LSE:CKN

Stock Analysis Report

Executive Summary

Clarkson PLC provides integrated shipping services worldwide.

Snowflake

Fundamentals

Excellent balance sheet established dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

LSE:CKN

4.4%

GB Shipping

1.1%

GB Market


1 Year Return

-14.6%

LSE:CKN

-11.0%

GB Shipping

-4.8%

GB Market

CKN underperformed the Shipping industry which returned -10.9% over the past year.

CKN underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -5.7% over the past year.


Share holder returns

CKNIndustryMarket
7 Day0%4.4%1.1%
30 Day-8.4%2.3%-3.5%
90 Day4.8%11.1%-0.7%
1 Year-11.9%-14.6%-3.5%-11.0%-0.3%-4.8%
3 Year16.3%6.9%12.7%-1.8%19.4%5.3%
5 Year19.5%4.3%-8.0%-30.8%27.8%0.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Clarkson undervalued based on future cash flows and its price relative to the stock market?

17%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Clarkson's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Clarkson's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Clarkson is overvalued based on earnings compared to the Europe Shipping industry average.

Clarkson is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.


Price Based on Expected Growth

Clarkson is poor value based on expected growth next year.


Price Based on Value of Assets

Clarkson is overvalued based on assets compared to the Europe Shipping industry average.


Next Steps

Future Growth

How is Clarkson expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

10.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Clarkson's revenue is expected to grow by 4.5% yearly, however this is not considered high growth (20% yearly).

Clarkson's earnings are expected to grow by 10.9% yearly, however this is not considered high growth (20% yearly).

Clarkson's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.

Clarkson's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.

Clarkson's earnings growth is expected to exceed the low risk savings rate of 1.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Clarkson is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Clarkson performed over the past 5 years?

14.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Clarkson's year on year earnings growth rate has been positive over the past 5 years.

Clarkson's 1-year earnings growth is less than its 5-year average (6.9% vs 14.1%)

Clarkson's earnings growth has not exceeded the Europe Shipping industry average in the past year (6.9% vs 17.5%).


Return on Equity

Clarkson has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Clarkson used its assets more efficiently than the Europe Shipping industry average last year based on Return on Assets.


Return on Capital Employed

Clarkson's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Clarkson's financial position?


Financial Position Analysis

Clarkson is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Clarkson's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Clarkson's level of debt (1.4%) compared to net worth is satisfactory (less than 40%).

Unable to establish if Clarkson's debt level has increased without past 5-year debt data.

Debt is well covered by operating cash flow (944.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 230x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 38.2x debt.


Next Steps

Dividend

What is Clarkson's current dividend yield, its reliability and sustainability?

3.46%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Clarkson before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Clarkson's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.1%).

Clarkson's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.72%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.4x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.6x coverage).


Next Steps

Management

What is the CEO of Clarkson's salary, the management and board of directors tenure and is there insider trading?

6.3yrs

Average management tenure


CEO

Andi Case (52yo)

11.2yrs

Tenure

UK£2,758,000

Compensation

Mr. Andi Case has been the Chief Executive Officer at Clarkson plc since June 17, 2008. Mr. Case served as an Interim Chief Executive of Clarkson plc from May 7, 2008 to June 2008 and served as its Chief O ...


CEO Compensation Analysis

Andi's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.

Andi's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

6.3yrs

Average Tenure

58yo

Average Age

The average tenure for the Clarkson management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

4.8yrs

Average Tenure

60.5yo

Average Age

The tenure for the Clarkson board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyUK£23,00025 Mar 19
Peter Backhouse
EntityIndividual
Role
Lead Director
Senior Independent Director
Shares1,000
Max PriceUK£23.00
BuyUK£49,68015 Mar 19
William Gennydd Thomas
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares2,083
Max PriceUK£23.85
BuyUK£71,88015 Mar 19
Peter Backhouse
EntityIndividual
Role
Lead Director
Senior Independent Director
Shares3,000
Max PriceUK£23.96
BuyUK£13,99419 Feb 19
James Hughes-Hallett
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares663
Max PriceUK£21.11
SellUK£1,418,60813 Sep 18
Peter Anker
EntityIndividual
Shares52,059
Max PriceUK£27.25
SellUK£1,134,88113 Sep 18
Birger Nergaard
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares41,647
Max PriceUK£27.25

Ownership Breakdown


Management Team

  • Jeff Woyda (58yo)

    CFO, COO & Executive Director

    • Tenure: 12.8yrs
    • Compensation: UK£959.00k
  • Robert Stopford (71yo)

    Consultant of Maritime Economics and President of Clarkson Research Services

    • Tenure: 7.4yrs
    • Compensation: UK£50.00k
  • Andi Case (52yo)

    CEO & Director

    • Tenure: 11.2yrs
    • Compensation: UK£2.76m
  • Mike Cahill

    Financial Controller

    • Tenure: 0.0yrs
  • Matt Russell

    Head of Specialised Products

    • Tenure: 5.3yrs
  • Richard Whittet

    Managing Director of Specialised Products

    • Tenure: 0.0yrs
  • Rachel Spencer

    Company Secretary

    • Tenure: 1.3yrs
  • Janet Sykes

    Head of Media

    • Tenure: 0.0yrs
  • Kate Hoare

    Head of Public Relations

    • Tenure: 0.0yrs
  • John Beckwith

    Head of Human Resources

    • Tenure: 0.0yrs

Board Members

  • Peter Backhouse (68yo)

    Senior Independent Director

    • Tenure: 5.8yrs
    • Compensation: UK£76.00k
  • Jeff Woyda (58yo)

    CFO, COO & Executive Director

    • Tenure: 12.8yrs
    • Compensation: UK£959.00k
  • Birger Nergaard (68yo)

    Independent Non-Executive Director

    • Tenure: 4.5yrs
    • Compensation: UK£57.00k
  • John Hughes-Hallett (69yo)

    Independent Non-Executive Director

    • Tenure: 5.0yrs
    • Compensation: UK£167.00k
  • Tim Miller (62yo)

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: UK£47.00k
  • Marie-Louise Clayton (58yo)

    Independent Non-Executive Director

    • Tenure: 2.6yrs
    • Compensation: UK£76.00k
  • Bill Gennydd Thomas (59yo)

    Non-Executive Chairman

    • Tenure: 0.5yrs
  • Andi Case (52yo)

    CEO & Director

    • Tenure: 11.2yrs
    • Compensation: UK£2.76m

Company Information

Clarkson PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Clarkson PLC
  • Ticker: CKN
  • Exchange: LSE
  • Founded: 1852
  • Industry: Marine
  • Sector: Transportation
  • Market Cap: UK£721.962m
  • Shares outstanding: 30.21m
  • Website: https://www.clarksons.com

Number of Employees


Location

  • Clarkson PLC
  • Commodity Quay
  • St. Katharine Docks
  • London
  • Greater London
  • E1W 1BF
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CKNH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
CKNLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
CKNlBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992
1DHDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992

Biography

Clarkson PLC provides integrated shipping services worldwide. It operates through four segments: Broking, Financial, Support, and Research. The Broking segment includes services provided to ship owners and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/21 20:35
End of Day Share Price2019/08/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.