Coats Group
Market Cap
UK£1.1b
Last Updated
2019/11/18 20:35 UTC
Data Sources
Company Financials +
Executive Summary
Coats Group plc manufactures and supplies industrial threads worldwide.
Snowflake
Fundamentals
Proven track record with mediocre balance sheet.
Share Price & News
How has Coats Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: COA has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-2.4%
COA
1.4%
GB Luxury
-0.06%
GB Market
1 Year Return
-4.2%
COA
5.2%
GB Luxury
4.6%
GB Market
Return vs Industry: COA underperformed the UK Luxury industry which returned 5.2% over the past year.
Return vs Market: COA underperformed the UK Market which returned 4.6% over the past year.
Shareholder returns
| COA | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.4% | 1.4% | -0.06% |
| 30 Day | 4.4% | 8.4% | 1.8% |
| 90 Day | 1.9% | -3.4% | 4.5% |
| 1 Year | -2.6%-4.2% | 7.8%5.2% | 10.1%4.6% |
| 3 Year | 98.9%90.1% | 30.4%21.9% | 22.4%6.9% |
| 5 Year | 192.8%179.8% | 32.1%17.8% | 33.3%3.1% |
Price Volatility Vs. Market
How volatile is Coats Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Coats Group plc's (LON:COA) CEO Overpaid Relative To Its Peers?2 weeks ago | Simply Wall St
Does Coats Group (LON:COA) Have A Healthy Balance Sheet?4 weeks ago | Simply Wall St
Coats Group plc (LON:COA) Looks Like A Good Stock, And It's Going Ex-Dividend SoonValuation
Is Coats Group undervalued compared to its fair value and its price relative to the market?
20.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: COA (£0.74) is trading below our estimate of fair value (£0.93)
Significantly Below Fair Value: COA is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: COA is poor value based on its PE Ratio (19.4x) compared to the Luxury industry average (18.1x).
PE vs Market: COA is poor value based on its PE Ratio (19.4x) compared to the UK market (17.1x).
Price to Earnings Growth Ratio
PEG Ratio: COA is poor value based on its PEG Ratio (1.9x)
Price to Book Ratio
PB vs Industry: COA is overvalued based on its PB Ratio (4.6x) compared to the GB Luxury industry average (2.2x).
Next Steps
Future Growth
How is Coats Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
10.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: COA's forecast earnings growth (10.3% per year) is above the savings rate (1.2%).
Earnings vs Market: COA's earnings (10.3% per year) are forecast to grow slower than the UK market (12.5% per year).
High Growth Earnings: COA's earnings are forecast to grow, but not significantly.
Revenue vs Market: COA's revenue (2.6% per year) is forecast to grow slower than the UK market (3.6% per year).
High Growth Revenue: COA's revenue (2.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: COA's Return on Equity is forecast to be high in 3 years time (26.6%)
Next Steps
Past Performance
How has Coats Group performed over the past 5 years?
25.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: COA has high quality earnings.
Growing Profit Margin: COA's current net profit margins (5.1%) are higher than last year (4.8%).
Past Earnings Growth Analysis
Earnings Trend: COA has become profitable over the past 5 years, growing earnings by 25.9% per year.
Accelerating Growth: COA's earnings growth over the past year (11.4%) is below its 5-year average (25.9% per year).
Earnings vs Industry: COA earnings growth over the past year (11.4%) exceeded the Luxury industry -1.3%.
Return on Equity
High ROE: Whilst COA's Return on Equity (27.41%) is high, this metric is skewed due to their high level of debt.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Coats Group's financial position?
Financial Position Analysis
Short Term Liabilities: COA's short term assets ($614.0M) exceeds its short term liabilities ($378.2M)
Long Term Liabilities: COA's short term assets ($614.0M) do not cover its long term liabilities (618.9M)
Debt to Equity History and Analysis
Debt Level: COA's debt to equity ratio (101.4%) is considered high.
Reducing Debt: COA's debt to equity ratio has increased from 67.9% to 101.4% over the past 5 years.
Debt Coverage: COA's debt is well covered by operating cash flow (39.5%).
Interest Coverage: COA's interest payments on its debt are well covered by EBIT (12.9x coverage).
Balance Sheet
Inventory Level: COA has a high level of physical assets or inventory.
Debt Coverage by Assets: COA's debt is covered by short term assets (assets are 1.8x debt).
Next Steps
Dividend
What is Coats Group's current dividend yield, its reliability and sustainability?
1.73%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: COA's dividend (1.73%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.97%).
High Dividend: COA's dividend (1.73%) is low compared to the top 25% of dividend payers in the UK market (5.35%).
Stability and Growth of Payments
Stable Dividend: COA's dividend payments have been volatile in the past 10 years.
Growing Dividend: COA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (34.4%), COA's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: COA's dividends in 3 years are forecast to be well covered by earnings (25.4% payout ratio).
Next Steps
Management
What is the CEO of Coats Group's salary, the management and board of directors tenure and is there insider trading?
2.8yrs
Average management tenure
CEO
Rajiv Sharma (52yo)
2.8yrs
Tenure
US$3,293,100
Compensation
Mr. Rajiv Sharma is a Non Executive Director at Senior plc since January 1, 2019. Mr. Sharma has been the Group Chief Executive at Coats Group Plc and Coats Group Limited since January 1, 2017. Mr. Sharma ...
CEO Compensation Analysis
Compensation vs Market: Rajiv's total compensation ($USD4.27M) is above average for companies of similar size in the UK market ($USD1.82M).
Compensation vs Earnings: Rajiv's compensation has increased by more than 20% in the past year.
Management Age and Tenure
2.8yrs
Average Tenure
57yo
Average Age
Experienced Management: COA's management team is considered experienced (2.8 years average tenure).
Board Age and Tenure
4.6yrs
Average Tenure
59yo
Average Age
Experienced Board: COA's board of directors are considered experienced (4.6 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Simon Boddie (59yo)
CFO & Executive Director
- Tenure: 3.3yrs
- Compensation: US$2.02m
Michael Schofer (57yo)
Chief Supply Chain Officer
- Tenure: 2.3yrs
Rajiv Sharma (52yo)
Group Chief Executive & Executive Director
- Tenure: 2.8yrs
- Compensation: US$3.29m
Stuart Morgan
Chief Legal & Risk Officer and Group Company Secretary
- Tenure: 0yrs
Yael Loewinger
Managing Director of Coats Global Services and Group Director of Strategy & M&A
- Tenure: 4.8yrs
Hizmy Hassen
Chief Digital & Technology Officer
- Tenure: 2.8yrs
Kristina Blissett
Head of Communications
- Tenure: 0yrs
Ronan Cox
President of Performance Materials
- Tenure: 2.8yrs
Monica McKee
Chief Human Resource Officer
- Tenure: 1.7yrs
Rob Mann
Head of Investor Relations
- Tenure: 0yrs
Board Members
Mike Clasper (66yo)
Chairman of the Board
- Tenure: 5.6yrs
- Compensation: US$250.90k
Alan Rosling (56yo)
Independent Non-Executive Director
- Tenure: 4.7yrs
- Compensation: US$70.00k
Simon Boddie (59yo)
CFO & Executive Director
- Tenure: 3.3yrs
- Compensation: US$2.02m
David Gosnell (62yo)
Independent Non-Executive Director
- Tenure: 4.7yrs
- Compensation: US$73.90k
Nicholas Bull
Senior Independent Non-Executive Director
- Tenure: 4.6yrs
- Compensation: US$72.60k
Fran Philip (61yo)
Independent Non-Executive Director
- Tenure: 3.1yrs
- Compensation: US$67.50k
Rajiv Sharma (52yo)
Group Chief Executive & Executive Director
- Tenure: 2.8yrs
- Compensation: US$3.29m
Anne Fahy (58yo)
Non-Executive Director
- Tenure: 1.7yrs
- Compensation: US$58.60k
Echo Lu
Independent Non-Executive Director
- Tenure: 1.9yrs
- Compensation: US$61.50k
Company Information
Coats Group plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Coats Group plc
- Ticker: COA
- Exchange: LSE
- Founded:
- Industry: Textiles
- Sector: Consumer Durables
- Market Cap: UK£1.060b
- Shares outstanding: 1.43b
- Website: https://www.coats.com
Number of Employees
Location
- Coats Group plc
- 1 The Square
- Stockley Park
- Uxbridge
- Middlesex
- UB11 1TD
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| COA | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Dec 2002 |
| COAL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Dec 2002 |
| 4TC | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Dec 2002 |
| GPGR.F | OTCPK (Pink Sheets LLC) | CDI (1:1) | US | USD | Mar 2015 |
Biography
Coats Group plc manufactures and supplies industrial threads worldwide. It provides sewing threads; engineered yarns; metal, plastic, and spiral zippers; and interlinings and reflective tapes for apparel, ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/18 20:35 |
| End of Day Share Price | 2019/11/18 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.