M&C Saatchi plc provides advertising and marketing services in the United Kingdom, Europe, the Middle East, Africa, Asia, Australia, and the Americas.
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Undervalued established dividend payer.
Share Price & News
How has M&C Saatchi's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SAA's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: SAA underperformed the UK Media industry which returned 1.9% over the past year.
Return vs Market: SAA underperformed the UK Market which returned 2% over the past year.
Price Volatility Vs. Market
How volatile is M&C Saatchi's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StSome M&C Saatchi (LON:SAA) Shareholders Have Taken A Painful 74% Share Price Drop
1 month ago | Simply Wall StShould You Worry About M&C Saatchi plc's (LON:SAA) CEO Salary Level?
1 month ago | Simply Wall StIs M&C Saatchi plc’s (LON:SAA) 10% ROCE Any Good?
Is M&C Saatchi undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SAA (£0.81) is trading below our estimate of fair value (£1.65)
Significantly Below Fair Value: SAA is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SAA is good value based on its PE Ratio (4.6x) compared to the Media industry average (23.3x).
PE vs Market: SAA is good value based on its PE Ratio (4.6x) compared to the UK market (17.3x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SAA's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SAA is good value based on its PB Ratio (1x) compared to the GB Media industry average (1.3x).
How is M&C Saatchi forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if SAA's forecast earnings growth is above the savings rate (0.5%).
Earnings vs Market: Insufficient data to determine if SAA'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: SAA's revenue is expected to decline over the next 3 years (-14.8% per year).
High Growth Revenue: SAA's revenue is forecast to decline over the next 3 years (-14.8% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if SAA's Return on Equity is forecast to be high in 3 years time
How has M&C Saatchi performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SAA has a large one-off gain of £9.7M impacting its June 30 2019 financial results.
Growing Profit Margin: SAA became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: SAA's earnings have grown significantly by 33% per year over the past 5 years.
Accelerating Growth: SAA has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: SAA has become profitable in the last year, making it difficult to compare its past year earnings growth to the Media industry (3.7%).
Return on Equity
High ROE: SAA's Return on Equity (22.3%) is considered high.
Return on Assets
Return on Capital Employed
How is M&C Saatchi's financial position?
Financial Position Analysis
Short Term Liabilities: SAA's short term assets (£183.3M) exceed its short term liabilities (£172.6M).
Long Term Liabilities: SAA's short term assets (£183.3M) exceed its long term liabilities (£61.1M).
Debt to Equity History and Analysis
Debt Level: SAA's debt to equity ratio (53.5%) is considered high.
Reducing Debt: SAA's debt to equity ratio has increased from 23.4% to 53.5% over the past 5 years.
Debt Coverage: SAA's debt is well covered by operating cash flow (36.3%).
Interest Coverage: SAA's interest payments on its debt are well covered by EBIT (7.3x coverage).
Inventory Level: SAA has a low level of unsold assets or inventory.
Debt Coverage by Assets: SAA's debt is covered by short term assets (assets are 4.5x debt).
What is M&C Saatchi's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: SAA's dividend (13.6%) is higher than the bottom 25% of dividend payers in the UK market (1.92%).
High Dividend: SAA's dividend (13.6%) is in the top 25% of dividend payers in the UK market (5.37%)
Stability and Growth of Payments
Stable Dividend: SAA's dividends per share have been stable in the past 10 years.
Growing Dividend: SAA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (62.9%), SAA's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SAA's dividends in 3 years are not forecast to be well covered by earnings (94% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
David Kershaw 0
Mr. David Kershaw serves as the Chief Executive Officer at M&C Saatchi. Mr. Kershaw joined Saatchi & Saatchi in 1982, served as Managing Director since 1990 and also as its Chief Executive & Chairman of th ...
CEO Compensation Analysis
Compensation vs Market: David's total compensation ($USD542.02K) is above average for companies of similar size in the UK market ($USD325.23K).
Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.
|Chief Executive & Executive Director||0yrs||UK£421.00k||4.92% £3.8m|
|Executive Director||0yrs||UK£421.00k||4.92% £3.8m|
|Founder & Partner||0yrs||no data||no data|
|Finance Director & Director||0.9yrs||no data||0.030% £23.3k|
|Chief Strategy Officer||0yrs||no data||no data|
|Joint Managing Director||12.8yrs||no data||no data|
|Worldwide Chief Executive Officer||11.1yrs||no data||no data|
|Chief Executive of Talk PR - Subsidiary||0yrs||no data||no data|
|Company Secretary||0yrs||no data||no data|
Experienced Management: SAA's management team is seasoned and experienced (11.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SAA insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8%.
M&C Saatchi plc's company bio, employee growth, exchange listings and data sources
- Name: M&C Saatchi plc
- Ticker: SAA
- Exchange: AIM
- Founded: 1995
- Industry: Advertising
- Sector: Media
- Market Cap: UK£77.549m
- Shares outstanding: 96.22m
- Website: https://www.mcsaatchiplc.com
Number of Employees
- M&C Saatchi plc
- 36 Golden Square
- Greater London
- W1F 9EE
- United Kingdom
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|SAA||AIM (London Stock Exchange AIM Market)||Yes||Ordinary Shares||GB||GBP||Jul 2004|
|MSAA.F||OTCPK (Pink Sheets LLC)||Yes||Ordinary Shares||US||USD||Jul 2004|
M&C Saatchi plc provides advertising and marketing services in the United Kingdom, Europe, the Middle East, Africa, Asia, Australia, and the Americas. The company offers its services in the areas of media buying, direct marketing, talent management, mobile marketing, research agency, Website construction, branding and digital marketing, design, marketing strategy, finished art and production, marketing consultant, and sport sponsorship and entertainment PR agency. The company was founded in 1995 and is headquartered in London, the United Kingdom.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/27 20:31|
|End of Day Share Price||2020/02/27 00:00|
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.