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FDM Group (Holdings)

LSE:FDM
Snowflake Description

Flawless balance sheet with solid track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
FDM
LSE
£911M
Market Cap
  1. Home
  2. GB
  3. Software
Company description

FDM Group (Holdings) plc, together with its subsidiaries, provides information technology (IT) services in the United Kingdom, Ireland, North America, rest of Europe, the Middle East, Africa, and the Asia Pacific. The last earnings update was 183 days ago. More info.


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FDM Share Price and Events
7 Day Returns
2.5%
LSE:FDM
1.9%
GB IT
1.3%
GB Market
1 Year Returns
-12.8%
LSE:FDM
-8.7%
GB IT
-9.8%
GB Market
FDM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
FDM Group (Holdings) (FDM) 2.5% 12.5% -5.3% -12.8% 64.9% -
GB IT 1.9% 9.5% -6.9% -8.7% 37% -24.1%
GB Market 1.3% 4.1% 0.3% -9.8% 14.2% -4.1%
1 Year Return vs Industry and Market
  • FDM underperformed the IT industry which returned -8.7% over the past year.
  • FDM underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -9.8% over the past year.
Price Volatility
FDM
Industry
5yr Volatility vs Market

FDM Value

 Is FDM Group (Holdings) undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of FDM Group (Holdings) to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for FDM Group (Holdings).

LSE:FDM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.2%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:FDM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 8.8%
IT Unlevered Beta Simply Wall St/ S&P Global 0.77
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.772 (1 + (1- 19%) (0%))
0.772
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.8 * 8.77%)
8.25%

Discounted Cash Flow Calculation for LSE:FDM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for FDM Group (Holdings) is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:FDM DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (GBP, Millions) 40.25 42.25 49.85 58.32 67.66
Source Analyst x2 Analyst x2 Est @ 18%, capped from 19.27% Est @ 17%, capped from 19.27% Est @ 16%, capped from 19.27%
Present Value
Discounted (@ 8.25%)
37.18 36.05 39.30 42.48 45.53
Present value of next 5 years cash flows £200.54
LSE:FDM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= £67.66 × (1 + 1.23%) ÷ (8.25% – 1.23%)
£975.80
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= £975.80 ÷ (1 + 8.25%)5
£656.62
LSE:FDM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= £200.54 + £656.62
£857.16
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £857.16 / 108.27
£7.92
LSE:FDM Discount to Share Price
Calculation Result
Value per share (GBP) From above. £7.92
Current discount Discount to share price of £8.35
= -1 x (£8.35 - £7.92) / £7.92
-5.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of FDM Group (Holdings) is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for FDM Group (Holdings)'s earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are FDM Group (Holdings)'s earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:FDM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in GBP £0.32
LSE:FDM Share Price ** LSE (2019-01-22) in GBP £8.35
United Kingdom of Great Britain and Northern Ireland IT Industry PE Ratio Median Figure of 24 Publicly-Listed IT Companies 29.42x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 815 Publicly-Listed Companies 15.68x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of FDM Group (Holdings).

LSE:FDM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:FDM Share Price ÷ EPS (both in GBP)

= 8.35 ÷ 0.32

26.02x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • FDM Group (Holdings) is good value based on earnings compared to the GB IT industry average.
  • FDM Group (Holdings) is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does FDM Group (Holdings)'s expected growth come at a high price?
Raw Data
LSE:FDM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 26.02x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
7.7%per year
United Kingdom of Great Britain and Northern Ireland IT Industry PEG Ratio Median Figure of 18 Publicly-Listed IT Companies 1.47x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 574 Publicly-Listed Companies 1.28x

*Line of best fit is calculated by linear regression .

LSE:FDM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 26.02x ÷ 7.7%

3.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • FDM Group (Holdings) is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on FDM Group (Holdings)'s assets?
Raw Data
LSE:FDM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in GBP £0.61
LSE:FDM Share Price * LSE (2019-01-22) in GBP £8.35
United Kingdom of Great Britain and Northern Ireland IT Industry PB Ratio Median Figure of 43 Publicly-Listed IT Companies 3.34x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,361 Publicly-Listed Companies 1.5x
LSE:FDM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:FDM Share Price ÷ Book Value per Share (both in GBP)

= 8.35 ÷ 0.61

13.68x

* Primary Listing of FDM Group (Holdings).

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • FDM Group (Holdings) is overvalued based on assets compared to the GB IT industry average.
X
Value checks
We assess FDM Group (Holdings)'s value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the IT industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the IT industry average (and greater than 0)? (1 check)
  5. FDM Group (Holdings) has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

FDM Future Performance

 How is FDM Group (Holdings) expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
7.7%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is FDM Group (Holdings) expected to grow at an attractive rate?
  • FDM Group (Holdings)'s earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • FDM Group (Holdings)'s earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • FDM Group (Holdings)'s revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:FDM Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:FDM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 7.7%
LSE:FDM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 10.5%
United Kingdom of Great Britain and Northern Ireland IT Industry Earnings Growth Rate Market Cap Weighted Average 17.4%
United Kingdom of Great Britain and Northern Ireland IT Industry Revenue Growth Rate Market Cap Weighted Average 9.6%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11.3%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 3.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:FDM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:FDM Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 299 52 41 4
2019-12-31 270 49 37 4
2018-12-31 243 45 34 4
LSE:FDM Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-06-30 234 34 35
2018-03-31 234 34 33
2017-12-31 234 35 32
2017-09-30 227 34 31
2017-06-30 220 32 30
2017-03-31 205 32 28
2016-12-31 189 31 26
2016-09-30 181 31 25
2016-06-30 173 30 24
2016-03-31 167 30 23
2015-12-31 161 30 22
2015-09-30 151 24 21

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • FDM Group (Holdings)'s earnings are expected to grow by 7.7% yearly, however this is not considered high growth (20% yearly).
  • FDM Group (Holdings)'s revenue is expected to grow by 10.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:FDM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from FDM Group (Holdings) Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:FDM Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 0.37 0.40 0.35 4.00
2019-12-31 0.34 0.35 0.33 4.00
2018-12-31 0.32 0.32 0.31 3.00
LSE:FDM Past Financials Data
Date (Data in GBP Millions) EPS *
2018-06-30 0.32
2018-03-31 0.31
2017-12-31 0.30
2017-09-30 0.29
2017-06-30 0.28
2017-03-31 0.26
2016-12-31 0.24
2016-09-30 0.23
2016-06-30 0.22
2016-03-31 0.21
2015-12-31 0.20
2015-09-30 0.20

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • FDM Group (Holdings) is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).
X
Future performance checks
We assess FDM Group (Holdings)'s future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
FDM Group (Holdings) has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

FDM Past Performance

  How has FDM Group (Holdings) performed over the past 5 years?

  • FDM Group (Holdings)'s last earnings update was 183 days ago.
The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare FDM Group (Holdings)'s growth in the last year to its industry (IT).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • FDM Group (Holdings) has delivered over 20% year on year earnings growth in the past 5 years.
  • FDM Group (Holdings)'s 1-year earnings growth is less than its 5-year average (15.9% vs 23.7%)
  • FDM Group (Holdings)'s earnings growth has exceeded the GB IT industry average in the past year (15.9% vs 5.5%).
Earnings and Revenue History
FDM Group (Holdings)'s revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from FDM Group (Holdings) Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:FDM Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 234.30 34.53 65.13
2018-03-31 233.94 33.27 62.77
2017-12-31 233.58 32.01 60.42
2017-09-30 226.78 30.91 58.45
2017-06-30 219.99 29.80 56.47
2017-03-31 204.70 27.99 53.54
2016-12-31 189.40 26.18 50.61
2016-09-30 181.00 24.91 46.57
2016-06-30 172.60 23.64 42.53
2016-03-31 166.63 22.83 38.21
2015-12-31 160.66 22.02 33.88
2015-09-30 150.96 21.41 30.52
2015-06-30 141.26 20.80 27.16
2015-03-31 132.26 17.15 25.33
2014-12-31 123.26 13.50 23.49
2014-09-30 117.83 11.74 22.39
2014-06-30 112.41 9.99 21.30
2014-03-31 109.01 12.36 20.12
2013-12-31 105.62 14.73 18.94
2012-12-31 103.44 11.73 18.17

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • FDM Group (Holdings) made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%).
  • FDM Group (Holdings) used its assets more efficiently than the GB IT industry average last year based on Return on Assets.
  • FDM Group (Holdings) has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess FDM Group (Holdings)'s performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the IT industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
FDM Group (Holdings) has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

FDM Health

 How is FDM Group (Holdings)'s financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up FDM Group (Holdings)'s finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • FDM Group (Holdings) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • FDM Group (Holdings) has no long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of FDM Group (Holdings)'s finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • FDM Group (Holdings) has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from FDM Group (Holdings) Company Filings, last reported 6 months ago.

LSE:FDM Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 65.74 0.00 29.76
2018-03-31 65.74 0.00 29.76
2017-12-31 64.38 0.00 36.85
2017-09-30 64.38 0.00 36.85
2017-06-30 58.92 0.00 29.31
2017-03-31 58.92 0.00 29.31
2016-12-31 53.34 0.00 27.84
2016-09-30 53.34 0.00 27.84
2016-06-30 46.98 0.00 19.14
2016-03-31 46.98 0.00 19.14
2015-12-31 48.40 0.00 22.36
2015-09-30 48.40 0.00 22.36
2015-06-30 44.24 0.00 13.61
2015-03-31 44.24 0.00 13.61
2014-12-31 42.52 0.00 12.29
2014-09-30 42.52 0.00 12.29
2014-06-30 31.31 3.00 8.45
2014-03-31 31.31 3.00 8.45
2013-12-31 20.61 15.00 6.01
2012-12-31 25.67 4.81 2.22
  • FDM Group (Holdings) has no debt.
  • FDM Group (Holdings) has no debt compared to 5 years ago when it was 42.7%.
  • FDM Group (Holdings) has no debt, it does not need to be covered by operating cash flow.
  • FDM Group (Holdings) has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess FDM Group (Holdings)'s financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. FDM Group (Holdings) has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

FDM Dividends

 What is FDM Group (Holdings)'s current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.47%
Current annual income from FDM Group (Holdings) dividends. Estimated to be 4.36% next year.
If you bought £2,000 of FDM Group (Holdings) shares you are expected to receive £69 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • FDM Group (Holdings)'s pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.96%).
  • FDM Group (Holdings)'s dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.28%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:FDM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland IT Industry Average Dividend Yield Market Cap Weighted Average of 19 Stocks 2.5%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 710 Stocks 4.3%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.3%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:FDM Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.39 5.00
2019-12-31 0.34 5.00
2018-12-31 0.30 5.00
LSE:FDM Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-07-23 0.290 3.292
2018-03-22 0.280 2.748
2018-03-07 0.280 2.839
2017-07-31 0.240 2.561
2017-03-23 0.206 2.679
2016-07-27 0.186 3.064
2016-03-09 0.170 3.124
2015-07-29 0.160 3.163
2015-04-30 0.150 4.012

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, FDM Group (Holdings) has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but FDM Group (Holdings) only paid a dividend in the past 4 years.
Current Payout to shareholders
What portion of FDM Group (Holdings)'s earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are not well covered by earnings (1.1x coverage).
X
Income/ dividend checks
We assess FDM Group (Holdings)'s dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can FDM Group (Holdings) afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. FDM Group (Holdings) has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

FDM Management

 What is the CEO of FDM Group (Holdings)'s salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Rod Flavell
COMPENSATION £1,134,100
CEO Bio

Mr. Roderick N. Flavell, also known as Rod, serves as the Chief Executive Officer of FDM Group (Holdings) PLC. Mr. Flavell is a Co-Founder of FDM Group Plc in 1991 and has been its Chief Executive Officer since 2001. He has been involved in the IT services industry for 20 years and is recognized as the key driving force behind the growth and success of FDM Group Plc. His major achievements include delivering the merger between FDi and Mountfield Software in 1995, developing one of the leading sales teams in the IT services sector and numerous international customer wins for the group. Over the past 26 years, Rod has been instrumental in developing the Group into an international, award-winning employer with a prestigious client base operating in multiple industries. Rod is a firm supporter of improving diversity in technology, with clear results achieved by the Group through its FDM Women in IT, Returners to Work, Ex-Forces Roderick (Rod) Flavell and veteran career transition initiatives. He has lead FDM through all its growth phases through mergers and acquisitions and in particular the rapid sales growth during its expansion into Europe and the USA. He is involved in the business full-time and is a dynamic and creative manager, working mainly at FDM's HQ in Brighton. He also serves as a Non-Executive Director at Chester based Data Warehousing Company Visualmetrics Ltd. He serves as an Executive Director of FDM Group Plc. He has been an Executive Director of FDM Group (Holdings) PLC since January 6, 2010.

CEO Compensation
  • Rod's compensation has increased by more than 20% in the past year.
  • Rod's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the FDM Group (Holdings) management team in years:

1
Average Tenure
56
Average Age
  • The average tenure for the FDM Group (Holdings) management team is less than 2 years, this suggests a new team.
Management Team

Rod Flavell

TITLE
CEO & Executive Director
COMPENSATION
£1M

Mike McLaren

TITLE
CFO & Executive Director
COMPENSATION
£937K
AGE
56
TENURE
8 yrs

Sheila Flavell

TITLE
COO & Executive Director
COMPENSATION
£955K
AGE
61
TENURE
11 yrs

Andy Brown

TITLE
Chief Commercial Officer & Executive Director
COMPENSATION
£956K
AGE
45
TENURE
1.8 yrs

Nabila Aydin

TITLE
Director of Global Marketing
TENURE
1 yrs

David Harvey

TITLE
Head of Business Intelligence - Analysis & Data Science
TENURE
1.1 yrs

Charlie Drewett

TITLE
Senior VP of Sales & Business Development - North America
TENURE
0.2 yrs

Kenneth Lyles

TITLE
Regional Head of the Veterans Program
TENURE
1 yrs

Laura Finneran

TITLE
Senior Vice President of Training - North America
TENURE
0.2 yrs

Paul Gates

TITLE
Senior VP of Sales & Major International Accounts Department
TENURE
0.2 yrs
Board of Directors Tenure

Average tenure and age of the FDM Group (Holdings) board of directors in years:

8.4
Average Tenure
59
Average Age
  • The tenure for the FDM Group (Holdings) board of directors is about average.
Board of Directors

Ivan Martin

TITLE
Non-Executive Chairman
COMPENSATION
£131K
AGE
63
TENURE
12.3 yrs

Rod Flavell

TITLE
CEO & Executive Director
COMPENSATION
£1M
TENURE
9 yrs

Mike McLaren

TITLE
CFO & Executive Director
COMPENSATION
£937K
AGE
56
TENURE
7.8 yrs

Sheila Flavell

TITLE
COO & Executive Director
COMPENSATION
£955K
AGE
61
TENURE
9 yrs

Andy Brown

TITLE
Chief Commercial Officer & Executive Director
COMPENSATION
£956K
AGE
45
TENURE
9 yrs

Peter Whiting

TITLE
Senior Independent Director
COMPENSATION
£52K
AGE
52

Robin Taylor

TITLE
Non-Executive Director
COMPENSATION
£47K
AGE
67
TENURE
4.6 yrs

Michelle Senecal de Fonseca

TITLE
Non-Executive Director
COMPENSATION
£42K
TENURE
3 yrs

David Lister

TITLE
Non-Executive Director
COMPENSATION
£42K
AGE
59
TENURE
2.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
X
Management checks
We assess FDM Group (Holdings)'s management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. FDM Group (Holdings) has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

FDM News

Simply Wall St News

What You Must Know About FDM Group (Holdings) plc's (LON:FDM) Beta Value

If you're interested in FDM Group (Holdings) plc (LON:FDM), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility).

Simply Wall St -

FDM Group (Holdings) plc (LON:FDM) Earns A Nice Return On Capital Employed

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

Should You Be Holding FDM Group (Holdings) plc (LON:FDM)?

As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … is a company with great financial health as well as a.

Simply Wall St -

Here's What FDM Group (Holdings) plc's (LON:FDM) P/E Ratio Is Telling Us

We'll look at FDM Group (Holdings) plc's (LON:FDM) P/E ratio and reflect on what it tells us about the company's share price. … Based on the last twelve months, FDM Group (Holdings)'s P/E ratio is 23.56. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Is FDM Group (Holdings) PLC (LON:FDM) A Financially Sound Company?

However, it also faces higher cost of capital given interest cost is generally lower than equity. … Does FDM's growth rate justify its decision for financial flexibility over lower cost of capital. … Debt funding can be cheaper than issuing new equity due to lower interest cost on debt

Simply Wall St -

Is Now An Opportune Moment To Examine FDM Group (Holdings) PLC (LON:FDM)?

FDM Group (Holdings) PLC (LON:FDM), which is in the it business, and is based in United Kingdom,. … A question to answer is whether FDM Group (Holdings)'s current trading price of £8.57 reflective of the actual value of the? … Let’s take a look at FDM Group (Holdings)’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Is FDM Group (Holdings) PLC's (LON:FDM) ROE Of 53% Impressive?

FDM Group (Holdings) has a ROE of 53%, based on the last twelve months. … That means that for every £1 worth of shareholders' equity, it generated £0.53 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Why You Should Care About FDM Group (Holdings) PLC’s (LON:FDM) Cash Levels

Two important questions to ask before you buy FDM Group (Holdings) PLC (LON:FDM) is, how it makes money and how it spends its cash. … FDM Group (Holdings) generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … There are two methods I will use to evaluate the quality of FDM Group (Holdings)’s FCF: firstly, I will measure its FCF yield relative to the market index yield; secondly, I will examine whether its operating cash flow will continue to grow into the future, which will give us a sense of sustainability

Simply Wall St -

Should FDM Group (Holdings) PLC (LON:FDM) Be Part Of Your Income Portfolio?

A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … In the last few years FDM Group (Holdings) PLC (LON:FDM) has paid a dividend to shareholders. … Let's dig deeper into whether FDM Group (Holdings) should have a place in your portfolio.

Simply Wall St -

Is FDM Group (Holdings) PLC (LON:FDM) A Tech Laggard Or Leader?

industry based in United Kingdom … The line between hardware and software companies has blurred, with many businesses shifting from pure-hardware to software-defined hardware and from products to services and solutions … As enterprises in various industry sector look to technology to enable their own transformations, the opportunities for technology companies have widened extensively

Simply Wall St -

FDM Company Info

Map
Description

FDM Group (Holdings) plc, together with its subsidiaries, provides information technology (IT) services in the United Kingdom, Ireland, North America, rest of Europe, the Middle East, Africa, and the Asia Pacific. The company is involved in recruiting, training, and placing its own IT and business consultants across various technical and business disciplines, including development, testing, project management and support office, data and operations services, business analysis, business intelligence, production support, client training, and information security. The company was formerly known as Astra Topco Limited and changed its name to FDM Group (Holdings) plc. FDM Group (Holdings) plc was founded in 1991 and is headquartered in London, the United Kingdom.

Details
Name: FDM Group (Holdings) plc
FDM
Exchange: LSE
Founded: 1991
£910,565,064
108,271,708
Website: http://www.fdmgroup.com
Address: FDM Group (Holdings) plc
Cottons Centre,
3rd Floor,
London,
Greater London, SE1 2QG,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE FDM Ordinary Shares London Stock Exchange GB GBP 20. Jun 2014
OTCPK FDDM.F Ordinary Shares Pink Sheets LLC US USD 20. Jun 2014
DB 17F Ordinary Shares Deutsche Boerse AG DE EUR 20. Jun 2014
Number of employees
Current staff
Staff numbers
3,416
FDM Group (Holdings) employees.
Industry
IT Consulting and Other Services
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/01/22 21:54
End of day share price update: 2019/01/22 00:00
Last estimates confirmation: 2019/01/22
Last earnings filing: 2018/07/23
Last earnings reported: 2018/06/30
Last annual earnings reported: 2017/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.