DB:3W5

Stock Analysis Report

Westminster Group

Executive Summary

Westminster Group PLC, a specialist security and services company, designs and supplies technology solutions and services to governments and government agencies, non-governmental organizations, and blue chip commercial organizations.

Rewards

Earnings have grown 23.1% per year over the past 5 years

Risk Analysis

Has less than 1 year of cash runway

Currently unprofitable and not forecast to become profitable over the next 3 years

Highly volatile share price over past 3 months

Latest financial reports are more than 6 months old

+ 2 more risks


Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 3W5's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

1.7%

3W5

-0.4%

DE Electronic

0.1%

DE Market


1 Year Return

11.3%

3W5

10.9%

DE Electronic

14.1%

DE Market

Return vs Industry: 3W5 matched the German Electronic industry which returned 10.9% over the past year.

Return vs Market: 3W5 underperformed the German Market which returned 14.1% over the past year.


Shareholder returns

3W5IndustryMarket
7 Day1.7%-0.4%0.1%
30 Day3.1%7.3%0.2%
90 Day-15.7%6.3%3.3%
1 Year11.3%11.3%13.4%10.9%17.6%14.1%
3 Yearn/a47.9%43.0%14.8%4.8%
5 Yearn/a113.8%98.5%22.2%5.4%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Westminster Group undervalued compared to its fair value and its price relative to the market?

11.37x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 3W5's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 3W5's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 3W5 is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.

PE vs Market: 3W5 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 3W5's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 3W5 is overvalued based on its PB Ratio (11.4x) compared to the DE Electronic industry average (1.8x).


Next Steps

Future Growth

How is Westminster Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.9%

Forecasted Tech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Westminster Group has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Westminster Group performed over the past 5 years?

23.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 3W5 is currently unprofitable.

Growing Profit Margin: 3W5 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 3W5 is unprofitable, but has reduced losses over the past 5 years at a rate of 23.1% per year.

Accelerating Growth: Unable to compare 3W5's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 3W5 is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-3.9%).


Return on Equity

High ROE: 3W5 has a negative Return on Equity (-22.88%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Westminster Group's financial position?


Financial Position Analysis

Short Term Liabilities: 3W5's short term assets (£2.1M) do not cover its short term liabilities (£4.6M).

Long Term Liabilities: 3W5's short term assets (£2.1M) exceed its long term liabilities (£298.0K).


Debt to Equity History and Analysis

Debt Level: 3W5's debt to equity ratio (269.9%) is considered high.

Reducing Debt: 3W5's debt to equity ratio has increased from 26.5% to 269.9% over the past 5 years.


Balance Sheet

Inventory Level: 3W5 has a high level of physical assets or inventory.

Debt Coverage by Assets: 3W5's debt is not covered by short term assets (assets are 0.8x 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: 3W5 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 3W5 has less than a year of cash runway if free cash flow continues to grow at historical rates of 15.9% each year.


Next Steps

Dividend

What is Westminster Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 3W5's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 3W5's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 3W5's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 3W5'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 3W5'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?

3.0yrs

Average board tenure


CEO

Peter Fowler (65yo)

UK£310,000

Compensation

Mr. Peter Donald Fowler serves as Chief Executive Officer of Westminster Group Plc. and has been its Executive Director since September 29, 2000. Mr. Fowler has over 36 years experience operating within th ...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD403.81K) is about average for companies of similar size in the German market ($USD413.42K).

Compensation vs Earnings: Peter's compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
Anthony Baldry
Executive Chairman2.7yrsUK£117.00kno data
Peter Fowler
CEO & Executive Director0yrsUK£310.00k4.05% £867.6k
Mark Leonard Hughes
CFO & Executive Director1.3yrsUK£163.00k0.073% £15.6k
Stuart Fowler
Operations Director & Executive Director12.8yrsUK£173.00k0.34% £72.7k
Charles Cattaneo
Non-Executive Director1.1yrsno data0.082% £17.5k
James Sutcliffe
Chairman of the International Advisory Board1.1yrsUK£27.00kno data
Michael Pakenham
Member of International Advisory Board3.7yrsno datano data
Lady Lewis
Non-Executive Director1.7yrsUK£16.00k0.063% £13.4k
Shiv Kumar
Member of International Advisory Board3.4yrsno datano data
J. Ababio
Member of International Advisory Board3.4yrsno datano data

3.0yrs

Average Tenure

65yo

Average Age

Experienced Board: 3W5's board of directors are considered experienced (3 years average tenure).


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.2%.


Top Shareholders

Company Information

Westminster Group PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Westminster Group PLC
  • Ticker: 3W5
  • Exchange: DB
  • Founded: 2000
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: UK£17.773m
  • Listing Market Cap: UK£21.401m
  • Shares outstanding: 159.40m
  • Website: https://www.wsg-corporate.com

Number of Employees


Location

  • Westminster Group PLC
  • Westminster House
  • Blacklocks Hill
  • Banbury
  • Oxfordshire
  • OX17 2BS
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WSGAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJun 2007
3W5DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2007

Biography

Westminster Group PLC, a specialist security and services company, designs and supplies technology solutions and services to governments and government agencies, non-governmental organizations, and blue chip commercial organizations. It operates through three segments: Managed Services Aviation, Technology, and Managed Services Guarding. The company offers technology led security solutions, such as surveillance, detection, tracking, screening, and interception technologies; managed services, such as security services and solutions in airports, ports, and other facilities; and manpower, consultancy, and training services. It is also involved in the provision of managed services under long term contracts to airports, ports, and other facilities, as well as security and risk management services, including manned guarding, mobile patrols, risk management, terminal guarding, and K9 services; and marine transport, ferry and other infrastructure management, and managed services infrastructure businesses, as well as local infrastructure for airport operations. The company has operations in the United Kingdom, Europe, Africa, Asia, the Middle East, the Americas, and internationally. Westminster Group PLC was incorporated in 2000 and is headquartered in Banbury, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/18 23:49
End of Day Share Price2020/02/18 00:00
Earnings2019/06/30
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.