G4S plc, together with its subsidiaries, provides security and related services in Africa, the Americas, Asia, Europe, and the Middle East. More Details
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Adequate balance sheet and slightly overvalued.
Share Price & News
How has G4S's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GFS is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: GFS's weekly volatility (3%) has been stable over the past year.
7 Day Return
GB Commercial Services
1 Year Return
GB Commercial Services
Return vs Industry: GFS exceeded the UK Commercial Services industry which returned 34.7% over the past year.
Return vs Market: GFS exceeded the UK Market which returned 24.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is G4S's share price compared to the market and industry in the last 5 years?
Simply Wall St News
7 months ago | Simply Wall StBased On Its ROE, Is G4S plc (LON:GFS) A High Quality Stock?
8 months ago | Simply Wall StHow Much Are G4S plc (LON:GFS) Insiders Spending On Buying Shares?
8 months ago | Simply Wall StThese 4 Measures Indicate That G4S (LON:GFS) Is Using Debt Reasonably Well
Is G4S 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: GFS (£2.45) is trading below our estimate of fair value (£3.69)
Significantly Below Fair Value: GFS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GFS is poor value based on its PE Ratio (222.7x) compared to the GB Commercial Services industry average (35.4x).
PE vs Market: GFS is poor value based on its PE Ratio (222.7x) compared to the UK market (26x).
Price to Earnings Growth Ratio
PEG Ratio: GFS's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: GFS is overvalued based on its PB Ratio (7.1x) compared to the GB Commercial Services industry average (2.4x).
How is G4S forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GFS's earnings are forecast to decline over the next 3 years (-14.9% per year).
Earnings vs Market: GFS's earnings are forecast to decline over the next 3 years (-14.9% per year).
High Growth Earnings: GFS's earnings are forecast to decline over the next 3 years.
Revenue vs Market: GFS's revenue (3.1% per year) is forecast to grow slower than the UK market (6.4% per year).
High Growth Revenue: GFS's revenue (3.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GFS's Return on Equity is forecast to be high in 3 years time (33.8%)
How has G4S performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GFS has a large one-off loss of £340.0M impacting its June 30 2020 financial results.
Growing Profit Margin: GFS's current net profit margins (0.2%) are lower than last year (0.5%).
Past Earnings Growth Analysis
Earnings Trend: GFS's earnings have declined by 13.2% per year over the past 5 years.
Accelerating Growth: GFS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GFS had negative earnings growth (-53.2%) over the past year, making it difficult to compare to the Commercial Services industry average (-4.5%).
Return on Equity
High ROE: GFS's Return on Equity (3.9%) is considered low.
How is G4S's financial position?
Financial Position Analysis
Short Term Liabilities: GFS's short term assets (£3.0B) exceed its short term liabilities (£2.1B).
Long Term Liabilities: GFS's short term assets (£3.0B) exceed its long term liabilities (£2.8B).
Debt to Equity History and Analysis
Debt Level: GFS's debt to equity ratio (487.7%) is considered high.
Reducing Debt: GFS's debt to equity ratio has increased from 283.4% to 487.7% over the past 5 years.
Debt Coverage: GFS's debt is well covered by operating cash flow (22.2%).
Interest Coverage: GFS's interest payments on its debt are well covered by EBIT (5.5x coverage).
What is G4S current dividend yield, its reliability and sustainability?
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate GFS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate GFS'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 GFS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GFS's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: GFS is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of GFS'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
Ashley Almanza (57 yo)
Mr. Ashley Almanza has been the Chief Executive Officer of G4S Australia Holdings Pty. Ltd since June 1, 2013. Mr. Almanza has been the Group Chief Executive Officer of G4S plc since June 1, 2013. He has b...
CEO Compensation Analysis
Compensation vs Market: Ashley's total compensation ($USD2.03M) is about average for companies of similar size in the UK market ($USD2.23M).
Compensation vs Earnings: Ashley's compensation has been consistent with company performance over the past year.
Experienced Management: GFS's management team is considered experienced (4.5 years average tenure).
Experienced Board: GFS's board of directors are considered experienced (6.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: GFS insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
G4S plc's company bio, employee growth, exchange listings and data sources
- Name: G4S plc
- Ticker: GFS
- Exchange: LSE
- Founded: 1901
- Industry: Security and Alarm Services
- Sector: Commercial Services
- Market Cap: UK£3.813b
- Shares outstanding: 1.56b
- Website: https://www.g4s.com
Number of Employees
- G4S plc
- 5th Floor
- Greater London
- SW1E 6QT
- United Kingdom
G4S plc, together with its subsidiaries, provides security and related services in Africa, the Americas, Asia, Europe, and the Middle East. The company offers software tools, including evidence based risk ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/13 17:34|
|End of Day Share Price||2021/04/13 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.