LSE:N91

Stock Analysis Report

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Executive Summary

Ninety One Group operates as an independent global asset manager worldwide. More Details


Snowflake Analysis

Flawless balance sheet with solid track record and pays a dividend.

Share Price & News

How has Ninety One Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: N91 is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: N91's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

0.6%

N91

-5.6%

GB Capital Markets

1.2%

GB Market


1 Year Return

n/a

N91

11.2%

GB Capital Markets

4.6%

GB Market

Return vs Industry: Insufficient data to determine how N91 performed against the UK Capital Markets industry.

Return vs Market: Insufficient data to determine how N91 performed against the UK Market.


Shareholder returns

N91IndustryMarket
7 Day0.6%-5.6%1.2%
30 Day-6.4%-6.6%0.9%
90 Day-0.09%0.06%2.4%
1 Yearn/a14.8%11.2%10.6%4.6%
3 Yearn/a39.5%23.7%8.6%-4.5%
5 Yearn/a99.0%65.5%39.5%12.5%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ninety One Group undervalued compared to its fair value and its price relative to the market?

38.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: N91 (£2.21) is trading below our estimate of fair value (£3.6)

Significantly Below Fair Value: N91 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: N91 is good value based on its PE Ratio (13x) compared to the GB Capital Markets industry average (20.1x).

PE vs Market: N91 is good value based on its PE Ratio (13x) compared to the UK market (24.1x).


Price to Earnings Growth Ratio

PEG Ratio: N91 is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: N91 is overvalued based on its PB Ratio (9.3x) compared to the GB Capital Markets industry average (1.6x).


Next Steps

Future Growth

How is Ninety One Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

9.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: N91's forecast earnings growth (9.1% per year) is above the savings rate (1%).

Earnings vs Market: N91's earnings (9.1% per year) are forecast to grow slower than the UK market (22.8% per year).

High Growth Earnings: N91's earnings are forecast to grow, but not significantly.

Revenue vs Market: N91's revenue (6.2% per year) is forecast to grow slower than the UK market (6.7% per year).

High Growth Revenue: N91's revenue (6.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: N91's Return on Equity is forecast to be very high in 3 years time (48%).


Next Steps

Past Performance

How has Ninety One Group performed over the past 5 years?

5.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: N91 has high quality earnings.

Growing Profit Margin: N91's current net profit margins (25.6%) are lower than last year (27.2%).


Past Earnings Growth Analysis

Earnings Trend: N91's earnings have grown by 5.3% per year over the past 5 years.

Accelerating Growth: N91's earnings growth over the past year (13.3%) exceeds its 5-year average (5.3% per year).

Earnings vs Industry: N91 earnings growth over the past year (13.3%) exceeded the Capital Markets industry -1.9%.


Return on Equity

High ROE: N91's Return on Equity (71.9%) is considered outstanding.


Next Steps

Financial Health

How is Ninety One Group's financial position?


Financial Position Analysis

Short Term Liabilities: N91's short term assets (£8.6B) exceed its short term liabilities (£8.4B).

Long Term Liabilities: N91's short term assets (£8.6B) exceed its long term liabilities (£165.1M).


Debt to Equity History and Analysis

Debt Level: N91 is debt free.

Reducing Debt: N91 has not had any debt for past 5 years.

Debt Coverage: N91 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: N91 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Ninety One Group current dividend yield, its reliability and sustainability?

5.34%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: N91's dividend (5.34%) is higher than the bottom 25% of dividend payers in the UK market (1.49%).

High Dividend: N91's dividend (5.34%) is in the top 25% of dividend payers in the UK market (4.51%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether N91's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if N91'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 (34.7%), N91's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: N91's dividends in 3 years are forecast to be covered by earnings (70.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.3yrs

Average board tenure


CEO

Hendrik du Toit (59 yo)

1

Tenure

UK£555,244

Compensation

Mr. Hendrik Jacobus du Toit, BCom Law, BCom (Hons), MCom, MPhil, has been Lead Independent Non-Executive Director at Naspers Limited since April 01, 2020 and its Independent Non-Executive Director since Ap...


CEO Compensation Analysis

Compensation vs Market: Hendrik's total compensation ($USD766.44K) is below average for companies of similar size in the UK market ($USD1.99M).

Compensation vs Earnings: Insufficient data to compare Hendrik's compensation with company performance.


Board Members

NamePositionTenureCompensationOwnership
Hendrik du Toit
CEO & Director1yrUK£555.24k0.054%
£ 1.1m
Kim McFarland
Finance Director & Director1.42yrsUK£444.21k0.010%
£ 205.6k
Fani Titi
Non-Executive Director1.33yrsUK£25.67k0.0014%
£ 27.3k
Colin Keogh
Senior Independent Director1.33yrsUK£44.00k0.0022%
£ 44.1k
Busisiwe Mabuza
Independent Non-Executive Director1.33yrsUK£34.96kno data
Victoria Cochrane
Independent Non-Executive Director1.33yrsUK£34.83k0.0011%
£ 22.3k
Gareth Penny
Independent Non-Executive Chairman of the Board1.33yrsUK£64.17kno data
Idoya Aranda
Independent Non-Executive Director1.33yrsUK£36.67kno data

1.3yrs

Average Tenure

58yo

Average Age

Experienced Board: N91's board of directors are not considered experienced ( 1.3 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: N91 only recently listed within the past 12 months.


Top Shareholders

Company Information

Ninety One Group's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ninety One Group
  • Ticker: N91
  • Exchange: LSE
  • Founded: 1991
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: UK£2.023b
  • Shares outstanding: 916.33m
  • Website: https://ninetyone.com

Number of Employees


Location

  • Ninety One Group
  • 36 Hans Strijdom Avenue
  • Foreshore
  • Cape Town
  • Western Cape
  • 8001
  • South Africa

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
N91LSE (London Stock Exchange)YesPLC Ordinary SharesGBGBPMar 2020
N91JSE (The Johannesburg Securities Exchange)YesPLC Ordinary SharesZAZARMar 2020
NY1JSE (The Johannesburg Securities Exchange)Ordinary SharesZAZARMar 2020
L91DB (Deutsche Boerse AG)Ordinary SharesDEEURMar 2020
N91LBATS-CHIXE (BATS 'Chi-X Europe')YesPLC Ordinary SharesGBGBPMar 2020
NINT.FOTCPK (Pink Sheets LLC)YesPLC Ordinary SharesUSUSDMar 2020
3XHDB (Deutsche Boerse AG)YesPLC Ordinary SharesDEEURMar 2020

Biography

Ninety One Group operates as an independent global asset manager worldwide. It serves private and public sector pension funds, sovereign wealth funds, insurers, corporates, foundations, and central banks, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/06 20:33
End of Day Share Price2021/03/05 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.