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Market Cap

UK£195.3m

Last Updated

2021/05/11 18:43 UTC

Data Sources

Company Financials +

Executive Summary

CentralNic Group Plc provides domain name services worldwide. More Details


Snowflake Analysis

Reasonable growth potential and fair value.

Share Price & News

How has CentralNic Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CNIC is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CNIC's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-0.4%

CNIC

-3.2%

GB IT

2.4%

GB Market


1 Year Return

-5.9%

CNIC

49.0%

GB IT

25.6%

GB Market

Return vs Industry: CNIC underperformed the UK IT industry which returned 49% over the past year.

Return vs Market: CNIC underperformed the UK Market which returned 25.6% over the past year.


Shareholder returns

CNICIndustryMarket
7 Day-0.4%-3.2%2.4%
30 Day-5.4%-4.2%3.4%
90 Day-12.8%9.2%9.1%
1 Year-5.9%-5.9%51.4%49.0%31.1%25.6%
3 Yearn/a69.7%61.3%13.0%-0.03%
5 Year83.1%83.1%189.4%161.6%51.0%22.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

45.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CNIC (£0.83) is trading below our estimate of fair value (£1.52)

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


Price To Earnings Ratio

PE vs Industry: CNIC is unprofitable, so we can't compare its PE Ratio to the UK IT industry average.

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


Price to Book Ratio

PB vs Industry: CNIC is good value based on its PB Ratio (2.3x) compared to the GB IT industry average (4.2x).


Future Growth

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

75.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: CNIC's revenue (10.2% per year) is forecast to grow faster than the UK market (5.2% per year).

High Growth Revenue: CNIC's revenue (10.2% 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 CNIC's Return on Equity is forecast to be high in 3 years time


Past Performance

How has CentralNic Group performed over the past 5 years?

-61.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CNIC is currently unprofitable.

Growing Profit Margin: CNIC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CNIC is unprofitable, and losses have increased over the past 5 years at a rate of 61.1% per year.

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

Earnings vs Industry: CNIC is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (6.1%).


Return on Equity

High ROE: CNIC has a negative Return on Equity (-7.19%), as it is currently unprofitable.


Financial Health

How is CentralNic Group's financial position?


Financial Position Analysis

Short Term Liabilities: CNIC's short term assets ($77.6M) do not cover its short term liabilities ($94.4M).

Long Term Liabilities: CNIC's short term assets ($77.6M) do not cover its long term liabilities ($137.9M).


Debt to Equity History and Analysis

Debt Level: CNIC's debt to equity ratio (97%) is considered high.

Reducing Debt: CNIC's debt to equity ratio has increased from 0.3% to 97% 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 CNIC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: CNIC is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 17.1% per year.


Dividend

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

2.13%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if CNIC'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 CNIC'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?

2.2yrs

Average management tenure


CEO

Ben Crawford (55 yo)

12.33yrs

Tenure

US$2,686,000

Compensation

Mr. Benjamin Peter Crawford, also known as Ben, has been the Chief Executive Officer of CentralNic Group Plc since 2009. Mr. Crawford has also been the Chief Executive Officer of CentralNic Ltd. since 2009...


CEO Compensation Analysis

Compensation vs Market: Ben's total compensation ($USD2.69M) is above average for companies of similar size in the UK market ($USD566.89K).

Compensation vs Earnings: Ben's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: CNIC's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: CNIC's board of directors are considered experienced (3.8 years average tenure).


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 been diluted in the past year, with total shares outstanding growing by 24.6%.


Top Shareholders

Company Information

CentralNic Group Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: CentralNic Group Plc
  • Ticker: CNIC
  • Exchange: AIM
  • Founded: 1996
  • Industry: Internet Services and Infrastructure
  • Sector: Software
  • Market Cap: UK£195.320m
  • Shares outstanding: 227.38m
  • Website: https://www.centralnicgroup.com

Number of Employees


Location

  • CentralNic Group Plc
  • Saddlers House
  • 4th Floor
  • London
  • Greater London
  • EC2V 6BR
  • United Kingdom

Listings


Biography

CentralNic Group Plc provides domain name services worldwide. It operates through Indirect, Direct, and Monetisation segments. The company’s Indirect segment distributes domain names to retailers and resel...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/11 18:43
End of Day Share Price2021/05/11 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.