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BDEV

Barratt Developments LSE:BDEV Stock Report

Last Price

UK£5.04

Market Cap

UK£5.1b

7D

3.0%

1Y

-33.4%

Updated

28 May, 2022

Data

Company Financials +
BDEV fundamental analysis
Snowflake Score
Valuation5/6
Future Growth2/6
Past Performance3/6
Financial Health6/6
Dividends3/6

BDEV Stock Overview

Barratt Developments plc engages in the housebuilding and commercial development businesses in Great Britain.

Barratt Developments Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Barratt Developments
Historical stock prices
Current Share PriceUK£5.04
52 Week HighUK£7.79
52 Week LowUK£4.58
Beta1.56
1 Month Change2.13%
3 Month Change-12.39%
1 Year Change-33.42%
3 Year Change-9.75%
5 Year Change-15.29%
Change since IPO868.47%

Recent News & Updates

May 08
Why Barratt Developments plc (LON:BDEV) Could Be Worth Watching

Why Barratt Developments plc (LON:BDEV) Could Be Worth Watching

While Barratt Developments plc ( LON:BDEV ) might not be the most widely known stock at the moment, it saw significant...

Apr 07
Barratt Developments (LON:BDEV) Seems To Use Debt Rather Sparingly

Barratt Developments (LON:BDEV) Seems To Use Debt Rather Sparingly

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Mar 10
Estimating The Intrinsic Value Of Barratt Developments plc (LON:BDEV)

Estimating The Intrinsic Value Of Barratt Developments plc (LON:BDEV)

Does the March share price for Barratt Developments plc ( LON:BDEV ) reflect what it's really worth? Today, we will...

Feb 25
Barratt Developments (LON:BDEV) Has Some Way To Go To Become A Multi-Bagger

Barratt Developments (LON:BDEV) Has Some Way To Go To Become A Multi-Bagger

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Shareholder Returns

BDEVGB Consumer DurablesGB Market
7D3.0%3.0%2.5%
1Y-33.4%-29.8%-2.1%

Return vs Industry: BDEV underperformed the UK Consumer Durables industry which returned -29.8% over the past year.

Return vs Market: BDEV underperformed the UK Market which returned -2% over the past year.

Price Volatility

Is BDEV's price volatile compared to industry and market?
BDEV volatility
BDEV Average Weekly Movement4.5%
Consumer Durables Industry Average Movement4.9%
Market Average Movement6.0%
10% most volatile stocks in GB Market11.4%
10% least volatile stocks in GB Market3.0%

Stable Share Price: BDEV is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: BDEV's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19586,329David Thomashttps://www.barrattdevelopments.co.uk

Barratt Developments plc engages in the housebuilding and commercial development businesses in Great Britain. It acquires and develops land; plans, designs, and constructs homes, apartments, penthouses, and communities; and retail, leisure, office, industrial, and mixed-use properties. The company offers homes under the Barratt Homes, David Wilson Homes, and Barratt London brands.

Barratt Developments Fundamentals Summary

How do Barratt Developments's earnings and revenue compare to its market cap?
BDEV fundamental statistics
Market CapUK£5.14b
Earnings (TTM)UK£662.00m
Revenue (TTM)UK£4.56b

7.8x

P/E Ratio

1.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
BDEV income statement (TTM)
RevenueUK£4.56b
Cost of RevenueUK£3.42b
Gross ProfitUK£1.14b
Other ExpensesUK£478.30m
EarningsUK£662.00m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Sep 07, 2022

Earnings per share (EPS)0.65
Gross Margin24.98%
Net Profit Margin14.50%
Debt/Equity Ratio3.7%

How did BDEV perform over the long term?

See historical performance and comparison

Dividends

6.6%

Current Dividend Yield

51%

Payout Ratio

Valuation

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

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: BDEV (£5.04) is trading below our estimate of fair value (£11.89)

Significantly Below Fair Value: BDEV is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: BDEV is good value based on its Price-To-Earnings Ratio (7.8x) compared to the UK Consumer Durables industry average (9.9x).

PE vs Market: BDEV is good value based on its Price-To-Earnings Ratio (7.8x) compared to the UK market (15.3x).


Price to Earnings Growth Ratio

PEG Ratio: BDEV is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: BDEV is good value based on its Price-To-Book Ratio (0.9x) compared to the GB Consumer Durables industry average (1.2x).


Future Growth

How is Barratt Developments forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


6.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BDEV's forecast earnings growth (6.4% per year) is above the savings rate (0.9%).

Earnings vs Market: BDEV's earnings (6.4% per year) are forecast to grow slower than the UK market (11.1% per year).

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

Revenue vs Market: BDEV's revenue (5.2% per year) is forecast to grow faster than the UK market (3.9% per year).

High Growth Revenue: BDEV's revenue (5.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BDEV's Return on Equity is forecast to be low in 3 years time (12.5%).


Past Performance

How has Barratt Developments performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-2.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: BDEV has high quality earnings.

Growing Profit Margin: BDEV's current net profit margins (14.5%) are higher than last year (11.1%).


Past Earnings Growth Analysis

Earnings Trend: BDEV's earnings have declined by 2.3% per year over the past 5 years.

Accelerating Growth: BDEV's earnings growth over the past year (63.1%) exceeds its 5-year average (-2.3% per year).

Earnings vs Industry: BDEV earnings growth over the past year (63.1%) underperformed the Consumer Durables industry 114.8%.


Return on Equity

High ROE: BDEV's Return on Equity (11.8%) is considered low.


Financial Health

How is Barratt Developments's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: BDEV's short term assets (£6.4B) exceed its short term liabilities (£1.4B).

Long Term Liabilities: BDEV's short term assets (£6.4B) exceed its long term liabilities (£512.7M).


Debt to Equity History and Analysis

Debt Level: BDEV has more cash than its total debt.

Reducing Debt: BDEV's debt to equity ratio has reduced from 4.7% to 3.7% over the past 5 years.

Debt Coverage: BDEV's debt is well covered by operating cash flow (157.8%).

Interest Coverage: BDEV's interest payments on its debt are well covered by EBIT (34x coverage).


Balance Sheet


Dividend

What is Barratt Developments's current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


6.57%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: BDEV's dividend (6.57%) is higher than the bottom 25% of dividend payers in the UK market (1.8%).

High Dividend: BDEV's dividend (6.57%) is in the top 25% of dividend payers in the UK market (4.79%)


Stability and Growth of Payments

Stable Dividend: BDEV has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BDEV's dividend payments have increased, but the company has only paid a dividend for 9 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (50.9%), BDEV's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (107.1%), BDEV's dividend payments are not well covered by cash flows.


Discover strong dividend paying companies

Management

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

11.8yrs

Average management tenure


CEO

David Thomas (58 yo)

6.83yrs

Tenure

UK£3,888,000

Compensation

Mr. David Fraser Thomas has been Group Chief Executive Officer of Barratt Developments plc since July 1, 2015 and served as Chief Financial Officer since July 1, 2021. Mr. Thomas served as a Group Finance...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD4.90M) is above average for companies of similar size in the UK market ($USD3.31M).

Compensation vs Earnings: David's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: BDEV's management team is seasoned and experienced (11.8 years average tenure).


Board Members

Experienced Board: BDEV's board of directors are considered experienced (5.8 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

Barratt Developments plc's employee growth, exchange listings and data sources


Key Information

  • Name: Barratt Developments plc
  • Ticker: BDEV
  • Exchange: LSE
  • Founded: 1958
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Implied Market Cap: UK£5.143b
  • Shares outstanding: 1.02b
  • Website: https://www.barrattdevelopments.co.uk

Number of Employees


Location

  • Barratt Developments plc
  • Barratt House
  • Cartwright Way
  • Coalville
  • Leicestershire
  • LE67 1UF
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/28 00:00
End of Day Share Price2022/05/27 00:00
Earnings2021/12/31
Annual Earnings2021/06/30


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.