LSE:STAN

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Standard Chartered PLC, together with its subsidiaries, provides various banking products and services primarily in Asia, Africa, Europe, the Americas, and the Middle East. More Details


Snowflake Analysis

Solid track record with adequate balance sheet.


Similar Companies

Share Price & News

How has Standard Chartered's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-10.2%

STAN

-4.9%

GB Banks

-0.4%

GB Market


1 Year Return

-49.9%

STAN

-48.2%

GB Banks

-14.3%

GB Market

Return vs Industry: STAN underperformed the UK Banks industry which returned -48.2% over the past year.

Return vs Market: STAN underperformed the UK Market which returned -14.3% over the past year.


Shareholder returns

STANIndustryMarket
7 Day-10.2%-4.9%-0.4%
30 Day-13.6%-8.0%0.06%
90 Day-19.5%-19.1%-2.5%
1 Year-49.9%-49.9%-47.7%-48.2%-10.8%-14.3%
3 Year-50.7%-52.9%-52.9%-57.7%-5.2%-16.7%
5 Year-40.4%-45.8%-41.7%-51.5%24.5%-3.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Standard Chartered undervalued compared to its fair value and its price relative to the market?

9.75x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: STAN (£3.39) is trading above our estimate of fair value (£2.16)

Significantly Below Fair Value: STAN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: STAN is poor value based on its PE Ratio (9.8x) compared to the GB Banks industry average (8.1x).

PE vs Market: STAN is good value based on its PE Ratio (9.8x) compared to the UK market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: STAN is good value based on its PEG Ratio (0.3x)


Price to Book Ratio

PB vs Industry: STAN is good value based on its PB Ratio (0.3x) compared to the GB Banks industry average (0.5x).


Next Steps

Future Growth

How is Standard Chartered forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

37.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STAN's forecast earnings growth (37.2% per year) is above the savings rate (1.2%).

Earnings vs Market: STAN's earnings (37.2% per year) are forecast to grow faster than the UK market (23.7% per year).

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

Revenue vs Market: STAN's revenue (2.1% per year) is forecast to grow slower than the UK market (6.3% per year).

High Growth Revenue: STAN's revenue (2.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STAN's Return on Equity is forecast to be low in 3 years time (5.5%).


Next Steps

Past Performance

How has Standard Chartered performed over the past 5 years?

49.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STAN has high quality earnings.

Growing Profit Margin: STAN's current net profit margins (10.5%) are higher than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: STAN's earnings have grown significantly by 49.3% per year over the past 5 years.

Accelerating Growth: STAN's earnings growth over the past year (403.2%) exceeds its 5-year average (49.3% per year).

Earnings vs Industry: STAN earnings growth over the past year (403.2%) exceeded the Banks industry -28.1%.


Return on Equity

High ROE: STAN's Return on Equity (3.8%) is considered low.


Next Steps

Financial Health

How is Standard Chartered's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: STAN's Assets to Equity ratio (14.9x) is moderate.

Allowance for Bad Loans: STAN has a low allowance for bad loans (74%).

Low Risk Liabilities: 66% of STAN's liabilities are made up of primarily low risk sources of funding.

Loan Level: STAN has an appropriate level of Loans to Assets ratio (43%).

Low Risk Deposits: STAN's Loans to Deposits ratio (70%) is appropriate.

Level of Bad Loans: STAN has a high level of bad loans (2.7%).


Next Steps

Dividend

What is Standard Chartered current dividend yield, its reliability and sustainability?

4.91%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate STAN'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 STAN's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: STAN is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of STAN's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

5.3yrs

Average management tenure


CEO

Bill Winters (59 yo)

5.25yrs

Tenure

US$5,932,000

Compensation

Mr. William Thomas Winters, also known as Bill, CBE has been the Group Chief Executive Officer of Standard Chartered PLC and Standard Chartered Bank since June 10, 2015. He joined Standard Chartered in Jun ...


CEO Compensation Analysis

Compensation vs Market: Bill's total compensation ($USD10.05M) is above average for companies of similar size in the UK market ($USD4.90M).

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


Leadership Team

NamePositionTenureCompensationOwnership
William Winters
Group Chief Executive & Director5.25yrsUS$5.93m0.050%
$ 5.4m
Andrew Halford
Group CFO & Director6.17yrsUS$3.64m0.019%
$ 2.1m
David Whiteing
Group Chief Operating Officer1.67yrsno datano data
Sumit Dayal
Group Head of Corporate Finance5.42yrsno datano data
Michael Gorriz
Group Chief Information Officer5.17yrsno data0.0062%
$ 661.7k
Mark Stride
Global Head of Investor Relationsno datano datano data
David Fein
Group General Counsel7yrsno datano data
Tracey McDermott
Group Head of Corporate Affairs2.5yrsno datano data
Jonathan Tracey
Global Head of Communications & Head of Media Relationsno datano datano data
Tanuj Kapilashrami
Group Head of Human Resources1.83yrsno datano data
Mark Cheung
Managing Director of Corporate Advisory Department for China16.58yrsno datano data
Tracy Clarke
Regional CEO of Europe & Americas and CEO of Private Bankno dataUS$2.51m0.013%
$ 1.4m

5.3yrs

Average Tenure

56yo

Average Age

Experienced Management: STAN's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
William Winters
Group Chief Executive & Director5.25yrsUS$5.93m0.050%
$ 5.4m
Andrew Halford
Group CFO & Director6.17yrsUS$3.64m0.019%
$ 2.1m
Wai Yi Huen
Head of Retail Clients-Greater China Regionno datano datano data
Naguib Kheraj
Independent Deputy Chairman3.75yrsUS$364.00k0.0013%
$ 137.5k
Byron Grote
Independent Non-Executive Director6.17yrsUS$170.00k0.0025%
$ 270.6k
Christine Hodgson
Senior Independent Director2.58yrsUS$327.00k0.000080%
$ 8.5k
David Conner
Independent Non-Executive Director4.67yrsUS$277.00k0.00032%
$ 34.1k
Gay Evans
Independent Non-Executive Director5.42yrsUS$202.00k0.000080%
$ 8.5k
Ngozi Okonjo-Iweala
Independent Non-Executive Director2.83yrsUS$139.00k0.000060%
$ 6.4k
Yuen Kwan Tang
Independent Non-Executive Director1.25yrsUS$75.00k0.000060%
$ 6.4k
José Viñals Iñiguez
Group Chairman3.75yrsUS$1.30m0.00059%
$ 62.9k
Jasmine Whitbread
Independent Non-Executive Director5.42yrsUS$212.00k0.00011%
$ 11.7k

4.7yrs

Average Tenure

65yo

Average Age

Experienced Board: STAN's board of directors are considered experienced (4.7 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Standard Chartered PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Standard Chartered PLC
  • Ticker: STAN
  • Exchange: LSE
  • Founded: 1853
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: UK£10.655b
  • Shares outstanding: 3.15b
  • Website: https://www.sc.com

Number of Employees


Location

  • Standard Chartered PLC
  • 1 Basinghall Avenue
  • London
  • Greater London
  • EC2V 5DD
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SCBF.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMay 1994
STANLSE (London Stock Exchange)YesOrdinary SharesGBGBPMay 1994
2888SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDMay 1994
STDDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMay 1994
STANLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMay 1994
2888SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDMay 1994
2888SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDMay 1994
37ZMLSE (London Stock Exchange)7.014%-FRN PERP USD100000 '144A'GBUSDMay 2007
37ZLLSE (London Stock Exchange)ADS EACH REPR 1 NON-CUM RED PRF SH'REGS'GBUSDJun 2007
58GZLSE (London Stock Exchange)6.409%-FRN PERP USD 'REGS'GBUSDMar 2009
STDKDB (Deutsche Boerse AG)6.409%-FRN PERP USD 'REGS'DEUSDMar 2009
SCBF.YOTCPK (Pink Sheets LLC)UNSPONSRED ADSUSUSDNov 2018

Biography

Standard Chartered PLC, together with its subsidiaries, provides various banking products and services primarily in Asia, Africa, Europe, the Americas, and the Middle East. The company operates through Cor ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/22 03:34
End of Day Share Price2020/09/21 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.