LSE:CAY

Stock Analysis Report

Executive Summary

Charles Stanley Group PLC provides wealth management services in the United Kingdom.

Snowflake

Fundamentals

Good value with reasonable growth potential and pays a dividend.


Similar Companies

Share Price & News

How has Charles Stanley 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%

CAY

-0.9%

GB Capital Markets

0.08%

GB Market


1 Year Return

-17.9%

CAY

21.1%

GB Capital Markets

3.5%

GB Market

Return vs Industry: CAY underperformed the UK Capital Markets industry which returned 21.1% over the past year.

Return vs Market: CAY underperformed the UK Market which returned 3.5% over the past year.


Shareholder returns

CAYIndustryMarket
7 Day3.8%-0.9%0.08%
30 Day0%-3.2%-1.3%
90 Day-4.5%3.1%-2.2%
1 Year-15.4%-17.9%24.1%21.1%9.0%3.5%
3 Year0.2%-6.5%77.7%65.1%18.1%3.1%
5 Year-4.3%-13.4%148.1%118.7%36.2%5.3%

Price Volatility Vs. Market

How volatile is Charles Stanley Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Charles Stanley Group undervalued compared to its fair value and its price relative to the market?

15.5x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CAY (£2.75) is trading above our estimate of fair value (£2.33)

Significantly Below Fair Value: CAY is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CAY is good value based on its PE Ratio (15.5x) compared to the Capital Markets industry average (18.9x).

PE vs Market: CAY is good value based on its PE Ratio (15.5x) compared to the UK market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: CAY is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

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


Next Steps

Future Growth

How is Charles Stanley Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

30.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CAY's forecast earnings growth (30.9% per year) is above the savings rate (1.2%).

Earnings vs Market: CAY's earnings (30.9% 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: CAY's revenue (4.8% per year) is forecast to grow faster than the UK market (4% per year).

High Growth Revenue: CAY's revenue (4.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CAY's Return on Equity is forecast to be low in 3 years time (16%).


Next Steps

Past Performance

How has Charles Stanley Group performed over the past 5 years?

56.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CAY's earnings have grown significantly by 56.2% per year over the past 5 years.

Accelerating Growth: CAY's earnings growth over the past year (3.1%) is below its 5-year average (56.2% per year).

Earnings vs Industry: CAY earnings growth over the past year (3.1%) underperformed the Capital Markets industry 4.6%.


Return on Equity

High ROE: CAY's Return on Equity (8.5%) is considered low.


Return on Assets

ROA vs Industry: CAY's Return on Assets is below or equal to the Capital Markets industry average last year.


Return on Capital Employed

ROCE Improving: Insufficient data to calculate CAY's Return on Capital Employed to determine if it has improved over the past 3 years.


Next Steps

Financial Health

How is Charles Stanley 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: CAY has a low level of unsold assets or inventory.

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


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is Charles Stanley Group's current dividend yield, its reliability and sustainability?

3.18%

Current Dividend Yield


Dividend Yield vs Market

company3.2%marketbottom25%2.0%markettop25%5.4%industryaverage2.2%forecastin3Years4.1%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: CAY's dividend (3.18%) is higher than the bottom 25% of dividend payers in the UK market (1.98%).

High Dividend: CAY's dividend (3.18%) is low compared to the top 25% of dividend payers in the UK market (5.37%).

Stable Dividend: CAY's dividend payments have been volatile in the past 10 years.

Growing Dividend: CAY's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.3%), CAY's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CAY's dividends in 3 years are forecast to be well covered by earnings (43.8% payout ratio).


Next Steps

Management

What is the CEO of Charles Stanley Group's salary, the management and board of directors tenure and is there insider trading?

4.5yrs

Average management tenure


CEO

Paul Abberley (60yo)

4.8yrs

Tenure

UK£749,000

Compensation

Mr. Paul Andrew Abberley, BA (Hons), has been the Chief Executive Officer at Charles Stanley Group plc since December 19, 2014. Previously, Mr. Abberley served as the Chief Investment Officer at Charles St ...


CEO Compensation Analysis

Compensation vs. Market: Paul's total compensation ($USD970.13K) is about average for companies of similar size in the UK market ($USD659.56K).

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


Management Age and Tenure

4.5yrs

Average Tenure

Experienced Management: CAY's management team is considered experienced (4.5 years average tenure).


Board Age and Tenure

5.0yrs

Average Tenure

60yo

Average Age

Experienced Board: CAY's board of directors are considered experienced (5 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

BuyUK£14814 Jun 19
Paul Abberley
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares50
Max PriceUK£2.96
BuyUK£14,85031 Dec 18
Gary Teper
EntityIndividual
Shares5,500
Max PriceUK£2.70

Ownership Breakdown


Management Team

  • Ben Money-Coutts (57yo)

    CFO & Executive Director

    • Tenure: 4.3yrs
    • Compensation: UK£525.00k
  • Paul Abberley (60yo)

    CEO & Executive Director

    • Tenure: 4.8yrs
    • Compensation: UK£749.00k
  • Julie Ung

    Head of Legal & Group Company Secretary

    • Tenure: 3.8yrs
  • Peter Kelk

    Chief Risk Officer

    • Tenure: 4.9yrs
  • Michael Bennett

    Chief Operating Officer

    • Tenure: 4.8yrs
  • Marcus Tree

    Head of Digital Operations

    • Tenure: 4.3yrs
  • Harriet Griffin

    Head of Private Client Investment Management

    • Tenure: 0yrs
  • Steve Jones

    Head of Compliance & Money Laundering Reporting Officer

    • Tenure: 3.3yrs
  • Kate Griffiths-Lambeth

    Director of Human Resources

    • Tenure: 4yrs
  • Siobhan Griffiths

    Head of Communications

    • Tenure: 0yrs

Board Members

  • Andrew Didham (63yo)

    Senior Independent Non-Executive Director

    • Tenure: 0yrs
    • Compensation: UK£89.00k
  • Ben Money-Coutts (57yo)

    CFO & Executive Director

    • Tenure: 4.3yrs
    • Compensation: UK£525.00k
  • N. Anderson

    Head of Operations - Charles Stanley & Co Ltd and Executive Director of Charles Stanley & Co Ltd

    • Tenure: 0yrs
  • Marcia Campbell (60yo)

    Independent Non Executive Director

    • Tenure: 2yrs
    • Compensation: UK£48.00k
  • David Seymour Howard (73yo)

    Non-Executive Chairman

    • Tenure: 20.8yrs
    • Compensation: UK£127.00k
  • Paul Abberley (60yo)

    CEO & Executive Director

    • Tenure: 4.8yrs
    • Compensation: UK£749.00k
  • Bridget Guerin (57yo)

    Independent Non-Executive Director

    • Tenure: 7.1yrs
    • Compensation: UK£56.00k
  • Hugh Grootenhuis

    Independent Non-Executive Director

    • Tenure: 2.1yrs
    • Compensation: UK£48.00k

Company Information

Charles Stanley Group PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Charles Stanley Group PLC
  • Ticker: CAY
  • Exchange: LSE
  • Founded: 1792
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: UK£142.318m
  • Shares outstanding: 50.83m
  • Website: https://www.charles-stanley.co.uk

Number of Employees


Location

  • Charles Stanley Group PLC
  • 55 Bishopsgate
  • London
  • Greater London
  • EC2N 3AS
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CAYLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992

Biography

Charles Stanley Group PLC provides wealth management services in the United Kingdom. The company operates through four divisions: Investment Management Services, Asset Management, Financial Planning, and C ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 20:37
End of Day Share Price2019/10/22 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.