LSE:LSL

Stock Analysis Report

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Executive Summary

LSL Property Services plc provides residential property services for lenders, buyers and sellers of residential properties, tenants, and landlords in the United Kingdom. More Details


Snowflake Analysis

Good value with proven track record.


Similar Companies

Share Price & News

How has LSL Property Services's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-1.8%

LSL

-2.2%

GB Real Estate

-1.0%

GB Market


1 Year Return

-8.1%

LSL

-17.5%

GB Real Estate

-14.8%

GB Market

Return vs Industry: LSL exceeded the UK Real Estate industry which returned -17.5% over the past year.

Return vs Market: LSL exceeded the UK Market which returned -14.8% over the past year.


Shareholder returns

LSLIndustryMarket
7 Day-1.8%-2.2%-1.0%
30 Day-2.3%-0.3%-1.6%
90 Day1.4%2.6%-3.6%
1 Year-8.1%-8.1%-16.3%-17.5%-11.6%-14.8%
3 Year3.3%-6.0%-16.1%-22.4%-8.9%-20.2%
5 Year-21.4%-34.8%4.5%-10.2%16.2%-10.0%

Price Volatility Vs. Market

How volatile is LSL Property Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is LSL Property Services undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: LSL (£2.16) is trading below our estimate of fair value (£20.09)

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


Price To Earnings Ratio

PE vs Industry: LSL is good value based on its PE Ratio (12.7x) compared to the GB Real Estate industry average (14.2x).

PE vs Market: LSL is good value based on its PE Ratio (12.7x) compared to the UK market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: LSL is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: LSL is overvalued based on its PB Ratio (1.6x) compared to the GB Real Estate industry average (0.8x).


Next Steps

Future Growth

How is LSL Property Services forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

8.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: LSL's forecast earnings growth (8.4% per year) is above the savings rate (1.2%).

Earnings vs Market: LSL's earnings (8.4% per year) are forecast to grow slower than the UK market (24.2% per year).

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

Revenue vs Market: LSL's revenue (6.5% per year) is forecast to grow faster than the UK market (6% per year).

High Growth Revenue: LSL's revenue (6.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: LSL's Return on Equity is forecast to be low in 3 years time (11.8%).


Next Steps

Past Performance

How has LSL Property Services performed over the past 5 years?

-14.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LSL has high quality earnings.

Growing Profit Margin: LSL's current net profit margins (6.4%) are higher than last year (3%).


Past Earnings Growth Analysis

Earnings Trend: LSL's earnings have declined by 14% per year over the past 5 years.

Accelerating Growth: LSL's earnings growth over the past year (77.3%) exceeds its 5-year average (-14% per year).

Earnings vs Industry: LSL earnings growth over the past year (77.3%) exceeded the Real Estate industry -17.3%.


Return on Equity

High ROE: LSL's Return on Equity (12.3%) is considered low.


Next Steps

Financial Health

How is LSL Property Services's financial position?


Financial Position Analysis

Short Term Liabilities: LSL's short term assets (£49.5M) do not cover its short term liabilities (£97.2M).

Long Term Liabilities: LSL's short term assets (£49.5M) do not cover its long term liabilities (£66.2M).


Debt to Equity History and Analysis

Debt Level: LSL's debt to equity ratio (26.4%) is considered satisfactory.

Reducing Debt: LSL's debt to equity ratio has reduced from 94.6% to 26.4% over the past 5 years.

Debt Coverage: LSL's debt is well covered by operating cash flow (169.6%).

Interest Coverage: LSL's interest payments on its debt are well covered by EBIT (9.3x coverage).


Balance Sheet


Next Steps

Dividend

What is LSL Property Services's current dividend yield, its reliability and sustainability?

3.70%

Forecast Dividend Yield


Dividend Yield vs Market

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

High Dividend: Unable to evaluate LSL'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 LSL's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

4.3yrs

Average management tenure


CEO

David Stewart (55 yo)

0.42

Tenure

UK£50,000

Compensation

Mr. David Stewart, BA, ACA, has been Group Chief Executive Officer and Executive Director of LSL Property Services plc since May 1, 2020. Mr. Stewart served as Senior Independent Director at Brooks Macdona ...


Leadership Team

NamePositionTenureCompensationOwnership
David Stewart
Group CEO & Executive Director0.42yrUK£50.00kno data
Adam Castleton
Group CFO & Executive Director4.58yrsUK£513.08k0.0041%
£ 9.4k
Helen Buck
Executive Director of Estate Agency & Executive Director8.83yrsUK£513.56k0.0031%
£ 7.2k
Sapna FitzGerald
General Counsel & Company Secretary16.75yrsno datano data
Melanie Cowell
PR Managerno datano datano data
David Walsh
Head of Risk & Auditno datano datano data

4.3yrs

Average Tenure

56yo

Average Age

Experienced Management: LSL's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Stewart
Group CEO & Executive Director0.42yrUK£50.00kno data
Adam Castleton
Group CFO & Executive Director4.58yrsUK£513.08k0.0041%
£ 9.4k
Helen Buck
Executive Director of Estate Agency & Executive Director8.83yrsUK£513.56k0.0031%
£ 7.2k
William Mervyn Frew Shannon
Non Executive Deputy Chairman & Senior Independent Director5.75yrsUK£78.00k0.024%
£ 56.2k
Simon Embley
Non Executive Chairman5.75yrsUK£158.50k6.54%
£ 15.0m
Darrell Evans
Independent Non Executive Director1.67yrsUK£38.50kno data
Gaby Appleton
Independent Non Executive Director1.08yrsUK£14.67kno data

5.4yrs

Average Tenure

59yo

Average Age

Experienced Board: LSL's board of directors are considered experienced (5.4 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

LSL Property Services plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: LSL Property Services plc
  • Ticker: LSL
  • Exchange: LSE
  • Founded: 2004
  • Industry: Real Estate Services
  • Sector: Real Estate
  • Market Cap: UK£230.090m
  • Shares outstanding: 103.64m
  • Website: https://www.lslps.co.uk

Number of Employees


Location

  • LSL Property Services plc
  • 1 Sun Street
  • London
  • Greater London
  • EC2A 2EP
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LSLLSE (London Stock Exchange)YesOrdinary SharesGBGBPNov 2006
LSLP.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 2006
LSLLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPNov 2006

Biography

LSL Property Services plc provides residential property services for lenders, buyers and sellers of residential properties, tenants, and landlords in the United Kingdom. It operates through three segments: ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/21 20:50
End of Day Share Price2020/10/21 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.