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HONY

Honeywell Flour MillsNGSE:HONYFLOUR Stock Report

Market Cap

₦28.2b

7D

-0.3%

1Y

266.0%

Updated

17 Oct, 2021

Data

Company Financials
HONYFLOUR fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance5/6
Financial Health3/6
Dividends1/6

HONYFLOUR Overview

Honeywell Flour Mills Plc, a flour milling company, manufactures and markets wheat-based products in Nigeria.

Price History & Performance

Summary of all time highs, changes and price drops for Honeywell Flour Mills
Historical stock prices
Current Share Price₦3.55
52 Week High₦0.90
52 Week Low₦4.29
Beta0.89
1 Month Change-11.25%
3 Month Change104.02%
1 Year Change265.98%
3 Year Change186.29%
5 Year Change173.08%
Change since IPO-58.24%

Recent News & Updates

Shareholder Returns

HONYFLOURNG FoodNG Market
7D-0.3%1.0%1.6%
1Y266.0%30.3%40.0%

Return vs Industry: HONYFLOUR exceeded the NG Food industry which returned 30.3% over the past year.

Return vs Market: HONYFLOUR exceeded the NG Market which returned 40% over the past year.

Price Volatility

Is HONYFLOUR's price volatile compared to industry and market?
HONYFLOUR volatility
HONYFLOUR Beta0.89
Industry Beta0.84
Market Beta1

Stable Share Price: HONYFLOUR is more volatile than 90% of NG stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: HONYFLOUR's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of NG stocks.

About the Company

FoundedEmployeesCEOWebsite
1983832Lanre Jaiyeolahttps://www.honeywellflour.com

Honeywell Flour Mills Plc, a flour milling company, manufactures and markets wheat-based products in Nigeria. The company’s products include flour, semolina, wheat meal, and brown flour, as well as pasta and noodles. It offers its products under the Honeywell brand.

Honeywell Flour Mills Fundamentals Summary

How do Honeywell Flour Mills's earnings and revenue compare to its market cap?
HONYFLOUR fundamental statistics
Market Cap₦28.15b
Earnings (TTM)₦1.23b
Revenue (TTM)₦116.26b

22.9x

P/E Ratio

0.2x

P/S Ratio


Dividends

2.0%

Current Dividend Yield

45%

Payout Ratio

Valuation

Is Honeywell Flour Mills undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HONYFLOUR (NGN3.55) is trading below our estimate of fair value (NGN85.58)

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


Price To Earnings Ratio

PE vs Industry: HONYFLOUR is poor value based on its PE Ratio (22.9x) compared to the NG Food industry average (11.5x).

PE vs Market: HONYFLOUR is poor value based on its PE Ratio (22.9x) compared to the NG market (7.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HONYFLOUR is good value based on its PB Ratio (0.5x) compared to the NG Food industry average (1.3x).


Future Growth

How is Honeywell Flour Mills forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

10.8%

Forecasted Food, Beverage & Tobacco 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 Honeywell Flour Mills 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 Honeywell Flour Mills performed over the past 5 years?

-0.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HONYFLOUR has high quality earnings.

Growing Profit Margin: HONYFLOUR's current net profit margins (1.1%) are higher than last year (0.7%).


Past Earnings Growth Analysis

Earnings Trend: HONYFLOUR has become profitable over the past 5 years, growing earnings by -0.4% per year.

Accelerating Growth: HONYFLOUR's earnings growth over the past year (109.5%) exceeds its 5-year average (-0.4% per year).

Earnings vs Industry: HONYFLOUR earnings growth over the past year (109.5%) exceeded the Food industry 34.1%.


Return on Equity

High ROE: HONYFLOUR's Return on Equity (2.1%) is considered low.


Financial Health

How is Honeywell Flour Mills's financial position?


Financial Position Analysis

Short Term Liabilities: HONYFLOUR's short term assets (NGN63.9B) do not cover its short term liabilities (NGN80.2B).

Long Term Liabilities: HONYFLOUR's short term assets (NGN63.9B) exceed its long term liabilities (NGN25.9B).


Debt to Equity History and Analysis

Debt Level: HONYFLOUR's debt to equity ratio (116.4%) is considered high.

Reducing Debt: HONYFLOUR's debt to equity ratio has reduced from 270.7% to 116.4% over the past 5 years.

Debt Coverage: HONYFLOUR's debt is well covered by operating cash flow (32.5%).

Interest Coverage: HONYFLOUR's interest payments on its debt are not well covered by EBIT (1.3x coverage).


Balance Sheet


Dividend

What is Honeywell Flour Mills's current dividend yield, its reliability and sustainability?

1.97%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HONYFLOUR's dividend (1.97%) isn’t notable compared to the bottom 25% of dividend payers in the NG market (3.3%).

High Dividend: HONYFLOUR's dividend (1.97%) is low compared to the top 25% of dividend payers in the NG market (7.31%).


Stability and Growth of Payments

Stable Dividend: HONYFLOUR's dividend payments have been volatile in the past 10 years.

Growing Dividend: HONYFLOUR's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (45.1%), HONYFLOUR'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?

6.8yrs

Average board tenure


CEO

Lanre Jaiyeola

7.5yrs

Tenure

Mr. Olanrewaju Bamidele Jaiyeola, also known as Lanre, has been Chief Executive Officer and Managing Director of Honeywell Flour Mills Plc since April 2014 and served as its commercial director. Mr. Jaiyeo...


Board Members

Experienced Board: HONYFLOUR's board of directors are considered experienced (6.8 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.


Top Shareholders

Company Information

Honeywell Flour Mills Plc's employee growth, exchange listings and data sources


Key Information

  • Name: Honeywell Flour Mills Plc
  • Ticker: HONYFLOUR
  • Exchange: NGSE
  • Founded: 1983
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₦28.152b
  • Shares outstanding: 7.93b
  • Website: https://www.honeywellflour.com

Number of Employees


Location

  • Honeywell Flour Mills Plc
  • 6B Mekunwen Road
  • Off Oyinkan Abayomi Drive
  • Lagos
  • Nigeria

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/17 15:21
End of Day Share Price2021/10/15 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.