Market Cap
UK£653.3m
Last Updated
2020/04/10 02:16 UTC
Data Sources
Company Financials +
Executive Summary
Playtech Plc develops and sells software products for the online and land-based gambling industries worldwide.
Rewards
Risk Analysis
+ 1 more risk
Snowflake Analysis
Moderate growth potential second-rate dividend payer.
Similar Companies
Share Price & News
How has Playtech's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PTEC's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
23.9%
PTEC
16.1%
GB Hospitality
8.6%
GB Market
1 Year Return
-49.4%
PTEC
-16.8%
GB Hospitality
-19.4%
GB Market
Return vs Industry: PTEC underperformed the UK Hospitality industry which returned -26.7% over the past year.
Return vs Market: PTEC underperformed the UK Market which returned -23.6% over the past year.
Shareholder returns
| PTEC | Industry | Market | |
|---|---|---|---|
| 7 Day | 23.9% | 16.1% | 8.6% |
| 30 Day | 5.3% | -7.2% | -3.5% |
| 90 Day | -45.3% | -27.2% | -23.0% |
| 1 Year | -47.6%-49.4% | -14.6%-16.8% | -15.5%-19.4% |
| 3 Year | -73.7%-76.6% | -8.9%-18.0% | -8.8%-19.9% |
| 5 Year | -65.2%-71.9% | 7.2%-9.4% | 4.2%-19.0% |
Price Volatility Vs. Market
How volatile is Playtech's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
The CEO & Executive Director of Playtech plc (LON:PTEC), Moran Weizer, Just Bought 127% More Shares1 month ago | Simply Wall St
The Playtech (LON:PTEC) Share Price Is Down 77% So Some Shareholders Are Rather Upset1 month ago | Simply Wall St
Shareholders Should Look Hard At Playtech plc’s (LON:PTEC) 5.8%Return On CapitalValuation
Is Playtech undervalued compared to its fair value and its price relative to the market?
57.17x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: PTEC (£1.77) is trading above our estimate of fair value (£1.15)
Significantly Below Fair Value: PTEC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: PTEC is poor value based on its PE Ratio (45.8x) compared to the Hospitality industry average (18.1x).
PE vs Market: PTEC is poor value based on its PE Ratio (45.8x) compared to the UK market (12.6x).
Price to Earnings Growth Ratio
PEG Ratio: PTEC is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: PTEC is good value based on its PB Ratio (0.5x) compared to the GB Hospitality industry average (1x).
Next Steps
Future Growth
How is Playtech forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
54.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PTEC's forecast earnings growth (53.5% per year) is above the savings rate (0.5%).
Earnings vs Market: PTEC's earnings (53.5% per year) are forecast to grow faster than the UK market (15.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: PTEC's revenue (0.7% per year) is forecast to grow slower than the UK market (2.5% per year).
High Growth Revenue: PTEC's revenue (0.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PTEC's Return on Equity is forecast to be low in 3 years time (8.3%).
Next Steps
Past Performance
How has Playtech performed over the past 5 years?
-4.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PTEC has a large one-off loss of €28.9M impacting its December 31 2019 financial results.
Growing Profit Margin: PTEC's current net profit margins (0.9%) are lower than last year (10%).
Past Earnings Growth Analysis
Earnings Trend: PTEC's earnings have declined by -4% per year over the past 5 years.
Accelerating Growth: PTEC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PTEC had negative earnings growth (-89.3%) over the past year, making it difficult to compare to the Hospitality industry average (-3.5%).
Return on Equity
High ROE: PTEC's Return on Equity (1.1%) is considered low.
Next Steps
Financial Health
How is Playtech's financial position?
Financial Position Analysis
Short Term Liabilities: PTEC's short term assets (€1.0B) exceed its short term liabilities (€777.2M).
Long Term Liabilities: PTEC's short term assets (€1.0B) do not cover its long term liabilities (€1.1B).
Debt to Equity History and Analysis
Debt Level: PTEC's debt to equity ratio (76.6%) is considered high.
Reducing Debt: PTEC's debt to equity ratio has increased from 28.2% to 76.6% over the past 5 years.
Debt Coverage: PTEC's debt is well covered by operating cash flow (34.3%).
Interest Coverage: PTEC's interest payments on its debt are not well covered by EBIT (2.8x coverage).
Balance Sheet
Next Steps
Dividend
What is Playtech's current dividend yield, its reliability and sustainability?
7.21%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PTEC's dividend (9.01%) is higher than the bottom 25% of dividend payers in the UK market (2.59%).
High Dividend: PTEC's dividend (9.01%) is in the top 25% of dividend payers in the UK market (7.08%)
Stability and Growth of Payments
Stable Dividend: PTEC's dividend payments have been volatile in the past 10 years.
Growing Dividend: PTEC's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (412.5%), PTEC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PTEC's dividends in 3 years are forecast to be well covered by earnings (23.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.5yrs
Average management tenure
CEO
Mor Weizer (43yo)
12.92s
Tenure
€3,016,985
Compensation
Mr. Mor Weizer, also known as Mor, serves as the Chief Executive Officer of Playtech Inc. Mr. Weizer has been the Chief Executive Officer and Executive Director of Playtech plc since May 2, 2007. Mr. Weize ...
CEO Compensation Analysis
Compensation vs Market: Mor's total compensation ($USD3.26M) is above average for companies of similar size in the UK market ($USD1.27M).
Compensation vs Earnings: Mor's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 12.92yrs | €3.02m | 0.081% €526.7k | |
| CFO & Executive Director | 3.25yrs | €962.32k | 0.026% €172.9k | |
| Chief Operating Officer | no data | no data | no data | |
| Director of Investor Relations & Strategic Analysis | no data | no data | no data | |
| Head of Regulatory Affairs & Compliance | no data | no data | no data | |
| General Counsel | no data | no data | no data | |
| Director of Corporate Affairs | no data | no data | no data | |
| Chief Policy Officer | 3.83yrs | no data | no data | |
| Head of Internal Audit | no data | no data | no data | |
| Chief Executive Officer of TradeTech Group | 3.25yrs | €1.35m | no data |
3.5yrs
Average Tenure
Experienced Management: PTEC's management team is considered experienced (3.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 12.92yrs | €3.02m | 0.081% €526.7k | |
| CFO & Executive Director | 3.25yrs | €962.32k | 0.026% €172.9k | |
| Non-Executive Chairman of Board | 6.5yrs | €442.89k | 0.0084% €54.9k | |
| Non-Executive Director | 1.58yrs | €39.26k | 0.0059% €38.5k | |
| Senior Independent Director | 0.92yr | €118.56k | 0.0017% €11.0k | |
| Independent Non-Executive Director | 1yr | no data | no data | |
| Independent Non-Executive Director | 1yr | no data | no data | |
| Non-Executive Director | 3.75yrs | €118.56k | no data |
2.4yrs
Average Tenure
54yo
Average Age
Experienced Board: PTEC's board of directors are not considered experienced ( 2.4 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: PTEC insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Playtech plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Playtech plc
- Ticker: PTEC
- Exchange: LSE
- Founded: 1999
- Industry: Casinos and Gaming
- Sector: Consumer Services
- Market Cap: UK£653.277m
- Shares outstanding: 297.35m
- Website: https://www.playtech.com
Number of Employees
Location
- Playtech plc
- St George’s Court
- Ground Floor
- Douglas
- IM1 1EE
- Isle of Man
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PTEC | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Mar 2006 |
| PL8 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Mar 2006 |
| PYTC.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Mar 2006 |
| PTECL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Mar 2006 |
| PYTC.Y | OTCPK (Pink Sheets LLC) | UNSPONSORED ADS | US | USD | May 2010 |
Biography
Playtech Plc develops and sells software products for the online and land-based gambling industries worldwide. The company operates through Gaming B2B, Gaming B2C, and Financial segments. It operates an online trading platform to retail customers, which enable them to trade contracts for differences on various instruments, such as foreign exchange, commodities, equities, and indices; and provides B2B clearing and execution services for retail brokers and professional clients. The company also offers online gaming applications, including online casino, poker, bingo, sports betting, live gaming, casual, and fixed odds games. In addition, it owns the intellectual property rights and licenses the software; provides marketing and advertising, turnkey, and operational and hosting services; offers advisory services for processing and cashier to online gaming operators; operates betting shops; and distributes lottery software. Playtech Plc was founded in 1999 and is headquartered in Douglas, the Isle of Man.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/10 02:16 |
| 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.