| Snowflake Score | |
|---|---|
| Valuation | 5/6 |
| Future Growth | 4/6 |
| Past Performance | 0/6 |
| Financial Health | 4/6 |
| Dividends | 2/6 |
NFC Stock Overview
Next Fifteen Communications Group plc, together with its subsidiaries, provides communications services in the United Kingdom, Europe, Africa, the United States, and the Asia Pacific.
Next Fifteen Communications Group Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | UK£9.61 |
| 52 Week High | UK£14.76 |
| 52 Week Low | UK£8.33 |
| Beta | 1.36 |
| 1 Month Change | 2.02% |
| 3 Month Change | -25.50% |
| 1 Year Change | 2.23% |
| 3 Year Change | 65.69% |
| 5 Year Change | 123.49% |
| Change since IPO | 9,052.38% |
Recent News & Updates
Next Fifteen Communications Group (LON:NFC) Could Easily Take On More Debt
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
Shareholder Returns
| NFC | GB Media | GB Market | |
|---|---|---|---|
| 7D | 2.6% | 1.4% | 0.4% |
| 1Y | 2.2% | -20.2% | -9.0% |
Return vs Industry: NFC exceeded the UK Media industry which returned -20.2% over the past year.
Return vs Market: NFC exceeded the UK Market which returned -7.8% over the past year.
Price Volatility
| NFC volatility | |
|---|---|
| NFC Average Weekly Movement | 6.7% |
| Media Industry Average Movement | 5.7% |
| Market Average Movement | 5.4% |
| 10% most volatile stocks in GB Market | 10.8% |
| 10% least volatile stocks in GB Market | 2.7% |
Stable Share Price: NFC is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: NFC's weekly volatility (7%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1981 | 2,983 | Tim Dyson | https://www.next15.com |
Next Fifteen Communications Group plc, together with its subsidiaries, provides communications services in the United Kingdom, Europe, Africa, the United States, and the Asia Pacific. It offers strategy and insight, online marketing, corporate and internal communications, media training, brand and message consultancy, market research, digital, marketing communications, and creative and content, as well as public, media, analyst, and investor relations services; and digital and technology products and services. The company provides its services under the Agent3, encore, Publitek, Beyond, Savanta, MBooth, MBooth Health, MACH 49, MIGHTY SOCIAL, Archetype, Conversion Rate Experts, Twogether, ODD, The Blueshirt Group, OutCast, Velocity, SMG., ELVIS, Brandwidth, Activate, Planning-inc, and Palladium brands.
Next Fifteen Communications Group Fundamentals Summary
| NFC fundamental statistics | |
|---|---|
| Market Cap | UK£943.92m |
| Earnings (TTM) | -UK£69.22m |
| Revenue (TTM) | UK£470.06m |
2.0x
P/S Ratio-13.6x
P/E RatioIs NFC overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| NFC income statement (TTM) | |
|---|---|
| Revenue | UK£470.06m |
| Cost of Revenue | UK£365.50m |
| Gross Profit | UK£104.55m |
| Other Expenses | UK£173.77m |
| Earnings | -UK£69.22m |
Last Reported Earnings
Jan 31, 2022
Next Earnings Date
Sep 27, 2022
| Earnings per share (EPS) | -0.70 |
| Gross Margin | 22.24% |
| Net Profit Margin | -14.73% |
| Debt/Equity Ratio | 36.6% |
How did NFC perform over the long term?
See historical performance and comparisonDividends
1.7%
Current Dividend Yield-16%
Payout RatioValuation
Is NFC undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
5/6Valuation Score 5/6
Price-To-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for NFC?
Other financial metrics that can be useful for relative valuation.
| What is NFC's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | UK£943.92m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 2x |
| Enterprise Value/EBITDA | 15.1x |
| PEG Ratio | n/a |
Price to Sales Ratio vs Peers
How does NFC's PS Ratio compare to its peers?
| NFC PS Ratio vs Peers |
|---|
| Company | PS | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 3.1x | ||
YOU YouGov | 6.4x | 14.4% | UK£1.2b |
FOUR 4imprint Group | 1.3x | 4.8% | UK£1.1b |
ASCL Ascential | 2.5x | 11.1% | UK£1.1b |
TRMR Tremor International | 2.3x | 11.5% | UK£669.9m |
NFC Next Fifteen Communications Group | 2x | 9.0% | UK£943.9m |
Price-To-Sales vs Peers: NFC is good value based on its Price-To-Sales Ratio (2x) compared to the peer average (3.1x).
Price to Earnings Ratio vs Industry
How does NFC's PE Ratio compare vs other companies in the GB Media Industry?
Price-To-Sales vs Industry: NFC is expensive based on its Price-To-Sales Ratio (2x) compared to the UK Media industry average (1.4x)
Price to Sales Ratio vs Fair Ratio
What is NFC's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PS Ratio | 2x |
| Fair PS Ratio | 2.2x |
Price-To-Sales vs Fair Ratio: NFC is good value based on its Price-To-Sales Ratio (2x) compared to the estimated Fair Price-To-Sales Ratio (2.2x).
Share Price vs Fair Value
What is the Fair Price of NFC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: NFC (£9.61) is trading below our estimate of fair value (£27.39)
Significantly Below Fair Value: NFC is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.
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Future Growth
How is Next Fifteen Communications Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Future Growth Score
4/6Future Growth Score 4/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
69.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NFC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.9%).
Earnings vs Market: NFC is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: NFC is expected to become profitable in the next 3 years.
Revenue vs Market: NFC's revenue (9% per year) is forecast to grow faster than the UK market (4.4% per year).
High Growth Revenue: NFC's revenue (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 NFC's Return on Equity is forecast to be high in 3 years time
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Past Performance
How has Next Fifteen Communications Group performed over the past 5 years?
Past Performance Score
0/6Past Performance Score 0/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-72.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NFC is currently unprofitable.
Growing Profit Margin: NFC is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: NFC is unprofitable, and losses have increased over the past 5 years at a rate of 72% per year.
Accelerating Growth: Unable to compare NFC's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: NFC is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (43.5%).
Return on Equity
High ROE: NFC has a negative Return on Equity (-106.84%), as it is currently unprofitable.
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Financial Health
How is Next Fifteen Communications Group's financial position?
Financial Health Score
4/6Financial Health Score 4/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway
Financial Position Analysis
Short Term Liabilities: NFC's short term assets (£178.6M) do not cover its short term liabilities (£180.3M).
Long Term Liabilities: NFC's short term assets (£178.6M) do not cover its long term liabilities (£203.0M).
Debt to Equity History and Analysis
Debt Level: NFC has more cash than its total debt.
Reducing Debt: NFC's debt to equity ratio has reduced from 48.8% to 36.6% 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: Whilst unprofitable NFC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: NFC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 29.4% per year.
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Dividend
What is Next Fifteen Communications Group current dividend yield, its reliability and sustainability?
Dividend Score
2/6Dividend Score 2/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
1.75%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NFC's dividend (1.75%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.8%).
High Dividend: NFC's dividend (1.75%) is low compared to the top 25% of dividend payers in the UK market (5.11%).
Stability and Growth of Payments
Stable Dividend: NFC's dividend payments have been volatile in the past 10 years.
Growing Dividend: NFC's dividend payments have increased over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: NFC is paying a dividend but the company is unprofitable.
Cash Payout to Shareholders
Cash Flow Coverage: With its low cash payout ratio (22.6%), NFC's dividend payments are well covered by cash flows.
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Management
How experienced are the management team and are they aligned to shareholders interests?
6.2yrs
Average management tenure
CEO
Tim Dyson (61 yo)
30.58yrs
Tenure
UK£1,798,000
Compensation
Mr. Timothy John Bruce Dyson, also known as Tim, has been the Chief Executive Officer of Next Fifteen Communications Group PLC of 463 Communications, LLC since 1992 and heads its global operations. Mr. Dys...
CEO Compensation Analysis
Compensation vs Market: Tim's total compensation ($USD2.18M) is above average for companies of similar size in the UK market ($USD1.38M).
Compensation vs Earnings: Tim's compensation has increased whilst the company is unprofitable.
Leadership Team
Experienced Management: NFC's management team is seasoned and experienced (6.2 years average tenure).
Board Members
Experienced Board: NFC's board of directors are not considered experienced ( 2.5 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.9%.
Top Shareholders
Company Information
Next Fifteen Communications Group plc's employee growth, exchange listings and data sources
Key Information
- Name: Next Fifteen Communications Group plc
- Ticker: NFC
- Exchange: AIM
- Founded: 1981
- Industry: Advertising
- Sector: Media
- Implied Market Cap: UK£943.916m
- Shares outstanding: 98.22m
- Website: https://www.next15.com
Number of Employees
Location
- Next Fifteen Communications Group plc
- 75 Bermondsey Street
- London
- Greater London
- SE1 3XF
- United Kingdom
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/08/14 00:00 |
| End of Day Share Price | 2022/08/12 00:00 |
| Earnings | 2022/01/31 |
| Annual Earnings | 2022/01/31 |
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.