LSE:BYG

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

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


Snowflake Analysis

Established dividend payer with adequate balance sheet.


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

Stable Share Price: BYG has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.0%

BYG

0.9%

GB REITs

0.1%

GB Market


1 Year Return

0.8%

BYG

-15.0%

GB REITs

-14.0%

GB Market

Return vs Industry: BYG exceeded the UK REITs industry which returned -15% over the past year.

Return vs Market: BYG exceeded the UK Market which returned -14% over the past year.


Shareholder returns

BYGIndustryMarket
7 Day-1.0%0.9%0.1%
30 Day-1.5%-2.5%0.2%
90 Day4.0%-4.2%-1.8%
1 Year3.9%0.8%-12.6%-15.0%-10.6%-14.0%
3 Year52.9%38.2%1.9%-9.6%-4.5%-16.0%
5 Year73.4%46.3%-0.2%-17.6%22.5%-4.8%

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 compared to its fair value and its price relative to the market?

18.66x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BYG (£10.42) is trading above our estimate of fair value (£8.85)

Significantly Below Fair Value: BYG is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: BYG is poor value based on its PE Ratio (18.7x) compared to the GB REITs industry average (17.8x).

PE vs Market: BYG is poor value based on its PE Ratio (18.7x) compared to the UK market (17.7x).


Price to Earnings Growth Ratio

PEG Ratio: BYG is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: BYG is overvalued based on its PB Ratio (1.5x) compared to the GB REITs industry average (0.7x).


Next Steps

Future Growth

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

16.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BYG's forecast earnings growth (16.6% per year) is above the savings rate (1.2%).

Earnings vs Market: BYG's earnings (16.6% per year) are forecast to grow slower than the UK market (23.7% per year).

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

Revenue vs Market: BYG's revenue (3.9% per year) is forecast to grow slower than the UK market (6.3% per year).

High Growth Revenue: BYG's revenue (3.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BYG's Return on Equity is forecast to be low in 3 years time (6.6%).


Next Steps

Past Performance

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

2.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BYG has a large one-off gain of £23.6M impacting its March 31 2020 financial results.

Growing Profit Margin: BYG's current net profit margins (71.3%) are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: BYG's earnings have grown by 2.9% per year over the past 5 years.

Accelerating Growth: BYG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BYG had negative earnings growth (-26.9%) over the past year, making it difficult to compare to the REITs industry average (-27.1%).


Return on Equity

High ROE: BYG's Return on Equity (8%) is considered low.


Next Steps

Financial Health

How is Big Yellow Group's financial position?


Financial Position Analysis

Short Term Liabilities: BYG's short term assets (£59.7M) exceed its short term liabilities (£37.9M).

Long Term Liabilities: BYG's short term assets (£59.7M) do not cover its long term liabilities (£414.5M).


Debt to Equity History and Analysis

Debt Level: BYG's debt to equity ratio (34.4%) is considered satisfactory.

Reducing Debt: BYG's debt to equity ratio has reduced from 38.1% to 34.4% over the past 5 years.

Debt Coverage: BYG's debt is not well covered by operating cash flow (18.4%).

Interest Coverage: BYG's interest payments on its debt are well covered by EBIT (7.6x coverage).


Balance Sheet


Next Steps

Dividend

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

3.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BYG's dividend (3.24%) is higher than the bottom 25% of dividend payers in the UK market (1.86%).

High Dividend: BYG's dividend (3.24%) is low compared to the top 25% of dividend payers in the UK market (5.14%).


Stability and Growth of Payments

Stable Dividend: BYG's dividends per share have been stable in the past 10 years.

Growing Dividend: BYG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (75.7%), BYG's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BYG's dividends in 3 years are forecast to be covered by earnings (70.2% payout ratio).


Next Steps

Management

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

4.9yrs

Average management tenure


CEO

Jim Gibson (59 yo)

22yrs

Tenure

UK£1,136,633

Compensation

Mr. James E. Gibson also known as Jim, 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 Dire ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD1.47M) is about average for companies of similar size in the UK market ($USD1.77M).

Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Nicholas Vetch
Executive Chairman of the Board16.5yrsUK£1.01m3.87%
£ 70.4m
James Gibson
CEO & Director22yrsUK£1.14m1.44%
£ 26.2m
John Trotman
CFO & Director13yrsUK£846.64k0.14%
£ 2.5m
Adrian Lee
Operations Director & Director20.33yrsUK£795.58kno data
Anthony Chenery
Head of Marketing & E-Commerceno datano datano data
Cheryl Hathaway
Head of Human Resourcesno datano datano data
Stuart Grinnall
Head of IT4.58yrsno datano data
David Knight
Head of Facilitiesno datano datano data
Nicola Crosby
Head of Store Operations5.17yrsno datano data
Simon Allen
Head of Development3.92yrsno datano data
Gabriella Zepf
Head of Corporate Social Responsibility3.17yrsno datano data
Celia Login
Head of Customer Services0.33yrno datano data

4.9yrs

Average Tenure

54yo

Average Age

Experienced Management: BYG's management team is considered experienced (4.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Nicholas Vetch
Executive Chairman of the Board16.5yrsUK£1.01m3.87%
£ 70.4m
James Gibson
CEO & Director22yrsUK£1.14m1.44%
£ 26.2m
John Trotman
CFO & Director13yrsUK£846.64k0.14%
£ 2.5m
Adrian Lee
Operations Director & Director20.33yrsUK£795.58kno data
Julia Hailes
Independent Non-Executive Director0.50yrUK£4.26kno data
Richard Cotton
Senior Independent Directorno dataUK£51.10k0.055%
£ 1.0m
James Niblett
Independent Non-Executive Director3.25yrsUK£51.10k0.0017%
£ 31.3k
Anna Keay
Independent Non-Executive Director2.5yrsUK£51.10kno data
Laela Tabrizi
Independent Non-Executive Director0.17yrno datano data

8.1yrs

Average Tenure

58.5yo

Average Age

Experienced Board: BYG's board of directors are considered experienced (8.1 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.3%.


Top Shareholders

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£1.820b
  • Shares outstanding: 174.65m
  • Website: https://www.bigyellow.co.uk

Number of Employees


Location

  • Big Yellow Group Plc
  • Unit 2, The Deans
  • Bridge Road
  • Bagshot
  • Surrey
  • 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 100 stores, including 25 stores branded as Armadillo Self Storage, in which the Group has a 20% interest. We ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/20 04:02
End of Day Share Price2020/09/18 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


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.