| Snowflake Score | |
|---|---|
| Valuation | 1/6 |
| Future Growth | 5/6 |
| Past Performance | 3/6 |
| Financial Health | 5/6 |
| Dividends | 2/6 |
CPG Stock Overview
Compass Group PLC operates as a food and support services company in North America, Europe, and internationally.
Compass Group Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | UK£16.81 |
| 52 Week High | UK£17.65 |
| 52 Week Low | UK£12.84 |
| Beta | 1.04 |
| 1 Month Change | 3.64% |
| 3 Month Change | 16.54% |
| 1 Year Change | 20.51% |
| 3 Year Change | 5.93% |
| 5 Year Change | 14.03% |
| Change since IPO | 179.56% |
Recent News & Updates
Is Now The Time To Look At Buying Compass Group PLC (LON:CPG)?
Let's talk about the popular Compass Group PLC ( LON:CPG ). The company's shares saw significant share price movement...
Investors Could Be Concerned With Compass Group's (LON:CPG) Returns On Capital
What are the early trends we should look for to identify a stock that could multiply in value over the long term? One...
Calculating The Fair Value Of Compass Group PLC (LON:CPG)
In this article we are going to estimate the intrinsic value of Compass Group PLC ( LON:CPG ) by projecting its future...
Shareholder Returns
| CPG | GB Hospitality | GB Market | |
|---|---|---|---|
| 7D | -2.2% | -0.2% | -0.5% |
| 1Y | 20.5% | 2.5% | 8.7% |
Return vs Industry: CPG exceeded the UK Hospitality industry which returned 2.5% over the past year.
Return vs Market: CPG exceeded the UK Market which returned 8.7% over the past year.
Price Volatility
| CPG volatility | |
|---|---|
| CPG Average Weekly Movement | 4.8% |
| Hospitality Industry Average Movement | 5.4% |
| Market Average Movement | 5.0% |
| 10% most volatile stocks in GB Market | 10.7% |
| 10% least volatile stocks in GB Market | 2.5% |
Stable Share Price: CPG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: CPG's weekly volatility (5%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1941 | 480,000 | Dominic Blakemore | https://www.compass-group.com |
Compass Group PLC operates as a food and support services company in North America, Europe, and internationally. The company offers support services, such as cleaning in hospitals; reception services at corporate headquarters; managing remote camps; grounds and facilities services at schools and universities; and others. It serves business and industry; healthcare and senior living market; education; sports and leisure; and defense, offshore, and remote sectors.
Compass Group Fundamentals Summary
| CPG fundamental statistics | |
|---|---|
| Market Cap | UK£29.98b |
| Earnings (TTM) | UK£357.00m |
| Revenue (TTM) | UK£17.91b |
84.0x
P/E Ratio1.7x
P/S RatioIs CPG overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CPG income statement (TTM) | |
|---|---|
| Revenue | UK£17.91b |
| Cost of Revenue | UK£17.21b |
| Gross Profit | UK£703.00m |
| Expenses | UK£346.00m |
| Earnings | UK£357.00m |
Last Reported Earnings
Sep 30, 2021
Next Earnings Date
May 11, 2022
| Earnings per share (EPS) | 0.20 |
| Gross Margin | 3.93% |
| Net Profit Margin | 1.99% |
| Debt/Equity Ratio | 73.9% |
How did CPG perform over the long term?
See historical performance and comparisonDividends
0.8%
Current Dividend Yield70%
Payout RatioValuation
Is Compass Group undervalued compared to its fair value and its price relative to the market?
0.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CPG (£16.81) is trading below our estimate of fair value (£16.86)
Significantly Below Fair Value: CPG is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: CPG is poor value based on its PE Ratio (84x) compared to the UK Hospitality industry average (47.7x).
PE vs Market: CPG is poor value based on its PE Ratio (84x) compared to the UK market (19.1x).
Price to Earnings Growth Ratio
PEG Ratio: CPG is poor value based on its PEG Ratio (3.4x)
Price to Book Ratio
PB vs Industry: CPG is overvalued based on its PB Ratio (6.1x) compared to the GB Hospitality industry average (2.2x).
Future Growth
How is Compass Group forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?
24.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CPG's forecast earnings growth (24.8% per year) is above the savings rate (0.9%).
Earnings vs Market: CPG's earnings (24.8% per year) are forecast to grow faster than the UK market (12.1% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CPG's revenue (10.7% per year) is forecast to grow faster than the UK market (4.9% per year).
High Growth Revenue: CPG's revenue (10.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CPG's Return on Equity is forecast to be high in 3 years time (21.9%)
Past Performance
How has Compass Group performed over the past 5 years?
-27.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CPG has a large one-off loss of £205.0M impacting its September 30 2021 financial results.
Growing Profit Margin: CPG's current net profit margins (2%) are higher than last year (0.7%).
Past Earnings Growth Analysis
Earnings Trend: CPG's earnings have declined by 27% per year over the past 5 years.
Accelerating Growth: CPG's earnings growth over the past year (168.4%) exceeds its 5-year average (-27% per year).
Earnings vs Industry: CPG earnings growth over the past year (168.4%) exceeded the Hospitality industry 24.8%.
Return on Equity
High ROE: CPG's Return on Equity (7.3%) is considered low.
Financial Health
How is Compass Group's financial position?
Financial Position Analysis
Short Term Liabilities: CPG's short term assets (£5.0B) do not cover its short term liabilities (£5.2B).
Long Term Liabilities: CPG's short term assets (£5.0B) exceed its long term liabilities (£4.7B).
Debt to Equity History and Analysis
Debt Level: CPG's net debt to equity ratio (36.5%) is considered satisfactory.
Reducing Debt: CPG's debt to equity ratio has reduced from 134.4% to 73.9% over the past 5 years.
Debt Coverage: CPG's debt is well covered by operating cash flow (32.2%).
Interest Coverage: CPG's interest payments on its debt are well covered by EBIT (6.5x coverage).
Balance Sheet
Dividend
What is Compass Group current dividend yield, its reliability and sustainability?
0.83%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CPG's dividend (0.83%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.37%).
High Dividend: CPG's dividend (0.83%) is low compared to the top 25% of dividend payers in the UK market (4.04%).
Stability and Growth of Payments
Stable Dividend: CPG's dividend payments have been volatile in the past 10 years.
Growing Dividend: CPG's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (70%), CPG's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CPG's dividends in 3 years are forecast to be well covered by earnings (48.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.6yrs
Average management tenure
CEO
Dominic Blakemore (52 yo)
4yrs
Tenure
UK£3,211,000
Compensation
Mr. Dominic Blakemore serves as a Non-Executive Director at London Stock Exchange Group Plc since January 01, 2020. Mr. Blakemore is the Group Chief Executive of Compass Group PLC since January 1, 2018. Mr...
CEO Compensation Analysis
Compensation vs Market: Dominic's total compensation ($USD4.35M) is about average for companies of similar size in the UK market ($USD3.96M).
Compensation vs Earnings: Dominic's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: CPG's management team is considered experienced (3.6 years average tenure).
Board Members
Experienced Board: CPG's board of directors are considered experienced (6.1 years average tenure).
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
Compass Group PLC's employee growth, exchange listings and data sources
Key Information
- Name: Compass Group PLC
- Ticker: CPG
- Exchange: LSE
- Founded: 1941
- Industry: Restaurants
- Sector: Consumer Services
- Implied Market Cap: UK£29.980b
- Shares outstanding: 1.78b
- Website: https://www.compass-group.com
Number of Employees
Location
- Compass Group PLC
- Compass House
- Guildford Street
- Chertsey
- Surrey
- KT16 9BQ
- United Kingdom
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/21 21:16 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/09/30 |
| Annual Earnings | 2021/09/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.