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Vitec Group

LSE:VTC
Snowflake Description

Outstanding track record with excellent balance sheet and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
VTC
LSE
£516M
Market Cap
  1. Home
  2. GB
  3. Consumer Durables
Company description

The Vitec Group plc designs, manufactures, and distributes products and services that enable end users to capture and share exceptional images for the broadcast, cinematic, video, and photographic applications worldwide. The last earnings update was 98 days ago. More info.


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VTC Share Price and Events
7 Day Returns
-3%
LSE:VTC
-0.3%
GB Consumer Durables
-0.1%
GB Market
1 Year Returns
-13.3%
LSE:VTC
-10.5%
GB Consumer Durables
-2.6%
GB Market
VTC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Vitec Group (VTC) -3% -1.3% -3.4% -13.3% 120.7% 101.8%
GB Consumer Durables -0.3% -1.9% -7.7% -10.5% 34.8% 48.8%
GB Market -0.1% 1.3% 2.5% -2.6% 16.5% 3.8%
1 Year Return vs Industry and Market
  • VTC underperformed the Consumer Durables industry which returned -10.5% over the past year.
  • VTC underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -2.6% over the past year.
Price Volatility
VTC
Industry
5yr Volatility vs Market

VTC Value

 Is Vitec Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Vitec Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Vitec Group.

LSE:VTC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 5 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.9%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:VTC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Consumer Durables Unlevered Beta Simply Wall St/ S&P Global 0.87
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.869 (1 + (1- 19%) (19.1%))
1.002
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.002 * 6.65%)
7.89%

Discounted Cash Flow Calculation for LSE:VTC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Vitec Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:VTC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 7.89%)
2019 25.98 Analyst x4 24.08
2020 34.00 Analyst x4 29.21
2021 45.17 Analyst x3 35.96
2022 53.30 Analyst x1 39.34
2023 54.20 Analyst x1 37.07
2024 55.04 Est @ 1.54% 34.89
2025 55.83 Est @ 1.45% 32.81
2026 56.60 Est @ 1.38% 30.83
2027 57.36 Est @ 1.33% 28.96
2028 58.10 Est @ 1.3% 27.19
Present value of next 10 years cash flows £320.33
LSE:VTC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £58.10 × (1 + 1.23%) ÷ (7.89% – 1.23%)
£882.67
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £882.67 ÷ (1 + 7.89%)10
£413.01
LSE:VTC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £320.33 + £413.01
£733.34
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £733.34 / 45.24
£16.21
LSE:VTC Discount to Share Price
Calculation Result
Value per share (GBP) From above. £16.21
Current discount Discount to share price of £11.40
= -1 x (£11.40 - £16.21) / £16.21
29.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Vitec Group is available for.
Intrinsic value
30%
Share price is £11.4 vs Future cash flow value of £16.21
Current Discount Checks
For Vitec Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Vitec Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Vitec Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Vitec Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Vitec Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:VTC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in GBP £0.76
LSE:VTC Share Price ** LSE (2019-06-26) in GBP £11.4
United Kingdom of Great Britain and Northern Ireland Consumer Durables Industry PE Ratio Median Figure of 26 Publicly-Listed Consumer Durables Companies 9.85x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 787 Publicly-Listed Companies 16.32x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Vitec Group.

LSE:VTC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:VTC Share Price ÷ EPS (both in GBP)

= 11.4 ÷ 0.76

14.98x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Vitec Group is overvalued based on earnings compared to the GB Consumer Durables industry average.
  • Vitec Group is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Vitec Group's expected growth come at a high price?
Raw Data
LSE:VTC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 14.98x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
11.6%per year
United Kingdom of Great Britain and Northern Ireland Consumer Durables Industry PEG Ratio Median Figure of 23 Publicly-Listed Consumer Durables Companies 1.62x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 577 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

LSE:VTC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 14.98x ÷ 11.6%

1.29x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Vitec Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Vitec Group's assets?
Raw Data
LSE:VTC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in GBP £3.61
LSE:VTC Share Price * LSE (2019-06-26) in GBP £11.4
United Kingdom of Great Britain and Northern Ireland Consumer Durables Industry PB Ratio Median Figure of 28 Publicly-Listed Consumer Durables Companies 1.57x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,372 Publicly-Listed Companies 1.48x
LSE:VTC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:VTC Share Price ÷ Book Value per Share (both in GBP)

= 11.4 ÷ 3.61

3.16x

* Primary Listing of Vitec Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Vitec Group is overvalued based on assets compared to the GB Consumer Durables industry average.
X
Value checks
We assess Vitec Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Durables industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Durables industry average (and greater than 0)? (1 check)
  5. Vitec Group has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

VTC Future Performance

 How is Vitec Group expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
11.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Vitec Group expected to grow at an attractive rate?
  • Vitec Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Vitec Group's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • Vitec Group's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:VTC Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:VTC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 11.6%
LSE:VTC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 4.3%
United Kingdom of Great Britain and Northern Ireland Consumer Durables Industry Earnings Growth Rate Market Cap Weighted Average 4.6%
United Kingdom of Great Britain and Northern Ireland Consumer Durables Industry Revenue Growth Rate Market Cap Weighted Average 1.7%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 10.6%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:VTC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:VTC Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31
2022-12-31 456 53 1
2021-12-31 444 61 43 5
2020-12-31 431 51 39 5
2019-12-31 412 41 30 5
LSE:VTC Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-12-31 385 47 34
2018-09-30 379 41 24
2018-06-30 372 35 14
2018-03-31 363 35 12
2017-12-31 353 35 11
2017-09-30 389 42 12
2017-06-30 340 49 30
2017-03-31 329 50 28
2016-12-31 319 52 25
2016-09-30 328 50 11
2016-06-30 306 48 13
2016-03-31 312 40 13

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Vitec Group's earnings are expected to grow by 11.6% yearly, however this is not considered high growth (20% yearly).
  • Vitec Group's revenue is expected to grow by 4.3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:VTC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (5 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Vitec Group Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:VTC Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.96 1.00 0.91 2.00
2020-12-31 0.86 0.89 0.84 2.00
2019-12-31 0.67 0.67 0.66 2.00
LSE:VTC Past Financials Data
Date (Data in GBP Millions) EPS *
2018-12-31 0.76
2018-09-30 0.54
2018-06-30 0.32
2018-03-31 0.28
2017-12-31 0.23
2017-09-30 0.27
2017-06-30 0.68
2017-03-31 0.62
2016-12-31 0.56
2016-09-30 0.25
2016-06-30 0.29
2016-03-31 0.29

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Vitec Group is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Vitec Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Vitec Group has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

VTC Past Performance

  How has Vitec Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Vitec Group's growth in the last year to its industry (Consumer Durables).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Vitec Group's year on year earnings growth rate has been positive over the past 5 years.
  • Vitec Group's 1-year earnings growth exceeds its 5-year average (226.7% vs 11.2%)
  • Vitec Group's earnings growth has exceeded the GB Consumer Durables industry average in the past year (226.7% vs 11.4%).
Earnings and Revenue History
Vitec Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Vitec Group Company Filings, last reported 5 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:VTC Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 385.40 34.30 111.50 15.70
2018-09-30 378.55 24.25 110.65 15.50
2018-06-30 371.70 14.20 109.80 15.30
2018-03-31 362.50 12.35 106.80 15.25
2017-12-31 353.30 10.50 103.80 15.20
2017-09-30 388.75 12.20 117.20 4.15
2017-06-30 339.80 30.30 94.20 14.40
2017-03-31 329.35 27.60 90.75 13.80
2016-12-31 318.90 24.90 87.30 13.20
2016-09-30 327.50 11.10 75.15 18.40
2016-06-30 305.90 12.70 70.60 17.50
2016-03-31 311.85 12.85 76.90 14.45
2015-12-31 317.80 13.00 83.20 11.40
2015-09-30 315.20 12.10 83.60 10.05
2015-06-30 312.60 11.20 84.00 8.70
2015-03-31 311.10 12.10 82.80 8.70
2014-12-31 309.60 13.00 81.60 8.70
2014-09-30 310.15 15.35 80.70 9.05
2014-06-30 310.70 17.70 79.80 9.40
2014-03-31 313.05 15.85 84.90 9.40
2013-12-31 315.40 14.00 90.00 9.40
2013-09-30 320.90 7.95 95.05 10.25
2013-06-30 326.40 1.90 100.10 11.10
2013-03-31 335.85 3.90 100.35 11.10
2012-12-31 345.30 5.90 100.60 11.10
2012-09-30 350.50 11.45 100.10 11.65
2012-06-30 355.70 17.00 99.60 12.20

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Vitec Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Vitec Group used its assets more efficiently than the GB Consumer Durables industry average last year based on Return on Assets.
  • Vitec Group has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Vitec Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Durables industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Vitec Group has a total score of 6/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

VTC Health

 How is Vitec Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Vitec Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Vitec Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Vitec Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Vitec Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Vitec Group Company Filings, last reported 5 months ago.

LSE:VTC Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 162.30 98.50 17.50
2018-09-30 162.30 98.50 17.50
2018-06-30 146.10 70.00 27.00
2018-03-31 146.10 70.00 27.00
2017-12-31 135.60 55.50 12.60
2017-09-30 135.60 55.50 12.60
2017-06-30 138.60 71.30 18.70
2017-03-31 138.60 71.30 18.70
2016-12-31 139.80 92.20 17.10
2016-09-30 139.80 92.20 17.10
2016-06-30 134.20 93.70 20.90
2016-03-31 134.20 93.70 20.90
2015-12-31 126.30 89.90 13.60
2015-09-30 126.30 89.90 13.60
2015-06-30 120.10 92.50 11.00
2015-03-31 120.10 92.50 11.00
2014-12-31 118.60 80.10 9.20
2014-09-30 118.60 80.10 9.20
2014-06-30 119.70 76.60 8.60
2014-03-31 119.70 76.60 8.60
2013-12-31 120.20 74.40 12.90
2013-09-30 120.20 74.40 12.90
2013-06-30 121.10 77.50 10.00
2013-03-31 121.10 77.50 10.00
2012-12-31 114.60 73.70 10.00
2012-09-30 114.60 73.70 10.00
2012-06-30 127.40 78.90 8.90
  • Vitec Group's level of debt (60.7%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (61.9% vs 60.7% today).
  • Debt is well covered by operating cash flow (48.1%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 14.5x coverage).
X
Financial health checks
We assess Vitec Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Vitec Group has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

VTC Dividends

 What is Vitec Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.25%
Current annual income from Vitec Group dividends. Estimated to be 3.72% next year.
If you bought £2,000 of Vitec Group shares you are expected to receive £65 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Vitec Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.95%).
  • Vitec Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.45%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:VTC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Consumer Durables Industry Average Dividend Yield Market Cap Weighted Average of 24 Stocks 7.4%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 706 Stocks 4.3%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 1.9%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.4%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:VTC Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31 0.49 1.00
2021-12-31 0.45 5.00
2020-12-31 0.42 5.00
2019-12-31 0.39 5.00
LSE:VTC Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-02-21 0.370 3.181
2018-02-22 0.305 2.457
2017-08-10 0.277 2.597
2017-03-15 0.272 2.940
2017-02-21 0.272 3.776
2016-05-18 0.246 4.164
2015-05-13 0.240 3.992
2014-08-14 0.234 3.813
2014-03-18 0.230 3.894
2014-02-26 0.230 3.491
2013-02-28 0.220 3.475
2012-04-04 0.205 3.137
2012-03-01 0.205 3.181
2011-03-03 0.190 3.245
2011-03-02 0.190 3.394
2010-03-02 0.183 3.899
2010-03-01 0.183 4.681
2009-03-02 0.183 6.417
2008-08-27 0.183 8.591

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Vitec Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.5x coverage).
X
Income/ dividend checks
We assess Vitec Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Vitec Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Vitec Group has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

VTC Management

 What is the CEO of Vitec Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Steve Bird
COMPENSATION £2,336,534
AGE 57
TENURE AS CEO 10.3 years
CEO Bio

Mr. Stephen Clive Bird, also known as Steve, BSc, MBA, MA, has been Group Chief Executive at The Vitec Group plc since April 14, 2009. Mr. Bird served as Divisional Managing Director of Clear Liquid Division at The Weir Group PLC. He has extensive experience in hi-tech industries having held a number of Senior Management Positions with Black and Decker Europe, Unipart Group and Technicolor Group. He worked in senior roles at Danaher Corporation and Hepworth PLC. He is the Senior Independent Director of Dialight Corporation and Dialight PLC since February 21, 2013 and as its Director since January 10, 2013. He has been a Director at The Vitec Group plc since April 14, 2009. He served as a Non Executive Director at UMECO PLC from October 2006 to July 20, 2012. Mr. Bird graduated from St John’s College, Cambridge.

CEO Compensation
  • Steve's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Steve's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Vitec Group management team in years:

3.7
Average Tenure
49
Average Age
  • The tenure for the Vitec Group management team is about average.
Management Team

Steve Bird

TITLE
Group Chief Executive & Director
COMPENSATION
£2M
AGE
57
TENURE
10.3 yrs

Kath Kearney-Croft

TITLE
Group Finance Director & Executive Director
COMPENSATION
£643K
AGE
43
TENURE
2.2 yrs

Martin Green

TITLE
Group Business Development Director & Executive Director
COMPENSATION
£1M
AGE
49
TENURE
2.4 yrs

Jennifer Shaw

TITLE
Group Communications Director
TENURE
2.9 yrs

Marco Pezzana

TITLE
Divisional Chief Executive Officer of Vitec Imaging Solutions Division
AGE
48

Alan Hollis

TITLE
Divisional Chief Executive Officer of Production Solutions Division

Nicol Verheem

TITLE
Divisional Chief Executive Officer of Creative Solutions Division

Martin Vann

TITLE
Senior Vice President of Vitec Creative Solutions
AGE
59
TENURE
4.4 yrs

Halid Hatic

TITLE
Senior Vice President of Vitec Production Solutions

Stephen Shiprock

TITLE
President & MD of Vitec Group RF Systems
TENURE
10.8 yrs
Board of Directors Tenure

Average tenure and age of the Vitec Group board of directors in years:

1.7
Average Tenure
56
Average Age
  • The average tenure for the Vitec Group board of directors is less than 3 years, this suggests a new board.
Board of Directors

Ian McHoul

TITLE
Chairman
AGE
58
TENURE
0.1 yrs

Steve Bird

TITLE
Group Chief Executive & Director
COMPENSATION
£2M
AGE
57
TENURE
10.2 yrs

Kath Kearney-Croft

TITLE
Group Finance Director & Executive Director
COMPENSATION
£643K
AGE
43
TENURE
2.2 yrs

Martin Green

TITLE
Group Business Development Director & Executive Director
COMPENSATION
£1M
AGE
49
TENURE
2.4 yrs

Chris Humphrey

TITLE
Senior Independent Director
COMPENSATION
£60K
AGE
61
TENURE
1.2 yrs

Caroline Thomson

TITLE
Independent Non-Executive Director
COMPENSATION
£54K
AGE
63
TENURE
3.6 yrs

Richard Tyson

TITLE
Independent Non-Executive Director
COMPENSATION
£34K
AGE
47
TENURE
1.2 yrs

Duncan Penny

TITLE
Independent Non-Executive Director
COMPENSATION
£15K
AGE
55
TENURE
0.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Vitec Group individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
30. May 19 Buy Ian McHoul Individual 30. May 19 30. May 19 5,000 £11.36 £56,800
X
Management checks
We assess Vitec Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Vitec Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

VTC News

Simply Wall St News

Why The Vitec Group plc's (LON:VTC) CEO Pay Matters To You

According to our data, The Vitec Group plc has a market capitalization of UK£554m, and pays its CEO total annual compensation worth UK£1.6m. … While this analysis focuses on total compensation, it's worth noting the salary is lower, valued at UK£441k … We examined companies with market caps from UK£303m to UK£1.2b, and discovered that the median CEO total compensation of that group was UK£844k.

Simply Wall St -

The Vitec Group plc (LON:VTC): Assessing Capital Returns

and want a simplistic look at the return on The Vitec Group plc (LON:VTC) stock. … Your equity share is granted in return for the capital provided to the business to operate, and in order for an investment to be successful the business has to create earnings from the funds that make up this capital. … To understand Vitec Group’s capital returns we will look at a useful metric called return on capital employed.

Simply Wall St -

Will The Vitec Group plc (LON:VTC) Continue To Underperform Its Industry?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … To keep the lesson grounded in practicality, we'll use ROE to better understand The Vitec Group plc (LON:VTC). … That means that for every £1 worth of shareholders' equity, it generated £0.097 in profit.

Simply Wall St -

Is The Vitec Group plc (LON:VTC) Attractive At This PE Ratio?

This analysis is intended to introduce important early concepts to people who are starting to invest. … and want to start learning about core concepts of fundamental analysis on practical examples from today's market. … See our latest analysis for Vitec Group

Simply Wall St -

Has The Vitec Group plc (LON:VTC) Improved Earnings In Recent Times?

When The Vitec Group plc (LON:VTC) announced its most recent earnings (31 December 2017), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … Was VTC's recent earnings decline indicative of a tough track record. … VTC's trailing twelve-month earnings (from 31 December 2017) of UK£10.50m has

Simply Wall St -

The Vitec Group plc (LON:VTC): The Return Story

and want to begin learning the link between The Vitec Group plc (LON:VTC)’s return fundamentals and stock market performance. … To understand Vitec Group’s capital returns we will look at a useful metric called return on capital employed. … Vitec Group's Return On Capital Employed

Simply Wall St -

What Is The Vitec Group plc's (LON:VTC) Share Price Doing?

As a stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … However, could the stock still be trading at a relatively cheap price. … Let’s examine Vitec Group’s valuation and outlook in more detail to determine if there’s still a bargain opportunity

Simply Wall St -

Is The Vitec Group plc (LON:VTC) Expensive For A Reason? A Look At The Intrinsic Value

How far off is The Vitec Group plc (LON:VTC) from its intrinsic value? … by taking the foreast future cash flows of the company and discounting them back to today's value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

Spotlight On The Vitec Group plc's (LON:VTC) Fundamentals

The Vitec Group plc (LON:VTC) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … company with a

Simply Wall St -

Why The Vitec Group plc (LON:VTC) May Not Be As Efficient As Its Industry

and want to better understand how you can grow your money by investing in The Vitec Group plc (LON:VTC). … The Vitec Group plc (LON:VTC) delivered a less impressive 7.74% ROE over the past year, compared to the 16.33% return generated by its industry. … View out our latest analysis for Vitec Group

Simply Wall St -

VTC Company Info

Description

The Vitec Group plc designs, manufactures, and distributes products and services that enable end users to capture and share exceptional images for the broadcast, cinematic, video, and photographic applications worldwide. It operates through three divisions: Imaging Solutions, Production Solutions, and Creative Solutions. The Imaging Solutions division offers equipment for photographic and video cameras, and smartphones; and solutions to professional and non-professional image makers and independent content creators, including camera supports and heads, camera bags, lighting supports, light-emitting diode lights, lighting controls, and motion control and lens filters. The Production Solutions division provides video heads, tripods, lights, batteries, and specialty camera systems for broadcasters, film studios, production companies, and independent content creators. The Creative Solutions division offers video transmission and lens control systems, monitors, camera accessories, noise reduction equipment, and software applications to independent content creators and cinematographers. The company also provides mirrorless and action, drones, and smartphones. The Vitec Group plc was founded in 1910 and is headquartered in Richmond, the United Kingdom.

Details
Name: The Vitec Group plc
VTC
Exchange: LSE
Founded: 1910
£515,739,727
45,240,327
Website: http://www.vitecgroup.com
Address: The Vitec Group plc
Bridge House,
Heron Square,
Richmond,
Greater London, TW9 1EN,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE VTC Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
OTCPK VTEP.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
Number of employees
Current staff
Staff numbers
1,800
Vitec Group employees.
Industry
Consumer Electronics
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/06/26 20:42
End of day share price update: 2019/06/26 00:00
Last estimates confirmation: 2019/06/10
Last earnings filing: 2019/03/20
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.