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Hays

DB:HAY
Snowflake Description

Flawless balance sheet with solid track record and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HAY
DB
£2B
Market Cap
  1. Home
  2. DE
  3. Commercial Services
Company description

Hays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. The last earnings update was 89 days ago. More info.


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HAY Share Price and Events
7 Day Returns
0.8%
DB:HAY
2.8%
Europe Professional Services
0.3%
DE Market
1 Year Returns
-22.2%
DB:HAY
5.8%
Europe Professional Services
-11.6%
DE Market
HAY Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Hays (HAY) 0.8% -5.1% -6.5% -22.2% -4.5% -7.6%
Europe Professional Services 2.8% 0.6% 7.9% 5.8% 38.4% 51.9%
DE Market 0.3% -3.8% 2.5% -11.6% 10.1% 7.9%
1 Year Return vs Industry and Market
  • HAY underperformed the Professional Services industry which returned 5.8% over the past year.
  • HAY underperformed the Market in Germany which returned -11.6% over the past year.
Price Volatility
HAY
Industry
5yr Volatility vs Market

HAY Value

 Is Hays 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 Hays 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 Hays.

DB:HAY Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 9 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 6.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

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 DB:HAY
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6.7%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.88
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.877 (1 + (1- 19%) (3.94%))
0.936
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.94
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.936 * 6.65%)
6.45%

Discounted Cash Flow Calculation for DB:HAY using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Hays 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.

DB:HAY DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 6.45%)
2019 137.60 Analyst x4 129.26
2020 146.76 Analyst x4 129.50
2021 158.41 Analyst x3 131.31
2022 164.01 Est @ 3.53% 127.71
2023 168.18 Est @ 2.54% 123.02
2024 171.28 Est @ 1.85% 117.69
2025 173.62 Est @ 1.36% 112.07
2026 175.39 Est @ 1.02% 106.35
2027 176.76 Est @ 0.78% 100.68
2028 177.85 Est @ 0.62% 95.16
Present value of next 10 years cash flows £1,172.76
DB:HAY DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £177.85 × (1 + 0.23%) ÷ (6.45% – 0.23%)
£2,863.39
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £2,863.39 ÷ (1 + 6.45%)10
£1,532.08
DB:HAY Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £1,172.76 + £1,532.08
£2,704.83
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £2,704.83 / 1,457.15
£1.86
DB:HAY Discount to Share Price
Calculation Result
Value per share (EUR) From above. €2.10
Current discount Discount to share price of €1.68
= -1 x (€1.68 - €2.10) / €2.10
20.3%

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

Current Discount
Amount off the current price Hays is available for.
Intrinsic value
20%
Share price is €1.68 vs Future cash flow value of €2.1
Current Discount Checks
For Hays to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Hays's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Hays's share price is below the future cash flow value, but not 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 Hays's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Hays's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:HAY PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in GBP £0.12
LSE:HAS Share Price ** LSE (2019-05-21) in GBP £1.48
Europe Professional Services Industry PE Ratio Median Figure of 96 Publicly-Listed Professional Services Companies 17.12x
Germany Market PE Ratio Median Figure of 423 Publicly-Listed Companies 20.29x

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

** Primary Listing of Hays.

DB:HAY PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:HAS Share Price ÷ EPS (both in GBP)

= 1.48 ÷ 0.12

12.43x

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

  • Hays is good value based on earnings compared to the Europe Professional Services industry average.
  • Hays is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Hays's expected growth come at a high price?
Raw Data
DB:HAY PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.43x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
7%per year
Europe Professional Services Industry PEG Ratio Median Figure of 58 Publicly-Listed Professional Services Companies 1.58x
Germany Market PEG Ratio Median Figure of 272 Publicly-Listed Companies 1.5x

*Line of best fit is calculated by linear regression .

DB:HAY PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.43x ÷ 7%

1.79x

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

  • Hays is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Hays's assets?
Raw Data
DB:HAY PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in GBP £0.44
LSE:HAS Share Price * LSE (2019-05-21) in GBP £1.48
Europe Professional Services Industry PB Ratio Median Figure of 126 Publicly-Listed Professional Services Companies 2.43x
Germany Market PB Ratio Median Figure of 576 Publicly-Listed Companies 1.79x
DB:HAY PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:HAS Share Price ÷ Book Value per Share (both in GBP)

= 1.48 ÷ 0.44

3.4x

* Primary Listing of Hays.

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

  • Hays is overvalued based on assets compared to the Europe Professional Services industry average.
X
Value checks
We assess Hays'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 Professional 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 Professional Services industry average (and greater than 0)? (1 check)
  5. Hays 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.

HAY Future Performance

 How is Hays expected to perform in the next 1 to 3 years based on estimates from 9 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
7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Hays expected to grow at an attractive rate?
  • Hays's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Hays's earnings growth is positive but not above the Germany market average.
  • Hays's revenue growth is positive but not above the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:HAY Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:HAY Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 7%
DB:HAY Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 4.7%
Europe Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 9.7%
Europe Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 5.2%
Germany Market Earnings Growth Rate Market Cap Weighted Average 13%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*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
DB:HAY Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:HAY Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-06-30 6,605 181 200 8
2020-06-30 6,250 186 183 9
2019-06-30 6,007 162 171 9
DB:HAY Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-12-31 5,960 169 173
2018-09-30 5,857 166 169
2018-06-30 5,753 163 166
2018-03-31 5,589 142 159
2017-12-31 5,425 121 152
2017-09-30 5,253 127 145
2017-06-30 5,081 134 139
2016-12-31 4,672 142 130
2016-09-30 4,452 123 125
2016-06-30 4,231 103 121

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Hays's earnings are expected to grow by 7% yearly, however this is not considered high growth (20% yearly).
  • Hays's revenue is expected to grow by 4.7% 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
DB:HAY Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from Hays Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:HAY Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-06-30 0.13 0.14 0.13 6.00
2020-06-30 0.12 0.13 0.12 7.00
2019-06-30 0.12 0.12 0.12 7.00
DB:HAY Past Financials Data
Date (Data in GBP Millions) EPS *
2018-12-31 0.12
2018-09-30 0.12
2018-06-30 0.11
2018-03-31 0.11
2017-12-31 0.11
2017-09-30 0.10
2017-06-30 0.10
2016-12-31 0.09
2016-09-30 0.09
2016-06-30 0.08

*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.
  • Hays is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Hays'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 Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe 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.
Hays has a total score of 2/6, 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.

HAY Past Performance

  How has Hays 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 Hays's growth in the last year to its industry (Professional 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.
  • Hays's year on year earnings growth rate has been positive over the past 5 years.
  • Hays's 1-year earnings growth is less than its 5-year average (14% vs 15.1%)
  • Hays's earnings growth has exceeded the Europe Professional Services industry average in the past year (14% vs 9%).
Earnings and Revenue History
Hays'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 Hays Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:HAY Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 5,959.80 173.00 177.90
2018-09-30 5,856.55 169.40 178.30
2018-06-30 5,753.30 165.80 178.70
2018-03-31 5,589.35 158.75 168.50
2017-12-31 5,425.40 151.70 158.30
2017-09-30 5,253.20 145.40 158.35
2017-06-30 5,081.00 139.10 158.40
2016-12-31 4,672.00 129.60 130.30
2016-09-30 4,451.70 125.35 130.70
2016-06-30 4,231.40 121.10 131.10
2015-12-31 3,974.70 110.90 137.40
2015-09-30 3,908.75 108.15 137.25
2015-06-30 3,842.80 105.40 137.10
2014-12-31 3,741.30 96.80 138.20
2014-09-30 3,709.90 91.40 138.15
2014-06-30 3,678.50 86.00 138.10
2013-12-31 3,696.70 78.50 143.20
2013-09-30 3,696.80 75.10 142.50
2013-06-30 3,696.90 71.70 141.80
2013-03-31 3,668.85 71.50 143.00
2012-12-31 3,640.80 71.30 144.20
2012-09-30 3,647.70 73.40 143.50
2012-06-30 3,654.60 75.50 142.80

*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.
  • Hays has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Hays used its assets more efficiently than the Europe Professional Services industry average last year based on Return on Assets.
  • Hays has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Hays'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 Professional 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.
Hays has a total score of 5/6, 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.

HAY Health

 How is Hays'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 Hays's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Hays is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Hays's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Hays'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.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 12.7x 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 Hays Company Filings, last reported 4 months ago.

DB:HAY Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 633.70 85.00 117.50
2018-09-30 633.70 85.00 117.50
2018-06-30 700.50 0.00 122.90
2018-03-31 700.50 0.00 122.90
2017-12-31 582.90 80.00 114.50
2017-09-30 582.90 80.00 114.50
2017-06-30 586.40 0.40 112.00
2016-12-31 500.70 66.10 114.00
2016-09-30 500.70 66.10 114.00
2016-06-30 457.80 26.10 62.90
2015-12-31 293.10 120.50 64.40
2015-09-30 293.10 120.50 64.40
2015-06-30 269.60 100.50 69.80
2014-12-31 220.80 135.70 56.50
2014-09-30 220.80 135.70 56.50
2014-06-30 240.70 110.80 48.00
2013-12-31 195.80 150.90 45.40
2013-09-30 195.80 150.90 45.40
2013-06-30 216.40 145.70 40.00
2013-03-31 216.40 145.70 40.00
2012-12-31 209.10 206.10 59.80
2012-09-30 209.10 206.10 59.80
2012-06-30 190.60 172.70 38.70
  • Hays's level of debt (13.4%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (76.9% vs 13.4% today).
  • Debt is well covered by operating cash flow (198.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 113.4x coverage).
X
Financial health checks
We assess Hays'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. Hays has a total score of 6/6, 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.

HAY Dividends

 What is Hays'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
5.95%
Current annual income from Hays dividends. Estimated to be 6.4% next year.
If you bought €2,000 of Hays shares you are expected to receive €119 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?
  • Hays's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.46%).
  • Hays's dividend is above the markets top 25% of dividend payers in Germany (3.86%).
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
DB:HAY 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 9 Analyst Estimates (S&P Global) See Below
Europe Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 77 Stocks 2.6%
Germany Market Average Dividend Yield Market Cap Weighted Average of 326 Stocks 3.2%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.5%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

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

DB:HAY Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2021-06-30 0.09 5.00
2020-06-30 0.10 6.00
2019-06-30 0.09 6.00
DB:HAY Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-10-03 0.088 5.754
2018-08-30 0.088 4.283
2017-10-30 0.032 1.703
2016-09-01 0.029 1.836
2015-10-01 0.028 2.176
2015-08-27 0.028 1.765
2014-10-01 0.026 1.766
2014-08-28 0.026 2.092
2013-08-29 0.025 1.911
2013-02-28 0.025 2.601
2012-08-30 0.025 3.018
2012-02-22 0.048 6.080
2011-09-01 0.058 8.082
2010-09-02 0.058 5.354
2009-09-03 0.058 5.662
2009-06-30 0.058 6.253

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

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Hays's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.3x coverage).
X
Income/ dividend checks
We assess Hays's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - 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 Hays afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Hays has a total score of 5/6, see the detailed checks below.


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

HAY Management

 What is the CEO of Hays'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
Alistair Cox
COMPENSATION £2,972,000
AGE 57
TENURE AS CEO 11.5 years
CEO Bio

Mr. Alistair Richard Cox has been the Chief Executive Officer of Hays plc since November 2007 and also has been its Executive Director since September 1, 2007. Mr. Cox served as the President of Lafarge Malaysia Berhad. He served as the Chief Executive Officer of Xansa PLC (now, Steria UK Corporate Ltd.) from August 2002 to June 4, 2007. He served as a Regional President of Asia, Lafarge and Group Strategy Director of Blue Circle (subsequently Lafarge) from 1994 to 2002 and McKinsey & Co from 1990 to 1994. He served as an Executive Officer of Hays plc since June 2007. An Engineer by background, his early business experience was with British Aerospace and Schlumberger in the United Kingdom and United States. He has been an Independent Non-Executive Director at JUST EAT plc since May 2, 2017. He serves as a Director of Hays Specialist Recruitment (Australia) Pty Limited New Zealand Branch. He served as a Non-Executive Director of 3i Group plc from October 2009 to November 10, 2015. He served as a Director of Steria UK Corporate Ltd. until June 2007. Mr. Cox is a Chartered Engineer and has an M.B.A. from the Stanford Business school in California. He holds a first class Honors Degree in Aeronautical Engineering from Salford University.

CEO Compensation
  • Alistair's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Alistair's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Hays management team in years:

9.1
Average Tenure
57
Average Age
  • The average tenure for the Hays management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Alistair Cox

TITLE
CEO & Executive Director
COMPENSATION
£3M
AGE
57
TENURE
11.5 yrs

Paul Venables

TITLE
Group Finance Director & Executive Director
COMPENSATION
£2M
AGE
57
TENURE
13 yrs

Steve Weston

TITLE
Chief Information Officer & Global Head of Corporate Accounts

David Phillips

TITLE
Head of Investor Relations

Doug Evans

TITLE
Company Secretary & General Counsel
AGE
55
TENURE
6.3 yrs

Sholto Douglas-Home

TITLE
Chief Marketing Officer
TENURE
11.1 yrs

Tina Ling

TITLE
Managing Director of France & Benelux

Nick Cox

TITLE
Managing Director of Continental Europe & Rest of World

Simon Winfield

TITLE
Managing Director of West & Wales
TENURE
5.5 yrs

Nigel S. Heap

TITLE
Uk & Ireland Managing Director and Chairman of the Asia Pacific Business
TENURE
7.1 yrs
Board of Directors Tenure

Average tenure and age of the Hays board of directors in years:

1.8
Average Tenure
58
Average Age
  • The average tenure for the Hays board of directors is less than 3 years, this suggests a new board.
Board of Directors

Andy Martin

TITLE
Non-Executive Chairman
COMPENSATION
£61K
AGE
58
TENURE
0.8 yrs

Alistair Cox

TITLE
CEO & Executive Director
COMPENSATION
£3M
AGE
57
TENURE
11.7 yrs

Paul Venables

TITLE
Group Finance Director & Executive Director
COMPENSATION
£2M
AGE
57
TENURE
13 yrs

Peter Williams

TITLE
Senior Independent Director
COMPENSATION
£56K
AGE
65
TENURE
0.3 yrs

Susan Murray

TITLE
Independent Non-Executive Director
COMPENSATION
£62K
AGE
60
TENURE
1.8 yrs

Torsten Kreindl

TITLE
Independent Non-Executive Director
COMPENSATION
£56K
AGE
55
TENURE
5.9 yrs

MT Rainey

TITLE
Non-Executive Director
COMPENSATION
£56K
AGE
62
TENURE
0.3 yrs
Who owns this company?
Recent Insider Trading
  • Hays insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
26. Apr 19 Sell John Faraguna Individual 25. Apr 19 25. Apr 19 -100,000 €1.82 €-181,956
10. Dec 18 Buy Peter Williams Individual 10. Dec 18 10. Dec 18 806 €1.57 €1,264
03. Dec 18 Sell Alistair Cox Individual 30. Nov 18 30. Nov 18 -1,100,000 €1.77 €-1,951,174
01. Nov 18 Buy Susan Murray Individual 01. Nov 18 01. Nov 18 4,000 €1.87 €7,493
12. Sep 18 Sell Paul Venables Individual 11. Sep 18 11. Sep 18 -165,453 €2.29 €-378,080
12. Sep 18 Sell Alistair Cox Individual 11. Sep 18 11. Sep 18 -229,478 €2.29 €-524,385
12. Sep 18 Sell John Faraguna Individual 11. Sep 18 11. Sep 18 -54,371 €2.29 €-124,244
10. Sep 18 Sell Paul Venables Individual 07. Sep 18 07. Sep 18 -1,019,390 €2.28 €-2,325,367
X
Management checks
We assess Hays'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. Hays 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.

HAY News

Simply Wall St News

HAY Company Info

Description

Hays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. The company offers permanent, temporary, and contractor recruitment services, such as qualified, professional, and skilled recruitment to public and private sector. It specializes in offering recruitment services in the areas of accountancy and finance, construction and property, information technology, life sciences, sales and marketing, banking and capital markets, contact centers, education, engineering and manufacturing, executive, financial services, health and social care, human resources, legal, office professionals, energy, oil and gas, purchasing, retail, resources and mining, and telecoms. Hays plc was founded in 1968 and is based in London, the United Kingdom.

Details
Name: Hays plc
HAY
Exchange: DB
Founded: 1968
£2,464,375,096
1,457,150,479
Website: http://www.haysplc.com
Address: Hays plc
20 Triton Street,
London,
Greater London, NW1 3BF,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE HAS Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
DB HAY Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
BATS-CHIXE HASL Ordinary Shares BATS 'Chi-X Europe' GB GBP 02. Jan 1992
OTCPK HAYP.Y UNSPONSORD ADR Pink Sheets LLC US USD 17. Feb 2010
Number of employees
Current staff
Staff numbers
11,700
Hays employees.
Industry
Human Resource and Employment Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/21 21:49
End of day share price update: 2019/05/21 00:00
Last estimates confirmation: 2019/05/21
Last earnings filing: 2019/02/21
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/06/30


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.