AIM:EYE

Stock Analysis Report

Eagle Eye Solutions Group

Executive Summary

Eagle Eye Solutions Group plc engages in the validation and redemption of digital promotions in real-time for grocery, retail, and hospitality industries in the United Kingdom, rest of Europe, North America, and the Asia Pacific.


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: EYE's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.5%

EYE

7.4%

GB IT

8.6%

GB Market


1 Year Return

-1.6%

EYE

-2.5%

GB IT

-19.4%

GB Market

Return vs Industry: EYE underperformed the UK IT industry which returned -2.9% over the past year.

Return vs Market: EYE exceeded the UK Market which returned -25.9% over the past year.


Shareholder returns

EYEIndustryMarket
7 Day7.5%7.4%8.6%
30 Day-9.6%-7.4%-3.5%
90 Day-35.9%-24.0%-23.0%
1 Year-1.6%-1.6%-0.9%-2.5%-15.5%-19.4%
3 Year-18.9%-18.9%65.2%54.0%-8.8%-19.9%
5 Year-32.3%-32.3%84.5%69.7%4.2%-19.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Eagle Eye Solutions Group undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EYE (£1.41) is trading below our estimate of fair value (£3.94)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: EYE is overvalued based on its PB Ratio (8.9x) compared to the GB IT industry average (2.1x).


Next Steps

Future Growth

How is Eagle Eye Solutions Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

90.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EYE is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.5%).

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

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

Revenue vs Market: EYE's revenue (16.2% per year) is forecast to grow faster than the UK market (2.6% per year).

High Growth Revenue: EYE's revenue (16.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EYE's Return on Equity is forecast to be low in 3 years time (15.1%).


Next Steps

Past Performance

How has Eagle Eye Solutions Group performed over the past 5 years?

3.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EYE is currently unprofitable.

Growing Profit Margin: EYE is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EYE is unprofitable, but has reduced losses over the past 5 years at a rate of 3.5% per year.

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

Earnings vs Industry: EYE is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (17.5%).


Return on Equity

High ROE: EYE has a negative Return on Equity (-36.27%), as it is currently unprofitable.


Next Steps

Financial Health

How is Eagle Eye Solutions Group's financial position?


Financial Position Analysis

Short Term Liabilities: EYE's short term assets (£7.3M) do not cover its short term liabilities (£10.1M).

Long Term Liabilities: EYE's short term assets (£7.3M) exceed its long term liabilities (£817.0K).


Debt to Equity History and Analysis

Debt Level: EYE's debt to equity ratio (58%) is considered high.

Reducing Debt: Insufficient data to determine if EYE'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 EYE has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: EYE is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 0.2% per year.


Next Steps

Dividend

What is Eagle Eye Solutions Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate EYE's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if EYE's dividends per share have been stable in the past.

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

4.7yrs

Average management tenure


CEO

Tim Mason (61yo)

3.58s

Tenure

UK£1,306,000

Compensation

Mr. Timothy John Rollit Mason, also known as Tim, has been the Chief Executive Officer of Eagle Eye Solutions Group PLC since September 9, 2016. Mr. Mason serves as Managing Director at Sun European Partne ...


CEO Compensation Analysis

Compensation vs Market: Tim's total compensation ($USD1.60M) is above average for companies of similar size in the UK market ($USD335.89K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Timothy John Mason
CEO & Executive Director3.58yrsUK£1.31m0.94% £362.8k
Stephen Rothwell
Founder6.17yrsUK£354.00k5.87% £2.3m
Lucy Sharman-Munday
CFO, Company Secretary & Executive Director5.75yrsUK£371.00k0.16% £60.0k
David Aylmer
Chief Operating Officer3yrsno data0.071% £27.5k
Sarah Dix
Head of Finance & Administrationno datano datano data
Al Henderson
Chief Sales Officerno datano data0.038% £14.5k
Claire Essex-Crosby
HR Directorno datano datano data

4.7yrs

Average Tenure

Experienced Management: EYE's management team is considered experienced (4.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Timothy John Mason
CEO & Executive Director3.58yrsUK£1.31m0.94% £362.8k
Stephen Rothwell
Founder6.17yrsUK£354.00k5.87% £2.3m
Lucy Sharman-Munday
CFO, Company Secretary & Executive Director5.75yrsUK£371.00k0.16% £60.0k
Terence Leahy
Non-Executive Director9.25yrsUK£30.00k9.41% £3.6m
Malcolm Wall
Non-Executive Chairman3.58yrsUK£65.00k0.15% £56.3k
William Currie
Non-Executive Director 9.25yrsUK£35.00k13.26% £5.1m
Robert Senior
Non-Executive Director1.42yrsUK£22.00k0.068% £26.1k

5.8yrs

Average Tenure

61yo

Average Age

Experienced Board: EYE's board of directors are considered experienced (5.8 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Eagle Eye Solutions Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eagle Eye Solutions Group plc
  • Ticker: EYE
  • Exchange: AIM
  • Founded: 2003
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: UK£38.603m
  • Shares outstanding: 25.74m
  • Website: https://www.eagleeye.com

Number of Employees


Location

  • Eagle Eye Solutions Group plc
  • 31 Chertsey Street
  • Guildford
  • Surrey
  • GU1 4HD
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EYEAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPApr 2014

Biography

Eagle Eye Solutions Group plc engages in the validation and redemption of digital promotions in real-time for grocery, retail, and hospitality industries in the United Kingdom, rest of Europe, North America, and the Asia Pacific. The company offers Eagle Eye AIR, a multi-patented software platform consisting of Reward, which supports and enables the digitization of loyalty schemes; Promote, a platform to create, build, and manage multi-channel digital promotions; Prepaid Cards; messaging coupons; and gift card programs. Eagle Eye Solutions Group plc has partnership agreement with News America Marketing to provide various retailer and brand marketing solutions. The company was founded in 2003 and is headquartered in Guildford, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/10 06:03
End of Day Share Price2020/04/09 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.