BATS-CHIXE:GLOP

Stock Analysis Report

Executive Summary

GL Events SA provides integrated event solutions and services for professionals and the general public worldwide.

Rewards

Trading at 54.1% below its fair value

Earnings are forecast to grow 7.5% per year

Earnings grew by 32.7% over the past year

Risk Analysis

Debt is not well covered by operating cash flow

Unstable dividend track record

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year



Snowflake Analysis

Undervalued with solid track record.


Similar Companies

Share Price & News

How has GL Events's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GLOP's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-12.1%

GLOP

-3.5%

GB Commercial Services

-5.4%

GB Market


1 Year Return

0.1%

GLOP

20.5%

GB Commercial Services

2.0%

GB Market

Return vs Industry: GLOP underperformed the UK Commercial Services industry which returned 18.3% over the past year.

Return vs Market: GLOP underperformed the UK Market which returned 1.4% over the past year.


Shareholder returns

GLOPIndustryMarket
7 Day-12.1%-3.5%-5.4%
30 Day-20.1%-3.7%-4.2%
90 Day-24.1%-0.05%-2.6%
1 Year3.0%0.1%24.1%20.5%7.6%2.0%
3 Year12.1%-0.06%19.8%9.5%11.4%-2.7%
5 Year21.3%0.7%31.1%9.9%29.0%-0.6%

Price Volatility Vs. Market

How volatile is GL Events's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is GL Events 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: GLOP (€18.06) is trading below our estimate of fair value (€39.38)

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


Price To Earnings Ratio

PE vs Industry: GLOP is good value based on its PE Ratio (10.6x) compared to the Commercial Services industry average (20.4x).

PE vs Market: GLOP is good value based on its PE Ratio (10.6x) compared to the UK market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: GLOP is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: GLOP is good value based on its PB Ratio (1.1x) compared to the GB Commercial Services industry average (2.1x).


Next Steps

Future Growth

How is GL Events forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

7.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GLOP's forecast earnings growth (7.5% per year) is above the savings rate (0.5%).

Earnings vs Market: GLOP's earnings (7.5% per year) are forecast to grow slower than the UK market (13% per year).

High Growth Earnings: GLOP's earnings are forecast to grow, but not significantly.

Revenue vs Market: GLOP's revenue (3% per year) is forecast to grow slower than the UK market (3.8% per year).

High Growth Revenue: GLOP's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GLOP's Return on Equity is forecast to be low in 3 years time (11.2%).


Next Steps

Past Performance

How has GL Events performed over the past 5 years?

14.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GLOP has high quality earnings.

Growing Profit Margin: GLOP's current net profit margins (4.5%) are higher than last year (3.7%).


Past Earnings Growth Analysis

Earnings Trend: GLOP's earnings have grown by 14.1% per year over the past 5 years.

Accelerating Growth: GLOP's earnings growth over the past year (32.7%) exceeds its 5-year average (14.1% per year).

Earnings vs Industry: GLOP earnings growth over the past year (32.7%) exceeded the Commercial Services industry 17.1%.


Return on Equity

High ROE: GLOP's Return on Equity (12.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is GL Events's financial position?


Financial Position Analysis

Short Term Liabilities: GLOP's short term assets (€785.3M) do not cover its short term liabilities (€1.0B).

Long Term Liabilities: GLOP's short term assets (€785.3M) do not cover its long term liabilities (€959.5M).


Debt to Equity History and Analysis

Debt Level: GLOP's debt to equity ratio (136%) is considered high.

Reducing Debt: GLOP's debt to equity ratio has increased from 130% to 136% over the past 5 years.

Debt Coverage: GLOP's debt is not well covered by operating cash flow (14%).

Interest Coverage: GLOP's interest payments on its debt are well covered by EBIT (5.5x coverage).


Balance Sheet

Inventory Level: GLOP has a high level of physical assets or inventory.

Debt Coverage by Assets: GLOP's debt is covered by short term assets (assets are 1x debt).


Next Steps

Dividend

What is GL Events's current dividend yield, its reliability and sustainability?

3.55%

Current Dividend Yield


Dividend Yield vs Market

company3.6%marketbottom25%1.9%markettop25%5.4%industryaverage2.7%forecastin3Years3.8%

Current dividend yield vs market & industry

Notable Dividend: GLOP's dividend (3.56%) is higher than the bottom 25% of dividend payers in the UK market (1.9%).

High Dividend: GLOP's dividend (3.56%) is low compared to the top 25% of dividend payers in the UK market (5.34%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.6%), GLOP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GLOP's dividends in 3 years are forecast to be well covered by earnings (32.3% payout ratio).


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

Olivier Ginon (61yo)

€353,856

Compensation

Mr. Olivier Ginon has been the Chairman of the Board at GL Events since April 24, 1998 and serves as its Chief Executive Officer. Mr. Ginon served as the Chairman, Chief Executive Officer and President of  ...


CEO Compensation Analysis

Compensation vs Market: Olivier's total compensation ($USD384.96K) is below average for companies of similar size in the UK market ($USD840.76K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Olivier Ginon
Chairman & CEO0yrs€353.86k0.020% 105.8k
Olivier Roux
Vice Chairman & Deputy CEO0yrs€325.94k0.014% 76.8k
Erick Rostagnat
Senior Advisor & Director17.7yrs€319.65k0.25% 1.4m
Olivier Ferraton
Deputy Managing Director0yrs€752.10kno data
Sylvain Bechet
Group Financial & Investments General Manager2.8yrsno datano data
Denis Tomasicchio
Group Chief Information Officer2.1yrsno datano data
Patricia Sadoine
Group Legal & Compliance Director0.08yrsno datano data
Bruno Lartigue
Chief Public Affairs Officer2.8yrsno datano data
Sylvie Fouillouse
Chief Human Resources Officer2.8yrsno datano data
Vincent Delannoy
Executive Officer of Fittings0yrsno datano data

2.4yrs

Average Tenure

62yo

Average Age

Experienced Management: GLOP's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Olivier Ginon
Chairman & CEO0yrs€353.86k0.020% 105.8k
Olivier Roux
Vice Chairman & Deputy CEO0yrs€325.94k0.014% 76.8k
Erick Rostagnat
Senior Advisor & Director17.7yrs€319.65k0.25% 1.4m
Marc Doncieux
Chairman of Europa Organisation0yrsno datano data
Philippe Marcel
Independent Director16.6yrs€15.00k0.014% 78.1k
Nicolás Bellet de Tavernost Abel
Independent Director11.8yrs€15.00k0.0029% 15.9k
Yves-Claude Abescat
Independent Director11.8yrs€20.00k0.0024% 12.9k
Sophie Defforey-Crepet
Independent Director17.7yrs€15.00kno data
Jacques Danger
Chairman of Package0yrsno datano data
Caroline Weber
Independent Director8.8yrs€18.00k0.0051% 27.4k

16.6yrs

Average Tenure

65yo

Average Age

Experienced Board: GLOP's board of directors are seasoned and experienced ( 16.6 years average tenure).


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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 22.2%.


Top Shareholders

Company Information

GL Events SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GL Events SA
  • Ticker: GLOP
  • Exchange: BATS-CHIXE
  • Founded: 1978
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: €541.310m
  • Shares outstanding: 29.61m
  • Website: https://www.gl-events.com

Number of Employees


Location

  • GL Events SA
  • 59 Quai Rambaud
  • Lyon
  • Rhône-Alpes
  • 69002
  • France

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GLOENXTPA (Euronext Paris)YesCommon SharesFREURNov 1998
0IX0LSE (London Stock Exchange)YesCommon SharesGBEURNov 1998
GLOPBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURNov 1998
0X5BST (Boerse-Stuttgart)YesCommon SharesDEEURNov 1998

Biography

GL Events SA provides integrated event solutions and services for professionals and the general public worldwide. It operates in three divisions: GL events Live, GL events Exhibitions, and GL events Venues. The GL events Live division offers various business line specializations and services, including designing, consulting, and staging the events for corporate, institutional, and sports events. The GL events Exhibitions division manages and coordinates a portfolio of approximately 300 trade fairs and events in the food, culture, textiles and fashion, and manufacturing sectors. The GL events Venues division manages a network of 48 venues that include convention centers, exhibition centers, concert halls, and multi-purpose facilities located in France and internationally. The company was formerly known as Générale Location and changed its name to GL Events SA in 2003. The company was founded in 1978 and is headquartered in Lyon, France. GL Events SA is a subsidiary of Polygone SA. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 19:46
End of Day Share Price2020/02/25 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.