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Volex

AIM:VLX
Snowflake Description

Flawless balance sheet and good value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
VLX
AIM
£191M
Market Cap
  1. Home
  2. GB
  3. Capital Goods
Company description

Volex plc manufactures and supplies power cords and cable assemblies in the Americas, Europe, and Asia. The last earnings update was 147 days ago. More info.


Add to Portfolio Compare Print
  • Volex has significant price volatility in the past 3 months.
VLX Share Price and Events
7 Day Returns
19.7%
AIM:VLX
29.2%
GB Electrical
5.3%
GB Market
1 Year Returns
39.5%
AIM:VLX
-35.5%
GB Electrical
-21.5%
GB Market
VLX Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Volex (VLX) 19.7% 6.3% -15.8% 39.5% 203.6% 99.2%
GB Electrical 29.2% -35.3% -48.5% -35.5% -56.2% -91.9%
GB Market 5.3% -6.5% -25.2% -21.5% -22.4% -21.9%
1 Year Return vs Industry and Market
  • VLX outperformed the Electrical industry which returned -35.5% over the past year.
  • VLX outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -21.5% over the past year.
Price Volatility
VLX
Industry
5yr Volatility vs Market

Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Volex to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Volex.

AIM:VLX Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.4%
Perpetual Growth Rate 10-Year GB Government Bond Rate 0.5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for AIM:VLX
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.1%
Electrical Unlevered Beta Simply Wall St/ S&P Global 1.14
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.135 (1 + (1- 19%) (7.26%))
1.135
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.14
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.53% + (1.135 * 6.07%)
7.42%

Discounted Cash Flow Calculation for AIM:VLX using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Volex is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

AIM:VLX DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 7.42%)
2020 36.07 Est @ 54.23% 33.58
2021 49.82 Est @ 38.12% 43.17
2022 63.19 Est @ 26.84% 50.98
2023 75.17 Est @ 18.95% 56.45
2024 85.26 Est @ 13.42% 59.60
2025 93.40 Est @ 9.56% 60.79
2026 99.80 Est @ 6.85% 60.46
2027 104.74 Est @ 4.95% 59.07
2028 108.54 Est @ 3.63% 56.98
2029 111.47 Est @ 2.7% 54.48
Present value of next 10 years cash flows $535.00
AIM:VLX DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= $111.47 × (1 + 0.53%) ÷ (7.42% – 0.53%)
$1,625.88
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $1,625.88 ÷ (1 + 7.42%)10
$794.61
AIM:VLX Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $535.00 + $794.61
$1,329.61
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $1,329.61 / 148.92
$8.93
AIM:VLX Discount to Share Price
Calculation Result
Exchange Rate USD/GBP
(Reporting currency to currency of AIM:VLX)
0.805
Value per Share
(GBP)
= Value per Share in USD x Exchange Rate (USD/GBP)
= $8.93 x 0.805
£7.19
Value per share (GBP) From above. £7.19
Current discount Discount to share price of £1.28
= -1 x (£1.28 - £7.19) / £7.19
82.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Volex is available for.
Intrinsic value
>50%
Share price is £1.28 vs Future cash flow value of £7.19
Current Discount Checks
For Volex to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Volex's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Volex's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Volex's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Volex's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:VLX PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-29) in USD $0.09
AIM:VLX Share Price ** AIM (2020-04-09) in GBP £1.28
AIM:VLX Share Price converted to USD reporting currency Exchange rate (GBP/ USD) 1.242 $1.58
United Kingdom of Great Britain and Northern Ireland Electrical Industry PE Ratio Median Figure of 7 Publicly-Listed Electrical Companies 23.28x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 747 Publicly-Listed Companies 13.27x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Volex.

AIM:VLX PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= AIM:VLX Share Price ÷ EPS (both in USD)

= 1.58 ÷ 0.09

16.91x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Volex is good value based on earnings compared to the GB Electrical industry average.
  • Volex is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Volex's expected growth come at a high price?
Raw Data
AIM:VLX PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 16.91x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
Not available
Europe Electrical Industry PEG Ratio Median Figure of 33 Publicly-Listed Electrical Companies 0.99x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 513 Publicly-Listed Companies 1.03x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Volex, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Volex's assets?
Raw Data
AIM:VLX PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-29) in USD $0.85
AIM:VLX Share Price * AIM (2020-04-09) in GBP £1.28
AIM:VLX Share Price converted to USD reporting currency Exchange rate (GBP/ USD) 1.242 $1.58
United Kingdom of Great Britain and Northern Ireland Electrical Industry PB Ratio Median Figure of 19 Publicly-Listed Electrical Companies 2.82x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,322 Publicly-Listed Companies 1.13x
AIM:VLX PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= AIM:VLX Share Price ÷ Book Value per Share (both in USD)

= 1.58 ÷ 0.85

1.87x

* Primary Listing of Volex.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Volex is good value based on assets compared to the GB Electrical industry average.
X
Value checks
We assess Volex's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Electrical industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Electrical industry average (and greater than 0)? (1 check)
  5. Volex has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Volex expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
9.1%
Expected annual growth in revenue.
Earnings growth vs Low Risk Savings
Is Volex expected to grow at an attractive rate?
  • Unable to compare Volex's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Volex's earnings growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
  • Volex's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
AIM:VLX Future Growth Rates Data Sources
Data Point Source Value (per year)
AIM:VLX Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts 9.1%
United Kingdom of Great Britain and Northern Ireland Electrical Industry Earnings Growth Rate Market Cap Weighted Average 59.1%
United Kingdom of Great Britain and Northern Ireland Electrical Industry Revenue Growth Rate Market Cap Weighted Average 9.3%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 15.4%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 2.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
AIM:VLX Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AIM:VLX Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 441 1
2020-03-31 400 1
AIM:VLX Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-09-29 385 27 14
2019-06-29 379 10 11
2019-03-31 372 -7 9
2018-12-31 358 -10 6
2018-09-30 343 -13 4
2018-06-30 333 -4 4
2018-04-01 322 5 4
2018-01-01 319 5 4
2017-10-01 315 5 3
2017-07-01 317 10 -2
2017-04-02 320 16 -7
2017-01-02 332 14 -9
2016-10-02 344 12 -10

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Volex is high growth as no earnings estimate data is available.
  • Volex's revenue is expected to grow by 9.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
AIM:VLX Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Volex Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:VLX Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31
2020-03-31
AIM:VLX Past Financials Data
Date (Data in USD Millions) EPS *
2019-09-29 0.09
2019-06-29 0.08
2019-03-31 0.07
2018-12-31 0.05
2018-09-30 0.04
2018-06-30 0.04
2018-04-01 0.04
2018-01-01 0.04
2017-10-01 0.04
2017-07-01 -0.02
2017-04-02 -0.08
2017-01-02 -0.10
2016-10-02 -0.11

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Volex will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Volex's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Volex has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Volex performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Volex's growth in the last year to its industry (Electrical).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Volex has delivered over 20% year on year earnings growth in the past 5 years.
  • Volex's 1-year earnings growth exceeds its 5-year average (263.5% vs 69.4%)
  • Volex's earnings growth has exceeded the Europe Electrical industry average in the past year (263.5% vs 2.7%).
Earnings and Revenue History
Volex's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Volex Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:VLX Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-29 385.38 13.65 64.45
2019-06-29 378.74 11.43 60.40
2019-03-31 372.10 9.21 56.35
2018-12-31 357.73 6.48 53.18
2018-09-30 343.36 3.75 50.02
2018-06-30 332.87 3.84 48.60
2018-04-01 322.38 3.93 47.18
2018-01-01 318.66 3.52 46.81
2017-10-01 314.94 3.12 46.43
2017-07-01 317.26 -1.97 47.37
2017-04-02 319.58 -7.05 48.30
2017-01-02 331.89 -8.52 50.58
2016-10-02 344.20 -9.98 52.86
2016-07-02 355.87 -6.15 53.27
2016-04-03 367.53 -2.31 53.67
2016-01-03 379.75 -2.64 59.88
2015-10-04 391.96 -2.97 66.09
2015-07-04 407.69 -6.84 69.88
2015-04-05 423.41 -10.71 73.67
2015-01-05 423.96 -13.71 73.06
2014-10-05 424.52 -16.72 72.45
2014-07-05 412.35 -15.45 70.45
2014-03-30 400.18 -14.18 68.46
2013-12-30 410.31 -10.51 67.36
2013-09-29 420.44 -6.85 66.26
2013-06-29 446.80 -3.87 71.67

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Volex has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Volex used its assets less efficiently than the GB Electrical industry average last year based on Return on Assets.
  • Volex has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Volex's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Electrical industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Volex has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Volex's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Volex's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Volex is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Volex's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Volex's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 15.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Volex Company Filings, last reported 6 months ago.

AIM:VLX Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-29 125.87 9.96 17.88
2019-06-29 125.87 9.96 17.88
2019-03-31 115.65 0.32 20.91
2018-12-31 115.65 0.32 20.91
2018-09-30 106.19 0.00 24.65
2018-06-30 106.19 0.00 24.65
2018-04-01 48.14 14.88 24.83
2018-01-01 48.14 14.88 24.83
2017-10-01 48.49 17.67 23.46
2017-07-01 48.49 17.67 23.46
2017-04-02 46.31 18.23 29.57
2017-01-02 46.31 18.23 29.57
2016-10-02 45.24 28.27 33.43
2016-07-02 45.24 28.27 33.43
2016-04-03 51.35 33.99 30.74
2016-01-03 51.35 33.99 30.74
2015-10-04 53.02 35.45 30.02
2015-07-04 53.02 35.45 30.02
2015-04-05 54.51 31.86 33.74
2015-01-05 54.51 31.86 33.74
2014-10-05 57.38 29.17 23.57
2014-07-05 57.38 29.17 23.57
2014-03-30 36.73 45.90 13.68
2013-12-30 36.73 45.90 13.68
2013-09-29 35.56 53.27 11.85
2013-06-29 35.56 53.27 11.85
  • Volex's level of debt (7.9%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (50.8% vs 7.9% today).
  • Debt is well covered by operating cash flow (268.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 20x coverage).
X
Financial health checks
We assess Volex's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Volex has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.45%
Current annual income from Volex dividends. Estimated to be 3.23% next year.
If you bought £2,000 of Volex shares you are expected to receive £29 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Volex's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.49%).
  • Volex's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (6.84%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
AIM:VLX Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Electrical Industry Average Dividend Yield Market Cap Weighted Average of 5 Stocks 1.5%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 575 Stocks 5.5%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.3%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2.5%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 6.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

AIM:VLX Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 0.05 1.00
2020-03-31 0.04 1.00
AIM:VLX Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-11-14 0.023 1.540
2019-07-30 0.024 2.181
2014-11-13 0.000 0.000
2014-10-20 0.000 0.000
2014-06-30 0.000 0.000
2014-06-12 0.000 0.000
2013-11-14 0.000 0.000
2013-05-28 0.050 2.955
2012-06-25 0.060 2.858
2012-05-29 0.060 1.522
2011-11-02 0.030 0.744
2011-10-17 0.030 0.692
2011-06-20 0.031 0.710
2011-06-01 0.032 0.587

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Volex has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Volex has only been paying a dividend for 9 years, and since then dividends per share have fallen.
Current Payout to shareholders
What portion of Volex's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (7.6x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Volex's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Volex afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Volex has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
  • Volex has no CEO, or we have no data on them.
Management Team

Nat Rothschild

TITLE
Executive Chairman
COMPENSATION
$620K
AGE
48

Daren Morris

TITLE
CFO, Chief Legal Officer
COMPENSATION
$767K
AGE
49
TENURE
5.3 yrs

Dom Molloy

TITLE
Chief Operating Officer
COMPENSATION
$34K
AGE
73
TENURE
2 yrs
Board of Directors Tenure

Average tenure and age of the Volex board of directors in years:

3.8
Average Tenure
61
Average Age
  • The tenure for the Volex board of directors is about average.
Board of Directors

Nat Rothschild

TITLE
Executive Chairman
COMPENSATION
$620K
AGE
48
TENURE
4.3 yrs

Daren Morris

TITLE
CFO, Chief Legal Officer
COMPENSATION
$767K
AGE
49
TENURE
6.3 yrs

Adrian Chamberlain

TITLE
Non-Executive Director
COMPENSATION
$60K
AGE
61
TENURE
3.8 yrs

Dean Moore

TITLE
Senior Independent Non-Executive Director
COMPENSATION
$70K
AGE
61
TENURE
2.8 yrs

Jeffrey Jackson

TITLE
Non-Executive Director
AGE
67
TENURE
0.8 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Volex individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
06. Apr 20 Buy Daren Morris Individual 06. Apr 20 06. Apr 20 10,000 £1.14 £11,400
03. Apr 20 Buy Daren Morris Individual 02. Apr 20 03. Apr 20 20,000 £1.11 £22,200
01. Apr 20 Buy Dom Molloy Individual 30. Mar 20 31. Mar 20 126,921 £1.09 £138,344
30. Mar 20 Buy Dom Molloy Individual 25. Mar 20 27. Mar 20 180,763 £1.04 £187,993
09. Mar 20 Buy Daren Morris Individual 09. Mar 20 09. Mar 20 25,464 £1.10 £28,010
15. Nov 19 Buy Daren Morris Individual 14. Nov 19 14. Nov 19 10,000 £1.13 £11,300
10. Oct 19 Buy Nathaniel Philip Victor Rothschild Individual 09. Oct 19 09. Oct 19 100,000 £0.87 £86,830
01. Aug 19 Buy Daren Morris Individual 30. Jul 19 30. Jul 19 20,000 £0.92 £18,400
01. Aug 19 Buy Nathaniel Philip Victor Rothschild Individual 30. Jul 19 30. Jul 19 53,876 £0.92 £49,566
30. Apr 19 Buy Daren Morris Individual 30. Apr 19 30. Apr 19 16,937 £0.93 £15,751
X
Management checks
We assess Volex's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Volex has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Is Volex's (LON:VLX) Share Price Gain Of 127% Well Earned?

For instance the Volex plc (LON:VLX) share price is 127% higher than it was three years ago. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … That kind of transition can be an inflection point that justifies a strong share price gain, just as we have seen here.

Simply Wall St -

A Closer Look At Volex plc's (LON:VLX) Uninspiring ROE

This article is for those who would like to learn about Return On Equity (ROE). … That means that for every £1 worth of shareholders' equity, it generated £0.035 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Should You Be Concerned About Volex plc's (LON:VLX) Investors?

Today, I will be analyzing Volex plc’s (LON:VLX) recent ownership structure, an important but not-so-popular subject among individual investors. … The impact of a company's ownership structure affects both its short- and long-term performance. … Therefore, it is beneficial for us to examine VLX's ownership structure in more detail.

Simply Wall St -

Why Volex plc (LON:VLX) May Not Be As Efficient As Its Industry

and want to learn about Return on Equity using a real-life example. … Volex plc (LON:VLX) delivered a less impressive 8.15% ROE over the past year, compared to the 14.22% return generated by its industry. … Today I will look at how components such as financial leverage can influence ROE which may impact the sustainability of VLX's returns

Simply Wall St -

Are Volex plc's (LON:VLX) Interest Costs Too High?

While small-cap stocks, such as Volex plc (LON:VLX) with its market cap of UK£116.22m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … since poor capital management may bring about bankruptcies,

Simply Wall St -

Does Volex plc's (LON:VLX) PE Ratio Warrant A Sell?

and want to begin learning the link between Volex plc (LON:VLX)’s fundamentals and stock market performance. … Volex plc (LON:VLX) is trading with a trailing P/E of 33x, which is higher than the industry average of 23.1x. … While VLX might seem like a stock to avoid or sell if you own it, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions.

Simply Wall St -

What You Must Know About Volex plc's (LON:VLX) 6.42% ROE

and looking to gauge the potential return on investment in Volex plc (LON:VLX). … Volex plc (LON:VLX) delivered a less impressive 6.42% ROE over the past year, compared to the 14.80% return generated by its industry. … Firstly, Return on Equity, or ROE, is simply the percentage of last years’ earning against the book value of shareholders’ equity.

Simply Wall St -

What Does Volex plc's (LON:VLX) Ownership Structure Look Like?

Insider Ownership Insiders form another group of important ownership types as they manage the company's operations and decide the best use of capital. … With this size of ownership in VLX, this ownership class can affect the company's business strategy. … As a result, potential investors should further explore the company's business relations with these companies and find out if they can affect shareholder returns in the long-term.Next Steps: VLX's considerably high level of institutional ownership calls for further analysis into its margin of safety.

Simply Wall St -

Is Volex plc (LON:VLX) A Sell At Its Current PE Ratio?

Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for VLX Price per share = $1.05 Earnings per share = $0.035 ∴ Price-Earnings Ratio = $1.05 ÷ $0.035 = 30x The P/E ratio itself doesn’t tell you a lot; however, it becomes very insightful when you compare it with other similar companies. … For example, if you are inadvertently comparing riskier firms with VLX, then VLX’s P/E would naturally be higher than its peers since investors would reward its lower risk with a higher price. … In this case, VLX’s P/E would be higher since investors would also reward VLX’s higher growth with a higher price.

Simply Wall St -

How Does Investing In Volex plc (LON:VLX) Impact Your Portfolio?

If you are looking to invest in Volex plc’s (AIM:VLX), or currently own the stock, then you need to understand its beta in order to understand how it can affect the risk of your portfolio. … Based on this beta value, VLX appears to be a stock that an investor with a high-beta portfolio would look for to reduce risk exposure to the market. … I examine VLX’s ratio of fixed assets to total assets to see whether the company is highly exposed to the risk of this type of constraint.

Simply Wall St -

Company Info

Description

Volex plc manufactures and supplies power cords and cable assemblies in the Americas, Europe, and Asia. The company’s Power Cords division designs, manufactures, and sells power cords, duck heads, and related products to manufacturers of a range of electrical and electronic devices and appliances for use in laptops, PCs, tablets, printers, TVs, games consoles, power tools, kitchen appliances, vacuum cleaners, and electric vehicles. Its Cable Assemblies division designs, manufactures, and sells a range of cables and connectors comprising high-speed copper and fiber-optic cables, and customized optical cable assemblies that transfer electronic, radio-frequency, and optical data for use in various applications, such as data networking equipment, data centers, wireless base stations and cell site installations, mobile computing devices, medical equipment, factory automation, vehicle telematics, agricultural equipment, and alternative energy generation. The company serves various markets and customers, including consumer electronics, medical equipment, data center, telecommunications, industrial robotics, and automotive industries. The company sells its products through its sales force and distributors to original equipment manufacturers and electronic manufacturing services companies. Volex plc was incorporated in 1919 and is headquartered in Basingstoke, the United Kingdom.

Details
Name: Volex plc
VLX
Exchange: AIM
Founded: 1919
£191,357,839
148,916,607
Website: http://www.volex.com
Address: Volex plc
Unit C1 Antura,
Bond Close,
Basingstoke,
Hampshire, RG24 8PZ,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM VLX Ordinary Shares London Stock Exchange AIM Market GB GBP 02. Jan 1992
Number of employees
Current staff
Staff numbers
6,000
Volex employees.
Industry
Electrical Components and Equipment
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/09 21:08
End of day share price update: 2020/04/09 00:00
Last estimates confirmation: 2020/03/13
Last earnings filing: 2019/11/14
Last earnings reported: 2019/09/29
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.