LSE:TED

Stock Analysis Report

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Executive Summary

Ted Baker Plc engages in the design, wholesale, and retail of menswear, womenswear, and accessories under the Ted Baker name.


Snowflake Analysis

Slightly overvalued with imperfect balance sheet.


Similar Companies

Share Price & News

How has Ted Baker's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: TED's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-12.1%

TED

13.6%

GB Luxury

5.5%

GB Market


1 Year Return

-89.6%

TED

-13.7%

GB Luxury

-9.2%

GB Market

Return vs Industry: TED underperformed the UK Luxury industry which returned -13.7% over the past year.

Return vs Market: TED underperformed the UK Market which returned -9.2% over the past year.


Shareholder returns

TEDIndustryMarket
7 Day-12.1%13.6%5.5%
30 Day-8.6%29.0%10.8%
90 Day-43.9%5.9%-0.4%
1 Year-89.5%-89.6%-12.0%-13.7%-4.8%-9.2%
3 Year-94.0%-94.4%-15.2%-20.2%-0.8%-12.9%
5 Year-94.7%-95.3%0.1%-10.6%18.1%-8.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ted Baker undervalued compared to its fair value and its price relative to the market?

17.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TED (£1.35) is trading below our estimate of fair value (£1.64)

Significantly Below Fair Value: TED is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: TED is unprofitable, so we can't compare its PE Ratio to the Luxury industry average.

PE vs Market: TED is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate TED's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: TED is good value based on its PB Ratio (0.4x) compared to the GB Luxury industry average (1.7x).


Next Steps

Future Growth

How is Ted Baker forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

-0.1%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if TED's forecast earnings growth is above the savings rate (1.2%).

Earnings vs Market: Insufficient data to determine if TED's earnings are forecast to grow faster than the UK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: TED's revenue is expected to decline over the next 3 years (-0.1% per year).

High Growth Revenue: TED's revenue is forecast to decline over the next 3 years (-0.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TED is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Ted Baker performed over the past 5 years?

-38.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TED is currently unprofitable.

Growing Profit Margin: TED is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TED is unprofitable, and losses have increased over the past 5 years at a rate of -38.8% per year.

Accelerating Growth: Unable to compare TED's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TED is unprofitable, making it difficult to compare its past year earnings growth to the Luxury industry (-17.7%).


Return on Equity

High ROE: TED has a negative Return on Equity (-47.38%), as it is currently unprofitable.


Next Steps

Financial Health

How is Ted Baker's financial position?


Financial Position Analysis

Short Term Liabilities: TED's short term assets (£258.9M) do not cover its short term liabilities (£316.8M).

Long Term Liabilities: TED's short term assets (£258.9M) exceed its long term liabilities (£135.5M).


Debt to Equity History and Analysis

Debt Level: TED's debt to equity ratio (121.2%) is considered high.

Reducing Debt: TED's debt to equity ratio has increased from 18.6% to 121.2% over the past 5 years.

Debt Coverage: TED's debt is well covered by operating cash flow (54.7%).

Interest Coverage: Insufficient data to determine if TED's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Ted Baker's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate TED's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate TED's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if TED's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if TED's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: TED is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TED's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

0.5yrs

Average management tenure


CEO

Rachel Osborne

0.50

Tenure

UK£505,348

Compensation

Ms. Rachel Osborne serves as Chief Executive Officer at Ted Baker Plc since March 30, 2020. She is Director of Ted Baker Plc since November 12, 2019 and served as its Acting Chief Executive Officer since D ...


CEO Compensation Analysis

Compensation vs Market: Rachel's total compensation ($USD642.73K) is above average for companies of similar size in the UK market ($USD341.60K).

Compensation vs Earnings: Insufficient data to compare Rachel's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Rachel Osborne
CEO & Director0.50yrUK£505.35kno data
Lindsay Page
Chief Operating Officer5.92yrsUK£522.71kno data
Jennifer Roebuck
Chief Customer Officer0.17yrUK£67.00kno data
David Wolffe
CFO & Director0.083yrno datano data
Peter Hearsey-Zoubie
General Counsel & Company Secretaryno datano datano data
Ari Hoffman
Chief Executive of North American Business0.67yrno datano data
Charles Anderson
Finance Director & Company Secretaryno datano datano data

0.5yrs

Average Tenure

54.5yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Rachel Osborne
CEO & Director0.50yrUK£505.35kno data
David Wolffe
CFO & Director0.083yrno datano data
Jonathan Kempster
Independent Non-Executive Director0.50yrUK£9.00kno data
Andrew Jennings
Independent Non-Executive Director6.33yrsUK£76.00k0.011% £6.7k
Sharon Baylay
Acting Independent Chairman0.50yrUK£83.00kno data
Helena Feltham
Senior Independent Director0.50yrUK£37.00kno data

0.5yrs

Average Tenure

55yo

Average Age

Experienced Board: TED's board of directors are not considered experienced ( 0.5 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: 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.


Top Shareholders

Company Information

Ted Baker Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ted Baker Plc
  • Ticker: TED
  • Exchange: LSE
  • Founded: 1987
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: UK£60.058m
  • Shares outstanding: 44.59m
  • Website: https://www.tedbakerplc.com

Number of Employees


Location

  • Ted Baker Plc
  • The Ugly Brown Building
  • 6a St Pancras Way
  • London
  • Greater London
  • NW1 0TB
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TEDLSE (London Stock Exchange)YesOrdinary SharesGBGBPJul 1997
TBAK.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJul 1997
TEDLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJul 1997
TEBDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 1997

Biography

Ted Baker Plc engages in the design, wholesale, and retail of menswear, womenswear, and accessories under the Ted Baker name. The company operates through three segments: Retail, Wholesale, and Licensing. It offers a range of collections, including global, phormal, endurance, accessories, bedding, children’s wear, crockery, eyewear, footwear, fragrance and skin wear, gifting and stationery, jewelry, lingerie and sleepwear, luggage, neckwear, rugs, suiting, technical accessories, tiles, and watches. The company distributes its products through retail stores, concessions, independent retailers, and department stores, as well as through its e-commerce business. It operates 532 stores and concessions comprising 195 in the United Kingdom; 113 in Europe; 127 in the United States and Canada; 88 in the Middle East, Africa, and Asia; and 9 in Australasia. Ted Baker Plc was founded in 1987 and is headquartered in London, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 23:56
End of Day Share Price2020/06/05 00:00
Earnings2020/01/25
Annual Earnings2020/01/25


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.