Weir Group
- Home ›
- GB ›
- Capital Goods
The Weir Group PLC designs, manufactures, and sells highly-engineered products and services worldwide. The last earnings update was 119 days ago. More info.
Add to Portfolio Compare Print
WEIR Share Price and Events
7 Day Returns
1 Year Returns
WEIR Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Weir Group (WEIR) | -2.1% | 1.2% | -17.3% | -26.7% | -1.6% | -45.7% |
| GB Machinery | 0.4% | 1.5% | -3% | -6.3% | 35.5% | 4.5% |
| GB Market | 0.6% | 2.3% | 0.7% | -1.1% | 12.3% | 7.2% |
1 Year Return vs Industry and Market
- WEIR underperformed the Machinery industry which returned -6.3% over the past year.
- WEIR underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -1.1% over the past year.
WEIR Value
Is Weir Group undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Weir Group
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Weir Group.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 18 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9.7% |
| Perpetual Growth Rate | 10-Year GB Government Bond Rate | 1.2% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year GB Govt Bond Rate | 1.2% |
| Equity Risk Premium | S&P Global | 6.7% |
| Machinery Unlevered Beta | Simply Wall St/ S&P Global | 1.09 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.087 (1 + (1- 19%) (36.93%)) |
1.276 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.28 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.276 * 6.65%) |
9.72% |
Discounted Cash Flow Calculation for LSE:WEIR using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Weir Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (GBP, Millions) | Source |
Present Value Discounted (@ 9.72%) |
|
|---|---|---|---|
| 2020 | 255.61 | Analyst x10 | 232.97 |
| 2021 | 290.79 | Analyst x7 | 241.57 |
| 2022 | 318.08 | Est @ 9.39% | 240.85 |
| 2023 | 340.16 | Est @ 6.94% | 234.75 |
| 2024 | 357.93 | Est @ 5.23% | 225.15 |
| 2025 | 372.34 | Est @ 4.03% | 213.47 |
| 2026 | 384.21 | Est @ 3.19% | 200.77 |
| 2027 | 394.19 | Est @ 2.6% | 187.75 |
| 2028 | 402.81 | Est @ 2.19% | 174.86 |
| 2029 | 410.46 | Est @ 1.9% | 162.41 |
| Present value of next 10 years cash flows | £2,114.54 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2029
× (1 + g) ÷ (Discount Rate – g)
= £410.46 × (1 + 1.23%) ÷ (9.72% – 1.23%) |
£4,894.98 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= £4,894.98 ÷ (1 + 9.72%)10 |
£1,936.79 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= £2,114.54 + £1,936.79 |
£4,051.33 |
| Equity Value per Share (GBP) |
= Total value / Shares Outstanding
= £4,051.33 / 258.97 |
£15.64 |
| Calculation | Result | |
|---|---|---|
| Value per share (GBP) | From above. | £15.64 |
| Current discount | Discount to share price of
£14.68
= -1 x (£14.68 - £15.64) / £15.64 |
6.2% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Weir Group's share price is below the future cash flow value, but not at a moderate discount (< 20%).
- Weir Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Weir Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Weir Group's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in GBP | £0.22 |
| LSE:WEIR Share Price ** | LSE (2019-07-17) in GBP | £14.68 |
| United Kingdom of Great Britain and Northern Ireland Machinery Industry PE Ratio | Median Figure of 21 Publicly-Listed Machinery Companies | 17.92x |
| United Kingdom of Great Britain and Northern Ireland Market PE Ratio | Median Figure of 790 Publicly-Listed Companies | 16.51x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Weir Group.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = LSE:WEIR Share Price ÷ EPS (both in GBP) = 14.68 ÷ 0.22 |
67.59x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Weir Group is overvalued based on earnings compared to the GB Machinery industry average.
- Weir Group is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does
Weir Group's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 67.59x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts |
27.8%per year |
| United Kingdom of Great Britain and Northern Ireland Machinery Industry PEG Ratio | Median Figure of 14 Publicly-Listed Machinery Companies | 2.51x |
| United Kingdom of Great Britain and Northern Ireland Market PEG Ratio | Median Figure of 573 Publicly-Listed Companies | 1.48x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 67.59x ÷ 27.8% |
2.43x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Weir Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Weir Group's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in GBP | £8.27 |
| LSE:WEIR Share Price * | LSE (2019-07-17) in GBP | £14.68 |
| United Kingdom of Great Britain and Northern Ireland Machinery Industry PB Ratio | Median Figure of 24 Publicly-Listed Machinery Companies | 1.91x |
| United Kingdom of Great Britain and Northern Ireland Market PB Ratio | Median Figure of 1,377 Publicly-Listed Companies | 1.52x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = LSE:WEIR Share Price ÷ Book Value per Share (both in GBP) = 14.68 ÷ 8.27 |
1.78x |
* Primary Listing of Weir Group.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Weir Group is good value based on assets compared to the GB Machinery industry average.
Value checks
We assess Weir Group's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check) Weir Group has a total score of 1/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
WEIR Future Performance
How is Weir Group expected to perform in the next 1 to 3 years based on estimates from 18 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Weir Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
- Weir Group's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
- Weir Group's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| LSE:WEIR Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts | 27.8% |
| LSE:WEIR Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 18 Analysts | 8.1% |
| United Kingdom of Great Britain and Northern Ireland Machinery Industry Earnings Growth Rate | Market Cap Weighted Average | 7.5% |
| United Kingdom of Great Britain and Northern Ireland Machinery Industry Revenue Growth Rate | Market Cap Weighted Average | 4.8% |
| United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate | Market Cap Weighted Average | 11% |
| United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate | Market Cap Weighted Average | 4.8% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (6 months ago) | See Below |
| Future Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
| Date (Data in GBP Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 3,707 | 510 | 360 | 1 |
| 2022-12-31 | 3,458 | 467 | 318 | 2 |
| 2021-12-31 | 3,239 | 482 | 290 | 14 |
| 2020-12-31 | 3,011 | 413 | 244 | 18 |
| 2019-12-31 | 2,802 | 385 | 192 | 18 |
| Date (Data in GBP Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 2,450 | 218 | 53 |
| 2018-09-30 | 2,287 | 198 | 119 |
| 2018-06-30 | 2,495 | 177 | 162 |
| 2018-03-31 | 2,426 | 153 | 162 |
| 2017-12-31 | 1,986 | 128 | 185 |
| 2017-09-30 | 1,943 | 142 | 133 |
| 2017-06-30 | 1,901 | 156 | 81 |
| 2017-03-31 | 1,873 | 186 | 62 |
| 2016-12-31 | 1,845 | 216 | 43 |
| 2016-09-30 | 1,805 | 235 | -63 |
| 2016-06-30 | 1,765 | 254 | -170 |
| 2016-03-31 | 1,822 | 282 | -163 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (6 months ago) | See Below |
| Future Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
All data from Weir Group Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in GBP Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 1.39 | 1.39 | 1.39 | 1.00 |
| 2022-12-31 | 1.23 | 1.23 | 1.23 | 1.00 |
| 2021-12-31 | 1.13 | 1.32 | 0.99 | 9.00 |
| 2020-12-31 | 0.95 | 1.06 | 0.86 | 10.00 |
| 2019-12-31 | 0.76 | 0.85 | 0.65 | 10.00 |
| Date (Data in GBP Millions) | EPS * |
|---|---|
| 2018-12-31 | 0.22 |
| 2018-09-30 | 0.51 |
| 2018-06-30 | 0.72 |
| 2018-03-31 | 0.73 |
| 2017-12-31 | 0.84 |
| 2017-09-30 | 0.61 |
| 2017-06-30 | 0.37 |
| 2017-03-31 | 0.29 |
| 2016-12-31 | 0.20 |
| 2016-09-30 | -0.30 |
| 2016-06-30 | -0.79 |
| 2016-03-31 | -0.76 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Weir Group's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Weir Group has a total score of 4/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
WEIR Past Performance
How has Weir Group performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Weir Group's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
- Weir Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Weir Group's 1-year earnings growth is negative, it can't be compared to the GB Machinery industry average.
Earnings and Revenue History
All data from Weir Group Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in GBP Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 2,449.90 | 53.00 | 481.70 | |
| 2018-09-30 | 2,287.45 | 119.10 | 440.50 | |
| 2018-06-30 | 2,495.30 | 162.30 | 472.20 | |
| 2018-03-31 | 2,425.60 | 162.00 | 468.45 | |
| 2017-12-31 | 1,985.60 | 184.60 | 391.80 | |
| 2017-09-30 | 1,943.35 | 132.60 | 396.55 | |
| 2017-06-30 | 1,901.10 | 80.60 | 401.30 | |
| 2017-03-31 | 1,873.00 | 61.95 | 403.15 | |
| 2016-12-31 | 1,844.90 | 43.30 | 405.00 | |
| 2016-09-30 | 1,804.75 | -63.45 | 495.55 | |
| 2016-06-30 | 1,764.60 | -170.20 | 586.10 | |
| 2016-03-31 | 1,822.20 | -163.25 | 490.45 | |
| 2016-01-01 | 1,879.80 | -156.30 | 394.80 | |
| 2015-10-01 | 2,077.80 | -80.25 | 425.95 | |
| 2015-07-03 | 2,275.80 | -4.20 | 457.10 | |
| 2015-04-03 | 2,357.00 | 33.95 | 457.10 | |
| 2015-01-02 | 2,438.20 | 72.10 | 457.10 | |
| 2014-10-02 | 2,406.80 | 200.15 | 460.95 | |
| 2014-07-04 | 2,375.40 | 328.20 | 464.80 | |
| 2014-04-04 | 2,402.60 | 331.55 | 464.90 | |
| 2014-01-03 | 2,429.80 | 334.90 | 465.00 | |
| 2013-10-03 | 2,420.75 | 310.55 | 463.95 | |
| 2013-06-28 | 2,411.70 | 286.20 | 462.90 | |
| 2013-03-28 | 2,475.00 | 297.95 | 463.00 | |
| 2012-12-28 | 2,538.30 | 309.70 | 463.10 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Weir Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Weir Group used its assets less efficiently than the GB Machinery industry average last year based on Return on Assets.
- Weir Group has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Weir Group's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Weir Group has a total score of 1/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
WEIR Health
How is Weir Group's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Weir Group's finances.
The net worth of a company is the difference between its assets and liabilities.
- Weir Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Weir Group's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is covered by short term assets, assets are 1.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Weir Group Company Filings, last reported 6 months ago.
| Date (Data in GBP Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 2,148.90 | 1,400.90 | 263.00 |
| 2018-09-30 | 2,148.90 | 1,400.90 | 263.00 |
| 2018-06-30 | 1,872.70 | 1,201.00 | 640.60 |
| 2018-03-31 | 1,872.70 | 1,201.00 | 640.60 |
| 2017-12-31 | 1,468.70 | 1,126.80 | 284.60 |
| 2017-09-30 | 1,468.70 | 1,126.80 | 284.60 |
| 2017-06-30 | 1,329.80 | 1,135.00 | 266.00 |
| 2017-03-31 | 1,329.80 | 1,135.00 | 266.00 |
| 2016-12-31 | 1,383.60 | 1,092.30 | 258.60 |
| 2016-09-30 | 1,383.60 | 1,092.30 | 258.60 |
| 2016-06-30 | 1,315.60 | 1,064.40 | 211.00 |
| 2016-03-31 | 1,315.60 | 1,064.40 | 211.00 |
| 2016-01-01 | 1,197.80 | 1,008.70 | 184.00 |
| 2015-10-01 | 1,197.80 | 1,008.70 | 184.00 |
| 2015-07-03 | 1,400.20 | 1,050.20 | 233.50 |
| 2015-04-03 | 1,400.20 | 1,050.20 | 233.50 |
| 2015-01-02 | 1,482.20 | 1,039.10 | 178.70 |
| 2014-10-02 | 1,482.20 | 1,039.10 | 178.70 |
| 2014-07-04 | 1,472.80 | 833.80 | 82.60 |
| 2014-04-04 | 1,472.80 | 833.80 | 82.60 |
| 2014-01-03 | 1,486.70 | 825.60 | 79.10 |
| 2013-10-03 | 1,486.70 | 825.60 | 79.10 |
| 2013-06-28 | 1,418.00 | 1,028.50 | 78.50 |
| 2013-03-28 | 1,418.00 | 1,028.50 | 78.50 |
| 2012-12-28 | 1,310.30 | 1,079.30 | 391.10 |
- Weir Group's level of debt (65.3%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (55.6% vs 65.3% today).
- Debt is not well covered by operating cash flow (15.5%, less than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 8.6x coverage).
Financial health checks
We assess Weir Group's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Weir Group has a total score of 3/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
WEIR Dividends
What is Weir Group's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
£2,000 of
Weir Group
shares you are expected to receive
£63
in your first year as a dividend.
Dividend Amount
- Weir Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.94%).
- Weir Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.43%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 18 Analyst Estimates (S&P Global) | See Below |
| United Kingdom of Great Britain and Northern Ireland Machinery Industry Average Dividend Yield | Market Cap Weighted Average of 19 Stocks | 2.7% |
| United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield | Market Cap Weighted Average of 706 Stocks | 4.2% |
| United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield | 10th Percentile | 1% |
| United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield | 25th Percentile | 1.9% |
| United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield | 75th Percentile | 5.4% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in £) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | 0.56 | 1.00 |
| 2022-12-31 | 0.54 | 2.00 |
| 2021-12-31 | 0.54 | 13.00 |
| 2020-12-31 | 0.50 | 19.00 |
| 2019-12-31 | 0.48 | 19.00 |
| Date (Data in £) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-02-27 | 0.462 | 2.920 |
| 2018-05-03 | 0.440 | 2.614 |
| 2017-03-13 | 0.440 | 2.257 |
| 2017-02-22 | 0.440 | 2.352 |
| 2016-07-28 | 0.440 | 2.531 |
| 2016-04-05 | 0.440 | 3.509 |
| 2016-02-24 | 0.440 | 4.256 |
| 2015-03-20 | 0.440 | 3.456 |
| 2015-02-25 | 0.440 | 2.487 |
| 2014-03-21 | 0.420 | 1.853 |
| 2014-02-26 | 0.420 | 1.679 |
| 2013-03-25 | 0.380 | 1.719 |
| 2013-02-27 | 0.380 | 1.600 |
| 2012-07-31 | 0.338 | 1.847 |
| 2012-02-29 | 0.330 | 2.022 |
| 2011-04-01 | 0.270 | 1.416 |
| 2010-04-07 | 0.210 | 1.579 |
| 2010-03-09 | 0.210 | 2.229 |
| 2009-08-04 | 0.187 | 2.621 |
| 2009-03-10 | 0.185 | 3.900 |
| 2008-08-12 | 0.170 | 4.166 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Weir Group's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are not well covered by earnings (0.5x coverage).
- Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).
Income/ dividend checks
We assess Weir Group's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Weir Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Weir Group has a total score of 4/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
WEIR Management
CEO
| COMPENSATION | £2,270,494 |
| AGE | 52 |
| TENURE AS CEO | 2.8 years |
CEO Bio
Mr. Jonathan Stanton, also known as Jon, has been the Chief Executive Officer of The Weir Group PLC since October 1, 2016 and served as its Group Finance Director from April 2010 to October 3, 2016. He serves as Non-Executive Director at Imperial Brands PLC since May 08, 2019. Mr. Stanton served as a Partner in the London office since 2001 with lead responsibility for the audit of a number of FTSE 100 multinational clients, including Invensys, Hanson and InterContinental Hotels Group. He joined The Weir Group PLC from Ernst & Young, where he joined as a graduate trainee in their Birmingham office in 1988. He has significant corporate finance experience, including mergers and acquisitions and has been involved in a number of restructuring and business process improvement projects. He has extensive international experience including two years based in Ernst &Young's Detroit office. Mr. Stanton has been a Director of The Weir Group PLC since April 19, 2010. He is a Chartered Accountant and a Member of the Institute of Chartered Accountants in England and Wales.
CEO Compensation
- Jon's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
- Jon's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure
Average tenure and age of the Weir Group management team in years:
- The tenure for the Weir Group management team is about average.
Management Team
Jon Stanton
CEO & Director
£2M
52
2.8 yrs
John Heasley
CFO & Director
£1M
44
2.8 yrs
Geetha Dabir
Chief Technology Officer
2.3 yrs
Stephen Christie
Head of Investor Relations
4.9 yrs
Graham Vanhegan
Company Secretary & Chief Legal Officer
1.3 yrs
Raymond Buchanan
Head of Communications & Public Affairs
5.8 yrs
Rosemary McGinness
Chief People Officer
2 yrs
David Kyles
Head of Internal Audit
3.6 yrs
Jon Owens
President of the ESCO Division
1 yrs
Paul Coppinger
President of Oil & Gas Division
57
4.5 yrs
Board of Directors Tenure
Average tenure and age of the Weir Group board of directors in years:
- The tenure for the Weir Group board of directors is about average.
Board of Directors
Charles Berry
Chairman
£307K
67
5.5 yrs
Jon Stanton
CEO & Director
£2M
52
9.3 yrs
John Heasley
CFO & Director
£1M
44
2.8 yrs
Clare Chapman
Non-Executive Director
£77K
59
1.9 yrs
Stephen Young
Non-Executive Director
£71K
63
1.5 yrs
Rick Menell
Senior Independent Director
£74K
64
4.4 yrs
Mary Jacobi
Non-Executive Director
£62K
67
5.5 yrs
Jim McDonald
Non-Executive Director & Member of Technology Advisory Board
£61K
62
4.5 yrs
Jackie Mutschler
Member of Technology Advisory Board
4.5 yrs
Tony Hooley
Member of Technology Advisory Board
4.5 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (£) | Value (£) | |
|---|---|---|---|---|---|---|---|---|---|---|
Management checks
We assess Weir Group's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Weir Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
WEIR News
Simply Wall St News
Do Directors Own The Weir Group PLC (LON:WEIR) Shares?
Check out our latest analysis for Weir Group LSE:WEIR Ownership Summary, July 17th 2019 What Does The Institutional Ownership Tell Us About Weir Group? … Insider Ownership Of Weir Group The definition of company insiders can be subjective, and does vary between jurisdictions. … It is good to see board members owning shares, but it might be worth checking if those insiders have been buying.
Simply Wall St - – Full articleWhy The Weir Group PLC's (LON:WEIR) High P/E Ratio Isn't Necessarily A Bad Thing
The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Weir Group: P/E of 70.31 = £15.27 ÷ £0.22 (Based on the trailing twelve months to December 2018.) Is A High Price-to-Earnings Ratio Good? … Weir Group's earnings per share fell by 74% in the last twelve months. … The Verdict On Weir Group's P/E Ratio Weir Group's P/E is 70.3 which suggests the market is more focussed on the future opportunity rather than the current level of earnings.
Simply Wall St - – Full articleVolatility 101: Should Weir Group (LON:WEIR) Shares Have Dropped 45%?
We also note that the stock has performed poorly over the last year, with the share price down 27%. … During five years of share price growth, Weir Group moved from a loss to profitability. … As it happens, Weir Group's TSR for the last 5 years was -38%, which exceeds the share price return mentioned earlier.
Simply Wall St - – Full articleWhat Investors Should Know About The Weir Group PLC's (LON:WEIR) Financial Strength
Does WEIR Produce Much Cash Relative To Its Debt? … Additionally, WEIR has produced UK£218m in operating cash flow during the same period of time, leading to an operating cash to total debt ratio of 16%, indicating that WEIR’s debt is not covered by operating cash. … I suggest you continue to research Weir Group to get a more holistic view of the small-cap by looking at: Future Outlook: What are well-informed industry analysts predicting for WEIR’s future growth?
Simply Wall St - – Full articleShould The Weir Group PLC (LON:WEIR) Focus On Improving This Fundamental Metric?
View our latest analysis for Weir Group How Do I Calculate Return On Equity? … The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Weir Group: 2.5% = UK£53m ÷ UK£2.1b (Based on the trailing twelve months to December 2018.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Combining Weir Group's Debt And Its 2.5% Return On Equity Although Weir Group does use debt, its debt to equity ratio of 0.65 is still low.
Simply Wall St - – Full articleAre The Weir Group PLC's (LON:WEIR) Interest Costs Too High?
View our latest analysis for Weir Group WEIR’s Debt (And Cash Flows) Over the past year, WEIR has ramped up its debt from UK£1.1b to UK£1.4b , which includes long-term debt. … Moreover, WEIR has produced UK£218m in operating cash flow over the same time period, leading to an operating cash to total debt ratio of 16%, signalling that WEIR’s debt is not covered by operating cash. … I suggest you continue to research Weir Group to get a more holistic view of the mid-cap by looking at: Future Outlook: What are well-informed industry analysts predicting for WEIR’s future growth?
Simply Wall St - – Full articleWhy You Should Care About The Weir Group PLC’s (LON:WEIR) Low Return On Capital
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Simply Wall St - – Full articleThe Weir Group PLC (LON:WEIR) Has Attractive Fundamentals
I've been keeping an eye on The Weir Group PLC (LON:WEIR) because I'm attracted to its fundamentals. … Looking at the company as a whole, as a potential stock investment, I believe WEIR has a lot to offer.
Simply Wall St - – Full articleWhat Is The Weir Group PLC's (LON:WEIR) Share Price Doing?
The Weir Group PLC (LON:WEIR), which is in the machinery business, and is based in United Kingdom,. … As a mid-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Today I will analyse the most recent data on Weir Group’s outlook and valuation to see if the opportunity still exists
Simply Wall St - – Full articleIs The Weir Group PLC's (LON:WEIR) CEO Overpaid Relative To Its Peers?
This analysis aims first to contrast CEO compensation with other companies that have similar market capitalization. … According to our data, The Weir Group PLC has a market capitalization of UK£4.2b, and pays its CEO total annual compensation worth UK£1.4m. … We looked at a group of companies with market capitalizations from UK£3.1b to UK£9.2b, and the median CEO total compensation was UK£2.5m.
Simply Wall St - – Full articleWEIR Company Info
Description
The Weir Group PLC designs, manufactures, and sells highly-engineered products and services worldwide. It operates through three segments: Minerals, ESCO, and Oil & Gas. The Minerals segment offers slurry handling equipment and associated aftermarket support services for abrasive high-wear applications used in the mining and oil sands markets. The ESCO segment provides ground engaging tools for surface mining and infrastructure. The Oil & Gas segment offers products and service solutions to upstream, production, transportation, and related industries. The company offers its products under the Allen Steam Turbines, Aspir, Atwood & Morrill, AutoTork, Batley Valve, BDK, Begemann, Blakeborough, Cavex, Delta Industrial, Enduron, Floway, FusionCast, Gabbioneta, GEHO, Gemex, Hazleton, Hopkinsons, Hydrau-Flo, Isogate, Lewis, Linatex, Mathena, Multiflo, Novatech, Roto-Jet, Sarasin-RSBD, Seaboard, SEBIM, SPM, Stampede, Synertrex, Tricentric, Trio, Vulco, Warman, WEMCO, and WSP brand names. The Weir Group PLC was founded in 1871 and is headquartered in Glasgow, the United Kingdom.
Details
| Name: | The Weir Group PLC |
| WEIR | |
| Exchange: | LSE |
| Founded: | 1871 |
| £3,800,449,789 | |
| 258,974,432 | |
| Website: | http://www.global.weir |
| Address: |
The Weir Group PLC 1 West Regent Street, Glasgow, G2 1RW, United Kingdom |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| LSE | WEIR | Ordinary Shares | London Stock Exchange | GB | GBP | 29. Jun 1993 | |
| OTCPK | WEIG.F | Ordinary Shares | Pink Sheets LLC | US | USD | 29. Jun 1993 | |
| DB | 42W | Ordinary Shares | Deutsche Boerse AG | DE | EUR | 29. Jun 1993 | |
| BMV | WEIR N | Ordinary Shares | Bolsa Mexicana de Valores | MX | MXN | 29. Jun 1993 | |
| BATS-CHIXE | WEIRL | Ordinary Shares | BATS 'Chi-X Europe' | GB | GBP | 29. Jun 1993 | |
| OTCPK | WEGR.Y | SPONSORED ADR | Pink Sheets LLC | US | USD | 30. Jan 2012 |
Number of employees
Current staff
Industry
| Industrial Machinery | |
| Capital Goods |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/07/17 20:35 |
| End of day share price update: | 2019/07/17 00:00 |
| Last estimates confirmation: | 2019/07/17 |
| Last earnings filing: | 2019/03/20 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
