J D Wetherspoon
Market Cap
UK£1.4b
Last Updated
2020/06/03 21:19 UTC
Data Sources
Company Financials +
Executive Summary
J D Wetherspoon plc owns and operates pubs and hotels in the United Kingdom and the Republic of Ireland.
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential and fair value.
Similar Companies
Share Price & News
How has J D Wetherspoon's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: JDW's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
4.2%
JDW
3.0%
GB Hospitality
2.8%
GB Market
1 Year Return
-13.6%
JDW
-27.1%
GB Hospitality
-11.0%
GB Market
Return vs Industry: JDW exceeded the UK Hospitality industry which returned -29% over the past year.
Return vs Market: JDW underperformed the UK Market which returned -11.7% over the past year.
Shareholder returns
| JDW | Industry | Market | |
|---|---|---|---|
| 7 Day | 4.2% | 3.0% | 2.8% |
| 30 Day | 24.4% | 1.7% | 8.4% |
| 90 Day | -10.2% | -22.1% | -7.9% |
| 1 Year | -13.2%-13.6% | -24.6%-27.1% | -6.7%-11.0% |
| 3 Year | 21.1%18.1% | -20.6%-29.2% | -3.7%-15.4% |
| 5 Year | 55.8%47.6% | 0.5%-17.5% | 15.4%-10.4% |
Price Volatility Vs. Market
How volatile is J D Wetherspoon's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
What Is J D Wetherspoon's (LON:JDW) P/E Ratio After Its Share Price Rocketed?2 weeks ago | Simply Wall St
Is J D Wetherspoon plc's (LON:JDW) CEO Paid Enough Relative To Peers?Valuation
Is J D Wetherspoon undervalued compared to its fair value and its price relative to the market?
25.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: JDW (£11.18) is trading below our estimate of fair value (£15.53)
Significantly Below Fair Value: JDW is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: JDW is poor value based on its PE Ratio (18.8x) compared to the Hospitality industry average (17.8x).
PE vs Market: JDW is poor value based on its PE Ratio (18.8x) compared to the UK market (14.7x).
Price to Earnings Growth Ratio
PEG Ratio: JDW is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: JDW is overvalued based on its PB Ratio (3.6x) compared to the GB Hospitality industry average (1x).
Next Steps
Future Growth
How is J D Wetherspoon forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
74.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: JDW's forecast earnings growth (74.8% per year) is above the savings rate (1.2%).
Earnings vs Market: JDW's earnings (74.8% per year) are forecast to grow faster than the UK market (20.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: JDW's revenue (12.3% per year) is forecast to grow faster than the UK market (3.7% per year).
High Growth Revenue: JDW's revenue (12.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: JDW's Return on Equity is forecast to be low in 3 years time (14.1%).
Next Steps
Past Performance
How has J D Wetherspoon performed over the past 5 years?
9.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: JDW has high quality earnings.
Growing Profit Margin: JDW's current net profit margins (3.3%) are lower than last year (3.6%).
Past Earnings Growth Analysis
Earnings Trend: JDW's earnings have grown by 9.9% per year over the past 5 years.
Accelerating Growth: JDW's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: JDW had negative earnings growth (-3.5%) over the past year, making it difficult to compare to the Hospitality industry average (-10.9%).
Return on Equity
High ROE: JDW's Return on Equity (19.4%) is considered low.
Next Steps
Financial Health
How is J D Wetherspoon's financial position?
Financial Position Analysis
Short Term Liabilities: JDW's short term assets (£95.2M) do not cover its short term liabilities (£381.6M).
Long Term Liabilities: JDW's short term assets (£95.2M) do not cover its long term liabilities (£1.5B).
Debt to Equity History and Analysis
Debt Level: JDW's debt to equity ratio (286.1%) is considered high.
Reducing Debt: JDW's debt to equity ratio has reduced from 309.1% to 286.1% over the past 5 years.
Debt Coverage: JDW's debt is not well covered by operating cash flow (19.9%).
Interest Coverage: JDW's interest payments on its debt are well covered by EBIT (3.1x coverage).
Balance Sheet
Next Steps
Dividend
What is J D Wetherspoon's current dividend yield, its reliability and sustainability?
0.64%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate JDW's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate JDW's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if JDW's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if JDW's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: JDW is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of JDW'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?
16.4yrs
Average management tenure
CEO
John Hutson (54yo)
no data
Tenure
UK£1,035,000
Compensation
Mr. John Hutson serves as the Chief Executive Officer of JD Wetherspoon PLC. Mr. Hutson served as Managing Director of JD Wetherspoon plc and also served as its Chief Operating Officer since October 2010. ...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD1.30M) is about average for companies of similar size in the UK market ($USD1.72M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, Director & Member of Management Board | no data | UK£1.04m | 0.12% £1.6m | |
| Finance Director | 4.58yrs | UK£358.00k | 0.0082% £113.1k | |
| Executive Director | 12.25yrs | UK£589.00k | 0.023% £315.9k | |
| Operations Director & Member of Management Board | 16.42yrs | UK£342.00k | 0.028% £385.4k | |
| IT & Property Director and Member of Management Board | 17.42yrs | no data | 0.042% £578.3k | |
| Retail Director & Member of Management Board | no data | no data | 0.000050% £692.2 | |
| Audit Director & Member of Management Board | 3.42yrs | no data | 0.024% £330.3k | |
| Company Secretary & Head of Legal | no data | no data | 0.0030% £42.1k |
16.4yrs
Average Tenure
50yo
Average Age
Experienced Management: JDW's management team is seasoned and experienced (16.4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, Director & Member of Management Board | no data | UK£1.04m | 0.12% £1.6m | |
| Finance Director | 4.58yrs | UK£358.00k | 0.0082% £113.1k | |
| Executive Director | 12.25yrs | UK£589.00k | 0.023% £315.9k | |
| Independent Non-Executive Director | 3.67yrs | UK£53.00k | 0.0026% £36.4k | |
| Non-Executive Chairman | 37.42yrs | UK£341.00k | 27.81% £385.0m | |
| Independent Non-Executive Director | 14.25yrs | UK£53.00k | 0.00085% £11.8k | |
| Independent Non-Executive Director | 11.17yrs | UK£53.00k | 0.0017% £23.4k |
12.3yrs
Average Tenure
54yo
Average Age
Experienced Board: JDW's board of directors are seasoned and experienced ( 12.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: JDW 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 14.6%.
Top Shareholders
Company Information
J D Wetherspoon plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: J D Wetherspoon plc
- Ticker: JDW
- Exchange: LSE
- Founded: 1979
- Industry: Restaurants
- Sector: Consumer Services
- Market Cap: UK£1.384b
- Shares outstanding: 118.12m
- Website: https://www.jdwetherspoon.com
Number of Employees
Location
- J D Wetherspoon plc
- Wetherspoon House
- Central Park
- Watford
- Hertfordshire
- WD24 4QL
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| JDWP.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Nov 1992 |
| JDW | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Nov 1992 |
| JDWL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Nov 1992 |
| 0QW | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Nov 1992 |
| JDWP.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | Jul 1997 |
Biography
J D Wetherspoon plc owns and operates pubs and hotels in the United Kingdom and the Republic of Ireland. As of July 29, 2018, it operated 883 pubs. The company was founded in 1979 and is based in Watford, the United Kingdom.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/03 21:19 |
| End of Day Share Price | 2020/06/03 00:00 |
| Earnings | 2020/01/26 |
| Annual Earnings | 2019/07/28 |
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.