NYSE:UTL

Stock Analysis Report

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Executive Summary

Unitil Corporation, a public utility holding company, engages in the distribution of electricity and natural gas.


Snowflake Analysis

Established dividend payer with questionable track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

2.9%

UTL

1.2%

US Integrated Utilities

0.7%

US Market


1 Year Return

-28.2%

UTL

-3.4%

US Integrated Utilities

20.1%

US Market

Return vs Industry: UTL underperformed the US Integrated Utilities industry which returned -4.5% over the past year.

Return vs Market: UTL underperformed the US Market which returned 17.1% over the past year.


Shareholder returns

UTLIndustryMarket
7 Day2.9%1.2%0.7%
30 Day-6.8%6.8%6.4%
90 Day-6.5%10.1%20.1%
1 Year-26.7%-28.2%-0.1%-3.4%22.6%20.1%
3 Year-9.3%-16.1%19.6%7.7%45.1%35.7%
5 Year30.8%13.1%52.9%28.0%79.7%60.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

19.56x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: UTL ($41.94) is trading above our estimate of fair value ($31.83)

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


Price To Earnings Ratio

PE vs Industry: UTL is poor value based on its PE Ratio (19.6x) compared to the US Integrated Utilities industry average (18.6x).

PE vs Market: UTL is poor value based on its PE Ratio (19.6x) compared to the US market (19.1x).


Price to Earnings Growth Ratio

PEG Ratio: UTL is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: UTL is good value based on its PB Ratio (1.6x) compared to the US Integrated Utilities industry average (1.9x).


Next Steps

Future Growth

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

9.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UTL's forecast earnings growth (9.1% per year) is above the savings rate (2.2%).

Earnings vs Market: UTL's earnings (9.1% per year) are forecast to grow slower than the US market (24.1% per year).

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

Revenue vs Market: UTL's revenue (7% per year) is forecast to grow slower than the US market (9.4% per year).

High Growth Revenue: UTL's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if UTL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Unitil performed over the past 5 years?

10.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UTL has high quality earnings.

Growing Profit Margin: UTL's current net profit margins (7.7%) are lower than last year (9.8%).


Past Earnings Growth Analysis

Earnings Trend: UTL's earnings have grown by 10.7% per year over the past 5 years.

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

Earnings vs Industry: UTL had negative earnings growth (-27.8%) over the past year, making it difficult to compare to the Integrated Utilities industry average (6.5%).


Return on Equity

High ROE: UTL's Return on Equity (8.3%) is considered low.


Next Steps

Financial Health

How is Unitil's financial position?


Financial Position Analysis

Short Term Liabilities: UTL's short term assets ($109.6M) do not cover its short term liabilities ($149.3M).

Long Term Liabilities: UTL's short term assets ($109.6M) do not cover its long term liabilities ($849.5M).


Debt to Equity History and Analysis

Debt Level: UTL's debt to equity ratio (134.2%) is considered high.

Reducing Debt: UTL's debt to equity ratio has increased from 118% to 134.2% over the past 5 years.

Debt Coverage: UTL's debt is not well covered by operating cash flow (17.6%).

Interest Coverage: UTL's interest payments on its debt are not well covered by EBIT (2.6x coverage).


Balance Sheet


Next Steps

Dividend

What is Unitil current dividend yield, its reliability and sustainability?

3.58%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: UTL's dividend (3.58%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: UTL's dividend (3.58%) is low compared to the top 25% of dividend payers in the US market (4.3%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (69.7%), UTL's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: UTL's dividends in 3 years are forecast to be covered by earnings (57.3% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Tom Meissner (58 yo)

2.33yrs

Tenure

US$3,592,108

Compensation

Mr. Thomas P. Meissner, Jr., also known as Tom, has been Chairman, President and Chief Executive Officer of Unitil Corp. since April 25, 2018. Mr. Meissner also served as its Senior Vice President of Opera ...


CEO Compensation Analysis

Compensation vs Market: Tom's total compensation ($USD3.59M) is about average for companies of similar size in the US market ($USD2.99M).

Compensation vs Earnings: Tom's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Thomas Meissner
Chairman2.33yrsUS$3.59m0.43%
$ 2.7m
Laurence Brock
Senior Vice President0.083yrUS$801.01k0.091%
$ 569.7k
Todd Black
Senior Vice President of External Affairs & Customer Relations2.33yrsUS$1.23m0.19%
$ 1.2m
Robert Hevert
Senior VP0.083yrno data0.020%
$ 125.8k
Daniel Hurstak
Chief Accounting Officer & Controller0.083yrno data0.0020%
$ 12.6k
Todd Diggins
Investor Relations Officerno datano datano data
Sandra Whitney
Corporate Secretary & Secretary of the Board17.5yrsno data0.012%
$ 72.8k
George Long
Vice President of Administration - Unitil Service17.5yrsUS$728.26kno data

2.3yrs

Average Tenure

58yo

Average Age

Experienced Management: UTL's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Thomas Meissner
Chairman2.33yrsUS$3.59m0.43%
$ 2.7m
Eben Moulton
Independent Director20.42yrsUS$142.38k0.14%
$ 872.4k
Mark Collin
Director1.58yrsUS$2.76m0.32%
$ 2.0m
Michael Green
Independent Lead Directorno dataUS$175.38k0.037%
$ 231.9k
Edward Godfrey
Independent Director18.58yrsUS$144.88k0.031%
$ 196.7k
David Whiteley
Independent Director7.67yrsUS$158.88kno data
Winfield Brown
Independent Director0.58yrno datano data
Lisa Crutchfield
Independent Director7.67yrsUS$158.88kno data
Suzanne Foster
Independent Director1.58yrsUS$141.36k0.0073%
$ 46.2k
Justine Vogel
Independent Director1.58yrsUS$141.36k0.0073%
$ 46.2k

2.3yrs

Average Tenure

59.5yo

Average Age

Experienced Board: UTL's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


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

Unitil Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Unitil Corporation
  • Ticker: UTL
  • Exchange: NYSE
  • Founded: 1984
  • Industry: Multi-Utilities
  • Sector: Utilities
  • Market Cap: US$628.988m
  • Shares outstanding: 15.00m
  • Website: https://www.unitil.com

Number of Employees


Location

  • Unitil Corporation
  • 6 Liberty Lane West
  • Hampton
  • New Hampshire
  • 03842-1720
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UTLNYSE (New York Stock Exchange)YesCommon SharesUSUSDMar 1985

Biography

Unitil Corporation, a public utility holding company, engages in the distribution of electricity and natural gas. It operates through three segments: Utility Gas Operations, Utility Electric Operations, an ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/12 23:35
End of Day Share Price2020/08/12 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.