AIM:ARDN

Stock Analysis Report

Executive Summary

Arden Partners plc operates as a multi-service stockbroker that provides a range of financial services to corporate and institutional clients in the United Kingdom.

Snowflake

Fundamentals

Unattractive dividend payer and overvalued.

Share Price & News

How has Arden Partners's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

ARDN

-1.3%

GB Capital Markets

-0.4%

GB Market


1 Year Return

-43.9%

ARDN

19.7%

GB Capital Markets

2.9%

GB Market

Return vs Industry: ARDN underperformed the UK Capital Markets industry which returned 19.7% over the past year.

Return vs Market: ARDN underperformed the UK Market which returned 2.9% over the past year.


Shareholder returns

ARDNIndustryMarket
7 Day0%-1.3%-0.4%
30 Day2.8%-3.1%-1.4%
90 Day8.8%3.0%-2.1%
1 Year-41.7%-43.9%22.6%19.7%8.0%2.9%
3 Year-39.7%-43.1%77.2%64.6%18.0%3.6%
5 Year-56.3%-59.3%148.0%118.6%35.8%6.4%

Price Volatility Vs. Market

How volatile is Arden Partners's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Arden Partners undervalued compared to its fair value and its price relative to the market?

0.74x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ARDN's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ARDN's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ARDN is unprofitable, so we can't compare its PE Ratio to the Capital Markets industry average.

PE vs Market: ARDN 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 ARDN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ARDN is good value based on its PB Ratio (0.7x) compared to the GB Capital Markets industry average (1.3x).


Next Steps

Future Growth

How is Arden Partners forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.9%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Arden Partners has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Arden Partners performed over the past 5 years?

-23.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ARDN is unprofitable, and losses have increased over the past 5 years at a rate of -23.7% per year.

Accelerating Growth: Unable to compare ARDN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ARDN is unprofitable, making it difficult to compare its past year earnings growth to the Capital Markets industry (4.6%).


Return on Equity

High ROE: ARDN has a negative Return on Equity (-28.47%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ARDN is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ARDN is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Arden Partners's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: ARDN has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if ARDN's debt is covered by short term assets.


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: ARDN has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: ARDN has sufficient cash runway for 2.077248 years if free cash flow continues to reduce at historical rates of -61.5% each year.


Financial Institutions Analysis

Asset Level: ARDN's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if ARDN has a sufficient allowance for bad loans.

Low Risk Liabilities: ARDN reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if ARDN has an acceptable proportion of non-loan assets held.

Low Risk Deposits: ARDN has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if ARDN has an appropriate level of bad loans.


Next Steps

Dividend

What is Arden Partners's current dividend yield, its reliability and sustainability?

5.41%

Current Dividend Yield


Dividend Yield vs Market

company5.4%marketbottom25%2.0%markettop25%5.4%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ARDN's dividend (5.41%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).

High Dividend: ARDN's dividend (5.41%) is in the top 25% of dividend payers in the UK market (5.36%)

Stable Dividend: ARDN has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ARDN has only been paying a dividend for 7 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: ARDN is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Arden Partners's salary, the management and board of directors tenure and is there insider trading?

5.1yrs

Average management tenure


CEO

Donald Brown (49yo)

2.4yrs

Tenure

UK£237,000

Compensation

Mr. Donald Campbell Brown has been the Chief Executive Officer & Director of Arden Partners plc since July 2017. Mr. Brown has more than 25 years' experience of working in the small and mid cap broking sec ...


CEO Compensation Analysis

Compensation vs. Market: Donald has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the UK market.

Compensation vs Earnings: Donald's compensation has been consistent with company performance over the past year.


Management Age and Tenure

5.1yrs

Average Tenure

49yo

Average Age

Experienced Management: ARDN's management team is seasoned and experienced (5.1 years average tenure).


Board Age and Tenure

1.4yrs

Average Tenure

49yo

Average Age

Experienced Board: ARDN'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


Management Team

  • Ed Walsh

    Head of Equity Sales

    • Tenure: 7.8yrs
  • Jim Reed-Daunter (49yo)

    Executive Director

    • Tenure: 7.3yrs
    • Compensation: UK£220.00k
  • Mark Braddock

    Head of Trading

    • Tenure: 0yrs
  • Steve Wassell (60yo)

    COO & Company Secretary

    • Tenure: 10.8yrs
    • Compensation: UK£114.61k
  • Steve Douglas (45yo)

    Group Finance Director & Director

    • Tenure: 0.8yrs
  • Tim Dainton

    Head of Distribution

    • Tenure: 0yrs
  • Donald Brown (49yo)

    CEO & Director

    • Tenure: 2.4yrs
    • Compensation: UK£237.00k
  • Simon Johnson

    Head of Corporate Broking

    • Tenure: 0yrs
  • John Llewellyn-Lloyd

    Director of Corporate Finance & Head of Professional Services

    • Tenure: 0yrs
  • Mark Pilcher

    Director of Market Making

    • Tenure: 0yrs

Board Members

  • Alistair Malcolm Currie (55yo)

    Independent Non-Executive Director

    • Tenure: 0.9yrs
  • Mark Ansell (67yo)

    Non-Executive Chairman

    • Tenure: 1.4yrs
    • Compensation: UK£35.00k
  • Jim Reed-Daunter (49yo)

    Executive Director

    • Tenure: 7.3yrs
    • Compensation: UK£220.00k
  • Steve Douglas (45yo)

    Group Finance Director & Director

    • Tenure: 0.8yrs
  • Donald Brown (49yo)

    CEO & Director

    • Tenure: 2.4yrs
    • Compensation: UK£237.00k

Company Information

Arden Partners plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arden Partners plc
  • Ticker: ARDN
  • Exchange: AIM
  • Founded: 2002
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: UK£5.105m
  • Shares outstanding: 27.59m
  • Website: https://www.arden-partners.com

Number of Employees


Location

  • Arden Partners plc
  • 5 George Road
  • Edgbaston
  • Birmingham
  • West Midlands
  • B15 1NP
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ARDNAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJul 2006

Biography

Arden Partners plc operates as a multi-service stockbroker that provides a range of financial services to corporate and institutional clients in the United Kingdom. The company is involved in the research, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 20:55
End of Day Share Price2019/10/18 00:00
Earnings2019/04/30
Annual Earnings2018/10/31


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.