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DS Smith

DB:1KR
Snowflake Description

Undervalued with excellent balance sheet and pays a dividend.

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

DS Smith Plc designs and manufactures corrugated packaging and plastic packaging for consumer goods. The last earnings update was 132 days ago. More info.


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1KR Share Price and Events
7 Day Returns
3.1%
DB:1KR
0.5%
Europe Packaging
2.3%
DE Market
1 Year Returns
-29.8%
DB:1KR
-12.4%
Europe Packaging
-7.2%
DE Market
1KR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
DS Smith (1KR) 3.1% -1.6% 9.8% -29.8% -20.8% 3.3%
Europe Packaging 0.5% 1.1% 6.7% -12.4% 11.5% 46.7%
DE Market 2.3% 3.1% 8.8% -7.2% 9.3% 12.3%
1 Year Return vs Industry and Market
  • 1KR underperformed the Packaging industry which returned -12.4% over the past year.
  • 1KR underperformed the Market in Germany which returned -7.2% over the past year.
Price Volatility
1KR
Industry
5yr Volatility vs Market

1KR Value

 Is DS Smith 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 DS Smith 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 DS Smith.

DB:1KR 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 7.7%
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:1KR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6.7%
Packaging Unlevered Beta Simply Wall St/ S&P Global 0.87
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.872 (1 + (1- 19%) (44.14%))
1.123
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.12
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (1.123 * 6.65%)
7.7%

Discounted Cash Flow Calculation for DB:1KR using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for DS Smith 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:1KR DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 7.7%)
2019 346.87 Analyst x7 322.08
2020 412.10 Analyst x7 355.29
2021 457.73 Analyst x7 366.42
2022 491.68 Est @ 7.42% 365.46
2023 517.54 Est @ 5.26% 357.19
2024 536.96 Est @ 3.75% 344.09
2025 551.42 Est @ 2.69% 328.10
2026 562.20 Est @ 1.95% 310.60
2027 570.27 Est @ 1.44% 292.54
2028 576.39 Est @ 1.07% 274.54
Present value of next 10 years cash flows £3,316.30
DB:1KR DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £576.39 × (1 + 0.23%) ÷ (7.7% – 0.23%)
£7,732.92
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £7,732.92 ÷ (1 + 7.7%)10
£3,683.29
DB:1KR Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £3,316.30 + £3,683.29
£6,999.59
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £6,999.59 / 1,370.29
£5.11
DB:1KR Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:1KR represents 1.13803x of LSE:SMDS
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
1.13803x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (GBP) x Listing Adjustment Factor
= £ 5.11 x 1.13803
€5.81
Value per share (EUR) From above. €5.81
Current discount Discount to share price of €4.04
= -1 x (€4.04 - €5.81) / €5.81
30.5%

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

Current Discount
Amount off the current price DS Smith is available for.
Intrinsic value
31%
Share price is €4.04 vs Future cash flow value of €5.81
Current Discount Checks
For DS Smith to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • DS Smith's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • DS Smith'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 DS Smith's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are DS Smith's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:1KR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-10-31) in GBP £0.24
LSE:SMDS Share Price ** LSE (2019-04-17) in GBP £3.55
Europe Packaging Industry PE Ratio Median Figure of 32 Publicly-Listed Packaging Companies 16.67x
Germany Market PE Ratio Median Figure of 422 Publicly-Listed Companies 19.43x

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

** Primary Listing of DS Smith.

DB:1KR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

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

= 3.55 ÷ 0.24

14.76x

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

  • DS Smith is good value based on earnings compared to the Europe Packaging industry average.
  • DS Smith is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does DS Smith's expected growth come at a high price?
Raw Data
DB:1KR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 14.76x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts
17.5%per year
Europe Packaging Industry PEG Ratio Median Figure of 17 Publicly-Listed Packaging Companies 1.67x
Germany Market PEG Ratio Median Figure of 272 Publicly-Listed Companies 1.56x

*Line of best fit is calculated by linear regression .

DB:1KR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 14.76x ÷ 17.5%

0.84x

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

  • DS Smith is good value based on expected growth next year.
Price based on value of assets
What value do investors place on DS Smith's assets?
Raw Data
DB:1KR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-10-31) in GBP £2.51
LSE:SMDS Share Price * LSE (2019-04-17) in GBP £3.55
Europe Packaging Industry PB Ratio Median Figure of 37 Publicly-Listed Packaging Companies 1.64x
Germany Market PB Ratio Median Figure of 570 Publicly-Listed Companies 1.87x
DB:1KR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 3.55 ÷ 2.51

1.41x

* Primary Listing of DS Smith.

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

  • DS Smith is good value based on assets compared to the Europe Packaging industry average.
X
Value checks
We assess DS Smith'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 Packaging 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 Packaging industry average (and greater than 0)? (1 check)
  5. DS Smith has a total score of 5/6, 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.

1KR Future Performance

 How is DS Smith 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
17.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is DS Smith expected to grow at an attractive rate?
  • DS Smith's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • DS Smith's earnings growth is expected to exceed the Germany market average.
  • DS Smith's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:1KR Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:1KR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 9 Analysts 17.5%
DB:1KR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 9 Analysts 6.4%
Europe Packaging Industry Earnings Growth Rate Market Cap Weighted Average 25.7%
Europe Packaging Industry Revenue Growth Rate Market Cap Weighted Average 4.6%
Germany Market Earnings Growth Rate Market Cap Weighted Average 11.7%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*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:1KR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 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:1KR Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-04-30 7,503 1
2021-04-30 7,212 784 440 8
2020-04-30 7,008 691 455 9
2019-04-30 6,289 613 322 9
DB:1KR Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-10-31 6,175 494 283
2018-07-31 5,970 474 271
2018-04-30 5,765 453 259
2018-01-31 5,358 493 221
2017-10-31 5,087 539 191
2017-07-31 4,934 531 200
2017-04-30 4,781 523 209
2017-01-31 4,626 468 211
2016-10-31 4,470 413 212
2016-07-31 4,268 388 190
2016-04-30 4,066 363 167
2016-01-31 3,934 378 149

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • DS Smith's earnings are expected to grow by 17.5% yearly, however this is not considered high growth (20% yearly).
  • DS Smith's revenue is expected to grow by 6.4% 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:1KR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 9 Analyst Estimates (S&P Global) See Below

All data from DS Smith Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:1KR Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-04-30
2021-04-30 0.32 0.35 0.29 3.00
2020-04-30 0.33 0.44 0.28 4.00
2019-04-30 0.24 0.25 0.23 4.00
DB:1KR Past Financials Data
Date (Data in GBP Millions) EPS *
2018-10-31 0.24
2018-07-31 0.21
2018-04-30 0.25
2018-01-31 0.22
2017-10-31 0.20
2017-07-31
2017-04-30 0.22
2017-01-31 0.22
2016-10-31 0.22
2016-07-31 0.20
2016-04-30 0.18
2016-01-31 0.16

*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.
  • DS Smith is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess DS Smith'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.
DS Smith has a total score of 3/6, 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.

1KR Past Performance

  How has DS Smith 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 DS Smith's growth in the last year to its industry (Packaging).
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.
  • DS Smith's year on year earnings growth rate has been positive over the past 5 years.
  • DS Smith's 1-year earnings growth exceeds its 5-year average (48.2% vs 15.8%)
  • DS Smith's earnings growth has exceeded the Europe Packaging industry average in the past year (48.2% vs 5.9%).
Earnings and Revenue History
DS Smith'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 DS Smith Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:1KR Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-10-31 6,175.00 283.00 3.00
2018-07-31 5,970.00 271.00 3.50
2018-04-30 5,765.00 259.00 4.00
2018-01-31 5,357.50 220.50 4.00
2017-10-31 5,087.00 191.00 4.00
2017-07-31 4,934.00 200.00 4.50
2017-04-30 4,781.00 209.00 5.00
2017-01-31 4,625.50 210.50 5.50
2016-10-31 4,470.00 212.00 6.00
2016-07-31 4,268.00 189.50 6.00
2016-04-30 4,066.00 167.00 6.00
2016-01-31 3,934.00 149.00 6.00
2015-10-31 3,802.00 131.00 6.00
2015-07-31 3,811.00 143.50 6.00
2015-04-30 3,820.00 156.00 6.00
2014-10-31 3,925.00 169.00 6.00
2014-07-31 3,980.00 156.00 6.50
2014-04-30 4,035.00 143.00 7.00
2013-10-31 4,078.20 94.80 -583.10
2013-07-31 3,873.60 80.90 -288.05
2013-04-30 3,669.00 67.00 7.00
2012-10-31 2,606.70 21.50 746.70
2012-07-31 2,288.05 14.75 531.75
2012-04-30 1,969.40 8.00 316.80

*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.
  • DS Smith has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • DS Smith used its assets less efficiently than the Europe Packaging industry average last year based on Return on Assets.
  • DS Smith's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess DS Smith'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 Packaging 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.
DS Smith has a total score of 3/6, 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.

1KR Health

 How is DS Smith'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 DS Smith's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • DS Smith is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • DS Smith's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of DS Smith'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.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.5x 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 DS Smith Company Filings, last reported 5 months ago.

DB:1KR Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-10-31 3,231.00 2,147.00 435.00
2018-07-31 3,231.00 2,147.00 435.00
2018-04-30 2,110.00 2,002.00 297.00
2018-01-31 2,110.00 2,002.00 297.00
2017-10-31 2,025.00 2,005.00 558.00
2017-07-31 2,025.00 2,005.00 558.00
2017-04-30 1,355.00 1,279.00 139.00
2017-01-31 1,355.00 1,279.00 139.00
2016-10-31 1,303.00 1,359.00 134.00
2016-07-31 1,303.00 1,359.00 134.00
2016-04-30 1,140.00 1,277.00 134.00
2016-01-31 1,140.00 1,277.00 134.00
2015-10-31 1,045.00 1,108.00 140.00
2015-07-31 1,045.00 1,108.00 140.00
2015-04-30 1,018.00 796.00 96.00
2014-10-31 1,133.00 800.00 90.00
2014-07-31 1,133.00 800.00 90.00
2014-04-30 1,131.00 916.00 98.00
2013-10-31 1,156.90 932.10 161.10
2013-07-31 1,156.90 932.10 161.10
2013-04-30 1,085.00 962.00 116.00
2012-10-31 1,094.40 936.90 99.90
2012-07-31 1,094.40 936.90 99.90
2012-04-30 1,057.50 332.30 664.60
  • DS Smith's level of debt (66.5%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (80.6% vs 66.5% today).
  • Debt is well covered by operating cash flow (23%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 8x coverage).
X
Financial health checks
We assess DS Smith'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. DS Smith has a total score of 5/6, 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.

1KR Dividends

 What is DS Smith'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
4.14%
Current annual income from DS Smith dividends. Estimated to be 4.98% next year.
If you bought €2,000 of DS Smith shares you are expected to receive €83 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?
  • DS Smith's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.43%).
  • DS Smith's dividend is above the markets top 25% of dividend payers in Germany (3.71%).
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:1KR 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 Packaging Industry Average Dividend Yield Market Cap Weighted Average of 24 Stocks 3.2%
Germany Market Average Dividend Yield Market Cap Weighted Average of 325 Stocks 3.1%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

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

DB:1KR Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2022-04-30 0.21 1.00
2021-04-30 0.19 11.00
2020-04-30 0.18 12.00
2019-04-30 0.16 10.00
DB:1KR Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-06-18 0.147 3.796
2017-07-11 0.152 3.000
2017-06-29 0.152 3.142
2016-07-21 0.128 3.044
2016-06-23 0.128 3.324
2015-06-29 0.114 2.936
2015-06-25 0.114 2.931
2014-12-04 0.105 3.033
2014-08-15 0.100 3.693
2014-06-26 0.100 3.709
2013-06-27 0.080 2.671
2012-07-25 0.059 2.840
2012-06-28 0.059 3.951
2011-06-23 0.065 3.509
2010-06-24 0.046 2.604
2010-06-23 0.046 3.810
2009-12-10 0.030 2.429
2009-11-02 0.030 2.486
2009-06-29 0.044 5.069
2009-04-20 0.088 12.105

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 DS Smith's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.6x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.1x coverage).
X
Income/ dividend checks
We assess DS Smith'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 DS Smith afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. DS Smith 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.

1KR Management

 What is the CEO of DS Smith'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
Miles Roberts
COMPENSATION £4,045,000
AGE 54
TENURE AS CEO 8.9 years
CEO Bio

Mr. Miles W. Roberts has been Group Chief Executive Officer of DS Smith plc since May 4, 2010 at DS Smith Paper Limited. He served as Chief Executive at DS Smith Packaging Limited. Mr. Roberts served as the Chief Executive of McBride plc from July 2005 to April 2010 and joined as its Group Finance Director. At McBride plc, he has led a programme to deliver significant growth and improved shareholder value. He was Senior Independent Director of Poundland Group Limited until September 2016 and Independent Non-Executive Director since October 30, 2014. He has been an Executive Director of DS Smith plc since May 4, 2010. He brought to the Board extensive financial experience. He was a Non-Executive Director of Aggreko plc since March 07, 2017. He gained an engineering degree at Bristol University. Following his engineering degree he qualified as chartered accountant. His Key strengths: • Clear strategic mindset • Strong leadership skills

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

Average tenure of the DS Smith management team in years:

5.7
Average Tenure
  • The average tenure for the DS Smith management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Miles Roberts

TITLE
Group Chief Executive & Executive Director
COMPENSATION
£4M
AGE
54
TENURE
8.9 yrs

Adrian R. Marsh

TITLE
Group Finance Director & Executive Director
COMPENSATION
£2M
AGE
51
TENURE
5.6 yrs

Rachel Stevens

TITLE
Investor Relations Director

Iain Simm

TITLE
Group General Counsel & Company Secretary
TENURE
2.8 yrs

Hugo Fisher

TITLE
Group Communications Director
TENURE
5.8 yrs

Alan Taylor

TITLE
Interim Group Human Resources Director

Jean Lienhardt

TITLE
Head of Packaging - Spain & South East Region and Divisional Chief Executive of DS Smith Kaysersberg

Mark Smith

TITLE
Head of Plastics

Colin McIntyre

TITLE
Head of Paper & Recycling

Stefano Rossi

TITLE
Head of Corrugated Packaging
Board of Directors Tenure

Average tenure and age of the DS Smith board of directors in years:

6.2
Average Tenure
59
Average Age
  • The tenure for the DS Smith board of directors is about average.
Board of Directors

Gareth Davis

TITLE
Chairman
COMPENSATION
£269K
AGE
68
TENURE
7.3 yrs

Miles Roberts

TITLE
Group Chief Executive & Executive Director
COMPENSATION
£4M
AGE
54
TENURE
8.9 yrs

Adrian R. Marsh

TITLE
Group Finance Director & Executive Director
COMPENSATION
£2M
AGE
51
TENURE
5.6 yrs

Jonathan Nicholls

TITLE
Senior Independent Director
COMPENSATION
£75K
AGE
60
TENURE
6.8 yrs

Kathleen O’Donovan

TITLE
Non-Executive Director
COMPENSATION
£68K
AGE
61
TENURE
6.3 yrs

Chris Britton

TITLE
Non-Executive Director
COMPENSATION
£57K
AGE
60
TENURE
6.1 yrs

Louise Smalley

TITLE
Non-Executive Director
COMPENSATION
£57K
AGE
50
TENURE
4.8 yrs

Rupert Soames

TITLE
Non-Executive Director
AGE
59
TENURE
0.1 yrs

David Robbie

TITLE
Non-Executive Director
AGE
54
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
07. Dec 18 Buy Adrian R. Marsh Individual 07. Dec 18 07. Dec 18 15,922 €3.49 €55,598
06. Dec 18 Buy Jonathan Nicholls Individual 06. Dec 18 06. Dec 18 15,000 €3.58 €53,745
07. Sep 18 Buy Adrian R. Marsh Individual 04. Sep 18 04. Sep 18 7,978 €5.58 €44,508
X
Management checks
We assess DS Smith'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. DS Smith 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.

1KR News

Simply Wall St News

1KR Company Info

Description

DS Smith Plc designs and manufactures corrugated packaging and plastic packaging for consumer goods. It provides transit and transport, consumer, retail and shelf ready, online and e-retail, industrial, hazardous, multi-material, inserts and cushioning, and electrostatic discharge packaging products, as well as wrap arounds, trays, and bag-in-boxes; displays and promotional packaging products; corrugated pallets; Sheetfeeding products; packaging machine systems; and Sizzlepak, a stuffing material made of paper, folded in a zigzag shape, and cut into narrow strips, as well as provides packaging consultancy services. The company serves the food and drinks, consumer goods, industrial, e-commerce, e-retail, and converters markets. It also provides various recycling and waste management services, including paper, cardboard, mixed dry, and plastics recycling services; confidential security shredding services; organics and food products; general waste recycling and shredding services; zero waste solutions; and added value services to medium and large corporates, and small businesses in the retail, manufacturing, print and publishing, public, and automotive sectors. In addition, the company offers recycled corrugated case materials and specialty papers; offers related technical and supply chain services; and manufactures and sells flexible packaging and dispensing solutions, rigid packaging solutions, and foam and injection molded products for use in the beverage, automotive, pharmaceutical, fresh produce, construction, and retail industries. It has operations in the United Kingdom, Western Europe, Northern Europe, Central Europe, Italy, North America, Germany, and Switzerland. The company was formerly known as David S. Smith (Holdings) PLC and changed its name to DS Smith Plc in 2001. DS Smith Plc was founded in 1940 and is headquartered in London, the United Kingdom.

Details
Name: DS Smith Plc
1KR
Exchange: DB
Founded: 1940
£5,614,495,729
1,370,293,731
Website: http://www.dssmith.com
Address: DS Smith Plc
Regent’s Place,
7th Floor,
London,
Greater London, NW1 3AX,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE SMDS Ordinary Shares London Stock Exchange GB GBP 07. Nov 1995
OTCPK DITH.F Ordinary Shares Pink Sheets LLC US USD 07. Nov 1995
DB 1KR Ordinary Shares Deutsche Boerse AG DE EUR 07. Nov 1995
BATS-CHIXE SMDSL Ordinary Shares BATS 'Chi-X Europe' GB GBP 07. Nov 1995
Number of employees
Current staff
Staff numbers
28,500
DS Smith employees.
Industry
Paper Packaging
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/17 22:51
End of day share price update: 2019/04/17 00:00
Last estimates confirmation: 2019/04/12
Last earnings filing: 2018/12/06
Last earnings reported: 2018/10/31
Last annual earnings reported: 2018/04/30


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.