AIM:BRCK

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Brickability Group Plc, together with its subsidiaries, supplies building products in the United Kingdom. More Details


Snowflake Analysis

Very undervalued with excellent balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BRCK is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: BRCK's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-4.0%

BRCK

4.4%

GB Basic Materials

2.2%

GB Market


1 Year Return

-16.3%

BRCK

-5.0%

GB Basic Materials

-5.6%

GB Market

Return vs Industry: BRCK underperformed the UK Basic Materials industry which returned -4.5% over the past year.

Return vs Market: BRCK underperformed the UK Market which returned -6.4% over the past year.


Shareholder returns

BRCKIndustryMarket
7 Day-4.0%4.4%2.2%
30 Day44.0%20.8%12.1%
90 Day18.7%19.8%10.9%
1 Year-14.2%-16.3%-4.2%-5.0%-1.8%-5.6%
3 Yearn/a6.6%0.4%4.8%-7.9%
5 Yearn/a64.0%49.5%35.9%5.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

36.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BRCK (£0.54) is trading below our estimate of fair value (£0.85)

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


Price To Earnings Ratio

PE vs Industry: BRCK is good value based on its PE Ratio (14.4x) compared to the GB Basic Materials industry average (23.8x).

PE vs Market: BRCK is good value based on its PE Ratio (14.4x) compared to the UK market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: BRCK is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: BRCK is good value based on its PB Ratio (1.5x) compared to the GB Basic Materials industry average (1.7x).


Next Steps

Future Growth

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

21.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BRCK's forecast earnings growth (21.1% per year) is above the savings rate (1.2%).

Earnings vs Market: BRCK's earnings (21.1% per year) are forecast to grow slower than the UK market (26.1% per year).

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

Revenue vs Market: BRCK's revenue (13.9% per year) is forecast to grow faster than the UK market (6.6% per year).

High Growth Revenue: BRCK's revenue (13.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if BRCK's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Brickability Group performed over the past 5 years?

14.9%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: BRCK has high quality earnings.

Growing Profit Margin: BRCK's current net profit margins (5.2%) are higher than last year (4.2%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if BRCK's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare BRCK's past year earnings growth to its 5-year average.

Earnings vs Industry: BRCK earnings growth over the past year (14.9%) exceeded the Basic Materials industry -10.4%.


Return on Equity

High ROE: BRCK's Return on Equity (10.2%) is considered low.


Next Steps

Financial Health

How is Brickability Group's financial position?


Financial Position Analysis

Short Term Liabilities: BRCK's short term assets (£62.1M) exceed its short term liabilities (£34.4M).

Long Term Liabilities: BRCK's short term assets (£62.1M) exceed its long term liabilities (£30.4M).


Debt to Equity History and Analysis

Debt Level: BRCK's debt to equity ratio (19.3%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if BRCK's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: BRCK's debt is well covered by operating cash flow (90.7%).

Interest Coverage: BRCK's interest payments on its debt are well covered by EBIT (17.9x coverage).


Balance Sheet


Next Steps

Dividend

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

4.02%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: BRCK's dividend (4.02%) is higher than the bottom 25% of dividend payers in the UK market (1.68%).

High Dividend: BRCK's dividend (4.02%) is low compared to the top 25% of dividend payers in the UK market (4.83%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether BRCK's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if BRCK's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.1%), BRCK's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BRCK's dividends in 3 years are forecast to be well covered by earnings (33.7% payout ratio).


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Alan Simpson (53 yo)

4.25yrs

Tenure

UK£463,000

Compensation

Mr. Alan Jonathan Simpson serves as Chief Executive Officer at Brickability Group Plc since September 2016 and its Director since 1996 and serves as its Member of Management Board. He joined Building Mater...


CEO Compensation Analysis

Compensation vs Market: Alan's total compensation ($USD624.58K) is about average for companies of similar size in the UK market ($USD616.36K).

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


Leadership Team

NamePositionTenureCompensationOwnership
John Richards
Chairman of Board & Chairman of Management Board2.75yrsUK£59.00k2.57%
£ 3.2m
Alan Simpson
CEO, Member of Management Board & Director4.25yrsUK£463.00k21.89%
£ 27.2m
Stuart Overend
CFO, Member of Management Board2.58yrsUK£341.00k0.99%
£ 1.2m
Simon Mellor
Member of Management Board & MD of of Bricks Divisionno datano data2.1%
£ 2.6m
Arnold Van Huet
Member of Management Board & MD of Roofing Divisionno datano data5.01%
£ 6.2m
Paul Hamilton
Member of Management Board & MD of Heatingno datano data13.36%
£ 16.6m
Simon Pearson
Member of Management Board & MD of Roofing Divisionno datano datano data
Andy Wilson
Member of Management Board & MD of Bespoke Brick Co.1.58yrsno datano data

2.7yrs

Average Tenure

53yo

Average Age

Experienced Management: BRCK's management team is considered experienced (2.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Richards
Chairman of Board & Chairman of Management Board2.75yrsUK£59.00k2.57%
£ 3.2m
Alan Simpson
CEO, Member of Management Board & Director4.25yrsUK£463.00k21.89%
£ 27.2m
Stuart Overend
CFO, Member of Management Board2.58yrsUK£341.00k0.99%
£ 1.2m
David Simpson
Independent Non-Executive Director1.42yrsUK£32.00k0.066%
£ 81.8k
Giles Beale
Independent Non-Executive Director1.33yrsUK£32.00kno data
Clive Norman
Non-Executive Director2.75yrsUK£29.00k2.42%
£ 3.0m

2.7yrs

Average Tenure

58.5yo

Average Age

Experienced Board: BRCK's board of directors are not considered experienced ( 2.7 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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Brickability Group Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Brickability Group Plc
  • Ticker: BRCK
  • Exchange: AIM
  • Founded: 2017
  • Industry: Construction Materials
  • Sector: Materials
  • Market Cap: UK£124.448m
  • Shares outstanding: 230.46m
  • Website: https://www.brickabilitygroupplc.com

Number of Employees


Location

  • Brickability Group Plc
  • Queensgate House
  • Cookham Road
  • Bracknell
  • Berkshire
  • RG12 1RB
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BRCKAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPAug 2019

Biography

Brickability Group Plc, together with its subsidiaries, supplies building products in the United Kingdom. It operates through three segments: Bricks and Building Materials; Roofing Products and Services; a...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/03 20:07
End of Day Share Price2020/12/03 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.