LSE:IPF

Stock Analysis Report

International Personal Finance

Executive Summary

International Personal Finance plc, together with its subsidiaries, provides consumer credit products in Europe and Mexico.

Snowflake

Fundamentals

Very undervalued 6 star dividend payer.

Share Price & News

How has International Personal Finance's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.8%

IPF

4.1%

GB Consumer Finance

1.9%

GB Market


1 Year Return

-50.4%

IPF

-41.5%

GB Consumer Finance

2.4%

GB Market

Return vs Industry: IPF underperformed the UK Consumer Finance industry which returned -41.5% over the past year.

Return vs Market: IPF underperformed the UK Market which returned 2.4% over the past year.


Shareholder returns

IPFIndustryMarket
7 Day2.8%4.1%1.9%
30 Day2.3%-1.9%-1.1%
90 Day-4.4%-14.4%-1.8%
1 Year-45.9%-50.4%-39.1%-41.5%7.4%2.4%
3 Year-50.1%-59.5%-62.6%-73.5%18.2%3.7%
5 Year-69.9%-77.3%-53.2%-69.0%35.7%6.1%

Price Volatility Vs. Market

How volatile is International Personal Finance's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is International Personal Finance 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: IPF (£1.09) is trading below our estimate of fair value (£3.31)

Significantly Undervalued: IPF is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IPF is good value based on its PE Ratio (3.4x) compared to the Consumer Finance industry average (10.9x).

PE vs Market: IPF is good value based on its PE Ratio (3.4x) compared to the UK market (16.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: IPF is good value based on its PB Ratio (0.5x) compared to the GB Consumer Finance industry average (1.4x).


Next Steps

Future Growth

How is International Personal Finance forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

6.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IPF's forecast earnings growth (6.2% per year) is above the savings rate (1.2%).

Earnings vs Market: IPF's earnings (6.2% per year) are forecast to grow slower than the UK market (12.6% per year).

High Growth Earnings: IPF's earnings are forecast to grow, but not significantly.

Revenue vs Market: IPF's revenue (0.6% per year) is forecast to grow slower than the UK market (3.9% per year).

High Growth Revenue: IPF's revenue (0.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: IPF's Return on Equity is forecast to be low in 3 years time (19.4%).


Next Steps

Past Performance

How has International Personal Finance performed over the past 5 years?

-3.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: IPF's earnings have declined by -3.1% per year over the past 5 years.

Accelerating Growth: IPF's earnings growth over the past year (36.4%) exceeds its 5-year average (-3.1% per year).

Earnings vs Industry: IPF earnings growth over the past year (36.4%) exceeded the Consumer Finance industry 7.8%.


Return on Equity

High ROE: IPF's Return on Equity (15.7%) is considered low.


Return on Assets

ROA vs Industry: IPF has a higher Return on Assets than the Consumer Finance industry average last year.


Return on Capital Employed

ROCE Improving: IPF has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is International Personal Finance'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: IPF has a low level of unsold assets or inventory.

Debt Coverage by Assets: IPF's debt is covered by short term assets (assets are 1.508380x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is International Personal Finance's current dividend yield, its reliability and sustainability?

11.38%

Current Dividend Yield


Dividend Yield vs Market

company11.4%marketbottom25%2.0%markettop25%5.4%industryaverage5.8%forecastin3Years11.5%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: IPF's dividend (11.38%) is higher than the bottom 25% of dividend payers in the UK market (2%).

High Dividend: IPF's dividend (11.38%) is in the top 25% of dividend payers in the UK market (5.42%)

Stable Dividend: IPF's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.9%), IPF's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: IPF's dividends in 3 years are forecast to be well covered by earnings (39.1% payout ratio).


Next Steps

Management

What is the CEO of International Personal Finance's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Gerard Ryan (54yo)

7.5yrs

Tenure

UK£1,158,000

Compensation

Mr. Gerard Jude Ryan has been the Chief Executive Officer of International Personal Finance Plc since April 1, 2012. Mr. Ryan served as the Chief Financial Officer of Garanti Bank, Turkey. He served as the ...


CEO Compensation Analysis

Compensation vs. Market: Gerard's total compensation ($USD1.49M) is about average for companies of similar size in the UK market ($USD874.66K).

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


Management Age and Tenure

3.6yrs

Average Tenure

54yo

Average Age

Experienced Management: IPF's management team is considered experienced (3.6 years average tenure).


Board Age and Tenure

3.5yrs

Average Tenure

55yo

Average Age

Experienced Board: IPF's board of directors are considered experienced (3.5 years average tenure).


Insider Trading

Insider Buying: IPF insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£246,95004 Sep 19
Gerard Ryan
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares250,000
Max PriceUK£1.00
BuyUK£20,98501 Aug 19
Justin Lockwood
EntityIndividual
Role
Member of the Board of Directors
CFO & Executive Director
Shares20,000
Max PriceUK£1.05
BuyUK£207,75001 Aug 19
Gerard Ryan
EntityIndividual
Role
Chief Executive Officer
CEO & Executive Director
Shares200,000
Max PriceUK£1.04
BuyUK£26,15308 May 19
John Mangelaars
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares15,000
Max PriceUK£1.74

Ownership Breakdown


Management Team

  • Craig Shannon (55yo)

    Executive Officer

    • Tenure: 9.2yrs
    • Compensation: UK£189.00k
  • Gerard Ryan (54yo)

    CEO & Executive Director

    • Tenure: 7.5yrs
    • Compensation: UK£1.16m
  • Justin Lockwood (49yo)

    CFO & Executive Director

    • Tenure: 2.7yrs
    • Compensation: UK£609.00k
  • Gergely Mikola

    Group Corporate Affairs Director

    • Tenure: 0yrs
  • Chris Robinson

    Chief Information Officer

    • Tenure: 3.6yrs
  • Rachel Moran

    Investor Relations Manager

    • Tenure: 0yrs
  • James Ormrod

    Chief Legal Officer & Company Secretary

    • Tenure: 2.3yrs
  • Nick Dahlgreen

    Group Treasurer

    • Tenure: 0yrs
  • Hamilton-Scott Lyndsey

    Group HR Director

    • Tenure: 0yrs

Board Members

  • Dan O'Connor (59yo)

    Chairman

    • Tenure: 4.5yrs
    • Compensation: UK£200.00k
  • Bronwyn Syiek (55yo)

    Independent Non-Executive Director

    • Tenure: 1yrs
    • Compensation: UK£11.00k
  • Cathryn Riley (57yo)

    Independent Non-Executive Director

    • Tenure: 5.7yrs
    • Compensation: UK£65.00k
  • Richard Moat (64yo)

    Senior Independent Non Executive Director

    • Tenure: 0.8yrs
    • Compensation: UK£70.00k
  • Gerard Ryan (54yo)

    CEO & Executive Director

    • Tenure: 7.5yrs
    • Compensation: UK£1.16m
  • Justin Lockwood (49yo)

    CFO & Executive Director

    • Tenure: 2.7yrs
    • Compensation: UK£609.00k
  • Deborah Davis

    Independent Non-Executive Director

    • Tenure: 1yrs
    • Compensation: UK£11.00k
  • John Mangelaars (55yo)

    Independent Non-Executive Director

    • Tenure: 4.3yrs
    • Compensation: UK£65.00k

Company Information

International Personal Finance plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: International Personal Finance plc
  • Ticker: IPF
  • Exchange: LSE
  • Founded: 1997
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: UK£243.372m
  • Shares outstanding: 223.28m
  • Website: https://www.ipfin.co.uk

Number of Employees


Location

  • International Personal Finance plc
  • Number Three
  • Leeds City Office Park
  • Leeds
  • West Yorkshire
  • LS11 5BD
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IPFLSE (London Stock Exchange)YesOrdinary SharesGBGBPJul 2007
3I8DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 2007
IPFLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJul 2007
IPFWSE (Warsaw Stock Exchange)YesOrdinary SharesPLPLNJul 2007

Biography

International Personal Finance plc, together with its subsidiaries, provides consumer credit products in Europe and Mexico. It offers home credit products, such as home credit cash loans with agent service ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 20:58
End of Day Share Price2019/10/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.