Market Cap
UK£36.6b
Last Updated
2021/05/07 01:03 UTC
Data Sources
Company Financials +
Executive Summary
RELX PLC provides information-based analytics and decision tools for professional and business customers in North America, Europe, and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer and slightly overvalued.
Similar Companies
Share Price & News
How has RELX's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: REL is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: REL's weekly volatility (2%) has been stable over the past year.
Market Performance
7 Day Return
1.0%
REL
0.2%
GB Professional Services
1.2%
GB Market
1 Year Return
2.2%
REL
10.5%
GB Professional Services
25.5%
GB Market
Return vs Industry: REL underperformed the UK Professional Services industry which returned 14.1% over the past year.
Return vs Market: REL underperformed the UK Market which returned 26.4% over the past year.
Shareholder returns
| REL | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.0% | 0.2% | 1.2% |
| 30 Day | 1.0% | 5.0% | 3.3% |
| 90 Day | 4.1% | 6.8% | 8.6% |
| 1 Year | 4.8%2.2% | 12.6%10.5% | 31.0%25.5% |
| 3 Year | 28.6%19.3% | 36.4%27.7% | 11.9%-1.0% |
| 5 Year | 74.2%53.9% | 92.2%71.7% | 50.5%22.0% |
Long-Term Price Volatility Vs. Market
How volatile is RELX's share price compared to the market and industry in the last 5 years?
Simply Wall St News
13 hours ago | Simply Wall St
RELX (LON:REL) Seems To Use Debt Quite Sensibly1 week ago | Simply Wall St
Should Income Investors Look At RELX PLC (LON:REL) Before Its Ex-Dividend?3 weeks ago | Simply Wall St
This Is Why RELX PLC's (LON:REL) CEO Compensation Looks AppropriateValuation
Is RELX undervalued compared to its fair value and its price relative to the market?
15.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: REL (£18.99) is trading below our estimate of fair value (£22.55)
Significantly Below Fair Value: REL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: REL is good value based on its PE Ratio (29.9x) compared to the GB Professional Services industry average (36.9x).
PE vs Market: REL is poor value based on its PE Ratio (29.9x) compared to the UK market (25.8x).
Price to Earnings Growth Ratio
PEG Ratio: REL is poor value based on its PEG Ratio (3.3x)
Price to Book Ratio
PB vs Industry: REL is overvalued based on its PB Ratio (17.4x) compared to the GB Professional Services industry average (3x).
Future Growth
How is RELX forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
9.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: REL's forecast earnings growth (9.1% per year) is above the savings rate (0.9%).
Earnings vs Market: REL's earnings (9.1% per year) are forecast to grow slower than the UK market (17.8% per year).
High Growth Earnings: REL's earnings are forecast to grow, but not significantly.
Revenue vs Market: REL's revenue (5.4% per year) is forecast to grow slower than the UK market (5.4% per year).
High Growth Revenue: REL's revenue (5.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: REL's Return on Equity is forecast to be very high in 3 years time (57.2%).
Past Performance
How has RELX performed over the past 5 years?
4.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: REL has high quality earnings.
Growing Profit Margin: REL's current net profit margins (17.2%) are lower than last year (19.1%).
Past Earnings Growth Analysis
Earnings Trend: REL's earnings have grown by 4.3% per year over the past 5 years.
Accelerating Growth: REL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: REL had negative earnings growth (-18.6%) over the past year, making it difficult to compare to the Professional Services industry average (-10.4%).
Return on Equity
High ROE: Whilst REL's Return on Equity (57.5%) is outstanding, this metric is skewed due to their high level of debt.
Financial Health
How is RELX's financial position?
Financial Position Analysis
Short Term Liabilities: REL's short term assets (£2.3B) do not cover its short term liabilities (£4.4B).
Long Term Liabilities: REL's short term assets (£2.3B) do not cover its long term liabilities (£7.7B).
Debt to Equity History and Analysis
Debt Level: REL's debt to equity ratio (326.1%) is considered high.
Reducing Debt: REL's debt to equity ratio has increased from 181.3% to 326.1% over the past 5 years.
Debt Coverage: REL's debt is well covered by operating cash flow (23.3%).
Interest Coverage: REL's interest payments on its debt are well covered by EBIT (11.4x coverage).
Balance Sheet
Dividend
What is RELX current dividend yield, its reliability and sustainability?
2.47%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: REL's dividend (2.47%) is higher than the bottom 25% of dividend payers in the UK market (1.36%).
High Dividend: REL's dividend (2.47%) is low compared to the top 25% of dividend payers in the UK market (4.06%).
Stability and Growth of Payments
Stable Dividend: REL's dividends per share have been stable in the past 10 years.
Growing Dividend: REL's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (74%), REL's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: REL's dividends in 3 years are forecast to be covered by earnings (53.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
8.0yrs
Average management tenure
CEO
Erik Engstrom (57 yo)
11.5yrs
Tenure
UK£3,950,000
Compensation
Mr. Erik Engstrom is Independent Non-Executive Director of Smith & Nephew plc since January 1, 2015 and Bonnier Group. He was a Partner at General Atlantic Partners. He has been Chief Executive Officer of ...
CEO Compensation Analysis
Compensation vs Market: Erik's total compensation ($USD5.48M) is above average for companies of similar size in the UK market ($USD3.60M).
Compensation vs Earnings: Erik's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: REL's management team is seasoned and experienced (8 years average tenure).
Board Members
Experienced Board: REL's board of directors are considered experienced (5.1 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
RELX PLC's company bio, employee growth, exchange listings and data sources
Key Information
- Name: RELX PLC
- Ticker: REL
- Exchange: LSE
- Founded: 1903
- Industry: Research and Consulting Services
- Sector: Commercial Services
- Market Cap: UK£36.593b
- Shares outstanding: 1.93b
- Website: https://www.relx.com
Number of Employees
Location
- RELX PLC
- 1-3 Strand
- London
- Greater London
- WC2N 5JR
- United Kingdom
Listings
Biography
RELX PLC provides information-based analytics and decision tools for professional and business customers in North America, Europe, and internationally. It operates through four segments: Scientific, Techni...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/07 01:03 |
| End of Day Share Price | 2021/05/06 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.