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CIP Merchant Capital

AIM:CIP
Snowflake Description

Flawless balance sheet and overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CIP
AIM
£31M
Market Cap
  1. Home
  2. GB
  3. Diversified Financials
Company description

CIP Merchant Capital Limited specializes in growth capital and intends to invest in listed equity and other financial products and instruments. The last earnings update was 233 days ago. More info.


Add to Portfolio Compare Print
  • CIP Merchant Capital is a fund or ETF! Currently our data availability for these is poor, we only recommend using them as part of a portfolio.
CIP Share Price and Events
7 Day Returns
-2.6%
AIM:CIP
-0.1%
GB Capital Markets
-0.1%
GB Market
1 Year Returns
-27.8%
AIM:CIP
23.2%
GB Capital Markets
6%
GB Market
CIP Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CIP Merchant Capital (CIP) -2.6% -4.2% 2.7% -27.8% - -
GB Capital Markets -0.1% 1% 2.8% 23.2% 63% 102.9%
GB Market -0.1% 2.2% 3.8% 6% 6.6% 3.3%
1 Year Return vs Industry and Market
  • CIP underperformed the Capital Markets industry which returned 23.2% over the past year.
  • CIP underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 6% over the past year.

CIP Value

 Is CIP Merchant Capital 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
  • It is not possible to calculate the future cash flow value for CIP Merchant Capital. This is due to cash flow or dividend data being unavailable. The share price is £0.57.
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 CIP Merchant Capital's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CIP Merchant Capital's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:CIP PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in GBP Not available
AIM:CIP Share Price ** AIM (2019-11-20) in GBP £0.57
United Kingdom of Great Britain and Northern Ireland Capital Markets Industry PE Ratio Median Figure of 42 Publicly-Listed Capital Markets Companies 20.06x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 752 Publicly-Listed Companies 17.04x

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

** Primary Listing of CIP Merchant Capital.

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

  • Unable to compare the PE ratio to the industry average as no data exists.
  • Unable to calculate PE ratio for CIP Merchant Capital, we can't compare the value of its earnings to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does CIP Merchant Capital's expected growth come at a high price?
Raw Data
AIM:CIP PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 0x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
United Kingdom of Great Britain and Northern Ireland Capital Markets Industry PEG Ratio Median Figure of 25 Publicly-Listed Capital Markets Companies 1.07x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 560 Publicly-Listed Companies 1.42x

*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 CIP Merchant Capital, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on CIP Merchant Capital's assets?
Raw Data
AIM:CIP PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in GBP Not available
AIM:CIP Share Price * AIM (2019-11-20) in GBP £0.57
United Kingdom of Great Britain and Northern Ireland Capital Markets Industry PB Ratio Median Figure of 75 Publicly-Listed Capital Markets Companies 1.3x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,305 Publicly-Listed Companies 1.49x
AIM:CIP PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 0.57 ÷ 0.87

0.65x

* Primary Listing of CIP Merchant Capital.

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

  • CIP Merchant Capital is good value based on assets compared to the GB Capital Markets industry average.
X
Value checks
We assess CIP Merchant Capital'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 Capital Markets 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 Capital Markets industry average (and greater than 0)? (1 check)
  5. CIP Merchant Capital has a total score of 1/6, 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.

CIP Future Performance

 How is CIP Merchant Capital expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as CIP Merchant Capital has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

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
17.8%
Expected Capital Markets industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CIP Merchant Capital expected to grow at an attractive rate?
  • Unable to compare CIP Merchant Capital's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare CIP Merchant Capital's earnings growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
  • Unable to compare CIP Merchant Capital's revenue growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
AIM:CIP Future Growth Rates Data Sources
Data Point Source Value (per year)
United Kingdom of Great Britain and Northern Ireland Capital Markets Industry Earnings Growth Rate Market Cap Weighted Average 17.8%
United Kingdom of Great Britain and Northern Ireland Capital Markets Industry Revenue Growth Rate Market Cap Weighted Average 6.5%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 12.6%
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
AIM:CIP Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (10 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AIM:CIP Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-12-31 -35 -3
2018-06-30 -55 -2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if CIP Merchant Capital is high growth as no earnings estimate data is available.
  • Unable to determine if CIP Merchant Capital is high growth as no revenue estimate data is available.
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:CIP Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (10 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from CIP Merchant Capital Company Filings, last reported 10 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:CIP Past Financials Data
Date (Data in GBP Millions) EPS *
2018-12-31
2018-06-30

*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 CIP Merchant Capital will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess CIP Merchant Capital'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.
CIP Merchant Capital 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.

CIP Past Performance

  How has CIP Merchant Capital performed over the past 5 years?

  • CIP Merchant Capital's last earnings update was 233 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 CIP Merchant Capital's growth in the last year to its industry (Capital Markets).
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.
  • CIP Merchant Capital does not make a profit and there is insufficient past data to establish if their 5 year on year earnings growth rate was positive.
  • Unable to compare CIP Merchant Capital's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare CIP Merchant Capital's 1-year growth to the GB Capital Markets industry average as it is not currently profitable.
Earnings and Revenue History
CIP Merchant Capital'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 CIP Merchant Capital Company Filings, last reported 10 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:CIP Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 -3.29 1.08
2018-06-30 -2.05 0.88

*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.
  • It is difficult to establish if CIP Merchant Capital has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if CIP Merchant Capital has efficiently used its assets last year compared to the GB Capital Markets industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if CIP Merchant Capital improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess CIP Merchant Capital'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 Capital Markets 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.
CIP Merchant Capital has a total score of 0/6, 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.

CIP Health

 How is CIP Merchant Capital'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 CIP Merchant Capital's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CIP Merchant Capital is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CIP Merchant Capital has no long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of CIP Merchant Capital'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.
  • CIP Merchant Capital 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 CIP Merchant Capital Company Filings, last reported 10 months ago.

AIM:CIP Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 48.05 0.00 47.89
2018-06-30 50.74 0.00 50.81
  • CIP Merchant Capital has no debt.
  • CIP Merchant Capital has not taken on any debt in the past 5 years.
  • CIP Merchant Capital has no debt, it does not need to be covered by operating cash flow.
  • CIP Merchant Capital has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess CIP Merchant Capital'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. CIP Merchant Capital 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.

CIP Dividends

 What is CIP Merchant Capital'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
0%
Current annual income from CIP Merchant Capital dividends.
If you bought £2,000 of CIP Merchant Capital shares you are expected to receive £0 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?
  • Unable to evaluate CIP Merchant Capital's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate CIP Merchant Capital's dividend against the top 25% market benchmark as the company has not reported any payouts.
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:CIP 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 0 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Capital Markets Industry Average Dividend Yield Market Cap Weighted Average of 40 Stocks 2.2%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 680 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 5.4%

Industry and Market average data is calculated daily.

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

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

  • Unable to perform a dividend volatility check as CIP Merchant Capital has not reported any payouts.
  • Unable to verify if CIP Merchant Capital's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of CIP Merchant Capital's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as CIP Merchant Capital has not reported any payouts.
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 CIP Merchant Capital'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 CIP Merchant Capital afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CIP Merchant Capital has a total score of 0/6, see the detailed checks below.


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

CIP Management

 What is the CEO of CIP Merchant Capital'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.
  • CIP Merchant Capital has no CEO, or we have no data on them.
Management Team
Board of Directors

Adrian John Collins

TITLE
Independent Non-executive Chairman
AGE
64

John Falla

TITLE
Independent Non-executive Director
AGE
58

Rob King

TITLE
Independent Non-executive Director
AGE
56

Marco Fumagalli

TITLE
Non-independent Non-executive Director
AGE
49

Carlo Sgarbi

TITLE
Non-independent Non-executive Director
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 (£)
21. Oct 19 Buy Goldfinch Sa Company 18. Oct 19 18. Oct 19 300,000 £0.56 £168,000
X
Management checks
We assess CIP Merchant Capital'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. CIP Merchant Capital 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.

CIP News

Simply Wall St News

CIP Company Info

Description

CIP Merchant Capital Limited specializes in growth capital and intends to invest in listed equity and other financial products and instruments. It focuses on investing in oil and gas, healthcare, pharmaceutical, and real estate sectors. It seeks investments in concentrated portfolio of significant holdings in approximately 5 to 10 publically traded companies, with a focus on UK markets. The firm acquires influential minority stakes (5-25%) and board representation where appropriate.

Details
Name: CIP Merchant Capital Limited
CIP
Exchange: AIM
Founded: 2017
£31,350,000
55,000,000
Website: http://www.cipmerchantcapital.com
Address: CIP Merchant Capital Limited
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM CIP Ordinary Shares London Stock Exchange AIM Market GB GBP 22. Dec 2017
Number of employees
Current staff
Staff numbers
0
CIP Merchant Capital employees.
Industry
Asset Management and Custody Banks
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/20 22:01
End of day share price update: 2019/11/20 00:00
Last earnings filing: 2019/04/01
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


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.