AIM:WGB

Stock Analysis Report

Executive Summary

Walker Greenbank PLC, a luxury interior furnishings company, designs, manufactures, markets, and distributes furnishings, fabrics, wallpapers, and related products worldwide.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

5.9%

WGB

6.9%

GB Consumer Durables

1.1%

GB Market


1 Year Return

1.3%

WGB

13.2%

GB Consumer Durables

2.7%

GB Market

Return vs Industry: WGB underperformed the UK Consumer Durables industry which returned 13.2% over the past year.

Return vs Market: WGB underperformed the UK Market which returned 2.7% over the past year.


Shareholder returns

WGBIndustryMarket
7 Day5.9%6.9%1.1%
30 Day-0.6%2.4%-1.7%
90 Day-10.1%9.6%-2.7%
1 Year5.1%1.3%21.2%13.2%7.8%2.7%
3 Year-56.7%-60.4%66.1%37.8%19.3%4.7%
5 Year-46.9%-52.6%128.1%70.7%38.0%8.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

11.2x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: WGB (£0.81) is trading above our estimate of fair value (£0.36)

Significantly Undervalued: WGB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WGB is poor value based on its PE Ratio (11.2x) compared to the Consumer Durables industry average (10.4x).

PE vs Market: WGB is good value based on its PE Ratio (11.2x) compared to the UK market (16.4x).


Price to Earnings Growth Ratio

Low PEG Ratio: WGB is poor value based on its PEG Ratio (18.3x)


Price to Book Ratio

PB vs Industry: WGB is good value based on its PB Ratio (0.9x) compared to the GB Consumer Durables industry average (1.5x).


Next Steps

Future Growth

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

0.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WGB's forecast earnings growth (0.6% per year) is below the savings rate (1.2%).

Earnings vs Market: WGB's earnings (0.6% per year) are forecast to grow slower than the UK market (12.3% per year).

High Growth Earnings: WGB's earnings are forecast to grow, but not significantly.

Revenue vs Market: WGB's revenue (0.4% per year) is forecast to grow slower than the UK market (3.8% per year).

High Growth Revenue: WGB's revenue (0.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: WGB's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has Walker Greenbank performed over the past 5 years?

13.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WGB's earnings have grown by 13.2% per year over the past 5 years.

Accelerating Growth: WGB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: WGB had negative earnings growth (-57.2%) over the past year, making it difficult to compare to the Consumer Durables industry average (6.8%).


Return on Equity

High ROE: WGB's Return on Equity (8.4%) is considered low.


Return on Assets

ROA vs Industry: WGB's Return on Assets is below or equal to the Consumer Durables industry average last year.


Return on Capital Employed

ROCE Improving: WGB's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Walker Greenbank's financial position?


Financial Position Analysis

Short Term Liabilities: WGB's short term assets (£49.3M) exceeds its short term liabilities (£23.8M)

Long Term Liabilities: WGB's short term assets (49.3M) exceeds its long term liabilities (10.6M)


Debt to Equity History and Analysis

Debt Level: WGB's debt to equity ratio (3.3%) is considered satisfactory

Reducing Debt: WGB's debt to equity ratio has reduced from 5.1% to 3.3% over the past 5 years.

Debt Coverage: WGB's debt is well covered by operating cash flow (583.1%).

Interest Coverage: WGB's interest payments on its debt are well covered by EBIT (25.5x coverage).


Balance Sheet

Inventory Level: WGB has a high level of physical assets or inventory.

Debt Coverage by Assets: WGB's debt is covered by short term assets (assets are 24.882380x debt).


Next Steps

Dividend

What is Walker Greenbank's current dividend yield, its reliability and sustainability?

4.02%

Current Dividend Yield


Dividend Yield vs Market

company4.0%marketbottom25%2.0%markettop25%5.4%industryaverage6.3%forecastin3Years3.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: WGB's dividend (4.02%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).

High Dividend: WGB's dividend (4.02%) is low compared to the top 25% of dividend payers in the UK market (5.44%).

Stable Dividend: WGB's dividend payments have been volatile in the past 10 years.

Growing Dividend: WGB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (45.1%), WGB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WGB's dividends in 3 years are forecast to be well covered by earnings (31.2% payout ratio).


Next Steps

Management

What is the CEO of Walker Greenbank's salary, the management and board of directors tenure and is there insider trading?

4.6yrs

Average management tenure


CEO

Lisa Montague (55yo)

0.5yrs

Tenure

0

Ms. Lisa Kimberley Montague has been the Chief Executive Officer of Walker Greenbank PLC since April 10, 2019. Ms. Montague has been an Executive Director of Walker Greenbank PLC since March 11, 2019. She  ...


Management Age and Tenure

4.6yrs

Average Tenure

Experienced Management: WGB's management team is considered experienced (4.6 years average tenure).


Board Age and Tenure

0.9yrs

Average Tenure

56yo

Average Age

Experienced Board: WGB's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£12,90015 Jul 19
Dianne Thompson
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares15,000
Max PriceUK£0.86
BuyUK£6,26317 Dec 18
Vijay Thakrar
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares7,500
Max PriceUK£0.83

Ownership Breakdown


Management Team

  • Lisa Montague (55yo)

    CEO & Executive Director

    • Tenure: 0.5yrs
  • Paul Mullan

    Managing Director of Manufacturing

    • Tenure: 3.6yrs
  • Caroline Geary

    Company Secretary

    • Tenure: 7.8yrs
  • Mike Gant (50yo)

    CFO & Executive Director

    • Tenure: 5.8yrs
    • Compensation: UK£338.00k
  • Steve Forder

    Managing Director of Clarke & Clarke

    • Tenure: 0yrs
  • Lee Clarke

    • Tenure: 0yrs

Board Members

  • Chris Rogers (59yo)

    Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: UK£257.25k
  • Dame Thompson (69yo)

    Non-Executive Chairman

    • Tenure: 0.5yrs
  • Lisa Montague (55yo)

    CEO & Executive Director

    • Tenure: 0.5yrs
  • Vijay Thakrar (56yo)

    Non-Executive Director

    • Tenure: 0.9yrs
    • Compensation: UK£9.00k
  • Mike Gant (50yo)

    CFO & Executive Director

    • Tenure: 5.8yrs
    • Compensation: UK£338.00k

Company Information

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


Key Information

  • Name: Walker Greenbank PLC
  • Ticker: WGB
  • Exchange: AIM
  • Founded: 1899
  • Industry: Home Furnishings
  • Sector: Consumer Durables
  • Market Cap: UK£56.787m
  • Shares outstanding: 70.98m
  • Website: https://www.walkergreenbank.com

Number of Employees


Location

  • Walker Greenbank PLC
  • Chalfont House
  • Oxford Road
  • Denham
  • Buckinghamshire
  • UB9 4DX
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WGBAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJan 1992

Biography

Walker Greenbank PLC, a luxury interior furnishings company, designs, manufactures, markets, and distributes furnishings, fabrics, wallpapers, and related products worldwide. The company operates through t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 20:35
End of Day Share Price2019/10/15 00:00
Earnings2019/01/31
Annual Earnings2019/01/31


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.