BST:5WS

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Watches of Switzerland Group

Executive Summary

Watches of Switzerland Group PLC operates as a retailer of luxury watches.


Snowflake Analysis

Mediocre balance sheet and overvalued.

Share Price & News

How has Watches of Switzerland Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 5WS has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-5.5%

5WS

-1.6%

DE Specialty Retail

-1.6%

DE Market


1 Year Return

n/a

5WS

2.8%

DE Specialty Retail

8.3%

DE Market

Return vs Industry: Insufficient data to determine how 5WS performed against the German Specialty Retail industry.

Return vs Market: Insufficient data to determine how 5WS performed against the German Market.


Shareholder returns

5WSIndustryMarket
7 Day-5.5%-1.6%-1.6%
30 Day-9.7%2.8%0.2%
90 Day8.6%20.1%12.8%
1 Yearn/a3.1%2.8%10.7%8.3%
3 Yearn/a-22.1%-26.1%3.8%-4.5%
5 Yearn/a-13.5%-55.4%9.6%-5.2%

Price Volatility Vs. Market

How volatile is Watches of Switzerland Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Watches of Switzerland Group undervalued compared to its fair value and its price relative to the market?

2.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 5WS (€2.85) is trading below our estimate of fair value (€2.93)

Significantly Below Fair Value: 5WS is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 5WS is unprofitable, so we can't compare its PE Ratio to the XE Specialty Retail industry average.

PE vs Market: 5WS 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 5WS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 5WS is overvalued based on its PB Ratio (3.5x) compared to the DE Specialty Retail industry average (1x).


Next Steps

Future Growth

How is Watches of Switzerland Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

12.7%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if 5WS's forecast earnings growth is above the savings rate (0.2%).

Earnings vs Market: Insufficient data to determine if 5WS's earnings are forecast to grow faster than the German market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 5WS's revenue (12.7% per year) is forecast to grow faster than the German market (5.9% per year).

High Growth Revenue: 5WS's revenue (12.7% 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 5WS's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Watches of Switzerland Group performed over the past 5 years?

59.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 5WS is currently unprofitable.

Growing Profit Margin: 5WS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 5WS is unprofitable, but has reduced losses over the past 5 years at a rate of 59.9% per year.

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

Earnings vs Industry: 5WS is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (-9.9%).


Return on Equity

High ROE: 5WS has a negative Return on Equity (-1.46%), as it is currently unprofitable.


Next Steps

Financial Health

How is Watches of Switzerland Group's financial position?


Financial Position Analysis

Short Term Liabilities: 5WS's short term assets (£289.0M) exceed its short term liabilities (£231.4M).

Long Term Liabilities: 5WS's short term assets (£289.0M) do not cover its long term liabilities (£359.0M).


Debt to Equity History and Analysis

Debt Level: 5WS's debt to equity ratio (75.2%) is considered high.

Reducing Debt: 5WS's debt to equity ratio has reduced from 156.6% to 75.2% over the past 5 years.

Debt Coverage: 5WS's debt is well covered by operating cash flow (72%).

Interest Coverage: 5WS is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Watches of Switzerland Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 5WS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 5WS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 5WS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 5WS's dividend payments have been increasing.


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: No need to calculate the sustainability of 5WS's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

6.6yrs

Average management tenure


CEO

Hugh Duffy (66 yo)

6.58yrs

Tenure

Mr. Hugh Brian Duffy serves as Chief Executive Officer at Watches Switzerland Group PLC since 2014 and serves as its Director since May 7, 2019. He has served on several boards of across the fashion, retai ...


Leadership Team

NamePositionTenureCompensationOwnership
Hugh Duffy
CEO & Director6.58yrsno data3.12%
£ 27.4m
Lars Anders Romberg
CFO & Director1.5yrsno data1.1%
£ 9.6m
Paul Eardley
Secretary1.25yrsno datano data

6.6yrs

Average Tenure

Experienced Management: 5WS's management team is seasoned and experienced (6.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Hugh Duffy
CEO & Director6.58yrsno data3.12%
£ 27.4m
Lars Anders Romberg
CFO & Director1.5yrsno data1.1%
£ 9.6m
Dennis Millard
Independent Non-Executive Chairman of the Board1.83yrsno data0.0077%
£ 67.7k
Fabrice Nottin
Non-Executive Director1.5yrsno datano data
Robert Moorhead
Independent Non-Executive Director2.58yrsno data0.0046%
£ 40.7k
Teresa Colaianni
Senior Independent Non-Executive Director1.25yrsno data0.0046%
£ 40.7k
Rosamond Monckton
Independent Non-Executive Director6.58yrsno data0.0031%
£ 27.1k

1.5yrs

Average Tenure

57yo

Average Age

Experienced Board: 5WS's board of directors are not considered experienced ( 1.5 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: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Watches of Switzerland Group PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Watches of Switzerland Group PLC
  • Ticker: 5WS
  • Exchange: BST
  • Founded: 2019
  • Industry: Specialty Stores
  • Sector: Retail
  • Market Cap: UK£789.213m
  • Listing Market Cap: UK£876.422m
  • Shares outstanding: 239.45m
  • Website: https://www.thewosgroupplc.com

Number of Employees


Location

  • Watches of Switzerland Group PLC
  • Aurum House
  • 2 Elland Road
  • Leicester
  • Leicestershire
  • LE3 1TT
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
5WSDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMay 2019
WOSGLSE (London Stock Exchange)YesOrdinary SharesGBGBPMay 2019
5WSBST (Boerse-Stuttgart)YesOrdinary SharesDEEURMay 2019
WOSGLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMay 2019

Biography

Watches of Switzerland Group PLC operates as a retailer of luxury watches. It offers luxury watches and jewelry; fashion and classic watches and jewelry; gifts; aftercare services, such as repair, restorat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/04 21:33
End of Day Share Price2020/08/03 00:00
Earnings2019/10/27
Annual Earnings2019/04/28


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.