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IMB

Imperial BrandsLSE:IMB Stock Report

Market Cap

UK£14.5b

7D

-4.8%

1Y

11.9%

Updated

30 Nov, 2021

Data

Company Financials +
IMB fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health3/6
Dividends5/6

IMB Stock Overview

Imperial Brands PLC, together with its subsidiaries, manufactures, imports, markets, and sells tobacco and tobacco-related products.

Imperial Brands Competitors

British American Tobacco

LSE:BATS

UK£57.9b

Philip Morris International

NYSE:PM

US$133.8b

Diageo

LSE:DGE

UK£87.9b

Altria Group

NYSE:MO

US$78.3b

Price History & Performance

Summary of all time highs, changes and price drops for Imperial Brands
Historical stock prices
Current Share PriceUK£15.42
52 Week HighUK£16.86
52 Week LowUK£13.30
Beta0.63
1 Month Change0%
3 Month Change0.29%
1 Year Change11.90%
3 Year Change-35.02%
5 Year Change-54.71%
Change since IPO281.68%

Recent News & Updates

Nov 18
Imperial Brands (LON:IMB) Is Paying Out A Larger Dividend Than Last Year

Imperial Brands (LON:IMB) Is Paying Out A Larger Dividend Than Last Year

Imperial Brands PLC's ( LON:IMB ) dividend will be increasing to UK£0.48 on 31st of December. This takes the dividend...

Oct 28
Returns At Imperial Brands (LON:IMB) Are On The Way Up

Returns At Imperial Brands (LON:IMB) Are On The Way Up

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'll want to see a...

Oct 10
With EPS Growth And More, Imperial Brands (LON:IMB) Is Interesting

With EPS Growth And More, Imperial Brands (LON:IMB) Is Interesting

Some have more dollars than sense, they say, so even companies that have no revenue, no profit, and a record of falling...

Sep 25
Here's Why Imperial Brands (LON:IMB) Can Manage Its Debt Responsibly

Here's Why Imperial Brands (LON:IMB) Can Manage Its Debt Responsibly

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Shareholder Returns

IMBGB TobaccoGB Market
7D-4.8%-1.3%-1.9%
1Y11.9%0.5%13.8%

Return vs Industry: IMB exceeded the UK Tobacco industry which returned 0.5% over the past year.

Return vs Market: IMB underperformed the UK Market which returned 13.8% over the past year.

Price Volatility

Is IMB's price volatile compared to industry and market?
IMB volatility
IMB Average Weekly Movement2.5%
Tobacco Industry Average Movement2.5%
Market Average Movement4.9%
10% most volatile stocks in GB Market9.7%
10% least volatile stocks in GB Market2.6%

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

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

About the Company

FoundedEmployeesCEOWebsite
190130,300Stefan Bomhardhttps://www.imperialbrandsplc.com

Imperial Brands PLC, together with its subsidiaries, manufactures, imports, markets, and sells tobacco and tobacco-related products. It offers a range of cigarettes, fine cut and smokeless tobacco, papers, and cigars; and next generation product (NGP) portfolio, such as e-vapour products, as well as oral nicotine and heated tobacco products. The company sells its products under various brands, including Davidoff, Gauloises, JPS, West, L&B, Bastos, Fine, Winston, News, Parker & Simpson, blu, Kool, Horizon, Jade, Cohiba, Montecristo, Romeo Y Julieta, Backwoods, Skruf, Golden Virginia, Rizla, and Knox in approximately 160 countries worldwide.

Imperial Brands Fundamentals Summary

How do Imperial Brands's earnings and revenue compare to its market cap?
IMB fundamental statistics
Market CapUK£14.46b
Earnings (TTM)UK£2.83b
Revenue (TTM)UK£16.56b

5.1x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IMB income statement (TTM)
RevenueUK£16.56b
Cost of RevenueUK£10.53b
Gross ProfitUK£6.03b
ExpensesUK£3.19b
EarningsUK£2.83b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.02
Gross Margin36.40%
Net Profit Margin17.11%
Debt/Equity Ratio165.9%

How did IMB perform over the long term?

See historical performance and comparison

Dividends

9.0%

Current Dividend Yield

46%

Payout Ratio

Does IMB pay a reliable dividends?

See IMB dividend history and benchmarks
When do you need to buy IMB by to receive an upcoming dividend?
Imperial Brands dividend dates
Ex Dividend DateFeb 17 2022
Dividend Pay DateMar 31 2022
Days until Ex dividend78 days
Days until Dividend pay date120 days

Does IMB pay a reliable dividends?

See IMB dividend history and benchmarks

Valuation

Is Imperial Brands undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IMB (£15.42) is trading below our estimate of fair value (£45.68)

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


Price To Earnings Ratio

PE vs Industry: IMB is good value based on its PE Ratio (5.1x) compared to the European Tobacco industry average (10x).

PE vs Market: IMB is good value based on its PE Ratio (5.1x) compared to the UK market (19x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: IMB is overvalued based on its PB Ratio (2.7x) compared to the XE Tobacco industry average (1.4x).


Future Growth

How is Imperial Brands forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

-9.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IMB's earnings are forecast to decline over the next 3 years (-9.9% per year).

Earnings vs Market: IMB's earnings are forecast to decline over the next 3 years (-9.9% per year).

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

Revenue vs Market: IMB's revenue is expected to decline over the next 3 years (-16.4% per year).

High Growth Revenue: IMB's revenue is forecast to decline over the next 3 years (-16.4% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IMB's Return on Equity is forecast to be high in 3 years time (37.9%)


Past Performance

How has Imperial Brands performed over the past 5 years?

20.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IMB has high quality earnings.

Growing Profit Margin: IMB's current net profit margins (17.1%) are higher than last year (9%).


Past Earnings Growth Analysis

Earnings Trend: IMB's earnings have grown significantly by 20.2% per year over the past 5 years.

Accelerating Growth: IMB's earnings growth over the past year (89.6%) exceeds its 5-year average (20.2% per year).

Earnings vs Industry: IMB earnings growth over the past year (89.6%) exceeded the Tobacco industry -2.4%.


Return on Equity

High ROE: Whilst IMB's Return on Equity (48.94%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Imperial Brands's financial position?


Financial Position Analysis

Short Term Liabilities: IMB's short term assets (£8.2B) do not cover its short term liabilities (£10.8B).

Long Term Liabilities: IMB's short term assets (£8.2B) do not cover its long term liabilities (£12.3B).


Debt to Equity History and Analysis

Debt Level: IMB's net debt to equity ratio (143.2%) is considered high.

Reducing Debt: IMB's debt to equity ratio has reduced from 243% to 165.9% over the past 5 years.

Debt Coverage: IMB's debt is well covered by operating cash flow (22%).

Interest Coverage: IMB earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Imperial Brands's current dividend yield, its reliability and sustainability?

9.02%

Current Dividend Yield


Upcoming Dividend Payment

TodayDec 01 2021Ex Dividend DateFeb 17 2022Dividend Pay DateMar 31 202242 days from Ex DividendBuy in the next 78 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: IMB's dividend (9.02%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: IMB's dividend (9.02%) is in the top 25% of dividend payers in the UK market (4.17%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.4%), IMB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: IMB's dividends in 3 years are forecast to be covered by earnings (54.1% payout ratio).


Next Steps

Management

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

1.1yrs

Average management tenure


CEO

Stefan Bomhard (53 yo)

1.33yrs

Tenure

UK£1,104,000

Compensation

Mr. Stefan Bomhard serves as the Chief Executive Officer and Director of Imperial Brands PLC since July 01, 2020. He was a Director of Inchcape plc since May 21, 2015 and served as Group Chief Executive Of...


CEO Compensation Analysis

Compensation vs Market: Stefan's total compensation ($USD1.46M) is below average for companies of similar size in the UK market ($USD3.65M).

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


Leadership Team

Experienced Management: IMB's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

Experienced Board: IMB's board of directors are not considered experienced ( 1.8 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: IMB 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

Imperial Brands PLC's employee growth, exchange listings and data sources


Key Information

  • Name: Imperial Brands PLC
  • Ticker: IMB
  • Exchange: LSE
  • Founded: 1901
  • Industry: Tobacco
  • Sector: Food, Beverage & Tobacco
  • Market Cap: UK£14.459b
  • Shares outstanding: 937.67m
  • Website: https://www.imperialbrandsplc.com

Number of Employees


Location

  • Imperial Brands PLC
  • 121 Winterstoke Road
  • Bristol
  • BS3 2LL
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 21:35
End of Day Share Price2021/11/30 00:00
Earnings2021/09/30
Annual Earnings2021/09/30


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.