LSE:BYG

Stock Analysis Report

Executive Summary

Big Yellow is the UK's brand leader in self storage.

Snowflake

Fundamentals

Adequate balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

How has Big Yellow Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.0%

BYG

0.8%

GB REITs

-0.2%

GB Market


1 Year Return

9.2%

BYG

-2.1%

GB REITs

-1.9%

GB Market

BYG outperformed the REITs industry which returned -2% over the past year.

BYG outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -0.9% over the past year.


Share holder returns

BYGIndustryMarket
7 Day-1.0%0.8%-0.2%
30 Day4.4%6.3%3.5%
90 Day3.8%2.8%0.6%
1 Year13.1%9.2%2.4%-2.1%2.9%-1.9%
3 Year48.0%32.9%14.8%-1.5%20.7%6.2%
5 Year133.0%95.8%32.0%5.8%33.6%5.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Big Yellow Group undervalued based on future cash flows and its price relative to the stock market?

13.2x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Big Yellow Group's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Big Yellow Group's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Big Yellow Group is overvalued based on earnings compared to the GB REITs industry average.

Big Yellow Group is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.


Price Based on Expected Growth

Big Yellow Group is poor value based on expected growth next year.


Price Based on Value of Assets

Big Yellow Group is overvalued based on assets compared to the GB REITs industry average.


Next Steps

Future Growth

How is Big Yellow Group expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

11.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Big Yellow Group's revenue is expected to grow by 5.4% yearly, however this is not considered high growth (20% yearly).

Big Yellow Group's earnings are expected to grow by 11.6% yearly, however this is not considered high growth (20% yearly).

Big Yellow Group's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.

Big Yellow Group's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.

Big Yellow Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Big Yellow Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Big Yellow Group performed over the past 5 years?

10.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Big Yellow Group's year on year earnings growth rate has been positive over the past 5 years.

Big Yellow Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Big Yellow Group's 1-year earnings growth is negative, it can't be compared to the GB REITs industry average.


Return on Equity

Big Yellow Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Big Yellow Group used its assets more efficiently than the GB REITs industry average last year based on Return on Assets.


Return on Capital Employed

Big Yellow Group's use of capital has not improved over the past 3 years (Return on Capital Employed).


Next Steps

Financial Health

How is Big Yellow Group's financial position?


Financial Position Analysis

Big Yellow Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Big Yellow Group's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Big Yellow Group's level of debt (29.9%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (38.9% vs 29.9% today).

Debt is well covered by operating cash flow (21.4%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

What is Big Yellow Group's current dividend yield, its reliability and sustainability?

3.64%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Big Yellow Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.02%).

Big Yellow Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.44%).

Whilst dividend payments have been stable, Big Yellow Group has been paying a dividend for less than 10 years.

Dividend payments have increased, but Big Yellow Group only paid a dividend in the past 9 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be thoroughly covered by earnings (195.7x coverage).


Next Steps

Management

What is the CEO of Big Yellow Group's salary, the management and board of directors tenure and is there insider trading?

12.3yrs

Average management tenure


CEO

Jim Gibson (58yo)

21yrs

Tenure

UK£1,182,482

Compensation

Mr. James Gibson Co-founded of Big Yellow Group PLC in September 1998 and has been its Chief Executive Officer and Executive Director since September 1998. Mr. Gibson was Finance Director of Heron Property ...


CEO Compensation Analysis

Jim's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.

Jim's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

12.3yrs

Average Tenure

53yo

Average Age

The average tenure for the Big Yellow Group management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

10.5yrs

Average Tenure

55yo

Average Age

The average tenure for the Big Yellow Group board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUK£38,53318 Jun 19
Richard Cotton
EntityIndividual
Role
Lead Director
Senior Independent Director
Shares3,763
Max PriceUK£10.24
SellUK£38,53318 Jun 19
Richard Cotton
EntityIndividual
Role
Lead Director
Senior Independent Director
Shares3,763
Max PriceUK£10.24
SellUK£3,695,80718 Mar 19
Nicholas Vetch
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares375,407
Max PriceUK£9.84
SellUK£4,848,06506 Mar 19
Nicholas Vetch
EntityIndividual
Role
Chairman of the Board
Executive Chairman of the Board
Shares490,829
Max PriceUK£9.88

Ownership Breakdown


Management Team

  • Adrian Lee (53yo)

    Operations Director & Director

    • Tenure: 19.3yrs
    • Compensation: UK£863.11k
  • Nick Vetch (58yo)

    Executive Chairman of the Board

    • Tenure: 15.5yrs
    • Compensation: UK£1.06m
  • Cheryl Hathaway (53yo)

    Head of Human Resources

    • Tenure: 0yrs
  • Stuart Grinnall (44yo)

    Head of IT

    • Tenure: 3.6yrs
  • Jim Gibson (58yo)

    CEO & Director

    • Tenure: 21yrs
    • Compensation: UK£1.18m
  • David Knight (55yo)

    Head of Facilities

    • Tenure: 0yrs
  • John Trotman (41yo)

    CFO & Director

    • Tenure: 12yrs
    • Compensation: UK£871.71k
  • Tom Wilcockson (62yo)

    Head of New Business Development & Director of International Franchise

    • Tenure: 0yrs
  • Anthony Chenery (47yo)

    Head of Marketing & E-Commerce

    • Tenure: 0yrs
  • Nicola Crosby

    Head of Store Operations

    • Tenure: 4.2yrs

Board Members

  • Adrian Lee (53yo)

    Operations Director & Director

    • Tenure: 19.3yrs
    • Compensation: UK£863.11k
  • Nick Vetch (58yo)

    Executive Chairman of the Board

    • Tenure: 15.5yrs
    • Compensation: UK£1.06m
  • Jim Gibson (58yo)

    CEO & Director

    • Tenure: 21yrs
    • Compensation: UK£1.18m
  • Georgina Harvey (54yo)

    Non-Executive Director

    • Tenure: 6.2yrs
    • Compensation: UK£45.10k
  • Steve Johnson (55yo)

    Non-Executive Director

    • Tenure: 9yrs
    • Compensation: UK£40.00k
  • Richard Cotton (64yo)

    Senior Independent Director

    • Tenure: 0yrs
    • Compensation: UK£45.10k
  • John Trotman (41yo)

    CFO & Director

    • Tenure: 12yrs
    • Compensation: UK£871.71k
  • Vince Niblett

    Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: UK£45.10k
  • Anna Keay

    Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: UK£40.00k

Company Information

Big Yellow Group Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Big Yellow Group Plc
  • Ticker: BYG
  • Exchange: LSE
  • Founded: 1998
  • Industry: Specialized REITs
  • Sector: Real Estate
  • Market Cap: UK£1.716b
  • Shares outstanding: 165.93m
  • Website: https://www.bigyellow.co.uk

Number of Employees


Location

  • Big Yellow Group Plc
  • Unit 2, The Deans
  • Bridge Road, Bagshot
  • Bagshot
  • East Lothian
  • GU19 5AT
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BYGLSE (London Stock Exchange)YesOrdinary SharesGBGBPMay 2000
B9YDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMay 2000
BYLO.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMay 2000
BYGLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMay 2000

Biography

Big Yellow is the UK's brand leader in self storage. Big Yellow now operates from a platform of 99 stores, including 24 stores branded as Armadillo Self Storage, in which the Group has a 20% interest. We o ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 20:36
End of Day Share Price2019/09/20 00:00
Earnings2019/03/31
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.