NYSE:MANU

Stock Analysis Report

Executive Summary

Manchester United plc, together with its subsidiaries, owns and operates a professional sports team in the United Kingdom.

Snowflake

Fundamentals

Moderate growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.2%

MANU

-3.1%

US Entertainment

-0.6%

US Market


1 Year Return

-27.4%

MANU

-0.2%

US Entertainment

0.7%

US Market

MANU underperformed the Entertainment industry which returned -0.2% over the past year.

MANU underperformed the Market in United States of America which returned 0.6% over the past year.


Share holder returns

MANUIndustryMarket
7 Day1.2%-3.1%-0.6%
30 Day2.9%-0.8%2.9%
90 Day-0.8%-6.8%1.3%
1 Year-26.7%-27.4%0.5%-0.2%2.9%0.7%
3 Year4.7%1.6%59.8%54.5%44.6%35.2%
5 Year11.1%6.7%87.5%75.7%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

1 month ago | Simply Wall St

Manchester United plc (NYSE:MANU): What Does The Future Look Like?

Valuation

Is Manchester United undervalued based on future cash flows and its price relative to the stock market?

16%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Manchester United's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Manchester United's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Manchester United is overvalued based on earnings compared to the US Entertainment industry average.

Manchester United is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Manchester United is poor value based on expected growth next year.


Price Based on Value of Assets

Manchester United is overvalued based on assets compared to the US Entertainment industry average.


Next Steps

Future Growth

How is Manchester United expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

44.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Manchester United's revenue is expected to grow by 5.5% yearly, however this is not considered high growth (20% yearly).

Manchester United's earnings are expected to grow significantly at over 20% yearly.

Manchester United's revenue growth is positive but not above the United States of America market average.

Manchester United's earnings growth is expected to exceed the United States of America market average.

Manchester United's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Manchester United is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Manchester United performed over the past 5 years?

-36.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Manchester United's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Manchester United's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Manchester United's 1-year earnings growth is negative, it can't be compared to the US Entertainment industry average.


Return on Equity

Manchester United has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Manchester United used its assets less efficiently than the US Entertainment industry average last year based on Return on Assets.


Return on Capital Employed

Manchester United's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Manchester United's financial position?


Financial Position Analysis

Manchester United is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Manchester United's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Manchester United's level of debt (109.2%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (70.6% vs 109.2% today).

Debt is well covered by operating cash flow (39.4%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.5x annual interest expense, ideally 3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.8x debt.


Next Steps

Dividend

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

1.20%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Manchester United's pays a lower dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).

Manchester United's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).

Whilst dividend payments have been stable, Manchester United has been paying a dividend for less than 10 years.

Dividend payments have increased, but Manchester United only paid a dividend in the past 4 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.3x coverage).


Future Payout to Shareholders

Dividends after 3 years are not well covered by earnings (0.8x coverage).


Next Steps

Management

What is the CEO of Manchester United's salary, the management and board of directors tenure and is there insider trading?

3.5yrs

Average management tenure


CEO

Joel Glazer (52yo)

0yrs

Tenure

0

Mr. Joel M. Glazer has been Executive Co-Chairman of Manchester United plc (alternate name, Manchester United Limited) since June 6, 2005 and also serves as its Principal Executive Officer. Mr. Glazer has  ...


Management Age and Tenure

3.5yrs

Average Tenure

48yo

Average Age

The tenure for the Manchester United management team is about average.


Board Age and Tenure

7.0yrs

Average Tenure

52yo

Average Age

The tenure for the Manchester United board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Avie Glazer (59yo)

    Executive Co-Chairman

    • Tenure: 0yrs
  • Joel Glazer (52yo)

    Executive Co-Chairman & Principal Executive Officer

    • Tenure: 0yrs
  • Charlie Brooks

    Director of Communications

    • Tenure: 0yrs
  • Ed Woodward (47yo)

    Executive Vice Chairman

    • Tenure: 0yrs
  • Richard Arnold (48yo)

    Group MD & Director

    • Tenure: 0yrs
  • Phil Lynch

    Chief Executive Officer of Media

    • Tenure: 2.6yrs
  • Cliff Baty (48yo)

    CFO & Director

    • Tenure: 0yrs
  • John Alexander

    Secretary

    • Tenure: 0yrs
  • Phil Rainford

    Head of Stadium Safety & Security

    • Tenure: 0yrs

Board Members

  • Avie Glazer (59yo)

    Executive Co-Chairman

    • Tenure: 0yrs
  • Edward Glazer (49yo)

    Director

    • Tenure: 6.8yrs
  • Bryan Glazer (54yo)

    Director

    • Tenure: 14.3yrs
  • Kevin Glazer (57yo)

    Director

    • Tenure: 0yrs
  • Joel Glazer (52yo)

    Executive Co-Chairman & Principal Executive Officer

    • Tenure: 0yrs
  • Manu Sawhney (52yo)

    Independent Director

    • Tenure: 7yrs
  • Robert Leitão (56yo)

    Independent Director

    • Tenure: 0yrs
  • Ed Woodward (47yo)

    Executive Vice Chairman

    • Tenure: 0yrs
  • Richard Arnold (48yo)

    Group MD & Director

    • Tenure: 0yrs
  • Cliff Baty (48yo)

    CFO & Director

    • Tenure: 0yrs

Company Information

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


Key Information

  • Name: Manchester United plc
  • Ticker: MANU
  • Exchange: NYSE
  • Founded: 1878
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: US$2.879b
  • Shares outstanding: 164.53m
  • Website: https://www.manutd.com

Number of Employees


Location

  • Manchester United plc
  • Sir Matt Busby Way
  • Old Trafford
  • Manchester
  • Greater Manchester
  • M16 0RA
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MANUNYSE (New York Stock Exchange)YesClass A Ordinary SharesUSUSDAug 2012
MANU NBMV (Bolsa Mexicana de Valores)YesClass A Ordinary SharesMXMXNAug 2012
0Z1QLSE (London Stock Exchange)YesClass A Ordinary SharesGBUSDAug 2012

Biography

Manchester United plc, together with its subsidiaries, owns and operates a professional sports team in the United Kingdom. The company operates Manchester United Football Club, a professional football club ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/22 00:29
End of Day Share Price2019/09/20 00:00
Earnings2019/03/31
Annual Earnings2018/06/30


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.