SGC

Stagecoach GroupLSE:SGC Stock Report

Market Cap

UK£475.9m

7D

23.5%

1Y

128.8%

Updated

22 Sep, 2021

Data

Company Financials +
SGC fundamental analysis
Snowflake Score
Valuation5/6
Future Growth5/6
Past Performance1/6
Financial Health0/6
Dividends0/6

SGC Overview

Stagecoach Group plc, together with its subsidiaries, provides public transportation services in the United Kingdom.

Stagecoach Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Stagecoach Group
Historical stock prices
Current Share PriceUK£0.82
52 Week HighUK£0.32
52 Week LowUK£1.11
Beta2
1 Month Change12.48%
3 Month Change-3.70%
1 Year Change128.80%
3 Year Change-48.10%
5 Year Change-60.43%
Change since IPO34.62%

Recent News & Updates

Jul 13
These 4 Measures Indicate That Stagecoach Group (LON:SGC) Is Using Debt Extensively

These 4 Measures Indicate That Stagecoach Group (LON:SGC) Is Using Debt Extensively

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

SGCGB TransportationGB Market
7D23.5%1.3%-1.2%
1Y128.8%76.3%22.6%

Return vs Industry: SGC exceeded the UK Transportation industry which returned 69.9% over the past year.

Return vs Market: SGC exceeded the UK Market which returned 22% over the past year.

Price Volatility

Is SGC's price volatile compared to industry and market?
SGC volatility
SGC Beta2
Industry Beta1.28
Market Beta1

Stable Share Price: SGC is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SGC's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198024,135Martin Griffithshttps://www.stagecoachgroup.com

Stagecoach Group plc, together with its subsidiaries, provides public transportation services in the United Kingdom. It operates through three segments: UK Bus (Regional Operations), UK Bus (London), and UK Rail. The company offers bus, coach, rail, and tram services.

Valuation

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

41.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SGC (£0.86) is trading below our estimate of fair value (£1.41)

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


Price To Earnings Ratio

PE vs Industry: SGC is good value based on its PE Ratio (14.3x) compared to the UK Transportation industry average (18.9x).

PE vs Market: SGC is good value based on its PE Ratio (14.3x) compared to the UK market (23.3x).


Price to Earnings Growth Ratio

PEG Ratio: SGC is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: SGC is overvalued based on its PB Ratio (7.8x) compared to the GB Transportation industry average (1.2x).


Future Growth

How is Stagecoach Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

29.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SGC's forecast earnings growth (29.1% per year) is above the savings rate (0.9%).

Earnings vs Market: SGC's earnings (29.1% per year) are forecast to grow faster than the UK market (13.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SGC's revenue (12.3% per year) is forecast to grow faster than the UK market (5% per year).

High Growth Revenue: SGC's revenue (12.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SGC's Return on Equity is forecast to be very high in 3 years time (57.2%).


Past Performance

How has Stagecoach Group performed over the past 5 years?

-17.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SGC has a large one-off gain of £244.0M impacting its May 1 2021 financial results.

Growing Profit Margin: SGC's current net profit margins (3.6%) are higher than last year (2.6%).


Past Earnings Growth Analysis

Earnings Trend: SGC's earnings have declined by 17.4% per year over the past 5 years.

Accelerating Growth: SGC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SGC had negative earnings growth (-11%) over the past year, making it difficult to compare to the Transportation industry average (36.4%).


Return on Equity

High ROE: Whilst SGC's Return on Equity (54.92%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Stagecoach Group's financial position?


Financial Position Analysis

Short Term Liabilities: SGC's short term assets (£730.7M) do not cover its short term liabilities (£779.0M).

Long Term Liabilities: SGC's short term assets (£730.7M) do not cover its long term liabilities (£835.9M).


Debt to Equity History and Analysis

Debt Level: SGC's debt to equity ratio (1383.8%) is considered high.

Reducing Debt: SGC's debt to equity ratio has increased from 408.2% to 1383.8% over the past 5 years.

Debt Coverage: SGC's debt is not well covered by operating cash flow (13.6%).

Interest Coverage: Insufficient data to determine if SGC's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

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

6.17%

Forecast Dividend Yield


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if SGC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: SGC is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SGC'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?

8.3yrs

Average management tenure


CEO

Martin Griffiths (55 yo)

8.33yrs

Tenure

UK£910,000

Compensation

Mr. Martin Andrew Griffiths, L.L.B. (Hons), C.A., has been the Chief Executive of Stagecoach Group Plc since May 1, 2013. Mr. Griffiths has been an Executive Director at Stagecoach Group Plc since 2000. He...


CEO Compensation Analysis

Compensation vs Market: Martin's total compensation ($USD1.24M) is about average for companies of similar size in the UK market ($USD974.32K).

Compensation vs Earnings: Martin's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: SGC's management team is seasoned and experienced (8.3 years average tenure).


Board Members

Experienced Board: SGC's board of directors are considered experienced (3.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Stagecoach Group plc's employee growth, exchange listings and data sources


Key Information

  • Name: Stagecoach Group plc
  • Ticker: SGC
  • Exchange: LSE
  • Founded: 1980
  • Industry: Trucking
  • Sector: Transportation
  • Market Cap: UK£475.949m
  • Shares outstanding: 550.87m
  • Website: https://www.stagecoachgroup.com

Number of Employees


Location

  • Stagecoach Group plc
  • 10 Dunkeld Road
  • Perth
  • Perthshire
  • PH1 5TW
  • United Kingdom

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/22 17:54
End of Day Share Price2021/09/22 00:00
Earnings2021/05/01
Annual Earnings2021/05/01


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.