LSE:SHB

Stock Analysis Report

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Executive Summary

Shaftesbury is a Real Estate Investment Trust which invests exclusively in the liveliest parts of London's West End.


Snowflake Analysis

Reasonable growth potential and overvalued.


Similar Companies

Share Price & News

How has Shaftesbury's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SHB's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.9%

SHB

1.1%

GB REITs

0.1%

GB Market


1 Year Return

-34.3%

SHB

-15.4%

GB REITs

-15.3%

GB Market

Return vs Industry: SHB underperformed the UK REITs industry which returned -15.4% over the past year.

Return vs Market: SHB underperformed the UK Market which returned -15.3% over the past year.


Shareholder returns

SHBIndustryMarket
7 Day0.9%1.1%0.1%
30 Day-20.0%-6.0%-2.7%
90 Day-10.1%10.2%16.9%
1 Year-33.6%-34.3%-12.6%-15.4%-11.4%-15.3%
3 Year-42.7%-45.3%-2.3%-14.1%-3.4%-15.2%
5 Year-33.8%-38.9%-2.6%-20.3%15.4%-10.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.61x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: SHB (£5.32) is trading above our estimate of fair value (£3.06)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: SHB is good value based on its PB Ratio (0.6x) compared to the GB REITs industry average (0.7x).


Next Steps

Future Growth

How is Shaftesbury forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

108.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: SHB's revenue (8.1% per year) is forecast to grow faster than the UK market (3.4% per year).

High Growth Revenue: SHB's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SHB's Return on Equity is forecast to be low in 3 years time (2.3%).


Next Steps

Past Performance

How has Shaftesbury performed over the past 5 years?

-43.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SHB is currently unprofitable.

Growing Profit Margin: SHB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SHB is unprofitable, and losses have increased over the past 5 years at a rate of -43.9% per year.

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

Earnings vs Industry: SHB is unprofitable, making it difficult to compare its past year earnings growth to the REITs industry (-9%).


Return on Equity

High ROE: SHB has a negative Return on Equity (-11.16%), as it is currently unprofitable.


Next Steps

Financial Health

How is Shaftesbury's financial position?


Financial Position Analysis

Short Term Liabilities: SHB's short term assets (£204.2M) exceed its short term liabilities (£30.8M).

Long Term Liabilities: SHB's short term assets (£204.2M) do not cover its long term liabilities (£1.1B).


Debt to Equity History and Analysis

Debt Level: SHB's debt to equity ratio (40.9%) is considered high.

Reducing Debt: SHB's debt to equity ratio has increased from 34.5% to 40.9% over the past 5 years.

Debt Coverage: SHB's debt is not well covered by operating cash flow (3.3%).

Interest Coverage: SHB is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

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

1.84%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

2.7yrs

Average management tenure


CEO

Brian Bickell (66yo)

8.75yrs

Tenure

UK£1,083,000

Compensation

Mr. Brian Bickell, FCA serves as Director at Shaftesbury Chinatown PLC. He is Director of Shaftesbury Carnaby PLC. He has been the Chief Executive Officer of Shaftesbury Plc since October 1, 2011 and its E ...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD1.35M) is about average for companies of similar size in the UK market ($USD1.86M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Brian Bickell
CEO & Executive Director8.75yrsUK£1.08m0.42% £6.9m
Christopher Peter Ward
Finance Director & Executive Director8.5yrsUK£793.00k0.062% £1.0m
Thomas Chisnell Welton
Property Director & Executive Director22.75yrsUK£794.00k0.30% £4.9m
Simon Quayle
Property Director & Executive Director22.75yrsUK£806.00k0.37% £6.0m
Karen Baines
Head of Group Marketing & Communicationsno datano datano data
Shelley Webb
Head of Residential4.58yrsno datano data
Samantha Bain-Mollison
Head of Retail2.67yrsno datano data
Lydia Clarkson
Head of Public Realm2.42yrsno datano data
Matt Smith
Head of Sustainability0.17yrno datano data
Stefanie Doede
Group Financial Controller2.5yrsno datano data

2.7yrs

Average Tenure

60.5yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Brian Bickell
CEO & Executive Director8.75yrsUK£1.08m0.42% £6.9m
Christopher Peter Ward
Finance Director & Executive Director8.5yrsUK£793.00k0.062% £1.0m
Thomas Chisnell Welton
Property Director & Executive Director22.75yrsUK£794.00k0.30% £4.9m
Simon Quayle
Property Director & Executive Director22.75yrsUK£806.00k0.37% £6.0m
Dermot Colin Mathias
Independent Non-Executive Director7.75yrsUK£67.00k0.0053% £86.1k
Richard Akers
Senior Independent Director1.5yrsUK£63.00k0.0039% £63.8k
Jonathan Nicholls
Independent Non-Executive Chairman3.75yrsUK£225.00k0.015% £239.2k
Jennelle Tilling
Non-Executive Director1.5yrsUK£43.00kno data
Sally Walden
Independent Non-Executive Director7.75yrsUK£67.00k0.020% £319.0k

7.8yrs

Average Tenure

61yo

Average Age

Experienced Board: SHB's board of directors are considered experienced (7.8 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

Shaftesbury PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Shaftesbury PLC
  • Ticker: SHB
  • Exchange: LSE
  • Founded: 1986
  • Industry: Retail REITs
  • Sector: Real Estate
  • Market Cap: UK£1.631b
  • Shares outstanding: 306.80m
  • Website: https://www.shaftesbury.co.uk

Number of Employees


Location

  • Shaftesbury PLC
  • 22 Ganton Street
  • Carnaby
  • London
  • East Lothian
  • W1F 7FD
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SHBLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
OVWDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
SHAB.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
SHBLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992

Biography

Shaftesbury is a Real Estate Investment Trust which invests exclusively in the liveliest parts of London's West End. Focused on food, beverage, retail and leisure, our portfolio is clustered mainly in Carnaby, Seven Dials and Chinatown, but also includes substantial ownerships in East and West Covent Garden, Soho and Fitzrovia. Extending to 15.2 acres, the portfolio comprises 607 restaurants, cafés, pubs and shops, extending to 1.1 million sq. ft., 0.4 million sq. ft. of offices and 616 apartments. All our properties are close to the main West End Underground stations, and within ten minutes' walk of the two West End transport hubs for the Elizabeth Line, at Tottenham Court Road and Bond Street. In addition, we have a 50% interest in the Longmartin joint venture, which has a long leasehold interest, extending to 1.9 acres, in St Martin's Courtyard in Covent Garden. We have a strong balance sheet with conservative leverage. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/04 20:56
End of Day Share Price2020/07/03 00:00
Earnings2020/03/31
Annual Earnings2019/09/30


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.