ASC

ASOSAIM:ASC Stock Report

Market Cap

UK£3.2b

7D

-0.8%

1Y

-37.1%

Updated

18 Sep, 2021

Data

Company Financials +
ASC fundamental analysis
Snowflake Score
Valuation5/6
Future Growth2/6
Past Performance5/6
Financial Health5/6
Dividends0/6

ASC Overview

ASOS Plc operates as an online fashion retailer in the United Kingdom, the United States, Australia, France, Germany, Spain, Italy, Sweden, the Netherlands, Denmark, Poland, and Russia.

ASOS Competitors

Price History & Performance

Summary of all time highs, changes and price drops for ASOS
Historical stock prices
Current Share PriceUK£31.88
52 Week HighUK£29.91
52 Week LowUK£59.95
Beta2.66
1 Month Change-20.64%
3 Month Change-32.88%
1 Year Change-37.07%
3 Year Change-45.65%
5 Year Change-33.07%
Change since IPO12,652.00%

Recent News & Updates

Aug 26
ASOS' (LON:ASC) Returns On Capital Not Reflecting Well On The Business

ASOS' (LON:ASC) Returns On Capital Not Reflecting Well On The Business

What are the early trends we should look for to identify a stock that could multiply in value over the long term...

Jul 17
Does ASOS (LON:ASC) Deserve A Spot On Your Watchlist?

Does ASOS (LON:ASC) Deserve A Spot On Your Watchlist?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Jul 02
ASOS Plc (LON:ASC) Shares Could Be 25% Below Their Intrinsic Value Estimate

ASOS Plc (LON:ASC) Shares Could Be 25% Below Their Intrinsic Value Estimate

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of ASOS Plc ( LON:ASC...

Shareholder Returns

ASCGB Online RetailGB Market
7D-0.8%-5.4%-1.0%
1Y-37.1%-12.3%19.2%

Return vs Industry: ASC underperformed the UK Online Retail industry which returned -12.3% over the past year.

Return vs Market: ASC underperformed the UK Market which returned 19.2% over the past year.

Price Volatility

Is ASC's price volatile compared to industry and market?
ASC volatility
ASC Beta2.66
Industry Beta1.67
Market Beta1

Stable Share Price: ASC is more volatile than 75% of UK stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: ASC's weekly volatility (7%) has been stable over the past year, but is still higher than 75% of UK stocks.

About the Company

FoundedEmployeesCEOWebsite
20003,824Nick Beightonhttps://www.asosplc.com

ASOS Plc operates as an online fashion retailer in the United Kingdom, the United States, Australia, France, Germany, Spain, Italy, Sweden, the Netherlands, Denmark, Poland, and Russia. It offers womenswear and menswear products. The company sells approximately 85,000 products under the ASOS Design, ASOS Edition, ASOS 4505, and Collusion brands, a well as other global and local third-party brands products primarily through its website, asos.com, as well as through social media platforms.

ASOS Fundamentals Summary

How do ASOS's earnings and revenue compare to its market cap?
ASC fundamental statistics
Market CapUK£3.17b
Earnings (TTM)UK£172.00m
Revenue (TTM)UK£3.64b

18.5x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ASC income statement (TTM)
RevenueUK£3.64b
Cost of RevenueUK£1.96b
Gross ProfitUK£1.69b
ExpensesUK£1.52b
EarningsUK£172.00m

Last Reported Earnings

Feb 28, 2021

Next Earnings Date

Oct 13, 2021

Earnings per share (EPS)1.76
Gross Margin46.32%
Net Profit Margin4.72%
Debt/Equity Ratio0%

How did ASC perform over the long term?

See historical performance and comparison

Valuation

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

33.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ASC (£31.88) is trading below our estimate of fair value (£47.94)

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


Price To Earnings Ratio

PE vs Industry: ASC is good value based on its PE Ratio (18.5x) compared to the UK Online Retail industry average (32.2x).

PE vs Market: ASC is good value based on its PE Ratio (18.5x) compared to the UK market (23.5x).


Price to Earnings Growth Ratio

PEG Ratio: ASC is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: ASC is good value based on its PB Ratio (3.4x) compared to the GB Online Retail industry average (4.7x).


Future Growth

How is ASOS forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

13.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ASC's forecast earnings growth (13.1% per year) is above the savings rate (0.9%).

Earnings vs Market: ASC's earnings (13.1% per year) are forecast to grow slower than the UK market (13.3% per year).

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

Revenue vs Market: ASC's revenue (12.9% per year) is forecast to grow faster than the UK market (5% per year).

High Growth Revenue: ASC's revenue (12.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ASC's Return on Equity is forecast to be low in 3 years time (14.7%).


Past Performance

How has ASOS performed over the past 5 years?

22.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ASC has high quality earnings.

Growing Profit Margin: ASC's current net profit margins (4.7%) are higher than last year (1.5%).


Past Earnings Growth Analysis

Earnings Trend: ASC's earnings have grown significantly by 22.6% per year over the past 5 years.

Accelerating Growth: ASC's earnings growth over the past year (284.8%) exceeds its 5-year average (22.6% per year).

Earnings vs Industry: ASC earnings growth over the past year (284.8%) exceeded the Online Retail industry 163.6%.


Return on Equity

High ROE: ASC's Return on Equity (18.6%) is considered low.


Financial Health

How is ASOS's financial position?


Financial Position Analysis

Short Term Liabilities: ASC's short term assets (£901.3M) do not cover its short term liabilities (£914.4M).

Long Term Liabilities: ASC's short term assets (£901.3M) exceed its long term liabilities (£342.9M).


Debt to Equity History and Analysis

Debt Level: ASC is debt free.

Reducing Debt: ASC had no debt 5 years ago.

Debt Coverage: ASC has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: ASC has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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

2.3yrs

Average management tenure


CEO

Nick Beighton (52 yo)

6yrs

Tenure

UK£1,689,682

Compensation

Mr. Nicholas Beighton, also known as Nick, has been the Chief Executive Officer of ASOS plc since September 2, 2015 and also serves as its Member of Executive Board. Mr. Beighton served as the Chief Operat...


CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD2.32M) is above average for companies of similar size in the UK market ($USD1.66M).

Compensation vs Earnings: Nick's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: ASC's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: ASC's board of directors are not considered experienced ( 2.4 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

ASOS Plc's employee growth, exchange listings and data sources


Key Information

  • Name: ASOS Plc
  • Ticker: ASC
  • Exchange: AIM
  • Founded: 2000
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: UK£3.175b
  • Shares outstanding: 99.59m
  • Website: https://www.asosplc.com

Number of Employees


Location

  • ASOS Plc
  • Greater London House
  • Hampstead Road
  • London
  • Greater London
  • NW1 7FB
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 17:32
End of Day Share Price2021/09/17 00:00
Earnings2021/02/28
Annual Earnings2020/08/31


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.