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ATG

Auction Technology Group LSE:ATG Stock Report

Last Price

UK£7.19

Market Cap

UK£866.6m

7D

-3.6%

1Y

-45.0%

Updated

03 Oct, 2022

Data

Company Financials +
ATG fundamental analysis
Snowflake Score
Valuation2/6
Future Growth4/6
Past Performance0/6
Financial Health5/6
Dividends0/6

ATG Stock Overview

Auction Technology Group plc operates marketplaces and a proprietary auction platform primarily in the United Kingdom, North America, and Germany.

Rewards

Trading at 30.6% below our estimate of its fair value

Earnings are forecast to grow 57.59% per year

Risk Analysis

No risks detected for ATG from our risk checks.

Auction Technology Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Auction Technology Group
Historical stock prices
Current Share PriceUK£7.19
52 Week HighUK£15.88
52 Week LowUK£6.36
Beta0
1 Month Change-5.40%
3 Month Change-18.85%
1 Year Change-45.03%
3 Year Changen/a
5 Year Changen/a
Change since IPO-10.13%

Recent News & Updates

Aug 30
A Look At The Fair Value Of Auction Technology Group plc (LON:ATG)

A Look At The Fair Value Of Auction Technology Group plc (LON:ATG)

In this article we are going to estimate the intrinsic value of Auction Technology Group plc ( LON:ATG ) by taking the...

Aug 09
We Like These Underlying Return On Capital Trends At Auction Technology Group (LON:ATG)

We Like These Underlying Return On Capital Trends At Auction Technology Group (LON:ATG)

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...

Shareholder Returns

ATGGB Online RetailGB Market
7D-3.6%-1.6%-1.4%
1Y-45.0%-77.3%-14.4%

Return vs Industry: ATG exceeded the UK Online Retail industry which returned -78.5% over the past year.

Return vs Market: ATG underperformed the UK Market which returned -15.2% over the past year.

Price Volatility

Is ATG's price volatile compared to industry and market?
ATG volatility
ATG Average Weekly Movement6.7%
Online Retail Industry Average Movement9.3%
Market Average Movement5.5%
10% most volatile stocks in GB Market10.8%
10% least volatile stocks in GB Market2.9%

Stable Share Price: ATG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: ATG's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1971243John-Paul Savanthttps://www.auctiontechnologygroup.com

Auction Technology Group plc operates marketplaces and a proprietary auction platform primarily in the United Kingdom, North America, and Germany. The company operates through four segments: Arts and Antiques, Industrial and Commercial, Auction Services, and Content. It offers watches, jewellery, furniture, fine art, decorative art, classic cars, collectables, and fashion products; used equipment, commercial vehicles, and machineries for used in laboratories and pharmaceuticals, warehousing, oil and gas, real estate, construction, agriculture, plastic moulding, metalworking, woodworking, and food and beverage production industries; and electronics, apparel, homeware, and furniture products.

Auction Technology Group Fundamentals Summary

How do Auction Technology Group's earnings and revenue compare to its market cap?
ATG fundamental statistics
Market CapUK£866.58m
Earnings (TTM)-UK£1.77m
Revenue (TTM)UK£93.33m

9.3x

P/S Ratio

-489.1x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ATG income statement (TTM)
RevenueUK£93.33m
Cost of RevenueUK£31.70m
Gross ProfitUK£61.63m
Other ExpensesUK£63.40m
Earnings-UK£1.77m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.015
Gross Margin66.03%
Net Profit Margin-1.90%
Debt/Equity Ratio32.1%

How did ATG perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is ATG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ATG?

Other financial metrics that can be useful for relative valuation.

ATG key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue10.6x
Enterprise Value/EBITDA55.6x
PEG Ration/a

Price to Sales Ratio vs Peers

How does ATG's PS Ratio compare to its peers?

ATG PS Ratio vs Peers
The above table shows the PS ratio for ATG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.7x
ASC ASOS
0.1x8.8%UK£574.8m
MOON Moonpig Group
1.8x11.8%UK£539.9m
ROO Deliveroo
0.8x14.4%UK£1.6b
THG THG
0.2x12.1%UK£455.7m
ATG Auction Technology Group
9.3x13.3%UK£866.6m

Price-To-Sales vs Peers: ATG is expensive based on its Price-To-Sales Ratio (9.3x) compared to the peer average (0.7x).


Price to Earnings Ratio vs Industry

How does ATG's PE Ratio compare vs other companies in the GB Online Retail Industry?

Price-To-Sales vs Industry: ATG is expensive based on its Price-To-Sales Ratio (9.3x) compared to the European Online Retail industry average (0.5x)


Price to Sales Ratio vs Fair Ratio

What is ATG's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ATG PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio9.3x
Fair PS Ratio2x

Price-To-Sales vs Fair Ratio: ATG is expensive based on its Price-To-Sales Ratio (9.3x) compared to the estimated Fair Price-To-Sales Ratio (2x).


Share Price vs Fair Value

What is the Fair Price of ATG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ATG (£7.19) is trading below our estimate of fair value (£10.36)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Auction Technology Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


57.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

High Growth Earnings: ATG is expected to become profitable in the next 3 years.

Revenue vs Market: ATG's revenue (13.3% per year) is forecast to grow faster than the UK market (4.4% per year).

High Growth Revenue: ATG's revenue (13.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ATG's Return on Equity is forecast to be low in 3 years time (10.1%).


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Past Performance

How has Auction Technology Group 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


-19.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ATG is currently unprofitable.

Growing Profit Margin: ATG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ATG is unprofitable, and losses have increased over the past 5 years at a rate of 19.4% per year.

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

Earnings vs Industry: ATG is unprofitable, making it difficult to compare its past year earnings growth to the Online Retail industry (-29.7%).


Return on Equity

High ROE: ATG has a negative Return on Equity (-0.37%), as it is currently unprofitable.


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Financial Health

How is Auction Technology Group's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: ATG's short term assets (£52.1M) exceed its short term liabilities (£36.9M).

Long Term Liabilities: ATG's short term assets (£52.1M) do not cover its long term liabilities (£193.4M).


Debt to Equity History and Analysis

Debt Level: ATG's net debt to equity ratio (24.8%) is considered satisfactory.

Reducing Debt: ATG had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


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

Forecast Cash Runway: ATG is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 30.4% per year.


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Dividend

What is Auction Technology Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Auction Technology Group Dividend Yield vs Market
How does Auction Technology Group dividend yield compare to the market?
SegmentDividend Yield
Company (Auction Technology Group)n/a
Market Bottom 25% (GB)2.1%
Market Top 25% (GB)6.0%
Industry Average (Online Retail)0.5%
Analyst forecast in 3 Years (Auction Technology Group)0%

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

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as ATG has not reported any payouts.


Discover strong dividend paying companies

Management

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

0.8yrs

Average management tenure


CEO

John-Paul Savant (51 yo)

1.75yrs

Tenure

UK£751,120

Compensation

Mr. John-Paul Savant serves as Chief Executive Officer at Auction Topco Limited since February 2016 and also serves as its Director. He serves as Chief Executive Officer at Auction Technology Group plc sin...


CEO Compensation Analysis

John-Paul Savant's Compensation vs Auction Technology Group Earnings
How has John-Paul Savant's remuneration changed compared to Auction Technology Group's earnings?
DateTotal Comp.SalaryCompany Earnings
Mar 31 2022n/an/a

-UK£2m

Dec 31 2021n/an/a

-UK£16m

Sep 30 2021UK£751kUK£248k

-UK£30m

Compensation vs Market: John-Paul's total compensation ($USD849.13K) is below average for companies of similar size in the UK market ($USD1.40M).

Compensation vs Earnings: Insufficient data to compare John-Paul's compensation with company performance.


Leadership Team

Experienced Management: ATG's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: ATG's board of directors are not considered experienced ( 1.7 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.


Ownership Breakdown

What is the ownership structure of ATG?
Owner TypeNumber of SharesOwnership Percentage
Public Companies50,2910.04%
Private Companies250,9810.2%
Employee Share Scheme1,100,4320.9%
Individual Insiders7,845,2536.5%
VC/PE Firms21,418,20817.6%
Institutions90,798,37474.8%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 86.79% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
17.77%
TA Associates Management, L.P.
21,418,208£154.0m0%12.11%
9.32%
BlackRock, Inc.
11,235,915£80.8m-3.49%no data
8.44%
Jupiter Fund Management Plc
10,169,690£73.1m-0.6%0.28%
7.94%
Capital Research and Management Company
9,570,000£68.8m0%0.01%
5.36%
abrdn plc
6,455,648£46.4m-1.47%0.05%
4.82%
Columbia Management Investment Advisers, LLC
5,814,090£41.8m6.85%0.01%
3.99%
ECI Partners LLP
4,808,517£34.6m0%100%
3.47%
Invesco Ltd.
4,178,081£30.0m29.13%0.01%
3.2%
The Vanguard Group, Inc.
3,855,546£27.7m4.13%no data
2.27%
T. Rowe Price Group, Inc.
2,731,471£19.6m0.42%no data
2.14%
John-Paul Savant
2,573,631£18.5m-5.51%no data
2.11%
Numis Asset Management Limited
2,540,884£18.3m-18.64%3.88%
2.06%
AXA Investment Managers S.A.
2,481,848£17.8m16.51%0.04%
1.87%
Royal London Asset Management Limited
2,248,905£16.2m8.24%0.03%
1.57%
Societe Generale Group, Banking Investments
1,887,300£13.6m24.99%0.16%
1.27%
Legal & General Investment Management Limited
1,535,760£11.0m15.07%no data
1.24%
Janus Henderson Group plc
1,496,576£10.8m5.2%0.01%
1.17%
Richard Lewis
1,414,117£10.2m0%no data
1.07%
Thomas Hargreaves
1,284,060£9.2m-18.76%no data
1.05%
Norges Bank Investment Management
1,264,755£9.1m7.12%no data
1.04%
UBS Asset Management
1,251,212£9.0m-0.78%no data
0.97%
Aegon Asset Management UK Plc
1,167,250£8.4m0%0.05%
0.93%
Amati Global Investors Ltd.
1,124,801£8.1m0%0.95%
0.91%
Auction Technology Group Plc Ebt
1,100,432£7.9m-16.47%no data
0.83%
Chelverton Asset Management Limited
1,000,000£7.2m0%0.44%

Company Information

Auction Technology Group plc's employee growth, exchange listings and data sources


Key Information

  • Name: Auction Technology Group plc
  • Ticker: ATG
  • Exchange: LSE
  • Founded: 1971
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Implied Market Cap: UK£866.577m
  • Shares outstanding: 120.53m
  • Website: https://www.auctiontechnologygroup.com

Number of Employees


Location

  • Auction Technology Group plc
  • Harlequin Building
  • 65 Southwark Street
  • London
  • Greater London
  • SE1 0HR
  • United Kingdom


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATGLSE (London Stock Exchange)YesOrdinary SharesGBGBPFeb 2021
ATGLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPFeb 2021

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/03 00:00
End of Day Share Price2022/10/03 00:00
Earnings2022/03/31
Annual Earnings2021/09/30


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.