AIM:ULS

Stock Analysis Report

Executive Summary

ULS Technology plc, through its subsidiaries, engages in the development and hosting of Internet based software applications for legal and property services businesses in the United Kingdom.

Snowflake

Fundamentals

Solid track record and fair value.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.0%

ULS

2.8%

GB Online Retail

0.08%

GB Market


1 Year Return

-54.0%

ULS

13.4%

GB Online Retail

3.5%

GB Market

Return vs Industry: ULS underperformed the UK Online Retail industry which returned 13.4% over the past year.

Return vs Market: ULS underperformed the UK Market which returned 3.5% over the past year.


Shareholder returns

ULSIndustryMarket
7 Day-2.0%2.8%0.08%
30 Day11.1%4.2%-1.3%
90 Day-28.1%11.3%-2.2%
1 Year-52.5%-54.0%14.0%13.4%9.0%3.5%
3 Year-23.7%-29.0%52.2%49.4%18.1%3.1%
5 Year27.4%11.4%145.0%134.5%36.2%5.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.82x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ULS (£0.5) is trading above our estimate of fair value (£0.36)

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


Price To Earnings Ratio

PE vs Industry: ULS is good value based on its PE Ratio (9.8x) compared to the Online Retail industry average (22.6x).

PE vs Market: ULS is good value based on its PE Ratio (9.8x) compared to the UK market (16.7x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ULS's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ULS is good value based on its PB Ratio (3x) compared to the GB Online Retail industry average (3.7x).


Next Steps

Future Growth

How is ULS Technology forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

2.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ULS's forecast earnings growth (2.2% per year) is above the savings rate (1.2%).

Earnings vs Market: ULS's earnings (2.2% per year) are forecast to grow slower than the UK market (12.4% per year).

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

Revenue vs Market: ULS's revenue (0.06% per year) is forecast to grow slower than the UK market (4% per year).

High Growth Revenue: ULS's revenue (0.06% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has ULS Technology performed over the past 5 years?

14.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ULS's earnings have grown by 14.1% per year over the past 5 years.

Accelerating Growth: ULS's earnings growth over the past year (67%) exceeds its 5-year average (14.1% per year).

Earnings vs Industry: ULS earnings growth over the past year (67%) exceeded the Online Retail industry 21.4%.


Return on Equity

High ROE: ULS's Return on Equity (30.6%) is considered high.


Return on Assets

ROA vs Industry: ULS has a higher Return on Assets than the Online Retail industry average last year.


Return on Capital Employed

ROCE Improving: ULS's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is ULS Technology's financial position?


Financial Position Analysis

Short Term Liabilities: ULS's short term assets (£3.8M) do not cover its short term liabilities (£9.1M)

Long Term Liabilities: ULS's short term assets (3.8M) exceeds its long term liabilities (2.8M)


Debt to Equity History and Analysis

Debt Level: ULS's debt to equity ratio (44.2%) is considered high

Reducing Debt: ULS's debt to equity ratio has increased from 43.9% to 44.2% over the past 5 years.

Debt Coverage: ULS's debt is well covered by operating cash flow (101.8%).

Interest Coverage: ULS's interest payments on its debt are well covered by EBIT (41.5x coverage).


Balance Sheet

Inventory Level: ULS has a low level of unsold assets or inventory.

Debt Coverage by Assets: ULS's debt is not covered by short term assets (assets are 0.8x debt).


Next Steps

Dividend

What is ULS Technology's current dividend yield, its reliability and sustainability?

4.80%

Current Dividend Yield


Dividend Yield vs Market

company4.8%marketbottom25%2.0%markettop25%5.4%industryaverage3.4%forecastin3Years5.1%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: ULS's dividend (4.8%) is higher than the bottom 25% of dividend payers in the UK market (1.98%).

High Dividend: ULS's dividend (4.8%) is low compared to the top 25% of dividend payers in the UK market (5.37%).

Stable Dividend: ULS has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: ULS's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.1%), ULS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ULS's dividends in 3 years are forecast to be well covered by earnings (41.9% payout ratio).


Next Steps

Management

What is the CEO of ULS Technology's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average board tenure


CEO

Steve Goodall 0

1.5yrs

Tenure

UK£231,271

Compensation

Mr. Stephen Goodall, also known as Steve, has been Managing Director of ULS Technology plc since May 2, 2017 and Chief Executive Officer and Director since April 4, 2018. Mr. Goodall has been responsible f ...


CEO Compensation Analysis

Compensation vs. Market: Steve has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the UK market.

Compensation vs Earnings: Insufficient data to compare Steve's compensation with company performance.


Board Age and Tenure

1.3yrs

Average Tenure

52yo

Average Age

Experienced Board: ULS's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Nigel Hoath

    Co-Founder

    • Tenure: 0yrs
  • Andrew Weston

    Co-Founder

    • Tenure: 0yrs
    • Compensation: UK£129.61k
  • John Williams (52yo)

    Finance Director

    • Tenure: 0yrs
    • Compensation: UK£162.37k
  • Judith Dickinson (53yo)

    Head of Operations

    • Tenure: 0yrs
    • Compensation: UK£190.96k
  • Steve Goodall

    CEO, MD & Director

    • Tenure: 1.5yrs
    • Compensation: UK£231.27k

Board Members

  • Geoff Wicks

    Independent Non-Executive Chairman

    • Tenure: 0yrs
    • Compensation: UK£38.91k
  • Martin Rowland (46yo)

    Independent Non-Executive Director

    • Tenure: 0.9yrs
    • Compensation: UK£11.73k
  • Andrew Weston

    Co-Founder

    • Tenure: 0yrs
    • Compensation: UK£129.61k
  • John Williams (52yo)

    Finance Director

    • Tenure: 0yrs
    • Compensation: UK£162.37k
  • Steve Goodall

    CEO, MD & Director

    • Tenure: 1.5yrs
    • Compensation: UK£231.27k
  • Elaine Bucknor (52yo)

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: UK£29.64k

Company Information

ULS Technology plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ULS Technology plc
  • Ticker: ULS
  • Exchange: AIM
  • Founded: 2003
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Market Cap: UK£32.436m
  • Shares outstanding: 64.87m
  • Website: https://www.ulstechnology.com

Number of Employees


Location

  • ULS Technology plc
  • The Old Grammar School
  • Church Road
  • Thame
  • Oxfordshire
  • OX9 3AJ
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ULSAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJul 2014

Biography

ULS Technology plc, through its subsidiaries, engages in the development and hosting of Internet based software applications for legal and property services businesses in the United Kingdom. It provides so ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 21:40
End of Day Share Price2019/10/22 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.