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Vp

LSE:VP.
Snowflake Description

Established dividend payer with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
VP.
LSE
£361M
Market Cap
  1. Home
  2. GB
  3. Capital Goods
Company description

Vp plc provides equipment rental and associated services in the United Kingdom and internationally. The last earnings update was 171 days ago. More info.


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VP. Share Price and Events
7 Day Returns
5.8%
LSE:VP.
0.5%
GB Trade Distributors
1.7%
GB Market
1 Year Returns
-7.5%
LSE:VP.
14.2%
GB Trade Distributors
8.1%
GB Market
VP. Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Vp (VP.) 5.8% 3.4% 20.1% -7.5% 25.9% 45.1%
GB Trade Distributors 0.5% 1.2% 4% 14.2% 28.3% 51.2%
GB Market 1.7% 0.1% 0.6% 8.1% 4% 8%
1 Year Return vs Industry and Market
  • VP. underperformed the Trade Distributors industry which returned 14.2% over the past year.
  • VP. underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 8.1% over the past year.
Price Volatility
VP.
Industry
5yr Volatility vs Market

Value

 Is Vp 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 Vp 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 Vp.

LSE:VP. Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-03-31) in GBP £ 0.33169111111111
Payout Ratio Company Filings (2019-03-31) 3284.8%
Discount Rate (Cost of Equity) See below 9.4%
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 LSE:VP.
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.1%
Trade Distributors Unlevered Beta Simply Wall St/ S&P Global 0.96
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.957 (1 + (1- 19%) (54.75%))
1.455
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.45
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.53% + (1.455 * 6.07%)
9.36%

Discounted Cash Flow Calculation for LSE:VP. using Dividend Discount Model Model

The calculations below outline how an intrinsic value for Vp is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

LSE:VP. Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= £0.33 / (9.36% - 0.53%)
£3.76
LSE:VP. Discount to Share Price
Calculation Result
Value per share (GBP) From above. £3.76
Current discount Discount to share price of £9.10
= -1 x (£9.10 - £3.76) / £3.76
-142.3%

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

  • The current share price of Vp is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 Vp's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Vp's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:VP. PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in GBP £0.65
LSE:VP. Share Price ** LSE (2019-12-13) in GBP £9.1
United Kingdom of Great Britain and Northern Ireland Trade Distributors Industry PE Ratio Median Figure of 19 Publicly-Listed Trade Distributors Companies 15.47x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 751 Publicly-Listed Companies 17.26x

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

** Primary Listing of Vp.

LSE:VP. PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:VP. Share Price ÷ EPS (both in GBP)

= 9.1 ÷ 0.65

13.96x

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

  • Vp is good value based on earnings compared to the GB Trade Distributors industry average.
  • Vp is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Vp's expected growth come at a high price?
Raw Data
LSE:VP. PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13.96x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
Not available
United Kingdom of Great Britain and Northern Ireland Trade Distributors Industry PEG Ratio Median Figure of 11 Publicly-Listed Trade Distributors Companies 2.43x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 560 Publicly-Listed Companies 1.48x

*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 Vp, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Vp's assets?
Raw Data
LSE:VP. PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in GBP £4.26
LSE:VP. Share Price * LSE (2019-12-13) in GBP £9.1
United Kingdom of Great Britain and Northern Ireland Trade Distributors Industry PB Ratio Median Figure of 21 Publicly-Listed Trade Distributors Companies 1.88x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,311 Publicly-Listed Companies 1.52x
LSE:VP. PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:VP. Share Price ÷ Book Value per Share (both in GBP)

= 9.1 ÷ 4.26

2.14x

* Primary Listing of Vp.

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

  • Vp is overvalued based on assets compared to the GB Trade Distributors industry average.
X
Value checks
We assess Vp'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 Trade Distributors 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 Trade Distributors industry average (and greater than 0)? (1 check)
  5. Vp has a total score of 2/6, 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 Vp expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

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
1.9%
Expected annual growth in revenue.
Earnings growth vs Low Risk Savings
Is Vp expected to grow at an attractive rate?
  • Unable to compare Vp's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Vp's earnings growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
  • Vp's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:VP. Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:VP. Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 1.9%
United Kingdom of Great Britain and Northern Ireland Trade Distributors Industry Earnings Growth Rate Market Cap Weighted Average 8.8%
United Kingdom of Great Britain and Northern Ireland Trade Distributors Industry Revenue Growth Rate Market Cap Weighted Average 3.5%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 12.4%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 3.6%

*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
LSE:VP. Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (8 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:VP. Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-03-31 415 1
2022-03-31 402 2
2021-03-31 388 3
2020-03-31 381 3
2019-12-13
LSE:VP. Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2019-03-31 383 80 26
2018-12-31 372 74 26
2018-09-30 361 68 27
2018-06-30 332 66 26
2018-03-31 304 63 24
2017-12-31 283 62 25
2017-09-30 263 61 26
2017-06-30 256 61 25
2017-03-31 249 62 24
2016-12-31 237 56 24
2016-09-30 225 49 23
2016-06-30 217 45 23

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Vp is high growth as no earnings estimate data is available.
  • Vp's revenue is expected to grow by 1.9% 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
LSE:VP. Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (8 months ago) See Below
Future Estimates Average of up to 3 Analyst Estimates (S&P Global) See Below

All data from Vp Company Filings, last reported 8 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:VP. Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-03-31
2022-03-31
2021-03-31
2020-03-31
2019-12-13
LSE:VP. Past Financials Data
Date (Data in GBP Millions) EPS *
2019-03-31 0.65
2018-12-31 0.66
2018-09-30 0.68
2018-06-30 0.65
2018-03-31 0.62
2017-12-31 0.64
2017-09-30 0.67
2017-06-30 0.64
2017-03-31 0.60
2016-12-31 0.60
2016-09-30 0.60
2016-06-30 0.59

*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 Vp will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Vp'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.
Vp has a total score of 0/6, 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 Vp 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 Vp's growth in the last year to its industry (Trade Distributors).
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.
  • Vp's year on year earnings growth rate has been positive over the past 5 years.
  • Vp's 1-year earnings growth is less than its 5-year average (6% vs 9.1%)
  • Vp's earnings growth has exceeded the GB Trade Distributors industry average in the past year (6% vs 5.7%).
Earnings and Revenue History
Vp'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 Vp Company Filings, last reported 8 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:VP. Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 382.83 25.82 35.72
2018-12-31 371.84 26.30 35.23
2018-09-30 360.86 26.77 34.75
2018-06-30 332.25 25.57 32.45
2018-03-31 303.64 24.37 30.14
2017-12-31 283.32 25.34 30.05
2017-09-30 263.00 26.32 29.96
2017-06-30 255.87 24.98 29.57
2017-03-31 248.74 23.65 29.18
2016-12-31 237.05 23.55 29.94
2016-09-30 225.36 23.46 30.71
2016-06-30 217.05 22.92 30.05
2016-03-31 208.75 22.39 29.40
2015-12-31 209.07 21.50 29.69
2015-09-30 209.39 20.62 29.98
2015-06-30 207.50 20.24 29.85
2015-03-31 205.60 19.87 29.73
2014-12-31 199.37 18.87 29.43
2014-09-30 193.14 17.87 29.13
2014-06-30 188.10 16.78 29.01
2014-03-31 183.06 15.70 28.88
2013-12-31 178.67 15.23 27.04
2013-09-30 174.27 14.77 25.20
2013-06-30 170.65 13.91 24.29
2013-03-31 167.03 13.05 23.38
2012-12-31 164.91 12.91 23.13

*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.
  • Vp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Vp used its assets less efficiently than the GB Trade Distributors industry average last year based on Return on Assets.
  • Vp's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Vp'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 Trade Distributors 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.
Vp has a total score of 2/6, 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 Vp'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 Vp's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Vp is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Vp's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Vp'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.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.6x 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 Vp Company Filings, last reported 8 months ago.

LSE:VP. Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 168.89 196.21 29.04
2018-12-31 168.89 196.21 29.04
2018-09-30 166.80 201.84 15.51
2018-06-30 166.80 201.84 15.51
2018-03-31 154.45 194.69 18.19
2017-12-31 154.45 194.69 18.19
2017-09-30 148.22 130.54 17.13
2017-06-30 148.22 130.54 17.13
2017-03-31 137.32 112.29 15.07
2016-12-31 137.32 112.29 15.07
2016-09-30 129.07 109.34 3.25
2016-06-30 129.07 109.34 3.25
2016-03-31 121.35 95.66 11.37
2015-12-31 121.35 95.66 11.37
2015-09-30 114.36 84.00 2.22
2015-06-30 114.36 84.00 2.22
2015-03-31 111.77 73.30 5.24
2014-12-31 111.77 73.30 5.24
2014-09-30 109.85 73.00 7.58
2014-06-30 109.85 73.00 7.58
2014-03-31 107.98 62.00 8.98
2013-12-31 107.98 62.00 8.98
2013-09-30 109.35 61.05 4.86
2013-06-30 109.35 61.05 4.86
2013-03-31 100.92 54.00 8.71
2012-12-31 100.92 54.00 8.71
  • Vp's level of debt (116.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (57.5% vs 116.2% today).
  • Debt is well covered by operating cash flow (40.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 10x coverage).
X
Financial health checks
We assess Vp'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. Vp has a total score of 3/6, 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 Vp'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
3.32%
Current annual income from Vp dividends. Estimated to be 3.64% next year.
If you bought £2,000 of Vp shares you are expected to receive £66 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?
  • Vp's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.96%).
  • Vp's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.21%).
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
LSE:VP. 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 3 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Trade Distributors Industry Average Dividend Yield Market Cap Weighted Average of 18 Stocks 2.4%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 676 Stocks 4.5%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

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

LSE:VP. Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2023-03-31 0.35 1.00
2022-03-31 0.34 2.00
2021-03-31 0.33 3.00
2020-03-31 0.32 3.00
2019-12-13
LSE:VP. Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-06-25 0.302 3.672
2019-06-04 0.302 3.548
2018-06-27 0.260 2.626
2018-06-05 0.260 2.549
2017-06-06 0.220 2.558
2016-06-27 0.189 2.510
2016-06-07 0.189 2.561
2015-06-05 0.165 2.266
2014-12-01 0.154 2.427
2014-06-23 0.140 2.256
2014-06-05 0.140 2.096
2013-06-24 0.123 2.300
2013-06-04 0.123 3.466
2012-06-18 0.114 3.508
2012-05-29 0.114 4.509
2011-07-27 0.108 4.661
2011-06-07 0.108 4.393
2010-11-30 0.108 4.786
2010-06-08 0.108 6.548
2009-11-27 0.108 6.083
2009-05-29 0.108 6.427

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

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Vp's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.2x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.1x coverage).
X
Income/ dividend checks
We assess Vp's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - 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 Vp afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Vp has a total score of 5/6, 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 Vp'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.
CEO
Neil Stothard
COMPENSATION £1,270,000
AGE 61
CEO Bio

Mr. Neil A. Stothard, MA, FCA, has been the Group Managing Director of VP PLC of Pivotal Services Group Ltd., since July 5, 2004 and also serves as its Chief Executive. Mr. Stothard served as a Secretary of VP PLC. He served as Group Finance Director of VP PLC from 1997 to July 2004. Mr. Stothard served as a Group Finance Director of Gray Dawes Group Limited. He served as a Divisional Finance Director of TDG PLC. He held senior positions within the travel and logistics sectors. Mr. Stothard has been Executive Director of VP PLC since 1997. He served as a Non-Executive Director of Scarborough Building Society since January 1, 2007. He is a Chartered Accountant and holds an MA Degree and is a Graduate Engineer.

CEO Compensation
  • Neil's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.
  • Neil's remuneration is higher than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team

Jeremy F. Pilkington

TITLE
Executive Chairman
COMPENSATION
£2M
AGE
68

Neil Stothard

TITLE
Chief Executive
COMPENSATION
£1M
AGE
61

Allison Bainbridge

TITLE
Group Finance Director
COMPENSATION
£934K
AGE
58
TENURE
8.8 yrs
Board of Directors Tenure

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

15.9
Average Tenure
67
Average Age
  • The average tenure for the Vp board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Jeremy F. Pilkington

TITLE
Executive Chairman
COMPENSATION
£2M
AGE
68
TENURE
38.9 yrs

Neil Stothard

TITLE
Chief Executive
COMPENSATION
£1M
AGE
61
TENURE
22.9 yrs

Allison Bainbridge

TITLE
Group Finance Director
COMPENSATION
£934K
AGE
58
TENURE
8.8 yrs

Steve Rogers

TITLE
Senior Independent Director
COMPENSATION
£40K
AGE
67

Phil White

TITLE
Non-Executive Director
COMPENSATION
£40K
AGE
70
TENURE
6.7 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
X
Management checks
We assess Vp'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. Vp 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

Read This Before You Buy Vp plc (LON:VP.) Because Of Its P/E Ratio

This article is written for those who want to get better at using price to earnings ratios (P/E ratios). … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Vp: P/E of 11.59 = £7.56 ÷ £0.65 (Based on the trailing twelve months to March 2019.) Is A High P/E Ratio Good? … How Growth Rates Impact P/E Ratios P/E ratios primarily reflect market expectations around earnings growth rates.

Simply Wall St -

Here’s What Vp plc’s (LON:VP.) Return On Capital Can Tell Us

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Vp: 0.13 = UK£48m ÷ (UK£458m - UK£102m) (Based on the trailing twelve months to March 2019.) Therefore, Vp has an ROCE of 13%. … How Vp's Current Liabilities Impact Its ROCE Current liabilities include invoices, such as supplier payments, short-term debt, or a tax bill, that need to be paid within 12 months. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St -

How Good Is Vp plc (LON:VP.), When It Comes To ROE?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Vp: 15% = UK£26m ÷ UK£169m (Based on the trailing twelve months to March 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. … A company that can achieve a high return on equity without debt could be considered a high quality business.

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Does Vp plc (LON:VP.) Have A Place In Your Dividend Portfolio?

Vp has been paying dividends for a long time, but for the purpose of this analysis, we only examine the past 10 years of payments. … Dividend Growth Potential Dividend payments have been consistent over the past few years, but we should always check if earnings per share (EPS) are growing, as this will help maintain the purchasing power of the dividend. … Conclusion To summarise, shareholders should always check that Vp's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend.

Simply Wall St -

How Much Did Vp plc's (LON:VP.) CEO Pocket Last Year?

First, this article will compare CEO compensation with compensation at similar sized companies. … See our latest analysis for Vp How Does Neil Stothard's Compensation Compare With Similar Sized Companies? … When we examined a selection of companies with market caps ranging from UK£158m to UK£630m, we found the median CEO total compensation was UK£663k.

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Does Vp plc's (LON:VP.) Past Performance Indicate A Stronger Future?

When Vp plc (LON:VP.) announced its most recent earnings (31 March 2019), I did two things: looked at its past earnings track record, then look at what is happening in the industry. … VP.'s trailing twelve-month earnings (from 31 March 2019) of UK£26m has increased by 6.0% compared to the previous year. … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 9.1%, indicating the rate at which VP.

Simply Wall St -

Is Vp plc (LON:VP.) A Financially Sound Company?

While small-cap stocks, such as Vp plc (LON:VP.) with its market cap of UK£312m, 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 -

Here's How We Evaluate Vp plc's (LON:VP.) Dividend

Today we'll take a closer look at Vp plc (LON:VP.) from a dividend investor's perspective. … Yet sometimes, investors buy a popular dividend stock because of its yield, and then lose money if the company's dividend doesn't live up to expectations. … There are a few simple ways to reduce the risks of buying Vp for its dividend, and we'll go through these below.

Simply Wall St -

Is Vp plc's (LON:VP.) ROE Of 16% Impressive?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every £1 worth of equity in the company, it was able to earn £0.16. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Is Vp plc (LON:VP.) A Cash Cow?

I will take you through Vp’s cash flow health and the risk-return concept based on the stock’s cash flow yield, using the most recent financial data. … Vp generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … The two ways to assess whether Vp’s FCF is sufficient, is to compare the FCF yield to the market index yield, as well as determine whether the top-line operating cash flows will continue to grow

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Company Info

Description

Vp plc provides equipment rental and associated services in the United Kingdom and internationally. It operates through Hire Station, Torrent Trackside, Groundforce, TPA, UK Forks, Airpac Bukom, and TR Group businesses. The Hire Station business engages in the rental of small tools; and climate, lifting, safety, survey, and press fitting equipment to the industry and construction markets, as well as homeowners. The Torrent Trackside business supplies rail infrastructure portable plants and related trackside services to Network Rail, and London Underground and their appointed track renewal and project contractors. The Groundforce business rents excavation support systems, piling equipment, pipe stoppers, trenchless technology, pumps, and temporary bridges for water, civil engineering, and construction industries. The TPA business is involved in the equipment rental and installation of portable roadways, walkways, and stairways to customers in the transmission, construction, rail, and outdoor events markets. The UK Forks business is involved in the rental of telescopic handlers and tracked access platforms, as well as rough terrain material handling equipment for the housebuilding, general construction, and industrial markets. The Airpac Bukom business offers specialist compressed air and steam generation services to various segments, such as well testing, offshore fabric maintenance, product transfer, cuttings transportation, and LNG fabrication. The TR Group business rents test and measurement, communications, calibration, and audio visual solutions. The company was formerly known as Vibroplant plc and changed its name to Vp plc in 2000. Vp plc was founded in 1954 and is headquartered in Harrogate, the United Kingdom. Vp plc is a subsidiary of Ackers P Investment Co Ltd.

Details
Name: Vp plc
VP.
Exchange: LSE
Founded: 1954
£360,635,302
39,630,253
Website: http://www.vpplc.com
Address: Vp plc
Central House,
Beckwith Knowle,
Harrogate,
North Yorkshire, HG3 1UD,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE VP. Ordinary Shares London Stock Exchange GB GBP 02. Jan 1992
BATS-CHIXE VPl Ordinary Shares BATS 'Chi-X Europe' GB GBP 02. Jan 1992
Number of employees
Current staff
Staff numbers
3,140
Vp employees.
Industry
Trading Companies and Distributors
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/12/13 20:41
End of day share price update: 2019/12/13 00:00
Last estimates confirmation: 2019/12/12
Last earnings filing: 2019/06/25
Last earnings reported: 2019/03/31
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.