3i Group plc is a private equity firm specializing in mature companies, growth capital, middle markets, infrastructure, and management leveraged buyouts and buy-ins. More Details
Very undervalued with adequate balance sheet and pays a dividend.
Share Price & News
How has 3i Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: III is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: III's weekly volatility (3%) has been stable over the past year.
7 Day Return
GB Capital Markets
1 Year Return
GB Capital Markets
Return vs Industry: III exceeded the UK Capital Markets industry which returned 23.3% over the past year.
Return vs Market: III exceeded the UK Market which returned 24.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is 3i Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StNews Flash: 4 Analysts Think 3i Group plc (LON:III) Earnings Are Under Threat
2 weeks ago | Simply Wall StAre Institutions Heavily Invested In 3i Group plc's (LON:III) Shares?
2 months ago | Simply Wall StHow Does 3i Group plc (LON:III) Fare As A Dividend Stock?
Is 3i Group undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: III (£12.41) is trading below our estimate of fair value (£29.35)
Significantly Below Fair Value: III is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: III is good value based on its PE Ratio (16.9x) compared to the GB Capital Markets industry average (21.4x).
PE vs Market: III is good value based on its PE Ratio (16.9x) compared to the UK market (25.6x).
Price to Earnings Growth Ratio
PEG Ratio: III is good value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: III is good value based on its PB Ratio (1.4x) compared to the GB Capital Markets industry average (1.9x).
How is 3i Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: III's forecast earnings growth (17.2% per year) is above the savings rate (1%).
Earnings vs Market: III's earnings (17.2% per year) are forecast to grow slower than the UK market (20.9% per year).
High Growth Earnings: III's earnings are forecast to grow, but not significantly.
Revenue vs Market: III's revenue (17.3% per year) is forecast to grow faster than the UK market (6.4% per year).
High Growth Revenue: III's revenue (17.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: III's Return on Equity is forecast to be low in 3 years time (15.9%).
How has 3i Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: III has high quality earnings.
Growing Profit Margin: III's current net profit margins (83.8%) are lower than last year (92.8%).
Past Earnings Growth Analysis
Earnings Trend: III's earnings have declined by 5.8% per year over the past 5 years.
Accelerating Growth: III's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: III had negative earnings growth (-44.7%) over the past year, making it difficult to compare to the Capital Markets industry average (1%).
Return on Equity
High ROE: III's Return on Equity (8.1%) is considered low.
How is 3i Group's financial position?
Financial Position Analysis
Short Term Liabilities: III's short term assets (£593.0M) exceed its short term liabilities (£86.0M).
Long Term Liabilities: III's short term assets (£593.0M) do not cover its long term liabilities (£1.1B).
Debt to Equity History and Analysis
Debt Level: III's debt to equity ratio (11.2%) is considered satisfactory.
Reducing Debt: III's debt to equity ratio has reduced from 21.2% to 11.2% over the past 5 years.
Debt Coverage: III's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: III's interest payments on its debt are well covered by EBIT (16.9x coverage).
What is 3i Group current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: III's dividend (2.82%) is higher than the bottom 25% of dividend payers in the UK market (1.39%).
High Dividend: III's dividend (2.82%) is low compared to the top 25% of dividend payers in the UK market (4.24%).
Stability and Growth of Payments
Stable Dividend: III's dividend payments have been volatile in the past 10 years.
Growing Dividend: III's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (47.7%), III's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: III's dividends in 3 years are forecast to be well covered by earnings (26.1% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Simon Borrows (61 yo)
Mr. Simon A. Borrows serves as the Chief Executive Officer of 3i Group plc since May 17, 2012 and also has been its Executive Director since October 2011. He joined 3i Group as the Chief Investment Officer...
CEO Compensation Analysis
Compensation vs Market: Simon's total compensation ($USD5.47M) is above average for companies of similar size in the UK market ($USD3.58M).
Compensation vs Earnings: Simon's compensation has been consistent with company performance over the past year.
Experienced Management: III's management team is seasoned and experienced (12.2 years average tenure).
Experienced Board: III's board of directors are considered experienced (8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: III insiders have bought and sold the same number of shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
3i Group plc's company bio, employee growth, exchange listings and data sources
- Name: 3i Group plc
- Ticker: III
- Exchange: LSE
- Founded: 1945
- Industry: Asset Management and Custody Banks
- Sector: Diversified Financials
- Market Cap: UK£11.948b
- Shares outstanding: 962.77m
- Website: https://www.3i.com
Number of Employees
- 3i Group plc
- 16 Palace Street
- Greater London
- SW1E 5JD
- United Kingdom
3i Group plc is a private equity firm specializing in mature companies, growth capital, middle markets, infrastructure, and management leveraged buyouts and buy-ins. The firm also provides infrastructure f...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/10 18:05|
|End of Day Share Price||2021/04/09 00:00|
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.