LSE:CARR

Stock Analysis Report

Executive Summary

Carr’s Group plc engages in the agriculture and engineering businesses in the United Kingdom and internationally.

Snowflake

Fundamentals

Average dividend payer and fair value.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

3.0%

CARR

0.6%

GB Food

1.1%

GB Market


1 Year Return

-11.5%

CARR

-3.2%

GB Food

2.7%

GB Market

Return vs Industry: CARR underperformed the UK Food industry which returned -3.2% over the past year.

Return vs Market: CARR underperformed the UK Market which returned 2.7% over the past year.


Shareholder returns

CARRIndustryMarket
7 Day3.0%0.6%1.1%
30 Day-0.7%-5.0%-1.7%
90 Day-7.0%-3.6%-2.7%
1 Year-8.7%-11.5%-0.6%-3.2%7.8%2.7%
3 Year3.8%-5.0%-2.1%-9.2%19.3%4.7%
5 Year13.0%-12.1%2.9%-7.3%38.0%8.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Carr's Group undervalued compared to its fair value and its price relative to the market?

7.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: CARR (£1.39) is trading below our estimate of fair value (£1.51)

Significantly Undervalued: CARR is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CARR is good value based on its PE Ratio (11.2x) compared to the Food industry average (16.9x).

PE vs Market: CARR is good value based on its PE Ratio (11.2x) compared to the UK market (16.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CARR is overvalued based on its PB Ratio (1.2x) compared to the GB Food industry average (1.2x).


Next Steps

Future Growth

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

8.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CARR's forecast earnings growth (8% per year) is above the savings rate (1.2%).

Earnings vs Market: CARR's earnings (8% per year) are forecast to grow slower than the UK market (12.3% per year).

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

Revenue vs Market: CARR's revenue (3.8% per year) is forecast to grow slower than the UK market (3.8% per year).

High Growth Revenue: CARR's revenue (3.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: CARR's Return on Equity is forecast to be low in 3 years time (10.9%).


Next Steps

Past Performance

How has Carr's Group performed over the past 5 years?

-1.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CARR's earnings have declined by -1.8% per year over the past 5 years.

Accelerating Growth: CARR's earnings growth over the past year (21.1%) exceeds its 5-year average (-1.8% per year).

Earnings vs Industry: CARR earnings growth over the past year (21.1%) exceeded the Food industry 4.5%.


Return on Equity

High ROE: CARR's Return on Equity (10.6%) is considered low.


Return on Assets

ROA vs Industry: CARR's Return on Assets is below or equal to the Food industry average last year.


Return on Capital Employed

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


Next Steps

Financial Health

How is Carr's Group's financial position?


Financial Position Analysis

Short Term Liabilities: CARR's short term assets (£147.8M) exceeds its short term liabilities (£95.3M)

Long Term Liabilities: CARR's short term assets (147.8M) exceeds its long term liabilities (30.4M)


Debt to Equity History and Analysis

Debt Level: CARR's debt to equity ratio (40.8%) is considered high

Reducing Debt: CARR's debt to equity ratio has increased from 36.3% to 40.8% over the past 5 years.

Debt Coverage: CARR's debt is not well covered by operating cash flow (19.4%).

Interest Coverage: CARR's interest payments on its debt are well covered by EBIT (12x coverage).


Balance Sheet

Inventory Level: CARR has a high level of physical assets or inventory.

Debt Coverage by Assets: CARR's debt is covered by short term assets (assets are 2.947310x debt).


Next Steps

Dividend

What is Carr's Group's current dividend yield, its reliability and sustainability?

3.24%

Current Dividend Yield


Dividend Yield vs Market

company3.2%marketbottom25%2.0%markettop25%5.4%industryaverage2.8%forecastin3Years3.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: CARR's dividend (3.24%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).

High Dividend: CARR's dividend (3.24%) is low compared to the top 25% of dividend payers in the UK market (5.44%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.7%), CARR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CARR's dividends in 3 years are forecast to be well covered by earnings (32.4% payout ratio).


Next Steps

Management

What is the CEO of Carr's Group's salary, the management and board of directors tenure and is there insider trading?

4.7yrs

Average management tenure


CEO

Tim Davies (56yo)

6.6yrs

Tenure

UK£861,000

Compensation

Mr. Timothy J. Davies, also known as Tim, has been the Chief Executive Officer of Carr's Group plc (Formerly known as Carr's Milling Industries plc) since joining on March 1, 2013. Mr. Davies served from S ...


CEO Compensation Analysis

Compensation vs. Market: Tim's total compensation ($USD1.08M) is about average for companies of similar size in the UK market ($USD654.04K).

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


Management Age and Tenure

4.7yrs

Average Tenure

Experienced Management: CARR's management team is considered experienced (4.7 years average tenure).


Board Age and Tenure

6.3yrs

Average Tenure

57yo

Average Age

Experienced Board: CARR's board of directors are considered experienced (6.3 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUK£13,09023 Aug 19
Ian Wood
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares10,000
Max PriceUK£1.31
SellUK£51,00004 Feb 19
Christopher N. Holmes
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares30,000
Max PriceUK£1.70
BuyUK£18,63030 Nov 18
Christopher N. Holmes
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares12,000
Max PriceUK£1.55
SellUK£33,00030 Nov 18
Christopher N. Holmes
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares21,000
Max PriceUK£1.60

Ownership Breakdown


Management Team

  • Tim Davies (56yo)

    CEO & Executive Director

    • Tenure: 6.6yrs
    • Compensation: UK£861.00k
  • Neil Austin (42yo)

    Group Finance Director & Executive Director

    • Tenure: 6.5yrs
    • Compensation: UK£635.00k
  • Matthew Ratcliffe

    Company Secretary & Group Legal Counsel

    • Tenure: 2.8yrs
  • Lisa Donovan

    Company Controller

    • Tenure: 1.7yrs

Board Members

  • Chris Holmes (68yo)

    Non-Executive Chairman

    • Tenure: 6.2yrs
    • Compensation: UK£80.00k
  • John Worby (68yo)

    Senior Independent Director

    • Tenure: 4.4yrs
    • Compensation: UK£38.00k
  • Alistair G. Wannop (57yo)

    Non-Executive Director

    • Tenure: 14.1yrs
    • Compensation: UK£38.00k
  • Ian Wood

    Non-Executive Director

    • Tenure: 4yrs
    • Compensation: UK£38.00k
  • Tim Davies (56yo)

    CEO & Executive Director

    • Tenure: 6.6yrs
    • Compensation: UK£861.00k
  • Neil Austin (42yo)

    Group Finance Director & Executive Director

    • Tenure: 6.5yrs
    • Compensation: UK£635.00k

Company Information

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


Key Information

  • Name: Carr's Group plc
  • Ticker: CARR
  • Exchange: LSE
  • Founded: 1831
  • Industry: Agricultural Products
  • Sector: Food, Beverage & Tobacco
  • Market Cap: UK£127.799m
  • Shares outstanding: 91.94m
  • Website: https://www.carrsgroup.com

Number of Employees


Location

  • Carr's Group plc
  • Old Croft
  • Stanwix
  • Carlisle
  • Cumbria
  • CA3 9BA
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CRMLSE (London Stock Exchange)ORD GBP0.025GBGBPNo data
CARRLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
CARRlBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992

Biography

Carr’s Group plc engages in the agriculture and engineering businesses in the United Kingdom and internationally. The company’s Agriculture segment develops, manufactures, and distributes a range of livest ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:35
End of Day Share Price2019/10/14 00:00
Earnings2019/03/02
Annual Earnings2018/09/01


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.