William Hill
Market Cap
UK£1.4b
Last Updated
2019/12/11 20:37 UTC
Data Sources
Company Financials +
Executive Summary
William Hill plc provides sports betting and gaming services in the United Kingdom and internationally.
Rewards
Risk Analysis
Snowflake Analysis
High growth potential average dividend payer.
Similar Companies
Share Price & News
How has William Hill's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WMH has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-2.6%
WMH
-0.6%
GB Hospitality
0.5%
GB Market
1 Year Return
4.6%
WMH
16.1%
GB Hospitality
7.0%
GB Market
Return vs Industry: WMH underperformed the UK Hospitality industry which returned 16.1% over the past year.
Return vs Market: WMH underperformed the UK Market which returned 7% over the past year.
Shareholder returns
| WMH | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.6% | -0.6% | 0.5% |
| 30 Day | -5.8% | -3.4% | -0.3% |
| 90 Day | -12.3% | -1.7% | 0.4% |
| 1 Year | 11.1%4.6% | 19.5%16.1% | 12.6%7.0% |
| 3 Year | -33.7%-43.4% | 34.4%20.5% | 18.7%3.6% |
| 5 Year | -39.3%-51.9% | 57.0%32.3% | 41.8%9.3% |
Price Volatility Vs. Market
How volatile is William Hill's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Are Investors Undervaluing William Hill plc (LON:WMH) By 31%?11 months ago | Simply Wall St
An Intrinsic Calculation For William Hill plc (LON:WMH) Shows It's 25.06% Undervalued1 year ago | Simply Wall St
William Hill plc (LON:WMH): Assessing Capital ReturnsValuation
Is William Hill undervalued compared to its fair value and its price relative to the market?
42.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: WMH (£1.65) is trading below our estimate of fair value (£2.85)
Significantly Below Fair Value: WMH is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: WMH is poor value based on its PE Ratio (56.4x) compared to the Hospitality industry average (26.2x).
PE vs Market: WMH is poor value based on its PE Ratio (56.4x) compared to the UK market (17.2x).
Price to Earnings Growth Ratio
PEG Ratio: WMH is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: WMH is overvalued based on its PB Ratio (4.6x) compared to the GB Hospitality industry average (1.5x).
Next Steps
Future Growth
How is William Hill forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?
44.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WMH's forecast earnings growth (44% per year) is above the savings rate (0.5%).
Earnings vs Market: WMH's earnings (44% per year) are forecast to grow faster than the UK market (12.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: WMH's revenue (3.7% per year) is forecast to grow faster than the UK market (3.6% per year).
High Growth Revenue: WMH's revenue (3.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WMH's Return on Equity is forecast to be very high in 3 years time (54.3%).
Next Steps
Past Performance
How has William Hill performed over the past 5 years?
-56.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WMH has a large one-off loss of £104.1M impacting its July 2 2019 financial results.
Growing Profit Margin: WMH became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: WMH's earnings have declined by -56.4% per year over the past 5 years.
Accelerating Growth: WMH has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: WMH has become profitable in the last year, making it difficult to compare its past year earnings growth to the Hospitality industry (1.6%).
Return on Equity
High ROE: WMH's Return on Equity (8.1%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is William Hill's financial position?
Financial Position Analysis
Short Term Liabilities: WMH's short term assets (£504.5M) do not cover its short term liabilities (£757.3M).
Long Term Liabilities: WMH's short term assets (£504.5M) do not cover its long term liabilities (£908.5M).
Debt to Equity History and Analysis
Debt Level: WMH's debt to equity ratio (279.2%) is considered high.
Reducing Debt: WMH's debt to equity ratio has increased from 73.2% to 279.2% over the past 5 years.
Debt Coverage: WMH's debt is not well covered by operating cash flow (17.8%).
Interest Coverage: WMH's interest payments on its debt are well covered by EBIT (4.3x coverage).
Balance Sheet
Inventory Level: WMH has a low level of unsold assets or inventory.
Debt Coverage by Assets: WMH's debt is not covered by short term assets (assets are 0.6x debt).
Next Steps
Dividend
What is William Hill's current dividend yield, its reliability and sustainability?
7.29%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: WMH's dividend (7.29%) is higher than the bottom 25% of dividend payers in the UK market (1.95%).
High Dividend: WMH's dividend (7.29%) is in the top 25% of dividend payers in the UK market (5.2%)
Stability and Growth of Payments
Stable Dividend: WMH's dividend payments have been volatile in the past 10 years.
Growing Dividend: WMH's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (356.4%), WMH's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: WMH's dividends in 3 years are forecast to be covered by earnings (51% payout ratio).
Next Steps
Management
What is the CEO of William Hill's salary, the management and board of directors tenure and is there insider trading?
0.9yrs
Average management tenure
CEO
Ulrik Bengtsson (47yo)
0.3yrs
Tenure
Mr. Ulrik Bengtsson has ben Chief Executive Officer of William Hill plc since September 30, 2019. Mr. Bengtsson serves as Director of William Hill plc since September 5, 2019. Mr. Bengtsson was the Group a ...
Management Age and Tenure
0.9yrs
Average Tenure
50yo
Average Age
Experienced Management: WMH's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.
Board Age and Tenure
1.4yrs
Average Tenure
52yo
Average Age
Experienced Board: WMH's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.
Insider Trading
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.
Management Team
Ruth Prior (52yo)
CFO & Executive Director
- Tenure: 2.2yrs
- Compensation: UK£653.76k
Ciaran O'Brien
Director of Corporate Communications
- Tenure: 0yrs
Ulrik Bengtsson (47yo)
CEO & Director
- Tenure: 0.3yrs
Philip Bowcock (50yo)
Executive Officer
- Tenure: 0.3yrs
- Compensation: UK£1.03m
Nicola Frampton
Managing Director of UK Retail
- Tenure: 0yrs
Karen Myers
Chief Human Resources Officer
- Tenure: 4.7yrs
Crispin Nieboer
Group Corporate Development Director
- Tenure: 1.9yrs
Louise Turner-Smith
Director of Investor Relations
- Tenure: 0yrs
Phillip Feuvre
Interim Chief Operating Officer
- Tenure: 0.9yrs
Satty Bhens
Chief Technology & Product Officer
- Tenure: 0.08yrs
Board Members
Roger Devlin (61yo)
Chairman
- Tenure: 1.7yrs
- Compensation: UK£271.42k
Gordon Wilson (52yo)
Independent Non-Executive Director
- Tenure: 0.9yrs
Ruth Prior (52yo)
CFO & Executive Director
- Tenure: 2.2yrs
- Compensation: UK£653.76k
Georgina Harvey (54yo)
Independent Non-Executive Director
- Tenure: 8.1yrs
- Compensation: UK£73.88k
Ulrik Bengtsson (47yo)
CEO & Director
- Tenure: 0.3yrs
Robin Terrell
Independent Non-Executive Director
- Tenure: 2.9yrs
- Compensation: UK£55.90k
Mark David Brooker (48yo)
Senior Independent Non-Executive Director
- Tenure: 1.1yrs
- Compensation: UK£76.50k
Jane Hanson (52yo)
Independent Non-Executive Director
- Tenure: 0.4yrs
Lynne Weedall (52yo)
Independent Non-executive Director
- Tenure: 0yrs
Company Information
William Hill plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: William Hill plc
- Ticker: WMH
- Exchange: LSE
- Founded: 1934
- Industry: Casinos and Gaming
- Sector: Consumer Services
- Market Cap: UK£1.438b
- Shares outstanding: 873.60m
- Website: https://www.williamhillplc.com
Number of Employees
Location
- William Hill plc
- 1 Bedford Avenue
- London
- Greater London
- WC1B 3AU
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WHI | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jun 2002 |
| WMH | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jun 2002 |
| WIMH.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jun 2002 |
| WMHL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jun 2002 |
| WIMH.Y | OTCPK (Pink Sheets LLC) | ADR-ORD SHS | US | USD | Jul 2008 |
Biography
William Hill plc provides sports betting and gaming services in the United Kingdom and internationally. It operates through Retail, Online, US Existing, US Expansion, and Other segments. The company operat ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/12/11 20:37 |
| End of Day Share Price | 2019/12/11 00:00 |
| Earnings | 2019/07/02 |
| Annual Earnings | 2019/01/01 |
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.