Recent Insider Transactions • Aug 03
CTO and Executive VP of R&D recently sold UK£57k worth of stock On the 26th of July, Andrew McCloskey sold around 2k shares on-market at roughly UK£23.11 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of UK£252k more than they bought in the last 12 months. Upcoming Dividend • Jun 30
Upcoming dividend of UK£0.24 per share Eligible shareholders must have bought the stock before 07 July 2022. Payment date: 05 August 2022. The company is not currently making a profit and its cash payout ratio is 85%. Trailing yield: 1.7%. Lower than top quartile of British dividend payers (5.2%). Lower than average of industry peers (2.2%). Reported Earnings • Jun 09
Full year 2022 earnings: EPS and revenues miss analyst expectations Full year 2022 results: UK£0.21 loss per share (down from UK£0.11 profit in FY 2021). Revenue: UK£1.19b (up 45% from FY 2021). Net loss: UK£62.6m (down 352% from profit in FY 2021). Revenue missed analyst estimates by 3.0%. Earnings per share (EPS) were also behind analyst expectations. Over the next year, revenue is forecast to grow 12%, compared to a 26% growth forecast for the industry in the United Kingdom. Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 69 percentage points per year, which is a significant difference in performance. Board Change • Jun 02
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Non-Executive Director Anne Stevens was the last director to join the board, commencing their role in 2022. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Buying Opportunity • May 24
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 14%. The fair value is estimated to be UK£26.98, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.1% over the last 3 years. Meanwhile, the company became loss making. Price Target Changed • Apr 28
Price target decreased to UK£33.83 Down from UK£36.63, the current price target is an average from 16 analysts. New target price is 65% above last closing price of UK£20.54. Stock is down 42% over the past year. The company is forecast to post earnings per share of UK£0.072 for next year compared to UK£0.11 last year. Buying Opportunity • Apr 27
Now 30% undervalued after recent price drop Over the last 90 days, the stock is down 32%. The fair value is estimated to be UK£27.49, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.1% over the last 3 years. Meanwhile, the company became loss making. Board Change • Mar 29
High number of new directors Independent Non-Executive Director Ayesha Khanna was the last director to join the board, commencing their role in 2021. Recent Insider Transactions • Mar 11
CTO and Executive VP of R&D recently sold UK£159k worth of stock On the 7th of March, Andrew McCloskey sold around 7k shares on-market at roughly UK£24.03 per share. This was the largest sale by an insider in the last 3 months. Despite this recent sale, insiders have collectively bought UK£320k more than they sold in the last 12 months. Price Target Changed • Feb 28
Price target decreased to UK£39.60 Down from UK£42.71, the current price target is an average from 14 analysts. New target price is 59% above last closing price of UK£24.90. Stock is down 28% over the past year. The company is forecast to post a net loss per share of UK£0.0043 compared to earnings per share of UK£0.11 last year. Buying Opportunity • Feb 14
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 20%. The fair value is estimated to be UK£33.78, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 9.1% per annum over the last 3 years. The company became loss making over the last year. Upcoming Dividend • Dec 30
Upcoming dividend of UK£0.13 per share Eligible shareholders must have bought the stock before 06 January 2022. Payment date: 04 February 2022. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.1%. Lower than top quartile of British dividend payers (4.1%). Lower than average of industry peers (1.5%). Recent Insider Transactions Derivative • Dec 15
Insider exercised options and sold UK£120k worth of stock On the 13th of December, Lisa Johnston exercised options to acquire 4k shares at no cost and sold these for an average price of UK£32.72 per share. This trade did not impact their existing holding. Since September 2021, Lisa has owned 3.57k shares directly. Company insiders have collectively sold UK£4.5m more than they bought, via options and on-market transactions in the last 12 months. Reported Earnings • Nov 11
First half 2022 earnings released: UK£0.27 loss per share (vs UK£0.13 loss in 1H 2021) The company reported a mediocre first half result with increased losses and weaker control over costs, although revenues improved. First half 2022 results: Revenue: UK£480.9m (up 45% from 1H 2021). Net loss: UK£81.5m (loss widened 302% from 1H 2021). Over the last 3 years on average, earnings per share has fallen by 44% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Board Change • Nov 02
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Non-Executive Director Ayesha Khanna was the last director to join the board, commencing their role in 2021. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Recent Insider Transactions Derivative • Oct 02
Deputy CEO exercised options and sold UK£654k worth of stock On the 28th of September, James Kidd exercised options to acquire 18k shares at no cost and sold these for an average price of UK£37.26 per share. This trade did not impact their existing holding. Since December 2020, James' direct individual holding has increased from 52.56k shares to 112.60k. Company insiders have collectively sold UK£3.9m more than they bought, via options and on-market transactions in the last 12 months. Recent Insider Transactions Derivative • Sep 17
CTO and Executive VP of R&D exercised options and sold UK£56k worth of stock On the 14th of September, Andrew McCloskey exercised options to acquire 1k shares at no cost and sold these for an average price of UK£38.91 per share. This trade did not impact their existing holding. Since December 2020, Andrew's direct individual holding has increased from 594.00 shares to 2.37k. Company insiders have collectively sold UK£3.1m more than they bought, via options and on-market transactions in the last 12 months. Upcoming Dividend • Jul 01
Upcoming dividend of UK£0.23 per share Eligible shareholders must have bought the stock before 08 July 2021. Payment date: 04 August 2021. Trailing yield: 1.1%. Lower than top quartile of British dividend payers (4.1%). Lower than average of industry peers (1.6%). Recent Insider Transactions Derivative • Jul 01
Chief Revenue Officer exercised options and sold UK£170k worth of stock On the 28th of June, Steen Lomholt-Thomsen exercised options to acquire 5k shares at no cost and sold these for an average price of UK£37.43 per share. This trade did not impact their existing holding. Since December 2020, Steen's direct individual holding has increased from 3.60k shares to 6.41k. Company insiders have collectively sold UK£4.4m more than they bought, via options and on-market transactions in the last 12 months. Recent Insider Transactions Derivative • Jun 04
Deputy CEO exercised options and sold UK£125k worth of stock On the 2nd of June, James Kidd exercised options to acquire 4k shares at no cost and sold these for an average price of UK£34.85 per share. This trade did not impact their existing holding. Since September 2020, James' direct individual holding has increased from 47.06k shares to 105.03k. Company insiders have collectively sold UK£4.3m more than they bought, via options and on-market transactions in the last 12 months. Recent Insider Transactions • Jun 03
CEO & Non-Executive Vice Chairman recently bought UK£479k worth of stock On the 1st of June, Peter Herweck bought around 14k shares on-market at roughly UK£35.48 per share. This was the largest purchase by an insider in the last 3 months. Peter has been a buyer over the last 12 months, purchasing a net total of UK£268k worth in shares. Major Estimate Revision • Jun 01
Consensus EPS estimates fall to UK£0.40 The consensus outlook for earnings per share (EPS) in 2022 has deteriorated. 2022 revenue forecast decreased from UK£1.27b to UK£1.25b. EPS estimate also fell from UK£0.59 to UK£0.40. Net income forecast to grow 357% next year vs 5.2% decline forecast for Software industry in the United Kingdom. Consensus price target broadly unchanged at UK£41.65. Share price rose 6.8% to UK£34.99 over the past week. Reported Earnings • May 27
Full year 2021 earnings released: EPS UK£0.11 (vs UK£0.43 in FY 2020) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2021 results: Revenue: UK£820.4m (down 1.6% from FY 2020). Net income: UK£24.8m (down 65% from FY 2020). Profit margin: 3.0% (down from 8.4% in FY 2020). Over the last 3 years on average, earnings per share has fallen by 13% per year but the company’s share price has increased by 14% per year, which means it is well ahead of earnings. Executive Departure • May 21
Finance Director & Company Secretary has left the company On the 17th of May, David Ward's tenure as Finance Director & Company Secretary ended after 3.2 years in the role. As of March 2021, David personally held 10.84k shares (UK£371k worth at the time). David is the only executive to leave the company over the last 12 months. Recent Insider Transactions Derivative • Feb 26
CEO & Executive Director exercised options and sold UK£1.1m worth of stock On the 24th of February, Craig Hayman exercised options to acquire 32k shares at no cost and sold these for an average price of UK£35.51 per share. This trade did not impact their existing holding. For the year to March 2020, Craig's total compensation was 13% salary and 87% non-salary (Indicating these sales could comprise a meaningful part of their income for the year). Since December 2020, Craig's direct individual holding has increased from 69.83k shares to 124.15k. Company insiders have collectively sold UK£4.4m more than they bought, via options and on-market transactions in the last 12 months. Recent Insider Transactions • Feb 13
Finance Director & Company Secretary recently sold UK£152k worth of stock On the 11th of February, David Ward sold around 4k shares on-market at roughly UK£37.75 per share. In the last 3 months, there was an even bigger sale from another insider worth UK£271k. Despite this recent sale, insiders have collectively bought UK£261k more than they sold in the last 12 months. Recent Insider Transactions • Jan 21
Non-Executive Vice Chairman recently sold UK£271k worth of stock On the 19th of January, Peter Herweck sold around 7k shares on-market at roughly UK£38.13 per share. This was the largest sale by an insider in the last 3 months. Peter has been a seller over the last 12 months, reducing personal holdings by UK£122k. Upcoming Dividend • Dec 31
Upcoming Dividend of UK£0.12 Per Share Will be paid on the 5th of February to those who are registered shareholders by the 7th of January. The trailing yield of 1.4% is below the top quartile of British dividend payers (4.7%), and is lower than industry peers (1.7%). Is New 90 Day High Low • Dec 01
New 90-day low: UK£31.81 The company is down 37% from its price of UK£50.34 on 02 September 2020. The British market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Software industry, which is down 12% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is UK£17.96 per share. Price Target Changed • Nov 26
Price target lowered to UK£39.56 Down from UK£43.41, the current price target is an average from 11 analysts. The new target price is 19% above the current share price of UK£33.18. As of last close, the stock is down 27% over the past year. Recent Insider Transactions • Nov 20
Deputy CEO recently bought UK£230k worth of stock On the 16th of November, James Kidd bought around 6k shares on-market at roughly UK£41.69 per share. This was the largest purchase by an insider in the last 3 months. This was James' only on-market trade for the last 12 months. Major Estimate Revision • Nov 12
Analysts lower EPS estimates to UK£0.33 The 2021 consensus revenue estimate was lowered from UK£800.0m to UK£791.9m. Earning per share (EPS) estimate was also lowered from UK£0.44 to UK£0.33 for the same period. Net income is expected to grow by 127% next year compared to 12% decline forecast for the Software industry in the United Kingdom. The consensus price target was lowered from UK£44.84 to UK£43.66. Share price is down by 1.4% to UK£41.03 over the past week. Recent Insider Transactions • Nov 07
Independent Non-Executive Director recently bought UK£163k worth of stock On the 6th of November, Jennifer Allerton bought around 4k shares on-market at roughly UK£40.81 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought UK£455k more in shares than they have sold in the last 12 months. Reported Earnings • Nov 07
First half 2021 earnings released: UK£0.13 loss per share The company reported a poor first half result with weaker earnings, revenues and control over expenses. First half 2021 results: Revenue: UK£332.6m (down 15% from 1H 2020). Net loss: UK£20.3m (down 213% from profit in 1H 2020). Analyst Estimate Surprise Post Earnings • Nov 07
Revenue and earnings miss expectations Revenue missed analyst estimates by 3.4%. Earnings per share (EPS) were also behind analyst expectations. Over the next year, revenue is forecast to grow 5.7%, compared to a 31% growth forecast for the Software industry in the United Kingdom. Is New 90 Day High Low • Nov 02
New 90-day low: UK£41.81 The company is down 1.0% from its price of UK£42.22 on 04 August 2020. The British market is down 6.0% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Software industry, which is down 4.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is UK£18.40 per share.