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RPS

RPS GroupLSE:RPS Stock Report

Market Cap

UK£318.4m

7D

1.2%

1Y

57.2%

Updated

01 Dec, 2021

Data

Company Financials +
RPS fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance1/6
Financial Health4/6
Dividends0/6

RPS Stock Overview

RPS Group Plc, a professional services firm, provides consultancy services in the United Kingdom, Australia, the United States, Norway, the Netherlands, Ireland, Canada, and internationally.

RPS Group Competitors

CBRE Group

NYSE:CBRE

US$31.3b

China Railway Group

SHSE:601390

CN¥122.7b

Jacobs Engineering Group

NYSE:J

US$18.4b

WSP Global

TSX:WSP

CA$21.4b

Price History & Performance

Summary of all time highs, changes and price drops for RPS Group
Historical stock prices
Current Share PriceUK£1.20
52 Week HighUK£1.32
52 Week LowUK£0.62
Beta2.37
1 Month Change-3.68%
3 Month Change3.79%
1 Year Change57.18%
3 Year Change-18.54%
5 Year Change-42.25%
Change since IPO1,374.30%

Recent News & Updates

Aug 19
RPS Group's (LON:RPS) Profits Appear To Have Quality Issues

RPS Group's (LON:RPS) Profits Appear To Have Quality Issues

RPS Group plc's ( LON:RPS ) robust recent earnings didn't do much to move the stock. However the statutory profit...

Shareholder Returns

RPSGB Commercial ServicesGB Market
7D1.2%-1.7%-2.6%
1Y57.2%20.9%10.9%

Return vs Industry: RPS exceeded the UK Commercial Services industry which returned 22.3% over the past year.

Return vs Market: RPS exceeded the UK Market which returned 13.8% over the past year.

Price Volatility

Is RPS's price volatile compared to industry and market?
RPS volatility
RPS Average Weekly Movement4.3%
Commercial Services Industry Average Movement4.6%
Market Average Movement4.9%
10% most volatile stocks in GB Market9.8%
10% least volatile stocks in GB Market2.5%

Stable Share Price: RPS is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

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

About the Company

FoundedEmployeesCEOWebsite
19704,800John Douglashttps://www.rpsgroup.com

RPS Group Plc, a professional services firm, provides consultancy services in the United Kingdom, Australia, the United States, Norway, the Netherlands, Ireland, Canada, and internationally. It offers services in the areas of project and program management; design and development; water; environment; advisory and management consulting; exploration and development; planning and approvals; health, safety, and risk; oceans and coastal; laboratories; training and communication; and creative services. The company provides its services to property, energy, transport, water, defense and government service, and resources sectors.

RPS Group Fundamentals Summary

How do RPS Group's earnings and revenue compare to its market cap?
RPS fundamental statistics
Market CapUK£318.41m
Earnings (TTM)UK£5.70m
Revenue (TTM)UK£543.20m

55.6x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RPS income statement (TTM)
RevenueUK£543.20m
Cost of RevenueUK£419.40m
Gross ProfitUK£123.80m
ExpensesUK£118.10m
EarningsUK£5.70m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.022
Gross Margin22.79%
Net Profit Margin1.05%
Debt/Equity Ratio15.6%

How did RPS perform over the long term?

See historical performance and comparison

Dividends

0.4%

Current Dividend Yield

12%

Payout Ratio

Valuation

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

55.59x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RPS (£1.21) is trading above our estimate of fair value (£1.1)

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


Price To Earnings Ratio

PE vs Industry: RPS is poor value based on its PE Ratio (55.9x) compared to the UK Commercial Services industry average (44.3x).

PE vs Market: RPS is poor value based on its PE Ratio (55.9x) compared to the UK market (19x).


Price to Earnings Growth Ratio

PEG Ratio: RPS is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: RPS is good value based on its PB Ratio (0.9x) compared to the GB Commercial Services industry average (2.4x).


Future Growth

How is RPS Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

25.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RPS's forecast earnings growth (25.8% per year) is above the savings rate (0.9%).

Earnings vs Market: RPS's earnings (25.8% per year) are forecast to grow faster than the UK market (12.6% per year).

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

Revenue vs Market: RPS's revenue is expected to decline over the next 3 years (-1.1% per year).

High Growth Revenue: RPS's revenue is forecast to decline over the next 3 years (-1.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RPS's Return on Equity is forecast to be low in 3 years time (6.2%).


Past Performance

How has RPS Group performed over the past 5 years?

-39.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RPS has a large one-off loss of £4.4M impacting its June 30 2021 financial results.

Growing Profit Margin: RPS became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: RPS's earnings have declined by 39.4% per year over the past 5 years.

Accelerating Growth: RPS has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: RPS has become profitable in the last year, making it difficult to compare its past year earnings growth to the Commercial Services industry (29.3%).


Return on Equity

High ROE: RPS's Return on Equity (1.6%) is considered low.


Financial Health

How is RPS Group's financial position?


Financial Position Analysis

Short Term Liabilities: RPS's short term assets (£164.7M) do not cover its short term liabilities (£191.2M).

Long Term Liabilities: RPS's short term assets (£164.7M) exceed its long term liabilities (£45.6M).


Debt to Equity History and Analysis

Debt Level: RPS's net debt to equity ratio (8%) is considered satisfactory.

Reducing Debt: RPS's debt to equity ratio has reduced from 29% to 15.6% over the past 5 years.

Debt Coverage: RPS's debt is well covered by operating cash flow (60%).

Interest Coverage: RPS's interest payments on its debt are not well covered by EBIT (2.5x coverage).


Balance Sheet


Dividend

What is RPS Group current dividend yield, its reliability and sustainability?

0.43%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: RPS's dividend (0.43%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: RPS's dividend (0.43%) is low compared to the top 25% of dividend payers in the UK market (4.17%).


Stability and Growth of Payments

Stable Dividend: RPS is not paying a notable dividend for the UK market, therefore no need to check if payments are stable.

Growing Dividend: RPS is not paying a notable dividend for the UK market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: RPS is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RPS's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

John Douglas (59 yo)

4.17yrs

Tenure

UK£708,000

Compensation

Mr. John Matheson Douglas, BEng (Hons), MBA, MAICD, has been Chief Executive Officer of RPS Group plc since September 1, 2017. Mr. Douglas has been the Managing Director of Coffey International Limited sin...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD937.44K) is about average for companies of similar size in the UK market ($USD766.55K).

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


Leadership Team

Experienced Management: RPS's management team is considered experienced (2.8 years average tenure).


Board Members

Experienced Board: RPS's board of directors are considered experienced (3.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: RPS 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

RPS Group plc's employee growth, exchange listings and data sources


Key Information

  • Name: RPS Group plc
  • Ticker: RPS
  • Exchange: LSE
  • Founded: 1970
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: UK£318.412m
  • Shares outstanding: 263.15m
  • Website: https://www.rpsgroup.com

Number of Employees


Location

  • RPS Group plc
  • 20 Western Avenue
  • Milton Park
  • Abingdon
  • Oxfordshire
  • OX14 4SH
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/01 19:06
End of Day Share Price2021/12/01 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.