Morgan Sindall Group
Market Cap
UK£780.8m
Last Updated
2020/01/23 20:38 UTC
Data Sources
Company Financials +
Executive Summary
Morgan Sindall Group plc operates as a construction and regeneration company in the United Kingdom.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with proven track record and pays a dividend.
Similar Companies
Share Price & News
How has Morgan Sindall Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MGNS's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
1.7%
MGNS
0.7%
GB Construction
-1.1%
GB Market
1 Year Return
57.9%
MGNS
-16.7%
GB Construction
11.8%
GB Market
Return vs Industry: MGNS exceeded the UK Construction industry which returned -15.6% over the past year.
Return vs Market: MGNS exceeded the UK Market which returned 12.7% over the past year.
Shareholder returns
| MGNS | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.7% | 0.7% | -1.1% |
| 30 Day | 9.0% | -12.6% | -0.8% |
| 90 Day | 36.0% | 3.9% | 5.2% |
| 1 Year | 65.1%57.9% | -1.9%-16.7% | 17.7%11.8% |
| 3 Year | 137.9%112.3% | -19.2%-40.1% | 21.3%5.8% |
| 5 Year | 214.8%160.6% | -2.6%-37.8% | 40.0%7.7% |
Price Volatility Vs. Market
How volatile is Morgan Sindall Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Morgan Sindall Group plc's (LON:MGNS) Attractive Combination: Does It Earn A Place In Your Dividend Portfolio?2 weeks ago | Simply Wall St
Does Morgan Sindall Group plc (LON:MGNS) Have A Good P/E Ratio?1 month ago | Simply Wall St
Investors Who Bought Morgan Sindall Group (LON:MGNS) Shares Five Years Ago Are Now Up 162%Valuation
Is Morgan Sindall Group undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MGNS (£16.46) is trading below our estimate of fair value (£38.24)
Significantly Below Fair Value: MGNS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MGNS is poor value based on its PE Ratio (10.5x) compared to the Construction industry average (10.4x).
PE vs Market: MGNS is good value based on its PE Ratio (10.5x) compared to the UK market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: MGNS is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: MGNS is overvalued based on its PB Ratio (2.1x) compared to the GB Construction industry average (1.5x).
Next Steps
Future Growth
How is Morgan Sindall Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
4.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MGNS's forecast earnings growth (4.5% per year) is above the savings rate (0.5%).
Earnings vs Market: MGNS's earnings (4.5% per year) are forecast to grow slower than the UK market (11.7% per year).
High Growth Earnings: MGNS's earnings are forecast to grow, but not significantly.
Revenue vs Market: MGNS's revenue (2.4% per year) is forecast to grow slower than the UK market (3.6% per year).
High Growth Revenue: MGNS's revenue (2.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MGNS's Return on Equity is forecast to be low in 3 years time (18.9%).
Next Steps
Past Performance
How has Morgan Sindall Group performed over the past 5 years?
41.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MGNS has high quality earnings.
Growing Profit Margin: MGNS's current net profit margins (2.4%) are higher than last year (2%).
Past Earnings Growth Analysis
Earnings Trend: MGNS's earnings have grown significantly by 41.4% per year over the past 5 years.
Accelerating Growth: MGNS's earnings growth over the past year (21.3%) is below its 5-year average (41.4% per year).
Earnings vs Industry: MGNS earnings growth over the past year (21.3%) exceeded the Construction industry -13.7%.
Return on Equity
High ROE: MGNS's Return on Equity (19.6%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Morgan Sindall Group's financial position?
Financial Position Analysis
Short Term Liabilities: MGNS's short term assets (£986.7M) exceed its short term liabilities (£912.6M).
Long Term Liabilities: MGNS's short term assets (£986.7M) exceed its long term liabilities (£98.1M).
Debt to Equity History and Analysis
Debt Level: MGNS's debt to equity ratio (0.4%) is considered satisfactory.
Reducing Debt: MGNS's debt to equity ratio has reduced from 14.6% to 0.4% over the past 5 years.
Debt Coverage: MGNS's debt is well covered by operating cash flow (3593.8%).
Interest Coverage: MGNS's interest payments on its debt are well covered by EBIT (22.5x coverage).
Balance Sheet
Inventory Level: MGNS has a high level of physical assets or inventory.
Debt Coverage by Assets: MGNS's debt is covered by short term assets (assets are 616.7x debt).
Next Steps
Dividend
What is Morgan Sindall Group's current dividend yield, its reliability and sustainability?
3.03%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: MGNS's dividend (3.22%) is higher than the bottom 25% of dividend payers in the UK market (1.83%).
High Dividend: MGNS's dividend (3.22%) is low compared to the top 25% of dividend payers in the UK market (4.95%).
Stability and Growth of Payments
Stable Dividend: MGNS's dividend payments have been volatile in the past 10 years.
Growing Dividend: MGNS's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (35%), MGNS's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MGNS's dividends in 3 years are forecast to be well covered by earnings (37.9% payout ratio).
Next Steps
Management
What is the CEO of Morgan Sindall Group's salary, the management and board of directors tenure and is there insider trading?
7.0yrs
Average management tenure
CEO
John Morgan (63yo)
7.2yrs
Tenure
UK£2,353,000
Compensation
Mr. John Christopher Morgan Founded Morgan Sindall Group plc and has been its Chief Executive Officer since November 6, 2012. Mr. Morgan served as the Chief Executive Officer of Morgan Sindall Plc from 199 ...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD3.06M) is above average for companies of similar size in the UK market ($USD1.13M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Management Age and Tenure
7.0yrs
Average Tenure
Experienced Management: MGNS's management team is seasoned and experienced (7 years average tenure).
Board Age and Tenure
3.7yrs
Average Tenure
58.5yo
Average Age
Experienced Board: MGNS's board of directors are considered experienced (3.7 years average tenure).
Insider Trading
Insider Buying: MGNS insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Executive Officer Founder |
| Shares | 300,000 |
| Max Price | UK£13.64 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Steve Crummett (54yo)
Finance Director & Director
- Tenure: 6.9yrs
- Compensation: UK£1.87m
John Morgan (63yo)
Founder
- Tenure: 7.2yrs
- Compensation: UK£2.35m
Chris Booth
Managing Director of Fit Out
- Tenure: 7yrs
Matt Crompton
Managing Director of Urban Regeneration
Camilla Aitchison
Director of People
Les Turner
Head of Supply Chain Utility Services - Construction and Infrastructure Division
Martin Lubieniecki
Managing Director of BakerHicks (design)
Pat Boyle
Managing Director of Construction & Infrastructure’s construction Business
- Tenure: 6yrs
Helen Mason
General Counsel
Catherine Beaumont
Communications Manager
Board Members
Steve Crummett (54yo)
Finance Director & Director
- Tenure: 6.9yrs
- Compensation: UK£1.87m
Michael Findlay (51yo)
Chairman
- Tenure: 3.3yrs
- Compensation: UK£170.00k
David Lowden (62yo)
Senior Independent Director
- Tenure: 1yrs
- Compensation: UK£16.00k
John Morgan (63yo)
Founder
- Tenure: 7.2yrs
- Compensation: UK£2.35m
Malcolm Cooper (60yo)
Non-Executive Director
- Tenure: 4.2yrs
- Compensation: UK£58.00k
Tracey Killen (57yo)
Non-Executive Director
- Tenure: 2.7yrs
- Compensation: UK£46.00k
Company Information
Morgan Sindall Group plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Morgan Sindall Group plc
- Ticker: MGNS
- Exchange: LSE
- Founded: 1953
- Industry: Construction and Engineering
- Sector: Capital Goods
- Market Cap: UK£780.800m
- Shares outstanding: 44.72m
- Website: https://www.morgansindall.com
Number of Employees
Location
- Morgan Sindall Group plc
- Kent House
- 14-17 Market Place
- London
- Greater London
- W1W 8AJ
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MGNS | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| MGNSL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
Biography
Morgan Sindall Group plc operates as a construction and regeneration company in the United Kingdom. The company operates in six divisions: Construction & Infrastructure, Fit Out, Property Services, Partnership Housing, Urban Regeneration, and Investments. The Construction & Infrastructure division offers infrastructure services to highways, rail, aviation, energy, water, and nuclear markets; and construction services in education, healthcare, defence, commercial, industrial, leisure, and retail markets. This division also offers multi-disciplinary engineering and design consultancy services. The Fit Out division specializes in fit out and refurbishment projects in commercial, central, and local government offices, as well as education, and retail banking markets This division also provides office interior design and build services. The Property Services division offers planned asset management and responsive maintenance services to social housing and the public sector. The Partnership Housing division engages in the mixed-tenure development; building and developing homes for open market; sale and affordable rent; design and build contracting; and planned maintenance and refurbishment activities. The Urban Regeneration division works with landowners and public sector partners to transform the urban landscape through the development of multi-phase sites and mixed-use regeneration, including residential, commercial, retail, and leisure facilities. The Investments division provides opportunities across construction and regeneration activities. The company was incorporated in 1953 and is based in London, the United Kingdom.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/23 20:38 |
| End of Day Share Price | 2020/01/23 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.