company background image
INS

InstemAIM:INS Stock Report

Market Cap

UK£184.2m

7D

0.3%

1Y

82.4%

Updated

26 Oct, 2021

Data

Company Financials +
INS fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance4/6
Financial Health6/6
Dividends0/6

INS Overview

Instem plc, together with its subsidiaries, provides information technology applications to the life sciences healthcare market worldwide.

Price History & Performance

Summary of all time highs, changes and price drops for Instem
Historical stock prices
Current Share PriceUK£8.30
52 Week HighUK£4.21
52 Week LowUK£9.10
Beta0.47
1 Month Change-7.00%
3 Month Change11.41%
1 Year Change82.42%
3 Year Change184.25%
5 Year Change175.29%
Change since IPO348.65%

Recent News & Updates

Sep 04
Instem plc's (LON:INS) Intrinsic Value Is Potentially 44% Above Its Share Price

Instem plc's (LON:INS) Intrinsic Value Is Potentially 44% Above Its Share Price

Does the September share price for Instem plc ( LON:INS ) reflect what it's really worth? Today, we will estimate the...

Mar 03
Is Instem plc's (LON:INS) Recent Stock Performance Influenced By Its Fundamentals In Any Way?

Is Instem plc's (LON:INS) Recent Stock Performance Influenced By Its Fundamentals In Any Way?

Instem's (LON:INS) stock is up by a considerable 15% over the past three months. As most would know, fundamentals are...

Shareholder Returns

INSGB Healthcare ServicesGB Market
7D0.3%-1.6%0.2%
1Y82.4%42.0%24.7%

Return vs Industry: INS exceeded the UK Healthcare Services industry which returned 42% over the past year.

Return vs Market: INS exceeded the UK Market which returned 24.7% over the past year.

Price Volatility

Is INS's price volatile compared to industry and market?
INS volatility
INS Beta0.47
Industry Beta1.02
Market Beta1

Stable Share Price: INS is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: INS's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1969480Phil Reasonhttps://www.instem.com

Instem plc, together with its subsidiaries, provides information technology applications to the life sciences healthcare market worldwide. The company offers solutions for data collection, management, and analysis to meet the needs of life science and healthcare organizations for data-driven decision making. Its solutions include ALPHADAS, an eSource EDC system for early phase clinical trials; BioRails for discovery data management; Comet Assay IV, a live video imaging system for reproducible comet slide scoring; and Cyto Study Manager, a data acquisition and reporting solution.

Instem Fundamentals Summary

How do Instem's earnings and revenue compare to its market cap?
INS fundamental statistics
Market CapUK£184.18m
Earnings (TTM)UK£1.71m
Revenue (TTM)UK£34.00m

108.0x

P/E Ratio

5.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
INS income statement (TTM)
RevenueUK£34.00m
Cost of RevenueUK£20.00m
Gross ProfitUK£13.99m
ExpensesUK£12.29m
EarningsUK£1.71m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.077
Gross Margin41.16%
Net Profit Margin5.02%
Debt/Equity Ratio0%

How did INS perform over the long term?

See historical performance and comparison

Valuation

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

43.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: INS (£8.3) is trading below our estimate of fair value (£14.71)

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


Price To Earnings Ratio

PE vs Industry: INS is poor value based on its PE Ratio (108x) compared to the European Healthcare Services industry average (56.4x).

PE vs Market: INS is poor value based on its PE Ratio (108x) compared to the UK market (21.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: INS's PB Ratio (4.3x) is in line with the GB Healthcare Services industry average.


Future Growth

How is Instem forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

22.7%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if INS's forecast earnings growth is above the savings rate (0.9%).

Earnings vs Market: Insufficient data to determine if INS's earnings are forecast to grow faster than the UK market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: INS's revenue (22.7% per year) is forecast to grow faster than the UK market (5% per year).

High Growth Revenue: INS's revenue (22.7% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: INS's Return on Equity is forecast to be low in 3 years time (15.3%).


Past Performance

How has Instem performed over the past 5 years?

20.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: INS has a large one-off loss of £1.4M impacting its June 30 2021 financial results.

Growing Profit Margin: INS's current net profit margins (5%) are higher than last year (1.2%).


Past Earnings Growth Analysis

Earnings Trend: INS has become profitable over the past 5 years, growing earnings by 20.9% per year.

Accelerating Growth: INS's earnings growth over the past year (403.2%) exceeds its 5-year average (20.9% per year).

Earnings vs Industry: INS earnings growth over the past year (403.2%) exceeded the Healthcare Services industry 35.8%.


Return on Equity

High ROE: INS's Return on Equity (4%) is considered low.


Financial Health

How is Instem's financial position?


Financial Position Analysis

Short Term Liabilities: INS's short term assets (£30.8M) exceed its short term liabilities (£26.7M).

Long Term Liabilities: INS's short term assets (£30.8M) exceed its long term liabilities (£7.5M).


Debt to Equity History and Analysis

Debt Level: INS is debt free.

Reducing Debt: INS currently has no debt however we can't compare to 5 years ago as we have no data for that period.

Debt Coverage: INS has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: INS has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Instem current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate INS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate INS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if INS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if INS's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of INS's dividend in 3 years as they are not forecast to pay a notable one for the UK market.


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

Phil Reason (59 yo)

no data

Tenure

UK£276,000

Compensation

Mr. Phil J. Reason serves as the Chief Executive Officer of Instem LSS Limited, Instem Associates Limited and Instem plc (Instem Life Science Systems plc). Mr. Reason is an experienced chief executive who...


CEO Compensation Analysis

Compensation vs Market: Phil's total compensation ($USD380.44K) is below average for companies of similar size in the UK market ($USD573.07K).

Compensation vs Earnings: Phil's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: INS's management team is considered experienced (3.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.3%.


Top Shareholders

Company Information

Instem plc's employee growth, exchange listings and data sources


Key Information

  • Name: Instem plc
  • Ticker: INS
  • Exchange: AIM
  • Founded: 1969
  • Industry: Health Care Technology
  • Sector: Healthcare
  • Market Cap: UK£184.176m
  • Shares outstanding: 22.19m
  • Website: https://www.instem.com

Number of Employees


Location

  • Instem plc
  • Diamond Way
  • Stone Business Park
  • Stone
  • Staffordshire
  • ST15 0SD
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 21:22
End of Day Share Price2021/10/26 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.