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Swissquote Group Holding

CR
Bloomberg   SQN SW
Internet banking/Fintech  /  Switzerland  Web Site   |   Investors Relation
Suited for all market seasons
Target
Upside 18.6%
Price (CHF) 244.6
Market Cap (CHFM) 3,750
Debt

Swissquote’s financial statements are those of a bank. Hence, we would qualify only Tier 1 and Tier 2 capital as debt (deposits, for instance, are considered as operational debt). The total amount of Tier 2 in 2020 was negligible compared to the total common equity tier 1. Hence, Swissquote’s leverage is zero or close to zero.
Its CET1 ratio stands at 23% (Q4 20), well above the 11.2% capital requirements and still above management’s target of 15%. Hence, we consider Swissquote has a positive net cash position (excess capital above management’s target) of CHF140m at the end of 2020.

Funding - Liquidity
  12/23A 12/24E 12/25E 12/26E
EBITDA CHFM 298 405 383 394
Funds from operations (FFO) CHFM 261 258 316 289
Ordinary shareholders' equity CHFM 899 932 1,633 1,662
Gross debt CHFM 0.00 0.00 0.00 0.00
 + Gross Cash CHFM 297 392 524 630
 = Net debt / (cash) CHFM -297 -392 -524 -630
Other financing CHFM 0.00 0.00 0.00 0.00
Gearing (at book value) % -30.1 -37.0 -28.0 -34.7
Equity/Total asset (%) % 9.31 8.50 13.7 12.6
Adj. Net debt/EBITDA(R) x -0.97 -0.95 -1.35 -1.58
Adjusted Gross Debt/EBITDA(R) x 0.02 0.07 0.09 0.10
Adj. gross debt/(Adj. gross debt+Equity) % 0.76 2.89 2.10 2.22
Ebit cover x 216 -156 -102 -94.2
FFO/Gross Debt % 3,784 931 902 768
FFO/Net debt % -87.6 -65.8 -60.3 -45.9
FCF/Adj. gross debt (%) % 3,013 677 706 575
Credit Risk
Covenants
Changes to Story : 02/04/2024, Changes to Forecasts : 02/04/2024.