Whitbread
Market Cap
UK£4.0b
Last Updated
2020/04/09 22:50 UTC
Data Sources
Company Financials +
Executive Summary
Whitbread PLC operates hotels and restaurants in the United Kingdom.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -0.2% per year for the next 3 years
Snowflake Analysis
Adequate balance sheet with concerning outlook.
Similar Companies
Share Price & News
How has Whitbread's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: WTB's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
9.5%
WTB
16.1%
GB Hospitality
8.6%
GB Market
1 Year Return
-38.7%
WTB
-16.8%
GB Hospitality
-19.4%
GB Market
Return vs Industry: WTB underperformed the UK Hospitality industry which returned -20.1% over the past year.
Return vs Market: WTB underperformed the UK Market which returned -21.5% over the past year.
Shareholder returns
| WTB | Industry | Market | |
|---|---|---|---|
| 7 Day | 9.5% | 16.1% | 8.6% |
| 30 Day | -7.2% | -7.2% | -3.5% |
| 90 Day | -36.2% | -27.2% | -23.0% |
| 1 Year | -37.3%-38.7% | -14.6%-16.8% | -15.5%-19.4% |
| 3 Year | -23.8%-29.0% | -8.9%-18.0% | -8.8%-19.9% |
| 5 Year | -36.6%-43.3% | 7.2%-9.4% | 4.2%-19.0% |
Price Volatility Vs. Market
How volatile is Whitbread's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
How Does Whitbread's (LON:WTB) P/E Compare To Its Industry, After The Share Price Drop?2 weeks ago | Simply Wall St
Whitbread PLC (LON:WTB) Delivered A Weaker ROE Than Its Industry4 weeks ago | Simply Wall St
A Sliding Share Price Has Us Looking At Whitbread PLC's (LON:WTB) P/E RatioValuation
Is Whitbread undervalued compared to its fair value and its price relative to the market?
26.37x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: WTB (£29.64) is trading above our estimate of fair value (£10.87)
Significantly Below Fair Value: WTB is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: WTB is poor value based on its PE Ratio (26.4x) compared to the Hospitality industry average (18.6x).
PE vs Market: WTB is poor value based on its PE Ratio (26.4x) compared to the UK market (13.3x).
Price to Earnings Growth Ratio
PEG Ratio: WTB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: WTB is overvalued based on its PB Ratio (1.3x) compared to the GB Hospitality industry average (1x).
Next Steps
Future Growth
How is Whitbread forecast to perform in the next 1 to 3 years based on estimates from 22 analysts?
-0.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: WTB's earnings are forecast to decline over the next 3 years (-0.2% per year).
Earnings vs Market: WTB's earnings are forecast to decline over the next 3 years (-0.2% per year).
High Growth Earnings: WTB's earnings are forecast to decline over the next 3 years.
Revenue vs Market: WTB's revenue (3.1% per year) is forecast to grow faster than the UK market (2.5% per year).
High Growth Revenue: WTB's revenue (3.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: WTB's Return on Equity is forecast to be low in 3 years time (7.1%).
Next Steps
Past Performance
How has Whitbread performed over the past 5 years?
-7.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: WTB has a large one-off loss of £135.5M impacting its August 29 2019 financial results.
Growing Profit Margin: WTB's current net profit margins (9.5%) are lower than last year (16%).
Past Earnings Growth Analysis
Earnings Trend: WTB's earnings have declined by -7.6% per year over the past 5 years.
Accelerating Growth: WTB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: WTB had negative earnings growth (-40.1%) over the past year, making it difficult to compare to the Hospitality industry average (-10.9%).
Return on Equity
High ROE: WTB's Return on Equity (5.1%) is considered low.
Next Steps
Financial Health
How is Whitbread's financial position?
Financial Position Analysis
Short Term Liabilities: WTB's short term assets (£1.0B) exceed its short term liabilities (£621.5M).
Long Term Liabilities: WTB's short term assets (£1.0B) do not cover its long term liabilities (£3.4B).
Debt to Equity History and Analysis
Debt Level: WTB's debt to equity ratio (23.4%) is considered satisfactory.
Reducing Debt: WTB's debt to equity ratio has reduced from 29.1% to 23.4% over the past 5 years.
Debt Coverage: WTB's debt is not well covered by operating cash flow (10%).
Interest Coverage: WTB's interest payments on its debt are well covered by EBIT (21.5x coverage).
Balance Sheet
Next Steps
Dividend
What is Whitbread's current dividend yield, its reliability and sustainability?
3.33%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate WTB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate WTB'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 WTB's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if WTB's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: WTB is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of WTB'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?
3.8yrs
Average management tenure
CEO
Alison Brittain (55yo)
4.25s
Tenure
UK£5,588,000
Compensation
Ms. Alison Brittain, CBE, has been Chief Executive Officer of Whitbread PLC since January 4, 2016. Ms. Brittain serves as an Executive Director of Abbey National plc (ENG). She has significant financial an ...
CEO Compensation Analysis
Compensation vs Market: Alison's total compensation ($USD6.94M) is above average for companies of similar size in the UK market ($USD3.36M).
Compensation vs Earnings: Alison's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chief Executive & Director | 4.25yrs | UK£5.59m | 0.036% £1.4m | |
| Group Finance Director & Executive Director | 7.42yrs | UK£3.48m | 0.0058% £230.9k | |
| Group Human Resource Director & Executive Director | 7.42yrs | UK£2.30m | 0.024% £939.7k | |
| Group Operations & Transformation Director | 2.67yrs | no data | no data | |
| General Counsel & Company Secretary | 4.33yrs | no data | no data | |
| Managing Director of Premier Inn & Restaurants UK | 3.42yrs | no data | no data | |
| Managing Director of Premier Inn | 1.5yrs | no data | no data | |
| Managing Director Property & International | no data | no data | no data | |
| Managing Director of Restaurants | 1.5yrs | no data | no data |
3.8yrs
Average Tenure
53yo
Average Age
Experienced Management: WTB's management team is considered experienced (3.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chief Executive & Director | 4.25yrs | UK£5.59m | 0.036% £1.4m | |
| Group Finance Director & Executive Director | 7.42yrs | UK£3.48m | 0.0058% £230.9k | |
| Group Human Resource Director & Executive Director | 7.42yrs | UK£2.30m | 0.024% £939.7k | |
| Independent Non–Executive Director | 3.25yrs | UK£80.00k | 0.0012% £47.3k | |
| Senior Independent Director | 1.83yrs | UK£51.00k | 0.00075% £29.8k | |
| Independent Non–Executive Director | 8.25yrs | UK£65.00k | 0.0011% £44.1k | |
| Independent Non–Executive Director | 4.08yrs | UK£80.00k | 0.0011% £44.5k | |
| Independent Chairman | 2.08yrs | UK£400.00k | 0.0022% £89.0k | |
| Independent Non-Executive Director | 3.25yrs | UK£70.00k | 0.0011% £42.1k | |
| Independent Non Executive Director | 1.17yrs | UK£5.00k | 0.00046% £18.3k |
3.7yrs
Average Tenure
55yo
Average Age
Experienced Board: WTB's board of directors are considered experienced (3.7 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Whitbread PLC's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Whitbread PLC
- Ticker: WTB
- Exchange: LSE
- Founded: 1742
- Industry: Hotels, Resorts and Cruise Lines
- Sector: Consumer Services
- Market Cap: UK£3.973b
- Shares outstanding: 134.05m
- Website: https://www.whitbread.co.uk
Number of Employees
Location
- Whitbread PLC
- Whitbread Court
- Houghton Hall Business Park
- Dunstable
- Bedfordshire
- LU5 5XE
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| WTBC.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| WTB | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| WHF4 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| WTBL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jan 1992 |
| WTBD.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | Oct 2008 |
Biography
Whitbread PLC operates hotels and restaurants in the United Kingdom. It operates approximately 800 hotels with 76,171 rooms under the Premier Inn and the hub by Premier Inn brand names; and restaurants under the Brewers Fayre, Beefeater Grill, coockhouse & Pub, Bar+Block, thyme, and Table Table brands. The company was founded in 1742 and is based in Dunstable, the United Kingdom.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/09 22:50 |
| End of Day Share Price | 2020/04/09 00:00 |
| Earnings | 2019/08/29 |
| Annual Earnings | 2019/02/28 |
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.