Arcontech Group Plc, together with its subsidiaries, develops and sells proprietary software in the United Kingdom, rest of Europe, Africa, North America, Australia, and the Asia Pacific. More Details
Flawless balance sheet with solid track record.
Share Price & News
How has Arcontech Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ARC is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: ARC's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: ARC exceeded the UK Software industry which returned -15.2% over the past year.
Return vs Market: ARC underperformed the UK Market which returned -8.2% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Arcontech Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall StWhat We Learned About Arcontech Group's (LON:ARC) CEO Pay
3 weeks ago | Simply Wall StIs Arcontech Group plc's (LON:ARC) Latest Stock Performance A Reflection Of Its Financial Health?
1 month ago | Simply Wall StEstimating The Fair Value Of Arcontech Group plc (LON:ARC)
Is Arcontech Group undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ARC (£1.88) is trading above our estimate of fair value (£1.82)
Significantly Below Fair Value: ARC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ARC is good value based on its PE Ratio (20.3x) compared to the GB Software industry average (54.3x).
PE vs Market: ARC is good value based on its PE Ratio (20.3x) compared to the UK market (22.9x).
Price to Earnings Growth Ratio
PEG Ratio: ARC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: ARC is overvalued based on its PB Ratio (4.3x) compared to the GB Software industry average (4.1x).
How is Arcontech Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ARC's earnings are forecast to decline over the next 3 years (-2.9% per year).
Earnings vs Market: ARC's earnings are forecast to decline over the next 3 years (-2.9% per year).
High Growth Earnings: ARC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: ARC's revenue (5.4% per year) is forecast to grow slower than the UK market (6.6% per year).
High Growth Revenue: ARC's revenue (5.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ARC's Return on Equity is forecast to be low in 3 years time (16.7%).
How has Arcontech Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ARC has high quality earnings.
Growing Profit Margin: ARC's current net profit margins (41.2%) are higher than last year (35%).
Past Earnings Growth Analysis
Earnings Trend: ARC's earnings have grown significantly by 27.9% per year over the past 5 years.
Accelerating Growth: ARC's earnings growth over the past year (22.5%) is below its 5-year average (27.9% per year).
Earnings vs Industry: ARC earnings growth over the past year (22.5%) exceeded the Software industry -3.2%.
Return on Equity
High ROE: ARC's Return on Equity (21.4%) is considered high.
How is Arcontech Group's financial position?
Financial Position Analysis
Short Term Liabilities: ARC's short term assets (£5.2M) exceed its short term liabilities (£2.0M).
Long Term Liabilities: ARC's short term assets (£5.2M) exceed its long term liabilities (£344.3K).
Debt to Equity History and Analysis
Debt Level: ARC is debt free.
Reducing Debt: ARC has not had any debt for past 5 years.
Debt Coverage: ARC has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: ARC has no debt, therefore coverage of interest payments is not a concern.
What is Arcontech Group current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ARC's dividend (1.33%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.53%).
High Dividend: ARC's dividend (1.33%) is low compared to the top 25% of dividend payers in the UK market (4.57%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, ARC has been paying a dividend for less than 10 years.
Growing Dividend: ARC's dividend payments have increased, but the company has only paid a dividend for 3 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (27.1%), ARC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ARC's dividends in 3 years are forecast to be well covered by earnings (32.9% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Matthew Jeffs (58 yo)
Mr. Matthew David Jeffs has been the Chief Executive Officer of Arcontech Group Plc since April 29, 2013. Mr. Jeffs spent ten years with Dow Jones and then six years with Reuters in a variety of roles. He ...
CEO Compensation Analysis
Compensation vs Market: Matthew's total compensation ($USD393.38K) is about average for companies of similar size in the UK market ($USD335.68K).
Compensation vs Earnings: Matthew's compensation has increased by more than 20% in the past year.
|CEO & Executive Director||7.75yrs||UK£287.91k||6.85% |
|Non-Executive Chairman||0.33yr||no data||no data|
|Independent Non-Executive Director||13.92yrs||UK£23.03k||8.06% |
Experienced Board: ARC's board of directors are considered experienced (7.8 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Arcontech Group plc's company bio, employee growth, exchange listings and data sources
- Name: Arcontech Group plc
- Ticker: ARC
- Exchange: AIM
- Founded: 1979
- Industry: Application Software
- Sector: Software
- Market Cap: UK£24.920m
- Shares outstanding: 13.29m
- Website: https://www.arcontech.com
Number of Employees
- Arcontech Group plc
- 11-21 Paul Street
- 1st Floor
- Greater London
- EC2A 4JU
- United Kingdom
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|ARC||AIM (London Stock Exchange AIM Market)||Yes||Ordinary Shares||GB||GBP||Dec 2000|
Arcontech Group Plc, together with its subsidiaries, develops and sells proprietary software in the United Kingdom, rest of Europe, Africa, North America, Australia, and the Asia Pacific. Its products incl...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/01/23 20:44|
|End of Day Share Price||2021/01/22 00:00|
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.