GN Store Nord Earnings: Business on the Mend
We are maintaining our DKK 270 fair value estimate for narrow-moat GN Store Nord following first-quarter results. The market is responding positively to the results, but the shares remain undervalued.
GN Store Nord A/S GN
Bulls Say, Bears Say
Bulls
GN has historically partnered with big box retailers, whose market share in retail will likely continue to expand.
Bears
GN's entrance into emerging markets might not prove ROIC-accretive if volume is not meaningful enough to overcome capital investments (retail presence overcoming nonusage of hearing aids).
Trading Information
- Previous Close Price
- DKK 208.00
- Day Range
- DKK 206.20–210.00
- 52-Week Range
- DKK 110.10–213.70
- Bid/Ask
- DKK 206.70 / DKK 206.90
- Market Cap
- DKK 30.11 Bil
- Volume/Avg
- 205,776 / 723,379
Key Statistics
- Price/Earnings (Normalized)
- 27.38
- Price/Sales
- 1.64
- Dividend Yield (Trailing)
- —
- Dividend Yield (Forward)
- —
- Total Yield
- —
Company Profile
GN Store Nord is a Danish company offering medical and audio solutions. The group consists of two businesses: audio (about 62% of sales) and hearing (38%). GN Hearing offers hearing aids, competing globally with Sonova, Demant, Starkey, and WS Audiology (previously Sivantos and Widex). GN Audio provides headsets and speakerphones to the enterprise market (contact centers and offices), as well as to the consumer market, and recently acquired SteelSeries in the gaming market. The company has positioned itself as one of the main players in the Unified Communication-enabled headsets market. The firm’s premium brands are Resound in hearing and Jabra in headsets.
- Sector
- Healthcare
- Industry
- Medical Devices
- Stock Style Box
- Mid Growth
- Total Number of Employees
- 4,349
- Website
- https://www.gn.com
Competitors
Valuation
|
Metric
|
GN
|
PHIA
|
SOON
|
|---|---|---|---|
Price/Earnings (Normalized) | 27.38 | 19.61 | 25.55 |
Price/Book Value | 3.04 | 1.89 | 7.18 |
Price/Sales | 1.64 | 1.32 | 4.90 |
Price/Cash Flow | 11.60 | 27.61 | 22.69 |
Price/Earnings
GN
PHIA
SOON
Financial Strength
|
Metric
|
GN
|
PHIA
|
SOON
|
|---|---|---|---|
Quick Ratio | 0.41 | 0.74 | 1.02 |
Current Ratio | 0.59 | 1.20 | 1.45 |
Interest Coverage | 3.99 | −1.60 | 23.78 |
Quick Ratio
GN
PHIA
SOON
Profitability
|
Metric
|
GN
|
PHIA
|
SOON
|
|---|---|---|---|
Return on Assets (Normalized) | 1.71% | — | 10.91% |
Return on Equity (Normalized) | 5.73% | — | 26.88% |
Return on Invested Capital (Normalized) | 3.07% | — | 17.63% |
Return on Assets
GN
PHIA
SOON
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