Market Cap
UK£4.9b
Last Updated
2021/02/25 20:27 UTC
Data Sources
Company Financials +
Executive Summary
M&G plc, through its subsidiaries, engages in savings and investment businesses in the United Kingdom and internationally. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 25.6% per year for the next 3 years
Snowflake Analysis
Good value average dividend payer.
Similar Companies
Share Price & News
How has M&G's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MNG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: MNG's weekly volatility has decreased from 10% to 5% over the past year.
Market Performance
7 Day Return
3.1%
MNG
0.9%
GB Diversified Financial
-0.8%
GB Market
1 Year Return
-9.5%
MNG
-3.1%
GB Diversified Financial
-3.7%
GB Market
Return vs Industry: MNG underperformed the UK Diversified Financial industry which returned -5.1% over the past year.
Return vs Market: MNG underperformed the UK Market which returned -2% over the past year.
Shareholder returns
| MNG | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.1% | 0.9% | -0.8% |
| 30 Day | 4.1% | 1.5% | 0.9% |
| 90 Day | -1.3% | -4.6% | 6.6% |
| 1 Year | 5.0%-9.5% | 8.0%-3.1% | 2.1%-3.7% |
| 3 Year | n/a | -14.4%-22.9% | 9.6%-3.5% |
| 5 Year | n/a | 146.2%94.1% | 41.7%14.3% |
Long-Term Price Volatility Vs. Market
How volatile is M&G's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall St
What You Need To Know About M&G plc's (LON:MNG) Investor Composition1 month ago | Simply Wall St
Here's How We Evaluate M&G plc's (LON:MNG) Dividend2 months ago | Simply Wall St
Who Has Been Buying M&G plc (LON:MNG) Shares?Valuation
Is M&G undervalued compared to its fair value and its price relative to the market?
18.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MNG (£1.91) is trading below our estimate of fair value (£2.34)
Significantly Below Fair Value: MNG is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: MNG is good value based on its PE Ratio (4.5x) compared to the GB Diversified Financial industry average (11.7x).
PE vs Market: MNG is good value based on its PE Ratio (4.5x) compared to the UK market (23.6x).
Price to Earnings Growth Ratio
PEG Ratio: MNG's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: MNG is good value based on its PB Ratio (0.9x) compared to the GB Diversified Financial industry average (1.2x).
Next Steps
Future Growth
How is M&G forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
-25.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MNG's earnings are forecast to decline over the next 3 years (-25.6% per year).
Earnings vs Market: MNG's earnings are forecast to decline over the next 3 years (-25.6% per year).
High Growth Earnings: MNG's earnings are forecast to decline over the next 3 years.
Revenue vs Market: MNG's revenue (19.9% per year) is forecast to grow faster than the UK market (7% per year).
High Growth Revenue: MNG's revenue (19.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MNG's Return on Equity is forecast to be low in 3 years time (10.6%).
Next Steps
Past Performance
How has M&G performed over the past 5 years?
0.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MNG has a large one-off loss of £1.1B impacting its June 30 2020 financial results.
Growing Profit Margin: MNG's current net profit margins (7.2%) are higher than last year (6.8%).
Past Earnings Growth Analysis
Earnings Trend: MNG's earnings have grown by 0.8% per year over the past 5 years.
Accelerating Growth: MNG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MNG had negative earnings growth (-28.7%) over the past year, making it difficult to compare to the Diversified Financial industry average (-24.3%).
Return on Equity
High ROE: MNG's Return on Equity (19.8%) is considered low.
Next Steps
Financial Health
How is M&G's financial position?
Financial Position Analysis
Short Term Liabilities: MNG's short term assets (£49.2B) exceed its short term liabilities (£15.5B).
Long Term Liabilities: MNG's short term assets (£49.2B) do not cover its long term liabilities (£201.5B).
Debt to Equity History and Analysis
Debt Level: MNG's debt to equity ratio (142.8%) is considered high.
Reducing Debt: Insufficient data to determine if MNG's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: MNG's debt is not well covered by operating cash flow (14%).
Interest Coverage: MNG's interest payments on its debt are well covered by EBIT (28.3x coverage).
Balance Sheet
Next Steps
Dividend
What is M&G current dividend yield, its reliability and sustainability?
6.29%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MNG's dividend (6.3%) is higher than the bottom 25% of dividend payers in the UK market (1.49%).
High Dividend: MNG's dividend (6.3%) is in the top 25% of dividend payers in the UK market (4.52%)
Stability and Growth of Payments
Stable Dividend: Too early to tell whether MNG's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if MNG's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (42.5%), MNG's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MNG's dividends in 3 years are forecast to be covered by earnings (82.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.9yrs
Average management tenure
CEO
John Foley (62 yo)
3.5yrs
Tenure
UK£3,737,000
Compensation
Mr. John William Foley serves as a Director at M&G Group Limited. He serves as a Director at The Prudential Assurance Company Limited. He served as Chief Executive of M&G Prudential at Prudential plc since...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD5.27M) is above average for companies of similar size in the UK market ($USD2.64M).
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 3.5yrs | UK£3.74m | 0.021% £ 1.0m | |
| Independent Chair ( Leave of Absence) | 0.083yr | UK£450.70k | 0.0032% £ 159.4k | |
| CFO & Director | 2.08yrs | UK£1.86m | 0.0042% £ 207.8k | |
| Chief Operating Officer | 1.92yrs | no data | no data | |
| Chief Investment Officer | 1.92yrs | no data | no data | |
| Head of Corporate Finance & Stewardship | no data | no data | no data | |
| Director of Investor Relations | no data | no data | no data | |
| Group General Counsel & Company Secretary | 1.58yrs | no data | no data | |
| Head of External Communications | no data | no data | no data | |
| Chief Human Resource Officer | 3.42yrs | no data | no data | |
| Head of Institutional Fixed Income | no data | no data | no data | |
| Chief Customer & Distribution Officer | 1.67yrs | no data | no data |
1.9yrs
Average Tenure
56yo
Average Age
Experienced Management: MNG's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Director | 3.5yrs | UK£3.74m | 0.021% £ 1.0m | |
| CFO & Director | 2.08yrs | UK£1.86m | 0.0042% £ 207.8k | |
| Independent Non-Executive Director | 0.83yr | no data | 0.0024% £ 116.5k | |
| Independent Non-Executive Director | 1.92yrs | UK£101.10k | 0.00022% £ 10.9k | |
| Independent Interim Chair | 0.083yr | no data | no data | |
| Independent Non-Executive Director | 1.92yrs | UK£146.60k | 0.00033% £ 16.3k | |
| Interim Senior Independent Director | 0.083yr | UK£98.50k | 0.00085% £ 42.0k |
1.4yrs
Average Tenure
62yo
Average Age
Experienced Board: MNG's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
M&G plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: M&G plc
- Ticker: MNG
- Exchange: LSE
- Founded: 2017
- Industry: Other Diversified Financial Services
- Sector: Diversified Financials
- Market Cap: UK£4.936b
- Shares outstanding: 2.59b
- Website: https://www.mandgplc.com
Number of Employees
Location
- M&G plc
- 10 Fenchurch Avenue
- London
- Greater London
- EC3M 5AG
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| MNG | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Oct 2019 |
| 7MP | BST (Boerse-Stuttgart) | Yes | Ordinary Shares | DE | EUR | Oct 2019 |
| MNGL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Oct 2019 |
| MGPU.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Oct 2019 |
Biography
M&G plc, through its subsidiaries, engages in savings and investment businesses in the United Kingdom and internationally. The company operates through two segments, Savings & Asset Management and Heritage...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/02/25 20:27 |
| End of Day Share Price | 2021/02/25 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2019/12/31 |
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.