LSE:BOOT

Stock Analysis Report

Executive Summary

Henry Boot PLC invests in, develops, and trades in properties in the United Kingdom.

Snowflake

Fundamentals

Excellent balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.9%

BOOT

7.1%

GB Consumer Durables

2.0%

GB Market


1 Year Return

-9.7%

BOOT

12.2%

GB Consumer Durables

3.3%

GB Market

Return vs Industry: BOOT underperformed the UK Consumer Durables industry which returned 12.2% over the past year.

Return vs Market: BOOT underperformed the UK Market which returned 3.3% over the past year.


Share holder returns

BOOTIndustryMarket
7 Day1.9%7.1%2.0%
30 Day-2.4%3.0%-1.0%
90 Day-2.8%10.3%-1.7%
1 Year-6.3%-9.7%20.2%12.2%8.3%3.3%
3 Year33.8%22.0%63.6%35.7%19.0%4.5%
5 Year52.7%31.5%132.4%73.9%38.4%8.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Henry Boot undervalued based on future cash flows and its price relative to the stock market?

9x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Undervalued: BOOT (£2.41) is trading above our estimate of fair value (£1.44)

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


Price Based on Earnings

PE vs Industry: BOOT is good value based on its PE Ratio (9x) compared to the Consumer Durables industry average (10.4x).

PE vs Market: BOOT is good value based on its PE Ratio (9x) compared to the UK market (16.4x).


Price Based on Expected Growth

Low PEG Ratio: BOOT is poor value based on its PEG Ratio (1.3x)


Price Based on Value of Assets

PB vs Industry: BOOT is good value based on its PB Ratio (1x) compared to the GB Consumer Durables industry average (1.5x).


Next Steps

Future Growth

How is Henry Boot expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: BOOT's forecast earnings growth (6.8% per year) is above the savings rate (1.2%).

Earnings vs Market: BOOT's earnings (6.8% per year) are forecast to grow slower than the UK market (12.3% per year).

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

Revenue vs Market: BOOT's revenue (0.4% per year) is forecast to grow slower than the UK market (4% per year).

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


Earnings per Share Growth Estimates


Future Return on Equity

High Future ROE: BOOT's Return on Equity is forecast to be low in 3 years time (12.6%).


Next Steps

Past Performance

How has Henry Boot performed over the past 5 years?

17.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BOOT's earnings have grown by 17% per year over the past 5 years.

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

Earnings vs Industry: BOOT had negative earnings growth (-22.5%) over the past year, making it difficult to compare to the Consumer Durables industry average (6.8%).


Return on Equity

High ROE: BOOT's Return on Equity (12.3%) is considered low.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Henry Boot's financial position?


Financial Position Analysis

Short Term Liabilities: BOOT's short term assets (£343.9M) exceeds its short term liabilities (£138.7M)

Long Term Liabilities: BOOT's short term assets (£343.9M) exceeds its long term liabilities (£26.2M)


Debt to Equity History and Analysis

Debt Level: BOOT's debt to equity ratio (16.9%) is considered satisfactory

Reducing Debt: BOOT's debt to equity ratio has reduced from 19.4% to 16.9% over the past 5 years.

Debt Coverage: BOOT's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: BOOT's interest payments on its debt are well covered by EBIT (45.8x coverage).


Balance Sheet

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

Debt Coverage by Assets: BOOT's debt is covered by short term assets (assets are 6.537670x debt).


Next Steps

Dividend

What is Henry Boot's current dividend yield, its reliability and sustainability?

4.39%

Expected Dividend Yield


Dividend Yield vs Market

company3.7%marketbottom25%2.0%markettop25%5.4%industryaverage4.3%forecastin3Years4.4%

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

Notable Dividend: BOOT's dividend (3.73%) is higher than the bottom 25% of dividend payers in the UK market (2%).

High Dividend: BOOT's dividend (3.73%) is low compared to the top 25% of dividend payers in the UK market (5.42%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.5%), BOOT's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BOOT's dividends in 3 years are forecast to be well covered by earnings (36.3% payout ratio).


Next Steps

Management

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

9.8yrs

Average management tenure


CEO

John Sutcliffe (59yo)

3.8yrs

Tenure

UK£1,262,000

Compensation

Mr. John T. Sutcliffe, BA, ACA, has been Chief Executive of Henry Boot PLC since January 1, 2016. Mr. Sutcliffe has been Chairman and Group Chief Executive Officer of Henry Boot Construction Limited since  ...


CEO Compensation Analysis

Compensation vs. Market: John's total compensation ($USD1.60M) is about average for companies of similar size in the UK market ($USD868.23K).

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


Management Age and Tenure

9.8yrs

Average Tenure

55.5yo

Average Age

Experienced Management: BOOT's management team is seasoned and experienced (9.8 years average tenure).


Board Age and Tenure

3.8yrs

Average Tenure

57yo

Average Age

Experienced Board: BOOT's board of directors are considered experienced (3.8 years average tenure).


Insider Trading

Insider Buying: BOOT insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£95,00019 Sep 19
Henry Boot Plc, Employee Benefit Trust
EntityCompany
Shares40,000
Max PriceUK£2.38
BuyUK£11,87519 Sep 19
Darren Littlewood
EntityIndividual
Role
Member of the Board of Directors
Group Finance Director & Executive Director
Shares5,000
Max PriceUK£2.38
BuyUK£239,00023 Aug 19
Henry Boot Plc, Employee Benefit Trust
EntityCompany
Shares100,000
Max PriceUK£2.39
BuyUK£63,00024 Jun 19
Henry Boot Plc, Employee Benefit Trust
EntityCompany
Shares25,000
Max PriceUK£2.52
BuyUK£9,36520 Jun 19
Darren Littlewood
EntityIndividual
Role
Member of the Board of Directors
Group Finance Director & Executive Director
Shares3,748
Max PriceUK£2.50
BuyUK£62,50018 Jun 19
Henry Boot Plc, Employee Benefit Trust
EntityCompany
Shares25,000
Max PriceUK£2.50
BuyUK£75,45007 Jun 19
Henry Boot Plc, Employee Benefit Trust
EntityCompany
Shares30,000
Max PriceUK£2.52
SellUK£75,42007 Jun 19
John Sutcliffe
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares30,000
Max PriceUK£2.51
SellUK£581,62509 Apr 19
Jonathan Sykes
EntityIndividual
Role
Member of the Board of Directors
Non-Independent Non-Executive Director
Shares225,000
Max PriceUK£2.59
BuyUK£5,18021 Jan 19
Gerald Jennings
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares2,000
Max PriceUK£2.59
BuyUK£5,95418 Dec 18
Darren Littlewood
EntityIndividual
Role
Member of the Board of Directors
Group Finance Director & Executive Director
Shares2,500
Max PriceUK£2.38
BuyUK£6,10317 Dec 18
Darren Littlewood
EntityIndividual
Role
Member of the Board of Directors
Group Finance Director & Executive Director
Shares2,500
Max PriceUK£2.44

Ownership Breakdown


Management Team

  • John Sutcliffe (59yo)

    CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: UK£1.26m
  • Giles Boot (59yo)

    Managing Director of Banner Plant Limited

    • Tenure: 19.8yrs
  • David Anderson (52yo)

    Managing Director of Henry Boot Developments Limited

    • Tenure: 14.3yrs
  • Simon Carr (61yo)

    Managing Director of Henry Boot Construction Limited

    • Tenure: 10.1yrs
  • Nick Duckworth (51yo)

    Managing Director of Hallam Land Management Limited

    • Tenure: 3.8yrs
  • Darren Stubbs (49yo)

    Managing Director of Stonebridge Homes Limited

    • Tenure: 9.8yrs
  • Darren Littlewood

    Group Finance Director & Executive Director

    • Tenure: 3.8yrs
    • Compensation: UK£607.00k
  • Rachel White

    Head of Human Resources

    • Tenure: 0yrs
  • Richard Grafton

    Head of Policy & Compliance

    • Tenure: 0yrs
  • Amy Oakley

    Head of Legal and Commercial & Company Secretary

    • Tenure: 0yrs

Board Members

  • John Sutcliffe (59yo)

    CEO & Executive Director

    • Tenure: 3.8yrs
    • Compensation: UK£1.26m
  • Jamie Boot (67yo)

    Chairman of the Board

    • Tenure: 3.8yrs
    • Compensation: UK£85.00k
  • Jonathan Sykes (54yo)

    Non-Independent Non-Executive Director

    • Tenure: 8.6yrs
    • Compensation: UK£45.00k
  • Joanne Lake (55yo)

    Deputy Chairman

    • Tenure: 3.8yrs
    • Compensation: UK£45.00k
  • Darren Littlewood

    Group Finance Director & Executive Director

    • Tenure: 3.8yrs
    • Compensation: UK£607.00k
  • Peter Mawson

    Senior Independent Non-Executive Director

    • Tenure: 3.8yrs
    • Compensation: UK£45.00k
  • Gerald Jennings

    Independent Non-Executive Director

    • Tenure: 4yrs
    • Compensation: UK£45.00k

Company Information

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


Key Information

  • Name: Henry Boot PLC
  • Ticker: BOOT
  • Exchange: LSE
  • Founded: 1886
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Market Cap: UK£319.627m
  • Shares outstanding: 132.63m
  • Website: https://www.henryboot.co.uk

Number of Employees


Location

  • Henry Boot PLC
  • Banner Cross Hall
  • Ecclesall Road South
  • Sheffield
  • South Yorkshire
  • S11 9PD
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BOOTLSE (London Stock Exchange)YesOrdinary SharesGBGBPMay 1992
0KHBST (Boerse-Stuttgart)YesOrdinary SharesDEEURMay 1992

Biography

Henry Boot PLC invests in, develops, and trades in properties in the United Kingdom. It operates through Property Investment and Development, Land Promotion, and Construction segments. The company develops ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/13 20:41
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.

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