STV Group (LSE:STVG) - Share price, News & Analysis

STVG fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	2/6
Past Performance	5/6
Financial Health	2/6
Dividends	4/6

STVG Stock Overview

STV Group plc, together with its subsidiaries, produces and broadcasts television programs in the United Kingdom.

Rewards

Trading at 61.2% below our estimate of its fair value

Earnings are forecast to grow 4.23% per year

Earnings grew by 155.3% over the past year

Risk Analysis

Negative shareholders equity

Has a high level of debt

Unstable dividend track record

STV Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for STV Group
Historical stock prices
Current Share Price	UK£2.98
52 Week High	UK£3.85
52 Week Low	UK£2.90
Beta	0.064
1 Month Change	-4.03%
3 Month Change	-15.72%
1 Year Change	-13.27%
3 Year Change	-18.98%
5 Year Change	-20.69%
Change since IPO	-79.41%

Shareholder Returns

	STVG	GB Media	GB Market
7D	2.6%	0.2%	0.8%
1Y	-13.3%	-14.5%	-5.0%

Return vs Industry: STVG underperformed the UK Media industry which returned -11.6% over the past year.

Return vs Market: STVG underperformed the UK Market which returned -2.5% over the past year.

Price Volatility

Is STVG's price volatile compared to industry and market?
STVG volatility
STVG Average Weekly Movement	4.1%
Media Industry Average Movement	7.2%
Market Average Movement	6.1%
10% most volatile stocks in GB Market	11.6%
10% least volatile stocks in GB Market	3.2%

Stable Share Price: STVG is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: STVG's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2000	463	Simon Pitts	https://www.stvplc.tv

STV Group plc, together with its subsidiaries, produces and broadcasts television programs in the United Kingdom. The company operates through Broadcast, Digital, Studios, and Other segments. It offers news, information, and entertainment programs.

STV Group Fundamentals Summary

How do STV Group's earnings and revenue compare to its market cap?
STVG fundamental statistics
Market Cap	UK£139.38m
Earnings (TTM)	UK£19.40m
Revenue (TTM)	UK£144.50m

7.2x

P/E Ratio

1.0x

P/S Ratio

Is STVG overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
STVG income statement (TTM)
Revenue	UK£144.50m
Cost of Revenue	UK£92.10m
Gross Profit	UK£52.40m
Other Expenses	UK£33.00m
Earnings	UK£19.40m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.41
Gross Margin	36.26%
Net Profit Margin	13.43%
Debt/Equity Ratio	-55.6%

How did STVG perform over the long term?

See historical performance and comparison

Dividends

4.9%

Current Dividend Yield

26%

Payout Ratio

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: STVG (£2.98) is trading below our estimate of fair value (£7.67)

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

Price To Earnings Ratio

PE vs Industry: STVG is good value based on its PE Ratio (7.2x) compared to the UK Media industry average (25.6x).

PE vs Market: STVG is good value based on its PE Ratio (7.2x) compared to the UK market (15.4x).

Price to Earnings Growth Ratio

PEG Ratio: STVG is poor value based on its PEG Ratio (1.7x)

Price to Book Ratio

PB vs Industry: STVG has negative assets, so we can't compare its PB Ratio to the GB Media industry average.

Future Growth

How is STV Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

4.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: STVG's forecast earnings growth (4.2% per year) is above the savings rate (0.9%).

Earnings vs Market: STVG's earnings (4.2% per year) are forecast to grow slower than the UK market (11.2% per year).

High Growth Earnings: STVG's earnings are forecast to grow, but not significantly.

Revenue vs Market: STVG's revenue (6.2% per year) is forecast to grow faster than the UK market (4.1% per year).

High Growth Revenue: STVG's revenue (6.2% 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 STVG's Return on Equity is forecast to be high in 3 years time

Past Performance

How has STV Group performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

12.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: STVG has high quality earnings.

Growing Profit Margin: STVG's current net profit margins (13.4%) are higher than last year (7.1%).

Past Earnings Growth Analysis

Earnings Trend: STVG's earnings have grown by 12.9% per year over the past 5 years.

Accelerating Growth: STVG's earnings growth over the past year (155.3%) exceeds its 5-year average (12.9% per year).

Earnings vs Industry: STVG earnings growth over the past year (155.3%) exceeded the Media industry 61.7%.

Return on Equity

High ROE: STVG's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.

Financial Health

How is STV Group's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: STVG has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: STVG has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.

Debt to Equity History and Analysis

Debt Level: STVG has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: STVG's has negative shareholder equity, so we do not need to check if its debt has reduced over time.

Debt Coverage: STVG's debt is well covered by operating cash flow (156.9%).

Interest Coverage: STVG's interest payments on its debt are well covered by EBIT (15x coverage).

Balance Sheet

Dividend

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

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.91%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: STVG's dividend (4.91%) is higher than the bottom 25% of dividend payers in the UK market (1.81%).

High Dividend: STVG's dividend (4.91%) is in the top 25% of dividend payers in the UK market (4.85%)

Stability and Growth of Payments

Stable Dividend: STVG has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: STVG's dividend payments have increased, but the company has only paid a dividend for 8 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (25.8%), STVG's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (34.7%), STVG's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

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

4.1yrs

Average management tenure

CEO

Simon Pitts (45 yo)

4.33yrs

Tenure

UK£1,334,000

Compensation

Mr. Simon Pitts has been the Chief Executive Officer of STV Group plc (formerly known as SMG plc) since January 3, 2018. Mr. Pitts served as a Managing Director of Online, Pay TV, Interactive & Technology...

CEO Compensation Analysis

Compensation vs Market: Simon's total compensation ($USD1.67M) is above average for companies of similar size in the UK market ($USD649.16K).

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

Leadership Team

Experienced Management: STVG's management team is considered experienced (4.1 years average tenure).

Board Members

Experienced Board: STVG'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 not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/19 00:00
End of Day Share Price	2022/05/19 00:00
Earnings	2021/12/31
Annual Earnings	2021/12/31