCar
Opportunities are external factors that the company can potentially benefit from when recognized. It is not surprising that electric cars are the future of the automation industry. After huge demand for Tesla cars and the public’s concern towards sustainability become a huge opportunity for electric vehicles. Volvo has already set a goal to end fuel vehicle with in 2030. Therefore, Volvo Cars commitment to electrification also results in the launch of Polestar, a progressive stand-alone electric performance car brand, in which Volvo Cars owns shares. Volvo Cars also holds shares in the automotive brand LYNK&CO, which focuses on young open-minded urban people through a flexible customer offering.
Treats to VolvoCar
Threats are external factors that a company should be aware of to hold its status in the market. Threats to Volvo – Price wars – Internal competition with competitors causes price wars. Volvo faces tough competition in all its segments which forces them to do product competition i.e., fighting for giving a better quality of product or service. Currency fluctuations – Volvo operates globally in so many countries and hence it receives many kinds of currencies. All currencies are not stable, and some are unacceptable due to fluctuations happening in their value. Volvo accepts Swedish Konner and US dollars create fluctuations in their total value.
Competitors of Volvo
Following are the major competitors of VolvoCar
- BMW -X3
- Mercedes-Benz
- Land Rover – Discovery Sport
- Hyundai Santa Fe
- Tesla
- NIO
- Audi Q5
- Lexus NX
VolvoCar - FINANCIAL HEALTH
Management
ManagementJim Rowan(57Y)
0.5-year tenure
$NA salary
VOLCAR B's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team. However, VOLCAR B's board of directors are considered experienced (7.8 years average tenure).
Mr. James Rowan, also known as Jim, is a Director of Polestar Automotive Holding UK PLC from June 2022. He serves as CEO & President at McDonald Hopkins, LLC since March 21, 2022. He serves as Director of Volvo Car AB (publ.) since May 11, 2022 and serves as its Chief Executive Officer and President.
He serves as Director of PCH International since August 26, 2020. He serves as Chief Executive Officer of Consumer & Healthcare Division and Director at Ember Technologies, Inc. since February 16, 2021. He serves as Senior Advisor at KKR & Co. Inc. since November 2020. He served as Lead Independent Director at Nanofilm Technologies International Limited. He served as the Chief Operating Officer of Global Manufacturing & Supply Chain at BlackBerry Limited (aka Research in Motion Limited) from July 2011 to March 2012. He served as Senior Vice President of Global Manufacturing & Supply Chain at Research In Motion Limited. He served as an Executive Vice President of Worldwide Operations for Celestica. Prior to that, he was based in Vienna, Austria where he worked for Flextronics as the Vice President of Operations for their European Region and a senior executive at Flextronics. He was also a Founder of two start-ups which were extremely successful. He serves as a Member of Executive Advisory Board at SCM World Limited. He brings global experience in the consumer and technology sectors. He led Dyson as its CEO between 2017 and 2020, during which time he accelerated the company’s e-commerce strategy and significantly grew its market share worldwide.
Weybourne Services Singapore Pte. Ltd. Dyson Appliances (Aust.) Pty Limited Dyson B2B, Inc Dyson B2B Technical Services Inc Dyson Canada Limited Dyson Direct, Inc Dyson Hong Kong Limited Dyson K.K. Dyson Manufacturing Sdn.
Bhd. Dyson New Zealand Limited Dyson Technical Services, Inc. Dyson Technology Inc Dyson, Inc. Sakti3, Inc. Dyson SAS Dyson Research and Development (Shanghai) Limited Dyson Technology (Beijing) Ltd Dyson Technology (Shanghai) Limited. He a Dictatorship in Momentum Technologies Pte Ltd PCH International Limited. He is an Advisory Board Member of Nanyang Technological University’s School of Mechanical & Aerospace Engineering.
He was Non-Executive Non-Independent Director at Nanofilm Technologies International Limited since May 14, 2021 until March 01, 2022. He works as advisor at Sydrogen Energy Pte. Ltd. (Sydrogen).
0.5-year tenure
$NA salary
VOLCAR B's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team. However, VOLCAR B's board of directors are considered experienced (7.8 years average tenure).
Mr. James Rowan, also known as Jim, is a Director of Polestar Automotive Holding UK PLC from June 2022. He serves as CEO & President at McDonald Hopkins, LLC since March 21, 2022. He serves as Director of Volvo Car AB (publ.) since May 11, 2022 and serves as its Chief Executive Officer and President.
He serves as Director of PCH International since August 26, 2020. He serves as Chief Executive Officer of Consumer & Healthcare Division and Director at Ember Technologies, Inc. since February 16, 2021. He serves as Senior Advisor at KKR & Co. Inc. since November 2020. He served as Lead Independent Director at Nanofilm Technologies International Limited. He served as the Chief Operating Officer of Global Manufacturing & Supply Chain at BlackBerry Limited (aka Research in Motion Limited) from July 2011 to March 2012. He served as Senior Vice President of Global Manufacturing & Supply Chain at Research In Motion Limited. He served as an Executive Vice President of Worldwide Operations for Celestica. Prior to that, he was based in Vienna, Austria where he worked for Flextronics as the Vice President of Operations for their European Region and a senior executive at Flextronics. He was also a Founder of two start-ups which were extremely successful. He serves as a Member of Executive Advisory Board at SCM World Limited. He brings global experience in the consumer and technology sectors. He led Dyson as its CEO between 2017 and 2020, during which time he accelerated the company’s e-commerce strategy and significantly grew its market share worldwide.
Weybourne Services Singapore Pte. Ltd. Dyson Appliances (Aust.) Pty Limited Dyson B2B, Inc Dyson B2B Technical Services Inc Dyson Canada Limited Dyson Direct, Inc Dyson Hong Kong Limited Dyson K.K. Dyson Manufacturing Sdn.
Bhd. Dyson New Zealand Limited Dyson Technical Services, Inc. Dyson Technology Inc Dyson, Inc. Sakti3, Inc. Dyson SAS Dyson Research and Development (Shanghai) Limited Dyson Technology (Beijing) Ltd Dyson Technology (Shanghai) Limited. He a Dictatorship in Momentum Technologies Pte Ltd PCH International Limited. He is an Advisory Board Member of Nanyang Technological University’s School of Mechanical & Aerospace Engineering.
He was Non-Executive Non-Independent Director at Nanofilm Technologies International Limited since May 14, 2021 until March 01, 2022. He works as advisor at Sydrogen Energy Pte. Ltd. (Sydrogen).
Ownership Structure
- Institutions: 37.3 %
- General Public: 4.3
- Individual Insiders: 0.5%
- Private Companies: 84%
Top Institutional Holders
Business
MTN is a pan-African leading mobile telecommunication operator with the strategic intent of ‘Leading digital solutions for Africa’s progress’. Inspired by their belief that everyone deserves the benefits of a modern connected life, they provide a diverse range of
- voice,
- data,
- fintech,
- digital, enterprise,
- wholesale, and
- API services to more than 272 million customers in 19 markets.
Brands
Below an image showing some of MTN's Group main brands and investments. South Africans are sure to recognize several the brands in the image below.
Key Data
MTN Income Statements
Sales per business - break down MTN revenue sources
MTN Group sales per business break down by activity as follows: mobile telecommunication is the biggest revenue contributor 73,5% as 2021, following by digital & fintech and interconnect and roaming, while sale of cell phones and accessories contribute 5,4%.
MTN - Price fluctuations
5 years price summary
1000 trading days - MTN price distribtion
Monthly MTN stock
price fluctuations
Last 15 Months
MTN stock Returns
Median Price,
RSI & ROC
Yearly MTN
stock price
fluctuations
Valuation
PE Ratio vs competitors: MTN is good value based on its Price-To-Earnings Ratio (11.0x) compared to the peer average (18.5x). Industrial average PE ratio is currently at 14.5x, MTN PE ratio is well below industrial and its competitors. We can conclude that base of historical data MTN is slightly undervalued compared to its fair value.
Opportunities
There is a structurally higher demand for data services and accelerating transaction values in fintech businesses. To support this, MTN Group is investing in the coverage, capacity and resilience of their networks, as well as the scaling of their platforms. They are increasing investment in the networks to R34.4 billion. MTN expect capex intensity to decelerate as the business grows, with Group capex intensity anticipated to reduce in the range of 18% to 15%. They have enhanced their medium-term guidance, raising our targets for Group service revenue growth and returns, in turn creating shared value.
781m (72%) people in SSA still not connected to mobile internet SSA mobile internet users to grow to 474m by 2025 from 303m in 2020 ~46% of Africa’s population is unbanked 95% of payments remain cash based with 90% of economies driven by small business.
781m (72%) people in SSA still not connected to mobile internet SSA mobile internet users to grow to 474m by 2025 from 303m in 2020 ~46% of Africa’s population is unbanked 95% of payments remain cash based with 90% of economies driven by small business.
Segments - Group
At least mid-teens growth
- South Africa: mid-single-digit growth
- Nigeria: at least 20% growth Accelerate fintech platform growth
- >20% service revenue contribution Holdco leverage
- ≤ 1.5x, faster non-ZAR deleveraging Asset realisation
- >R25 billion Adjusted RoE
- Improvement towards 25
Revenue VS PE Ratio
MTN GROUP
FINANCIAL HEALTH
Management
Ralph Mupita(50Y)
5.5 years tenure è average management tenure is only 2.1 years
R51, 310, 000 salary
Mr. Ralph Tendai Mupita, BSc (Hons)(Eng.), MBA, GMP (Harvard), serves as Non-Executive Director of MTN Nigeria Communications PLC since April 13, 2017. He served as a Non-Executive Director at Scancom Plc since June 1, 2018 until May 25, 2021. He served as an Independent Non-Executive Director of Rand Merchant Investment Holdings Limited since March 31, 2018 until November 24, 2021.
He was Group Chief Financial Officer at Mobile Telephone Networks Holdings Limited until August 31, 2020 and has been its Executive Director since April 3, 2017. He is Group President and Chief Executive Officer of Mobile Telephone Networks Holdings Limited since September 01, 2020. Mr. Mupita had been Group Chief Financial Officer of MTN Group Limited since April 3, 2017 until August 31, 2020. He has been Executive Director of MTN Group Limited since April 3, 2017 and serves as its Group President and Chief Executive Officer since September 01, 2020.
He served as the Director of Special Growth Projects for Old Mutual Life Assurance Company (South Africa) Limited. He joined Old Mutual in 2000, he was seconded to Old Mutual Zimbabwe where he worked on a strategy project that led to re-structuring several functional areas within Old Mutual Properties (Zimbabwe). On re-joining Old Mutual South Africa in July 2001, Mr. Mupita looked after the strategy & business planning functions for Individual Life as a Strategy Director. He has extensive experience in the financial services sector, having had a distinguished career at Old Mutual over.
He worked on engineering and construction projects in SA. A key responsibility in this role was the Vision 2002 Programme. From October 2002 to October 2003, he became responsible for customer development for the retail middle market business (Personal Finance). From October 2003 to October 2004, he was responsible for Group Direct Sales (Old Mutual's direct marketing & sales business unit) as well as retail Customer Management.
He served as Managing Director of Old Mutual Unit Trusts since October 1, 2004. He served as a Non- Executive Director of UAP Holdings Limited since June 19, 2015 until January 31, 2017. He served as a Director of Kotak Mahindra Old Mutual Life Insurance Ltd. from May 1, 2011 to March 27, 2013.
Mr. Mupita holds B. Sc. Engineering (Hons), with construction projects in South Africa and completed his MBA at the University of Cape Town in 2000. He is a graduate of Harvard Business School's GMP programme and has also attended executive programmes at London Business School and INSEAD.
5.5 years tenure è average management tenure is only 2.1 years
R51, 310, 000 salary
Mr. Ralph Tendai Mupita, BSc (Hons)(Eng.), MBA, GMP (Harvard), serves as Non-Executive Director of MTN Nigeria Communications PLC since April 13, 2017. He served as a Non-Executive Director at Scancom Plc since June 1, 2018 until May 25, 2021. He served as an Independent Non-Executive Director of Rand Merchant Investment Holdings Limited since March 31, 2018 until November 24, 2021.
He was Group Chief Financial Officer at Mobile Telephone Networks Holdings Limited until August 31, 2020 and has been its Executive Director since April 3, 2017. He is Group President and Chief Executive Officer of Mobile Telephone Networks Holdings Limited since September 01, 2020. Mr. Mupita had been Group Chief Financial Officer of MTN Group Limited since April 3, 2017 until August 31, 2020. He has been Executive Director of MTN Group Limited since April 3, 2017 and serves as its Group President and Chief Executive Officer since September 01, 2020.
He served as the Director of Special Growth Projects for Old Mutual Life Assurance Company (South Africa) Limited. He joined Old Mutual in 2000, he was seconded to Old Mutual Zimbabwe where he worked on a strategy project that led to re-structuring several functional areas within Old Mutual Properties (Zimbabwe). On re-joining Old Mutual South Africa in July 2001, Mr. Mupita looked after the strategy & business planning functions for Individual Life as a Strategy Director. He has extensive experience in the financial services sector, having had a distinguished career at Old Mutual over.
He worked on engineering and construction projects in SA. A key responsibility in this role was the Vision 2002 Programme. From October 2002 to October 2003, he became responsible for customer development for the retail middle market business (Personal Finance). From October 2003 to October 2004, he was responsible for Group Direct Sales (Old Mutual's direct marketing & sales business unit) as well as retail Customer Management.
He served as Managing Director of Old Mutual Unit Trusts since October 1, 2004. He served as a Non- Executive Director of UAP Holdings Limited since June 19, 2015 until January 31, 2017. He served as a Director of Kotak Mahindra Old Mutual Life Insurance Ltd. from May 1, 2011 to March 27, 2013.
Mr. Mupita holds B. Sc. Engineering (Hons), with construction projects in South Africa and completed his MBA at the University of Cape Town in 2000. He is a graduate of Harvard Business School's GMP programme and has also attended executive programmes at London Business School and INSEAD.
Ownership Structure
Top Institutional Holders
Bussiness
Naspers is a global consumer internet group and one of the largest technology investors in the world. Naspers Limited operates in consumer internet industry worldwide. The company builds various companies that empower people and enrich communities. It holds investments in classifieds,
Through Prosus the group invests and operates globally in markets with long-term growth potential, building leading consumer internet companies that empower people and enrich communities. Prosus has its primary listing on Euronext Amsterdam and a secondary listing on the JSE Limited’s stock exchange. It also has an American Depository Receipts (ADR) programmed trading on an over-the-counter basis in the United States. Naspers is the majority owner of Prosus. They are committed to investing in entrepreneurs and in technologies that improve people’s lives. From India to Brazil to South Africa to Russia – well over a billion people around the world benefit from Naspers-backed businesses. Billions more are within our reach and we’re keen to help them too. They continue to grow and address big societal needs and, in turn, create greater value over time. They operate or partner with several leading internet businesses across Africa, Central and Eastern Europe, the Americas and Asia in sectors that include online classifieds, food delivery, payments and fintech, etail, social and internet platforms, education, and health.
- Food delivery
- Payments and fintech
- Education
- Health, and ecommerce, as well as ventures, and social and internet platforms.
Through Prosus the group invests and operates globally in markets with long-term growth potential, building leading consumer internet companies that empower people and enrich communities. Prosus has its primary listing on Euronext Amsterdam and a secondary listing on the JSE Limited’s stock exchange. It also has an American Depository Receipts (ADR) programmed trading on an over-the-counter basis in the United States. Naspers is the majority owner of Prosus. They are committed to investing in entrepreneurs and in technologies that improve people’s lives. From India to Brazil to South Africa to Russia – well over a billion people around the world benefit from Naspers-backed businesses. Billions more are within our reach and we’re keen to help them too. They continue to grow and address big societal needs and, in turn, create greater value over time. They operate or partner with several leading internet businesses across Africa, Central and Eastern Europe, the Americas and Asia in sectors that include online classifieds, food delivery, payments and fintech, etail, social and internet platforms, education, and health.
Brands
Below an image showing some of Naspers's main brands and investments. South Africans are sure to recognize several the brands in the image below.
Key Data
The following tables
provide a
summary of Naspers Limited
Income Statements
Naspers sales per business
breakdown
NASPERS
TECHNICAL ANALYSIS
STOCK PRICES [ 2017 - SYS.DATE ]
Naspers last 12 monthly
Historical stock prices
Historical Naspers Monthly return
[07-01-2021-sys.date]
Naspers Historical
stock price distribution
[2019-2021]
Table Calendar Return
[2018-2021]
Valuation
PE vs competitors: Naspers is good value based on its Price-To-Earnings Ratio (3.01x) compared to the peer average (58.5x).
Naspers competitors
MultiChoice South Africa’s digital and analog platforms in South Africa compete directly with the four free-to-air television channels in South Africa (which are also carried on MultiChoice South Africa’s digital bouquet) and indirectly with the internet, all live sporting events, motion picture theatres, video rental stores, mobile telephones, lotteries, gaming, and other forms of entertainment.
The extent and nature of competition among smart card manufacturers is in large part determined by the ability to provide secure products that effectively combat piracy at competitive prices, the ability to offer superior customer service and the ability to acquire new clients, as the cost of switching for existing customers can be high. Irdeto’s main competitors are NDS Group plc and Nagravision S.A., which provide conditional access systems to operators utilizing a range of platforms.
MediaZone competitors for consumer-facing aggregated paid video service include JumpTV, Setanta, RooTV, TotalVid, PlanetVu. On a more generalized “video content aggregation & delivery to consumers” level, competition would include traditional cable and satellite providers such as Comcast and Dish, especially those offering a Video on Demand model.
The extent and nature of competition among smart card manufacturers is in large part determined by the ability to provide secure products that effectively combat piracy at competitive prices, the ability to offer superior customer service and the ability to acquire new clients, as the cost of switching for existing customers can be high. Irdeto’s main competitors are NDS Group plc and Nagravision S.A., which provide conditional access systems to operators utilizing a range of platforms.
MediaZone competitors for consumer-facing aggregated paid video service include JumpTV, Setanta, RooTV, TotalVid, PlanetVu. On a more generalized “video content aggregation & delivery to consumers” level, competition would include traditional cable and satellite providers such as Comcast and Dish, especially those offering a Video on Demand model.
NASPERS - SWOT ANALYSIS
Naspers strength
Naspers threatsCompetition from Amazon, Google
- Strong presence in around 130 countries making it one of the largest technology investors globally.
- Strong local backup brand, very large consumer network
- Leadership position in food delivery in many large geographies.
Naspers threatsCompetition from Amazon, Google
Naspers - Financial health
Management
Bob Van Dijk(49Y)
8.42 years tenure
$10 121 000 salary
Mr. Bob van Dijk served as an Independent Director at Booking Holdings Inc. since June 04, 2020, until June 09, 2022. He has been the Chief Executive Officer of Naspers Limited since April 1, 2014. Mr. van Dijk is Chief Executive Officer of Prosus N.V. since September 2019 and serves as its Executive Director since May 16, 2019.
He has experience in the technology sector and has been active in the field of E-Commerce for 11 years. Mr. van Dijk served as the Chief Executive Officer of Global Transaction E-Commerce at Naspers Limited from October 2013 to April 1, 2014, and served as its Ecommerce Chief. Mr. van Dijk served as Chief Executive Officer of Allegro Group at Naspers Ltd. since August 2013.
He served as Finance and Strategy Manager at eBay Group since July 2004. Mr. van Dijk also served in several general management positions with eBay and Schibsted. Prior to that, Mr. van Dijk was an entrepreneur in online financial products. He served as a Vice President of eBay Europe, where he was responsible for all eBay Group activities in the Netherlands as a Managing Director of eBay Netherlands.
Furthermore, he played a key role in expanding eBay’s local classifieds and online motor sales platform businesses as Vice President of Local Classifieds and Motors. He began his career as an Associate at McKinsey with a focus on mergers and acquisitions, and media. He has been an Executive Director of Naspers Limited since April 1, 2014. He serves as a Director of MultiChoice (Pty) Ltd.
He has 15 years of general management experience in online growth business across the world, spanning the online marketplaces, online classifieds and etail segments. He served as a Member of Supervisory Board at INTERSHOP Communications Atiengesellschaft from February 1, 2012 to May 31, 2013. He was Executive of Schibsted ASA. He was a founder of an online financial derivatives marketplace.
He has an MBA Hons from INSEAD and a M.Sc. in Econometrics from Erasmus University Rotterdam.
8.42 years tenure
$10 121 000 salary
Mr. Bob van Dijk served as an Independent Director at Booking Holdings Inc. since June 04, 2020, until June 09, 2022. He has been the Chief Executive Officer of Naspers Limited since April 1, 2014. Mr. van Dijk is Chief Executive Officer of Prosus N.V. since September 2019 and serves as its Executive Director since May 16, 2019.
He has experience in the technology sector and has been active in the field of E-Commerce for 11 years. Mr. van Dijk served as the Chief Executive Officer of Global Transaction E-Commerce at Naspers Limited from October 2013 to April 1, 2014, and served as its Ecommerce Chief. Mr. van Dijk served as Chief Executive Officer of Allegro Group at Naspers Ltd. since August 2013.
He served as Finance and Strategy Manager at eBay Group since July 2004. Mr. van Dijk also served in several general management positions with eBay and Schibsted. Prior to that, Mr. van Dijk was an entrepreneur in online financial products. He served as a Vice President of eBay Europe, where he was responsible for all eBay Group activities in the Netherlands as a Managing Director of eBay Netherlands.
Furthermore, he played a key role in expanding eBay’s local classifieds and online motor sales platform businesses as Vice President of Local Classifieds and Motors. He began his career as an Associate at McKinsey with a focus on mergers and acquisitions, and media. He has been an Executive Director of Naspers Limited since April 1, 2014. He serves as a Director of MultiChoice (Pty) Ltd.
He has 15 years of general management experience in online growth business across the world, spanning the online marketplaces, online classifieds and etail segments. He served as a Member of Supervisory Board at INTERSHOP Communications Atiengesellschaft from February 1, 2012 to May 31, 2013. He was Executive of Schibsted ASA. He was a founder of an online financial derivatives marketplace.
He has an MBA Hons from INSEAD and a M.Sc. in Econometrics from Erasmus University Rotterdam.
Ownership structure
- Institutions: 29 %
- General Public: 69
Top Shareholders
Top 25 shareholders own 22 % of the company.
BUSINESS
Meta mission is to give people the power to build community and bring the world closer together. All of their products, including apps, share the vision of helping to bring the metaverse to life. Their top priority is to build useful and engaging products that enable people to connect and share through mobile devices, personal computers, virtual reality (VR) headsets, wearables, and in-home devices. They have 2.93 billion monthly active users as the first quarter of 2022. Their products include:
Facebook is a place for people to share life's moments and discuss what's happening, nurture and build relationships, discover and connect to interests, and create economic opportunity. They can do this through News Feed, Stories, Groups, Watch, Marketplace, Reels, Dating, and more.
Instagram brings people closer to the people and things they love. Instagram Feed, Stories, Reels, Video, Live, Shops, and messaging are places where people and creators can express themselves and push culture forward through photos, video, and private messaging, and connect with and shop from their favorite businesses.
Messenger is a simple yet powerful messaging application for people to connect with friends, family, groups, and businesses across platforms and devices through chat, audio and video calls, and Rooms.
WhatsApp is a simple, reliable, and secure messaging application that is used by people and businesses around the world to communicate and transact in a private way.
They generate substantially all of their revenue from selling advertising placements to marketers. Their ads let marketers reach people based on a variety of factors including age, gender, location, interests, and behaviors. Marketers purchase ads that can appear in multiple places including on Facebook, Instagram, and third-party applications and websites. They are also investing heavily in other consumer hardware products and several longer-term initiatives, such as
augmented reality,
artificial intelligence (AI), and
connectivity efforts, to develop technologies that we believe will help us better serve our mission over the long run.
Instagram brings people closer to the people and things they love. Instagram Feed, Stories, Reels, Video, Live, Shops, and messaging are places where people and creators can express themselves and push culture forward through photos, video, and private messaging, and connect with and shop from their favorite businesses.
Messenger is a simple yet powerful messaging application for people to connect with friends, family, groups, and businesses across platforms and devices through chat, audio and video calls, and Rooms.
WhatsApp is a simple, reliable, and secure messaging application that is used by people and businesses around the world to communicate and transact in a private way.
They generate substantially all of their revenue from selling advertising placements to marketers. Their ads let marketers reach people based on a variety of factors including age, gender, location, interests, and behaviors. Marketers purchase ads that can appear in multiple places including on Facebook, Instagram, and third-party applications and websites. They are also investing heavily in other consumer hardware products and several longer-term initiatives, such as
augmented reality,
artificial intelligence (AI), and
connectivity efforts, to develop technologies that we believe will help us better serve our mission over the long run.
BRAND PORTFOLIO
RISK FACTORS
Risks related to META products might fail to add and retain existing users or add new users, or if their users decrease their level of engagement with their products, revenue, financial results, and business may be significantly harmed. The occurrence of security breaches, improper access to or disclosure of user data, and other cyber incidents or undesirable activity on their platform; their ability to obtain, maintain, protect, and enforce our intellectual property rights. If people do not perceive their products to be useful, reliable, and trustworthy, they may not be able to attract or retain users or otherwise maintain or increase the frequency and duration of their engagement.
A number of other social networking companies that achieved early popularity have since seen their active user bases or levels of engagement decline, in some cases precipitously. There is no guarantee that we will not experience a similar erosion of our active user base or engagement levels. Meta’s user engagement patterns have changed over time, and user engagement can be difficult to measure, particularly as they introduce new and different products and services.
Governments from time to time seek to censor or moderate content available on Facebook or our other products in their country, restrict access to our products from their country partially or entirely, or impose other restrictions that may affect the accessibility of META products in their country for an extended period of time or indefinitely. For example, user access to Facebook and certain of our other products has been or is currently restricted in whole or in part in China, Iran, and North Korea. In addition, government authorities in other countries may seek to restrict user access to our products if they consider us to be in violation of their laws or a threat to public safety or for other reasons, and certain of our products have been restricted by governments in other countries from time to time. For example, in June 2020, Hong Kong adopted a National Security Law that provides authorities with the ability to obtain information, remove and block access to content, and suspend user services, and if they are found to be in violation of this law then the use of Facebook products may be restricted.
A number of other social networking companies that achieved early popularity have since seen their active user bases or levels of engagement decline, in some cases precipitously. There is no guarantee that we will not experience a similar erosion of our active user base or engagement levels. Meta’s user engagement patterns have changed over time, and user engagement can be difficult to measure, particularly as they introduce new and different products and services.
Governments from time to time seek to censor or moderate content available on Facebook or our other products in their country, restrict access to our products from their country partially or entirely, or impose other restrictions that may affect the accessibility of META products in their country for an extended period of time or indefinitely. For example, user access to Facebook and certain of our other products has been or is currently restricted in whole or in part in China, Iran, and North Korea. In addition, government authorities in other countries may seek to restrict user access to our products if they consider us to be in violation of their laws or a threat to public safety or for other reasons, and certain of our products have been restricted by governments in other countries from time to time. For example, in June 2020, Hong Kong adopted a National Security Law that provides authorities with the ability to obtain information, remove and block access to content, and suspend user services, and if they are found to be in violation of this law then the use of Facebook products may be restricted.
KEY DATA
The following tables
provide a
summary of META'S Corp.
Income Statements
REVENUE vs NET INCOME [2008 -2021]
META
TECHNICAL ANALYSIS
STOCK PRICES [ 2019 - SYS.DATE ]
META's quarterly
Historical stock prices
META's monthly
Historical stock prices
VALUATION
PE vs Industry: META is good value based on its Price-To-Earnings Ratio (12.7x) compared to the US Interactive Media and Services industry average (42.7x).
PE vs Market: META is good value based on its Price-To-Earnings Ratio (12.7x) compared to the US market (15.2x).
PE vs Market: META is good value based on its Price-To-Earnings Ratio (12.7x) compared to the US market (15.2x).
DIVIDNDs
FACEBOOK do not intend to pay cash dividends for the foreseeable future.
They have never declared or paid cash dividends on their capital stock. They currently intend to retain any future earnings to finance the operation and expansion of business and fund their share repurchase program, and they do not expect to declare or pay any cash dividends in the foreseeable future. As a result, you may only receive a return on your investment from their Class A common stock if the trading price of your shares increases.
They have never declared or paid cash dividends on their capital stock. They currently intend to retain any future earnings to finance the operation and expansion of business and fund their share repurchase program, and they do not expect to declare or pay any cash dividends in the foreseeable future. As a result, you may only receive a return on your investment from their Class A common stock if the trading price of your shares increases.
FINANCIAL HEALTH
As of March 31, 2022, $0.4 million of loan and lease balances that were granted deferral payments by the Company were still in their deferment period. These modifications consisted solely of payment deferrals ranging from 30 days to six months. These modifications are in line
with applicable regulatory guidelines and, therefore, they are not reported as troubled debt restructurings. Other than the loan modifications that are on nonaccrual status, the Company is accruing and recognizing interest income on these modifications during the payment deferral period. In conclusion META is has no debt, therefore coverage of interest payments is not a concern, therefore we can conclude Meta financial position is significantly healthy.
with applicable regulatory guidelines and, therefore, they are not reported as troubled debt restructurings. Other than the loan modifications that are on nonaccrual status, the Company is accruing and recognizing interest income on these modifications during the payment deferral period. In conclusion META is has no debt, therefore coverage of interest payments is not a concern, therefore we can conclude Meta financial position is significantly healthy.
PERFORMANCE
COMPETITORS
Facebook business is highly competitive. Competition presents an ongoing threat to the success of Facebook business. As to date META is facing a significant competition in every aspect of their business, including from companies that provide tools to facilitate communications and the sharing of information, companies that enable marketers to display advertising, and companies that provide development platforms for application developers as well as with companies that provide social, media, and communication products and services that are designed to engage users on mobile devices and online. Facebook business is rapid change, and disruptive technologies, therefore face significant competition across broad platforms that replicate capabilities they provide. For example, among other areas, Apple in messaging, Google and YouTube in advertising and video, Tencent and Snap in messaging and social media, Byte dance and Twitter in social media, and Amazon in advertising.
No one knows what the future will held, therefore some of Facebook current and potential competitors may have greater resources, experience, or stronger competitive positions in certain product segments, geographic regions, or user demographics than we do. For example, some of their competitors may be domiciled in different countries and subject to political, legal, and regulatory regimes that enable them to compete more effectively than Facebook. These factors may allow our competitors to respond more effectively than us to new or emerging technologies and changes in market conditions. Facebook believe that some users, particularly younger users, are aware of and actively engaging with other products and services similar to, or as a substitute for, their products and services, and Facebook believe that some users have reduced their use of and engagement with their products and services in favor of these other products and services. In the event that users increasingly engage with other products and services, Facebook may experience a decline in use and engagement in key user demographics or more broadly, in which case their business would likely be harmed.
No one knows what the future will held, therefore some of Facebook current and potential competitors may have greater resources, experience, or stronger competitive positions in certain product segments, geographic regions, or user demographics than we do. For example, some of their competitors may be domiciled in different countries and subject to political, legal, and regulatory regimes that enable them to compete more effectively than Facebook. These factors may allow our competitors to respond more effectively than us to new or emerging technologies and changes in market conditions. Facebook believe that some users, particularly younger users, are aware of and actively engaging with other products and services similar to, or as a substitute for, their products and services, and Facebook believe that some users have reduced their use of and engagement with their products and services in favor of these other products and services. In the event that users increasingly engage with other products and services, Facebook may experience a decline in use and engagement in key user demographics or more broadly, in which case their business would likely be harmed.
MANAGEMENT
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure 5.4 years.
CEO - Mark Elliot Zuckerberg (37 years young): have 17.9 years tenure, with a compensation of US$26, 823, 061. Mark total compensation is above average for companies of similar size in the US market( $13.3Mill)
Mr. Mark Elliot Zuckerberg founded Meta Platforms, Inc. (formerly known as Facebook, Inc.) in 2004 and its Chief Executive Officer since July 2004 and Chairman since January 2012. Mr. Zuckerberg is responsible for setting the overall direction and product strategy of Meta Platforms. He leads the design of Meta Platforms’ service and development of its core technology and infrastructure. Mr. Zuckerberg is also a Co-Founder of Breakthrough Energy LLC, which he co-founded in November 2015. He has been a Director of Meta Platforms, Inc. (formerly known as Facebook, Inc.) since July 2004. He attended Harvard University where he studied computer science.
OWNERSHIP STRUCTURE
Average management tenure 5.4 years.
CEO - Mark Elliot Zuckerberg (37 years young): have 17.9 years tenure, with a compensation of US$26, 823, 061. Mark total compensation is above average for companies of similar size in the US market( $13.3Mill)
Mr. Mark Elliot Zuckerberg founded Meta Platforms, Inc. (formerly known as Facebook, Inc.) in 2004 and its Chief Executive Officer since July 2004 and Chairman since January 2012. Mr. Zuckerberg is responsible for setting the overall direction and product strategy of Meta Platforms. He leads the design of Meta Platforms’ service and development of its core technology and infrastructure. Mr. Zuckerberg is also a Co-Founder of Breakthrough Energy LLC, which he co-founded in November 2015. He has been a Director of Meta Platforms, Inc. (formerly known as Facebook, Inc.) since July 2004. He attended Harvard University where he studied computer science.
OWNERSHIP STRUCTURE
- Institutions: 0.6 %
- General Public: 77 %
- Individual Insiders: 0.6%
CONCLUSSION
- Do you understand the product or service offered by the company?
- Will society still be using this product over the next 15 years?
- Does the company have a MOAT?
Published: 12 June 2022 by Tela Equity Research analyst - telaadvisor
BUSINESS
Microsoft is a technology company whose mission is to empower every person and every organization on the planet to achieve more. Their platforms and tools help drive
- Small business productivity,
- Large business competitiveness, and
- Public-sector efficiency.
They also support new startups, improve educational and health outcomes, and empower human ingenuity.
They bring technology and products together into experiences and solutions that unlock value for our customers.
Furthermore, they develops, licenses, and supports software, services, devices, and solutions worldwide. As to date they are the world's leader in the design, development and marketing of operating systems and software programs for PC's and servers. The group also builds and sells computer equipment. Net sales break down by activity as follows:
They bring technology and products together into experiences and solutions that unlock value for our customers.
Furthermore, they develops, licenses, and supports software, services, devices, and solutions worldwide. As to date they are the world's leader in the design, development and marketing of operating systems and software programs for PC's and servers. The group also builds and sells computer equipment. Net sales break down by activity as follows:
- Sale of operating systems and application development tools (44.5%): primarily for servers (Azure, SQL Server, Windows Server, Visual Studio, System Center, GitHub, etc.) and (Windows);
- Development of cloud-based software applications (24.7%): programs for productivity (Microsoft 365; Word, Excel, PowerPoint, Outlook, OneNote, Publisher and Access), integrated management and customer relationship management (Dynamics 365), online file sharing and management (OneDrive), and unified and collaborative communications (Skype and Microsoft Teams);
- Sale of video gaming hardware and software (8.1%) : mainly Xbox;
- Enterprise services (4.5%);
- Sale of computers, tablets and accessories (4.5%);
- Other (13.7%).
The United States account for 51.5% of net sales.
Since interception 1975, they develop and support software, services, devices, and solutions that deliver new value for customers and help people and businesses realize their full potential.
They offer an array of services, including cloud-based solutions that provide customers with software, services, platforms, and content, and we provide solution support and consulting services. We also deliver relevant online advertising to a global audience.
Microsoft's products include operating systems, cross-device productivity applications, server applications, business solution applications, desktop and server management tools, software development tools, and video games. We also design and sell devices, including PCs, tablets, gaming and entertainment consoles, other intelligent devices, and related accessories
Business Processe
Their productivity and Business Processes segment consists of products and services in their portfolio of productivity, communication, and information services, spanning a variety of devices and platforms. This segment primarily comprises:
- Office Commercial (Office 365 subscriptions, the Office 365 portion of Microsoft 365 Commercial subscriptions, and Office licensed on-premises), comprising Office, Exchange, SharePoint, Microsoft Teams, Office 365 Security and Compliance, and Skype for Business.
- Office Consumer, including Microsoft 365 Consumer subscriptions and Office licensed on-premises, and Office Consumer Services, including Skype, Outlook.com, and OneDrive.
- LinkedIn, including Talent Solutions, Marketing Solutions, Premium Subscriptions, Sales Solutions, and Learning Solutions.
- Dynamics business solutions, including Dynamics 365, comprising a set of intelligent, cloud-based applications across ERP, CRM, Customer Insights, Power Apps, and Power Automate; and on-premises ERP and CRM applications.
MICROSOF'T KEY DATA
The following tables provide a
summary of Microsoft Corp. Income Statements
REVENUE vs NET INCOME [ 2018 - 2021 ]
WHAT DO THEY OFFER ?
Sales per business
MICROSOFT
TECHNICAL ANALYSIS
STOCK PRICES [ 2019 - SYS.DATE ]
Microsoft's quarterly
historical stock prices
VALUATION
PE vs Industry: MSFT is good value based on its Price-To-Earnings Ratio (26.41x)
compared to the US Software industry average (38.6x).
PE vs Market: MSFT is poor value based on its Price-To-Earnings Ratio (26.41x) compared to the US market (15.2x).
compared to the US Software industry average (38.6x).
PE vs Market: MSFT is poor value based on its Price-To-Earnings Ratio (26.41x) compared to the US market (15.2x).
This valuation is based on level 1-3 investments methodology, therefore these controls include brief summary model validation, review of key model inputs, analysis of period-over-period fluctuations, and independent recalculation of prices where appropriate. Cash from operations increased $16.1 billion to $76.7 billion for fiscal year 2021, mainly due to an increase in cash received from customers, offset in part by an increase in cash paid to suppliers and employees. Cash used in financing increased $2.5 billion to $48.5 billion for fiscal year 2021, mainly due to a $4.4 billion increase in common stock repurchases and a $1.4 billion increase in dividends paid, offset in part by a $1.8 billion decrease in repayments of debt and a $1.7 billion decrease in cash premium paid on debt exchange. Cash used in investing increased $15.4 billion to $27.6 billion for fiscal year 2021, mainly due to a $6.4 billion increase in cash used for acquisitions of companies, net of cash acquired, and purchases of intangible and other assets, a $5.2 billion increase in additions to property and equipment, and a $4.1 billion decrease in cash from net investment purchases, sales, and maturities.
SHARE REPURCHASES
During fiscal years 2021 and 2020, they repurchased 101 million shares and 126 million shares of their common stock for $23.0 billion and $19.7 billion, respectively, through our share repurchase programs. All repurchases were made using cash resources.
DIVIDENDS
Microsoft returned $10.4 billion to shareholders in the form of share repurchases and dividends in the fourth quarter of fiscal year 2021. Dividends paid out ratio 24.5 % of its earnings over the trailing twelve months.
Microsoft's last dividend payment date was on 2022-06-09 when Microsoft shareholders who owned MSFT shares before 2022-05-18 received a dividend payment of $0.6200 per share. Microsoft's next dividend payment date has not been announced yet.
Microsoft's last dividend payment date was on 2022-06-09 when Microsoft shareholders who owned MSFT shares before 2022-05-18 received a dividend payment of $0.6200 per share. Microsoft's next dividend payment date has not been announced yet.
MICROSOFT'S FINANCIAL HEALTH
Microsoft’s has more cash than its total debt, its debt is well covered by operating cash flow 174%. As to date June 2022 the world economy is embossed by the uncertainty of Russia/Ukraine war, rapidly inflation rises, world central banks are hiking interest rate to cool prices. In this type of market dynamics blue chip companies out to perform well then small cap that carries high debt ratio. Microsoft’s interest payments on its debt are well covered by EBIT 1260%x coverage, therefore we can conclude Microsoft financial position is healthy
COMPETITORS
Microsoft’s competitors’ range in size from diversified global companies with significant research and development resources to small, specialized firms whose narrower product lines may let them be more effective in deploying technical, marketing, and financial resources. Barriers to entry in many of Microsoft businesses are low and many of the areas in which they compete evolve rapidly with changing and disruptive technologies, shifting user needs, and frequent introductions of new products and services. Their ability to remain competitive depends on their success in making innovative products, devices, and services that appeal to businesses and consumers.
Competitors to Office include software and global application vendors, such as Apple, Cisco Systems, Facebook, Google, IBM, Okta, Proofpoint, Slack, Symantec, Zoom, and numerous web-based and mobile application competitors as well as local application developers. Apple distributes versions of its pre-installed application software, such as email and calendar products, through its PCs, tablets, and phones. Cisco Systems is using its position in enterprise communications equipment to grow its unified communications business. Google provides a hosted messaging and productivity suite. Slack provides teamwork and collaboration software. Zoom offers videoconferencing and cloud phone solutions. Skype for Business and Skype also compete with a variety of instant messaging, voice, and video communication providers, ranging from start-ups to established enterprises. Okta, Proofpoint, and Symantec provide security solutions across email security, information protection, identity, and governance. Web-based offerings competing with individual applications have also positioned themselves as alternatives to our products and services. We compete by providing powerful, flexible, secure, integrated industry-specific, and easy-to-use productivity and collaboration tools and services that create comprehensive solutions and work well with technologies our customers already have both on-premises or in the cloud.
LinkedIn faces competition from online professional networks, recruiting companies, talent management companies, and larger companies that are focusing on talent management and human resource services; job boards; traditional recruiting firms; and companies that provide learning and development products and services. Marketing Solutions competes with online and offline outlets that generate revenue from advertisers and marketers, and Sales Solutions competes with online and offline outlets for companies with lead generation and customer intelligence and insights.
Dynamics competes with cloud-based and on-premises business solution providers such as Oracle, Salesforce.com, and SAP.
Azure faces diverse competition from companies such as Amazon, Google, IBM, Oracle, VMware, and open source offerings. Our Enterprise Mobility + Security offerings also compete with products from a range of competitors including identity vendors, security solution vendors, and numerous other security point solution vendors. Azure’s competitive advantage includes enabling a hybrid cloud, allowing deployment of existing datacenters with our public cloud into a single, cohesive infrastructure, and the ability to run at a scale that meets the needs of businesses of all sizes and complexities. We believe our cloud’s global scale, coupled with our broad portfolio of identity and security solutions, allows us to effectively solve complex cybersecurity challenges for our customers and differentiates us from the competition.
Windows faces competition from various software products and from alternative platforms and devices, mainly from Apple and Google. We believe Windows competes effectively by giving customers choice, value, flexibility, security, an easy-to-use interface, and compatibility with a broad range of hardware and software applications, including those that enable productivity.
Competitors to Office include software and global application vendors, such as Apple, Cisco Systems, Facebook, Google, IBM, Okta, Proofpoint, Slack, Symantec, Zoom, and numerous web-based and mobile application competitors as well as local application developers. Apple distributes versions of its pre-installed application software, such as email and calendar products, through its PCs, tablets, and phones. Cisco Systems is using its position in enterprise communications equipment to grow its unified communications business. Google provides a hosted messaging and productivity suite. Slack provides teamwork and collaboration software. Zoom offers videoconferencing and cloud phone solutions. Skype for Business and Skype also compete with a variety of instant messaging, voice, and video communication providers, ranging from start-ups to established enterprises. Okta, Proofpoint, and Symantec provide security solutions across email security, information protection, identity, and governance. Web-based offerings competing with individual applications have also positioned themselves as alternatives to our products and services. We compete by providing powerful, flexible, secure, integrated industry-specific, and easy-to-use productivity and collaboration tools and services that create comprehensive solutions and work well with technologies our customers already have both on-premises or in the cloud.
LinkedIn faces competition from online professional networks, recruiting companies, talent management companies, and larger companies that are focusing on talent management and human resource services; job boards; traditional recruiting firms; and companies that provide learning and development products and services. Marketing Solutions competes with online and offline outlets that generate revenue from advertisers and marketers, and Sales Solutions competes with online and offline outlets for companies with lead generation and customer intelligence and insights.
Dynamics competes with cloud-based and on-premises business solution providers such as Oracle, Salesforce.com, and SAP.
Azure faces diverse competition from companies such as Amazon, Google, IBM, Oracle, VMware, and open source offerings. Our Enterprise Mobility + Security offerings also compete with products from a range of competitors including identity vendors, security solution vendors, and numerous other security point solution vendors. Azure’s competitive advantage includes enabling a hybrid cloud, allowing deployment of existing datacenters with our public cloud into a single, cohesive infrastructure, and the ability to run at a scale that meets the needs of businesses of all sizes and complexities. We believe our cloud’s global scale, coupled with our broad portfolio of identity and security solutions, allows us to effectively solve complex cybersecurity challenges for our customers and differentiates us from the competition.
Windows faces competition from various software products and from alternative platforms and devices, mainly from Apple and Google. We believe Windows competes effectively by giving customers choice, value, flexibility, security, an easy-to-use interface, and compatibility with a broad range of hardware and software applications, including those that enable productivity.
MANAGEMENT
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure 6.8 years.
CEO – Satya Nadella (54 years young): have 8.2 years tenure, with a compensation of $49 858 280. Satya’s total compensation is above average for companies of similar size in the US market( $13.3Mill)
Mr. Satya Nadella is Chief Executive Officer and Director of Microsoft Corporation since February 2014 and has been its Chairman since June 2021. Before being named CEO in February 2014, he held leadership roles in both enterprise and consumer businesses across the Company. He has held various leadership positions at Microsoft since joining Microsoft in 1992, including Executive Vice President of Cloud and Enterprise from July 2013 to February 2014; President of Server and Tools from 2011 to 2013; Senior Vice President of Online Services Division from 2009 to 2011; and Senior Vice President of Search, Portal, and Advertising from 2008 to 2009.
Mr. Nadella’s roles also included Vice President of the Microsoft Business Division. Before joining Microsoft, he was a Member of the Technology Staff at Sun Microsystems. He has been a Director of Bravo Solution US, Inc.; and Starbucks Corp since March 22, 2017. He earned a bachelor’s degree in electrical engineering from Mangalore University, a master’s degree in computer science from the University of Wisconsin – Milwaukee and a master’s degree in business administration from the University of Chicago. He serves as a Trustee of Fred Hutchinson Cancer Research Center. Mr. Nadella served as a Director of Riverbed Technology, Inc
Average management tenure 6.8 years.
CEO – Satya Nadella (54 years young): have 8.2 years tenure, with a compensation of $49 858 280. Satya’s total compensation is above average for companies of similar size in the US market( $13.3Mill)
Mr. Satya Nadella is Chief Executive Officer and Director of Microsoft Corporation since February 2014 and has been its Chairman since June 2021. Before being named CEO in February 2014, he held leadership roles in both enterprise and consumer businesses across the Company. He has held various leadership positions at Microsoft since joining Microsoft in 1992, including Executive Vice President of Cloud and Enterprise from July 2013 to February 2014; President of Server and Tools from 2011 to 2013; Senior Vice President of Online Services Division from 2009 to 2011; and Senior Vice President of Search, Portal, and Advertising from 2008 to 2009.
Mr. Nadella’s roles also included Vice President of the Microsoft Business Division. Before joining Microsoft, he was a Member of the Technology Staff at Sun Microsystems. He has been a Director of Bravo Solution US, Inc.; and Starbucks Corp since March 22, 2017. He earned a bachelor’s degree in electrical engineering from Mangalore University, a master’s degree in computer science from the University of Wisconsin – Milwaukee and a master’s degree in business administration from the University of Chicago. He serves as a Trustee of Fred Hutchinson Cancer Research Center. Mr. Nadella served as a Director of Riverbed Technology, Inc
PERFORMANCE [2019 -2021]
OWNERSHIP STRUCTURE - WHO OWN MICROSOFT CORP. COMPANY ?
OWNERSHIP STRUCTURE
- Institutions: 72 %
- General Public: 27 %
- Individual Insiders: 0.08%
TOP SHAREHOLDERS ARE:
CONCLUSSION
- Do you understand the product or service offered by the company?
- Will society still be using this product in 15 years?
- Does the company have a MOAT?
Published: 24 May 2022 by Tela Equity Research analyst - telaadvisor
BUSINESS
Toyota Motor is a Japanese multinational automotive manufacturer that was founded in 1937. TOYOTA INDUSTRIES CORPORATION is primarily engaged in the, manufacture and sale of automobiles, industrial vehicles and textile machinery. The Company operates in three business segments.
The Automobile segment manufactures and sells automobiles,
The Textile Machinery segment offers
The Automobile segment manufactures and sells automobiles,
- engines,
- compressors for automotive air-conditioners, and
- electronic equipment, among others.
- forklift trucks,
- warehouse equipment,
- automatic warehouse,
- vehicles for high-place work,
- logistics solution and sales finance business.
The Textile Machinery segment offers
- weaving machines and
- spinning machines, as well as yarn quality measurement equipment and cotton grading equipment.
TOYOTA'S KEY DATA
The following table provide a summaryof Toyota income statetement
What do they offer ?
Sales per business
Toyota's historical stock price
Toyota's quarterly
historical stockprices
VALUATION
Profit margin: 9.08 %
Operating margin: 9.55 %
ROA: 2.88 %
ROE: 11.18 %
PE vs Market: Toyota is good value based on its PE Ratio (9.9x) compared to the JP market (12.2x).
Operating margin: 9.55 %
ROA: 2.88 %
ROE: 11.18 %
PE vs Market: Toyota is good value based on its PE Ratio (9.9x) compared to the JP market (12.2x).
SWOT
TOYOTA MAJOR STRENGTH
Toyota’s strengths are internal factors that help Toyota maintain its success in the auto industry. These are the reasons why Toyota is so successful today:
Toyota’s strengths are internal factors that help Toyota maintain its success in the auto industry. These are the reasons why Toyota is so successful today:
- The Toyota Way: Toyota’s operations follow the principles of continuous improvement and respect for people. These principles boost productivity and foster innovation. They also inspired the concept of lean management. For many decades, these principles have formed the core strength of Toyota.
- Fuel Cell Patents: Automobile companies are pursuing the vision of zero-emission vehicles through two main technologies – hydrogen fuel cells and electric vehicles. Toyota owns around 5,680 global patents related to hydrogen fuel cells. These patents put Toyota in a strong position in the zero-emission vehicles market
- Solid-state battery park
- Hybrids: Toyota develops competencies in clean energy vehicles, it’s consolidating its position in hybrid vehicles. Toyota makes some of the most reliable green cars in the market.
SOME OF TOYOTA'S WEAKNESSES
As a tool, SWOT analysis looks at weaknesses as internal factors that prevent or slow down growth. Here are some of Toyota’s weaknesses:
1. Recalls: Although Toyota sets the standards for quality control, its design and production aren’t flawless. For instance, early this year, Toyota recalled 700,000 vehicles because of a faulty fuel pump. Such situations devalue the people’s trust in the brand and can undo decades of goodwill.
2. Rigid hierarchy
3. Partial global presence
1. Recalls: Although Toyota sets the standards for quality control, its design and production aren’t flawless. For instance, early this year, Toyota recalled 700,000 vehicles because of a faulty fuel pump. Such situations devalue the people’s trust in the brand and can undo decades of goodwill.
2. Rigid hierarchy
3. Partial global presence
TOYOTA COMPETITORS
Ford, Volkswagen, Hyundai, General Motors, and Nissan. Together these companies employ 1 million people worldwide, with Toyota employing only 359 thousand people and ranked 1st among Toyota’s Top 5 competitors. The global automotive industry is worth as much as US$4 trillion. With as much as an estimated 1.4 billion cars in use on the road around the world.
FINANCIAL HEALTH
TOYOTA'S MANAGEMENT
Akio Toyoda(65Y)
12.9 years tenure
$3 449 943 salary
Mr. Akio Toyoda has been a Director of DENSO Corporation since June 2019. Mr. Toyoda has been the Chief Executive Officer of Toyota Motor Corporation (TMC) since June 23, 2009 and its President since 2009 and serves as its Chief Branding Officer. Mr. Toyoda had served as Chairman and Chief Executive Officer of Toyota Motor North America, Inc. He served as Chief Officer of the Electric Vehicle (EV) Business Planning Department at Toyota Motor Corporation since December 1, 2016 until July 28, 2017.
He serves as a Senior Adviser of Toyota Media Service Corporation. He has been the President of Hitachi Ltd and Honda Motor Co. since March 2009. He serves as an Auditor of Toyota Boshoku Corporation. He served as the Chief Executive Officer and President of Toyota South Africa Motors (Pty) Ltd until April 1, 2016.
He served as an Executive Vice President at Toyota Motor Corporation from January 21, 2005 to June 2009, Senior Managing Director from 2003 to 2005 and Chief of Asia & China Operations Officer since 2003 and also served as its Division General Manager of Taiwan & China Offices. He joined TMC in 1984 and was its Managing Director from 2002 to 2003. He served as Vice President of New United Motor Manufacturing Inc. He served as an Auditor of Shiroki Corporation. He served as a Corporate Auditor at JTEKT Corporation.
12.9 years tenure
$3 449 943 salary
Mr. Akio Toyoda has been a Director of DENSO Corporation since June 2019. Mr. Toyoda has been the Chief Executive Officer of Toyota Motor Corporation (TMC) since June 23, 2009 and its President since 2009 and serves as its Chief Branding Officer. Mr. Toyoda had served as Chairman and Chief Executive Officer of Toyota Motor North America, Inc. He served as Chief Officer of the Electric Vehicle (EV) Business Planning Department at Toyota Motor Corporation since December 1, 2016 until July 28, 2017.
He serves as a Senior Adviser of Toyota Media Service Corporation. He has been the President of Hitachi Ltd and Honda Motor Co. since March 2009. He serves as an Auditor of Toyota Boshoku Corporation. He served as the Chief Executive Officer and President of Toyota South Africa Motors (Pty) Ltd until April 1, 2016.
He served as an Executive Vice President at Toyota Motor Corporation from January 21, 2005 to June 2009, Senior Managing Director from 2003 to 2005 and Chief of Asia & China Operations Officer since 2003 and also served as its Division General Manager of Taiwan & China Offices. He joined TMC in 1984 and was its Managing Director from 2002 to 2003. He served as Vice President of New United Motor Manufacturing Inc. He served as an Auditor of Shiroki Corporation. He served as a Corporate Auditor at JTEKT Corporation.
OWNERSHIP STRUCTURE-WHO OWN TOYOTA COMPANY ?
- Institutions: 43 %
- General Public: 44
- Individual Insiders: 0.2%
TOP SHAREHOLDERS ARE:
CONCLUSSION
- Do you understand the product or service offered by the company?
- Will society still be using this product in 15 years?
- Does the company have a MOAT?
Published: 03 April 2022 by Tela equity research analyst - telaadvisor
1. BUSINESS
- Adyen N.V. operates a payments platform in Europe, the Middle East, Africa, North America, the Asia Pacific, Latin America. The company's platform integrates payments stack that include gateway,
- Risk management, processing,
- Issuing, acquiring, and
- Settlement services.
2. Adyen's key data
The following tables provide a summary of
Adyen Income Statements
What do they offer?
Sales per region
3. Adyen's historical stock price
Adyen's quarterly historical stock prices
4. VALUATION
Profit margin: 7.84 %
Operating margin: 10.14 %
ROA: 7.65 %
ROE:31 %
Operating margin: 10.14 %
ROA: 7.65 %
ROE:31 %
SWOT
Strengths
- Diversity in customer portfolio lending it a financial cushion.
- Integration with multiple international and local payment methods.
Weaknesses
- High dependence on European market
- Low presence in emerging markets
Opportunities
- Growth of e-commerce boosting growth of payment gateways
- Diversity in customer portfolio lending it a financial cushion.
- Integration with multiple international and local payment methods.
Weaknesses
- High dependence on European market
- Low presence in emerging markets
Opportunities
- Growth of e-commerce boosting growth of payment gateways
ADYEN
COMPETITORS
The global market for payment processing is massive, with US$1.6 trillion in total addressable market revenues. Payment revenue is expected to grow at a CAGR of 7% through to 2021. Adyen has plenty of room to grow, as growth of 1% in Adyen’s market share will lead to an additional US$1.6 billion dollars of revenue. These massive payments industry has traditionally supported many intermediaries, which Adyen has disrupted.
Adyen’s primary competitors include the likes of PayPal, Worldpay, and Stripe. Adyen caters to big, international operations while Stripe targets the startup app developer community, making up for lower volume by charging a slightly higher margin. Adyen’s transaction volume last year in 2021 was $516 billion, while net revenue grew to $469 million. The company grosses less than 1% of every dollar processed, far below the 2% to 3% that Worldpay, PayPal and Stripe make.
Adyen is a multi-sided platform that exclusively charges merchants. The value to merchants is derived from the partnerships they have formed with card schemes, as well as the technology platforms. Adyen has partnered with popular Ecommerce, Billing, and POS platforms to ensure their ‘plug-and-play’ solution will integrate seamlessly into the technology stack of their merchant customers.
Adyen is a multi-sided platform that exclusively charges merchants. The value to merchants is derived from the partnerships they have formed with card schemes, as well as the technology platforms. Adyen has partnered with popular Ecommerce, Billing, and POS platforms to ensure their ‘plug-and-play’ solution will integrate seamlessly into the technology stack of their merchant customers.
How Will Adyen Continue to be Successful?
Adyen is focused on providing their merchants with the best payment experience by constantly innovating. Adyen continuously improves its products with regular software updates every four weeks to ensure that they stay competitive with the competition and extend their product offering. With their existing scalable business model, Adyen should focus on developing partnerships with merchants in countries like China and India where the growth of E-commerce is highest. While the outlook within the B2C payments space is positive, Adyen should consider adjacent industries moving forward. A key differentiator in the market is their relationships with card schemes around the world.
5. ADYEN'S
FINANCIAL
HEALTH
6. MANAGEMENT
Pieter van der Does (52 yo)
16.17yrs
€628,685: Compensation
Mr. Pieter Willem van der Does is a Co-founder, Chief Executive Officer of Adyen B.V. and has been its Member of Management Board since July 6, 2007. He served as President at Adyen N.V. until January 2020. Prior to co-founded Adyen in 2006, Mr. van der Does was a board member of the International Merchant Services division of the Royal Bank of Scotland (RBS).
The companies managed under this division were WorldPay, Bibit, the International acquiring business of Streamline and Trustmarque. He has been active in the PSP world since 1999 when he joined Bibit board. In this position, he was responsible for Sales and Marketing, Legal and the international expansion of the business.
16.17yrs
€628,685: Compensation
Mr. Pieter Willem van der Does is a Co-founder, Chief Executive Officer of Adyen B.V. and has been its Member of Management Board since July 6, 2007. He served as President at Adyen N.V. until January 2020. Prior to co-founded Adyen in 2006, Mr. van der Does was a board member of the International Merchant Services division of the Royal Bank of Scotland (RBS).
The companies managed under this division were WorldPay, Bibit, the International acquiring business of Streamline and Trustmarque. He has been active in the PSP world since 1999 when he joined Bibit board. In this position, he was responsible for Sales and Marketing, Legal and the international expansion of the business.
ADYEN'S
OWNERSHIP STRUCTURE
- Institutions: 0.16 %
- General Public: NA
- Individual Insiders: 0.0 %
- General Public: NA
- Individual Insiders: 0.0 %
TOP
ADYEN SHAREHOLDERS
7.CONCLUSSION
- Do you understand the product or service offered by the company?
- Will society still be using this product in 15 years?
- Does the company have a MOAT?
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