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Aeorema Communications

AIM:AEO
Snowflake Description

Flawless balance sheet and undervalued.

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

Aeorema Communications plc, a live events agency, engages in devising and delivering corporate communication solutions in the United Kingdom, Europe, and internationally. The last earnings update was 11 days ago. More info.


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  • Aeorema Communications has significant price volatility in the past 3 months.
AEO Share Price and Events
7 Day Returns
-4.3%
AIM:AEO
-1.7%
GB Entertainment
-5.4%
GB Market
1 Year Returns
-18.2%
AIM:AEO
-27.5%
GB Entertainment
-25.2%
GB Market
AEO Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Aeorema Communications (AEO) -4.3% -22.4% -43.8% -18.2% -19.6% -22.4%
GB Entertainment -1.7% -20.6% -31.2% -27.5% -61.5% -52%
GB Market -5.4% -20.6% -29.1% -25.2% -25.9% -25.1%
1 Year Return vs Industry and Market
  • AEO outperformed the Entertainment industry which returned -27.5% over the past year.
  • AEO outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -25.2% over the past year.
Price Volatility
AEO
Industry
5yr Volatility vs Market

AEO Value

 Is Aeorema Communications 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 Aeorema Communications 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 Aeorema Communications.

AIM:AEO Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 1 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.1%
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:AEO
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.1%
Entertainment Unlevered Beta Simply Wall St/ S&P Global 0.95
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.952 (1 + (1- 19%) (20.53%))
1.074
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.07
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.53% + (1.074 * 6.07%)
7.05%

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

The calculations below outline how an intrinsic value for Aeorema Communications 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:AEO DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 7.05%)
2020 1.04 Est @ 93.33% 0.97
2021 1.72 Est @ 65.49% 1.50
2022 2.52 Est @ 46% 2.05
2023 3.33 Est @ 32.36% 2.54
2024 4.09 Est @ 22.81% 2.91
2025 4.75 Est @ 16.13% 3.16
2026 5.29 Est @ 11.45% 3.29
2027 5.73 Est @ 8.17% 3.32
2028 6.06 Est @ 5.88% 3.28
2029 6.32 Est @ 4.27% 3.20
Present value of next 10 years cash flows £26.00
AIM:AEO DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= £6.32 × (1 + 0.53%) ÷ (7.05% – 0.53%)
£97.49
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £97.49 ÷ (1 + 7.05%)10
£49.32
AIM:AEO Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £26.00 + £49.32
£75.32
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £75.32 / 9.24
£8.15
AIM:AEO Discount to Share Price
Calculation Result
Value per share (GBP) From above. £8.15
Current discount Discount to share price of £0.23
= -1 x (£0.23 - £8.15) / £8.15
97.2%

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

Current Discount
Amount off the current price Aeorema Communications is available for.
Intrinsic value
>50%
Share price is £0.23 vs Future cash flow value of £8.15
Current Discount Checks
For Aeorema Communications to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Aeorema Communications's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Aeorema Communications's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Aeorema Communications's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Aeorema Communications's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:AEO PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in GBP £0.04
AIM:AEO Share Price ** AIM (2020-04-03) in GBP £0.23
United Kingdom of Great Britain and Northern Ireland Entertainment Industry PE Ratio Median Figure of 10 Publicly-Listed Entertainment Companies 30.92x
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 Aeorema Communications.

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

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

= 0.23 ÷ 0.04

5.94x

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

  • Aeorema Communications is good value based on earnings compared to the GB Entertainment industry average.
  • Aeorema Communications is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Aeorema Communications's expected growth come at a high price?
Raw Data
AIM:AEO PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 5.94x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts
Not available
United Kingdom of Great Britain and Northern Ireland Entertainment Industry PEG Ratio Median Figure of 6 Publicly-Listed Entertainment Companies 2.42x
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 .

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

  • Unable to calculate PEG ratio for Aeorema Communications, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Aeorema Communications's assets?
Raw Data
AIM:AEO PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in GBP £0.20
AIM:AEO Share Price * AIM (2020-04-03) in GBP £0.23
United Kingdom of Great Britain and Northern Ireland Entertainment Industry PB Ratio Median Figure of 17 Publicly-Listed Entertainment Companies 1.14x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,323 Publicly-Listed Companies 1.07x
AIM:AEO PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 0.23 ÷ 0.20

1.14x

* Primary Listing of Aeorema Communications.

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

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

AEO Future Performance

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

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 Aeorema Communications 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
33.6%
Expected Entertainment industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Aeorema Communications expected to grow at an attractive rate?
  • Unable to compare Aeorema Communications's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Aeorema Communications's earnings growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
  • Unable to compare Aeorema Communications'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:AEO Future Growth Rates Data Sources
Data Point Source Value (per year)
United Kingdom of Great Britain and Northern Ireland Entertainment Industry Earnings Growth Rate Market Cap Weighted Average 33.6%
United Kingdom of Great Britain and Northern Ireland Entertainment Industry Revenue Growth Rate Market Cap Weighted Average 10.7%
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:AEO Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AIM:AEO Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-06-30 7 0 0 1
AIM:AEO Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2019-12-31 8 1 0
2019-09-30 7 1 0
2019-06-30 7 1 0
2019-03-31 6 1 0
2018-12-31 5 0 0
2018-09-30 5 0 0
2018-06-30 5 0 0
2018-03-31 5 0 0
2017-12-31 4 0 0
2017-09-30 4 0 0
2017-06-30 4 1 0
2017-03-31 4 0 0

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Aeorema Communications is high growth as no earnings estimate data is available.
  • Unable to determine if Aeorema Communications 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:AEO Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

All data from Aeorema Communications Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:AEO Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-06-30 0.04 0.04 0.04 1.00
AIM:AEO Past Financials Data
Date (Data in GBP Millions) EPS *
2019-12-31 0.04
2019-09-30 0.03
2019-06-30 0.03
2019-03-31 0.02
2018-12-31 0.01
2018-09-30 0.01
2018-06-30 0.01
2018-03-31 0.00
2017-12-31 0.00
2017-09-30 0.01
2017-06-30 0.02
2017-03-31 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 Aeorema Communications will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether Aeorema Communications is trading at Aeorema Communications'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. Aeorema Communications's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Media companies here
  3. Aeorema Communications's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Aeorema Communications'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.
Aeorema Communications 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.

AEO Past Performance

  How has Aeorema Communications 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 Aeorema Communications's growth in the last year to its industry (Entertainment).
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.
  • Aeorema Communications's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Aeorema Communications's 1-year earnings growth exceeds its 5-year average (448.3% vs -12.6%)
  • Aeorema Communications's earnings growth has exceeded the GB Entertainment industry average in the past year (448.3% vs -8.1%).
Earnings and Revenue History
Aeorema Communications'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 Aeorema Communications Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:AEO Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 7.68 0.34 1.92
2019-09-30 7.22 0.32 1.86
2019-06-30 6.77 0.29 1.80
2019-03-31 5.86 0.18 1.68
2018-12-31 4.95 0.06 1.62
2018-09-30 4.88 0.06 1.55
2018-06-30 4.82 0.05 1.49
2018-03-31 4.64 0.04 1.44
2017-12-31 4.45 0.04 1.39
2017-09-30 4.30 0.12 1.39
2017-06-30 4.16 0.21 1.38
2017-03-31 4.36 0.24 1.41
2016-12-31 4.57 0.26 1.43
2016-09-30 4.58 0.27 1.44
2016-06-30 4.58 0.27 1.44
2016-03-31 4.73 0.28 1.49
2015-12-31 4.87 0.28 1.54
2015-09-30 4.90 0.30 1.53
2015-06-30 4.93 0.32 1.52
2015-03-31 4.77 0.31 1.50
2014-12-31 4.61 0.31 1.47
2014-09-30 4.69 0.36 1.47
2014-06-30 4.76 0.42 1.47
2014-03-31 4.45 0.39 1.60
2013-12-31 4.14 0.37 1.73
2013-09-30 4.06 0.32 1.58
2013-06-30 3.99 0.28 1.43

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

AEO Health

 How is Aeorema Communications'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 Aeorema Communications's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Aeorema Communications is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Aeorema Communications's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Aeorema Communications'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.
  • Aeorema Communications 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 Aeorema Communications Company Filings, last reported 3 months ago.

AIM:AEO Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 1.79 0.00 1.39
2019-09-30 1.79 0.00 1.39
2019-06-30 1.92 0.00 2.21
2019-03-31 1.92 0.00 2.21
2018-12-31 1.49 0.00 1.03
2018-09-30 1.49 0.00 1.03
2018-06-30 1.66 0.00 1.44
2018-03-31 1.66 0.00 1.44
2017-12-31 1.49 0.00 1.04
2017-09-30 1.49 0.00 1.04
2017-06-30 1.66 0.00 1.90
2017-03-31 1.66 0.00 1.90
2016-12-31 1.50 0.00 1.15
2016-09-30 1.50 0.00 1.15
2016-06-30 1.63 0.00 1.43
2016-03-31 1.63 0.00 1.43
2015-12-31 1.68 0.00 1.37
2015-09-30 1.68 0.00 1.37
2015-06-30 1.88 0.00 1.56
2015-03-31 1.88 0.00 1.56
2014-12-31 1.66 0.00 1.22
2014-09-30 1.66 0.00 1.22
2014-06-30 1.97 0.00 1.62
2014-03-31 1.97 0.00 1.62
2013-12-31 1.63 0.00 1.47
2013-09-30 1.63 0.00 1.47
2013-06-30 1.50 0.00 1.58
  • Aeorema Communications has no debt.
  • Aeorema Communications currently has no debt however we can't compare to 5 years ago as we have no data for that period.
  • Aeorema Communications has no debt, it does not need to be covered by operating cash flow.
  • Aeorema Communications has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Aeorema Communications'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. Aeorema Communications 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.

AEO Dividends

 What is Aeorema Communications'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
4.44%
Current annual income from Aeorema Communications dividends. Estimated to be 5.56% next year.
If you bought £2,000 of Aeorema Communications shares you are expected to receive £89 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?
  • Aeorema Communications's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.68%).
  • Aeorema Communications'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:AEO Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
Europe Entertainment Industry Average Dividend Yield Market Cap Weighted Average of 26 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:AEO Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2020-06-30 0.01 1.00
AIM:AEO Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-10-23 0.010 3.131
2019-09-30 0.010 3.283
2018-11-13 0.008 2.665
2018-11-07 0.008 2.616
2017-11-14 0.005 1.777
2017-11-10 0.005 1.820
2016-10-24 0.020 7.604
2016-10-14 0.020 6.917
2015-10-22 0.030 9.707
2015-10-20 0.030 7.710
2014-10-20 0.020 5.441
2014-10-16 0.020 3.243
2013-10-08 0.015 2.830

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

  • Aeorema Communications has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Aeorema Communications has only been paying a dividend for 6 years, and since then dividends per share have fallen.
Current Payout to shareholders
What portion of Aeorema Communications's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.8x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Aeorema Communications'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 Aeorema Communications afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Aeorema Communications 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.

AEO Management

 What is the CEO of Aeorema Communications'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
Steve Quah
COMPENSATION £122,929
AGE 55
TENURE AS CEO 0.6 years
CEO Bio

Mr. Steven Quah, also known as Steve, serves as Chief Executive Officer since September 30, 2019. He served as Joint Managing Director of Aeorema Communications Plc since September 13, 2017 until September 30, 2019. Mr. Quah served as Head of Events at Aeorema's events and interactive division Twentyfirst and oversees the management of all events until September 13, 2017. Mr. Quah has successfully managed Twentyfirst since the Company's acquisition of certain assets of the business in 2010. With extensive expertise in both theatrical and digital brand experiences, he is the driving force behind Twentyfirst's strong creative service ethos. Steve has produced over 300 corporate productions and numerous live events for some of the world's largest brands including Vodafone, LG, Grant Thornton, Sony, Google, Blackberry, BT, Xbox, Skype, Ernst and Young, Disney and Microsoft to name but a few. He has been an Executive Director at Aeorema Communications Plc since April 15, 2013. He won two LiveCom Awards for Best International Commercial and Promotional Event and Best International External Conference for work at the Cannes Lions. He served as Director of The Good Agency Group Limited, Twentyfirst Century Ideas Limited and Twentyfirst Century Communications Limited.

CEO Compensation
  • Steve's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Steve'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 Aeorema Communications management team in years:

2.6
Average Tenure
55
Average Age
  • The tenure for the Aeorema Communications management team is about average.
Management Team

Steve Quah

TITLE
CEO & Executive Director
COMPENSATION
£123K
AGE
55
TENURE
0.6 yrs

Andrew Harvey

TITLE
MD & Executive Director
COMPENSATION
£93K
AGE
43
TENURE
2.6 yrs

Steve Haffner

TITLE
Company Secretary & Non-Executive Director
COMPENSATION
£15K
AGE
55
TENURE
6.3 yrs
Board of Directors Tenure

Average tenure and age of the Aeorema Communications board of directors in years:

7
Average Tenure
55
Average Age
  • The tenure for the Aeorema Communications board of directors is about average.
Board of Directors

Mike Hale

TITLE
Non-Executive Chairman
COMPENSATION
£20K
AGE
63
TENURE
8.6 yrs

Steve Quah

TITLE
CEO & Executive Director
COMPENSATION
£123K
AGE
55
TENURE
7 yrs

Andrew Harvey

TITLE
MD & Executive Director
COMPENSATION
£93K
AGE
43
TENURE
2.5 yrs

Steve Haffner

TITLE
Company Secretary & Non-Executive Director
COMPENSATION
£15K
AGE
55
TENURE
4.3 yrs

Richard Owen

TITLE
Non-Executive Director
COMPENSATION
£20K
AGE
73
TENURE
17.8 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 (£)
30. Apr 19 Buy Michael Hale Individual 29. Apr 19 29. Apr 19 25,000 £0.27 £6,700
X
Management checks
We assess Aeorema Communications'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. Aeorema Communications 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.

AEO News

Simply Wall St News

What Does Aeorema Communications plc’s (LON:AEO) 4.9% ROCE Say About The Business?

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 Aeorema Communications: 0.049 = UK£74k ÷ (UK£2.3m - UK£792k) (Based on the trailing twelve months to December 2018.) Therefore, Aeorema Communications has an ROCE of 4.9%. … Do Aeorema Communications's Current Liabilities Skew Its ROCE? … 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 -

Is Aeorema Communications plc's (LON:AEO) ROE Of 4.0% Concerning?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Aeorema Communications: 4.0% = UK£59k ÷ UK£1.5m (Based on the trailing twelve months to December 2018.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … Combining Aeorema Communications's Debt And Its 4.0% Return On Equity Shareholders will be pleased to learn that Aeorema Communications has not one iota of net debt! … If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

Simply Wall St -

What Does Aeorema Communications plc's (LON:AEO) P/E Ratio Tell You?

We'll apply a basic P/E ratio analysis to Aeorema Communications plc's (LON:AEO), to help you decide if the stock is worth further research. … Check out our latest analysis for Aeorema Communications How Do You Calculate A P/E Ratio? … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Aeorema Communications: P/E of 38.06 = £0.25 ÷ £0.0066 (Based on the trailing twelve months to December 2018.) Is A High Price-to-Earnings Ratio Good?

Simply Wall St -

Why Aeorema Communications plc (LON:AEO) Could Have A Place In Your Portfolio

Building up an investment case requires looking at a stock holistically. … Today I've chosen to put the spotlight on Aeorema Communications plc (LON:AEO) due to its excellent fundamentals in more than one area.

Simply Wall St -

Here’s why Aeorema Communications plc’s (LON:AEO) Returns On Capital Matters So Much

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … Analysts use this formula to calculate return on capital employed:

Simply Wall St -

Introducing Aeorema Communications, The Stock That Dropped 49% In The Last Five Years

While Aeorema Communications made a small profit, in the last year, we think that the market is probably more focussed on the top line growth at the moment. … Generally speaking, companies that are not judged on their (small) profits should be growing revenue quickly. … Over five years, Aeorema Communications grew its revenue at 0.9% per year.

Simply Wall St -

Aeorema Communications plc (LON:AEO): Assessing Capital Returns

and want to begin learning the link between Aeorema Communications plc (LON:AEO)’s return fundamentals and stock market performance. … Therefore, looking at how efficiently Aeorema Communications is able to use capital to create earnings will help us understand your potential return. … Investors use many different metrics but the analysis below focuses on return on capital employed (ROCE).

Simply Wall St -

Aeorema Communications plc (LON:AEO)'s Return on Capital

and looking to gauge the potential return on investment in Aeorema Communications plc (LON:AEO). … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … To understand Aeorema Communications’s capital returns we will look at a useful metric called return on capital employed.

Simply Wall St -

Is Aeorema Communications plc (LON:AEO) A Sell At Its Current PE Ratio?

The content of this article will benefit those of you who are starting to educate yourself about investing in the stock market. … and want to begin learning the link between Aeorema Communications plc (LON:AEO)’s fundamentals and stock market performance. … Aeorema Communications plc (LON:AEO) is currently trading at a trailing P/E of 68.5x, which is higher than the industry average of 22.9x.

Simply Wall St -

Was Aeorema Communications plc's (LON:AEO) Earnings Decline Part Of A Broader Industry Downturn?

Today I will take a look at Aeorema Communications plc's (AIM:AEO) most recent earnings update (31 December 2017) and compare these latest figures against its performance over the past few years, as well as how the rest of the media industry performed. … Check out our latest analysis for Aeorema Communications How Well Did AEO Perform? … I use the ‘latest twelve-month’ data, which annualizes the latest 6-month earnings release, or some times, the latest annual report is already the most recent financial data.

Simply Wall St -

AEO Company Info

Description

Aeorema Communications plc, a live events agency, engages in devising and delivering corporate communication solutions in the United Kingdom, Europe, and internationally. The company was formerly known as Cheerful Scout plc and changed its name to Aeorema Communications plc in December 2011. Aeorema Communications plc was incorporated in 2001 and is based in London, the United Kingdom.

Details
Name: Aeorema Communications plc
AEO
Exchange: AIM
Founded: 2001
£2,078,550
9,238,000
Website: http://www.aeorema.com
Address: Aeorema Communications plc
Moray House,
23/31 Great Titchfield Street,
London,
Greater London, W1W 7PA,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM AEO Ordinary Shares London Stock Exchange AIM Market GB GBP 01. May 2002
Number of employees
Current staff
Staff numbers
21
Aeorema Communications employees.
Industry
Movies and Entertainment
Media
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/03 22:51
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2019/09/30
Last earnings filing: 2020/03/23
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/06/30


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.