AIM:VANL

Stock Analysis Report

Executive Summary

Van Elle Holdings plc, together with its subsidiaries, provides ground engineering services in the United Kingdom.

Snowflake

Fundamentals

Undervalued with excellent balance sheet.


Similar Companies

Share Price & News

How has Van Elle Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

VANL

1.0%

GB Construction

0.08%

GB Market


1 Year Return

-54.2%

VANL

-27.9%

GB Construction

3.5%

GB Market

Return vs Industry: VANL underperformed the UK Construction industry which returned -27.9% over the past year.

Return vs Market: VANL underperformed the UK Market which returned 3.5% over the past year.


Shareholder returns

VANLIndustryMarket
7 Day0%1.0%0.08%
30 Day4.1%0.2%-1.3%
90 Day-3.8%4.9%-2.2%
1 Year-52.3%-54.2%-25.1%-27.9%9.0%3.5%
3 Yearn/a-29.8%-39.2%18.1%3.1%
5 Yearn/a-9.4%-32.1%36.2%5.3%

Price Volatility Vs. Market

How volatile is Van Elle Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Van Elle Holdings undervalued compared to its fair value and its price relative to the market?

14.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VANL (£0.39) is trading below our estimate of fair value (£0.45)

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


Price To Earnings Ratio

PE vs Industry: VANL is good value based on its PE Ratio (9.6x) compared to the Construction industry average (9.6x).

PE vs Market: VANL is good value based on its PE Ratio (9.6x) compared to the UK market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: VANL is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: VANL is good value based on its PB Ratio (0.7x) compared to the GB Construction industry average (1.3x).


Next Steps

Future Growth

How is Van Elle Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

13.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VANL's forecast earnings growth (13.2% per year) is above the savings rate (1.2%).

Earnings vs Market: VANL's earnings (13.2% per year) are forecast to grow faster than the UK market (12.4% per year).

High Growth Earnings: VANL's earnings are forecast to grow, but not significantly.

Revenue vs Market: VANL's revenue (1.3% per year) is forecast to grow slower than the UK market (4% per year).

High Growth Revenue: VANL's revenue (1.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VANL's Return on Equity is forecast to be low in 3 years time (9.5%).


Next Steps

Past Performance

How has Van Elle Holdings performed over the past 5 years?

1.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: VANL's earnings have grown by 1.6% per year over the past 5 years.

Accelerating Growth: VANL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: VANL had negative earnings growth (-56.2%) over the past year, making it difficult to compare to the Construction industry average (-9.7%).


Return on Equity

High ROE: VANL's Return on Equity (7.6%) is considered low.


Return on Assets

ROA vs Industry: VANL's Return on Assets is below or equal to the Construction industry average last year.


Return on Capital Employed

ROCE Improving: VANL's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Van Elle Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: VANL's short term assets (£31.6M) exceeds its short term liabilities (£21.4M)

Long Term Liabilities: VANL's short term assets (31.6M) exceeds its long term liabilities (8.8M)


Debt to Equity History and Analysis

Debt Level: VANL's debt to equity ratio (2.4%) is considered satisfactory

Reducing Debt: VANL's debt to equity ratio has increased from 0.1% to 2.4% over the past 5 years.

Debt Coverage: VANL's debt is well covered by operating cash flow (764.6%).

Interest Coverage: VANL's interest payments on its debt are well covered by EBIT (8.7x coverage).


Balance Sheet

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

Debt Coverage by Assets: VANL's debt is covered by short term assets (assets are 31.873730x debt).


Next Steps

Dividend

What is Van Elle Holdings's current dividend yield, its reliability and sustainability?

5.19%

Current Dividend Yield


Dividend Yield vs Market

company5.2%marketbottom25%2.0%markettop25%5.4%industryaverage4.3%forecastin3Years5.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: VANL's dividend (5.19%) is higher than the bottom 25% of dividend payers in the UK market (1.98%).

High Dividend: VANL's dividend (5.19%) is low compared to the top 25% of dividend payers in the UK market (5.37%).

Stable Dividend: VANL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: VANL's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.8%), VANL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VANL's dividends in 3 years are forecast to be well covered by earnings (43.3% payout ratio).


Next Steps

Management

What is the CEO of Van Elle Holdings's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average board tenure


CEO

Mark Cutler (49yo)

1.2yrs

Tenure

UK£314,988

Compensation

Mr. Mark Lloyd Cutler has been Chief Executive Officer and Director of Van Elle Holdings plc since August 14, 2018. Mr. Cutler served as Member of Executive Board and Managing Director of Regeneration at K ...


CEO Compensation Analysis

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

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


Board Age and Tenure

2.8yrs

Average Tenure

55yo

Average Age

Experienced Board: VANL's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


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£13,23029 Jan 19
Adrian Barden
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares20,000
Max PriceUK£0.67

Ownership Breakdown


Management Team

  • Mark Cutler (49yo)

    CEO & Director

    • Tenure: 1.2yrs
    • Compensation: UK£314.99k
  • Jon Fenton (59yo)

    Consultant

    • Tenure: 1.4yrs
    • Compensation: UK£539.34k
  • Paul Pearson (51yo)

    CFO, Company Secretary & Executive Director

    • Tenure: 3.1yrs
    • Compensation: UK£170.00k
  • Mick Mason (50yo)

    Group Director of Health

    • Tenure: 0yrs
  • Ian Jones

    Operations Director

    • Tenure: 0yrs

Board Members

  • Adrian Barden (65yo)

    Non-Executive Chairman

    • Tenure: 2.8yrs
    • Compensation: UK£85.00k
  • Mark Cutler (49yo)

    CEO & Director

    • Tenure: 1.2yrs
    • Compensation: UK£314.99k
  • Robin George Williams (62yo)

    Senior Independent Director

    • Tenure: 2.8yrs
    • Compensation: UK£50.00k
  • David Hurcomb (55yo)

    Independent Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: UK£45.00k
  • Paul Pearson (51yo)

    CFO, Company Secretary & Executive Director

    • Tenure: 3.1yrs
    • Compensation: UK£170.00k

Company Information

Van Elle Holdings plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Van Elle Holdings plc
  • Ticker: VANL
  • Exchange: AIM
  • Founded: 1984
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Market Cap: UK£30.200m
  • Shares outstanding: 80.00m
  • Website: https://www.van-elle.co.uk

Number of Employees


Location

  • Van Elle Holdings plc
  • Kirkby Lane
  • Pinxton
  • Nottinghamshire
  • NG16 6JA
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VANLAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPOct 2016

Biography

Van Elle Holdings plc, together with its subsidiaries, provides ground engineering services in the United Kingdom. The company offers a range of services, such as auger displacement piling, cased continuou ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 21:45
End of Day Share Price2019/10/22 00:00
Earnings2019/04/30
Annual Earnings2019/04/30


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.