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GEN

Genuit GroupLSE:GEN Stock Report

Last Price

UK£6.07

Market Cap

UK£1.5b

7D

0%

1Y

15.6%

Updated

18 Jan, 2022

Data

Company Financials +
GEN fundamental analysis
Snowflake Score
Valuation0/6
Future Growth4/6
Past Performance3/6
Financial Health5/6
Dividends2/6

GEN Stock Overview

Genuit Group plc manufactures and sells piping systems, and water and climate management systems in the United Kingdom, other European countries, and internationally.

Genuit Group Competitors

Volution Group

LSE:FAN

UK£980.4m

Topps Tiles

LSE:TPT

UK£121.9m

Price History & Performance

Summary of all time highs, changes and price drops for Genuit Group
Historical stock prices
Current Share PriceUK£6.07
52 Week HighUK£8.06
52 Week LowUK£4.88
Beta0.97
1 Month Change3.76%
3 Month Change-12.16%
1 Year Change15.62%
3 Year Change57.83%
5 Year Change77.49%
Change since IPO133.24%

Recent News & Updates

Dec 22
Genuit Group's (LON:GEN) Returns On Capital Not Reflecting Well On The Business

Genuit Group's (LON:GEN) Returns On Capital Not Reflecting Well On The Business

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Ideally, a...

Nov 21
Is Genuit Group plc (LON:GEN) Expensive For A Reason? A Look At Its Intrinsic Value

Is Genuit Group plc (LON:GEN) Expensive For A Reason? A Look At Its Intrinsic Value

Does the November share price for Genuit Group plc ( LON:GEN ) reflect what it's really worth? Today, we will estimate...

Nov 08
When Should You Buy Genuit Group plc (LON:GEN)?

When Should You Buy Genuit Group plc (LON:GEN)?

Genuit Group plc ( LON:GEN ), might not be a large cap stock, but it received a lot of attention from a substantial...

Sep 28
Genuit Group (LON:GEN) Seems To Use Debt Rather Sparingly

Genuit Group (LON:GEN) Seems To Use Debt Rather Sparingly

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

GENGB BuildingGB Market
7D0%0.5%-1.0%
1Y15.6%24.7%8.3%

Return vs Industry: GEN underperformed the UK Building industry which returned 26.5% over the past year.

Return vs Market: GEN exceeded the UK Market which returned 9.4% over the past year.

Price Volatility

Is GEN's price volatile compared to industry and market?
GEN volatility
GEN Average Weekly Movement3.3%
Building Industry Average Movement4.0%
Market Average Movement5.0%
10% most volatile stocks in GB Market10.6%
10% least volatile stocks in GB Market2.5%

Stable Share Price: GEN is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: GEN's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1980n/aMartin Paynehttps://www.genuitgroup.com

Genuit Group plc manufactures and sells piping systems, and water and climate management systems in the United Kingdom, other European countries, and internationally. The company operates through two segments, Residential Systems, and Commercial and Infrastructure Systems. It offers above and below ground drainage, and rainwater drainage systems; plumbing tools and accessories, plastic plumbing fittings, and plumbing and heating pipes; underfloor heating products; and ventilation systems.

Genuit Group Fundamentals Summary

How do Genuit Group's earnings and revenue compare to its market cap?
GEN fundamental statistics
Market CapUK£1.50b
Earnings (TTM)UK£36.20m
Revenue (TTM)UK£520.60m

41.4x

P/E Ratio

2.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GEN income statement (TTM)
RevenueUK£520.60m
Cost of RevenueUK£305.80m
Gross ProfitUK£214.80m
ExpensesUK£178.60m
EarningsUK£36.20m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Mar 15, 2022

Earnings per share (EPS)0.15
Gross Margin41.26%
Net Profit Margin6.95%
Debt/Equity Ratio32.7%

How did GEN perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

57%

Payout Ratio

Valuation

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

41.42x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: GEN (£6.07) is trading above our estimate of fair value (£4.68)

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


Price To Earnings Ratio

PE vs Industry: GEN is poor value based on its PE Ratio (41.4x) compared to the UK Building industry average (14.6x).

PE vs Market: GEN is poor value based on its PE Ratio (41.4x) compared to the UK market (19.3x).


Price to Earnings Growth Ratio

PEG Ratio: GEN is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: GEN is overvalued based on its PB Ratio (2.5x) compared to the GB Building industry average (2.2x).


Future Growth

How is Genuit Group forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

20.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GEN's forecast earnings growth (20.4% per year) is above the savings rate (0.9%).

Earnings vs Market: GEN's earnings (20.4% per year) are forecast to grow faster than the UK market (12.1% per year).

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

Revenue vs Market: GEN's revenue (6.2% per year) is forecast to grow faster than the UK market (4.9% per year).

High Growth Revenue: GEN's revenue (6.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GEN's Return on Equity is forecast to be low in 3 years time (11.6%).


Past Performance

How has Genuit Group performed over the past 5 years?

-8.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GEN has high quality earnings.

Growing Profit Margin: GEN's current net profit margins (7%) are higher than last year (6.4%).


Past Earnings Growth Analysis

Earnings Trend: GEN's earnings have declined by 8% per year over the past 5 years.

Accelerating Growth: GEN's earnings growth over the past year (43.1%) exceeds its 5-year average (-8% per year).

Earnings vs Industry: GEN earnings growth over the past year (43.1%) underperformed the Building industry 156.9%.


Return on Equity

High ROE: GEN's Return on Equity (6%) is considered low.


Financial Health

How is Genuit Group's financial position?


Financial Position Analysis

Short Term Liabilities: GEN's short term assets (£192.6M) exceed its short term liabilities (£135.0M).

Long Term Liabilities: GEN's short term assets (£192.6M) do not cover its long term liabilities (£265.6M).


Debt to Equity History and Analysis

Debt Level: GEN's net debt to equity ratio (28.1%) is considered satisfactory.

Reducing Debt: GEN's debt to equity ratio has reduced from 82.8% to 32.7% over the past 5 years.

Debt Coverage: GEN's debt is well covered by operating cash flow (48%).

Interest Coverage: GEN's interest payments on its debt are well covered by EBIT (24.1x coverage).


Balance Sheet


Dividend

What is Genuit Group current dividend yield, its reliability and sustainability?

1.32%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GEN's dividend (1.32%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.39%).

High Dividend: GEN's dividend (1.32%) is low compared to the top 25% of dividend payers in the UK market (4.05%).


Stability and Growth of Payments

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

Growing Dividend: GEN's dividend payments have increased, but the company has only paid a dividend for 7 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (57.2%), GEN's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GEN's dividends in 3 years are forecast to be well covered by earnings (38.7% payout ratio).


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Martin Payne (55 yo)

4.25yrs

Tenure

UK£693,000

Compensation

Mr. Martin K. Payne serves as Non-Executive Director at Stelrad Group PLC since November 10, 2021. He has been Chief Executive Officer of Genuit Group plc (formerly known as Polypipe Group plc) since Octob...


CEO Compensation Analysis

Compensation vs Market: Martin's total compensation ($USD941.14K) is below average for companies of similar size in the UK market ($USD1.56M).

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


Leadership Team

Experienced Management: GEN's management team is considered experienced (4.3 years average tenure).


Board Members

Experienced Board: GEN's board of directors are considered experienced (3.6 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 8.4%.


Top Shareholders

Company Information

Genuit Group plc's employee growth, exchange listings and data sources


Key Information

  • Name: Genuit Group plc
  • Ticker: GEN
  • Exchange: LSE
  • Founded: 1980
  • Industry: Building Products
  • Sector: Capital Goods
  • Implied Market Cap: UK£1.500b
  • Shares outstanding: 247.04m
  • Website: https://www.genuitgroup.com

Number of Employees


Location

  • Genuit Group plc
  • Broomhouse Lane
  • Edlington
  • Doncaster
  • South Yorkshire
  • DN12 1ES
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/18 21:15
End of Day Share Price2022/01/18 00:00
Earnings2021/06/30
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.