AIM:NWF

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

NWF Group plc, together with its subsidiaries, primarily engages in the sale and distribution of fuel oils in the United Kingdom. More Details


Snowflake Analysis

Solid track record established dividend payer.

Share Price & News

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


Latest Share Price and Events

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

Volatility Over Time: NWF's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

3.6%

NWF

-1.8%

GB Oil and Gas

2.2%

GB Market


1 Year Return

29.1%

NWF

-29.8%

GB Oil and Gas

-5.6%

GB Market

Return vs Industry: NWF exceeded the UK Oil and Gas industry which returned -29.6% over the past year.

Return vs Market: NWF exceeded the UK Market which returned -6.4% over the past year.


Shareholder returns

NWFIndustryMarket
7 Day3.6%-1.8%2.2%
30 Day1.0%25.0%12.1%
90 Day0.5%9.4%10.9%
1 Year34.1%29.1%-26.0%-29.8%-1.8%-5.6%
3 Year47.5%31.6%-6.9%-19.9%4.8%-7.9%
5 Year33.3%10.7%33.9%5.6%35.9%5.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

11.06x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NWF (£2.02) is trading above our estimate of fair value (£1.35)

Significantly Below Fair Value: NWF is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: NWF is good value based on its PE Ratio (11.1x) compared to the GB Oil and Gas industry average (11.9x).

PE vs Market: NWF is good value based on its PE Ratio (11.1x) compared to the UK market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: NWF's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: NWF is overvalued based on its PB Ratio (1.9x) compared to the GB Oil and Gas industry average (0.7x).


Next Steps

Future Growth

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

-0.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NWF's earnings are forecast to decline over the next 3 years (-0.6% per year).

Earnings vs Market: NWF's earnings are forecast to decline over the next 3 years (-0.6% per year).

High Growth Earnings: NWF's earnings are forecast to decline over the next 3 years.

Revenue vs Market: NWF's revenue (2.2% per year) is forecast to grow slower than the UK market (6.6% per year).

High Growth Revenue: NWF's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NWF's Return on Equity is forecast to be high in 3 years time (21.7%)


Next Steps

Past Performance

How has NWF Group performed over the past 5 years?

9.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NWF has high quality earnings.

Growing Profit Margin: NWF's current net profit margins (1.3%) are higher than last year (1%).


Past Earnings Growth Analysis

Earnings Trend: NWF's earnings have grown by 9.6% per year over the past 5 years.

Accelerating Growth: NWF's earnings growth over the past year (30.8%) exceeds its 5-year average (9.6% per year).

Earnings vs Industry: NWF earnings growth over the past year (30.8%) exceeded the Oil and Gas industry -38.7%.


Return on Equity

High ROE: NWF's Return on Equity (17.4%) is considered low.


Next Steps

Financial Health

How is NWF Group's financial position?


Financial Position Analysis

Short Term Liabilities: NWF's short term assets (£66.8M) do not cover its short term liabilities (£71.1M).

Long Term Liabilities: NWF's short term assets (£66.8M) exceed its long term liabilities (£56.2M).


Debt to Equity History and Analysis

Debt Level: NWF's debt to equity ratio (33.7%) is considered satisfactory.

Reducing Debt: NWF's debt to equity ratio has increased from 16.9% to 33.7% over the past 5 years.

Debt Coverage: NWF's debt is well covered by operating cash flow (126.2%).

Interest Coverage: NWF's interest payments on its debt are well covered by EBIT (12.4x coverage).


Balance Sheet


Next Steps

Dividend

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

3.42%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NWF's dividend (3.42%) is higher than the bottom 25% of dividend payers in the UK market (1.68%).

High Dividend: NWF's dividend (3.42%) is low compared to the top 25% of dividend payers in the UK market (4.83%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.8%), NWF's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: NWF's dividends in 3 years are forecast to be well covered by earnings (41.4% payout ratio).


Next Steps

Management

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

5.8yrs

Average management tenure


CEO

Richard Whiting (56 yo)

no data

Tenure

UK£1,023,000

Compensation

Mr. Richard A. Whiting, BA, serves as the Chief Executive Officer of NWF Group plc. Mr. Whiting has been an Executive Director of NWF Group plc since October 1, 2007 and previously served as its Chief Exec...


CEO Compensation Analysis

Compensation vs Market: Richard's total compensation ($USD1.38M) is above average for companies of similar size in the UK market ($USD338.80K).

Compensation vs Earnings: Richard's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Richard Whiting
Chief Executive & Executive Directorno dataUK£1.02m0.84%
£ 833.2k
Christopher Belsham
Group Finance Director & Director3.67yrsUK£582.00k0.16%
£ 163.0k
Keith Forster
Managing Director of Food16.08yrsno datano data
Andrew Downie
Managing Director of Feeds5.83yrsno data0.092%
£ 90.8k
Richard Huxley
Managing Director of Fuels2.25yrsno datano data
S. Andrew
Company Secretary16.92yrsno data0.26%
£ 257.9k

5.8yrs

Average Tenure

56.5yo

Average Age

Experienced Management: NWF's management team is seasoned and experienced (5.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Richard Whiting
Chief Executive & Executive Directorno dataUK£1.02m0.84%
£ 833.2k
Christopher Belsham
Group Finance Director & Director3.67yrsUK£582.00k0.16%
£ 163.0k
Thomas Acton
Chairman3.92yrsUK£79.00k0.061%
£ 60.6k
David Downie
Senior Independent Non-Executive Director0.25yrUK£42.00k0.020%
£ 20.2k
Richard Armitage
Independent Non-Executive Director0.42yrno data0.020%
£ 20.2k

3.7yrs

Average Tenure

54yo

Average Age

Experienced Board: NWF's board of directors are considered experienced (3.7 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

NWF Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: NWF Group plc
  • Ticker: NWF
  • Exchange: AIM
  • Founded: 1871
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Market Cap: UK£98.988m
  • Shares outstanding: 49.00m
  • Website: https://www.nwf.co.uk

Number of Employees


Location

  • NWF Group plc
  • Wardle
  • Nantwich
  • Cheshire
  • CW5 6BP
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NWFAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPMar 1993
NYYDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 1993

Biography

NWF Group plc, together with its subsidiaries, primarily engages in the sale and distribution of fuel oils in the United Kingdom. It operates through Fuels, Food, and Feeds segments. The Fuels segment sell...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/03 19:36
End of Day Share Price2020/12/03 00:00
Earnings2020/05/31
Annual Earnings2020/05/31


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.