DB:ORW

Stock Analysis Report

Executive Summary

OneSpaWorld Holdings Limited operates health and wellness centers onboard cruise ships and at destination resorts worldwide.

Rewards

Trading at 24.7% below its fair value

Earnings are forecast to grow 111.4% per year

Revenue grew by 3.9% over the past year

Risk Analysis

No risks detected for ORW from our risk checks.


Snowflake Analysis

Reasonable growth potential and fair value.

Share Price & News

How has OneSpaWorld Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ORW has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.7%

ORW

0.7%

DE Consumer Services

1.7%

DE Market


1 Year Return

n/a

ORW

18.1%

DE Consumer Services

15.0%

DE Market

Return vs Industry: Insufficient data to determine how ORW performed against the German Consumer Services industry.

Return vs Market: Insufficient data to determine how ORW performed against the German Market.


Shareholder returns

ORWIndustryMarket
7 Day-0.7%0.7%1.7%
30 Day-4.8%5.9%1.4%
90 Day2.2%9.9%3.3%
1 Yearn/a20.0%18.1%18.5%15.0%
3 Yearn/a8.1%2.2%17.1%6.9%
5 Yearn/a-37.8%-53.3%24.3%7.3%

Price Volatility Vs. Market

How volatile is OneSpaWorld Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is OneSpaWorld Holdings undervalued compared to its fair value and its price relative to the market?

24.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ORW (€13.8) is trading below our estimate of fair value (€18.33)

Significantly Below Fair Value: ORW is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ORW is unprofitable, so we can't compare its PE Ratio to the Consumer Services industry average.

PE vs Market: ORW is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ORW's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ORW is good value based on its PB Ratio (1.4x) compared to the XE Consumer Services industry average (2.5x).


Next Steps

Future Growth

How is OneSpaWorld Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

111.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ORW is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: ORW is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: ORW's is expected to become profitable in the next 3 years.

Revenue vs Market: ORW's revenue (11.1% per year) is forecast to grow faster than the German market (5% per year).

High Growth Revenue: ORW's revenue (11.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ORW's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has OneSpaWorld Holdings performed over the past 5 years?

-189.2%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: ORW is currently unprofitable.

Growing Profit Margin: ORW is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if ORW's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Unable to compare ORW's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ORW is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (43.5%).


Return on Equity

High ROE: ORW has a negative Return on Equity (-5.6%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is OneSpaWorld Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: ORW's short term assets ($81.9M) exceed its short term liabilities ($41.3M).

Long Term Liabilities: ORW's short term assets ($81.9M) do not cover its long term liabilities ($228.3M).


Debt to Equity History and Analysis

Debt Level: ORW's debt to equity ratio (34.8%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if ORW's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: ORW has a low level of unsold assets or inventory.

Debt Coverage by Assets: ORW's debt is not covered by short term assets (assets are 0.4x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ORW has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: ORW has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is OneSpaWorld Holdings's current dividend yield, its reliability and sustainability?

1.05%

Current Dividend Yield


Dividend Yield vs Market

company1.0%marketbottom25%1.3%markettop25%3.6%industryaverage2.2%forecastin3Years1.6%

Current dividend yield vs market & industry

Notable Dividend: ORW's dividend (1.05%) isn’t notable compared to the bottom 25% of dividend payers in the German market (1.32%).

High Dividend: ORW's dividend (1.05%) is low compared to the top 25% of dividend payers in the German market (3.59%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether ORW's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if ORW's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ORW's dividends in 3 years are forecast to be well covered by earnings (28.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.9yrs

Average board tenure


CEO

Glenn Fusfield (56yo)

US$825,256

Compensation

Mr. Glenn J. Fusfield serves as Chief Executive Officer and President at OneSpaWorld Holdings Limited and serves as its Director since March 18, 2019. He served as the President and Chief Executive Officer ...


CEO Compensation Analysis

Compensation vs Market: Glenn's total compensation ($USD825.26K) is about average for companies of similar size in the German market ($USD1.15M).

Compensation vs Earnings: Glenn's compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Leonard Fluxman
Executive Chairman0.9yrsUS$1.73m3.85% $33.1m
Glenn Fusfield
President0yrsUS$825.26k1.54% $13.3m
Steven Heyer
Vice Chairman & Director0yrsno datano data
Michael Dolan
Independent Director0yrsno datano data
Andrew Heyer
Independent Director0.9yrsno data0.76% $6.6m
Jeffrey Stiefler
Independent Director0yrsno data0.068% $583.1k
Maryam Banikarim
Independent Director0.8yrsno datano data
Stephen Powell
Independent Director0yrsno data0.0041% $35.2k
Walter McLallen
Independent Director0.9yrsno data0.20% $1.7m
Marc Magliacano
Independent Director0.9yrsno datano data

0.9yrs

Average Tenure

60.5yo

Average Age

Experienced Board: ORW's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: ORW only recently listed within the past 12 months.


Top Shareholders

Company Information

OneSpaWorld Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: OneSpaWorld Holdings Limited
  • Ticker: ORW
  • Exchange: DB
  • Founded:
  • Industry: Specialized Consumer Services
  • Sector: Consumer Services
  • Market Cap: US$932.667m
  • Listing Market Cap: US$860.199m
  • Shares outstanding: 61.12m
  • Website: https://www.onespaworld.com

Number of Employees


Location

  • OneSpaWorld Holdings Limited
  • Shirley House
  • 253 Shirley Street
  • Nassau
  • Bahamas

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OSWNasdaqCM (Nasdaq Capital Market)YesCommon SharesUSUSDMar 2019
ORWDB (Deutsche Boerse AG)YesCommon SharesDEEURMar 2019

Biography

OneSpaWorld Holdings Limited operates health and wellness centers onboard cruise ships and at destination resorts worldwide. Its health and wellness centers offer services, such as traditional body, salon, and skin care services and products; specialized fitness classes and personal fitness training; pain management, detoxifying programs, and body composition analyses; weight management programs and products; and medi-spa services. The company also provides its guests access to beauty and wellness brands, including ELEMIS, Kérastase, and Dysport, with various brands offered exclusively at sea. As of May 8, 2019, it offered health, fitness, beauty and wellness services, treatments, and products onboard 164 cruise ships and at 70 destination resorts. The company is headquartered in Nassau, Bahamas. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/15 23:25
End of Day Share Price2020/02/14 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.