Rolls-Royce Holdings plc operates as an industrial technology company in the United Kingdom and internationally. More Details
Reasonable growth potential and slightly overvalued.
Share Price & News
How has Rolls-Royce Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RR. is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: RR.'s weekly volatility has decreased from 16% to 7% over the past year.
7 Day Return
GB Aerospace & Defense
1 Year Return
GB Aerospace & Defense
Return vs Industry: RR. underperformed the UK Aerospace & Defense industry which returned 10.7% over the past year.
Return vs Market: RR. underperformed the UK Market which returned 22.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Rolls-Royce Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StRolls-Royce Holdings plc (LON:RR.) Shares Could Be 48% Below Their Intrinsic Value Estimate
2 months ago | Simply Wall StRolls-Royce Holdings plc (LON:RR.) Released Earnings Last Week And Analysts Lifted Their Price Target To UK£0.93
2 months ago | Simply Wall StHere's What Rolls-Royce Holdings plc's (LON:RR.) Shareholder Ownership Structure Looks Like
Is Rolls-Royce Holdings undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RR. (£1.03) is trading below our estimate of fair value (£2.87)
Significantly Below Fair Value: RR. is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RR. is unprofitable, so we can't compare its PE Ratio to the UK Aerospace & Defense industry average.
PE vs Market: RR. is unprofitable, so we can't compare its PE Ratio to the UK market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate RR.'s PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: RR. has negative assets, so we can't compare its PB Ratio to the GB Aerospace & Defense industry average.
How is Rolls-Royce Holdings forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RR. is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.9%).
Earnings vs Market: RR. is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: RR.'s is expected to become profitable in the next 3 years.
Revenue vs Market: RR.'s revenue (5.6% per year) is forecast to grow faster than the UK market (5.3% per year).
High Growth Revenue: RR.'s revenue (5.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if RR.'s Return on Equity is forecast to be high in 3 years time
How has Rolls-Royce Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RR. is currently unprofitable.
Growing Profit Margin: RR. is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: RR. is unprofitable, and losses have increased over the past 5 years at a rate of 23.6% per year.
Accelerating Growth: Unable to compare RR.'s earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: RR. is unprofitable, making it difficult to compare its past year earnings growth to the Aerospace & Defense industry (3.3%).
Return on Equity
High ROE: RR.'s liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
How is Rolls-Royce Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: RR. has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: RR. has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: RR. has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: RR.'s has negative shareholder equity, so we do not need to check if its debt has reduced over time.
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: RR. has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: Insufficient data to determine if RR. has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.
What is Rolls-Royce Holdings's current dividend yield, its reliability and sustainability?
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RR.'s dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate RR.'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 RR.'s dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RR.'s dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: RR. is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RR.'s dividend in 3 years as they are not forecast to pay a notable one for the UK market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Warren East (59 yo)
Mr. Warren D.A. East, CBE, has been the Chief Executive Officer of Rolls-Royce Holdings plc since July 1, 2015. He is a Member of Supervisory Board at ASML Holding N.V. since April 22, 2020. Mr. East serve...
CEO Compensation Analysis
Compensation vs Market: Warren's total compensation ($USD1.57M) is below average for companies of similar size in the UK market ($USD3.66M).
Compensation vs Earnings: Warren's compensation has been consistent with company performance over the past year.
Experienced Management: RR.'s management team is seasoned and experienced (5.6 years average tenure).
Experienced Board: RR.'s board of directors are considered experienced (7.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: RR. insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 334.1%.
Rolls-Royce Holdings plc's company bio, employee growth, exchange listings and data sources
- Name: Rolls-Royce Holdings plc
- Ticker: RR.
- Exchange: LSE
- Founded: 1884
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: UK£8.576b
- Shares outstanding: 8.33b
- Website: https://www.rolls-royce.com
Number of Employees
- Rolls-Royce Holdings plc
- Kings Place
- 90 York Way
- Greater London
- N1 9FX
- United Kingdom
Rolls-Royce Holdings plc operates as an industrial technology company in the United Kingdom and internationally. The company operates in four segments: Civil Aerospace, Power Systems, Defence, and ITP Aero...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/05/18 00:31|
|End of Day Share Price||2021/05/17 00:00|
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.