FTG Holdings (NASE:FTGH) - Share price, News & Analysis

FTGH fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	1/6
Financial Health	3/6
Dividends	0/6

FTGH Overview

FTG Holdings Ltd, an investment holding company, engages in the manufacture and sale of plastic and allied products, paints, fibre glasses, iron, cosmetic, and synthetic hair products.

Rewards

PE ratio (2.8x) is below the KE market (6.8x)

Risk Analysis

Earnings have declined by 20.5% per year over past 5 years

Interest payments are not well covered by earnings

Does not have a meaningful market cap (KES240M)

Profit margins (2.6%) are lower than last year (3.9%)

Price History & Performance

Summary of all time highs, changes and price drops for FTG Holdings
Historical stock prices
Current Share Price	KSh1.35
52 Week High	KSh1.10
52 Week Low	KSh1.50
Beta	0.69
1 Month Change	1.50%
3 Month Change	0.75%
1 Year Change	-9.40%
3 Year Change	-58.46%
5 Year Change	-71.44%
Change since IPO	-87.52%

Shareholder Returns

	FTGH	KE Industrials	KE Market
7D	1.5%	0.7%	-0.2%
1Y	-9.4%	35.8%	28.5%

Return vs Industry: FTGH underperformed the KE Industrials industry which returned 35.8% over the past year.

Return vs Market: FTGH underperformed the KE Market which returned 28.5% over the past year.

Price Volatility

Is FTGH's price volatile compared to industry and market?
FTGH volatility
FTGH Beta	0.69
Industry Beta	0.82
Market Beta	1

Stable Share Price: FTGH is not significantly more volatile than the rest of KE stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FTGH's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2012	1,000	Heril Bangera	https://www.flametreegroup.com

FTG Holdings Ltd, an investment holding company, engages in the manufacture and sale of plastic and allied products, paints, fibre glasses, iron, cosmetic, and synthetic hair products. The company manufactures plastic water tanks, septic tanks, PVC pipes, and spice products under the ROTO, JOJO, RINO, and Poly play brand names. It also manufactures various skin care, hair care, nail care, and color cosmetic products under the Zoe, Alana, Cerro, Suzie Beauty, Blackangel, Siora, Miss Africa, and Sylva brands; and produces spices, snacks, and savories under the Chigs, Nature’s Own, Honey Comb, gonuts, and Happy’s golden brands.

FTG Holdings Fundamentals Summary

How do FTG Holdings's earnings and revenue compare to its market cap?
FTGH fundamental statistics
Market Cap	KSh240.37m
Earnings (TTM)	KSh86.78m
Revenue (TTM)	KSh3.37b

2.8x

P/E Ratio

0.07x

P/S Ratio

Is FTGH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FTGH income statement (TTM)
Revenue	KSh3.37b
Cost of Revenue	KSh2.18b
Gross Profit	KSh1.19b
Expenses	KSh1.10b
Earnings	KSh86.78m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.49
Gross Margin	35.35%
Net Profit Margin	2.58%
Debt/Equity Ratio	64.9%

How did FTGH perform over the long term?

See historical performance and comparison

Valuation

Is FTG Holdings undervalued compared to its fair value and its price relative to the market?

2.77x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: FTGH (KES1.35) is trading above our estimate of fair value (KES1.24)

Significantly Below Fair Value: FTGH is trading above our estimate of fair value.

Price To Earnings Ratio

PE vs Industry: FTGH is good value based on its PE Ratio (2.8x) compared to the African Industrials industry average (13.9x).

PE vs Market: FTGH is good value based on its PE Ratio (2.8x) compared to the KE market (6.8x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate FTGH's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: FTGH is good value based on its PB Ratio (0.2x) compared to the XF Industrials industry average (0.9x).

Future Growth

How is FTG Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.7%

Forecasted Capital Goods industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as FTG Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has FTG Holdings performed over the past 5 years?

-20.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FTGH has high quality earnings.

Growing Profit Margin: FTGH's current net profit margins (2.6%) are lower than last year (3.9%).

Past Earnings Growth Analysis

Earnings Trend: FTGH's earnings have declined by 20.5% per year over the past 5 years.

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

Earnings vs Industry: FTGH had negative earnings growth (-4.3%) over the past year, making it difficult to compare to the Industrials industry average (35.6%).

Return on Equity

High ROE: FTGH's Return on Equity (7.3%) is considered low.

Financial Health

How is FTG Holdings's financial position?

Financial Position Analysis

Short Term Liabilities: FTGH's short term assets (KES1.2B) exceed its short term liabilities (KES1.1B).

Long Term Liabilities: FTGH's short term assets (KES1.2B) exceed its long term liabilities (KES404.7M).

Debt to Equity History and Analysis

Debt Level: FTGH's debt to equity ratio (64.9%) is considered high.

Reducing Debt: FTGH's debt to equity ratio has increased from 45.6% to 64.9% over the past 5 years.

Debt Coverage: FTGH's debt is well covered by operating cash flow (33.2%).

Interest Coverage: FTGH's interest payments on its debt are not well covered by EBIT (2.5x coverage).

Balance Sheet

Dividend

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

Dividend Yield vs Market

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

High Dividend: Unable to evaluate FTGH'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 FTGH's dividends per share have been stable in the past.

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

Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FTGH's dividend in 3 years as they are not forecast to pay a notable one for the KE market.

Next Steps

Explore strong dividend paying companies in the Capital Goods industry.

Management

How experienced are the management team and are they aligned to shareholders interests?

7.8yrs

Average board tenure

CEO

Heril Bangera (50 yo)

no data

Tenure

KSh20,105,000

Compensation

Mr. Heril Colbert Bangera is Founder of FTG Holdings Limited and serves as its Chief Executive Officer and Managing Director. Mr. Bangera began the first subsidiary of the Flame Tree Group, Roto Moulders L...

CEO Compensation Analysis

Compensation vs Market: Heril's total compensation ($USD180.88K) is about average for companies of similar size in the KE market ($USD235.11K).

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

Board Members

Experienced Board: FTGH's board of directors are considered experienced (7.8 years average tenure).

Ownership

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

Insider Trading Volume

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

Ownership Breakdown

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

Data	Last Updated (UTC time)
Company Analysis	2021/10/24 14:01
End of Day Share Price	2021/10/22 00:00
Earnings	2021/06/30
Annual Earnings	2020/12/31

Market Cap

7D

1Y

Updated

Data