Pinning Down Compass Group PLC's (LON:CPG) P/E Is Difficult Right Now
Jun 27
U.K. (FTSE) Hospitality Industry Analysis
UpdatedJul 04, 2024
DataAggregated Company Financials
Companies39
- 7D-1.7%
- 3M-5.2%
- 1Y-6.3%
- YTD-5.5%
Over the last 7 days, the Hospitality industry has dropped 3.2%, driven by Compass Group declining 2.7%. Meanwhile, DP Eurasia actually outperformed within the industry, gaining 90% in the last week. Overall the industry is down 7.7% in 12 months. Looking forward, earnings are forecast to grow by 21% annually.
Industry Valuation and Performance
Has the U.K. Hospitality Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 04 Jul 2024 | UK£61.2b | UK£58.0b | UK£1.2b | 21.7x | 49.9x | 1.1x |
| Sat, 01 Jun 2024 | UK£89.6b | UK£67.6b | UK£215.7m | 22x | 415.4x | 1.3x |
| Mon, 29 Apr 2024 | UK£90.4b | UK£65.8b | UK£85.2m | 21.4x | 1060.9x | 1.4x |
| Wed, 27 Mar 2024 | UK£95.8b | UK£65.4b | UK£892.1m | 23.5x | 107.4x | 1.5x |
| Fri, 23 Feb 2024 | UK£94.7b | UK£65.0b | UK£1.1b | 21.3x | 85.1x | 1.5x |
| Sun, 21 Jan 2024 | UK£93.9b | UK£66.2b | UK£980.8m | 21.5x | 95.7x | 1.4x |
| Tue, 19 Dec 2023 | UK£88.3b | UK£66.2b | UK£982.2m | 22.4x | 89.9x | 1.3x |
| Thu, 16 Nov 2023 | UK£85.8b | UK£64.3b | UK£1.0b | 20.7x | 81.8x | 1.3x |
| Sat, 14 Oct 2023 | UK£86.0b | UK£64.0b | UK£988.5m | 21.8x | 87x | 1.3x |
| Mon, 11 Sep 2023 | UK£90.2b | UK£63.9b | UK£1.0b | 18x | 89.1x | 1.4x |
| Wed, 09 Aug 2023 | UK£92.8b | UK£61.9b | UK£1.2b | 25.8x | 77.2x | 1.5x |
| Fri, 07 Jul 2023 | UK£91.8b | UK£61.8b | UK£1.2b | 20.9x | 77.1x | 1.5x |
| Sun, 04 Jun 2023 | UK£97.6b | UK£61.7b | UK£1.2b | 23.2x | 81.5x | 1.6x |
| Tue, 02 May 2023 | UK£95.9b | UK£56.8b | UK£1.1b | 21.8x | 89x | 1.7x |
| Thu, 30 Mar 2023 | UK£88.5b | UK£57.2b | UK£1.2b | 17.5x | 71.1x | 1.5x |
| Sat, 25 Feb 2023 | UK£84.7b | UK£53.3b | UK£1.8b | 19.7x | 47.9x | 1.6x |
| Mon, 23 Jan 2023 | UK£84.8b | UK£53.1b | UK£2.1b | 12x | 40.3x | 1.6x |
| Wed, 21 Dec 2022 | UK£79.0b | UK£53.3b | UK£2.0b | 16.8x | 40x | 1.5x |
| Fri, 18 Nov 2022 | UK£77.7b | UK£47.5b | UK£1.4b | 11.3x | 53.7x | 1.6x |
| Sun, 16 Oct 2022 | UK£73.8b | UK£46.8b | UK£1.1b | 9.1x | 65.1x | 1.6x |
| Tue, 13 Sep 2022 | UK£79.3b | UK£45.6b | UK£1.2b | 13.4x | 63.7x | 1.7x |
| Thu, 11 Aug 2022 | UK£77.2b | UK£44.5b | UK£1.3b | 12.1x | 61.4x | 1.7x |
| Sat, 09 Jul 2022 | UK£71.1b | UK£44.2b | UK£1.2b | 13.6x | 58.4x | 1.6x |
| Mon, 06 Jun 2022 | UK£77.6b | UK£44.0b | UK£1.2b | 16.6x | 65.7x | 1.8x |
| Wed, 04 May 2022 | UK£75.9b | UK£38.7b | UK£98.9m | 26.5x | 767.7x | 2x |
| Fri, 01 Apr 2022 | UK£76.4b | UK£37.9b | -UK£233,643,839.00 | 19.9x | -327.1x | 2x |
| Sun, 27 Feb 2022 | UK£81.8b | UK£36.5b | -UK£408,657,069.00 | 31x | -200.3x | 2.2x |
| Tue, 25 Jan 2022 | UK£79.6b | UK£36.3b | -UK£540,420,745.00 | 43.4x | -147.3x | 2.2x |
| Thu, 23 Dec 2021 | UK£82.9b | UK£36.4b | -UK£534,412,097.00 | 49.7x | -155.1x | 2.3x |
| Sat, 20 Nov 2021 | UK£62.6b | UK£26.8b | -UK£1,266,885,867.00 | 36.6x | -49.4x | 2.3x |
| Mon, 18 Oct 2021 | UK£64.4b | UK£27.0b | -UK£1,915,727,559.00 | 35.1x | -33.6x | 2.4x |
| Wed, 15 Sep 2021 | UK£62.3b | UK£27.1b | -UK£2,303,914,579.02 | 34.8x | -27x | 2.3x |
| Fri, 13 Aug 2021 | UK£64.2b | UK£27.0b | -UK£2,435,407,050.02 | 35.3x | -26.4x | 2.4x |
Price to Earnings Ratio
-25.8x
Current Industry PE
- Investors are pessimistic on the British Hospitality industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 49.9x which is lower than its 3-year average PE of 76.5x.
- The 3-year average PS ratio of 1.8x is higher than the industry's current PS ratio of 1.1x.
Past Earnings Growth
- Total earnings for the Hospitality industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 29% per year.
- This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.
Industry Trends
Which industries have driven the changes within the U.K. Consumer Discretionary industry?
| GB Market | -0.44% | |
| Consumer Discretionary | -0.74% | |
| Hospitality | -1.66% | |
| Leisure Facilities | 0.67% | |
| Hotels, Resorts and Cruise Lines | 0.057% | |
| Casinos and Gaming | -1.02% | |
| Restaurants | -2.06% | |
Industry PE
- Investors are most optimistic about the Restaurants industry which is trading above its 3-year average PE ratio of 17.7x.
- Analysts are expecting annual earnings growth of 15.5%, which is higher than its past year's earnings decline of 32.7% per year.
Forecasted Growth
- Analysts are most optimistic on the Casinos and Gaming industry, expecting annual earnings growth of 74% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the Hotels, Resorts and Cruise Lines industry is expected to see its earnings grow by 16% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| DPEU DP Eurasia | UK£1.90 | 89.5% +UK£131.6m | 319.4% | PE42.6x | |
| PTEC Playtech | UK£4.78 | 4.3% +UK£59.4m | -18.4% | PE16.4x | |
| TRN Trainline | UK£3.28 | 3.2% +UK£41.8m | 28.2% | PE43.5x | |
| GRG Greggs | UK£28.04 | 1.4% +UK£38.6m | 10.8% | PE20x | |
| GYM Gym Group | UK£1.19 | 6.3% +UK£12.5m | 31.9% | PS1x |
