Market Cap
UK£2.6b
Last Updated
2020/04/08 00:29 UTC
Data Sources
Company Financials +
Executive Summary
ITV plc, an integrated producer broadcaster, creates, owns, and distributes content on various platforms worldwide.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -1% per year for the next 3 years
Snowflake Analysis
Good value with adequate balance sheet.
Similar Companies
Share Price & News
How has ITV's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ITV's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
8.5%
ITV
1.2%
GB Media
1.7%
GB Market
1 Year Return
-51.6%
ITV
-36.3%
GB Media
-21.8%
GB Market
Return vs Industry: ITV underperformed the UK Media industry which returned -41% over the past year.
Return vs Market: ITV underperformed the UK Market which returned -23.6% over the past year.
Shareholder returns
| ITV | Industry | Market | |
|---|---|---|---|
| 7 Day | 8.5% | 1.2% | 1.7% |
| 30 Day | -29.6% | -20.5% | -12.0% |
| 90 Day | -55.4% | -42.1% | -25.3% |
| 1 Year | -48.6%-51.6% | -33.8%-36.3% | -17.9%-21.8% |
| 3 Year | -64.0%-69.8% | -42.7%-49.9% | -11.8%-22.8% |
| 5 Year | -67.1%-75.5% | -43.6%-55.2% | 0.1%-22.4% |
Price Volatility Vs. Market
How volatile is ITV's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
What Is ITV's (LON:ITV) P/E Ratio After Its Share Price Tanked?2 weeks ago | Simply Wall St
Does ITV (LON:ITV) Have A Healthy Balance Sheet?4 weeks ago | Simply Wall St
How Does ITV's (LON:ITV) P/E Compare To Its Industry, After The Share Price Drop?Valuation
Is ITV undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ITV (£0.66) is trading below our estimate of fair value (£1.83)
Significantly Below Fair Value: ITV is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ITV is good value based on its PE Ratio (5.5x) compared to the Media industry average (16.8x).
PE vs Market: ITV is good value based on its PE Ratio (5.5x) compared to the UK market (12.6x).
Price to Earnings Growth Ratio
PEG Ratio: ITV's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: ITV is overvalued based on its PB Ratio (3.1x) compared to the GB Media industry average (0.8x).
Next Steps
Future Growth
How is ITV forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
-1.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ITV's earnings are forecast to decline over the next 3 years (-1% per year).
Earnings vs Market: ITV's earnings are forecast to decline over the next 3 years (-1% per year).
High Growth Earnings: ITV's earnings are forecast to decline over the next 3 years.
Revenue vs Market: ITV's revenue (1% per year) is forecast to grow slower than the UK market (2.5% per year).
High Growth Revenue: ITV's revenue (1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ITV's Return on Equity is forecast to be very high in 3 years time (40.9%).
Next Steps
Past Performance
How has ITV performed over the past 5 years?
-2.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ITV has high quality earnings.
Growing Profit Margin: ITV's current net profit margins (14.3%) are lower than last year (14.5%).
Past Earnings Growth Analysis
Earnings Trend: ITV's earnings have declined by -2.6% per year over the past 5 years.
Accelerating Growth: ITV's earnings growth over the past year (1.5%) exceeds its 5-year average (-2.6% per year).
Earnings vs Industry: ITV earnings growth over the past year (1.5%) exceeded the Media industry -1.8%.
Return on Equity
High ROE: Whilst ITV's Return on Equity (54.44%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is ITV's financial position?
Financial Position Analysis
Short Term Liabilities: ITV's short term assets (£1.5B) exceed its short term liabilities (£1.3B).
Long Term Liabilities: ITV's short term assets (£1.5B) exceed its long term liabilities (£1.4B).
Debt to Equity History and Analysis
Debt Level: ITV's debt to equity ratio (121.3%) is considered high.
Reducing Debt: ITV's debt to equity ratio has increased from 24.9% to 121.3% over the past 5 years.
Debt Coverage: ITV's debt is well covered by operating cash flow (44.3%).
Interest Coverage: ITV's interest payments on its debt are well covered by EBIT (22.9x coverage).
Balance Sheet
Next Steps
Dividend
What is ITV's current dividend yield, its reliability and sustainability?
8.41%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ITV's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate ITV'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 ITV's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ITV's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: ITV is not paying a notable dividend for the UK market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ITV'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?
2.6yrs
Average management tenure
CEO
Carolyn McCall (58yo)
2.25s
Tenure
UK£3,839,000
Compensation
Ms. Carolyn J. McCall, DBE, has been Chief Executive and Director of ITV plc since January 8, 2018 and also has been its Member of Management Board since January 2018. Prior to ITV, she was the Chief Execu ...
CEO Compensation Analysis
Compensation vs Market: Carolyn's total compensation ($USD4.72M) is above average for companies of similar size in the UK market ($USD2.44M).
Compensation vs Earnings: Carolyn's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chief Executive | 2.25yrs | UK£3.84m | 0.0064% £167.1k | |
| Group CFO | 1.17yrs | UK£2.34m | 0.0022% £57.7k | |
| General Counsel | 1.25yrs | no data | no data | |
| Director of Television & Member of Management Board | 9.67yrs | no data | 0.037% £960.1k | |
| MD of Commercial & Member of Management Board | 5.33yrs | no data | 0.011% £290.7k | |
| Chief Marketing Officer | 3yrs | no data | 0.0044% £116.0k | |
| Group HR Director & Member of Management Board | 5.5yrs | no data | 0.0052% £137.5k | |
| MD of ITV Studios & Member of Management Board | 4.17yrs | no data | 0.0093% £245.1k | |
| Group Communications | 2.25yrs | no data | no data | |
| Group Chief Technology Officer & Member of Management Board | 2.25yrs | no data | 0.0042% £109.4k |
2.6yrs
Average Tenure
57.5yo
Average Age
Experienced Management: ITV's management team is considered experienced (2.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chief Executive | 2.25yrs | UK£3.84m | 0.0064% £167.1k | |
| Group CFO | 1.17yrs | UK£2.34m | 0.0022% £57.7k | |
| Non-Executive Director | 1.92yrs | UK£71.00k | no data | |
| Non-Executive Director | 7.5yrs | UK£74.00k | 0.0010% £26.8k | |
| Non-Executive Director | 2.5yrs | UK£86.00k | 0.00057% £15.0k | |
| Senior Independent Non-Executive Director | 1.5yrs | UK£96.00k | no data | |
| Chairman | 3.92yrs | UK£453.00k | 0.0089% £234.3k | |
| Non-Executive Director | 5.75yrs | UK£94.00k | 0.0012% £32.3k | |
| Non-Executive Director | 4.17yrs | UK£77.00k | 0.00084% £22.0k | |
| Non-Executive Director | 3.25yrs | UK£71.00k | 0.0013% £33.3k |
2.9yrs
Average Tenure
58yo
Average Age
Experienced Board: ITV's board of directors are not considered experienced ( 2.9 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: ITV insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
ITV plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: ITV plc
- Ticker: ITV
- Exchange: LSE
- Founded: 1955
- Industry: Broadcasting
- Sector: Media
- Market Cap: UK£2.624b
- Shares outstanding: 4.00b
- Website: https://www.itv.com
Number of Employees
Location
- ITV plc
- 2 Waterhouse Square
- 140 Holborn
- London
- Greater London
- EC1N 2AE
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ITVP.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jul 2000 |
| IJ7 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jul 2000 |
| ITV | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Jul 2000 |
| ITVL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Jul 2000 |
| ITVP.Y | OTCPK (Pink Sheets LLC) | ADR | US | USD | Oct 2008 |
Biography
ITV plc, an integrated producer broadcaster, creates, owns, and distributes content on various platforms worldwide. It operates through Broadcast & Online, and ITV Studios segments. The Broadcast & Online segment broadcasts various contents on its family of free-to-air channels, including ITV, ITV2, ITV3, ITV4, ITVBe, ITV Encore, CITV, ITV Breakfast, CITV Breakfast, and various related +1 and HD equivalents; and offers television advertising services. It also delivers content through linear television broadcasting; ITV Hub, an over-the-top service on 28 platforms, including itv.com Website; and pay providers, such as Virgin and Sky, as well as through direct content deals with services comprising Amazon, Apple, and Netflix. In addition, this segment offers online advertising, HD digital channel on pay platform, and ITV Choice subscription services, as well as licenses DTT Multiplex A. The ITV Studios segment creates and produces programs and formats that include drama, entertainment, and factual entertainment for its own channels and other broadcasters, such as the BBC, Channel 4, Channel 5, and Sky. It also operates as an unscripted independent producer of content in the United States; and produces content for local broadcasters in Australia, Germany, France, Italy, the Netherlands, Sweden, Norway, Finland, and Denmark. In addition, this segment’s distribution business licenses finished programs and formats, and third-party content internationally, as well as finances productions. The company also engages in the development of platform, broadband, transactional, and mobile services; operation of Freeview Multiplex A; rights ownership and distribution of television programs and films; and scheduling and commissioning of television programs. ITV plc was founded in 1955 is headquartered in London, the United Kingdom.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 00:29 |
| End of Day Share Price | 2020/04/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.