LSE:PHP

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Primary Health Properties

Executive Summary

Primary Health Properties (PHP) is the leading investor in modern healthcare properties in the UK & Ireland. More Details


Snowflake Analysis

Average dividend payer with concerning outlook.


Similar Companies

Share Price & News

How has Primary Health Properties's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-1.5%

PHP

-0.3%

GB REITs

-1.0%

GB Market


1 Year Return

3.3%

PHP

-21.4%

GB REITs

-14.8%

GB Market

Return vs Industry: PHP exceeded the UK REITs industry which returned -22.5% over the past year.

Return vs Market: PHP exceeded the UK Market which returned -14.5% over the past year.


Shareholder returns

PHPIndustryMarket
7 Day-1.5%-0.3%-1.0%
30 Day-2.1%-0.9%-1.6%
90 Day-3.2%-20.9%-3.6%
1 Year7.2%3.3%-24.4%-21.4%-11.6%-14.8%
3 Year40.5%23.5%-10.8%-9.9%-8.9%-20.2%
5 Year67.9%34.3%-16.5%-20.4%16.2%-10.0%

Price Volatility Vs. Market

How volatile is Primary Health Properties's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Primary Health Properties undervalued compared to its fair value and its price relative to the market?

23.53x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PHP (£1.46) is trading above our estimate of fair value (£1.28)

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


Price To Earnings Ratio

PE vs Industry: PHP is poor value based on its PE Ratio (23.5x) compared to the GB REITs industry average (16.7x).

PE vs Market: PHP is poor value based on its PE Ratio (23.5x) compared to the UK market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: PHP is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: PHP is overvalued based on its PB Ratio (1.4x) compared to the GB REITs industry average (0.7x).


Next Steps

Future Growth

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

18.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PHP's forecast earnings growth (18% per year) is above the savings rate (1.2%).

Earnings vs Market: PHP's earnings (18% per year) are forecast to grow slower than the UK market (24.2% per year).

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

Revenue vs Market: PHP's revenue (4.3% per year) is forecast to grow slower than the UK market (6% per year).

High Growth Revenue: PHP's revenue (4.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PHP's Return on Equity is forecast to be low in 3 years time (4.2%).


Next Steps

Past Performance

How has Primary Health Properties performed over the past 5 years?

-23.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PHP has a large one-off gain of £15.9M impacting its June 30 2020 financial results.

Growing Profit Margin: PHP became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PHP's earnings have declined by 23.8% per year over the past 5 years.

Accelerating Growth: PHP has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PHP has become profitable in the last year, making it difficult to compare its past year earnings growth to the REITs industry (-24.7%).


Return on Equity

High ROE: PHP's Return on Equity (6%) is considered low.


Next Steps

Financial Health

How is Primary Health Properties's financial position?


Financial Position Analysis

Short Term Liabilities: PHP's short term assets (£78.4M) do not cover its short term liabilities (£150.2M).

Long Term Liabilities: PHP's short term assets (£78.4M) do not cover its long term liabilities (£1.2B).


Debt to Equity History and Analysis

Debt Level: PHP's debt to equity ratio (103.9%) is considered high.

Reducing Debt: PHP's debt to equity ratio has reduced from 214.7% to 103.9% over the past 5 years.

Debt Coverage: PHP's debt is not well covered by operating cash flow (8.2%).

Interest Coverage: PHP's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet


Next Steps

Dividend

What is Primary Health Properties's current dividend yield, its reliability and sustainability?

4.04%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PHP's dividend (4.04%) is higher than the bottom 25% of dividend payers in the UK market (1.82%).

High Dividend: PHP's dividend (4.04%) is low compared to the top 25% of dividend payers in the UK market (5.36%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (60.4%), PHP's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PHP's dividends in 3 years are not forecast to be well covered by earnings (100.7% payout ratio).


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Harry Hyman (64 yo)

24.67yrs

Tenure

UK£47,125

Compensation

Mr. Harry Abraham Hyman has been Independent Non-Executive Chairman at Summit Properties Limited since September 2020. Mr. Hyman is the Founder of Primary Health Properties PLC and serves as its Managing D ...


Leadership Team

NamePositionTenureCompensationOwnership
Harry Hyman
Founder24.67yrsUK£47.13k0.043%
£ 823.0k
Richard Howell
Finance Director & Director3.58yrsno data0.015%
£ 290.3k
Chris Santer
Chief Investment Officer1.58yrsno datano data
Paul Wright
Company Secretary & Chief Legal Counsel4.08yrsno datano data
David Austin
Property Director & Head of Asset Management1.08yrsno datano data
David Bateman
Director & Head of Investments1.75yrsno datano data
Andrew Birch
Head of Property Servicesno datano datano data
Michelle Whitfield
Head of Property Servicesno datano datano data
Tim Walker-Arnott
Advisory Directorno datano datano data

2.7yrs

Average Tenure

Experienced Management: PHP's management team is considered experienced (2.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Harry Hyman
Founder24.67yrsUK£47.13k0.043%
£ 823.0k
Richard Howell
Finance Director & Director3.58yrsno data0.015%
£ 290.3k
Steven Owen
Independent Non-Executive Chairman2.5yrsUK£137.38k0.0066%
£ 125.7k
Peter William Cole
Independent Non-Executive Director2.42yrsUK£47.88k0.0057%
£ 109.6k
Marie-Laure Duhot
Independent Non-executive Director1.58yrsUK£43.96k0.0018%
£ 33.8k
Ian Krieger
Senior Independent Director0.50yrUK£57.88k0.0077%
£ 148.1k

2.5yrs

Average Tenure

62yo

Average Age

Experienced Board: PHP's board of directors are not considered experienced ( 2.5 years average tenure), which suggests a new board.


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 8.2%.


Top Shareholders

Company Information

Primary Health Properties PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Primary Health Properties PLC
  • Ticker: PHP
  • Exchange: LSE
  • Founded: 1995
  • Industry: Health Care REITs
  • Sector: Real Estate
  • Market Cap: UK£1.919b
  • Shares outstanding: 1.31b
  • Website: https://www.phpgroup.co.uk

Location

  • Primary Health Properties PLC
  • Greener House
  • 5th Floor
  • London
  • East Lothian
  • SW1Y 4RF
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PHPLSE (London Stock Exchange)YesOrdinary SharesGBGBPMar 1996
PP51DB (Deutsche Boerse AG)YesOrdinary SharesDEEURMar 1996
PHPLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPMar 1996

Biography

Primary Health Properties (PHP) is the leading investor in modern healthcare properties in the UK & Ireland. PHP is a UK based Real Estate Investment Trust (REIT) with a clear objective to create progressi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/20 22:02
End of Day Share Price2020/10/20 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.