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NRR

NewRiver REIT LSE:NRR Stock Report

Last Price

UK£0.93

Market Cap

UK£283.5m

7D

6.3%

1Y

-6.4%

Updated

17 May, 2022

Data

Company Financials +
NRR fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance0/6
Financial Health3/6
Dividends4/6

NRR Stock Overview

NewRiver REIT plc (‘NewRiver’) is a leading Real Estate Investment Trust specialising in buying, managing and developing essential retail and leisure assets throughout the UK.

NewRiver REIT Competitors

Price History & Performance

Summary of all time highs, changes and price drops for NewRiver REIT
Historical stock prices
Current Share PriceUK£0.93
52 Week HighUK£1.07
52 Week LowUK£0.70
Beta1.11
1 Month Change2.55%
3 Month Change1.09%
1 Year Change-6.38%
3 Year Change-59.70%
5 Year Change-73.34%
Change since IPO-63.73%

Recent News & Updates

Shareholder Returns

NRRGB REITsGB Market
7D6.3%4.6%3.1%
1Y-6.4%1.9%-3.2%

Return vs Industry: NRR underperformed the UK REITs industry which returned 1.9% over the past year.

Return vs Market: NRR underperformed the UK Market which returned -3.2% over the past year.

Price Volatility

Is NRR's price volatile compared to industry and market?
NRR volatility
NRR Average Weekly Movement4.9%
REITs Industry Average Movement3.6%
Market Average Movement6.2%
10% most volatile stocks in GB Market11.8%
10% least volatile stocks in GB Market3.2%

Stable Share Price: NRR is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: NRR's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
200956Allan Lockharthttps://www.nrr.co.uk

NewRiver REIT plc (‘NewRiver’) is a leading Real Estate Investment Trust specialising in buying, managing and developing essential retail and leisure assets throughout the UK. Our £1.1 billion portfolio covers 9 million sq ft and comprises 33 community shopping centres, 24 conveniently located retail parks and 700 community pubs. We hand-picked our assets to deliberately focus on occupiers providing essential goods and services, and avoid structurally challenged sub-sectors such as department stores, mid-market fashion and casual dining.

NewRiver REIT Fundamentals Summary

How do NewRiver REIT's earnings and revenue compare to its market cap?
NRR fundamental statistics
Market CapUK£283.53m
Earnings (TTM)-UK£87.80m
Revenue (TTM)UK£88.20m

3.2x

P/S Ratio

-3.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NRR income statement (TTM)
RevenueUK£88.20m
Cost of RevenueUK£41.50m
Gross ProfitUK£46.70m
Other ExpensesUK£134.50m
Earnings-UK£87.80m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

Jun 07, 2022

Earnings per share (EPS)-0.28
Gross Margin52.95%
Net Profit Margin-99.55%
Debt/Equity Ratio73.6%

How did NRR perform over the long term?

See historical performance and comparison

Dividends

8.9%

Current Dividend Yield

17%

Payout Ratio

Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


0.71x

Price to Book (PB) ratio

Share Price vs. Fair Value

Below Fair Value: NRR (£0.93) is trading above our estimate of fair value (£0.26)

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


Price To Earnings Ratio

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

PE vs Market: NRR 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 NRR's PEG Ratio to determine if it is good value.


Price to Book Ratio

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


Future Growth

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

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


105.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: NRR's revenue is expected to decline over the next 3 years (-0.3% per year).

High Growth Revenue: NRR's revenue is forecast to decline over the next 3 years (-0.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if NRR's Return on Equity is forecast to be high in 3 years time


Past Performance

How has NewRiver REIT performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-63.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NRR is currently unprofitable.

Growing Profit Margin: NRR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NRR is unprofitable, and losses have increased over the past 5 years at a rate of 63.9% per year.

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

Earnings vs Industry: NRR is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (129.6%).


Return on Equity

High ROE: NRR has a negative Return on Equity (-21.84%), as it is currently unprofitable.


Financial Health

How is NewRiver REIT's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: NRR's short term assets (£69.4M) exceed its short term liabilities (£42.8M).

Long Term Liabilities: NRR's short term assets (£69.4M) do not cover its long term liabilities (£374.9M).


Debt to Equity History and Analysis

Debt Level: NRR's net debt to equity ratio (65%) is considered high.

Reducing Debt: NRR's debt to equity ratio has increased from 60.7% to 73.6% over the past 5 years.


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 NRR has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: NRR is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 15.3% per year.


Dividend

What is NewRiver REIT current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


8.86%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: NRR's dividend (8.86%) is higher than the bottom 25% of dividend payers in the UK market (1.8%).

High Dividend: NRR's dividend (8.86%) is in the top 25% of dividend payers in the UK market (4.84%)


Stability and Growth of Payments

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

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


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (16.7%), NRR's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (114.3%), NRR's dividend payments are not well covered by cash flows.


Next Steps

Management

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

3.0yrs

Average management tenure


CEO

Allan Lockhart (56 yo)

13.33yrs

Tenure

UK£637,339

Compensation

Mr. Allan Lockhart serves as the Chief Executive Officer of NewRiver REIT plc since May 1, 2018 and serves as its Director since November 19, 2010. Mr. Lockhart Founded NewRiver REIT plc in 2009. He served...


CEO Compensation Analysis

Compensation vs Market: Allan's total compensation ($USD794.70K) is about average for companies of similar size in the UK market ($USD1.01M).

Compensation vs Earnings: Allan's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: NRR's management team is considered experienced (3 years average tenure).


Board Members

Experienced Board: NRR's board of directors are considered experienced (4.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: NRR 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

NewRiver REIT plc's employee growth, exchange listings and data sources


Key Information

  • Name: NewRiver REIT plc
  • Ticker: NRR
  • Exchange: LSE
  • Founded: 2009
  • Industry: Retail REITs
  • Sector: Real Estate
  • Implied Market Cap: UK£283.527m
  • Shares outstanding: 308.18m
  • Website: https://www.nrr.co.uk

Number of Employees


Location

  • NewRiver REIT plc
  • Level 1 Prince Frederick House
  • 16 New Burlington Place
  • London
  • East Lothian
  • W1S 2HX
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/17 00:00
End of Day Share Price2022/05/17 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.