LSE:LAND

Stock Analysis Report

Executive Summary

At Landsec, we believe great places are for people to experience and are made with the experience of great people.

Snowflake

Fundamentals

Moderate growth potential second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

5.8%

LAND

3.3%

GB REITs

1.1%

GB Market


1 Year Return

10.0%

LAND

7.9%

GB REITs

2.7%

GB Market

Return vs Industry: LAND exceeded the UK REITs industry which returned 7.9% over the past year.

Return vs Market: LAND exceeded the UK Market which returned 2.7% over the past year.


Shareholder returns

LANDIndustryMarket
7 Day5.8%3.3%1.1%
30 Day7.1%4.6%-1.7%
90 Day6.4%6.0%-2.7%
1 Year16.1%10.0%12.8%7.9%7.8%2.7%
3 Year4.2%-15.3%26.4%8.5%19.3%4.7%
5 Year4.3%-20.0%40.3%12.4%38.0%8.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

29.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: LAND (£8.92) is trading below our estimate of fair value (£12.62)

Significantly Undervalued: LAND is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: LAND is unprofitable, so we can't compare its PE Ratio to the REITs industry average.

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: LAND is good value based on its PB Ratio (0.7x) compared to the GB REITs industry average (0.9x).


Next Steps

Future Growth

How is Land Securities Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

53.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LAND is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.2%).

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

High Growth Earnings: LAND's loss is forecast to worsen by 0% next year.

Revenue vs Market: LAND's revenue is expected to decline over the next 3 years (-2.6% per year).

High Growth Revenue: LAND's revenue is forecast to decline over the next 3 years (-2.6%).


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: LAND's Return on Equity is forecast to be low in 3 years time (6.9%).


Next Steps

Past Performance

How has Land Securities Group performed over the past 5 years?

-55.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: LAND is unprofitable, and losses have increased over the past 5 years at a rate of -55.7% per year.

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

Earnings vs Industry: LAND is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (-16.8%).


Return on Equity

High ROE: LAND has a negative Return on Equity (-1.2%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: LAND is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: LAND is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Land Securities Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: LAND has a low level of unsold assets or inventory.

Debt Coverage by Assets: LAND's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

Asset Level: LAND's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if LAND has a sufficient allowance for bad loans.

Low Risk Liabilities: LAND reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if LAND has an acceptable proportion of non-loan assets held.

Low Risk Deposits: LAND has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if LAND has an appropriate level of bad loans.


Next Steps

Dividend

What is Land Securities Group's current dividend yield, its reliability and sustainability?

5.11%

Current Dividend Yield


Dividend Yield vs Market

company5.1%marketbottom25%2.0%markettop25%5.4%industryaverage4.1%forecastin3Years5.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: LAND's dividend (5.11%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).

High Dividend: LAND's dividend (5.11%) is low compared to the top 25% of dividend payers in the UK market (5.44%).

Stable Dividend: LAND's dividend payments have been volatile in the past 10 years.

Growing Dividend: LAND's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (79.7%), LAND's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: LAND's dividends in 3 years are forecast to be covered by earnings (85% payout ratio).


Next Steps

Management

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

8.6yrs

Average management tenure


CEO

Rob Noel (55yo)

7.5yrs

Tenure

UK£1,624,000

Compensation

Mr. Robert M. Noel, known as Rob, BSc, MRICS, serves as Independent Non Executive Director of Taylor Wimpey plc since October 01, 2019. Mr. Noel has been the Chief Executive Officer of Land Securities Grou ...


CEO Compensation Analysis

Compensation vs. Market: Rob's total compensation ($USD2.04M) is about average for companies of similar size in the UK market ($USD3.35M).

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


Management Age and Tenure

8.6yrs

Average Tenure

54yo

Average Age

Experienced Management: LAND's management team is seasoned and experienced (8.6 years average tenure).


Board Age and Tenure

3.0yrs

Average Tenure

54.5yo

Average Age

Experienced Board: LAND's board of directors are considered experienced (3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUK£280,21115 May 19
Cressida Hogg
EntityIndividual
Role
Chairman of the Board
Non-executive Chairman
Shares32,000
Max PriceUK£8.76
BuyUK£26,62614 May 19
Nicholas Cadbury
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares3,000
Max PriceUK£8.88

Ownership Breakdown


Management Team

  • Martin Wood

    Group Head of Tax & Treasury

    • Tenure: 0yrs
  • Martin Greenslade (54yo)

    CFO & Director

    • Tenure: 14.1yrs
    • Compensation: UK£1.06m
  • Rob Noel (55yo)

    CEO & Director

    • Tenure: 7.5yrs
    • Compensation: UK£1.62m
  • Scott Parsons (49yo)

    Executive Officer

    • Tenure: 9.8yrs
    • Compensation: UK£707.88k
  • Jill Brady

    Group Human Resources Director

    • Tenure: 0.8yrs
  • Neil Pennell

    Head of Design Innovation & Property Solutions

    • Tenure: 11.5yrs
  • Colette O'Shea (51yo)

    MD of London & Retail Portfolios and Director

    • Tenure: 1.8yrs
    • Compensation: UK£827.00k
  • Marc Geddes

    Head of Property for London Portfolio

    • Tenure: 0yrs
  • Tim Ashby (57yo)

    Group General Counsel & Company Secretary

    • Tenure: 0yrs
  • Ed Thacker

    Head of Investor Relations

    • Tenure: 0yrs

Board Members

  • Christophe Evain (57yo)

    Independent Non-Executive Director

    • Tenure: 0.5yrs
  • Chris Bartram (70yo)

    Non-Executive Director

    • Tenure: 10.2yrs
    • Compensation: UK£70.00k
  • Cressida Hogg (49yo)

    Non-executive Chairman

    • Tenure: 1.3yrs
    • Compensation: UK£290.00k
  • Edward H. Carter (58yo)

    Senior Independent Director

    • Tenure: 3.3yrs
    • Compensation: UK£84.00k
  • Nick Cadbury (53yo)

    Independent Non-Executive Director

    • Tenure: 2.8yrs
    • Compensation: UK£90.00k
  • Martin Greenslade (54yo)

    CFO & Director

    • Tenure: 14.1yrs
    • Compensation: UK£1.06m
  • Rob Noel (55yo)

    CEO & Director

    • Tenure: 7.5yrs
    • Compensation: UK£1.62m
  • Colette O'Shea (51yo)

    MD of London & Retail Portfolios and Director

    • Tenure: 1.8yrs
    • Compensation: UK£827.00k
  • Stacey Rauch (61yo)

    Non-Executive Director

    • Tenure: 7.8yrs
    • Compensation: UK£73.00k
  • Madeleine Cosgrave (52yo)

    Independent Non-Executive Director

    • Tenure: 0.8yrs
    • Compensation: UK£18.00k

Company Information

Land Securities Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Land Securities Group plc
  • Ticker: LAND
  • Exchange: LSE
  • Founded: 1944
  • Industry: Diversified REITs
  • Sector: Real Estate
  • Market Cap: UK£6.603b
  • Shares outstanding: 740.38m
  • Website: https://www.landsec.com

Number of Employees


Location

  • Land Securities Group plc
  • 100 Victoria Street
  • London
  • East Lothian
  • SW1E 5JL
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LSGO.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
LANDLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
LSU2DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
LANDLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992
LDSC.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDNov 2016

Biography

At Landsec, we believe great places are for people to experience and are made with the experience of great people. As one of the largest real estate companies in Europe, our £13.8 billion portfolio spans 2 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 20:36
End of Day Share Price2019/10/14 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.