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City Pub Group

AIM:CPC
Snowflake Description

Reasonable growth potential with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CPC
AIM
£137M
Market Cap
  1. Home
  2. GB
  3. Consumer Services
Company description

The City Pub Group plc, together with its subsidiaries, owns, operates, and manages an estate of pubs in London and southern England. The last earnings update was 25 days ago. More info.


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CPC Share Price and Events
7 Day Returns
2.3%
AIM:CPC
3.2%
GB Hospitality
1.3%
GB Market
1 Year Returns
0.7%
AIM:CPC
-7.6%
GB Hospitality
-5%
GB Market
CPC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
City Pub Group (CPC) 2.3% -2.3% 5.8% 0.7% - -
GB Hospitality 3.2% 0.5% -1.3% -7.6% 11% 30.7%
GB Market 1.3% -1.6% 1.9% -5% 15.8% 2.5%
1 Year Return vs Industry and Market
  • CPC outperformed the Hospitality industry which returned -7.6% over the past year.
  • CPC outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -5% over the past year.
Price Volatility
Industry
5yr Volatility vs Market

CPC Value

 Is City Pub 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 City Pub 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 City Pub Group.

AIM:CPC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 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 AIM:CPC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.93
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.932 (1 + (1- 19%) (8.49%))
0.997
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% + (0.997 * 6.65%)
7.86%

Discounted Cash Flow Calculation for AIM:CPC using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for City Pub 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.

AIM:CPC DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 7.86%)
2019 4.33 Analyst x2 4.02
2020 6.21 Analyst x2 5.33
2021 6.28 Analyst x2 5.00
2022 6.35 Est @ 1.15% 4.69
2023 6.42 Est @ 1.17% 4.40
2024 6.50 Est @ 1.19% 4.13
2025 6.58 Est @ 1.2% 3.87
2026 6.66 Est @ 1.21% 3.63
2027 6.74 Est @ 1.21% 3.41
2028 6.82 Est @ 1.22% 3.20
Present value of next 10 years cash flows £41.69
AIM:CPC DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £6.82 × (1 + 1.23%) ÷ (7.86% – 1.23%)
£104.09
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £104.09 ÷ (1 + 7.86%)10
£48.85
AIM:CPC Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £41.69 + £48.85
£90.54
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £90.54 / 59.38
£1.52
AIM:CPC Discount to Share Price
Calculation Result
Value per share (GBP) From above. £1.52
Current discount Discount to share price of £2.29
= -1 x (£2.29 - £1.52) / £1.52
-50.2%

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

  • The current share price of City Pub Group is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 City Pub Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are City Pub Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:CPC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-30) in GBP £0.03
AIM:CPC Share Price ** AIM (2019-05-20) in GBP £2.29
United Kingdom of Great Britain and Northern Ireland Hospitality Industry PE Ratio Median Figure of 34 Publicly-Listed Hospitality Companies 17.95x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 788 Publicly-Listed Companies 16.24x

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

** Primary Listing of City Pub Group.

AIM:CPC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= AIM:CPC Share Price ÷ EPS (both in GBP)

= 2.29 ÷ 0.03

70.86x

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

  • City Pub Group is overvalued based on earnings compared to the GB Hospitality industry average.
  • City Pub Group is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does City Pub Group's expected growth come at a high price?
Raw Data
AIM:CPC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 70.86x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
28%per year
United Kingdom of Great Britain and Northern Ireland Hospitality Industry PEG Ratio Median Figure of 28 Publicly-Listed Hospitality Companies 2.06x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 574 Publicly-Listed Companies 1.5x

*Line of best fit is calculated by linear regression .

AIM:CPC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 70.86x ÷ 28%

2.53x

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

  • City Pub Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on City Pub Group's assets?
Raw Data
AIM:CPC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-30) in GBP £1.32
AIM:CPC Share Price * AIM (2019-05-20) in GBP £2.29
United Kingdom of Great Britain and Northern Ireland Hospitality Industry PB Ratio Median Figure of 54 Publicly-Listed Hospitality Companies 1.39x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,368 Publicly-Listed Companies 1.51x
AIM:CPC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= AIM:CPC Share Price ÷ Book Value per Share (both in GBP)

= 2.29 ÷ 1.32

1.73x

* Primary Listing of City Pub Group.

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

  • City Pub Group is overvalued based on assets compared to the GB Hospitality industry average.
X
Value checks
We assess City Pub 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 Hospitality 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 Hospitality industry average (and greater than 0)? (1 check)
  5. City Pub Group has a total score of 0/6, 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.

CPC Future Performance

 How is City Pub Group expected to perform in the next 1 to 3 years based on estimates from 2 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
28%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is City Pub Group expected to grow at an attractive rate?
  • City Pub Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • City Pub Group's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • City Pub Group's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
AIM:CPC Future Growth Rates Data Sources
Data Point Source Value (per year)
AIM:CPC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 28%
AIM:CPC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 9.1%
United Kingdom of Great Britain and Northern Ireland Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 12.1%
United Kingdom of Great Britain and Northern Ireland Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 5.8%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 10.8%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*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
AIM:CPC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AIM:CPC Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 67 1
2021-12-31 66 10 7 2
2020-12-31 64 10 6 2
2019-12-31 59 10 6 2
2018-12-31 46 6 4 2
AIM:CPC Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-12-30 46 6 2
2018-09-30 43 6 1
2018-07-01 41 5 0
2018-04-01 39 5 0
2017-12-31 37 4 -1
2017-09-30 35 4 0
2017-06-25 32 4 0
2017-03-25 30 4 0
2016-12-25 28 4 0

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • City Pub Group's earnings are expected to grow significantly at over 20% yearly.
  • City Pub Group's revenue is expected to grow by 9.1% 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
AIM:CPC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from City Pub Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:CPC Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 0.11 0.11 0.11 1.00
2020-12-31 0.10 0.10 0.10 1.00
2019-12-31 0.09 0.09 0.09 1.00
2018-12-31 0.07 0.07 0.07 1.00
AIM:CPC Past Financials Data
Date (Data in GBP Millions) EPS *
2018-12-30 0.03
2018-09-30 0.02
2018-07-01 0.00
2018-04-01 -0.01
2017-12-31 -0.02
2017-09-30 0.00
2017-06-25 0.01
2017-03-25 0.01
2016-12-25 0.01

*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.
  • Unable to establish if City Pub Group will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess City Pub 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.
City Pub Group has a total score of 4/6, 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.

CPC Past Performance

  How has City Pub 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 City Pub Group's growth in the last year to its industry (Hospitality).
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.
  • City Pub Group has delivered over 20% year on year earnings growth in the past 5 years.
  • City Pub Group has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • City Pub Group has become profitable in the last year making it difficult to compare the GB Hospitality industry average.
Earnings and Revenue History
City Pub 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 City Pub Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:CPC Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-30 45.67 1.97 26.57
2018-09-30 43.46 1.03 25.39
2018-07-01 41.25 0.09 24.20
2018-04-01 39.33 -0.32 23.03
2017-12-31 37.40 -0.72 21.85
2017-09-30 34.54 -0.23 21.19
2017-06-25 31.68 0.25 20.53
2017-03-25 29.72 0.32 18.50
2016-12-25 27.76 0.38 16.46
2015-12-27 20.31 0.61 12.09
2014-12-28 15.26 -0.83 9.03
2013-12-29 5.51 -0.36 3.05
2012-12-30 1.09 0.01 0.73

*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.
  • City Pub Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • City Pub Group used its assets less efficiently than the GB Hospitality industry average last year based on Return on Assets.
  • City Pub Group has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess City Pub 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 Hospitality 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.
City Pub Group has a total score of 2/6, 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.

CPC Health

 How is City Pub 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 City Pub Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • City Pub Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • City Pub Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of City Pub 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 not covered by short term assets, assets are 0.5x 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 City Pub Group Company Filings, last reported 4 months ago.

AIM:CPC Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-30 78.54 11.60 2.85
2018-09-30 78.54 11.60 2.85
2018-07-01 70.98 7.00 2.84
2018-04-01 70.98 7.00 2.84
2017-12-31 71.31 0.24 6.41
2017-09-30 71.31 0.24 6.41
2017-06-25 31.33 21.24 1.48
2017-03-25 31.33 21.24 1.48
2016-12-25 31.21 18.30 1.26
2015-12-27 29.37 4.65 1.93
2014-12-28 24.42 6.20 1.48
2013-12-29 8.07 2.86 0.31
2012-12-30 3.72 0.68 1.00
  • City Pub Group's level of debt (14.8%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (35.3% vs 14.8% today).
  • Debt is well covered by operating cash flow (55.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 26x coverage).
X
Financial health checks
We assess City Pub 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. City Pub Group has a total score of 4/6, 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.

CPC Dividends

 What is City Pub 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
1.2%
Current annual income from City Pub Group dividends. Estimated to be 1.51% next year.
If you bought £2,000 of City Pub Group shares you are expected to receive £24 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?
  • City Pub Group's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.99%).
  • City Pub Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.21%).
Upcoming dividend payment

Purchase City Pub Group before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
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
AIM:CPC 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 2 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 32 Stocks 3.2%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 705 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 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

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

AIM:CPC Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2022-12-31 0.04 1.00
2021-12-31 0.04 2.00
2020-12-31 0.03 2.00
2019-12-31 0.03 2.00
2018-12-31 0.02 2.00
AIM:CPC Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-04-25 0.028 1.220
2019-04-09 0.028 1.178
2018-04-12 0.023 1.073

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

  • It is too early to tell whether City Pub Group has stable dividend payments.
  • City Pub Group only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of City Pub Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.9x coverage).
X
Income/ dividend checks
We assess City Pub 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 City Pub Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. City Pub Group has a total score of 2/6, see the detailed checks below.


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

CPC Management

 What is the CEO of City Pub 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
Rupert Clark
COMPENSATION £709,000
AGE 46
TENURE AS CEO 4.7 years
CEO Bio

Rupert Clark serves as Managing Director & Executive Director of The City Pub Company Plc. Rupert Clark served as Joint-Chief Executive of The City Pub Company (East) PLC in April 2013 and Chief Executive in September 2014. Rupert Clark has over 20 years’ experience in the running of high-volume food and liquor-led pubs, both in and outside London. Rupert Clark served as Operations Manager of the Capital Pub Company and served at Capital for four years. Rupert Clark stayed on to ensure the smooth integration of pubs into the Greene King estate. Rupert Clark worked as Operations Manager at The Food and Drink Group, repositioning their city bars and at Fullers first developing The Fine Line brand and unbranded bars and gastro pubs.

CEO Compensation
  • Rupert's compensation has increased in line with City Pub Group recently becoming profitable.
  • Rupert's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team

Clive Watson

TITLE
Executive Chairman
COMPENSATION
£765K
AGE
57

Rupert Clark

TITLE
MD & Executive Director
COMPENSATION
£709K
AGE
46
TENURE
4.7 yrs

Alex Derrick

TITLE
MD & Executive Director
COMPENSATION
£642K
AGE
42

Tarquin Williams

TITLE
CFO, Finance Director & Executive Director
COMPENSATION
£288K
AGE
48

Richard Roberts

TITLE
Non-Executive Director
COMPENSATION
£141K
AGE
61

James Dudgeon

TITLE
Company Secretary
AGE
70
TENURE
8.3 yrs
Board of Directors Tenure

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

3.1
Average Tenure
56
Average Age
  • The tenure for the City Pub Group board of directors is about average.
Board of Directors

Clive Watson

TITLE
Executive Chairman
COMPENSATION
£765K
AGE
57
TENURE
4.7 yrs

Rupert Clark

TITLE
MD & Executive Director
COMPENSATION
£709K
AGE
46

Alex Derrick

TITLE
MD & Executive Director
COMPENSATION
£642K
AGE
42
TENURE
1.6 yrs

Tarquin Williams

TITLE
CFO, Finance Director & Executive Director
COMPENSATION
£288K
AGE
48

Richard Roberts

TITLE
Non-Executive Director
COMPENSATION
£141K
AGE
61
TENURE
7.4 yrs

Richard Prickett

TITLE
Senior Independent Non-Executive Director
COMPENSATION
£8K
AGE
67

Neil Ceidrych Griffiths

TITLE
Independent Non-Executive Director
AGE
56
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
14. Nov 18 Buy Neil Ceidrych Griffiths Individual 13. Nov 18 13. Nov 18 10,000 £1.96 £19,590
X
Management checks
We assess City Pub 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. City Pub 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.

CPC News

Simply Wall St News

The City Pub Group plc (LON:CPC) Delivered A Weaker ROE Than Its Industry

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … One way to conceptualize this, is that for each £1 of shareholders' equity it has, the company made £0.025 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Much Of The City Pub Group plc (LON:CPC) Do Insiders Own?

Every investor in The City Pub Group plc (LON:CPC) should be aware of the most powerful shareholder groups. … Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … City Pub Group is a smaller company with a market capitalization of UK£143m, so it may still be flying under the radar of many institutional investors.

Simply Wall St -

The City Pub Group plc (LON:CPC) Might Not Be A Great Investment

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

The City Pub Group plc (LON:CPC) Investors Are Paying Above The Intrinsic Value

In this article I am going to calculate the intrinsic value of The City Pub Group plc (LON:CPC). … by taking the expected future cash flows and discounting them to their present 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 -

Read This Before Buying The City Pub Group plc (LON:CPC) For Its Dividend

A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … Let's take a look at City Pub Group in more detail. … View our latest analysis for City Pub Group?

Simply Wall St -

Should The City Pub Group plc (LON:CPC) Focus On Improving This Fundamental Metric?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Over the last twelve months City Pub Group has recorded a ROE of 0.1%. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is The City Pub Group plc (LON:CPC) Worth UK£2.08 Based On Intrinsic Value?

I am going to run you through how I calculated the intrinsic value of The City Pub Group plc (LON:CPC). … by estimating the company's future cash flows and discounting them to their present value. … discounted cash flows (DCF).

Simply Wall St -

Should You Buy The City Pub Group plc (LON:CPC) For Its Dividend?

The City Pub Group plc (LON:CPC) has started paying a dividend to shareholders. … Let's take a look at City Pub Group in more detail. … When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas:

Simply Wall St -

Calculating The Fair Value Of The City Pub Group plc (LON:CPC)

In this article I am going to calculate the intrinsic value of The City Pub Group plc (LON:CPC). … by estimating the company's future cash flows and discounting them to their present 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 -

A Look At The Intrinsic Value Of The City Pub Group plc (LON:CPC)

5-year cash flow forecast 2018 2019 2020 2021 2022 Levered FCF (£, Millions) £4.16 £6.78 £7.63 £8.92 £10.35 Source Analyst x2 Analyst x2 Analyst x2 Extrapolated @ (17%, capped from 29.76%) Extrapolated @ (16%, capped from 29.76%) Present Value Discounted @ 8.28% £3.84 £5.78 £6.01 £6.49 £6.95 Present Value of 5-year Cash Flow (PVCF)= £29 The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. … Terminal Value (TV) = FCF2022 × (1 + g) ÷ (r – g) = £10 × (1 + 1.4%) ÷ (8.3% – 1.4%) = £152 Present Value of Terminal Value (PVTV) = TV / (1 + r)5 = £152 / ( 1 + 8.3%)5 = £102 The total value is the sum of cash flows for the next five years and the discounted terminal value, which results in the Total Equity Value, which in this case is £132. … AIM:CPC Intrinsic Value Jun 6th 18 The assumptions Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows.

Simply Wall St -

CPC Company Info

Description

The City Pub Group plc, together with its subsidiaries, owns, operates, and manages an estate of pubs in London and southern England. The company’s pub estate comprises 39 free houses located primarily in London, Cathedral cities, and market towns. Its portfolio primarily consists of freehold, managed pubs that provide a range of drinks and food tailored for its pubs’ customers. The City Pub Group plc sells craft ales, craft spirits, and independent coffee at its pubs to residents, office workers, students, tourists, and shoppers. The company was formerly known as The City Pub Company (East) PLC and changed its name to The City Pub Group plc in November 2017. The City Pub Group plc was founded in 2011 and is based in London, the United Kingdom.

Details
Name: The City Pub Group plc
CPC
Exchange: AIM
Founded: 2011
£136,568,282
59,377,514
Website: http://www.citypubcompany.com
Address: The City Pub Group plc
Essel House,
2nd Floor,
London,
Greater London, W1W 7TH,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM CPC Ordinary Shares London Stock Exchange AIM Market GB GBP 23. Nov 2017
Number of employees
Current staff
Staff numbers
912
City Pub Group employees.
Industry
Restaurants
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/20 22:53
End of day share price update: 2019/05/20 00:00
Last estimates confirmation: 2019/05/01
Last earnings filing: 2019/04/25
Last earnings reported: 2018/12/30
Last annual earnings reported: 2018/12/30


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.