Arrow Global Group
Market Cap
UK£384.1m
Last Updated
2019/10/16 21:27 UTC
Data Sources
Company Financials +
Executive Summary
Arrow Global Group PLC identifies, acquires, and manages secured and unsecured defaulted and non-core loan portfolios and real estate from and on behalf of financial institutions, such as banks, institutional investors, and credit card companies in the United Kingdom and internationally.
Snowflake
Fundamentals
Undervalued with high growth potential and pays a dividend.
Similar Companies
Share Price & News
How has Arrow Global Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
3.8%
ARW
4.1%
GB Consumer Finance
1.9%
GB Market
1 Year Return
6.7%
ARW
-41.5%
GB Consumer Finance
2.4%
GB Market
Return vs Industry: ARW exceeded the UK Consumer Finance industry which returned -41.5% over the past year.
Return vs Market: ARW exceeded the UK Market which returned 2.4% over the past year.
Shareholder returns
| ARW | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.8% | 4.1% | 1.9% |
| 30 Day | 1.0% | -1.9% | -1.1% |
| 90 Day | -18.0% | -14.4% | -1.8% |
| 1 Year | 13.9%6.7% | -39.1%-41.5% | 7.4%2.4% |
| 3 Year | -17.7%-28.2% | -62.6%-73.5% | 18.2%3.7% |
| 5 Year | 8.8%-9.7% | -53.2%-69.0% | 35.7%6.1% |
Price Volatility Vs. Market
How volatile is Arrow Global Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Arrow Global Group PLC (LON:ARW) Potentially Undervalued?1 month ago | Simply Wall St
Arrow Global Group PLC (LON:ARW): The Best Of Both Worlds1 month ago | Simply Wall St
What Kind Of Share Price Volatility Should You Expect For Arrow Global Group PLC (LON:ARW)?Valuation
Is Arrow Global Group undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Undervalued: ARW (£2.19) is trading below our estimate of fair value (£5.63)
Significantly Undervalued: ARW is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ARW is good value based on its PE Ratio (8.8x) compared to the Consumer Finance industry average (10.9x).
PE vs Market: ARW is good value based on its PE Ratio (8.8x) compared to the UK market (16.5x).
Price to Earnings Growth Ratio
Low PEG Ratio: ARW is good value based on its PEG Ratio (0.4x)
Price to Book Ratio
PB vs Industry: ARW is overvalued based on its PB Ratio (1.9x) compared to the GB Consumer Finance industry average (1.4x).
Next Steps
Future Growth
How is Arrow Global Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
21.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ARW's forecast earnings growth (21% per year) is above the savings rate (1.2%).
Earnings vs Market: ARW's earnings (21% per year) are forecast to grow faster than the UK market (12.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ARW's revenue (8.6% per year) is forecast to grow faster than the UK market (3.9% per year).
High Growth Revenue: ARW's revenue (8.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: ARW's Return on Equity is forecast to be high in 3 years time (28.5%)
Next Steps
Past Performance
How has Arrow Global Group performed over the past 5 years?
17.3%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: ARW's earnings have grown by 17.3% per year over the past 5 years.
Accelerating Growth: ARW's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ARW had negative earnings growth (-2.3%) over the past year, making it difficult to compare to the Consumer Finance industry average (7.8%).
Return on Equity
High ROE: Whilst ARW's Return on Equity (22.15%) is high, this metric is skewed due to their high level of debt.
Return on Assets
ROA vs Industry: ARW's Return on Assets is below or equal to the Consumer Finance industry average last year.
Return on Capital Employed
ROCE Improving: Insufficient data to calculate ARW's Return on Capital Employed to determine if it has improved over the past 3 years.
Next Steps
Financial Health
How is Arrow Global Group'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: ARW has a low level of unsold assets or inventory.
Debt Coverage by Assets: ARW's debt is not covered by short term assets (assets are 0.3x debt).
Financial Institutions Analysis
Asset Level: ARW's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if ARW has a sufficient allowance for bad loans.
Low Risk Liabilities: ARW reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if ARW has an acceptable proportion of non-loan assets held.
Low Risk Deposits: ARW has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if ARW has an appropriate level of bad loans.
Next Steps
Dividend
What is Arrow Global Group's current dividend yield, its reliability and sustainability?
5.79%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: ARW's dividend (5.79%) is higher than the bottom 25% of dividend payers in the UK market (2%).
High Dividend: ARW's dividend (5.79%) is in the top 25% of dividend payers in the UK market (5.42%)
Stable Dividend: Whilst dividend payments have been stable, ARW has been paying a dividend for less than 10 years.
Growing Dividend: ARW's dividend payments have increased, but the company has only paid a dividend for 5 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (52.7%), ARW's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ARW's dividends in 3 years are forecast to be well covered by earnings (37.2% payout ratio).
Next Steps
Management
What is the CEO of Arrow Global Group's salary, the management and board of directors tenure and is there insider trading?
2.5yrs
Average management tenure
CEO
Lee Rochford (52yo)
2.8yrs
Tenure
UK£1,011,000
Compensation
Mr. Lee Rochford, MA has been the Group Chief Executive Officer of Arrow Global Group PLC since January 3, 2017. Mr. Rochford served as the Chief Financial Officer of Virgin Money Holdings (UK) plc and Vir ...
CEO Compensation Analysis
Compensation vs. Market: Lee's total compensation ($USD1.30M) is about average for companies of similar size in the UK market ($USD874.66K).
Compensation vs Earnings: Lee's compensation has been consistent with company performance over the past year.
Management Age and Tenure
2.5yrs
Average Tenure
45yo
Average Age
Experienced Management: ARW's management team is considered experienced (2.5 years average tenure).
Board Age and Tenure
3.2yrs
Average Tenure
56.5yo
Average Age
Experienced Board: ARW's board of directors are considered experienced (3.2 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chief Operating Officer Group Chief Operating Officer |
| Shares | 4,975 |
| Max Price | UK£2.00 |
Ownership Breakdown
Management Team
Zach Lewy (45yo)
Founder & Chief Investment Officer
- Tenure: 0yrs
- Compensation: UK£201.00k
Lee Rochford (52yo)
Group CEO & Executive Director
- Tenure: 2.8yrs
- Compensation: UK£1.01m
Joao Bugalho
Country Head for Portugal
- Tenure: 2.5yrs
Matt Hotson
Group Chief Financial Officer
- Tenure: 0.2yrs
Stewart Hamilton (43yo)
General Counsel & Group Company Secretary
- Tenure: 6.1yrs
Tracy French
Group HR Director
- Tenure: 0yrs
Steve Greenwood
Chief Risk Officer
- Tenure: 0yrs
John Calvao
Country Head for Italy
- Tenure: 2.5yrs
Duncan Browne
Head of Investor Relations
- Tenure: 0yrs
Dave Sutherland
Group Chief Operating Officer
- Tenure: 1.8yrs
Board Members
Jonathan Bloomer (65yo)
Non-Executive Chairman
- Tenure: 0yrs
- Compensation: UK£170.00k
Andrew Fisher (61yo)
Senior Independent Non-Executive Director
- Tenure: 0.4yrs
- Compensation: UK£65.00k
Lee Rochford (52yo)
Group CEO & Executive Director
- Tenure: 2.8yrs
- Compensation: UK£1.01m
Maria Albuquerque
Independent Non-Executive Director
- Tenure: 3.6yrs
- Compensation: UK£55.00k
Lan Tu (51yo)
Independent Non-Executive Director
- Tenure: 4.6yrs
- Compensation: UK£65.00k
Company Information
Arrow Global Group PLC's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Arrow Global Group PLC
- Ticker: ARW
- Exchange: LSE
- Founded: 2005
- Industry: Consumer Finance
- Sector: Diversified Financials
- Market Cap: UK£384.110m
- Shares outstanding: 175.23m
- Website: https://www.arrowglobal.net
Number of Employees
Location
- Arrow Global Group PLC
- Belvedere
- 12 Booth Street
- Manchester
- Greater Manchester
- M2 4AW
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ARW | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Oct 2013 |
| A0W | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Oct 2013 |
| ARWl | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Oct 2013 |
| ARWG.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Oct 2013 |
Biography
Arrow Global Group PLC identifies, acquires, and manages secured and unsecured defaulted and non-core loan portfolios and real estate from and on behalf of financial institutions, such as banks, institutio ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/16 21:27 |
| End of Day Share Price | 2019/10/16 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.