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TATE

Tate & LyleLSE:TATE Stock Report

Last Price

UK£7.30

Market Cap

UK£3.4b

7D

1.6%

1Y

9.4%

Updated

21 Jan, 2022

Data

Company Financials +
TATE fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance2/6
Financial Health6/6
Dividends6/6

TATE Stock Overview

Tate & Lyle PLC, together with its subsidiaries, provides ingredients and solutions to the food, beverage, and other industries in the United States, the United Kingdom, other European countries, and internationally.

Tate & Lyle Competitors

Associated British Foods

LSE:ABF

UK£16.1b

Cranswick

LSE:CWK

UK£2.0b

Hilton Food Group

LSE:HFG

UK£942.7m

Greencore Group

LSE:GNC

UK£689.5m

Price History & Performance

Summary of all time highs, changes and price drops for Tate & Lyle
Historical stock prices
Current Share PriceUK£7.30
52 Week HighUK£8.21
52 Week LowUK£6.24
Beta0.54
1 Month Change12.03%
3 Month Change9.97%
1 Year Change9.38%
3 Year Change7.29%
5 Year Change9.31%
Change since IPO82.55%

Recent News & Updates

Dec 12
Is Tate & Lyle plc (LON:TATE) Expensive For A Reason? A Look At Its Intrinsic Value

Is Tate & Lyle plc (LON:TATE) Expensive For A Reason? A Look At Its Intrinsic Value

Today we will run through one way of estimating the intrinsic value of Tate & Lyle plc ( LON:TATE ) by taking the...

Nov 07
Tate & Lyle's (LON:TATE) Upcoming Dividend Will Be Larger Than Last Year's

Tate & Lyle's (LON:TATE) Upcoming Dividend Will Be Larger Than Last Year's

Tate & Lyle plc ( LON:TATE ) has announced that it will be increasing its dividend on the 5th of January to UK£0.09...

Shareholder Returns

TATEGB FoodGB Market
7D1.6%-1.4%-0.5%
1Y9.4%-1.4%8.7%

Return vs Industry: TATE exceeded the UK Food industry which returned -1.4% over the past year.

Return vs Market: TATE matched the UK Market which returned 8.7% over the past year.

Price Volatility

Is TATE's price volatile compared to industry and market?
TATE volatility
TATE Average Weekly Movement2.7%
Food Industry Average Movement4.0%
Market Average Movement5.0%
10% most volatile stocks in GB Market10.7%
10% least volatile stocks in GB Market2.5%

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

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

About the Company

FoundedEmployeesCEOWebsite
19034,441Nick Hamptonhttps://www.tateandlyle.com

Tate & Lyle PLC, together with its subsidiaries, provides ingredients and solutions to the food, beverage, and other industries in the United States, the United Kingdom, other European countries, and internationally. It operates through three segments: Food & Beverage Solutions, Sucralose, and Primary Products. The company offers texturants; nutritive sweeteners, such as high fructose corn syrup and dextrose; health and wellness ingredients; and stabilizers.

Tate & Lyle Fundamentals Summary

How do Tate & Lyle's earnings and revenue compare to its market cap?
TATE fundamental statistics
Market CapUK£3.39b
Earnings (TTM)UK£220.00m
Revenue (TTM)UK£2.87b

15.4x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TATE income statement (TTM)
RevenueUK£2.87b
Cost of RevenueUK£1.67b
Gross ProfitUK£1.21b
ExpensesUK£986.00m
EarningsUK£220.00m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.47
Gross Margin42.01%
Net Profit Margin7.66%
Debt/Equity Ratio44.0%

How did TATE perform over the long term?

See historical performance and comparison

Dividends

4.2%

Current Dividend Yield

65%

Payout Ratio

Valuation

Is Tate & Lyle undervalued compared to its fair value and its price relative to the market?

15.42x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TATE (£7.3) is trading above our estimate of fair value (£5.99)

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


Price To Earnings Ratio

PE vs Industry: TATE is good value based on its PE Ratio (15.4x) compared to the UK Food industry average (16.7x).

PE vs Market: TATE is good value based on its PE Ratio (15.4x) compared to the UK market (19.1x).


Price to Earnings Growth Ratio

PEG Ratio: TATE is poor value based on its PEG Ratio (7.6x)


Price to Book Ratio

PB vs Industry: TATE is overvalued based on its PB Ratio (2.3x) compared to the GB Food industry average (1.2x).


Future Growth

How is Tate & Lyle forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

2.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TATE's forecast earnings growth (2% per year) is above the savings rate (0.9%).

Earnings vs Market: TATE's earnings (2% per year) are forecast to grow slower than the UK market (12.1% per year).

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

Revenue vs Market: TATE's revenue (1.4% per year) is forecast to grow slower than the UK market (4.9% per year).

High Growth Revenue: TATE's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TATE's Return on Equity is forecast to be low in 3 years time (16.6%).


Past Performance

How has Tate & Lyle performed over the past 5 years?

-2.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TATE has a large one-off loss of £94.0M impacting its September 30 2021 financial results.

Growing Profit Margin: TATE's current net profit margins (7.7%) are lower than last year (8%).


Past Earnings Growth Analysis

Earnings Trend: TATE's earnings have declined by 2.1% per year over the past 5 years.

Accelerating Growth: TATE's earnings growth over the past year (38.4%) exceeds its 5-year average (-2.1% per year).

Earnings vs Industry: TATE earnings growth over the past year (38.4%) exceeded the Food industry 12.2%.


Return on Equity

High ROE: TATE's Return on Equity (14.6%) is considered low.


Financial Health

How is Tate & Lyle's financial position?


Financial Position Analysis

Short Term Liabilities: TATE's short term assets (£2.3B) exceed its short term liabilities (£754.0M).

Long Term Liabilities: TATE's short term assets (£2.3B) exceed its long term liabilities (£856.0M).


Debt to Equity History and Analysis

Debt Level: TATE's net debt to equity ratio (18.4%) is considered satisfactory.

Reducing Debt: TATE's debt to equity ratio has reduced from 61.1% to 44% over the past 5 years.

Debt Coverage: TATE's debt is well covered by operating cash flow (45.7%).

Interest Coverage: TATE's interest payments on its debt are well covered by EBIT (14.1x coverage).


Balance Sheet


Dividend

What is Tate & Lyle current dividend yield, its reliability and sustainability?

4.25%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: TATE's dividend (4.25%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: TATE's dividend (4.25%) is in the top 25% of dividend payers in the UK market (4.04%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (65.5%), TATE's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TATE's dividends in 3 years are forecast to be well covered by earnings (47.9% payout ratio).


Next Steps

Management

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

3.3yrs

Average management tenure


CEO

Nick Hampton (54 yo)

3.75yrs

Tenure

UK£3,246,000

Compensation

Mr. Nick Hampton, MA (Hons), has been the Chief Executive Officer of Tate & Lyle plc since 2021. He had been the Chief Executive of Tate & Lyle plc since April 1, 2018 until 2021 and has been its Director...


CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD4.40M) is above average for companies of similar size in the UK market ($USD1.83M).

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


Leadership Team

Experienced Management: TATE's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: TATE's board of directors are considered experienced (5 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

Tate & Lyle plc's employee growth, exchange listings and data sources


Key Information

  • Name: Tate & Lyle plc
  • Ticker: TATE
  • Exchange: LSE
  • Founded: 1903
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Implied Market Cap: UK£3.392b
  • Shares outstanding: 464.53m
  • Website: https://www.tateandlyle.com

Number of Employees


Location

  • Tate & Lyle plc
  • 5 Marble Arch
  • London
  • Greater London
  • W1H 7EJ
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/21 21:15
End of Day Share Price2022/01/21 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.