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PRP

Prime PeopleAIM:PRP Stock Report

Last Price

UK£0.75

Market Cap

UK£7.4m

7D

-3.8%

1Y

15.4%

Updated

19 Jan, 2022

Data

Company Financials
PRP fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance1/6
Financial Health4/6
Dividends0/6

PRP Stock Overview

Prime People Plc, together with its subsidiaries, provides permanent and contract recruitment services in the United Kingdom, Asia, and internationally.

Prime People Competitors

Hays

LSE:HAS

UK£2.6b

PageGroup

LSE:PAGE

UK£1.9b

Robert Walters

LSE:RWA

UK£584.7m

Staffline Group

AIM:STAF

UK£97.1m

Price History & Performance

Summary of all time highs, changes and price drops for Prime People
Historical stock prices
Current Share PriceUK£0.75
52 Week HighUK£0.81
52 Week LowUK£0.50
Beta1.54
1 Month Change4.90%
3 Month Change12.78%
1 Year Change15.38%
3 Year Change1.35%
5 Year Change-20.21%
Change since IPO15.38%

Recent News & Updates

Nov 24
Some Investors May Be Worried About Prime People's (LON:PRP) Returns On Capital

Some Investors May Be Worried About Prime People's (LON:PRP) Returns On Capital

What underlying fundamental trends can indicate that a company might be in decline? When we see a declining return on...

Aug 26
This Is Why Shareholders May Want To Hold Back On A Pay Rise For Prime People Plc's (LON:PRP) CEO

This Is Why Shareholders May Want To Hold Back On A Pay Rise For Prime People Plc's (LON:PRP) CEO

The disappointing performance at Prime People Plc ( LON:PRP ) will make some shareholders rather disheartened. The next...

Jul 25
Prime People (LON:PRP) Has Debt But No Earnings; Should You Worry?

Prime People (LON:PRP) Has Debt But No Earnings; Should You Worry?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

PRPGB Professional ServicesGB Market
7D-3.8%-1.2%-1.0%
1Y15.4%17.7%8.3%

Return vs Industry: PRP underperformed the UK Professional Services industry which returned 16.8% over the past year.

Return vs Market: PRP exceeded the UK Market which returned 8.3% over the past year.

Price Volatility

Is PRP's price volatile compared to industry and market?
PRP volatility
PRP Average Weekly Movement5.6%
Professional Services Industry Average Movement4.2%
Market Average Movement5.0%
10% most volatile stocks in GB Market10.7%
10% least volatile stocks in GB Market2.5%

Stable Share Price: PRP is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: PRP's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198330Peter Moorehttps://www.prime-people.co.uk

Prime People Plc, together with its subsidiaries, provides permanent and contract recruitment services in the United Kingdom, Asia, and internationally. It offers professional recruitment consultancy for the real estate and built environment sectors under the Macdonald & Company brand; and professional recruitment consultancy for the energy, renewables, and environmental sectors under the Prime Energy brand. The company also provides professional recruitment consultancy for the technology, and digital and data analytics sectors under the Prime Insight brand; and recruitment services for the construction and engineering, infrastructure, design and development, real estate, and professional service sectors under the Command brand.

Prime People Fundamentals Summary

How do Prime People's earnings and revenue compare to its market cap?
PRP fundamental statistics
Market CapUK£7.41m
Earnings (TTM)UK£746.00k
Revenue (TTM)UK£19.72m

9.9x

P/E Ratio

0.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PRP income statement (TTM)
RevenueUK£19.72m
Cost of RevenueUK£6.42m
Gross ProfitUK£13.30m
ExpensesUK£12.55m
EarningsUK£746.00k

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.076
Gross Margin67.45%
Net Profit Margin3.78%
Debt/Equity Ratio9.7%

How did PRP perform over the long term?

See historical performance and comparison

Valuation

Is Prime People 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: PRP (£0.75) is trading below our estimate of fair value (£2.19)

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


Price To Earnings Ratio

PE vs Industry: PRP is good value based on its PE Ratio (9.9x) compared to the UK Professional Services industry average (33.9x).

PE vs Market: PRP is good value based on its PE Ratio (9.9x) compared to the UK market (19.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate PRP's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PRP is good value based on its PB Ratio (0.8x) compared to the GB Professional Services industry average (3x).


Future Growth

How is Prime People forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.9%

Forecasted Commercial Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Prime People has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Prime People performed over the past 5 years?

-42.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRP has a large one-off gain of £707.0K impacting its September 30 2021 financial results.

Growing Profit Margin: PRP became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PRP's earnings have declined by 42.8% per year over the past 5 years.

Accelerating Growth: PRP has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PRP has become profitable in the last year, making it difficult to compare its past year earnings growth to the Professional Services industry (5.2%).


Return on Equity

High ROE: PRP's Return on Equity (6.2%) is considered low.


Financial Health

How is Prime People's financial position?


Financial Position Analysis

Short Term Liabilities: PRP's short term assets (£6.9M) exceed its short term liabilities (£3.8M).

Long Term Liabilities: PRP's short term assets (£6.9M) exceed its long term liabilities (£1.0M).


Debt to Equity History and Analysis

Debt Level: PRP has more cash than its total debt.

Reducing Debt: Insufficient data to determine if PRP's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: PRP's debt is well covered by operating cash flow (177.6%).

Interest Coverage: PRP's interest payments on its debt are not well covered by EBIT (2.7x coverage).


Balance Sheet


Dividend

What is Prime People current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate PRP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate PRP'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 PRP's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PRP's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: PRP is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PRP's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

11.1yrs

Average board tenure


CEO

Peter Moore (51 yo)

16yrs

Tenure

UK£208,377

Compensation

Mr. Peter H. Moore, MRICS has been Managing Director of Prime People Plc since January 3, 2006. Mr. Moore served as Managing Director of Prime People Plc since December 2005. Mr. Moore worked with Strutt &...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD284.01K) is about average for companies of similar size in the UK market ($USD328.45K).

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


Board Members

Experienced Board: PRP's board of directors are seasoned and experienced ( 11.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: PRP 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

Prime People Plc's employee growth, exchange listings and data sources


Key Information

  • Name: Prime People Plc
  • Ticker: PRP
  • Exchange: AIM
  • Founded: 1983
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Implied Market Cap: UK£7.406m
  • Shares outstanding: 9.87m
  • Website: https://www.prime-people.co.uk

Number of Employees


Location

  • Prime People Plc
  • 2 Harewood Place
  • Hanover Square
  • London
  • Greater London
  • W1S 1BX
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 21:17
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.