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Aker Solutions

OB:AKSO
Snowflake Description

Fair value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
AKSO
OB
NOK8B
Market Cap
  1. Home
  2. NO
  3. Energy
Company description

Aker Solutions ASA provides products, systems, and services to the oil and gas industry worldwide. The last earnings update was 64 days ago. More info.


Add to Portfolio Compare Print
  • Aker Solutions has significant price volatility in the past 3 months.
AKSO Share Price and Events
7 Day Returns
0.8%
OB:AKSO
-0.3%
NO Energy Services
1.6%
NO Market
1 Year Returns
-50.5%
OB:AKSO
-32.6%
NO Energy Services
-8.3%
NO Market
AKSO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Aker Solutions (AKSO) 0.8% 8.6% -18.5% -50.5% -25.6% -
NO Energy Services -0.3% 14.9% -3.1% -32.6% 12.6% -56.2%
NO Market 1.6% 7.6% 2.7% -8.3% 31.1% 16.1%
1 Year Return vs Industry and Market
  • AKSO underperformed the Energy Services industry which returned -32.6% over the past year.
  • AKSO underperformed the Market in Norway which returned -8.3% over the past year.
Price Volatility
AKSO
Industry
5yr Volatility vs Market

AKSO Value

 Is Aker Solutions undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Aker Solutions to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Aker Solutions.

OB:AKSO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 13 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 12.1%
Perpetual Growth Rate 10-Year NO Government Bond Rate 1.8%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for OB:AKSO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year NO Govt Bond Rate 1.8%
Equity Risk Premium S&P Global 6%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 1.08
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.083 (1 + (1- 23%) (120.23%))
1.727
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.73
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.76% + (1.727 * 5.96%)
12.05%

Discounted Cash Flow Calculation for OB:AKSO using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Aker Solutions is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

OB:AKSO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (NOK, Millions) Source Present Value
Discounted (@ 12.05%)
2020 872.75 Analyst x8 778.86
2021 1,141.29 Analyst x7 908.94
2022 982.00 Analyst x1 697.94
2023 1,642.00 Analyst x1 1,041.48
2024 1,863.78 Est @ 13.51% 1,054.98
2025 2,049.84 Est @ 9.98% 1,035.47
2026 2,203.91 Est @ 7.52% 993.53
2027 2,331.50 Est @ 5.79% 937.98
2028 2,438.29 Est @ 4.58% 875.41
2029 2,529.35 Est @ 3.73% 810.41
Present value of next 10 years cash flows NOK9,135.00
OB:AKSO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= NOK2,529.35 × (1 + 1.76%) ÷ (12.05% – 1.76%)
NOK25,001.70
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= NOK25,001.70 ÷ (1 + 12.05%)10
NOK8,010.64
OB:AKSO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= NOK9,135.00 + NOK8,010.64
NOK17,145.64
Equity Value per Share
(NOK)
= Total value / Shares Outstanding
= NOK17,145.64 / 271.53
NOK63.14
OB:AKSO Discount to Share Price
Calculation Result
Value per share (NOK) From above. NOK63.14
Current discount Discount to share price of NOK28.07
= -1 x (NOK28.07 - NOK63.14) / NOK63.14
55.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Aker Solutions is available for.
Intrinsic value
>50%
Share price is NOK28.07 vs Future cash flow value of NOK63.14
Current Discount Checks
For Aker Solutions to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Aker Solutions's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Aker Solutions's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Aker Solutions's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Aker Solutions's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
OB:AKSO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in NOK NOK1.52
OB:AKSO Share Price ** OB (2019-09-19) in NOK NOK28.07
Norway Energy Services Industry PE Ratio Median Figure of 14 Publicly-Listed Energy Services Companies 18.05x
Norway Market PE Ratio Median Figure of 149 Publicly-Listed Companies 13.35x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Aker Solutions.

OB:AKSO PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= OB:AKSO Share Price ÷ EPS (both in NOK)

= 28.07 ÷ 1.52

18.5x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aker Solutions is overvalued based on earnings compared to the NO Energy Services industry average.
  • Aker Solutions is overvalued based on earnings compared to the Norway market.
Price based on expected Growth
Does Aker Solutions's expected growth come at a high price?
Raw Data
OB:AKSO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 18.5x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 13 Analysts
27.3%per year
Norway Energy Services Industry PEG Ratio Median Figure of 10 Publicly-Listed Energy Services Companies 0.68x
Norway Market PEG Ratio Median Figure of 110 Publicly-Listed Companies 0.77x

*Line of best fit is calculated by linear regression .

OB:AKSO PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 18.5x ÷ 27.3%

0.68x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aker Solutions is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Aker Solutions's assets?
Raw Data
OB:AKSO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in NOK NOK25.94
OB:AKSO Share Price * OB (2019-09-19) in NOK NOK28.07
Norway Energy Services Industry PB Ratio Median Figure of 35 Publicly-Listed Energy Services Companies 0.64x
Norway Market PB Ratio Median Figure of 239 Publicly-Listed Companies 1.12x
OB:AKSO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= OB:AKSO Share Price ÷ Book Value per Share (both in NOK)

= 28.07 ÷ 25.94

1.08x

* Primary Listing of Aker Solutions.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Aker Solutions is overvalued based on assets compared to the NO Energy Services industry average.
X
Value checks
We assess Aker Solutions's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. Aker Solutions has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

AKSO Future Performance

 How is Aker Solutions expected to perform in the next 1 to 3 years based on estimates from 13 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
27.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Aker Solutions expected to grow at an attractive rate?
  • Aker Solutions's earnings growth is expected to exceed the low risk savings rate of 1.8%.
Growth vs Market Checks
  • Aker Solutions's earnings growth is expected to exceed the Norway market average.
  • Aker Solutions's revenue growth is positive but not above the Norway market average.
Annual Growth Rates Comparison
Raw Data
OB:AKSO Future Growth Rates Data Sources
Data Point Source Value (per year)
OB:AKSO Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 13 Analysts 27.3%
OB:AKSO Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 13 Analysts 2.4%
Norway Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 39.4%
Norway Energy Services Industry Revenue Growth Rate Market Cap Weighted Average 11.4%
Norway Market Earnings Growth Rate Market Cap Weighted Average 14.8%
Norway Market Revenue Growth Rate Market Cap Weighted Average 4.4%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
OB:AKSO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 13 Analyst Estimates (S&P Global) See Below
All numbers in NOK Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
OB:AKSO Future Estimates Data
Date (Data in NOK Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 29,903 2,242 877 1
2022-12-31 34,939 1,582 1,142 1
2021-12-31 29,126 1,862 714 12
2020-12-31 27,386 1,534 518 13
2019-12-31 28,248 418 317 13
2019-09-19
OB:AKSO Past Financials Data
Date (Data in NOK Millions) Revenue Cash Flow Net Income *
2019-06-30 28,276 -178 412
2019-03-31 27,005 85 556
2018-12-31 25,232 921 511
2018-09-30 24,722 1,967 378
2018-06-30 23,600 1,797 352
2018-03-31 22,771 1,022 261
2017-12-31 22,461 587 221
2017-09-30 22,155 888 -143
2017-06-30 22,723 811 -101
2017-03-31 24,267 737 -24
2016-12-31 25,557 312 57
2016-09-30 27,283 447 122

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Aker Solutions's earnings are expected to grow significantly at over 20% yearly.
  • Aker Solutions's revenue is expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
OB:AKSO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 13 Analyst Estimates (S&P Global) See Below

All data from Aker Solutions Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OB:AKSO Future Estimates Data
Date (Data in NOK Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 3.12 3.12 3.12 1.00
2022-12-31 4.09 4.09 4.09 1.00
2021-12-31 2.61 3.40 1.83 9.00
2020-12-31 1.89 2.41 1.48 9.00
2019-12-31 1.24 1.90 1.08 10.00
2019-09-19
OB:AKSO Past Financials Data
Date (Data in NOK Millions) EPS *
2019-06-30 1.52
2019-03-31 2.04
2018-12-31 1.88
2018-09-30 1.54
2018-06-30 1.30
2018-03-31 0.96
2017-12-31 0.81
2017-09-30 -0.56
2017-06-30 -0.37
2017-03-31 -0.09
2016-12-31 0.21
2016-09-30 0.45

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Aker Solutions is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Aker Solutions's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Norway market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Norway market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Aker Solutions has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

AKSO Past Performance

  How has Aker Solutions performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Aker Solutions's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Aker Solutions's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Aker Solutions's 1-year earnings growth exceeds its 5-year average (17% vs -36.4%)
  • Aker Solutions's earnings growth has exceeded the NO Energy Services industry average in the past year (17% vs 5%).
Earnings and Revenue History
Aker Solutions's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Aker Solutions Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

OB:AKSO Past Revenue, Cash Flow and Net Income Data
Date (Data in NOK Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 28,276.00 412.00 10,116.00
2019-03-31 27,005.00 556.00 10,116.00
2018-12-31 25,232.00 511.00 10,116.00
2018-09-30 24,722.00 378.00 9,916.00
2018-06-30 23,600.00 352.00 9,916.00
2018-03-31 22,771.00 261.00 9,916.00
2017-12-31 22,461.00 221.00 9,916.00
2017-09-30 22,155.00 -143.00 10,092.00
2017-06-30 22,723.00 -101.00 10,092.00
2017-03-31 24,267.00 -24.00 10,092.00
2016-12-31 25,557.00 57.00 10,092.00
2016-09-30 27,283.00 122.00 12,314.00
2016-06-30 28,780.00 223.00 12,314.00
2016-03-31 29,859.00 323.00 12,314.00
2015-12-31 31,896.00 392.00 12,314.00
2015-09-30 33,187.00 968.00 11,810.00
2015-06-30 33,977.00 1,028.00 11,810.00
2015-03-31 33,989.00 1,212.00 11,810.00
2014-12-31 32,971.00 1,280.00 11,810.00
2014-09-30 31,297.00 1,192.00 9,775.00
2014-06-30 29,829.00 1,278.00 9,775.00
2014-03-31 29,154.50 1,174.50 9,775.00
2013-12-31 29,058.00 1,174.00 9,775.00
2013-09-30 17,042.00 400.00 8,453.00
2013-06-30 21,394.00 600.00 8,453.00
2013-03-31 25,901.50 993.50 8,453.00
2012-12-31 28,353.00 1,235.00 8,453.00
2012-09-30 44,488.00 2,420.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Aker Solutions has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Aker Solutions used its assets less efficiently than the NO Energy Services industry average last year based on Return on Assets.
  • Aker Solutions's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Aker Solutions's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Aker Solutions has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

AKSO Health

 How is Aker Solutions's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Aker Solutions's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Aker Solutions is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Aker Solutions's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Aker Solutions's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 3.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Aker Solutions Company Filings, last reported 2 months ago.

OB:AKSO Past Debt and Equity Data
Date (Data in NOK Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 7,167.00 3,579.00 2,228.00
2019-03-31 7,348.00 2,889.00 1,872.00
2018-12-31 7,608.00 2,922.00 2,473.00
2018-09-30 6,894.00 2,894.00 2,392.00
2018-06-30 6,856.00 2,821.00 2,440.00
2018-03-31 6,847.00 3,240.00 2,607.00
2017-12-31 7,048.00 3,131.00 1,978.00
2017-09-30 6,614.00 3,774.00 1,449.00
2017-06-30 6,761.00 3,213.00 1,211.00
2017-03-31 6,684.00 3,499.00 2,020.00
2016-12-31 6,416.00 3,987.00 2,480.00
2016-09-30 6,576.00 4,194.00 2,299.00
2016-06-30 6,677.00 4,266.00 2,861.00
2016-03-31 6,527.00 3,998.00 3,497.00
2015-12-31 6,631.00 3,773.00 3,862.00
2015-09-30 6,579.00 3,605.00 2,651.00
2015-06-30 6,077.00 3,776.00 1,958.00
2015-03-31 5,946.00 3,723.00 2,816.00
2014-12-31 5,893.00 3,923.00 3,339.00
2014-09-30 5,331.00 3,868.00 1,064.00
2014-06-30 7,729.00 3,727.00 4,009.00
2014-03-31 6,387.00 3,586.00 4,463.00
2013-12-31 6,387.00 3,586.00 4,463.00
2013-09-30
2013-06-30
2013-03-31 4,578.00 3,707.00 3,155.00
2012-12-31 4,578.00 3,707.00 3,155.00
2012-09-30 11,533.00 8,689.00 1,313.00
  • Aker Solutions's level of debt (49.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (48.4% vs 49.9% today).
  • Operating cash flow is negative therefore debt is not well covered.
  • Interest payments on debt are well covered by earnings (EBIT is 3.9x coverage).
X
Financial health checks
We assess Aker Solutions's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Aker Solutions has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

AKSO Dividends

 What is Aker Solutions's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Aker Solutions dividends. Estimated to be 1.52% next year.
If you bought NOK2,000 of Aker Solutions shares you are expected to receive NOK0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Aker Solutions's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Aker Solutions's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
OB:AKSO Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 13 Analyst Estimates (S&P Global) See Below
Norway Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 4.2%
Norway Market Average Dividend Yield Market Cap Weighted Average of 115 Stocks 4.4%
Norway Minimum Threshold Dividend Yield 10th Percentile 1.5%
Norway Bottom 25% Dividend Yield 25th Percentile 2.5%
Norway Top 25% Dividend Yield 75th Percentile 6.4%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

OB:AKSO Future Dividends Estimate Data
Date (Data in NOK) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 1.23 1.00
2022-12-31 1.23 1.00
2021-12-31 0.56 12.00
2020-12-31 0.41 13.00
2019-12-31 0.19 13.00
2019-09-19
OB:AKSO Past Annualized Dividends Data
Date (Data in NOK) Dividend per share (annual) Avg. Yield (%)
2016-10-28 0.000 0.000
2016-07-13 0.000 0.000
2016-04-28 0.000 0.000
2016-03-16 0.000 0.000
2016-02-12 0.000 0.000
2015-03-19 1.450 4.131
2015-02-13 1.450 3.446

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Aker Solutions has not reported any payouts.
  • Unable to verify if Aker Solutions's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Aker Solutions's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Aker Solutions has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.8x coverage).
X
Income/ dividend checks
We assess Aker Solutions's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.5%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Aker Solutions afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Aker Solutions has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

AKSO Management

 What is the CEO of Aker Solutions's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Luis Antonio Gomes Araujo
COMPENSATION NOK14,921,651
AGE 60
TENURE AS CEO 5.2 years
CEO Bio

Mr. Luis Antonio Gomes Araujo has been the Chief Executive Officer of (Akastor ASA) Aker Solutions ASA since July 1, 2014. Mr. Gomes Araujo has been Chief Executive Officer of Aker Solutions since July 1, 2014. He served as Executive Director Of Brazil Operations at Wellstream Holdings Limited. He served as Regional President of Brasil of Aker Solutions ASA from November 2011 to July 2014 and Aker Oilfield Services AS since November 2011. He served as Chief Executive Officer and President of Wellstream Brazil at Wellstream Holdings Plc since June 21, 2004. He was responsible for the successful operations in Brazil at Wellstream. He served as Regional Manager of Brazil at Aker Solutions ASA since November 2011. He has over 28 year's experience in the industry. He served as a General Manager for ABB Group in Brazil and he served in engineering and project management and sales for Coflexip, Vetco and FMC Technologies. He has been Executive Director of Wellstream Holdings Plc since March 10, 2009. Mr. Araujo has a Bachelor degree in Mechanical Engineering and an MBA from Edinburgh University.

CEO Compensation
  • Luis Antonio's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.
  • Luis Antonio's remuneration is higher than average for companies of similar size in Norway.
Management Team Tenure

Average tenure of the Aker Solutions management team in years:

2.8
Average Tenure
  • The tenure for the Aker Solutions management team is about average.
Management Team

Luis Antonio Gomes Araujo

TITLE
Chief Executive Officer
COMPENSATION
NOK15M
AGE
60
TENURE
5.2 yrs

Dean Watson

TITLE
Chief Operating Officer & Executive VP of Subsea Lifecycle Services
COMPENSATION
NOK7M
TENURE
3 yrs

Mark Riding

TITLE
Executive Vice President of Strategy
COMPENSATION
NOK7M
TENURE
2.8 yrs

Valborg Lundegaard

TITLE
Executive Vice President of Customer Management
COMPENSATION
NOK5M
AGE
59
TENURE
8.6 yrs

Egil Boyum

TITLE
Executive Vice President of Greenfield Projects
COMPENSATION
NOK6M
TENURE
2.8 yrs

Knut Nyborg

TITLE
Executive Vice President of Front End
COMPENSATION
NOK4M
TENURE
1.8 yrs

Linda Aase

TITLE
Executive Vice President of Brownfield Projects
COMPENSATION
NOK3M
TENURE
0.9 yrs

Ole Grimsrud

TITLE
Chief Financial Officer
TENURE
0.1 yrs

Herve Valla

TITLE
Chief Technology Officer

Fredrik Berge

TITLE
Senior Manager of Investor Relations
Board of Directors Tenure

Average tenure and age of the Aker Solutions board of directors in years:

1.9
Average Tenure
62
Average Age
  • The average tenure for the Aker Solutions board of directors is less than 3 years, this suggests a new board.
Board of Directors

Øyvind Eriksen

TITLE
Chairman
COMPENSATION
NOK610K
AGE
55

Koosum Kalyan

TITLE
Director
COMPENSATION
NOK400K
AGE
64
TENURE
5.7 yrs

Atle Teigland

TITLE
Director
COMPENSATION
NOK295K
AGE
62
TENURE
14.9 yrs

Hilde Karlsen

TITLE
Director
COMPENSATION
NOK175K
TENURE
8.5 yrs

Haakon Berg

TITLE
Deputy Director
AGE
45
TENURE
2.4 yrs

Birgit Aagaard-Svendsen

TITLE
Director
COMPENSATION
NOK420K
AGE
63
TENURE
1.4 yrs

Henrik Madsen

TITLE
Director
COMPENSATION
NOK263K
AGE
66
TENURE
1.4 yrs

Kristian Røkke

TITLE
Director
COMPENSATION
NOK353K
AGE
36
TENURE
1.4 yrs

Audun Brathen

TITLE
Director
TENURE
0.4 yrs

Jan Erlandsen

TITLE
Deputy Board Member
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Aker Solutions individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (NOK) Value (NOK)
13. Aug 19 Buy Linda Aase Individual 13. Aug 19 13. Aug 19 4,000 NOK25.60 NOK102,400
12. Aug 19 Buy Ole Grimsrud Individual 12. Aug 19 12. Aug 19 2,500 NOK25.90 NOK64,750
19. Jul 19 Buy Hilde Karlsen Individual 19. Jul 19 19. Jul 19 2,800 NOK28.45 NOK79,660
05. Jul 19 Buy Luis Antonio Gomes Araujo Individual 05. Jul 19 05. Jul 19 25,000 NOK33.83 NOK845,750
X
Management checks
We assess Aker Solutions's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Aker Solutions has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

AKSO News

Simply Wall St News

Is Aker Solutions ASA's (OB:AKSO) CEO Salary Justified?

At the time of writing our data says that Aker Solutions ASA has a market cap of kr7.4b, and is paying total annual CEO compensation of kr15m. … It would therefore appear that Aker Solutions ASA pays Luis Antonio Gomes Araujo more than the median CEO remuneration at companies of a similar size, in the same market. … We compared total CEO remuneration at Aker Solutions ASA with the amount paid at companies with a similar market capitalization.

Simply Wall St -

How Many Aker Solutions ASA (OB:AKSO) Shares Do Institutions Own?

Aker Solutions is a smaller company with a market capitalization of kr6.8b, so it may still be flying under the radar of many institutional investors. … Check out our latest analysis for Aker Solutions OB:AKSO Ownership Summary, August 19th 2019 What Does The Institutional Ownership Tell Us About Aker Solutions? … We can see that Aker Solutions does have institutional investors; and they hold 31% of the stock.

Simply Wall St -

Despite Its High P/E Ratio, Is Aker Solutions ASA (OB:AKSO) Still Undervalued?

We'll apply a basic P/E ratio analysis to Aker Solutions ASA's (OB:AKSO), to help you decide if the stock is worth further research. … Looking at earnings over the last twelve months, Aker Solutions has a P/E ratio of 17.01. … The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Aker Solutions: P/E of 17.01 = NOK25.81 ÷ NOK1.52 (Based on the year to June 2019.) Is A High Price-to-Earnings Ratio Good?

Simply Wall St -

Aker Solutions (OB:AKSO) Takes On Some Risk With Its Use Of Debt

What we care about is avoiding the permanent loss of capital.' So it might be obvious that you need to consider debt, when you think about how risky any given stock is, because too much debt can sink a company. … View our latest analysis for Aker Solutions How Much Debt Does Aker Solutions Carry? … While Aker Solutions's low debt to EBITDA ratio of 0.83 suggests only modest use of debt, the fact that EBIT only covered the interest expense by 3.9 last year does give us pause.

Simply Wall St -

What Are Analysts Expecting From Aker Solutions ASA (OB:AKSO) In Next 12 Months?

Below is a brief commentary around Aker Solutions's earnings outlook going forward, which may give you a sense of market sentiment for the company. … To understand the overall trajectory of AKSO's earnings growth over these next fews years, I've fitted a line through these analyst earnings forecast to determine an annual growth rate from the slope. … OB:AKSO Past and Future Earnings, July 16th 2019 This results in an annual growth rate of 18% based on the most recent earnings level of øre511m to the final forecast of øre830m by 2022.

Simply Wall St -

Aker Solutions ASA (OB:AKSO) Has Attractive Fundamentals

AKSO is a company that has been able to sustain great financial health, trading at an attractive share price. … AKSO is currently trading below its true value, which means the market is undervaluing the company's expected cash flow going forward. … OB:AKSO Intrinsic value, July 9th 2019 Next Steps: For Aker Solutions, I've compiled three essential factors you should further examine: Future Outlook: What are well-informed industry analysts predicting for AKSO’s future growth?

Simply Wall St -

Should We Be Delighted With Aker Solutions ASA's (OB:AKSO) ROE Of 8.1%?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Aker Solutions: 8.1% = øre556m ÷ øre7.3b (Based on the trailing twelve months to March 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Does Aker Solutions Have A Good Return On Equity? … Aker Solutions's Debt And Its 8.1% ROE Although Aker Solutions does use debt, its debt to equity ratio of 0.39 is still low.

Simply Wall St -

The Aker Solutions (OB:AKSO) Share Price Is Down 38% So Some Shareholders Are Getting Worried

Investors in Aker Solutions ASA (OB:AKSO) have tasted that bitter downside in the last year, as the share price dropped 38%. … Even though the Aker Solutions share price is down over the year, its EPS actually improved. … So we recommend checking out this free report showing consensus forecasts A Different Perspective Aker Solutions shareholders are down 38% for the year, falling short of the market return.

Simply Wall St -

What Can We Learn From Aker Solutions ASA’s (OB:AKSO) Investment Returns?

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Aker Solutions: 0.078 = øre1.2b ÷ (øre27b - øre12b) (Based on the trailing twelve months to March 2019.) Therefore, Aker Solutions has an ROCE of 7.8%. … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE. … Aker Solutions has a medium level of current liabilities, which would boost its ROCE somewhat.

Simply Wall St -

How Does Aker Solutions ASA (OB:AKSO) Affect Your Portfolio Volatility?

If you're interested in Aker Solutions ASA (OB:AKSO), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … This is reasonably close to the market beta of 1, so the stock has in the past displayed similar levels of volatility to the overall market. … What this means for you: It is probable that there is a link between the share price of Aker Solutions and the broader market, since it has a beta value quite close to one.

Simply Wall St -

AKSO Company Info

Description

Aker Solutions ASA provides products, systems, and services to the oil and gas industry worldwide. The company operates through Projects and Services segments. It offers field planning, feasibility, and concept studies; floater designs; offshore wind farm planning, installation, commissioning, operations, and maintenance services; and riser solutions for water depth and environmental conditions. The company also provides engineering, project management, and procurement services, such as design of offshore oil and gas production facilities, and onshore receiving and processing facilities; jacket designs; subsea production systems; subsea trees; and control systems. In addition, it offers subsea wellheads engineering, manufacturing, installation, and life-of-field support services, including umbilical systems, subsea structures, tie-in systems, subsea compression and pump systems, subsea power distribution and processing systems, and intervention and workover systems; lifecycle, hook-up and completion, maintenance, modification, asset integrity management, and yards and fabrication services, as well as carbon capture, utilization, and storage services. Aker Solutions ASA was founded in 1841 and is headquartered in Fornebu, Norway.

Details
Name: Aker Solutions ASA
AKSO
Exchange: OB
Founded: 1841
NOK7,621,919,745
271,532,588
Website: http://akersolutions.com
Address: Aker Solutions ASA
Oksenøyveien 8,
Fornebu,
Akershus, 1366,
Norway
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
OB AKSO Ordinary Shares Oslo Bors NO NOK 29. Sep 2014
OTCPK AKRT.F Ordinary Shares Pink Sheets LLC US USD 29. Sep 2014
DB 1AKA Ordinary Shares Deutsche Boerse AG DE EUR 29. Sep 2014
LSE 0QXP Ordinary Shares London Stock Exchange GB NOK 29. Sep 2014
Number of employees
Current staff
Staff numbers
16,000
Aker Solutions employees.
Industry
Oil and Gas Equipment and Services
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/09/19 21:33
End of day share price update: 2019/09/19 00:00
Last estimates confirmation: 2019/09/19
Last earnings filing: 2019/07/17
Last earnings reported: 2019/06/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.