LSE:SCIN

Stock Analysis Report

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Executive Summary

The Scottish Investment Trust PLC is a publicly owned investment manager.

Rewards


Snowflake Analysis

Share Price & News

How has Scottish Investment Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SCIN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.1%

SCIN

-1.2%

GB Capital Markets

2.0%

GB Market


1 Year Return

-4.8%

SCIN

9.7%

GB Capital Markets

-12.8%

GB Market

Return vs Industry: SCIN underperformed the UK Capital Markets industry which returned 9.7% over the past year.

Return vs Market: SCIN exceeded the UK Market which returned -12.5% over the past year.


Shareholder returns

SCINIndustryMarket
7 Day-0.1%-1.2%2.0%
30 Day1.6%8.4%5.7%
90 Day2.2%1.2%-8.2%
1 Year-1.0%-4.8%12.2%9.7%-8.6%-12.8%
3 Year1.2%-8.9%57.2%46.0%-6.2%-17.6%
5 Year33.0%13.2%127.6%102.2%12.7%-12.5%

Price Volatility Vs. Market

How volatile is Scottish Investment Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Scottish Investment Trust undervalued compared to its fair value and its price relative to the market?

27.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SCIN (£7.4) is trading below our estimate of fair value (£10.15)

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


Price To Earnings Ratio

PE vs Industry: SCIN is poor value based on its PE Ratio (70x) compared to the Capital Markets industry average (15.4x).

PE vs Market: SCIN is poor value based on its PE Ratio (70x) compared to the UK market (14.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SCIN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SCIN is good value based on its PB Ratio (0.8x) compared to the GB Capital Markets industry average (1.6x).

Future Growth

How is Scottish Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.1%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Scottish Investment Trust has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has Scottish Investment Trust performed over the past 5 years?

-16.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SCIN has high quality earnings.

Growing Profit Margin: SCIN's current net profit margins (39.7%) are higher than last year (19.6%).


Past Earnings Growth Analysis

Earnings Trend: SCIN's earnings have declined by -16.8% per year over the past 5 years.

Accelerating Growth: SCIN's earnings growth over the past year (263.5%) exceeds its 5-year average (-16.8% per year).

Earnings vs Industry: SCIN earnings growth over the past year (263.5%) exceeded the Capital Markets industry 16.4%.


Return on Equity

High ROE: SCIN's Return on Equity (1.2%) is considered low.

Financial Health

How is Scottish Investment Trust's financial position?


Financial Position Analysis

Short Term Liabilities: SCIN's short term assets (£74.8M) exceed its short term liabilities (£664.0K).

Long Term Liabilities: SCIN's short term assets (£74.8M) do not cover its long term liabilities (£85.2M).


Debt to Equity History and Analysis

Debt Level: SCIN's debt to equity ratio (12.4%) is considered satisfactory.

Reducing Debt: SCIN's debt to equity ratio has reduced from 14.2% to 12.4% over the past 5 years.

Debt Coverage: SCIN's debt is well covered by operating cash flow (27%).

Interest Coverage: SCIN's interest payments on its debt are well covered by EBIT (3.3x coverage).


Balance Sheet

Dividend

What is Scottish Investment Trust's current dividend yield, its reliability and sustainability?

4.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SCIN's dividend (4.14%) is higher than the bottom 25% of dividend payers in the UK market (2.03%).

High Dividend: SCIN's dividend (4.14%) is low compared to the top 25% of dividend payers in the UK market (5.68%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (215.6%), SCIN's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Management

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

4.3yrs

Average board tenure


CEO

Scottish Investment Trust has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Jane Lewis
Independent Director4.42yrsUK£32.50k0.0034% £18.5k
Neil Rogan
Independent Non-Executive Director0.58yrUK£4.58k0.0081% £44.4k
Thomas Brewis
Independent Non-Executive Director4.42yrsUK£32.50k0.014% £74.0k
James Will
Independent Chairman4.33yrsUK£60.00k0.014% £74.0k
Karyn Lamont
Independent Non-Executive Director2.58yrsUK£37.50k0.0034% £18.5k

4.3yrs

Average Tenure

Experienced Board: SCIN's board of directors are considered experienced (4.3 years average tenure).


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

The Scottish Investment Trust PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Scottish Investment Trust PLC
  • Ticker: SCIN
  • Exchange: LSE
  • Founded: 1887
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: UK£546.146m
  • Shares outstanding: 73.80m
  • Website: https://www.thescottish.co.uk

Number of Employees


Location

  • The Scottish Investment Trust PLC
  • 6 Albyn Place
  • Edinburgh
  • EH2 4NL
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SCINLSE (London Stock Exchange)YesOrdinary Stock UnitsGBGBPJan 1992
SCINLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary Stock UnitsGBGBPJan 1992

Biography

The Scottish Investment Trust PLC is a publicly owned investment manager. The firm manages separate client-focused equity portfolios. It invests in public equity markets across the globe. It employs a fundamental analysis with a bottom-up stock picking approach. The Scottish Investment Trust PLC was founded in 1887 and is based in Edinburgh, United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/31 20:38
End of Day Share Price2020/05/29 00:00
Earnings2019/10/31
Annual Earnings2019/10/31


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.