LSE:JTC

Stock Analysis Report

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Executive Summary

JTC PLC provides fund, corporate, and private wealth services to institutional and private clients worldwide. More Details


Snowflake Analysis

Proven track record with moderate growth potential.


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Share Price & News

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


Latest Share Price and Events

Stable Share Price: JTC is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 4% a week.

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


Market Performance


7 Day Return

-0.7%

JTC

1.9%

GB Professional Services

3.0%

GB Market


1 Year Return

39.4%

JTC

-0.5%

GB Professional Services

-6.1%

GB Market

Return vs Industry: JTC exceeded the UK Professional Services industry which returned 0.7% over the past year.

Return vs Market: JTC exceeded the UK Market which returned -5.6% over the past year.


Shareholder returns

JTCIndustryMarket
7 Day-0.7%1.9%3.0%
30 Day2.6%0.1%11.1%
90 Day14.3%2.0%11.9%
1 Year41.2%39.4%1.4%-0.5%-2.4%-6.1%
3 Yearn/a25.5%17.3%4.5%-8.2%
5 Yearn/a90.3%69.4%38.9%7.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

32.55x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: JTC (£5.52) is trading above our estimate of fair value (£4.94)

Significantly Below Fair Value: JTC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: JTC is poor value based on its PE Ratio (32.5x) compared to the GB Professional Services industry average (29.1x).

PE vs Market: JTC is poor value based on its PE Ratio (32.5x) compared to the UK market (21.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: JTC is overvalued based on its PB Ratio (3.8x) compared to the GB Professional Services industry average (2.7x).


Next Steps

Future Growth

How is JTC forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

22.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JTC's forecast earnings growth (22.6% per year) is above the savings rate (1.2%).

Earnings vs Market: JTC's earnings (22.6% per year) are forecast to grow slower than the UK market (26.2% per year).

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

Revenue vs Market: JTC's revenue (9.3% per year) is forecast to grow faster than the UK market (6.6% per year).

High Growth Revenue: JTC's revenue (9.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JTC's Return on Equity is forecast to be low in 3 years time (16.9%).


Next Steps

Past Performance

How has JTC performed over the past 5 years?

67.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JTC has high quality earnings.

Growing Profit Margin: JTC's current net profit margins (18%) are higher than last year (15.8%).


Past Earnings Growth Analysis

Earnings Trend: JTC's earnings have grown significantly by 67.3% per year over the past 5 years.

Accelerating Growth: JTC's earnings growth over the past year (36.8%) is below its 5-year average (67.3% per year).

Earnings vs Industry: JTC earnings growth over the past year (36.8%) exceeded the Professional Services industry -22%.


Return on Equity

High ROE: JTC's Return on Equity (11.4%) is considered low.


Next Steps

Financial Health

How is JTC's financial position?


Financial Position Analysis

Short Term Liabilities: JTC's short term assets (£94.0M) exceed its short term liabilities (£37.5M).

Long Term Liabilities: JTC's short term assets (£94.0M) do not cover its long term liabilities (£160.8M).


Debt to Equity History and Analysis

Debt Level: JTC's debt to equity ratio (64.9%) is considered high.

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

Debt Coverage: JTC's debt is well covered by operating cash flow (22.3%).

Interest Coverage: JTC's interest payments on its debt are well covered by EBIT (9.6x coverage).


Balance Sheet


Next Steps

Dividend

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

0.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: JTC's dividend (0.96%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.67%).

High Dividend: JTC's dividend (0.96%) is low compared to the top 25% of dividend payers in the UK market (4.79%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, JTC has been paying a dividend for less than 10 years.

Growing Dividend: JTC's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.4%), JTC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: JTC's dividends in 3 years are forecast to be well covered by earnings (29.3% payout ratio).


Next Steps

Management

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

2.9yrs

Average management tenure


CEO

Nigel Le Quesne (59 yo)

no data

Tenure

Mr. Nigel Anthony Le Quesne serves as the Group Chief Executive Officer and Executive Director of JTC plc (formerly, JTC Group Holdings Limited) and served as its Chairman. He served as Non-Executive Chair...


Leadership Team

NamePositionTenureCompensationOwnership
Nigel Le Quesne
Group CEO & Executive Directorno datano data8.73%
£ 59.1m
Martin Fotheringham
Group Chief Financial Officer & Executive Director2.92yrsno data0.60%
£ 4.0m
Wendy Holley
Group Chief Operating Officer & Executive Director1.42yrsno data0.29%
£ 2.0m
Michael Halloran
Group Head of Technology Strategy0.083yrno datano data
Adam Jeffries
Group Chief Information Officer6.92yrsno datano data
William Byrne
Chief Group Counsel1.92yrsno datano data
David Vieira
Chief Communications Officerno datano datano data
Carol Graham
Group Director for Human Resourcesno datano datano data
Will Cameron
Director - Institutional Client Services and Head of Fareham5.75yrsno datano data
Iain Johns
Group Head of Private Client Servicesno datano datano data
James Tracey
Managing Director of Guernsey Office2.42yrsno datano data
Wouter Plantenga
ICS Head of Group Client Services for Miami2.92yrsno datano data

2.9yrs

Average Tenure

Experienced Management: JTC's management team is considered experienced (2.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Nigel Le Quesne
Group CEO & Executive Directorno datano data8.73%
£ 59.1m
Martin Fotheringham
Group Chief Financial Officer & Executive Director2.92yrsno data0.60%
£ 4.0m
Wendy Holley
Group Chief Operating Officer & Executive Director1.42yrsno data0.29%
£ 2.0m
Dermot Colin Mathias
Independent Senior Non-Executive Directorno datano data0.021%
£ 145.4k
Michael Liston
Independent Non-Executive Chairman2.75yrsno data0.027%
£ 184.3k
Michael Gray
Independent Non-Executive Director2.75yrsno data0.014%
£ 96.9k
Erika Schraner
Independent Non-Executive Director1.08yrsno datano data

2.8yrs

Average Tenure

57yo

Average Age

Experienced Board: JTC's board of directors are not considered experienced ( 2.8 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 been diluted in the past year, with total shares outstanding growing by 9.3%.


Top Shareholders

Company Information

JTC PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: JTC PLC
  • Ticker: JTC
  • Exchange: LSE
  • Founded: 1987
  • Industry: Research and Consulting Services
  • Sector: Commercial Services
  • Market Cap: UK£676.431m
  • Shares outstanding: 120.36m
  • Website: https://www.jtcgroup.com

Number of Employees


Location

  • JTC PLC
  • JTC House
  • 28 Esplanade
  • Saint Helier
  • JE4 2QP
  • Jersey

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2N9DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 2018
JTCLSE (London Stock Exchange)YesOrdinary SharesGBGBPMar 2018
JTCLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMar 2018

Biography

JTC PLC provides fund, corporate, and private wealth services to institutional and private clients worldwide. It operates through two segments, Institutional Client Services and Private Client Services. Th...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/04 18:56
End of Day Share Price2020/12/04 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.