GVC Holdings
Market Cap
UK£3.9b
Last Updated
2020/04/10 04:49 UTC
Data Sources
Company Financials +
Executive Summary
GVC Holdings PLC, together with its subsidiaries, operates as an online gaming company in the United Kingdom and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential and slightly overvalued.
Similar Companies
Share Price & News
How has GVC Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GVC's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
39.1%
GVC
16.1%
GB Hospitality
8.6%
GB Market
1 Year Return
7.0%
GVC
-16.8%
GB Hospitality
-19.4%
GB Market
Return vs Industry: GVC exceeded the UK Hospitality industry which returned -16.8% over the past year.
Return vs Market: GVC exceeded the UK Market which returned -19.4% over the past year.
Shareholder returns
| GVC | Industry | Market | |
|---|---|---|---|
| 7 Day | 39.1% | 16.1% | 8.6% |
| 30 Day | 3.5% | -7.2% | -3.5% |
| 90 Day | -28.3% | -27.2% | -23.0% |
| 1 Year | 10.3%7.0% | -14.6%-16.8% | -15.5%-19.4% |
| 3 Year | 1.6%-9.0% | -8.9%-18.0% | -8.8%-19.9% |
| 5 Year | 84.8%52.0% | 7.2%-9.4% | 4.2%-19.0% |
Price Volatility Vs. Market
How volatile is GVC Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Did Changing Sentiment Drive GVC Holdings's (LON:GVC) Share Price Down By 41%?1 month ago | Simply Wall St
Dividend Investors: Don't Be Too Quick To Buy GVC Holdings PLC (LON:GVC) For Its Upcoming Dividend1 month ago | Simply Wall St
Do Institutions Own Shares In GVC Holdings PLC (LON:GVC)?Valuation
Is GVC Holdings undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: GVC (£6.73) is trading below our estimate of fair value (£18.16)
Significantly Below Fair Value: GVC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GVC is unprofitable, so we can't compare its PE Ratio to the Hospitality industry average.
PE vs Market: GVC 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 GVC's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: GVC is overvalued based on its PB Ratio (1.4x) compared to the GB Hospitality industry average (1x).
Next Steps
Future Growth
How is GVC Holdings forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
87.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GVC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.5%).
Earnings vs Market: GVC is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: GVC's is expected to become profitable in the next 3 years.
Revenue vs Market: GVC's revenue (5.2% per year) is forecast to grow faster than the UK market (2.5% per year).
High Growth Revenue: GVC's revenue (5.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GVC's Return on Equity is forecast to be low in 3 years time (15%).
Next Steps
Past Performance
How has GVC Holdings performed over the past 5 years?
-33.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GVC is currently unprofitable.
Growing Profit Margin: GVC is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: GVC is unprofitable, and losses have increased over the past 5 years at a rate of -33.5% per year.
Accelerating Growth: Unable to compare GVC's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: GVC is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-10.9%).
Return on Equity
High ROE: GVC has a negative Return on Equity (-4.93%), as it is currently unprofitable.
Next Steps
Financial Health
How is GVC Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: GVC's short term assets (£924.2M) do not cover its short term liabilities (£1.3B).
Long Term Liabilities: GVC's short term assets (£924.2M) do not cover its long term liabilities (£2.9B).
Debt to Equity History and Analysis
Debt Level: GVC's debt to equity ratio (74.1%) is considered high.
Reducing Debt: GVC's debt to equity ratio has increased from 3.7% to 74.1% over the past 5 years.
Balance Sheet
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable GVC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: GVC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 48.5% per year.
Next Steps
Dividend
What is GVC Holdings's current dividend yield, its reliability and sustainability?
5.56%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate GVC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate GVC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if GVC's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if GVC's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: GVC is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of GVC'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?
4.1yrs
Average management tenure
CEO
Kenny Alexander (50yo)
13.08s
Tenure
UK£19,099,000
Compensation
Mr. Kenneth Jack Alexander, also known as Kenny, has been the Chief Executive Officer of GVC Holdings PLC since joined in March 01, 2007 and its Director since February 2007. Mr. Alexander served as the Ma ...
CEO Compensation Analysis
Compensation vs Market: Kenny's total compensation ($USD20.77M) is above average for companies of similar size in the UK market ($USD3.37M).
Compensation vs Earnings: Kenny's compensation has increased whilst the company is unprofitable.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 13.08yrs | UK£19.10m | 0.11% £4.5m | |
| Co-Founder | no data | no data | no data | |
| CFO & Director | 1.08yrs | no data | no data | |
| CFO & Director | 1.08yrs | no data | no data | |
| Chief Operating Officer | 4.08yrs | no data | no data | |
| Director of Investor Relations & External Communications | 0.083yr | no data | no data | |
| Vice President of Business Development | no data | no data | no data | |
| Chief Marketing Officer | 7.08yrs | no data | no data | |
| Head of CasinoClub | 10.17yrs | no data | no data | |
| Chief Product Officer | 4.08yrs | no data | no data |
4.1yrs
Average Tenure
50yo
Average Age
Experienced Management: GVC's management team is considered experienced (4.1 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 13.08yrs | UK£19.10m | 0.11% £4.5m | |
| CFO & Director | 1.08yrs | no data | no data | |
| CFO & Director | 1.08yrs | no data | no data | |
| Independent Non-Executive Director | 1.83yrs | UK£63.00k | 0.0012% £47.0k | |
| Independent Non-Executive Director | 1.58yrs | UK£33.00k | 0.0031% £121.2k | |
| Independent Non-Executive Chairman of the Board | 0.17yr | no data | no data | |
| Independent Non-Executive Director | 2.83yrs | UK£111.00k | 0.00089% £34.9k | |
| Independent Non-Executive Chairman | 0.17yr | no data | 0.0073% £286.6k | |
| Senior Independent Non-Executive Director | 1.83yrs | UK£142.00k | 0.0059% £230.1k | |
| Independent Non-Executive Director | 4.17yrs | UK£88.00k | 0.0033% £130.2k |
1.7yrs
Average Tenure
61yo
Average Age
Experienced Board: GVC's board of directors are not considered experienced ( 1.7 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 13.3%.
Top Shareholders
Company Information
GVC Holdings PLC's company bio, employee growth, exchange listings and data sources
Key Information
- Name: GVC Holdings PLC
- Ticker: GVC
- Exchange: LSE
- Founded: 2004
- Industry: Casinos and Gaming
- Sector: Consumer Services
- Market Cap: UK£3.921b
- Shares outstanding: 582.75m
- Website: https://www.gvc-plc.com
Number of Employees
Location
- GVC Holdings PLC
- 32 Athol Street
- Douglas
- IM1 1JB
- Isle of Man
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 6GI | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Dec 2004 |
| GMVH.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Dec 2004 |
| GVC | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Dec 2004 |
| GVCL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Dec 2004 |
| GVC | WBAG (Wiener Boerse AG) | Yes | Ordinary Shares | AT | EUR | Dec 2004 |
Biography
GVC Holdings PLC, together with its subsidiaries, operates as an online gaming company in the United Kingdom and internationally. The company provides online betting, casino, poker, and bingo services through mobile and web under the Bwin brand; online and multi-channel betting services under the Ladbrokes brand; street and online betting under the Coral brand; sports betting, poker, and casino games under the Crystalbet brand; software and technology for race books and sportsbook under the Stadium brand; online sports betting, casino, and gaming products under the Eurobet brand; sports action and horse racing under the Neds brand; sports betting, casinos, games, and poker under the Sportingbet brand; peer-to-peer sports betting exchange under the Betdaq brand; and online bingo, sportsbook, casino, and poker access under the Betboo brand, as well as operates an online casino website for German-speaking markets under the CasinoClub brand. It also offers Gamebookers, a full-service sportsbook; partypoker, which operates online poker services; PartyCasino that provides online casino services; Gioco Digitale, a gaming site; Foxy Bingo that provides online bingo services; and Foxy Games, which offers slot games, jackpots, and various table games, as well as MGM Resorts International, a casino operator. In addition, the company provides Danske Spil that provides online gaming services; PMU that offers online poker services; Fortuna, which offers sports betting; virtual sports products under the AGT brand; online bingo and games under the Gala Bingo and Gala Casino brands; Gala Spins, a gaming application; Cheeky Bingo, a bingo platform; and InterTrader, which provides market financial derivatives, such as spread betting, as well as Playtech casino games under the Casino Las Vegas, SCasino, and Casino King brands. Further, it offers betting in the shop estates and telephone betting services. The company was founded in 2004 and is based in Douglas, the United Kingdom.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/10 04:49 |
| End of Day Share Price | 2020/04/09 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.