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UCAP

United CapitalNGSE:UCAP Stock Report

Market Cap

₦55.2b

7D

-2.6%

1Y

142.1%

Updated

21 Oct, 2021

Data

Company Financials
UCAP fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance5/6
Financial Health3/6
Dividends3/6

UCAP Overview

United Capital Plc, together with its subsidiaries, provides investment banking, portfolio management, securities trading, and trusteeship services in Nigeria.

Price History & Performance

Summary of all time highs, changes and price drops for United Capital
Historical stock prices
Current Share Price₦9.20
52 Week High₦3.70
52 Week Low₦9.90
Beta0.78
1 Month Change2.22%
3 Month Change25.17%
1 Year Change142.11%
3 Year Change206.67%
5 Year Change272.47%
Change since IPO624.41%

Recent News & Updates

Shareholder Returns

UCAPNG Capital MarketsNG Market
7D-2.6%0.6%1.4%
1Y142.1%42.9%41.3%

Return vs Industry: UCAP exceeded the NG Capital Markets industry which returned 43% over the past year.

Return vs Market: UCAP exceeded the NG Market which returned 40.4% over the past year.

Price Volatility

Is UCAP's price volatile compared to industry and market?
UCAP volatility
UCAP Beta0.78
Industry Beta0.87
Market Beta1

Stable Share Price: UCAP is not significantly more volatile than the rest of NG stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: UCAP's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
200294Peter Ashadehttps://www.unitedcapitalplcgroup.com

United Capital Plc, together with its subsidiaries, provides investment banking, portfolio management, securities trading, and trusteeship services in Nigeria. The company offers issuing house, corporate investment advisory, project finance, debt restructuring, mergers and acquisitions, asset management, and debt capital market services. It also provides trust services, such as debenture trust; bond trusteeship to corporate and sub-sovereign issuers of public debt instruments; and trustees to collective investment schemes.

United Capital Fundamentals Summary

How do United Capital's earnings and revenue compare to its market cap?
UCAP fundamental statistics
Market Cap₦55.20b
Earnings (TTM)₦10.31b
Revenue (TTM)₦17.09b

5.4x

P/E Ratio

3.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
UCAP income statement (TTM)
Revenue₦17.09b
Cost of Revenue₦0
Gross Profit₦17.09b
Expenses₦6.78b
Earnings₦10.31b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.72
Gross Margin100.00%
Net Profit Margin60.34%
Debt/Equity Ratio280.2%

How did UCAP perform over the long term?

See historical performance and comparison

Dividends

7.6%

Current Dividend Yield

41%

Payout Ratio

Valuation

Is United Capital undervalued compared to its fair value and its price relative to the market?

5.35x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: UCAP (NGN9.2) is trading above our estimate of fair value (NGN3.3)

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


Price To Earnings Ratio

PE vs Industry: UCAP is good value based on its PE Ratio (5.4x) compared to the African Capital Markets industry average (10.8x).

PE vs Market: UCAP is good value based on its PE Ratio (5.4x) compared to the NG market (7.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: UCAP is overvalued based on its PB Ratio (2.1x) compared to the XF Capital Markets industry average (1x).


Future Growth

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

8.1%

Forecasted Diversified Financials 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 United Capital 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 United Capital performed over the past 5 years?

9.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UCAP has high quality earnings.

Growing Profit Margin: UCAP's current net profit margins (60.3%) are higher than last year (53.8%).


Past Earnings Growth Analysis

Earnings Trend: UCAP's earnings have grown by 9.9% per year over the past 5 years.

Accelerating Growth: UCAP's earnings growth over the past year (81.2%) exceeds its 5-year average (9.9% per year).

Earnings vs Industry: UCAP earnings growth over the past year (81.2%) exceeded the Capital Markets industry 36.3%.


Return on Equity

High ROE: Whilst UCAP's Return on Equity (38.35%) is high, this metric is skewed due to their high level of debt.


Financial Health

How is United Capital's financial position?


Financial Position Analysis

Short Term Liabilities: UCAP's short term assets (NGN250.2B) do not cover its short term liabilities (NGN259.8B).

Long Term Liabilities: UCAP's short term assets (NGN250.2B) exceed its long term liabilities (NGN114.0B).


Debt to Equity History and Analysis

Debt Level: UCAP's debt to equity ratio (280.2%) is considered high.

Reducing Debt: UCAP's debt to equity ratio has reduced from 301.7% to 280.2% over the past 5 years.

Debt Coverage: UCAP's debt is well covered by operating cash flow (228.4%).

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


Balance Sheet


Dividend

What is United Capital current dividend yield, its reliability and sustainability?

7.61%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: UCAP's dividend (7.61%) is higher than the bottom 25% of dividend payers in the NG market (3.28%).

High Dividend: UCAP's dividend (7.61%) is in the top 25% of dividend payers in the NG market (7.27%)


Stability and Growth of Payments

Stable Dividend: UCAP has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: UCAP's dividend payments have increased, but the company has only paid a dividend for 8 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40.7%), UCAP's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

3.0yrs

Average management tenure


CEO

Peter Ashade

3.25yrs

Tenure

Mr. Peter O. Ashade serves as Chief Executive Officer of United Capital Plc since July 2, 2018 and serves as Executive Director. He was the Chief Executive Officer and Managing Director of Africa Prudentia...


Leadership Team

Experienced Management: UCAP's management team is considered experienced (3 years average tenure).


Board Members

Experienced Board: UCAP's board of directors are considered experienced (3 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.


Top Shareholders

Company Information

United Capital Plc's employee growth, exchange listings and data sources


Key Information

  • Name: United Capital Plc
  • Ticker: UCAP
  • Exchange: NGSE
  • Founded: 2002
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: ₦55.200b
  • Shares outstanding: 6.00b
  • Website: https://www.unitedcapitalplcgroup.com

Number of Employees


Location

  • United Capital Plc
  • 97/105, Broad Street
  • Lagos
  • Nigeria

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/21 21:02
End of Day Share Price2021/10/21 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.