AIM:VRS

Stock Analysis Report

Executive Summary

Versarien plc, an engineering materials company, provides engineering solutions for various industry sectors in the United Kingdom, rest of Europe, North America, and internationally.


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: VRS's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.0%

VRS

0.007%

GB Chemicals

0.1%

GB Market


1 Year Return

-58.2%

VRS

-36.9%

GB Chemicals

-23.6%

GB Market

Return vs Industry: VRS underperformed the UK Chemicals industry which returned -39.3% over the past year.

Return vs Market: VRS underperformed the UK Market which returned -25.9% over the past year.


Shareholder returns

VRSIndustryMarket
7 Day2.0%0.007%0.1%
30 Day18.4%-14.5%-15.5%
90 Day-38.0%-29.8%-27.0%
1 Year-58.2%-58.2%-34.6%-36.9%-19.8%-23.6%
3 Year108.1%108.1%-24.3%-31.0%-13.5%-24.3%
5 Year212.1%212.1%-20.8%-33.5%-1.6%-23.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

6.28x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate VRS's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate VRS's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: VRS is unprofitable, so we can't compare its PE Ratio to the Chemicals industry average.

PE vs Market: VRS is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: VRS is overvalued based on its PB Ratio (6.2x) compared to the GB Chemicals industry average (1.4x).


Next Steps

Future Growth

How is Versarien forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.9%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Versarien has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Versarien performed over the past 5 years?

-19.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VRS is currently unprofitable.

Growing Profit Margin: VRS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: VRS is unprofitable, and losses have increased over the past 5 years at a rate of -19.3% per year.

Accelerating Growth: Unable to compare VRS's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: VRS is unprofitable, making it difficult to compare its past year earnings growth to the Chemicals industry (-6.1%).


Return on Equity

High ROE: VRS has a negative Return on Equity (-34.54%), as it is currently unprofitable.


Next Steps

Financial Health

How is Versarien's financial position?


Financial Position Analysis

Short Term Liabilities: VRS's short term assets (£7.0M) exceed its short term liabilities (£2.7M).

Long Term Liabilities: VRS's short term assets (£7.0M) exceed its long term liabilities (£1.0M).


Debt to Equity History and Analysis

Debt Level: VRS's debt to equity ratio (3.5%) is considered satisfactory.

Reducing Debt: VRS's debt to equity ratio has increased from 0.05% to 3.5% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: VRS has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: VRS has less than a year of cash runway if free cash flow continues to reduce at historical rates of -17.7% each year


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if VRS'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 VRS'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?

4.2yrs

Average board tenure


CEO

Neill Ricketts (48yo)

no data

Tenure

UK£208,000

Compensation

Mr. Neill Gareth Ricketts, B.Eng (Hons) serves as the Chief Executive Officer of Versarien plc. Mr. Rick etts served as the Managing Director of UK and European Operations of Hardide Coatings Limited, a su ...


CEO Compensation Analysis

Compensation vs Market: Neill's total compensation ($USD254.68K) is about average for companies of similar size in the UK market ($USD335.89K).

Compensation vs Earnings: Neill's compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
Neill Ricketts
Executive Chairman & CEOno dataUK£208.00k8.99% £7.9m
Christopher Leigh
CFO, Company Secretary & Director6.75yrsUK£166.00k0.19% £162.2k
Iain Gray
Non-Executive Director4.17yrsUK£20.00kno data
Susan Bowen
Non-Executive Director0.75yrno datano data

4.2yrs

Average Tenure

59yo

Average Age

Experienced Board: VRS's board of directors are considered experienced (4.2 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 4.5%.


Top Shareholders

Company Information

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


Key Information

  • Name: Versarien plc
  • Ticker: VRS
  • Exchange: AIM
  • Founded: 2010
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: UK£87.386m
  • Shares outstanding: 169.68m
  • Website: https://www.versarien.com

Number of Employees


Location

  • Versarien plc
  • 2 Chosen View Road
  • Cheltenham
  • Gloucestershire
  • GL51 9LT
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VRSAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJun 2013
VRSR.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 2013
9RVDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2013

Biography

Versarien plc, an engineering materials company, provides engineering solutions for various industry sectors in the United Kingdom, rest of Europe, North America, and internationally. The company operates in two segments, Graphene and Plastic Products, and Hard Wear and Metallic Products. The Graphene and Plastic Products segment offers graphene products, such as Nanene, a few-layer graphene; Polygrene, a graphene enhanced polymer; Hexotene, a few-layer hexagonal boron nitride nano-platelet powder; and graphene-based nanomaterials for energy storage devices, as well as a range of electrically conductive graphene inks for various printing processes, substrates, and applications under the Graphinks name. The Hard Wear and Metallic Products segment provides graphene enhanced plastic products, including graphene enhanced mobile accessories, injection molding products, tool boxes, transit trays, PU foam tanks, and vacuum forming products. This segment also offers sintered tungsten carbide products comprising special inserts and blanks, cutting knives, wear-resistant parts, nozzles and valve inserts for flow control, and defense and aerospace tungsten carbide parts for use in arduous environment applications; and microporous metals for the thermal management industry, as well as supplies extruded aluminum products, such as aluminum industrial products and aluminum heat sinks. Versarien plc has a collaboration agreement with Refractory Solutions Insertec S.L.U. The company was founded in 2010 and is headquartered in Cheltenham, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/06 23:39
End of Day Share Price2020/04/06 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.