LSE:CRST

Stock Analysis Report

Executive Summary

Crest Nicholson Holdings plc builds homes in the United Kingdom.


Snowflake Analysis

Flawless balance sheet, undervalued and pays a dividend.


Similar Companies

Share Price & News

How has Crest Nicholson Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CRST has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.2%

CRST

-0.1%

GB Consumer Durables

0.5%

GB Market


1 Year Return

18.0%

CRST

27.8%

GB Consumer Durables

7.0%

GB Market

Return vs Industry: CRST underperformed the UK Consumer Durables industry which returned 27.8% over the past year.

Return vs Market: CRST exceeded the UK Market which returned 7% over the past year.


Shareholder returns

CRSTIndustryMarket
7 Day3.2%-0.1%0.5%
30 Day9.3%3.3%-0.3%
90 Day6.8%11.6%0.4%
1 Year28.8%18.0%36.6%27.8%12.6%7.0%
3 Year9.9%-11.6%65.1%38.3%18.7%3.6%
5 Year45.6%8.0%116.3%62.2%41.8%9.3%

Price Volatility Vs. Market

How volatile is Crest Nicholson Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Crest Nicholson Holdings undervalued compared to its fair value and its price relative to the market?

25.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CRST (£4.01) is trading below our estimate of fair value (£5.41)

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


Price To Earnings Ratio

PE vs Industry: CRST is good value based on its PE Ratio (7.6x) compared to the Consumer Durables industry average (10.9x).

PE vs Market: CRST is good value based on its PE Ratio (7.6x) compared to the UK market (17.2x).


Price to Earnings Growth Ratio

PEG Ratio: CRST is poor value based on its PEG Ratio (3.8x)


Price to Book Ratio

PB vs Industry: CRST is good value based on its PB Ratio (1.2x) compared to the GB Consumer Durables industry average (1.5x).


Next Steps

Future Growth

How is Crest Nicholson Holdings forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CRST's forecast earnings growth (2% per year) is above the savings rate (0.5%).

Earnings vs Market: CRST's earnings (2% per year) are forecast to grow slower than the UK market (12.4% per year).

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

Revenue vs Market: CRST's revenue is expected to decline over the next 3 years (-0.4% per year).

High Growth Revenue: CRST's revenue is forecast to decline over the next 3 years (-0.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CRST's Return on Equity is forecast to be low in 3 years time (12.2%).


Next Steps

Past Performance

How has Crest Nicholson Holdings performed over the past 5 years?

9.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CRST has high quality earnings.

Growing Profit Margin: CRST's current net profit margins (11.6%) are lower than last year (15.1%).


Past Earnings Growth Analysis

Earnings Trend: CRST's earnings have grown by 9.7% per year over the past 5 years.

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

Earnings vs Industry: CRST had negative earnings growth (-17.7%) over the past year, making it difficult to compare to the Consumer Durables industry average (4.4%).


Return on Equity

High ROE: CRST's Return on Equity (15.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Crest Nicholson Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: CRST's short term assets (£1.5B) exceed its short term liabilities (£360.6M).

Long Term Liabilities: CRST's short term assets (£1.5B) exceed its long term liabilities (£396.0M).


Debt to Equity History and Analysis

Debt Level: CRST's debt to equity ratio (29.5%) is considered satisfactory.

Reducing Debt: CRST's debt to equity ratio has reduced from 30.9% to 29.5% over the past 5 years.

Debt Coverage: CRST's debt is well covered by operating cash flow (37.4%).

Interest Coverage: CRST's interest payments on its debt are well covered by EBIT (16.6x coverage).


Balance Sheet

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

Debt Coverage by Assets: CRST's debt is covered by short term assets (assets are 5.9x debt).


Next Steps

Dividend

What is Crest Nicholson Holdings's current dividend yield, its reliability and sustainability?

8.23%

Current Dividend Yield


Dividend Yield vs Market

company8.2%marketbottom25%1.9%markettop25%5.2%industryaverage6.1%forecastin3Years8.3%

Current dividend yield vs market & industry

Notable Dividend: CRST's dividend (8.23%) is higher than the bottom 25% of dividend payers in the UK market (1.95%).

High Dividend: CRST's dividend (8.23%) is in the top 25% of dividend payers in the UK market (5.2%)


Stability and Growth of Payments

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

Growing Dividend: CRST's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (62.2%), CRST's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CRST's dividends in 3 years are forecast to be covered by earnings (71.9% payout ratio).


Next Steps

Management

What is the CEO of Crest Nicholson Holdings's salary, the management and board of directors tenure and is there insider trading?

0.5yrs

Average management tenure


CEO

Peter Truscott (56yo)

0.3yrs

Tenure

0

Mr. Peter Truscott serves as Chief Executive Officer and Director of Crest Nicholson Holdings plc since September 9, 2019. Mr. Peter Truscott was the Chief Executive of Galliford Try plc since October 1, 2 ...


Management Age and Tenure

0.5yrs

Average Tenure

54yo

Average Age

Experienced Management: CRST's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Age and Tenure

1.9yrs

Average Tenure

55yo

Average Age

Experienced Board: CRST's board of directors are not considered experienced ( 1.9 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

SellUK£535,96301 Apr 19
Chris Tinker
EntityIndividual
Role
Member of the Board of Directors
Chairman of Major Projects & Strategic Partnerships and Executive Director
Shares145,000
Max PriceUK£3.70

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Peter Truscott (56yo)

    CEO & Director

    • Tenure: 0.3yrs
  • Trevor Selwyn

    Managing Director of London

    • Tenure: 0yrs
  • Darren Dancey (45yo)

    Managing Director of Crest Nicholson South West

    • Tenure: 2.3yrs
  • Tom Nicholson (54yo)

    Chief Operating Officer

    • Tenure: 0.6yrs
  • Ben Miller

    Managing Director of Crest Nicholson Midlands

    • Tenure: 0yrs
  • Scott Black

    Managing Director of Regeneration

    • Tenure: 0yrs
  • John Shelbourne

    Managing Director of Crest Nicholson South

    • Tenure: 0yrs
  • Andrew Dobson

    Managing Director of Crest Strategic Projects

    • Tenure: 0yrs
  • Eleni Psarompa-Rothwell

    Group Technical & Quality Director

    • Tenure: 0yrs
  • Duncan Cooper

    Group Finance Director & Director

    • Tenure: 0.5yrs

Board Members

  • Iain G. Ferguson (64yo)

    Independent Non-Executive Chairman

    • Tenure: 0.08yrs
  • Lucinda Bell (54yo)

    Independent Non-Executive Director

    • Tenure: 1.6yrs
    • Compensation: UK£22.00k
  • Peter Truscott (56yo)

    CEO & Director

    • Tenure: 0.3yrs
  • Philippe Van de Walle (63yo)

    Deputy Chairman & Senior Independent Director

    • Tenure: 1.9yrs
    • Compensation: UK£66.00k
  • Octavia Morley (51yo)

    Independent Non-Executive Director

    • Tenure: 2.6yrs
    • Compensation: UK£59.00k
  • Sharon Flood (54yo)

    Independent Non-Executive Director

    • Tenure: 4.7yrs
    • Compensation: UK£60.00k
  • Louise Hardy (52yo)

    Independent Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: UK£40.00k
  • Chris Tinker (58yo)

    Chairman of Major Projects & Strategic Partnerships and Executive Director

    • Tenure: 2.9yrs
    • Compensation: UK£452.00k
  • Duncan Cooper

    Group Finance Director & Director

    • Tenure: 0.5yrs

Company Information

Crest Nicholson Holdings plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Crest Nicholson Holdings plc
  • Ticker: CRST
  • Exchange: LSE
  • Founded: 1963
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Market Cap: UK£1.030b
  • Shares outstanding: 256.78m
  • Website: https://www.crestnicholson.com

Number of Employees


Location

  • Crest Nicholson Holdings plc
  • Crest House
  • Pyrcroft Road
  • Chertsey
  • Surrey
  • KT16 9GN
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CRSTLSE (London Stock Exchange)YesOrdinary SharesGBGBPFeb 2013
C38DB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 2013
CRSTLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPFeb 2013
CRTH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDFeb 2013

Biography

Crest Nicholson Holdings plc builds homes in the United Kingdom. It develops apartments, houses, regeneration schemes, and garden villages; and commercial properties. The company serves first-time buyers,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 21:39
End of Day Share Price2019/12/11 00:00
Earnings2019/04/30
Annual Earnings2018/10/31


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.