Our share

Our growth prospects are based on our ability to continuously provide superior customer productivity enhancements as part of our offering of products and services. We do so by leveraging our core capabilities in materials and the ability to industrialize advanced products. During 2017, the share price increased by 26 percent, while the OMXS 30 index on Nasdaq Stockholm increased by 3 percent.

Distribution of shareholders by country, 31 December 2017

  • Sweden 63
  • USA 15.4
  • UK 9.8
  • Luxembourg 2.6
  • Finland 1.3
  • Other countries 7.9

Proposed dividend, SEK 3.50

Sandvik’s share is listed on Nasdaq Stockholm, Sweden. At year-end 2017, the share was quoted at 143.7 SEK, corresponding to a market capitalization of 180 billion SEK, placing Sandvik as the 12th (15) largest company on Nasdaq Stockholm.

Share trading

In 2017, a total of 1,082 million shares (1,300) were traded for a total value of 145 billion SEK (113). Trading in Sandvik shares on the Nasdaq Stockholm accounted for 63 percent (55) of the total volume of shares traded. Other markets, e.g. BATS Chi-X, Turquoise etc. accounted for 37 percent (45). The Sandvik share can be traded in the US in the form of American Depositary Receipts (ADRs), a process handled by Deutsche Bank Trust Company Americas as a depository bank. In 2017, the average daily ADR trading volume was 17,995 (27,768). At the end of 2017 there were 2,546,925 ADRs outstanding (4,769,608).

Dividend and total­ ­shareholder return

Our yearly target is that the dividend will amount to at least 50 percent of reported earnings per share. The Board has proposed a dividend of 3.50 SEK (2.75) per share to the 2018 Annual General Meeting, corresponding to approximately 4.4 billion SEK (3.4) and a dividend yield of 2.4 percent based on the share price at year-end. Assuming the approval of the proposed dividend for 2017 of 3.50 SEK, ­Sandvik’s dividend over the past five years has averaged 3.15 SEK annually. A total of 62 percent of reported earnings per share for the Group total has been distributed.

Share capital

The number of Sandvik shares amounts to 1,254,385,923. Each share has a nominal value of 1.2 SEK and the share capital amounts to 1,505,263,108 SEK. Sandvik’s share capital comprises one series of share, with each share carrying equal voting rights and equal rights to a dividend. Sandvik does not hold any shares in treasury and the most recent occasion when new shares were issued was in conjunction with the acquisition of the shares outstanding in Seco Tools in 2012.

Sustainability indices

Sandvik is included in several sustainability indices, such as the Dow Jones Sustainability Index, the Global 100 Most Sustainable Corporations in the World, FTSE4Good and Ethibel Excellence Europe. These are international indices analyzing global companies that assume their responsible business practices. Sandvik’s inclusion in these indices confirms the Group’s achievements in relation to sustainable business practices.

Owners

In 2017, the number of shareholders decreased to 103,334 (109,072). There are shareholders in 81 countries, and the total ownership outside of Sweden amounted to 37 percent (33) at year-end. The ten largest individual shareholders accounted for 31 percent of the share capital on the same date. As of 31 December 2017, members of Sandvik’s Group Executive Management owned a total of 164,846 shares in Sandvik. Members of the Board of Sandvik owned a total of 484,561 shares in Sandvik (including deputy board members, excluding the CEO). Total ownership of Group Executive Management and the Board corresponds to about 0.05 percent of the capital and voting rights.

The Sandvik share, five-year trend

Number of shareholders, 31 December 2013–2017

Key figures

2016 2017
Number of shares at year-end (millions) 1,254 1,254
Market capitalization at year-end (SEK billion) 141 180
Number of shareholders 109,072 103,334
Share price at year-end, SEK 112.7 143.7
Earnings per share, SEK Group total 4.39 10.52
P/E ratio at year-end 25.7 13.7
Change in share price during the year, % 52.2 25.9
Regular dividend, SEK/share 2.75 3.50*
Dividend as a percentage of earnings per share 63 33*
Total shareholder value (price increase + dividend), % 54.6 29.0*
Proportion of shares in Sweden, % 67 63
Proportion of shares owned by the ten largest shareholder groups, % 32 31

* Proposed dividend.
Source: Euroclear, Monitor by Modular Finance AB

The ten largest shareholder groups, as of 31 December, %

2016 2017
AB Industrivärden 11.8 11.8
Alecta Pension Insurance 5.9 6.1
AMF Insurance and Funds 2.8 2.7
Handelsbanken Pension 3.2 2.6
Swedbank Robur Funds 2.8 2.5
L E Lundbergföretagen AB 2.4 2.4
SEB Investment Management 1.6 1.9
JP Morgan Chase 1.5 1.8
Fourth Swedish National Pension Fund 1.5 1.4
Nordea Investment Funds 2.2 1.4

Source: Euroclear