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Keystone Law Group

AIM:KEYS
Snowflake Description

Flawless balance sheet with outstanding track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
KEYS
AIM
£134M
Market Cap
  1. Home
  2. GB
  3. Commercial Services
Company description

Keystone Law Group plc provides legal services in the United Kingdom. The last earnings update was 193 days ago. More info.


Add to Portfolio Compare Print
  • Keystone Law Group has significant price volatility in the past 3 months.
KEYS Share Price and Events
7 Day Returns
8.9%
AIM:KEYS
-8.8%
GB Professional Services
-5.4%
GB Market
1 Year Returns
-2.8%
AIM:KEYS
-4.7%
GB Professional Services
-25.2%
GB Market
KEYS Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Keystone Law Group (KEYS) 8.9% -23.2% -23.6% -2.8% - -
GB Professional Services -8.8% -18.4% -18.3% -4.7% 10% 42.9%
GB Market -5.4% -20.6% -29.1% -25.2% -25.9% -25.1%
1 Year Return vs Industry and Market
  • KEYS outperformed the Professional Services industry which returned -4.7% over the past year.
  • KEYS outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -25.2% over the past year.
Price Volatility
KEYS
Industry
5yr Volatility vs Market

Value

 Is Keystone Law Group 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 Keystone Law Group 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 Keystone Law Group.

AIM:KEYS Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 3 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 5.7%
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:KEYS
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.1%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.78
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.776 (1 + (1- 19%) (1.77%))
0.857
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.86
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.53% + (0.857 * 6.07%)
5.73%

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

The calculations below outline how an intrinsic value for Keystone Law Group 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:KEYS DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 5.73%)
2020 3.74 Analyst x2 3.53
2021 4.63 Analyst x2 4.14
2022 5.22 Analyst x2 4.42
2023 5.89 Analyst x1 4.71
2024 6.46 Analyst x1 4.89
2025 7.85 Analyst x1 5.61
2026 8.59 Est @ 9.46% 5.81
2027 9.17 Est @ 6.78% 5.87
2028 9.62 Est @ 4.91% 5.82
2029 9.97 Est @ 3.59% 5.71
Present value of next 10 years cash flows £50.00
AIM:KEYS DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= £9.97 × (1 + 0.53%) ÷ (5.73% – 0.53%)
£192.50
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £192.50 ÷ (1 + 5.73%)10
£110.23
AIM:KEYS Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £50.00 + £110.23
£160.23
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £160.23 / 31.27
£5.12
AIM:KEYS Discount to Share Price
Calculation Result
Value per share (GBP) From above. £5.12
Current discount Discount to share price of £4.30
= -1 x (£4.30 - £5.12) / £5.12
16.1%

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

Current Discount
Amount off the current price Keystone Law Group is available for.
Intrinsic value
16%
Share price is £4.3 vs Future cash flow value of £5.12
Current Discount Checks
For Keystone Law Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Keystone Law Group's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Keystone Law Group's share price is below the future cash flow value, but not 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 Keystone Law Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Keystone Law Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:KEYS PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-07-31) in GBP £0.13
AIM:KEYS Share Price ** AIM (2020-04-02) in GBP £4.3
United Kingdom of Great Britain and Northern Ireland Professional Services Industry PE Ratio Median Figure of 30 Publicly-Listed Professional Services Companies 15.31x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 748 Publicly-Listed Companies 12.44x

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

** Primary Listing of Keystone Law Group.

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

= AIM:KEYS Share Price ÷ EPS (both in GBP)

= 4.3 ÷ 0.13

33.08x

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

  • Keystone Law Group is overvalued based on earnings compared to the GB Professional Services industry average.
  • Keystone Law Group is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Keystone Law Group's expected growth come at a high price?
Raw Data
AIM:KEYS PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 33.08x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts
12.6%per year
United Kingdom of Great Britain and Northern Ireland Professional Services Industry PEG Ratio Median Figure of 19 Publicly-Listed Professional Services Companies 1.06x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 518 Publicly-Listed Companies 0.97x

*Line of best fit is calculated by linear regression .

AIM:KEYS PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 33.08x ÷ 12.6%

2.62x

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

  • Keystone Law Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Keystone Law Group's assets?
Raw Data
AIM:KEYS PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-07-31) in GBP £0.49
AIM:KEYS Share Price * AIM (2020-04-02) in GBP £4.3
United Kingdom of Great Britain and Northern Ireland Professional Services Industry PB Ratio Median Figure of 42 Publicly-Listed Professional Services Companies 2.19x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,323 Publicly-Listed Companies 1.07x
AIM:KEYS PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= AIM:KEYS Share Price ÷ Book Value per Share (both in GBP)

= 4.3 ÷ 0.49

8.77x

* Primary Listing of Keystone Law Group.

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

  • Keystone Law Group is overvalued based on assets compared to the GB Professional Services industry average.
X
Value checks
We assess Keystone Law Group'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 Professional Services 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 Professional Services industry average (and greater than 0)? (1 check)
  5. Keystone Law Group has a total score of 0/6, 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 Keystone Law Group 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
12.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Keystone Law Group expected to grow at an attractive rate?
  • Keystone Law Group's earnings growth is expected to exceed the low risk savings rate of 0.5%.
Growth vs Market Checks
  • Keystone Law Group's earnings growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
  • Keystone Law Group'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:KEYS Future Growth Rates Data Sources
Data Point Source Value (per year)
AIM:KEYS Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 3 Analysts 12.6%
AIM:KEYS Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 3 Analysts 12.8%
United Kingdom of Great Britain and Northern Ireland Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 8.1%
United Kingdom of Great Britain and Northern Ireland Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 4.4%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 15.3%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 2.4%

*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:KEYS 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.
AIM:KEYS Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2025-01-31 8
2024-01-31 7
2023-01-31 6
2022-01-31 62 6 6 2
2021-01-31 55 5 5 3
2020-04-03
2020-01-31 48 5 4 3
AIM:KEYS Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2019-07-31 46 4 4
2019-04-30 44 4 4
2019-01-31 43 4 4
2018-10-31 39 3 3
2018-07-31 36 3 2
2018-04-30 34 2 2
2018-01-31 32 2 2
2017-10-31 30 2 1
2017-07-31 29 2 1
2017-04-30 27 1 1
2017-01-31 26 1 1

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Keystone Law Group's earnings are expected to grow by 12.6% yearly, however this is not considered high growth (20% yearly).
  • Keystone Law Group's revenue is expected to grow by 12.8% 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:KEYS 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 Keystone Law Group Company Filings, last reported 8 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:KEYS Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2025-01-31
2024-01-31
2023-01-31
2022-01-31 0.18 0.18 0.18 1.00
2021-01-31 0.15 0.15 0.15 1.00
2020-04-03
2020-01-31 0.13 0.13 0.13 1.00
AIM:KEYS Past Financials Data
Date (Data in GBP Millions) EPS *
2019-07-31 0.13
2019-04-30 0.13
2019-01-31 0.12
2018-10-31 0.08
2018-07-31 0.05
2018-04-30 0.06
2018-01-31 0.06
2017-10-31 0.05
2017-07-31 5.04
2017-04-30 0.04
2017-01-31 0.03

*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 Keystone Law Group will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Keystone Law Group'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.
Keystone Law Group has a total score of 2/6, 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 Keystone Law Group performed over the past 5 years?

  • Keystone Law Group's last earnings update was 193 days ago.
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 Keystone Law Group's growth in the last year to its industry (Professional Services).
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.
  • Keystone Law Group has delivered over 20% year on year earnings growth in the past 5 years.
  • Keystone Law Group's 1-year earnings growth exceeds its 5-year average (77.3% vs 46.4%)
  • Keystone Law Group's earnings growth has exceeded the GB Professional Services industry average in the past year (77.3% vs 12%).
Earnings and Revenue History
Keystone Law Group'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 Keystone Law Group Company Filings, last reported 8 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:KEYS Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-07-31 45.73 4.06 7.18
2019-04-30 44.21 3.94 6.91
2019-01-31 42.69 3.81 6.64
2018-10-31 39.44 3.05 6.21
2018-07-31 36.19 2.29 5.93
2018-04-30 33.90 1.94 5.69
2018-01-31 31.60 1.59 5.45
2017-10-31 30.05 1.42 5.24
2017-07-31 28.51 1.26 5.03
2017-04-30 27.03 1.06 4.80
2017-01-31 25.56 0.87 4.57
2016-01-31 20.89 0.55 3.72
2015-01-31 16.13 0.25 3.18

*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.
  • Keystone Law Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Keystone Law Group used its assets more efficiently than the GB Professional Services industry average last year based on Return on Assets.
  • Keystone Law Group has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Keystone Law Group'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 Professional Services 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.
Keystone Law Group has a total score of 6/6, 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 Keystone Law Group'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 Keystone Law Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Keystone Law Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Keystone Law Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Keystone Law Group'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.
  • Keystone Law Group has no debt, it does not need to be covered by short term assets.
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 Keystone Law Group Company Filings, last reported 8 months ago.

AIM:KEYS Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2019-07-31 15.34 0.00 6.36
2019-04-30 15.34 0.00 6.36
2019-01-31 15.36 0.00 6.34
2018-10-31 15.36 0.00 6.34
2018-07-31 14.00 0.00 5.31
2018-04-30 14.00 0.00 5.31
2018-01-31 12.55 0.00 3.59
2017-10-31 12.55 0.00 3.59
2017-07-31 2.47 6.97 1.89
2017-04-30 2.47 6.97 1.89
2017-01-31 1.46 6.97 0.71
2016-01-31 0.59 7.86 0.45
2015-01-31 0.04 8.68 0.32
  • Keystone Law Group has no debt.
  • Keystone Law Group currently has no debt however we can't compare to 5 years ago as we have no data for that period.
  • Keystone Law Group has no debt, it does not need to be covered by operating cash flow.
  • Keystone Law Group has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Keystone Law Group'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. Keystone Law Group 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 Keystone Law Group'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
2.09%
Current annual income from Keystone Law Group dividends. Estimated to be 2.67% next year.
If you bought £2,000 of Keystone Law Group shares you are expected to receive £42 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?
  • Keystone Law Group's pays a lower dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.68%).
  • Keystone Law Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (7.57%).
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:KEYS 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 Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 27 Stocks 2.6%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 608 Stocks 5.7%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1.4%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2.7%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 7.6%

Industry and Market average data is calculated daily.

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

AIM:KEYS Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2025-01-31
2024-01-31
2023-01-31
2022-01-31 0.12 2.00
2021-01-31 0.11 3.00
2020-04-03
2020-01-31 0.10 3.00
AIM:KEYS Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-05-08 0.090 1.789
2019-05-07 0.090 1.795
2018-09-25 0.050 1.248
2018-06-27 0.008 0.246
2018-04-25 0.008 0.271

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

  • Whilst dividend payments have been stable, Keystone Law Group has been paying a dividend for less than 10 years.
  • Dividend payments have increased, but Keystone Law Group only paid a dividend in the past 2 years.
Current Payout to shareholders
What portion of Keystone Law Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.3x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.5x coverage).
X
Income/ dividend checks
We assess Keystone Law Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.4%) - 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 Keystone Law Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Keystone Law Group has a total score of 2/6, 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 Keystone Law Group'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
James Knight
COMPENSATION £315,000
AGE 52
CEO Bio

Mr. James David Knight Founded Keystone Law Group Plc in 2002 and serves as its Chief Executive Officer Mr. Knight has been Executive Director at Keystone Law Group Plc since October 17, 2014. He has a 10 year career as a commercial solicitor in London, Hong Kong and Dubai. He focuses on business development, marketing, international opportunities and other drivers of growth.

CEO Compensation
  • James's compensation has been consistent with company performance over the past year, both up more than 20%.
  • James's remuneration is lower than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Keystone Law Group management team in years:

3.1
Average Tenure
46
Average Age
  • The tenure for the Keystone Law Group management team is about average.
Management Team

James Knight

TITLE
Founder
COMPENSATION
£315K
AGE
52

Ashley Rupert James Miller

TITLE
Finance Director & Executive Director
COMPENSATION
£147K
AGE
47
TENURE
5.2 yrs

William Robins

TITLE
Director of Operations & Compliance and Company Secretary
AGE
42

Maurice Tunney

TITLE
Director of Technology & Innovation
AGE
46

Emma Millar

TITLE
Head of Administration
TENURE
1 yrs

Karen Scott

TITLE
General counsel

Kristina Oliver

TITLE
Director of Marketing & Business Development
AGE
36
TENURE
6.8 yrs

Mark Machray

TITLE
Head of Recruitment and Director of Growth & Development
AGE
46

Fiona Severs

TITLE
Head of Community & Engagement

Sarah Brown

TITLE
Head of Partner Recruitment
TENURE
0.3 yrs
Board of Directors Tenure

Average tenure and age of the Keystone Law Group board of directors in years:

5.2
Average Tenure
52
Average Age
  • The tenure for the Keystone Law Group board of directors is about average.
Board of Directors

Robin George Williams

TITLE
Independent Non-Executive Chairman
COMPENSATION
£60K
AGE
62
TENURE
2.5 yrs

James Knight

TITLE
Founder
COMPENSATION
£315K
AGE
52
TENURE
5.5 yrs

Ashley Rupert James Miller

TITLE
Finance Director & Executive Director
COMPENSATION
£147K
AGE
47
TENURE
5.2 yrs

Simon Robert Philips

TITLE
Non-Executive Director
COMPENSATION
£50K
AGE
51
TENURE
5.7 yrs

Peter Whiting

TITLE
Senior Independent Director
COMPENSATION
£35K
AGE
53
TENURE
2.5 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 (£)
31. May 19 Sell Root Capital Company 30. May 19 30. May 19 -1,000,000 £4.50 £-4,500,000
X
Management checks
We assess Keystone Law Group'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. Keystone Law Group 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

Calculating The Intrinsic Value Of Keystone Law Group plc (LON:KEYS)

Today we will run through one way of estimating the intrinsic value of Keystone Law Group plc (LON:KEYS) by taking the expected future cash flows and discounting them to their present value. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 10-year free cash flow (FCF) estimate 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF (£, Millions) £3.5m £4.6m £5.1m £6.0m £6.9m £7.6m £8.2m £8.7m £9.0m £9.3m Growth Rate Estimate Source Analyst x2 Analyst x2 Analyst x2 Analyst x2 Analyst x2 Est @ 10.13% Est @ 7.46% Est @ 5.59% Est @ 4.28% Est @ 3.36% Present Value (£, Millions) Discounted @ 7.2% £3.3 £4.0 £4.2 £4.5 £4.9 £5.0 £5.0 £5.0 £4.8 £4.7 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= £45.4m We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … AIM:KEYS Intrinsic value, August 19th 2019 Important assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

Should You Be Excited About Keystone Law Group plc's (LON:KEYS) 25% Return On Equity?

Check out our latest analysis for Keystone Law Group How Do You Calculate Return On Equity? … The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Keystone Law Group: 25% = UK£3.8m ÷ UK£15m (Based on the trailing twelve months to January 2019.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Combining Keystone Law Group's Debt And Its 25% Return On Equity One positive for shareholders is that Keystone Law Group does not have any net debt!

Simply Wall St -

Why Keystone Law Group plc’s (LON:KEYS) Return On Capital Employed Is Impressive

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 Keystone Law Group: 0.29 = UK£4.6m ÷ (UK£28m - UK£12m) (Based on the trailing twelve months to January 2019.) Therefore, Keystone Law Group has an ROCE of 29%. … What Are Current Liabilities, And How Do They Affect Keystone Law Group's ROCE? … Due to the way ROCE is calculated, a high level of current liabilities makes a company look as though it has less capital employed, and thus can (sometimes unfairly) boost the ROCE.

Simply Wall St -

Keystone Law Group plc (LON:KEYS): What Can We Expect From This High Growth Stock?

The most recent earnings announcement Keystone Law Group plc's (LON:KEYS) released in May 2019 showed that the business experienced a major tailwind, more than doubling its earnings from the prior year. … Below, I've laid out key growth figures on how market analysts view Keystone Law Group's earnings growth trajectory over the next few years and whether the future looks even brighter than the past. … Check out our latest analysis for Keystone Law Group Market analysts' consensus outlook for the coming year seems rather muted, with earnings climbing by a single digit 9.0%.

Simply Wall St -

What Are Analysts Saying About Keystone Law Group plc's (LON:KEYS) Future?

In January 2019, Keystone Law Group plc (LON:KEYS) released its earnings update. … See our latest analysis for Keystone Law Group How is Keystone Law Group going to perform in the near future? … AIM:KEYS Past and Future Earnings, June 26th 2019 From the current net income level of UK£3.8m and the final forecast of UK£5.4m by 2022, the annual rate of growth for KEYS’s earnings is 12%.

Simply Wall St -

Don't Sell Keystone Law Group plc (LON:KEYS) Before You Read This

The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Keystone Law Group: P/E of 43.37 = £5.28 ÷ £0.12 (Based on the year to January 2019.) Is A High Price-to-Earnings Ratio Good? … Since Keystone Law Group holds net cash of UK£6.3m, it can spend on growth, justifying a higher P/E ratio than otherwise. … The Verdict On Keystone Law Group's P/E Ratio Keystone Law Group trades on a P/E ratio of 43.4, which is above the GB market average of 16.1.

Simply Wall St -

Update: Keystone Law Group (LON:KEYS) Stock Gained 46% In The Last Year

For example, the Keystone Law Group plc (LON:KEYS) share price is up 46% in the last year, clearly besting than the market return of around -5.8% (not including dividends). … One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … During the last year Keystone Law Group grew its earnings per share (EPS) by 102%.

Simply Wall St -

Calculating The Intrinsic Value Of Keystone Law Group plc (LON:KEYS)

Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value: 10-year free cash flow (FCF) estimate 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF (£, Millions) £5.11 £6.55 £7.86 £9.00 £9.94 £10.71 £11.32 £11.82 £12.23 £12.57 Growth Rate Estimate Source Est @ 39.72% Est @ 28.17% Est @ 20.09% Est @ 14.43% Est @ 10.47% Est @ 7.7% Est @ 5.76% Est @ 4.4% Est @ 3.45% Est @ 2.78% Present Value (£, Millions) Discounted @ 7.31% £4.76 £5.69 £6.36 £6.79 £6.99 £7.01 £6.91 £6.72 £6.48 £6.21 Present Value of 10-year Cash Flow (PVCF)= £63.91m "Est" = FCF growth rate estimated by Simply Wall St After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 10-year government bond rate of 1.2%. … AIM:KEYS Intrinsic value, May 13th 2019 Important assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

Should You Care About Keystone Law Group plc’s (LON:KEYS) Investment Potential?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business.

Simply Wall St -

Should We Be Cautious About Keystone Law Group plc's (LON:KEYS) ROE Of 16%?

To keep the lesson grounded in practicality, we'll use ROE to better understand Keystone Law Group plc (LON:KEYS). … One way to conceptualize this, is that for each £1 of shareholders' equity it has, the company made £0.16 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Company Info

Description

Keystone Law Group plc provides legal services in the United Kingdom. The company offers its legal services in the areas of banking and finance, commercial, commercial property, construction and projects, corporate, data protection, dispute resolution, employment and immigration, EU and competition law, family and matrimonial, fraud and financial crime, insurance, intellectual property, investment funds and management, licensing, mediation and ADR, pensions and incentives, planning and environment, probate and estate planning, residential property restructuring and insolvency, tax, and technology. It serves sectors, such as aviation, education, financial service, food and beverage, healthcare, high-net worth family office, hotel, hospitality and leisure, in-house legal, law firm support, and marine and shipping, as well as media, private individual, professional practice, property development, retail, satellite, space and communication, sport, and technology and telecom. The company was founded in 2002 and is based in London, the United Kingdom.

Details
Name: Keystone Law Group plc
KEYS
Exchange: AIM
Founded: 2002
£134,477,946
31,273,941
Website: http://www.keystonelaw.co.uk
Address: Keystone Law Group plc
48 Chancery Lane,
London,
Greater London, WC2A 1JF,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM KEYS New Ordinary Shares London Stock Exchange AIM Market GB GBP 27. Nov 2017
Number of employees
Current staff
Staff numbers
40
Keystone Law Group employees.
Industry
Research and Consulting Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/03 03:44
End of day share price update: 2020/04/02 00:00
Last estimates confirmation: 2020/03/27
Last earnings filing: 2019/09/23
Last earnings reported: 2019/07/31
Last annual earnings reported: 2019/01/31


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.