AIM:NBI

Stock Analysis Report

Northbridge Industrial Services

Executive Summary

Northbridge Industrial Services plc, together with its subsidiaries, engages in the manufacture, hiring, and sale of specialist industrial equipment worldwide.

Snowflake

Fundamentals

Adequate balance sheet and slightly overvalued.

Share Price & News

How has Northbridge Industrial Services's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-8.4%

NBI

3.7%

GB Electrical

2.0%

GB Market


1 Year Return

-16.4%

NBI

15.7%

GB Electrical

3.3%

GB Market

Return vs Industry: NBI underperformed the UK Electrical industry which returned 15.7% over the past year.

Return vs Market: NBI underperformed the UK Market which returned 3.3% over the past year.


Share holder returns

NBIIndustryMarket
7 Day-8.4%3.7%2.0%
30 Day-11.2%-3.0%-1.0%
90 Day-15.4%8.4%-1.7%
1 Year-16.4%-16.4%18.3%15.7%8.3%3.3%
3 Year15.0%15.0%18.3%12.2%19.0%4.5%
5 Year-77.6%-78.1%226.3%-87.2%38.4%8.4%

Price Volatility Vs. Market

How volatile is Northbridge Industrial Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Northbridge Industrial Services undervalued based on future cash flows and its price relative to the stock market?

38%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: NBI (£1.15) is trading below our estimate of fair value (£1.85)

Significantly Undervalued: NBI is trading below fair value, but not by a significant amount.


Price Based on Earnings

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

PE vs Market: NBI is unprofitable, so we can't compare its PE Ratio to the UK market.


Price Based on Expected Growth

Low PEG Ratio: Insufficient data to calculate NBI's PEG Ratio to determine if it is good value.


Price Based on Value of Assets

PB vs Industry: NBI is good value based on its PB Ratio (0.9x) compared to the GB Electrical industry average (1.7x).


Next Steps

Future Growth

How is Northbridge Industrial Services expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

189.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: NBI is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: NBI is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: NBI is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: NBI's revenue (7.2% per year) is forecast to grow faster than the UK market (4% per year).

High Growth Revenue: NBI's revenue (7.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: Insufficient data to determine if NBI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Northbridge Industrial Services performed over the past 5 years?

-25.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: NBI is unprofitable, and losses have increased over the past 5 years at a rate of -25.3% per year.

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

Earnings vs Industry: NBI is unprofitable, making it difficult to compare its past year earnings growth to the Electrical industry (0.2%).


Return on Equity

High ROE: NBI has a negative Return on Equity (-2.92%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: NBI is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: NBI is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Northbridge Industrial Services's financial position?


Financial Position Analysis

Short Term Liabilities: NBI's short term assets (£17.2M) exceeds its short term liabilities (£11.3M)

Long Term Liabilities: NBI's short term assets (17.2M) exceeds its long term liabilities (10.5M)


Debt to Equity History and Analysis

Debt Level: NBI's debt to equity ratio (33.6%) is considered satisfactory

Reducing Debt: NBI's debt to equity ratio has increased from 30.9% to 33.6% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: NBI's debt is covered by short term assets (assets are 1.411110x 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: NBI has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if NBI has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Northbridge Industrial Services's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%2.0%markettop25%5.4%industryaverage2.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

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

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

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

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


Current Payout to Shareholders

Dividend Coverage: NBI is not paying a notable dividend for .


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Northbridge Industrial Services's salary, the management and board of directors tenure and is there insider trading?

3.3yrs

Average board tenure


CEO

Eric Hook (65yo)

0yrs

Tenure

UK£244,000

Compensation

Mr. Eric W. Hook serves as the Chief Executive at Northbridge Industrial Services PLC. Mr. Hook worked at The Longville Group until 2003 to establish Northbridge Industrial Services plc in 2003. He worked  ...


CEO Compensation Analysis

Compensation vs. Market: Eric's total compensation ($USD306.90K) is about average for companies of similar size in the UK market ($USD317.09K).

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


Board Age and Tenure

3.3yrs

Average Tenure

53yo

Average Age

Experienced Board: NBI's board of directors are considered experienced (3.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£11,80008 Oct 19
Eric Hook
EntityIndividual
Role
Chief Executive Officer
Chief Executive & Director
Shares10,000
Max PriceUK£1.18
BuyUK£4,98925 Feb 19
Judith Aldersey-Williams
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares3,975
Max PriceUK£1.26
BuyUK£9,54108 Nov 18
Eric Hook
EntityIndividual
Role
Chief Executive Officer
Chief Executive & Director
Shares6,369
Max PriceUK£1.50

Ownership Breakdown


Management Team

  • Eric Hook (65yo)

    Chief Executive & Director

    • Tenure: 0yrs
    • Compensation: UK£244.00k
  • Iwan Phillips (35yo)

    CFO, Group Finance Director

    • Tenure: 3.3yrs
    • Compensation: UK£137.00k
  • Ian Gardner (52yo)

    Divisional Managing Director of Global Oil Tools Operations & Executive Director

    • Tenure: 5.3yrs
    • Compensation: UK£218.00k

Board Members

  • Ash Mehta (53yo)

    Independent Non Executive Director

    • Tenure: 8.5yrs
    • Compensation: UK£18.00k
  • Peter Harris (67yo)

    Non-Executive Chairman

    • Tenure: 0yrs
    • Compensation: UK£60.00k
  • Eric Hook (65yo)

    Chief Executive & Director

    • Tenure: 0yrs
    • Compensation: UK£244.00k
  • Nitin Kaul (44yo)

    Independent Non-Executive Director

    • Tenure: 2.4yrs
    • Compensation: UK£18.00k
  • Iwan Phillips (35yo)

    CFO, Group Finance Director

    • Tenure: 3.3yrs
    • Compensation: UK£137.00k
  • Ian Gardner (52yo)

    Divisional Managing Director of Global Oil Tools Operations & Executive Director

    • Tenure: 5.3yrs
    • Compensation: UK£218.00k
  • nee Hudson Aldersey-Williams (55yo)

    Independent Non-Executive Director

    • Tenure: 0.8yrs

Company Information

Northbridge Industrial Services plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Northbridge Industrial Services plc
  • Ticker: NBI
  • Exchange: AIM
  • Founded: 1983
  • Industry: Heavy Electrical Equipment
  • Sector: Capital Goods
  • Market Cap: UK£31.527m
  • Shares outstanding: 27.90m
  • Website: https://www.northbridgegroup.co.uk

Number of Employees


Location

  • Northbridge Industrial Services plc
  • Second Avenue
  • Centrum 100
  • Burton On Trent
  • Staffordshire
  • DE14 2WF
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NBIAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPMar 2006

Biography

Northbridge Industrial Services plc, together with its subsidiaries, engages in the manufacture, hiring, and sale of specialist industrial equipment worldwide. The company operates in two segments, Crestch ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:46
End of Day Share Price2019/10/14 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.

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