NOT FOR DISTRIBUTION
Header cover image

Prosegur Compañía de Seguridad

Market Cap

€1.5b

Last Updated

2021/04/09 18:58 UTC

Data Sources

Company Financials +

Executive Summary

Prosegur Compañía de Seguridad, S.A. operates in the private security sector. More Details


Snowflake Analysis

Established dividend payer and good value.


Similar Companies

Share Price & News

How has Prosegur Compañía de Seguridad's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PSG is not significantly more volatile than the rest of Spanish stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: PSG's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

3.3%

PSG

2.3%

ES Commercial Services

0.6%

ES Market


1 Year Return

26.8%

PSG

42.9%

ES Commercial Services

22.0%

ES Market

Return vs Industry: PSG underperformed the Spanish Commercial Services industry which returned 42.9% over the past year.

Return vs Market: PSG exceeded the Spanish Market which returned 22% over the past year.


Shareholder returns

PSGIndustryMarket
7 Day3.3%2.3%0.6%
30 Day14.2%6.2%1.2%
90 Day8.0%6.8%2.0%
1 Year33.2%26.8%46.6%42.9%25.9%22.0%
3 Year-50.7%-55.0%16.7%6.2%1.2%-7.9%
5 Year-29.4%-41.6%25.4%4.9%19.2%1.4%

Long-Term Price Volatility Vs. Market

How volatile is Prosegur Compañía de Seguridad's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Prosegur Compañía de Seguridad undervalued compared to its fair value and its price relative to the market?

1.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PSG (€2.84) is trading below our estimate of fair value (€2.87)

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


Price To Earnings Ratio

PE vs Industry: PSG is good value based on its PE Ratio (4.7x) compared to the XE Commercial Services industry average (24.6x).

PE vs Market: PSG is good value based on its PE Ratio (4.7x) compared to the Spanish market (23.1x).


Price to Earnings Growth Ratio

PEG Ratio: PSG's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: PSG is good value based on its PB Ratio (2.2x) compared to the XE Commercial Services industry average (2.3x).


Future Growth

How is Prosegur Compañía de Seguridad forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

-22.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PSG's earnings are forecast to decline over the next 3 years (-22.6% per year).

Earnings vs Market: PSG's earnings are forecast to decline over the next 3 years (-22.6% per year).

High Growth Earnings: PSG's earnings are forecast to decline over the next 3 years.

Revenue vs Market: PSG's revenue (4.6% per year) is forecast to grow slower than the Spanish market (9% per year).

High Growth Revenue: PSG's revenue (4.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PSG's Return on Equity is forecast to be high in 3 years time (21.8%)


Past Performance

How has Prosegur Compañía de Seguridad performed over the past 5 years?

16.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PSG has a large one-off gain of €411.4M impacting its December 31 2020 financial results.

Growing Profit Margin: PSG's current net profit margins (9.3%) are higher than last year (2.8%).


Past Earnings Growth Analysis

Earnings Trend: PSG's earnings have grown by 16.6% per year over the past 5 years.

Accelerating Growth: PSG's earnings growth over the past year (183.1%) exceeds its 5-year average (16.6% per year).

Earnings vs Industry: PSG earnings growth over the past year (183.1%) exceeded the Commercial Services industry 13.3%.


Return on Equity

High ROE: Whilst PSG's Return on Equity (46.63%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Prosegur Compañía de Seguridad's financial position?


Financial Position Analysis

Short Term Liabilities: PSG's short term assets (€1.7B) exceed its short term liabilities (€1.3B).

Long Term Liabilities: PSG's short term assets (€1.7B) do not cover its long term liabilities (€1.9B).


Debt to Equity History and Analysis

Debt Level: PSG's debt to equity ratio (266%) is considered high.

Reducing Debt: PSG's debt to equity ratio has increased from 133.7% to 266% over the past 5 years.

Debt Coverage: PSG's debt is not well covered by operating cash flow (17%).

Interest Coverage: PSG's interest payments on its debt are well covered by EBIT (14.1x coverage).


Balance Sheet


Dividend

What is Prosegur Compañía de Seguridad current dividend yield, its reliability and sustainability?

4.37%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PSG's dividend (4.37%) is higher than the bottom 25% of dividend payers in the Spanish market (1.64%).

High Dividend: PSG's dividend (4.37%) is low compared to the top 25% of dividend payers in the Spanish market (5.33%).


Stability and Growth of Payments

Stable Dividend: PSG's dividends per share have been stable in the past 10 years.

Growing Dividend: PSG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20.6%), PSG's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PSG's dividends in 3 years are forecast to be covered by earnings (55.4% payout ratio).


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Christian Revoredo

13.25yrs

Tenure

€1,336,000

Compensation

Mr. Christian Gut Revoredo has been Chairman at Prosegur Cash, S.A. since December 2016 & serves as its Executive Director. Mr. Revoredo has been the Chief Executive Officer of Prosegur Compañía de Segurid...


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Christian's total compensation is reasonable compared to companies of similar size in the Spanish market.

Compensation vs Earnings: Insufficient data to compare Christian's compensation with company performance.


Leadership Team

Experienced Management: PSG's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: PSG's board of directors are seasoned and experienced ( 12.4 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Prosegur Compañía de Seguridad, S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Prosegur Compañía de Seguridad, S.A.
  • Ticker: PSG
  • Exchange: BME
  • Founded: 1976
  • Industry: Security and Alarm Services
  • Sector: Commercial Services
  • Market Cap: €1.543b
  • Shares outstanding: 543.34m
  • Website: https://www.prosegur.com

Number of Employees


Location

  • Prosegur Compañía de Seguridad, S.A.
  • Calle Pajaritos, 24
  • Madrid
  • Madrid
  • 28007
  • Spain

Listings


Biography

Prosegur Compañía de Seguridad, S.A. operates in the private security sector. The company operates through Security, Cash, and Alarms segments. The Security segment offers manned guarding, mobility, electr...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/09 18:58
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.