OTCPK:SHNW.F

Stock Analysis Report

Executive Summary

Schroders plc is a publicly owned investment manager.

Rewards


Snowflake Analysis


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SHNW.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

n/a

SHNW.F

-8.6%

US Capital Markets

-10.6%

US Market


1 Year Return

n/a

SHNW.F

4.9%

US Capital Markets

5.2%

US Market

Return vs Industry: Insufficient data to determine how SHNW.F performed against the US Capital Markets industry.

Return vs Market: Insufficient data to determine how SHNW.F performed against the US Market.


Shareholder returns

SHNW.FIndustryMarket
7 Dayn/a-8.6%-10.6%
30 Dayn/a-7.9%-8.5%
90 Dayn/a-4.4%-4.6%
1 Yearn/a7.1%4.9%7.4%5.2%
3 Year4.7%4.7%25.5%18.4%31.7%23.2%
5 Year-18.7%-18.7%65.9%50.7%56.4%39.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

22.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SHNW.F ($39) is trading below our estimate of fair value ($50.21)

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


Price To Earnings Ratio

PE vs Industry: SHNW.F is good value based on its PE Ratio (17.6x) compared to the Capital Markets industry average (30.2x).

PE vs Market: SHNW.F is poor value based on its PE Ratio (17.6x) compared to the US market (16.9x).


Price to Earnings Growth Ratio

PEG Ratio: SHNW.F is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: SHNW.F is good value based on its PB Ratio (2.3x) compared to the US Capital Markets industry average (6.2x).

Future Growth

How is Schroders forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

10.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SHNW.F's forecast earnings growth (10.4% per year) is above the savings rate (1.7%).

Earnings vs Market: SHNW.F's earnings (10.4% per year) are forecast to grow slower than the US market (13% per year).

High Growth Earnings: SHNW.F's earnings are forecast to grow, but not significantly.

Revenue vs Market: SHNW.F's revenue (3.3% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: SHNW.F's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SHNW.F's Return on Equity is forecast to be low in 3 years time (15%).

Past Performance

How has Schroders performed over the past 5 years?

6.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SHNW.F has high quality earnings.

Growing Profit Margin: SHNW.F's current net profit margins (18.2%) are lower than last year (22.6%).


Past Earnings Growth Analysis

Earnings Trend: SHNW.F's earnings have grown by 6.5% per year over the past 5 years.

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

Earnings vs Industry: SHNW.F had negative earnings growth (-24.3%) over the past year, making it difficult to compare to the Capital Markets industry average (8.5%).


Return on Equity

High ROE: SHNW.F's Return on Equity (13.1%) is considered low.


Return on Assets


Return on Capital Employed

Financial Health

How is Schroders's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: SHNW.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if SHNW.F's debt is covered by short term assets.


Financial Institutions Analysis

Asset Level: SHNW.F's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if SHNW.F has a sufficient allowance for bad loans.

Low Risk Liabilities: SHNW.F reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if SHNW.F has an acceptable proportion of non-loan assets held.

Low Risk Deposits: SHNW.F has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if SHNW.F has an appropriate level of bad loans.

Dividend

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

3.83%

Current Dividend Yield


Dividend Yield vs Market

company3.8%marketbottom25%1.6%markettop25%4.1%industryaverage2.1%forecastin3Years4.0%

Current dividend yield vs market & industry

Notable Dividend: SHNW.F's dividend (3.83%) is higher than the bottom 25% of dividend payers in the US market (1.59%).

High Dividend: SHNW.F's dividend (3.83%) is low compared to the top 25% of dividend payers in the US market (4.09%).


Stability and Growth of Payments

Stable Dividend: SHNW.F's dividends per share have been stable in the past 10 years.

Growing Dividend: SHNW.F's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (67.4%), SHNW.F's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: SHNW.F's dividends in 3 years are forecast to be covered by earnings (54.6% payout ratio).

Management

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

5.3yrs

Average management tenure


CEO

Peter Harrison (53yo)

3.8yrs

Tenure

UK£6,735,000

Compensation

Mr. Peter Harrison has been the Group Chief Executive Officer at Schroders plc since April 4, 2016. Mr. Harrison has been an Executive Director of Schroders Plc since May 23, 2014. He is responsible for th ...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD8.67M) is about average for companies of similar size in the US market ($USD10.81M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Peter Harrison
Group CEO & Executive Director3.8yrsUK£6.74m0.0027% £275.8k
Richard Keers
CFO & Executive Director6.8yrsUK£3.03m0.0014% £146.5k
Howard Trust
General Counsel0yrsUK£53.00kno data
Charles Prideaux
Global Head of Investment1.1yrsno datano data
Stewart Carmichael
Chief Technology Officer0yrsno datano data
Alex James
Investor Relations Manager0yrsno datano data
Estelle Bibby
Head of Media Relations0yrsno datano data
James Cardew
Global Head of Marketing0yrsno datano data
Emma Holden
Global Head of Human Resources5.3yrsno datano data
Mark Hemenetz
Chief Operating Officer of North American Unit16.9yrsno datano data

5.3yrs

Average Tenure

54yo

Average Age

Experienced Management: SHNW.F's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Peter Harrison
Group CEO & Executive Director3.8yrsUK£6.74m0.0027% £275.8k
Richard Keers
CFO & Executive Director6.8yrsUK£3.03m0.0014% £146.5k
Damon Buffini
Independent Non-Executive Director2yrsUK£75.00k0.0018% £182.9k
Michael Romsey Dobson
Chairman3.8yrsUK£635.00k0.10% £10.6m
Ian King
Senior Independent Director1.8yrsUK£114.00k0.00096% £97.0k
Philip Mallinckrodt
Non-Executive Director11.1yrsUK£80.00k0.0063% £638.5k
Rhian Davies
Independent Non-Executive Director4.6yrsUK£125.00k0.00036% £36.4k
Deborah Waterhouse
Independent Non-Executive Director0.9yrsno datano data
Rakhi Goss-Custard
Independent Non-Executive Director3.1yrsUK£83.00k0.00024% £24.2k
Leonie Emma Schroder
Non-Independent Non-Executive Director0.9yrsno data0.018% £1.9m

3.5yrs

Average Tenure

55yo

Average Age

Experienced Board: SHNW.F's board of directors are considered experienced (3.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SHNW.F insiders have only sold shares 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

Schroders plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Schroders plc
  • Ticker: SHNW.F
  • Exchange: OTCPK
  • Founded: 1804
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: UK£7.847b
  • Listing Market Cap: UK£10.102b
  • Shares outstanding: 276.10m
  • Website: https://www.schroders.com

Number of Employees


Location

  • Schroders plc
  • 1 London Wall Place
  • London
  • Greater London
  • EC2Y 5AU
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SHNW.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
SDRCLSE (London Stock Exchange)Non-Voting Ordinary SharesGBGBPJan 1992
SDRLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
PYXDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
PYXADB (Deutsche Boerse AG)Non-Voting Ordinary SharesDEEURJan 1992
SDRCLBATS-CHIXE (BATS 'Chi-X Europe')Non-Voting Ordinary SharesGBGBPJan 1992
SDRLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992

Biography

Schroders plc is a publicly owned investment manager. The firm also provides advisory and consultancy services. It provides its services to financial institutions, high net worth clients, large corporate, local authority, charitable entities, individuals, pension plans, government funds, insurance companies, and endowments. It launches and manages equity mutual funds and manages fixed income mutual funds for its clients. The firm also manages hedge for its clients. It invests in the public equity, fixed income, and alternative investment markets across the globe. The firm’s alternative investments include real estate markets, emerging market debt, commodities and agriculture funds, funds of hedge funds and private equity funds of funds. It conducts an in-house research to make its investments. Schroders plc was founded on 1804 and is headquartered in London, United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 00:55
End of Day Share Price2020/02/27 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.