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GLE

MJ GleesonLSE:GLE Stock Report

Market Cap

UK£422.1m

7D

0.8%

1Y

4.9%

Updated

30 Nov, 2021

Data

Company Financials +
GLE fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance4/6
Financial Health6/6
Dividends4/6

GLE Stock Overview

MJ Gleeson plc engages in low-cost house building and land promotion activities in the United Kingdom.

MJ Gleeson Competitors

Persimmon

LSE:PSN

UK£8.7b

Barratt Developments

LSE:BDEV

UK£7.1b

Taylor Wimpey

LSE:TW.

UK£5.7b

Berkeley Group Holdings

LSE:BKG

UK£4.8b

Price History & Performance

Summary of all time highs, changes and price drops for MJ Gleeson
Historical stock prices
Current Share PriceUK£7.24
52 Week HighUK£9.10
52 Week LowUK£6.52
Beta1.15
1 Month Change-4.74%
3 Month Change-11.71%
1 Year Change4.93%
3 Year Change8.06%
5 Year Change25.91%
Change since IPO303.12%

Recent News & Updates

Shareholder Returns

GLEGB Consumer DurablesGB Market
7D0.8%-1.9%-2.6%
1Y4.9%0.6%10.9%

Return vs Industry: GLE underperformed the UK Consumer Durables industry which returned 7.1% over the past year.

Return vs Market: GLE underperformed the UK Market which returned 13.8% over the past year.

Price Volatility

Is GLE's price volatile compared to industry and market?
GLE volatility
GLE Average Weekly Movement5.2%
Consumer Durables Industry Average Movement3.6%
Market Average Movement4.9%
10% most volatile stocks in GB Market9.8%
10% least volatile stocks in GB Market2.5%

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

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

About the Company

FoundedEmployeesCEOWebsite
2014672James Thomsonhttps://www.mjgleesonplc.com

MJ Gleeson plc engages in low-cost house building and land promotion activities in the United Kingdom. The company operates through two divisions, Gleeson Homes and Gleeson Land. It also engages in the house building activities in the north of England and Midlands; and sale of land in the south of England.

MJ Gleeson Fundamentals Summary

How do MJ Gleeson's earnings and revenue compare to its market cap?
GLE fundamental statistics
Market CapUK£422.07m
Earnings (TTM)UK£33.87m
Revenue (TTM)UK£288.58m

12.5x

P/E Ratio

1.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GLE income statement (TTM)
RevenueUK£288.58m
Cost of RevenueUK£198.53m
Gross ProfitUK£90.05m
ExpensesUK£56.17m
EarningsUK£33.87m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.58
Gross Margin31.20%
Net Profit Margin11.74%
Debt/Equity Ratio0%

How did GLE perform over the long term?

See historical performance and comparison

Dividends

2.1%

Current Dividend Yield

26%

Payout Ratio

Valuation

Is MJ Gleeson undervalued compared to its fair value and its price relative to the market?

12.46x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: GLE (£7.24) is trading above our estimate of fair value (£4.59)

Significantly Below Fair Value: GLE is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: GLE is poor value based on its PE Ratio (12.5x) compared to the UK Consumer Durables industry average (12.3x).

PE vs Market: GLE is good value based on its PE Ratio (12.5x) compared to the UK market (19x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GLE is overvalued based on its PB Ratio (1.7x) compared to the GB Consumer Durables industry average (1.4x).


Future Growth

How is MJ Gleeson forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

10.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GLE's forecast earnings growth (10.5% per year) is above the savings rate (0.9%).

Earnings vs Market: GLE's earnings (10.5% per year) are forecast to grow slower than the UK market (12.6% per year).

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

Revenue vs Market: GLE's revenue (11% per year) is forecast to grow faster than the UK market (4.9% per year).

High Growth Revenue: GLE's revenue (11% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GLE's Return on Equity is forecast to be low in 3 years time (14.7%).


Past Performance

How has MJ Gleeson performed over the past 5 years?

-6.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GLE has high quality earnings.

Growing Profit Margin: GLE's current net profit margins (11.7%) are higher than last year (3.3%).


Past Earnings Growth Analysis

Earnings Trend: GLE's earnings have declined by 6.7% per year over the past 5 years.

Accelerating Growth: GLE's earnings growth over the past year (604.5%) exceeds its 5-year average (-6.7% per year).

Earnings vs Industry: GLE earnings growth over the past year (604.5%) exceeded the Consumer Durables industry 57.9%.


Return on Equity

High ROE: GLE's Return on Equity (13.8%) is considered low.


Financial Health

How is MJ Gleeson's financial position?


Financial Position Analysis

Short Term Liabilities: GLE's short term assets (£300.5M) exceed its short term liabilities (£61.1M).

Long Term Liabilities: GLE's short term assets (£300.5M) exceed its long term liabilities (£7.2M).


Debt to Equity History and Analysis

Debt Level: GLE is debt free.

Reducing Debt: GLE had no debt 5 years ago.

Debt Coverage: GLE has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: GLE has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is MJ Gleeson current dividend yield, its reliability and sustainability?

2.07%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GLE's dividend (2.07%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: GLE's dividend (2.07%) is low compared to the top 25% of dividend payers in the UK market (4.17%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (25.8%), GLE's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GLE's dividends in 3 years are forecast to be well covered by earnings (25.6% payout ratio).


Next Steps

Management

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

6.3yrs

Average management tenure


CEO

James Thomson

2.42yrs

Tenure

UK£1,173,000

Compensation

Mr. James Thomson, MA (Oxon), ACA has been Chief Executive Officer at MJ Gleeson plc since December 2, 2019 and serves as its Director since June 10, 2019 and served as its Interim Chief Executive Officer...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD1.55M) is above average for companies of similar size in the UK market ($USD766.55K).

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


Leadership Team

Experienced Management: GLE's management team is seasoned and experienced (6.3 years average tenure).


Board Members

Experienced Board: GLE's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: GLE 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

MJ Gleeson plc's employee growth, exchange listings and data sources


Key Information

  • Name: MJ Gleeson plc
  • Ticker: GLE
  • Exchange: LSE
  • Founded: 2014
  • Industry: Homebuilding
  • Sector: Consumer Durables
  • Market Cap: UK£422.073m
  • Shares outstanding: 58.30m
  • Website: https://www.mjgleesonplc.com

Number of Employees


Location

  • MJ Gleeson plc
  • 6 Europa Court
  • Sheffield Business Park
  • Sheffield
  • South Yorkshire
  • S9 1XE
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 21:37
End of Day Share Price2021/11/30 00:00
Earnings2021/06/30
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.