There's No Escaping Serco Group plc's (LON:SRP) Muted Earnings
Jun 10
U.K. (FTSE) Commercial Services Industry Analysis
UpdatedJun 15, 2024
DataAggregated Company Financials
Companies22
- 7D3.0%
- 3M-2.1%
- 1Y-18.3%
- YTD5.7%
Over the last 7 days, the Commercial Services industry has risen 3.0%, driven by gains from Rentokil Initial of 6.1%. In the past year, the industry is down 18%. As for the next few years, earnings are expected to grow by 15% per annum.
Industry Valuation and Performance
Has the U.K. Commercial Services Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sat, 15 Jun 2024 | UK£17.2b | UK£18.6b | UK£768.1m | 15.1x | 22.4x | 0.9x |
| Mon, 13 May 2024 | UK£16.9b | UK£18.5b | UK£741.7m | 15x | 22.8x | 0.9x |
| Wed, 10 Apr 2024 | UK£18.9b | UK£18.6b | UK£772.1m | 16.1x | 24.5x | 1x |
| Fri, 08 Mar 2024 | UK£20.1b | UK£18.6b | UK£784.3m | 16.6x | 25.6x | 1.1x |
| Sun, 04 Feb 2024 | UK£23.7b | UK£21.9b | UK£902.3m | 17.8x | 26.2x | 1.1x |
| Tue, 02 Jan 2024 | UK£24.1b | UK£21.8b | UK£903.9m | 20.2x | 26.7x | 1.1x |
| Thu, 30 Nov 2023 | UK£23.6b | UK£22.2b | UK£850.3m | 20.7x | 27.7x | 1.1x |
| Sat, 28 Oct 2023 | UK£22.8b | UK£21.9b | UK£850.2m | 18.8x | 26.8x | 1x |
| Mon, 25 Sep 2023 | UK£27.7b | UK£21.9b | UK£849.7m | 18.8x | 32.6x | 1.3x |
| Wed, 23 Aug 2023 | UK£26.9b | UK£21.8b | UK£845.7m | 26.5x | 31.8x | 1.2x |
| Fri, 21 Jul 2023 | UK£28.6b | UK£20.4b | UK£744.2m | 23.9x | 38.4x | 1.4x |
| Sun, 18 Jun 2023 | UK£28.7b | UK£20.4b | UK£786.1m | 23.8x | 36.6x | 1.4x |
| Tue, 16 May 2023 | UK£29.2b | UK£20.4b | UK£759.2m | 28.1x | 38.5x | 1.4x |
| Thu, 13 Apr 2023 | UK£27.8b | UK£20.3b | UK£757.5m | 29.9x | 36.7x | 1.4x |
| Sat, 11 Mar 2023 | UK£26.2b | UK£19.6b | UK£788.3m | 30x | 33.2x | 1.3x |
| Mon, 06 Feb 2023 | UK£26.0b | UK£19.5b | UK£788.0m | 31.2x | 32.9x | 1.3x |
| Wed, 04 Jan 2023 | UK£26.0b | UK£19.4b | UK£790.3m | 31.1x | 32.9x | 1.3x |
| Fri, 02 Dec 2022 | UK£27.1b | UK£19.6b | UK£732.4m | 31.4x | 36.9x | 1.4x |
| Sun, 30 Oct 2022 | UK£27.2b | UK£19.4b | UK£753.1m | 30.5x | 36.1x | 1.4x |
| Tue, 27 Sep 2022 | UK£22.5b | UK£19.5b | UK£762.9m | 29.5x | 29.5x | 1.2x |
| Thu, 25 Aug 2022 | UK£24.3b | UK£19.3b | UK£738.3m | 30.1x | 32.9x | 1.3x |
| Sat, 23 Jul 2022 | UK£23.4b | UK£18.9b | UK£850.2m | 31.7x | 27.5x | 1.2x |
| Mon, 20 Jun 2022 | UK£22.7b | UK£19.7b | UK£870.5m | 29.3x | 26.1x | 1.2x |
| Wed, 18 May 2022 | UK£23.2b | UK£19.1b | UK£759.0m | 36.2x | 30.5x | 1.2x |
| Fri, 15 Apr 2022 | UK£23.1b | UK£19.1b | UK£762.8m | 37.3x | 30.3x | 1.2x |
| Sun, 13 Mar 2022 | UK£20.5b | UK£19.2b | UK£741.5m | 35.7x | 27.6x | 1.1x |
| Tue, 08 Feb 2022 | UK£22.3b | UK£19.0b | UK£714.3m | 30.7x | 31.2x | 1.2x |
| Thu, 06 Jan 2022 | UK£24.8b | UK£19.0b | UK£710.6m | 36.3x | 34.8x | 1.3x |
| Sat, 04 Dec 2021 | UK£25.0b | UK£18.9b | UK£710.0m | 43.8x | 35.2x | 1.3x |
| Mon, 01 Nov 2021 | UK£24.9b | UK£17.6b | UK£616.5m | 51.8x | 40.4x | 1.4x |
| Wed, 29 Sep 2021 | UK£25.3b | UK£17.6b | UK£612.5m | 53x | 41.3x | 1.4x |
| Fri, 27 Aug 2021 | UK£25.3b | UK£17.7b | UK£796.9m | 50.8x | 31.8x | 1.4x |
| Sat, 03 Jul 2021 | UK£22.5b | UK£17.7b | UK£785.7m | 45.8x | 28.6x | 1.3x |
Price to Earnings Ratio
28.6x
Current Industry PE
- Investors are pessimistic on the British Commercial Services 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 22.4x which is lower than its 3-year average PE of 34.2x.
- The 3-year average PS ratio of 1.3x is higher than the industry's current PS ratio of 0.93x.
Past Earnings Growth
- Both revenue and earnings for companies in the Commercial Services industry have remained mostly flat over the last three years.
- This means that sales and the cost of doing business have remained relatively consistent over this period and subsequently, so have profits.
Industry Trends
Which industries have driven the changes within the U.K. Industrials industry?
| GB Market | -1.47% | |
| Industrials | -1.47% | |
| Commercial Services | 3.02% | |
| Commercial Printing | 7.04% | |
| Environmental and Facilities Services | 3.97% | |
| Office Services and Supplies | 0% | |
| Security and Alarm Services | 0% | |
| Diversified Support Services | -4.08% | |
Industry PE
- Investors are most optimistic about the Diversified Support Services industry which is trading above its 3-year average PE ratio of 61.5x.
- Analysts are expecting annual earnings growth of 31.8%, which is higher than its past year's earnings decline of 23.1% per year.
Forecasted Growth
- Analysts are most optimistic on the Diversified Support Services industry, expecting annual earnings growth of 32% over the next 5 years.
- This is better than its past earnings decline of 23% per year.
- In contrast, the Environmental and Facilities Services industry is expected to see its earnings grow by 13% 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 | |
|---|---|---|---|---|---|
| RTO Rentokil Initial | UK£4.47 | 6.1% +UK£645.5m | -30.1% | PE29.5x | |
| DLAR De La Rue | UK£0.98 | 3.2% +UK£5.9m | 197.0% | PS0.6x | |
| SFT Software Circle | UK£0.19 | 7.0% +UK£4.9m | 97.4% | PS5x | |
| WATR Water Intelligence | UK£4.05 | 5.9% +UK£3.9m | -8.0% | PE22.3x | |
| RWI Renewi | UK£6.63 | 0.5% +UK£2.4m | 32.1% | PE15.1x |
