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Market Cap

UK£33.6m

Last Updated

2021/04/22 00:33 UTC

Data Sources

Company Financials +

Executive Summary

TheWorks.co.uk plc operates as a retailer of gifts, arts, crafts, toys, books, and stationery products in the United Kingdom and Ireland. More Details


Snowflake Analysis

Reasonable growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

How has TheWorks.co.uk's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WRKS is more volatile than 75% of UK stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: WRKS's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of UK stocks.


Market Performance


7 Day Return

3.6%

WRKS

-1.0%

GB Specialty Retail

-0.8%

GB Market


1 Year Return

73.6%

WRKS

102.0%

GB Specialty Retail

26.5%

GB Market

Return vs Industry: WRKS underperformed the UK Specialty Retail industry which returned 103.2% over the past year.

Return vs Market: WRKS exceeded the UK Market which returned 26.4% over the past year.


Shareholder returns

WRKSIndustryMarket
7 Day3.6%-1.0%-0.8%
30 Day17.7%6.5%3.2%
90 Day44.2%15.4%3.8%
1 Year73.6%73.6%102.8%102.0%32.2%26.5%
3 Yearn/a39.0%29.6%13.6%0.2%
5 Yearn/a26.6%9.7%42.9%15.7%

Long-Term Price Volatility Vs. Market

How volatile is TheWorks.co.uk's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is TheWorks.co.uk undervalued compared to its fair value and its price relative to the market?

3.4x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: WRKS (£0.54) is trading above our estimate of fair value (£0.16)

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


Price To Earnings Ratio

PE vs Industry: WRKS is unprofitable, so we can't compare its PE Ratio to the GB Specialty Retail industry average.

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


Price to Book Ratio

PB vs Industry: WRKS is overvalued based on its PB Ratio (3.6x) compared to the GB Specialty Retail industry average (2.2x).


Future Growth

How is TheWorks.co.uk forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

110.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WRKS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1%).

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

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

Revenue vs Market: WRKS's revenue (9.6% per year) is forecast to grow faster than the UK market (6.2% per year).

High Growth Revenue: WRKS's revenue (9.6% 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 WRKS's Return on Equity is forecast to be high in 3 years time


Past Performance

How has TheWorks.co.uk performed over the past 5 years?

-77.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WRKS is currently unprofitable.

Growing Profit Margin: WRKS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: WRKS is unprofitable, and losses have increased over the past 5 years at a rate of 77.8% per year.

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

Earnings vs Industry: WRKS is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (-2.5%).


Return on Equity

High ROE: WRKS has a negative Return on Equity (-154.64%), as it is currently unprofitable.


Financial Health

How is TheWorks.co.uk's financial position?


Financial Position Analysis

Short Term Liabilities: WRKS's short term assets (£65.1M) do not cover its short term liabilities (£85.3M).

Long Term Liabilities: WRKS's short term assets (£65.1M) do not cover its long term liabilities (£107.2M).


Debt to Equity History and Analysis

Debt Level: WRKS's debt to equity ratio (76.7%) is considered high.

Reducing Debt: Insufficient data to determine if WRKS's debt to equity ratio has reduced over the past 5 years.


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

Forecast Cash Runway: WRKS is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 63.4% per year.


Dividend

What is TheWorks.co.uk current dividend yield, its reliability and sustainability?

0.98%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

2.8yrs

Average board tenure


CEO

Gavin Peck (39 yo)

1.25yrs

Tenure

UK£251,000

Compensation

Mr. Gavin Lee Peck has been Chief Executive Officer of Theworks.Co.Uk Plc since January 16, 2020 and serves as its Director. Mr. Peck served as Chief Financial Officer of Theworks.Co.Uk Plc since April 201...


CEO Compensation Analysis

Compensation vs Market: Gavin's total compensation ($USD351.12K) is about average for companies of similar size in the UK market ($USD334.42K).

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


Board Members

Experienced Board: WRKS's board of directors are not considered experienced ( 2.8 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: WRKS 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

TheWorks.co.uk plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TheWorks.co.uk plc
  • Ticker: WRKS
  • Exchange: LSE
  • Founded: 1981
  • Industry: Specialty Stores
  • Sector: Retail
  • Market Cap: UK£33.625m
  • Shares outstanding: 62.50m
  • Website: https://www.theworksplc.co.uk

Number of Employees


Location

  • TheWorks.co.uk plc
  • Boldmere House
  • Faraday Avenue
  • Birmingham
  • West Midlands
  • B46 1AL
  • United Kingdom

Listings


Biography

TheWorks.co.uk plc operates as a retailer of gifts, arts, crafts, toys, books, and stationery products in the United Kingdom and Ireland. The company sells its products through a network of stores, as well...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/22 00:33
End of Day Share Price2021/04/21 00:00
Earnings2020/10/25
Annual Earnings2020/04/26


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.