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CPP

CPPGroupAIM:CPP Stock Report

Market Cap

UK£34.2m

7D

-0.5%

1Y

29.0%

Updated

30 Nov, 2021

Data

Company Financials +
CPP fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance0/6
Financial Health6/6
Dividends1/6

CPP Stock Overview

CPPGroup Plc engages in the provision of assistance products in the United Kingdom, India, Spain, and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for CPPGroup
Historical stock prices
Current Share PriceUK£3.83
52 Week HighUK£5.85
52 Week LowUK£2.86
Beta1.31
1 Month Change-6.59%
3 Month Change-17.46%
1 Year Change28.96%
3 Year Change-43.05%
5 Year Change-56.85%
Change since IPO-98.53%

Recent News & Updates

Apr 29
Returns On Capital Signal Tricky Times Ahead For CPPGroup (LON:CPP)

Returns On Capital Signal Tricky Times Ahead For CPPGroup (LON:CPP)

What trends should we look for it we want to identify stocks that can multiply in value over the long term? Firstly...

Shareholder Returns

CPPGB Commercial ServicesGB Market
7D-0.5%-1.7%-2.6%
1Y29.0%20.9%10.9%

Return vs Industry: CPP exceeded the UK Commercial Services industry which returned 22.3% over the past year.

Return vs Market: CPP exceeded the UK Market which returned 13.8% over the past year.

Price Volatility

Is CPP's price volatile compared to industry and market?
CPP volatility
CPP Average Weekly Movement4.2%
Commercial Services Industry Average Movement4.6%
Market Average Movement4.9%
10% most volatile stocks in GB Market9.8%
10% least volatile stocks in GB Market2.5%

Stable Share Price: CPP is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CPP's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19802,041Jason Walshhttps://international.cppgroup.com

CPPGroup Plc engages in the provision of assistance products in the United Kingdom, India, Spain, and internationally. It sources, creates, distributes, and manages a range of insurance and assistance related products and services, including card protection; identity and cyber risks protection; phone insurance, mobile payment insurance, and virus protection; extended warranty; health and wellbeing; and travel disruption and auto covers, as well as business process management services. The company was founded in 1980 and is headquartered in Leeds, the United Kingdom.

CPPGroup Fundamentals Summary

How do CPPGroup's earnings and revenue compare to its market cap?
CPP fundamental statistics
Market CapUK£34.18m
Earnings (TTM)-UK£2.50m
Revenue (TTM)UK£147.33m

0.2x

P/S Ratio

-13.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CPP income statement (TTM)
RevenueUK£147.33m
Cost of RevenueUK£111.04m
Gross ProfitUK£36.29m
ExpensesUK£38.79m
Earnings-UK£2.50m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.28
Gross Margin24.63%
Net Profit Margin-1.69%
Debt/Equity Ratio-0.5%

How did CPP perform over the long term?

See historical performance and comparison

Dividends

2.6%

Current Dividend Yield

-105%

Payout Ratio

Valuation

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

44.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CPP (£3.83) is trading below our estimate of fair value (£6.93)

Significantly Below Fair Value: CPP is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: CPP is unprofitable, so we can't compare its PE Ratio to the UK Commercial Services industry average.

PE vs Market: CPP 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 CPP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CPP is overvalued based on its PB Ratio (2.6x) compared to the GB Commercial Services industry average (2.4x).


Future Growth

How is CPPGroup forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

6.1%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if CPP's forecast earnings growth is above the savings rate (0.9%).

Earnings vs Market: Insufficient data to determine if CPP's earnings are forecast to grow faster than the UK market

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

Revenue vs Market: CPP's revenue (6.1% per year) is forecast to grow faster than the UK market (4.9% per year).

High Growth Revenue: CPP's revenue (6.1% 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 CPP's Return on Equity is forecast to be high in 3 years time


Past Performance

How has CPPGroup performed over the past 5 years?

-56.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CPP is currently unprofitable.

Growing Profit Margin: CPP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CPP is unprofitable, and losses have increased over the past 5 years at a rate of 56.8% per year.

Accelerating Growth: Unable to compare CPP's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CPP is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (29.3%).


Return on Equity

High ROE: CPP has a negative Return on Equity (-15.14%), as it is currently unprofitable.


Financial Health

How is CPPGroup's financial position?


Financial Position Analysis

Short Term Liabilities: CPP's short term assets (£36.6M) exceed its short term liabilities (£27.8M).

Long Term Liabilities: CPP's short term assets (£36.6M) exceed its long term liabilities (£6.7M).


Debt to Equity History and Analysis

Debt Level: CPP is debt free.

Reducing Debt: CPP has no debt compared to 5 years ago when its debt to equity ratio was 28.9%.

Debt Coverage: CPP has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: CPP has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is CPPGroup current dividend yield, its reliability and sustainability?

2.61%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CPP's dividend (2.61%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: CPP's dividend (2.61%) is low compared to the top 25% of dividend payers in the UK market (4.17%).


Stability and Growth of Payments

Stable Dividend: CPP's dividend payments have been volatile in the past 10 years.

Growing Dividend: CPP's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: CPP is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: CPP's dividends in 3 years are not forecast to be well covered by earnings (414% payout ratio).


Next Steps

Management

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

5.5yrs

Average management tenure


CEO

Jason Walsh

5.5yrs

Tenure

UK£573,000

Compensation

Mr. Jason Walsh has been the Chief Executive Officer of CPP Group Plc since May 16, 2016. Mr. Walsh served as General Manager of UK at CPP Group Plc since 2006. Mr. Walsh joined CPP in 2002 and has held a...


CEO Compensation Analysis

Compensation vs Market: Jason's total compensation ($USD758.69K) is above average for companies of similar size in the UK market ($USD324.53K).

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


Leadership Team

Experienced Management: CPP's management team is seasoned and experienced (5.5 years average tenure).


Board Members

Experienced Board: CPP's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

CPPGroup Plc's employee growth, exchange listings and data sources


Key Information

  • Name: CPPGroup Plc
  • Ticker: CPP
  • Exchange: AIM
  • Founded: 1980
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: UK£34.184m
  • Shares outstanding: 8.83m
  • Website: https://international.cppgroup.com

Number of Employees


Location

  • CPPGroup Plc
  • 6 East Parade
  • Leeds
  • West Yorkshire
  • LS1 2AD
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 21:36
End of Day Share Price2021/11/30 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.