Hays
Hays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. The last earnings update was 112 days ago. More info.
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HAS Share Price and Events
7 Day Returns
1 Year Returns
HAS Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Hays (HAS) | 0.9% | 9.4% | -4.8% | -24.9% | 19.9% | 11.6% |
| GB Professional Services | 2.6% | 4.5% | 7.9% | 3.5% | 49% | 71.5% |
| GB Market | 0.3% | 3.4% | -0.5% | -10.4% | 12.9% | -5.3% |
1 Year Return vs Industry and Market
- HAS underperformed the Professional Services industry which returned 3.5% over the past year.
- HAS underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -10.4% over the past year.
Value
Is Hays 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
Hays
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 Hays.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 10 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9.6% |
| 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 | 8.8% |
| Professional Services Unlevered Beta | Simply Wall St/ S&P Global | 0.95 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.95 (1 + (1- 19%) (0%)) |
0.95 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.95 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.95 * 8.77%) |
9.56% |
Discounted Cash Flow Calculation for LSE:HAS using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Hays is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.
| 2019 | 2020 | 2021 | 2022 | 2023 | |
| Levered FCF (GBP, Millions) | 129.84 | 149.49 | 171.35 | 188.39 | 207.11 |
| Source | Analyst x5 | Analyst x5 | Analyst x4 | Est @ 9.94% | Est @ 9.94% |
|
Present Value Discounted (@ 9.56%) |
118.51 | 124.54 | 130.30 | 130.75 | 131.20 |
| Present value of next 5 years cash flows | £635.31 |
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2023
× (1 + g) ÷ (Discount Rate – g)
= £207.11 × (1 + 1.23%) ÷ (9.56% – 1.23%) |
£2,516.00 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)5
= £2,516.00 ÷ (1 + 9.56%)5 |
£1,593.88 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 5 years cash flows +
Terminal Value
= £635.31 + £1,593.88 |
£2,229.19 |
| Equity Value per Share (GBP) |
= Total value / Shares Outstanding
= £2,229.19 / 1,457.15 |
£1.53 |
| Calculation | Result | |
|---|---|---|
| Value per share (GBP) | From above. | £1.53 |
| Current discount | Discount to share price of
£1.50
= -1 x (£1.50 - £1.53) / £1.53 |
2% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Hays's share price is below the future cash flow value, but not at a moderate discount (< 20%).
- Hays'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 Hays's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Hays'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 (2018-06-30) in GBP | £0.11 |
| LSE:HAS Share Price ** | LSE (2019-01-23) in GBP | £1.5 |
| United Kingdom of Great Britain and Northern Ireland Professional Services Industry PE Ratio | Median Figure of 34 Publicly-Listed Professional Services Companies | 16.46x |
| United Kingdom of Great Britain and Northern Ireland Market PE Ratio | Median Figure of 815 Publicly-Listed Companies | 15.75x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Hays.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = LSE:HAS Share Price ÷ EPS (both in GBP) = 1.5 ÷ 0.11 |
13.1x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Hays is good value based on earnings compared to the GB Professional Services industry average.
- Hays is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does
Hays's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 13.1x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts |
8.9%per year |
| United Kingdom of Great Britain and Northern Ireland Professional Services Industry PEG Ratio | Median Figure of 21 Publicly-Listed Professional Services Companies | 1.49x |
| United Kingdom of Great Britain and Northern Ireland Market PEG Ratio | Median Figure of 574 Publicly-Listed Companies | 1.28x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 13.1x ÷ 8.9% |
1.48x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Hays is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Hays's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-06-30) in GBP | £0.48 |
| LSE:HAS Share Price * | LSE (2019-01-23) in GBP | £1.5 |
| United Kingdom of Great Britain and Northern Ireland Professional Services Industry PB Ratio | Median Figure of 43 Publicly-Listed Professional Services Companies | 2.65x |
| United Kingdom of Great Britain and Northern Ireland Market PB Ratio | Median Figure of 1,361 Publicly-Listed Companies | 1.51x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = LSE:HAS Share Price ÷ Book Value per Share (both in GBP) = 1.5 ÷ 0.48 |
3.11x |
* Primary Listing of Hays.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Hays is overvalued based on assets compared to the GB Professional Services industry average.
Value checks
We assess Hays'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 Professional Services 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 Professional Services industry average (and greater than 0)? (1 check) Hays has a total score of 2/6, 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.
Future Performance
How is Hays expected to perform in the next 1 to 3 years based on estimates from 10 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
- Hays's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
- Hays's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
- Hays'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:HAS Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts | 8.9% |
| LSE:HAS Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts | 5.9% |
| United Kingdom of Great Britain and Northern Ireland Professional Services Industry Earnings Growth Rate | Market Cap Weighted Average | 8.6% |
| United Kingdom of Great Britain and Northern Ireland Professional Services Industry Revenue Growth Rate | Market Cap Weighted Average | 5.6% |
| United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate | Market Cap Weighted Average | 11.3% |
| United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate | Market Cap Weighted Average | 3.8% |
*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 10 Analyst Estimates (S&P Global) | See Below |
| Date (Data in GBP Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-06-30 | 6,847 | 204 | 216 | 8 |
| 2020-06-30 | 6,470 | 177 | 198 | 10 |
| 2019-06-30 | 6,043 | 171 | 180 | 10 |
| Date (Data in GBP Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-06-30 | 5,753 | 163 | 166 |
| 2018-03-31 | 5,589 | 142 | 159 |
| 2017-12-31 | 5,425 | 121 | 152 |
| 2017-09-30 | 5,253 | 127 | 145 |
| 2017-06-30 | 5,081 | 134 | 139 |
| 2016-12-31 | 4,672 | 142 | 130 |
| 2016-09-30 | 4,452 | 123 | 125 |
| 2016-06-30 | 4,231 | 103 | 121 |
| 2015-12-31 | 3,975 | 87 | 111 |
| 2015-09-30 | 3,909 | 110 | 108 |
*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 10 Analyst Estimates (S&P Global) | See Below |
All data from Hays 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 |
|---|---|---|---|---|
| 2021-06-30 | 0.15 | 0.16 | 0.13 | 6.00 |
| 2020-06-30 | 0.14 | 0.14 | 0.13 | 8.00 |
| 2019-06-30 | 0.12 | 0.13 | 0.12 | 8.00 |
| Date (Data in GBP Millions) | EPS * |
|---|---|
| 2018-06-30 | 0.11 |
| 2018-03-31 | 0.11 |
| 2017-12-31 | 0.11 |
| 2017-09-30 | 0.10 |
| 2017-06-30 | 0.10 |
| 2016-12-31 | 0.09 |
| 2016-09-30 | 0.09 |
| 2016-06-30 | 0.08 |
| 2015-12-31 | 0.08 |
| 2015-09-30 | 0.08 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Hays'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)
Hays has a total score of 3/6, 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.
Past Performance
How has Hays 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
- Hays's year on year earnings growth rate has been positive over the past 5 years.
- Hays's 1-year earnings growth exceeds its 5-year average (19.2% vs 15.8%)
- Hays's earnings growth has exceeded the GB Professional Services industry average in the past year (19.2% vs 15.6%).
Earnings and Revenue History
All data from Hays 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 |
|---|---|---|---|---|
| 2018-06-30 | 5,753.30 | 165.80 | 178.70 | |
| 2018-03-31 | 5,589.35 | 158.75 | 168.50 | |
| 2017-12-31 | 5,425.40 | 151.70 | 158.30 | |
| 2017-09-30 | 5,253.20 | 145.40 | 158.35 | |
| 2017-06-30 | 5,081.00 | 139.10 | 158.40 | |
| 2016-12-31 | 4,672.00 | 129.60 | 130.30 | |
| 2016-09-30 | 4,451.70 | 125.35 | 130.70 | |
| 2016-06-30 | 4,231.40 | 121.10 | 131.10 | |
| 2015-12-31 | 3,974.70 | 110.90 | 137.40 | |
| 2015-09-30 | 3,908.75 | 108.15 | 137.25 | |
| 2015-06-30 | 3,842.80 | 105.40 | 137.10 | |
| 2014-12-31 | 3,741.30 | 96.80 | 138.20 | |
| 2014-09-30 | 3,709.90 | 91.40 | 138.15 | |
| 2014-06-30 | 3,678.50 | 86.00 | 138.10 | |
| 2013-12-31 | 3,696.70 | 78.50 | 143.20 | |
| 2013-09-30 | 3,696.80 | 75.10 | 142.50 | |
| 2013-06-30 | 3,696.90 | 71.70 | 141.80 | |
| 2013-03-31 | 3,668.85 | 71.50 | 143.00 | |
| 2012-12-31 | 3,640.80 | 71.30 | 144.20 | |
| 2012-09-30 | 3,647.70 | 73.40 | 143.50 | |
| 2012-06-30 | 3,654.60 | 75.50 | 142.80 | |
| 2012-03-31 | 3,598.90 | 79.85 | 136.25 |
*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.
- Hays has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
- Hays used its assets more efficiently than the GB Professional Services industry average last year based on Return on Assets.
- Hays's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Hays'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 Professional Services 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)
Hays has a total score of 5/6, 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.
Health
How is Hays'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 Hays's finances.
The net worth of a company is the difference between its assets and liabilities.
- Hays is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Hays's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- Low level of unsold assets.
- Hays has no debt, it does not need to be covered by short term assets.
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 Hays Company Filings, last reported 6 months ago.
| Date (Data in GBP Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-06-30 | 700.50 | 0.00 | 122.90 |
| 2018-03-31 | 700.50 | 0.00 | 122.90 |
| 2017-12-31 | 582.90 | 80.00 | 114.50 |
| 2017-09-30 | 582.90 | 80.00 | 114.50 |
| 2017-06-30 | 586.40 | 0.40 | 112.00 |
| 2016-12-31 | 500.70 | 66.10 | 114.00 |
| 2016-09-30 | 500.70 | 66.10 | 114.00 |
| 2016-06-30 | 457.80 | 26.10 | 62.90 |
| 2015-12-31 | 293.10 | 120.50 | 64.40 |
| 2015-09-30 | 293.10 | 120.50 | 64.40 |
| 2015-06-30 | 269.60 | 100.50 | 69.80 |
| 2014-12-31 | 220.80 | 135.70 | 56.50 |
| 2014-09-30 | 220.80 | 135.70 | 56.50 |
| 2014-06-30 | 240.70 | 110.80 | 48.00 |
| 2013-12-31 | 195.80 | 150.90 | 45.40 |
| 2013-09-30 | 195.80 | 150.90 | 45.40 |
| 2013-06-30 | 216.40 | 145.70 | 40.00 |
| 2013-03-31 | 216.40 | 145.70 | 40.00 |
| 2012-12-31 | 209.10 | 206.10 | 59.80 |
| 2012-09-30 | 209.10 | 206.10 | 59.80 |
| 2012-06-30 | 190.60 | 172.70 | 38.70 |
| 2012-03-31 | 190.60 | 172.70 | 38.70 |
- Hays has no debt.
- Hays has no debt compared to 5 years ago when it was 67.4%.
- Hays has no debt, it does not need to be covered by operating cash flow.
- Hays has no debt, therefore coverage of interest payments is not a concern.
Financial health checks
We assess Hays'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) Hays has a total score of 6/6, 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.
Dividends
What is Hays'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
Hays
shares you are expected to receive
£118
in your first year as a dividend.
Dividend Amount
- Hays's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.94%).
- Hays's dividend is above the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.3%).
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 10 Analyst Estimates (S&P Global) | See Below |
| United Kingdom of Great Britain and Northern Ireland Professional Services Industry Average Dividend Yield | Market Cap Weighted Average of 30 Stocks | 2.3% |
| United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield | Market Cap Weighted Average of 710 Stocks | 4.3% |
| United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield | 10th Percentile | 1.1% |
| 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 | 5.3% |
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 |
|---|---|---|
| 2021-06-30 | 0.10 | 7.00 |
| 2020-06-30 | 0.10 | 8.00 |
| 2019-06-30 | 0.09 | 8.00 |
| Date (Data in £) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2018-10-03 | 0.088 | 5.737 |
| 2018-08-30 | 0.088 | 4.283 |
| 2017-10-30 | 0.032 | 1.703 |
| 2016-09-01 | 0.029 | 1.836 |
| 2015-10-01 | 0.028 | 2.176 |
| 2015-08-27 | 0.028 | 1.765 |
| 2014-10-01 | 0.026 | 1.766 |
| 2014-08-28 | 0.026 | 2.092 |
| 2013-08-29 | 0.025 | 1.911 |
| 2013-02-28 | 0.025 | 2.601 |
| 2012-08-30 | 0.025 | 3.018 |
| 2012-02-22 | 0.048 | 6.080 |
| 2011-09-01 | 0.058 | 8.082 |
| 2010-09-02 | 0.058 | 5.354 |
| 2009-09-03 | 0.058 | 5.662 |
| 2009-06-30 | 0.058 | 6.253 |
| 2009-02-26 | 0.037 | 4.587 |
| 2009-01-26 | 0.058 | 7.349 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Hays's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (3x coverage).
- Dividends after 3 years are expected to be covered by earnings (1.6x coverage).
Income/ dividend checks
We assess Hays's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1.1%) - 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 Hays afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Hays has a total score of 5/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | £2,972,000 |
| AGE | 57 |
| TENURE AS CEO | 11.2 years |
CEO Bio
Mr. Alistair Richard Cox has been the Chief Executive Officer of Hays plc since November 2007 and also has been its Executive Director since September 1, 2007. Mr. Cox served as the President of Lafarge Malaysia Berhad. He served as the Chief Executive Officer of Xansa PLC (now, Steria UK Corporate Ltd.) from August 2002 to June 4, 2007. He served as a Regional President of Asia, Lafarge and Group Strategy Director of Blue Circle (subsequently Lafarge) from 1994 to 2002 and McKinsey & Co from 1990 to 1994. He served as an Executive Officer of Hays plc since June 2007. An Engineer by background, his early business experience was with British Aerospace and Schlumberger in the United Kingdom and United States. He has been an Independent Non-Executive Director at JUST EAT plc since May 2, 2017. He serves as a Director of Hays Specialist Recruitment (Australia) Pty Limited New Zealand Branch. He served as a Non-Executive Director of 3i Group plc from October 2009 to November 10, 2015. He served as a Director of Steria UK Corporate Ltd. until June 2007. Mr. Cox is a Chartered Engineer and has an M.B.A. from the Stanford Business school in California. He holds a first class Honors Degree in Aeronautical Engineering from Salford University.
CEO Compensation
- Alistair's compensation has been consistent with company performance over the past year.
- Alistair's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure
Average tenure and age of the Hays management team in years:
- The average tenure for the Hays management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Alistair Cox
CEO & Executive Director
£3M
57
11.2 yrs
Paul Venables
Group Finance Director & Executive Director
£2M
57
12.7 yrs
Steve Weston
Chief Information Officer & Global Head of Corporate Accounts
David Phillips
Head of Investor Relations
Doug Evans
Company Secretary & General Counsel
55
5.9 yrs
Sholto Douglas-Home
Chief Marketing Officer
10.8 yrs
Tina Ling
Managing Director of France & Benelux
Nick Cox
Managing Director of Continental Europe & Rest of World
Simon Winfield
Managing Director of West & Wales
5.2 yrs
Nigel S. Heap
Uk & Ireland Managing Director and Chairman of the Asia Pacific Business
6.8 yrs
Board of Directors Tenure
Average tenure and age of the Hays board of directors in years:
- The tenure for the Hays board of directors is about average.
Board of Directors
Andy Martin
Non-Executive Chairman
£61K
58
0.5 yrs
Alistair Cox
CEO & Executive Director
£3M
57
11.3 yrs
Paul Venables
Group Finance Director & Executive Director
£2M
57
12.7 yrs
Peter Williams
Independent Non-Executive Director
£56K
65
3.9 yrs
Susan Murray
Independent Non-Executive Director
£62K
60
1.5 yrs
Torsten Kreindl
Independent Non-Executive Director
£56K
55
5.6 yrs
MT Rainey
Independent Non-Executive Director
£56K
62
3.1 yrs
Who owns this company?
Recent Insider Trading
- Hays insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (£) | Value (£) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 10. Dec 18 | Buy | Peter Williams | Individual | 10. Dec 18 | 10. Dec 18 | 806 | £1.42 | £1,146 | ||
| 03. Dec 18 | Sell | Alistair Cox | Individual | 30. Nov 18 | 30. Nov 18 | -1,100,000 | £1.57 | £-1,730,960 | ||
| 01. Nov 18 | Buy | Susan Murray | Individual | 01. Nov 18 | 01. Nov 18 | 4,000 | £1.64 | £6,579 | ||
| 12. Sep 18 | Sell | Paul Venables | Individual | 11. Sep 18 | 11. Sep 18 | -165,453 | £2.04 | £-337,144 | ||
| 12. Sep 18 | Sell | Alistair Cox | Individual | 11. Sep 18 | 11. Sep 18 | -229,478 | £2.04 | £-467,607 | ||
| 12. Sep 18 | Sell | John Faraguna | Individual | 11. Sep 18 | 11. Sep 18 | -54,371 | £2.04 | £-110,792 | ||
| 10. Sep 18 | Sell | Paul Venables | Individual | 07. Sep 18 | 07. Sep 18 | -1,019,390 | £2.04 | £-2,079,555 | ||
| 26. Feb 18 | Buy | Andrew Martin | Individual | 26. Feb 18 | 26. Feb 18 | 35,000 | £1.96 | £68,554 | ||
Management checks
We assess Hays'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) Hays 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.
News
Simply Wall St News
Hays plc (LON:HAS) Earns A Nice Return On Capital Employed
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Simply Wall St - – Full articleWhat You Must Know About Hays plc's (LON:HAS) Financial Health
Small-cap and large-cap companies receive a lot of attention from investors, but mid-cap stocks like Hays plc (LON:HAS), with a market cap of UK£2.1b, are often out of the spotlight. … Let’s take a look at HAS’s debt concentration and assess their financial liquidity to get an idea of their ability to fund strategic acquisitions and grow through cyclical pressures. … Remember this is a very top-level look that focuses exclusively on financial health, so I recommend a deeper analysis.
Simply Wall St - – Full articleHave Insiders Been Selling Hays plc (LON:HAS) Shares?
In the last twelve months, the biggest single sale by an insider was when Group Finance Director & Executive Director Paul Venables sold UK£2.1m worth of shares at a price of UK£2.04 per share. … While the sale doesn't make us feel confident, we do note it was conducted at a price well above the current share price, which is UK£1.37. … So it may not tell us anything about how insiders feel about the current share price.
Simply Wall St - – Full articleDid Hays plc's (LON:HAS) Recent Earnings Growth Beat The Trend?
When Hays plc (LON:HAS) announced its most recent earnings (30 June 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … HAS's trailing twelve-month earnings (from 30 June 2018) of UK£166m has. … Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of 16%, indicating the rate at which HAS is growing has accelerated
Simply Wall St - – Full articleIs It Time To Consider Buying Hays plc (LON:HAS)?
received a lot of attention from a substantial price movement on the LSE over the last few months, increasing to £2.12 at one point, and dropping to the lows of £1.42. … A question to answer is whether Hays's current trading price of £1.46 reflective of the actual value of the? … Let’s take a look at Hays’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change
Simply Wall St - – Full articleHays plc (LON:HAS): Secrets For Long Term Investors
Today I want to bring to light the market's darling - Hays plc. … Looking at its size, financial health and track record, I believe there's an opportunity with Hays during these volatile times. … Hays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally
Simply Wall St - – Full articleTaking A Look At Hays plc's (LON:HAS) ROE
With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows Hays has a return on equity of 24% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity
Simply Wall St - – Full articleA Look At The Fair Value Of Hays plc (LON:HAS)
by projecting its future cash flows and then discounting them to today's value. … Discounted Cash Flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model
Simply Wall St - – Full articleWhat Do Analysts Think About Hays plc's (LON:HAS) Earnings Trajectory?
Hays plc's (LON:HAS) released its most recent earnings update in June 2018, whicha … signalled
Simply Wall St - – Full articleHays plc (LON:HAS) Has Attractive Fundamentals
As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook.
Simply Wall St - – Full articleCompany Info
Map
Description
Hays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. The company offers permanent, temporary, and contractor recruitment services, such as qualified, professional, and skilled recruitment to public and private sector. It specializes in offering recruitment services in the areas of accountancy and finance, construction and property, information technology, life sciences, sales and marketing, banking and capital markets, contact centers, education, engineering and manufacturing, executive, financial services, health and social care, human resources, legal, office professionals, energy, oil and gas, purchasing, retail, resources and mining, and telecoms. Hays plc was founded in 1968 and is headquartered in London, the United Kingdom.
Details
| Name: | Hays plc |
| HAS | |
| Exchange: | LSE |
| Founded: | 1968 |
| £2,220,697,329 | |
| 1,457,150,479 | |
| Website: | http://www.haysplc.com |
| Address: |
Hays plc 250 Euston Road, London, Greater London, NW1 2AF, United Kingdom |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| LSE | HAS | Ordinary Shares | London Stock Exchange | GB | GBP | 02. Jan 1992 | |
| OTCPK | HAYP.F | Ordinary Shares | Pink Sheets LLC | US | USD | 02. Jan 1992 | |
| DB | HAY | Ordinary Shares | Deutsche Boerse AG | DE | EUR | 02. Jan 1992 | |
| BATS-CHIXE | HASL | Ordinary Shares | BATS 'Chi-X Europe' | GB | GBP | 02. Jan 1992 | |
| OTCPK | HAYP.Y | UNSPONSORD ADR | Pink Sheets LLC | US | USD | 17. Feb 2010 |
Number of employees
Current staff
Industry
| Human Resource and Employment Services | |
| Commercial Services |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/01/23 20:36 |
| End of day share price update: | 2019/01/23 00:00 |
| Last estimates confirmation: | 2019/01/21 |
| Last earnings filing: | 2018/10/03 |
| Last earnings reported: | 2018/06/30 |
| Last annual earnings reported: | 2018/06/30 |
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.
