OTCPK:GENS.F

Stock Analysis Report

Executive Summary

Genus plc operates as an animal genetics company in North America, Latin America, rest of Europe, the Middle East, Africa, and Asia.

Snowflake

Fundamentals

Excellent balance sheet with moderate growth potential.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

16.2%

GENS.F

1.7%

US Biotechs

1.3%

US Market


1 Year Return

n/a

GENS.F

-8.8%

US Biotechs

5.9%

US Market

Return vs Industry: Insufficient data to determine how GENS.F performed against the US Biotechs industry.

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


Shareholder returns

GENS.FIndustryMarket
7 Day16.2%1.7%1.3%
30 Day16.2%-3.5%-1.9%
90 Dayn/a-3.1%-1.8%
1 Yearn/a-8.0%-8.8%8.3%5.9%
3 Year57.6%57.6%13.9%9.9%45.6%36.2%
5 Yearn/a3.8%-1.2%66.1%47.9%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

246.09x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: GENS.F ($38.05) is trading above our estimate of fair value ($11.08)

Significantly Undervalued: GENS.F is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: GENS.F is poor value based on its PE Ratio (246.1x) compared to the Biotechs industry average (17.3x).

PE vs Market: GENS.F is poor value based on its PE Ratio (246.1x) compared to the US market (17.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: GENS.F is poor value based on its PEG Ratio (6.9x)


Price to Book Ratio

PB vs Industry: GENS.F is overvalued based on its PB Ratio (3.9x) compared to the US Biotechs industry average (2.5x).


Next Steps

Future Growth

How is Genus forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

35.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GENS.F's forecast earnings growth (35.6% per year) is above the savings rate (2.7%).

Earnings vs Market: GENS.F's earnings (35.6% per year) are forecast to grow faster than the US market (14.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: GENS.F's revenue (6.1% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: GENS.F's revenue (6.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: GENS.F's Return on Equity is forecast to be low in 3 years time (9.2%).


Next Steps

Past Performance

How has Genus performed over the past 5 years?

-9.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GENS.F's earnings have declined by -9.8% per year over the past 5 years.

Accelerating Growth: GENS.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: GENS.F had negative earnings growth (-81.7%) over the past year, making it difficult to compare to the Biotechs industry average (78.4%).


Return on Equity

High ROE: GENS.F's Return on Equity (1.3%) is considered low.


Return on Assets

ROA vs Industry: GENS.F's Return on Assets is below or equal to the Biotechs industry average last year.


Return on Capital Employed

ROCE Improving: GENS.F has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Genus's financial position?


Financial Position Analysis

Short Term Liabilities: GENS.F's short term assets (£209.2M) exceeds its short term liabilities (£104.2M)

Long Term Liabilities: GENS.F's short term assets (209.2M) do not cover its long term liabilities (217.6M)


Debt to Equity History and Analysis

Debt Level: GENS.F's debt to equity ratio (20.7%) is considered satisfactory

Reducing Debt: GENS.F's debt to equity ratio has reduced from 29.6% to 20.7% over the past 5 years.

Debt Coverage: GENS.F's debt is well covered by operating cash flow (32.1%).

Interest Coverage: GENS.F's interest payments on its debt are well covered by EBIT (14.8x coverage).


Balance Sheet

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

Debt Coverage by Assets: GENS.F's debt is covered by short term assets (assets are 2.011530x debt).


Next Steps

Dividend

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

0.91%

Current Dividend Yield


Dividend Yield vs Market

company0.9%marketbottom25%1.5%markettop25%3.8%industryaverage2.0%forecastin3Years1.1%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: GENS.F's dividend (0.91%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: GENS.F's dividend (0.91%) is low compared to the top 25% of dividend payers in the US market (3.77%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (224.2%), GENS.F's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GENS.F's dividends in 3 years are forecast to be well covered by earnings (35.7% payout ratio).


Next Steps

Management

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

2.5yrs

Average management tenure


CEO

Stephen Wilson (59yo)

0.08yrs

Tenure

UK£1,544,000

Compensation

Mr. Stephen Wilson serves as Chief Executive Officer and Director of Genus plc since September 13, 2019. Mr. Wilson served as Group Finance Director of Genus plc since March 1, 2013 and served as its Execu ...


CEO Compensation Analysis

Compensation vs. Market: Stephen has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

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


Management Age and Tenure

2.5yrs

Average Tenure

Experienced Management: GENS.F's management team is considered experienced (2.5 years average tenure).


Board Age and Tenure

2.4yrs

Average Tenure

65.5yo

Average Age

Experienced Board: GENS.F's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: GENS.F insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUK£484,20020 Sep 19
Stephen Wilson
EntityIndividual
Role
Chief Executive Officer
Chief Executive Officer & Director
Shares13,095
Max PriceUK£36.98
SellUK£268,50020 Sep 19
Dan Hartley
EntityIndividual
Role
Chief Legal Officer
Group General Counsel & Company Secretary
Shares7,267
Max PriceUK£36.95

Ownership Breakdown


Management Team

  • Bill Christianson

    Chief Operating Officer of Genus PIC

    • Tenure: 9.7yrs
  • Angelle Rosata

    Group Human Resources Director

    • Tenure: 2.3yrs
  • Stephen Wilson (59yo)

    Chief Executive Officer & Director

    • Tenure: 0.08yrs
    • Compensation: UK£1.54m
  • Cara Crichton

    Deputy Company Secretary

    • Tenure: 0yrs
  • Jerry Thompson

    Chief Operating Officer of Genus ABS Beef

    • Tenure: 7.3yrs
  • Dan Hartley

    Group General Counsel & Company Secretary

    • Tenure: 5.3yrs
  • Nate Zwald

    Chief Operating Officer of Genus ABS Dairy

    • Tenure: 2.7yrs
  • Elena Rice

    Chief Scientific Officer

    • Tenure: 0.8yrs
  • Janet Duane

    Interim Group Finance Director & Group Financial Controller

    • Tenure: 0.08yrs

Board Members

  • Ian Charles

    Non-Executive Director

    • Tenure: 1.3yrs
  • Lesley Mary Knox (66yo)

    Senior Independent Non-Executive Director

    • Tenure: 0.9yrs
    • Compensation: UK£5.00k
  • Bob Lawson (74yo)

    Non-Executive Chairman

    • Tenure: 8.9yrs
    • Compensation: UK£162.00k
  • Lykele van der Broek (65yo)

    Non-Executive Director & Chairman of the Supervisory Board

    • Tenure: 0.9yrs
    • Compensation: UK£56.00k
  • Stephen Wilson (59yo)

    Chief Executive Officer & Director

    • Tenure: 0.08yrs
    • Compensation: UK£1.54m
  • Lysanne Gray

    Non-Executive Director

    • Tenure: 3.5yrs
    • Compensation: UK£61.00k

Company Information

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


Key Information

  • Name: Genus plc
  • Ticker: GENS.F
  • Exchange: OTCPK
  • Founded: 1994
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: UK£1.963b
  • Listing Market Cap: UK£2.469b
  • Shares outstanding: 64.58m
  • Website: https://www.genusplc.com

Number of Employees


Location

  • Genus plc
  • Matrix House
  • Basing View
  • Basingstoke
  • Hampshire
  • RG21 4DZ
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GNSLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1998
GENS.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1998
GBEDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1998
GNSLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1998

Biography

Genus plc operates as an animal genetics company in North America, Latin America, rest of Europe, the Middle East, Africa, and Asia. The company operates through three segments: Genus PIC, Genus ABS, and R ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 00:01
End of Day Share Price2019/10/14 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.