RDW Stock Overview
Redrow plc focuses on housebuilding activities in the United Kingdom.
Price History & Performance
|Historical stock prices|
|Current Share Price||UK£6.48|
|52 Week High||UK£7.44|
|52 Week Low||UK£4.92|
|1 Month Change||0.43%|
|3 Month Change||-8.06%|
|1 Year Change||16.23%|
|3 Year Change||31.92%|
|5 Year Change||47.01%|
|Change since IPO||401.74%|
Recent News & Updates
Redrow plc's (LON:RDW) Intrinsic Value Is Potentially 92% Above Its Share Price
Today we will run through one way of estimating the intrinsic value of Redrow plc ( LON:RDW ) by taking the forecast...
Is It Too Late To Consider Buying Redrow plc (LON:RDW)?
Redrow plc ( LON:RDW ), might not be a large cap stock, but it saw a decent share price growth in the teens level on...
|RDW||GB Consumer Durables||GB Market|
Return vs Industry: RDW exceeded the UK Consumer Durables industry which returned 7.1% over the past year.
Return vs Market: RDW exceeded the UK Market which returned 13.8% over the past year.
|RDW Average Weekly Movement||3.5%|
|Consumer Durables Industry Average Movement||3.6%|
|Market Average Movement||4.9%|
|10% most volatile stocks in GB Market||9.8%|
|10% least volatile stocks in GB Market||2.5%|
Stable Share Price: RDW is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: RDW's weekly volatility (3%) has been stable over the past year.
About the Company
Redrow plc focuses on housebuilding activities in the United Kingdom. The company acquires land; and develops and sells residential housing properties. Redrow plc was founded in 1974 and is based in Flintshire, the United Kingdom.
Redrow Fundamentals Summary
|RDW fundamental statistics|
Is RDW overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|RDW income statement (TTM)|
|Cost of Revenue||UK£1.52b|
Last Reported Earnings
Jun 27, 2021
Next Earnings Date
Feb 09, 2022
|Earnings per share (EPS)||0.74|
|Net Profit Margin||13.10%|
How did RDW perform over the long term?See historical performance and comparison
3.8%Current Dividend Yield
Is Redrow undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RDW (£6.48) is trading below our estimate of fair value (£11.55)
Significantly Below Fair Value: RDW is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RDW is good value based on its PE Ratio (8.8x) compared to the UK Consumer Durables industry average (12.3x).
PE vs Market: RDW is good value based on its PE Ratio (8.8x) compared to the UK market (19x).
Price to Earnings Growth Ratio
PEG Ratio: RDW is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: RDW is good value based on its PB Ratio (1.2x) compared to the GB Consumer Durables industry average (1.4x).
How is Redrow forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RDW's forecast earnings growth (7.2% per year) is above the savings rate (0.9%).
Earnings vs Market: RDW's earnings (7.2% per year) are forecast to grow slower than the UK market (12.6% per year).
High Growth Earnings: RDW's earnings are forecast to grow, but not significantly.
Revenue vs Market: RDW's revenue (5.6% per year) is forecast to grow faster than the UK market (4.9% per year).
High Growth Revenue: RDW's revenue (5.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RDW's Return on Equity is forecast to be low in 3 years time (13.1%).
How has Redrow performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RDW has high quality earnings.
Growing Profit Margin: RDW's current net profit margins (13.1%) are higher than last year (8.5%).
Past Earnings Growth Analysis
Earnings Trend: RDW's earnings have declined by 4.8% per year over the past 5 years.
Accelerating Growth: RDW's earnings growth over the past year (122.7%) exceeds its 5-year average (-4.8% per year).
Earnings vs Industry: RDW earnings growth over the past year (122.7%) exceeded the Consumer Durables industry 57.9%.
Return on Equity
High ROE: RDW's Return on Equity (13.6%) is considered low.
How is Redrow's financial position?
Financial Position Analysis
Short Term Liabilities: RDW's short term assets (£2.8B) exceed its short term liabilities (£767.0M).
Long Term Liabilities: RDW's short term assets (£2.8B) exceed its long term liabilities (£201.0M).
Debt to Equity History and Analysis
Debt Level: RDW is debt free.
Reducing Debt: RDW has no debt compared to 5 years ago when its debt to equity ratio was 26.3%.
Debt Coverage: RDW has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: RDW has no debt, therefore coverage of interest payments is not a concern.
What is Redrow current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RDW's dividend (3.78%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).
High Dividend: RDW's dividend (3.78%) is low compared to the top 25% of dividend payers in the UK market (4.17%).
Stability and Growth of Payments
Stable Dividend: RDW has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: RDW's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (33.2%), RDW's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: RDW's dividends in 3 years are forecast to be well covered by earnings (41.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Matthew Brennan-Pratt (46 yo)
Mr. Matthew Brennan-Pratt has been Group Chief Executive at Redrow plc since July 01, 2020 and served as its Chief Operating Officer since April 01, 2019 until July 01, 2020. Mr. Brennan-Pratt served as Ch...
CEO Compensation Analysis
Compensation vs Market: Matthew's total compensation ($USD1.51M) is about average for companies of similar size in the UK market ($USD1.75M).
Compensation vs Earnings: Matthew's compensation has increased by more than 20% in the past year.
Experienced Management: RDW's management team is seasoned and experienced (9.6 years average tenure).
Experienced Board: RDW's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Redrow plc's employee growth, exchange listings and data sources
- Name: Redrow plc
- Ticker: RDW
- Exchange: LSE
- Founded: 1974
- Industry: Homebuilding
- Sector: Consumer Durables
- Market Cap: UK£2.225b
- Shares outstanding: 343.35m
- Website: https://www.redrowplc.co.uk
Number of Employees
- Redrow plc
- Redrow House
- St. David's Park
- CH5 3RX
- United Kingdom
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/11/30 21:38|
|End of Day Share Price||2021/11/30 00:00|
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.