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Halma

LSE:HLMA
Snowflake Description

Flawless balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HLMA
LSE
£7B
Market Cap
  1. Home
  2. GB
  3. Tech
Company description

Halma plc provides process and infrastructure safety, medical, and environmental and analysis products worldwide. The last earnings update was 152 days ago. More info.


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HLMA Share Price and Events
7 Day Returns
1.1%
LSE:HLMA
2.3%
GB Electronic
0.6%
GB Market
1 Year Returns
41.3%
LSE:HLMA
7.4%
GB Electronic
1.1%
GB Market
HLMA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Halma (HLMA) 1.1% 3.8% 23.6% 41.3% 94.7% 202.3%
GB Electronic 2.3% 7% 13.3% 7.4% 79.5% 80.6%
GB Market 0.6% 1.9% 6.9% 1.1% 15.6% 6.2%
1 Year Return vs Industry and Market
  • HLMA outperformed the Electronic industry which returned 7.4% over the past year.
  • HLMA outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 1.1% over the past year.
Price Volatility
HLMA
Industry
5yr Volatility vs Market

Value

 Is Halma 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 Halma 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 Halma.

LSE:HLMA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 13 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.3%
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:HLMA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Electronic Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.067 (1 + (1- 19%) (3.96%))
1.068
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.07
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.068 * 6.65%)
8.33%

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

The calculations below outline how an intrinsic value for Halma is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:HLMA DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 8.33%)
2019 160.59 Analyst x7 148.24
2020 185.76 Analyst x7 158.29
2021 198.96 Analyst x7 156.50
2022 209.25 Est @ 5.17% 151.94
2023 217.60 Est @ 3.99% 145.85
2024 224.48 Est @ 3.16% 138.90
2025 230.28 Est @ 2.58% 131.52
2026 235.28 Est @ 2.17% 124.05
2027 239.73 Est @ 1.89% 116.68
2028 243.79 Est @ 1.69% 109.53
Present value of next 10 years cash flows £1,381.50
LSE:HLMA DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £243.79 × (1 + 1.23%) ÷ (8.33% – 1.23%)
£3,474.26
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £3,474.26 ÷ (1 + 8.33%)10
£1,560.89
LSE:HLMA Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £1,381.50 + £1,560.89
£2,942.38
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £2,942.38 / 379.01
£7.76
LSE:HLMA Discount to Share Price
Calculation Result
Value per share (GBP) From above. £7.76
Current discount Discount to share price of £17.39
= -1 x (£17.39 - £7.76) / £7.76
-123.9%

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

  • The current share price of Halma 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 Halma's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Halma's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:HLMA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-09-30) in GBP £0.44
LSE:HLMA Share Price ** LSE (2019-04-18) in GBP £17.39
United Kingdom of Great Britain and Northern Ireland Electronic Industry PE Ratio Median Figure of 21 Publicly-Listed Electronic Companies 21.58x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 797 Publicly-Listed Companies 16.29x

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

** Primary Listing of Halma.

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

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

= 17.39 ÷ 0.44

39.41x

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

  • Halma is overvalued based on earnings compared to the GB Electronic industry average.
  • Halma is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Halma's expected growth come at a high price?
Raw Data
LSE:HLMA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 39.41x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 13 Analysts
8.2%per year
United Kingdom of Great Britain and Northern Ireland Electronic Industry PEG Ratio Median Figure of 12 Publicly-Listed Electronic Companies 1.98x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 564 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

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

= PE Ratio ÷ Net Income Annual Growth Rate

= 39.41x ÷ 8.2%

4.83x

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

  • Halma is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Halma's assets?
Raw Data
LSE:HLMA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-09-30) in GBP £2.45
LSE:HLMA Share Price * LSE (2019-04-18) in GBP £17.39
United Kingdom of Great Britain and Northern Ireland Electronic Industry PB Ratio Median Figure of 33 Publicly-Listed Electronic Companies 2.14x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,367 Publicly-Listed Companies 1.51x
LSE:HLMA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 17.39 ÷ 2.45

7.11x

* Primary Listing of Halma.

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

  • Halma is overvalued based on assets compared to the GB Electronic industry average.
X
Value checks
We assess Halma'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 Electronic 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 Electronic industry average (and greater than 0)? (1 check)
  5. Halma has a total score of 0/6, 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.

Future Performance

 How is Halma expected to perform in the next 1 to 3 years based on estimates from 13 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
8.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Halma expected to grow at an attractive rate?
  • Halma's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Halma's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • Halma'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:HLMA Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:HLMA Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 13 Analysts 8.2%
LSE:HLMA Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 13 Analysts 6%
United Kingdom of Great Britain and Northern Ireland Electronic Industry Earnings Growth Rate Market Cap Weighted Average 8.2%
United Kingdom of Great Britain and Northern Ireland Electronic Industry Revenue Growth Rate Market Cap Weighted Average 5.8%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*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:HLMA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 13 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:HLMA Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31
2021-03-31 1,359 261 193 13
2020-03-31 1,290 241 180 13
2019-03-31 1,209 215 163 13
LSE:HLMA Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-09-30 1,155 194 167
2018-06-30 1,116 184 161
2018-03-31 1,076 173 154
2017-12-31 1,051 176 147
2017-09-30 1,026 178 139
2017-06-30 994 175 134
2017-04-01 962 172 130
2017-01-01 916 165 120
2016-10-01 870 158 111
2016-07-01 839 154 110
2016-04-02 808 149 109
2016-01-02 786 143 108
2015-10-03 765 137 107

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Halma's earnings are expected to grow by 8.2% yearly, however this is not considered high growth (20% yearly).
  • Halma's revenue is expected to grow by 6% 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:HLMA 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 13 Analyst Estimates (S&P Global) See Below

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

LSE:HLMA Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31
2021-03-31 0.51 0.53 0.49 8.00
2020-03-31 0.48 0.50 0.46 8.00
2019-03-31 0.43 0.47 0.41 8.00
LSE:HLMA Past Financials Data
Date (Data in GBP Millions) EPS *
2018-09-30 0.44
2018-06-30 0.42
2018-03-31 0.41
2017-12-31 0.39
2017-09-30 0.37
2017-06-30 0.35
2017-04-01 0.34
2017-01-01 0.32
2016-10-01 0.29
2016-07-01 0.29
2016-04-02 0.29
2016-01-02 0.28
2015-10-03 0.28

*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.
  • Halma is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Halma'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.
Halma 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.

Past Performance

  How has Halma performed over the past 5 years?

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 Halma's growth in the last year to its industry (Electronic).
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.
  • Halma's year on year earnings growth rate has been positive over the past 5 years.
  • Halma's 1-year earnings growth exceeds its 5-year average (20.1% vs 10.7%)
  • Halma's earnings growth has not exceeded the GB Electronic industry average in the past year (20.1% vs 21.9%).
Earnings and Revenue History
Halma'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 Halma Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:HLMA Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-09-30 1,155.41 167.13 382.58
2018-06-30 1,115.81 160.68 382.73
2018-03-31 1,076.21 154.23 382.88
2017-12-31 1,051.01 146.70 356.39
2017-09-30 1,025.84 139.18 337.01
2017-06-30 993.75 134.43 339.85
2017-04-01 961.66 129.69 342.70
2017-01-01 915.97 120.26 311.86
2016-10-01 870.27 110.84 281.03
2016-07-01 839.04 109.84 278.23
2016-04-02 807.81 108.84 275.44
2016-01-02 786.35 107.76 259.90
2015-10-03 764.89 106.68 244.36
2015-07-03 745.51 105.34 245.25
2015-03-28 726.13 104.00 246.14
2014-12-28 705.24 107.63 235.71
2014-09-27 684.34 111.25 225.28
2014-06-27 680.42 108.79 225.29
2014-03-29 676.51 106.33 225.30
2013-12-29 665.35 96.88 214.71
2013-09-28 654.20 87.42 204.12
2013-06-28 636.70 90.51 203.80
2013-03-30 619.21 93.61 203.49
2012-12-30 608.59 94.74 193.88
2012-09-29 597.96 95.88 184.28
2012-06-29 588.92 91.30 183.86

*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.
  • Halma has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Halma used its assets more efficiently than the GB Electronic industry average last year based on Return on Assets.
  • Halma has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Halma'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 Electronic 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.
Halma has a total score of 4/6, 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.

Health

 How is Halma'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 Halma's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Halma is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Halma's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Halma'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.
  • Debt is covered by short term assets, assets are 1.7x debt.
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 Halma Company Filings, last reported 6 months ago.

LSE:HLMA Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-09-30 927.30 261.00 66.40
2018-06-30 927.30 261.00 66.40
2018-03-31 828.40 291.06 70.72
2017-12-31 828.40 291.06 70.72
2017-09-30 775.32 252.66 71.67
2017-06-30 775.32 252.66 71.67
2017-04-01 778.64 263.27 66.83
2017-01-01 778.64 263.27 66.83
2016-10-01 690.57 313.41 76.09
2016-07-01 690.57 313.41 76.09
2016-04-02 646.34 300.66 53.94
2016-01-02 646.34 300.66 53.94
2015-10-03 566.86 227.10 133.72
2015-07-03 566.86 227.10 133.72
2015-03-28 548.95 142.12 41.23
2014-12-28 548.95 142.12 41.23
2014-09-27 497.66 185.45 49.18
2014-06-27 497.66 185.45 49.18
2014-03-29 486.00 109.03 34.53
2013-12-29 486.00 109.03 34.53
2013-09-28 452.51 150.91 41.14
2013-06-28 452.51 150.91 41.14
2013-03-30 453.27 160.01 49.72
2012-12-30 453.27 160.01 49.72
2012-09-29 404.26 117.11 43.00
2012-06-29 404.26 117.11 43.00
  • Halma's level of debt (28.1%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (33% vs 28.1% today).
  • Debt is well covered by operating cash flow (74.3%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 24.8x coverage).
X
Financial health checks
We assess Halma'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. Halma 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.

Dividends

 What is Halma'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
0.84%
Current annual income from Halma dividends. Estimated to be 1.02% next year.
If you bought £2,000 of Halma shares you are expected to receive £17 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?
  • Halma's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.01%).
  • Halma's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.19%).
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:HLMA 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 13 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Electronic Industry Average Dividend Yield Market Cap Weighted Average of 19 Stocks 1.5%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 706 Stocks 4.2%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 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 5.2%

Industry and Market average data is calculated daily.

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

LSE:HLMA Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2022-03-31 0.19 1.00
2021-03-31 0.18 13.00
2020-03-31 0.17 13.00
2019-03-31 0.16 13.00
LSE:HLMA Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2018-06-19 0.147 1.033
2018-06-12 0.147 1.026
2017-06-21 0.137 1.147
2017-06-13 0.137 1.194
2016-06-21 0.128 1.264
2016-06-14 0.128 1.358
2015-06-23 0.120 1.464
2015-06-11 0.120 1.569
2014-07-25 0.112 1.681
2013-06-13 0.104 1.829
2012-06-26 0.097 2.153
2012-06-14 0.097 2.436
2011-06-21 0.091 2.503
2010-06-22 0.085 2.596
2009-12-03 0.081 3.217
2009-06-29 0.079 3.785
2009-06-16 0.079 4.311
2009-04-22 0.077 4.407

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

  • Halma is not paying a notable dividend for United Kingdom of Great Britain and Northern Ireland, therefore no need to check if the payments are stable.
  • Halma is not paying a notable dividend for United Kingdom of Great Britain and Northern Ireland, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Halma's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Halma's dividends as it is not paying a notable one for United Kingdom of Great Britain and Northern Ireland.
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.1x coverage).
X
Income/ dividend checks
We assess Halma's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 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 Halma afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Halma has a total score of 1/6, see the detailed checks below.


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

Management

 What is the CEO of Halma'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
Andrew Williams
COMPENSATION £3,429,000
AGE 51
TENURE AS CEO 14.2 years
CEO Bio

Mr. Andrew J. Williams has been the Group Chief Executive Officer of Halma plc since February 2005 and has been Member its Executive Board since April 2002. Mr. Williams serves as Chief Executive of a FTSE 250 company. He has been an Executive Director of Halma Plc since July 13, 2004. He served as Deputy Chief Executive of Halma plc from December 1, 2004 to March 1, 2005. He joined Halma PLC in 1994 as Manufacturing Director of Reten Acoustics (now Palmer Environmental) and served as its Managing Director since 1997. Mr. Williams served as an Assistant Divisional Chief Executive of the Optics and Water Instrumentation Division since 2001. He served as the Chief Executive Officer of the Optics and Water Instrumentation Division at Halma plc since 2002. He has been Non-Executive Director of Capita Health and Wellbeing Limited since January 2015. He has been a Non-Executive Independent Director of Capita plc since January 1, 2015. He has been a Non-Executive Director at Capita Business Services Ltd. since January 2015. Mr. Williams is a Chartered Engineer and is a Production Engineering graduate of Birmingham University. He attended the Advanced Management Program at Wharton Business School, University of Pennsylvania in 2004.

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

Average tenure of the Halma management team in years:

3.9
Average Tenure
  • The tenure for the Halma management team is about average.
Management Team

Andrew Williams

TITLE
Group CEO
COMPENSATION
£3M
AGE
51
TENURE
14.2 yrs

Adam Meyers

TITLE
Chief Executive of Medical & Environmental Sectors
COMPENSATION
£1M
AGE
56
TENURE
16 yrs

Jennifer Ward

TITLE
Group Talent & Communications Director
COMPENSATION
£1M
TENURE
5.1 yrs

Marc Ronchetti

TITLE
Group CFO & Executive Director
TENURE
0.8 yrs

Paul Simmons

TITLE
Chief Executive of Infrastructure Safety Sector & Member of Executive Management Board
TENURE
2.8 yrs

Inken Braunschmidt

TITLE
Chief Innovation & Digital Officer and Member of Executive Board
TENURE
1.8 yrs
Board of Directors Tenure

Average tenure and age of the Halma board of directors in years:

4.8
Average Tenure
56
Average Age
  • The tenure for the Halma board of directors is about average.
Board of Directors

Paul Walker

TITLE
Non-Executive Chairman
COMPENSATION
£210K
AGE
61
TENURE
5.8 yrs

Andrew Williams

TITLE
Group CEO
COMPENSATION
£3M
AGE
51
TENURE
14.8 yrs

Adam Meyers

TITLE
Chief Executive of Medical & Environmental Sectors
COMPENSATION
£1M
AGE
56
TENURE
11 yrs

Jennifer Ward

TITLE
Group Talent & Communications Director
COMPENSATION
£1M
TENURE
2.6 yrs

Marc Ronchetti

TITLE
Group CFO & Executive Director

Tony Rice

TITLE
Senior Non-Executive Director
COMPENSATION
£68K
AGE
66
TENURE
3.8 yrs

Carole Cran

TITLE
Non-Executive Director
COMPENSATION
£62K
TENURE
3.3 yrs

Daniela Soares

TITLE
Non Executive Director
COMPENSATION
£52K
AGE
48
TENURE
7.4 yrs

Roy Twite

TITLE
Non-Executive Director
COMPENSATION
£52K
AGE
51
TENURE
4.8 yrs

Jo Harlow

TITLE
Non-Executive Director
COMPENSATION
£52K
AGE
56
TENURE
2.5 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 Halma'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. Halma 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.

News

Simply Wall St News

Are Halma plc’s (LON:HLMA) Returns On Investment Worth Your While?

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Return On Capital Employed (ROCE): What is it? … How Do You Calculate Return On Capital Employed

Simply Wall St -

Is Halma plc's (LON:HLMA) ROE Of 18% Impressive?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … That means that for every £1 worth of shareholders' equity, it generated £0.18 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Why Halma plc (LON:HLMA) Could Be Your Next Investment

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 -

Halma plc (LON:HLMA): What’s In It For The Shareholders?

What is left after investment, determines the value of the stock since this cash flow technically belongs to investors of the company. … Halma generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … I will be analysing Halma’s FCF by looking at its FCF yield and its operating cash flow growth.

Simply Wall St -

Here's What Halma plc's (LON:HLMA) P/E Is Telling Us

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … That corresponds to an earnings yield of approximately 2.9%. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

All You Need To Know About Halma plc's (LON:HLMA) Financial Health

Help shape the future of investing tools and you could win a $250 gift card! … This article will examine HLMA’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Note that this commentary is very high-level and solely focused on financial health, so I suggest you dig deeper yourself.

Simply Wall St -

Does Halma plc's (LON:HLMA) CEO Pay Compare Well With Peers?

In 2005 Andrew Williams was appointed CEO of Halma plc (LON:HLMA). … This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … How Does Andrew Williams's Compensation Compare With Similar Sized Companies?

Simply Wall St -

Is Halma plc’s (LON:HLMA) 16% ROCE Any Good?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Boasting A 18% Return On Equity, Is Halma plc (LON:HLMA) A Top Quality Stock?

Our data shows Halma has a return on equity of 18% for the last year. … That means that for every £1 worth of shareholders' equity, it generated £0.18 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does Halma plc's (LON:HLMA) Past Performance Indicate A Stronger Future?

Today I will assess HLMA's recent performance announced on 30 September 2018 and weigh these figures against its long-term trend and industry movements. … Did HLMA's recent earnings growth beat the long-term trend and the industry. … HLMA's trailing twelve-month earnings (from 30 September 2018) of UK£167m has.

Simply Wall St -

Company Info

Description

Halma plc provides process and infrastructure safety, medical, and environmental and analysis products worldwide. Its Process Safety segment offers safety systems for warehousing and hazardous industrial processes; gas detection instruments; pressure management products; interlocking systems for safeguarding dangerous machines; pipeline corrosion monitoring products and systems; and process safety systems. The company’s Infrastructure Safety segment provides networked fire detectors and control panels; smoke and heat detectors, sounders, beacons, and interfaces; wireless and wired fire detection devices; solutions for people and vehicle flow; flame detectors, beam smoke detectors, and specialist fire extinguishing systems; automatic fire detection and suppression systems; and electronic security systems and signaling products. Its Medical segment offers mechanical and fluidic components; ophthalmic diagnostic and surgical equipment, and pharmaceutical products; peristaltic, syringe, piston, and gear pumps; miniature valves, micro pumps, and fluid components; real-time location systems; specialized components and fluid transfer subassemblies; diagnostic medical devices; clinical grade non-invasive blood pressure monitoring products and technologies; and lenses as aids to diagnosis and surgery. The company’s Environmental & Analysis segment provides mass flow meters and controllers, and pressure controllers; ultraviolet disinfection and water treatment systems; optical and high temperature metallized fibers; multispectral and digital imaging systems; multi-utility M2M solutions; equipment and software to monitor and analyze water cycle; radiometric and photometric systems and software; spectrometers and spectral sensors; water and environmental analysis equipment; moisture management products; electrochemical sensors; opto-electronic solutions; and camera systems and devices. Halma plc was founded in 1894 and is headquartered in Amersham, the United Kingdom.

Details
Name: Halma plc
HLMA
Exchange: LSE
Founded: 1894
£6,589,077,567
379,009,351
Website: http://www.halma.com
Address: Halma plc
Misbourne Court,
Rectory Way,
Amersham,
Buckinghamshire, HP7 0DE,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE HLMA Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
OTCPK HLMA.F Ordinary Shares Pink Sheets LLC US USD 02. Jan 1992
DB H11 Ordinary Shares Deutsche Boerse AG DE EUR 02. Jan 1992
BATS-CHIXE HLMAL Ordinary Shares BATS 'Chi-X Europe' GB GBP 02. Jan 1992
Number of employees
Current staff
Staff numbers
6,341
Halma employees.
Industry
Electronic Equipment and Instruments
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/21 20:34
End of day share price update: 2019/04/18 00:00
Last estimates confirmation: 2019/04/18
Last earnings filing: 2018/11/20
Last earnings reported: 2018/09/30
Last annual earnings reported: 2018/03/31


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.