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IWG

IWGLSE:IWG Stock Report

Market Cap

UK£2.8b

7D

-5.1%

1Y

-20.5%

Updated

30 Nov, 2021

Data

Company Financials +
IWG fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance0/6
Financial Health3/6
Dividends0/6

IWG Stock Overview

IWG plc, together with its subsidiaries, provides workspace solutions in the Americas, Europe, the Middle East, Africa, the Asia Pacific, the United Kingdom, and internationally.

Rewards

Earnings are forecast to grow 80.37% per year

Risk Analysis

No risks detected for IWG from our risk checks.

IWG Competitors

WeWork

NYSE:WE

US$6.2b

Price History & Performance

Summary of all time highs, changes and price drops for IWG
Historical stock prices
Current Share PriceUK£2.80
52 Week HighUK£3.88
52 Week LowUK£2.70
Beta2
1 Month Change-9.69%
3 Month Change-7.91%
1 Year Change-20.51%
3 Year Change23.95%
5 Year Changen/a
Change since IPO12.38%

Recent News & Updates

Nov 08
Is IWG (LON:IWG) Using Debt In A Risky Way?

Is IWG (LON:IWG) Using Debt In A Risky Way?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Sep 23
Is IWG plc (LON:IWG) Worth UK£2.9 Based On Its Intrinsic Value?

Is IWG plc (LON:IWG) Worth UK£2.9 Based On Its Intrinsic Value?

In this article we are going to estimate the intrinsic value of IWG plc ( LON:IWG ) by taking the expected future cash...

Shareholder Returns

IWGGB Real EstateGB Market
7D-5.1%-2.7%-2.6%
1Y-20.5%9.2%10.9%

Return vs Industry: IWG underperformed the UK Real Estate industry which returned 13.9% over the past year.

Return vs Market: IWG underperformed the UK Market which returned 13.8% over the past year.

Price Volatility

Is IWG's price volatile compared to industry and market?
IWG volatility
IWG Average Weekly Movement4.3%
Real Estate Industry Average Movement3.9%
Market Average Movement4.9%
10% most volatile stocks in GB Market9.8%
10% least volatile stocks in GB Market2.5%

Stable Share Price: IWG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

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

About the Company

FoundedEmployeesCEOWebsite
198912,000Mark Dixonhttps://www.iwgplc.com

IWG plc, together with its subsidiaries, provides workspace solutions in the Americas, Europe, the Middle East, Africa, the Asia Pacific, the United Kingdom, and internationally. The company offers co working and office space; virtual and membership offices, as well as lounges; private workshop, professional, and flexible and scalable spaces; meeting rooms; and reception services and conference products. It provides its services to property owners and investors, landlords, franchisees, brokers, and various other customers under the Regus, Spaces, No18, HQ, and Signature, as well as Open Office, The Clubhouse, The Office Operators, Stop & Work, BizDojo, and Basepoint brands.

IWG Fundamentals Summary

How do IWG's earnings and revenue compare to its market cap?
IWG fundamental statistics
Market CapUK£2.82b
Earnings (TTM)-UK£582.30m
Revenue (TTM)UK£2.23b

1.3x

P/S Ratio

-4.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IWG income statement (TTM)
RevenueUK£2.23b
Cost of RevenueUK£1.93b
Gross ProfitUK£294.20m
ExpensesUK£876.50m
Earnings-UK£582.30m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Mar 01, 2022

Earnings per share (EPS)-0.58
Gross Margin13.22%
Net Profit Margin-26.16%
Debt/Equity Ratio150.3%

How did IWG perform over the long term?

See historical performance and comparison

Valuation

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

8.67x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: IWG (£2.8) is trading above our estimate of fair value (£2.56)

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


Price To Earnings Ratio

PE vs Industry: IWG is unprofitable, so we can't compare its PE Ratio to the UK Real Estate industry average.

PE vs Market: IWG is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate IWG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IWG is overvalued based on its PB Ratio (8.7x) compared to the GB Real Estate industry average (1x).


Future Growth

How is IWG forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

80.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IWG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.9%).

Earnings vs Market: IWG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: IWG's is expected to become profitable in the next 3 years.

Revenue vs Market: IWG's revenue (10.9% per year) is forecast to grow faster than the UK market (4.9% per year).

High Growth Revenue: IWG's revenue (10.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IWG's Return on Equity is forecast to be high in 3 years time (27.1%)


Past Performance

How has IWG performed over the past 5 years?

-72.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IWG is currently unprofitable.

Growing Profit Margin: IWG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IWG is unprofitable, and losses have increased over the past 5 years at a rate of 72.4% per year.

Accelerating Growth: Unable to compare IWG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: IWG is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (38.5%).


Return on Equity

High ROE: IWG has a negative Return on Equity (-173.77%), as it is currently unprofitable.


Financial Health

How is IWG's financial position?


Financial Position Analysis

Short Term Liabilities: IWG's short term assets (£810.9M) do not cover its short term liabilities (£2.1B).

Long Term Liabilities: IWG's short term assets (£810.9M) do not cover its long term liabilities (£6.0B).


Debt to Equity History and Analysis

Debt Level: IWG's net debt to equity ratio (123.3%) is considered high.

Reducing Debt: IWG had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable IWG has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: IWG is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 44.3% per year.


Dividend

What is IWG current dividend yield, its reliability and sustainability?

1.50%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate IWG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate IWG's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IWG's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IWG's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: IWG is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IWG'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?

5.1yrs

Average board tenure


CEO

Mark Dixon (62 yo)

no data

Tenure

UK£1,292,500

Compensation

Mr. Mark Dixon is the Founder of IWG Plc (formerly, Regus Plc) and serves as its Group Chief Executive Officer. Mr. Dixon serves as the Chief Executive Officer and Director at Regus Business Center Corp. M...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD1.71M) is about average for companies of similar size in the UK market ($USD1.75M).

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


Board Members

Experienced Board: IWG's board of directors are considered experienced (5.1 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

IWG plc's employee growth, exchange listings and data sources


Key Information

  • Name: IWG plc
  • Ticker: IWG
  • Exchange: LSE
  • Founded: 1989
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Market Cap: UK£2.816b
  • Shares outstanding: 1.01b
  • Website: https://www.iwgplc.com

Number of Employees


Location

  • IWG plc
  • Dammstrasse 19
  • Zug
  • Zug
  • 6300
  • Switzerland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 21:36
End of Day Share Price2021/11/30 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.