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Zytronic

AIM:ZYT
Snowflake Description

Flawless balance sheet established dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ZYT
AIM
£15M
Market Cap
  1. Home
  2. GB
  3. Tech
Company description

Zytronic plc, together with its subsidiaries, develops and manufactures interactive touch sensor products. The last earnings update was 91 days ago. More info.


Add to Portfolio Compare Print
  • Zytronic has significant price volatility in the past 3 months.
ZYT Share Price and Events
7 Day Returns
-7.3%
AIM:ZYT
1.9%
GB Electronic
-3.3%
GB Market
1 Year Returns
-72.5%
AIM:ZYT
-8.3%
GB Electronic
-25%
GB Market
ZYT Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Zytronic (ZYT) -7.3% -30.9% -60.8% -72.5% -77.4% -63.3%
GB Electronic 1.9% -10.5% -19.1% -8.3% 19.7% 61.3%
GB Market -3.3% -19.5% -28.9% -25% -25.8% -24.1%
1 Year Return vs Industry and Market
  • ZYT underperformed the Electronic industry which returned -8.3% over the past year.
  • ZYT underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -25% over the past year.
Price Volatility
ZYT
Industry
5yr Volatility vs Market

Value

 Is Zytronic 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 Zytronic 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 Zytronic.

AIM:ZYT Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-09-30) in GBP £ 0.114
Payout Ratio Company Filings (2019-09-30) 7075.9%
Discount Rate (Cost of Equity) See below 8.5%
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:ZYT
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 0.5%
Equity Risk Premium S&P Global 6.1%
Electronic Unlevered Beta Simply Wall St/ S&P Global 1.09
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.093 (1 + (1- 19%) (0%))
1.318
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.32
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.53% + (1.318 * 6.07%)
8.53%

Discounted Cash Flow Calculation for AIM:ZYT using Dividend Discount Model Model

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

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

See our documentation to learn about this calculation.

AIM:ZYT Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= £0.11 / (8.53% - 0.53%)
£1.43
AIM:ZYT Discount to Share Price
Calculation Result
Value per share (GBP) From above. £1.43
Current discount Discount to share price of £0.95
= -1 x (£0.95 - £1.43) / £1.43
33.3%

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

Current Discount
Amount off the current price Zytronic is available for.
Intrinsic value
33%
Share price is £0.95 vs Future cash flow value of £1.43
Current Discount Checks
For Zytronic to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Zytronic's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Zytronic'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 Zytronic's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Zytronic's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
AIM:ZYT PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in GBP £0.17
AIM:ZYT Share Price ** AIM (2020-04-02) in GBP £0.95
United Kingdom of Great Britain and Northern Ireland Electronic Industry PE Ratio Median Figure of 22 Publicly-Listed Electronic Companies 16.68x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 748 Publicly-Listed Companies 12.47x

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

** Primary Listing of Zytronic.

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

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

= 0.95 ÷ 0.17

5.66x

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

  • Zytronic is good value based on earnings compared to the GB Electronic industry average.
  • Zytronic is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Zytronic's expected growth come at a high price?
Raw Data
AIM:ZYT PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 5.66x
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 Electronic Industry PEG Ratio Median Figure of 11 Publicly-Listed Electronic Companies 1.01x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 522 Publicly-Listed Companies 0.98x

*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 Zytronic, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Zytronic's assets?
Raw Data
AIM:ZYT PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in GBP £1.61
AIM:ZYT Share Price * AIM (2020-04-02) in GBP £0.95
United Kingdom of Great Britain and Northern Ireland Electronic Industry PB Ratio Median Figure of 34 Publicly-Listed Electronic Companies 1.69x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,323 Publicly-Listed Companies 1.08x
AIM:ZYT PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 0.95 ÷ 1.61

0.59x

* Primary Listing of Zytronic.

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

  • Zytronic is good value based on assets compared to the GB Electronic industry average.
X
Value checks
We assess Zytronic'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 Electronic 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 Electronic industry average (and greater than 0)? (1 check)
  5. Zytronic has a total score of 4/6, see the detailed checks below.

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

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

Future Performance

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

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

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-0.3%
Expected annual growth in revenue.
Earnings growth vs Low Risk Savings
Is Zytronic expected to grow at an attractive rate?
  • Unable to compare Zytronic's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Zytronic's earnings growth to the United Kingdom of Great Britain and Northern Ireland market average as no estimate data is available.
  • Zytronic's revenues are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
AIM:ZYT Future Growth Rates Data Sources
Data Point Source Value (per year)
AIM:ZYT Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 1 Analysts -0.3%
United Kingdom of Great Britain and Northern Ireland Electronic Industry Earnings Growth Rate Market Cap Weighted Average 9.9%
United Kingdom of Great Britain and Northern Ireland Electronic 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 15.6%
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:ZYT Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
AIM:ZYT Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-09-30 20 1
2020-09-30 20 1
AIM:ZYT Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2019-09-30 20 3 3
2019-06-30 21 3 3
2019-03-31 21 3 3
2018-12-31 22 4 3
2018-09-30 22 5 4
2018-06-30 22 5 4
2018-03-31 22 5 4
2017-12-31 23 5 4
2017-09-30 23 5 5
2017-06-30 23 5 5
2017-03-31 23 5 5
2016-12-31 22 5 4

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Zytronic is high growth as no earnings estimate data is available.
  • Zytronic's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
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:ZYT Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below

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

AIM:ZYT Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-09-30
2020-09-30
AIM:ZYT Past Financials Data
Date (Data in GBP Millions) EPS *
2019-09-30 0.17
2019-06-30 0.18
2019-03-31 0.18
2018-12-31 0.21
2018-09-30 0.23
2018-06-30 0.25
2018-03-31 0.27
2017-12-31 0.28
2017-09-30 0.29
2017-06-30 0.30
2017-03-31 0.31
2016-12-31 0.29

*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 Zytronic will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Zytronic'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.
Zytronic has a total score of 0/6, see the detailed checks below.

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

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

Past Performance

  How has Zytronic 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 Zytronic's growth in the last year to its industry (Electronic).
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.
  • Zytronic's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Zytronic's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Zytronic's 1-year earnings growth is negative, it can't be compared to the GB Electronic industry average.
Earnings and Revenue History
Zytronic'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 Zytronic Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

AIM:ZYT Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 20.10 2.69 3.81
2019-06-30 20.63 2.83 3.92
2019-03-31 21.15 2.97 3.72
2018-12-31 21.72 3.31 3.76
2018-09-30 22.29 3.65 4.10
2018-06-30 22.25 3.98 3.88
2018-03-31 22.22 4.31 3.66
2017-12-31 22.55 4.45 3.82
2017-09-30 22.89 4.59 3.98
2017-06-30 22.70 4.67 4.33
2017-03-31 22.50 4.76 4.67
2016-12-31 21.79 4.42 4.71
2016-09-30 21.09 4.09 4.74
2016-06-30 21.11 4.00 4.58
2016-03-31 21.13 3.92 4.41
2015-12-31 21.20 3.84 4.38
2015-09-30 21.27 3.77 4.35
2015-06-30 20.66 3.45 4.39
2015-03-31 20.06 3.14 4.43
2014-12-31 19.47 3.05 4.04
2014-09-30 18.89 2.96 3.64
2014-06-30 18.25 2.59 3.38
2014-03-31 17.61 2.22 3.11
2013-12-31 17.44 1.94 3.09
2013-09-30 17.28 1.66 3.07
2013-06-30 17.79 1.97 3.06

*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.
  • Zytronic has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Zytronic used its assets more efficiently than the GB Electronic industry average last year based on Return on Assets.
  • Zytronic's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Zytronic'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 Electronic 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.
Zytronic has a total score of 1/6, 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 Zytronic'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 Zytronic's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Zytronic is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Zytronic's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Zytronic's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Zytronic 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 Zytronic Company Filings, last reported 6 months ago.

AIM:ZYT Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 25.80 0.00 13.14
2019-06-30 25.80 0.00 13.14
2019-03-31 25.52 0.00 12.06
2018-12-31 25.52 0.00 12.06
2018-09-30 26.77 0.00 14.63
2018-06-30 26.77 0.00 14.63
2018-03-31 26.21 0.00 13.73
2017-12-31 26.21 0.00 13.73
2017-09-30 26.78 0.00 14.10
2017-06-30 26.78 0.00 14.10
2017-03-31 24.69 1.49 13.52
2016-12-31 24.69 1.49 13.52
2016-09-30 23.24 2.11 12.76
2016-06-30 23.24 2.11 12.76
2016-03-31 21.06 1.77 10.76
2015-12-31 21.06 1.77 10.76
2015-09-30 20.69 1.43 9.83
2015-06-30 20.69 1.43 9.83
2015-03-31 18.52 1.96 8.73
2014-12-31 18.52 1.96 8.73
2014-09-30 18.05 1.77 7.81
2014-06-30 18.05 1.77 7.81
2014-03-31 16.47 1.64 6.27
2013-12-31 16.47 1.64 6.27
2013-09-30 16.10 1.74 5.47
2013-06-30 16.10 1.74 5.47
  • Zytronic has no debt.
  • Zytronic has no debt compared to 5 years ago when it was 9.8%.
  • Zytronic has no debt, it does not need to be covered by operating cash flow.
  • Zytronic has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess Zytronic'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. Zytronic 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 Zytronic'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
24%
Current annual income from Zytronic dividends. Estimated to be 12% next year.
If you bought £2,000 of Zytronic shares you are expected to receive £480 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?
  • Zytronic's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (2.67%).
  • Zytronic's dividend is above the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (7.36%).
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:ZYT Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 1 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Electronic Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 1.8%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 622 Stocks 6.1%
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 7.4%

Industry and Market average data is calculated daily.

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

AIM:ZYT Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2021-09-30 0.11 1.00
2020-09-30 0.11 1.00
AIM:ZYT Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2020-01-02 0.228 15.096
2019-12-10 0.228 10.736
2019-01-03 0.228 9.012
2018-12-11 0.228 7.332
2017-12-21 0.190 4.221
2017-12-12 0.190 3.862
2016-12-13 0.144 3.024
2016-12-12 0.144 3.650
2015-12-08 0.120 3.212
2015-11-30 0.120 3.070
2014-12-19 0.100 3.309
2014-12-09 0.100 3.418
2013-12-11 0.091 3.810
2013-05-21 0.087 4.945
2012-12-11 0.085 2.918
2011-12-28 0.077 2.546
2011-12-07 0.077 3.334
2010-12-10 0.070 3.213
2010-12-08 0.070 3.503
2009-12-09 0.050 2.627
2009-09-30 0.050 3.014

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

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Zytronic's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (0.7x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.2x coverage).
X
Income/ dividend checks
We assess Zytronic'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 Zytronic afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Zytronic has a total score of 5/6, see the detailed checks below.


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

Management

 What is the CEO of Zytronic'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
Mark Cambridge
COMPENSATION £169,000
AGE 55
TENURE AS CEO 12.3 years
CEO Bio

Mr. Mark Cambridge, B.Sc. (Hons) FIoD has been the Chief Executive Officer of Zytronic PLC since January 21, 2008 and as the Managing Director of its subsidiary namely Zytronic Displays Limited since February 2006. Mr. Cambridge continues to oversee the development of the Zytronic 's expanding range of PCTTM touch sensor products and the continuing research and development drive of the Group's technology. Since 2001, he has also developed a world-wide network of representatives and distributors, which now numbers 16 in the USA and Canada, 6 in the Far East and 14 in EMEA, the development of which has been accompanied by significant sales growth. Mr. Cambridge joined Romag Group of companies in 1991 and served the positions of Technical Manager, Quality Manager and Technical and Quality Director, up to the demerger and flotation of Zytronic. Mr. Cambridge served as a Sales and Marketing Director of Zytronic Displays Limited from 2002 to February 2006. Since 2000, he has overseen the development, market introduction and sales of the ZYTOUCH® touch sensor product and the market launch of ZYPOS® touch sensors. Mr. Cambridge has been an Executive Director of Zytronic plc., since June 1, 2007. Mr. Cambridge graduated with a B.Sc. (Hons) in Materials Science in 1986 and has a Securities Institute Certificate in Corporate Finance in 2003.

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

12.8
Average Tenure
43
Average Age
  • The average tenure for the Zytronic management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Mark Cambridge

TITLE
CEO & Executive Director
COMPENSATION
£169K
AGE
55
TENURE
12.3 yrs

Claire Smith

TITLE
Group Finance Director
COMPENSATION
£103K
AGE
41
TENURE
6.3 yrs

Andrew Morrison

TITLE
Technical Director
AGE
43
TENURE
14.3 yrs

Ian Crosby

TITLE
Sales & Marketing Director
TENURE
13.3 yrs
Board of Directors Tenure

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

9.6
Average Tenure
57.5
Average Age
  • The tenure for the Zytronic board of directors is about average.
Board of Directors

Tudor Davies

TITLE
Non-Executive Chairman
COMPENSATION
£81K
AGE
68
TENURE
9.1 yrs

Mark Cambridge

TITLE
CEO & Executive Director
COMPENSATION
£169K
AGE
55
TENURE
12.8 yrs

Claire Smith

TITLE
Group Finance Director
COMPENSATION
£103K
AGE
41

David Buffham

TITLE
Independent Non-Executive Director
COMPENSATION
£36K
AGE
60
TENURE
9.6 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. Jul 19 Sell Ian Crosby Individual 29. Jul 19 29. Jul 19 -7,000 £2.55 £-17,850
X
Management checks
We assess Zytronic'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. Zytronic 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

Did Zytronic plc (LON:ZYT) Use Debt To Deliver Its ROE Of 12%?

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Zytronic: 12% = UK£3.0m ÷ UK£26m (Based on the trailing twelve months to March 2019.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. … How Does Debt Impact Return On Equity?

Simply Wall St -

Should You Be Holding Zytronic plc (LON:ZYT)?

In the case of Zytronic plc (LON:ZYT), it is a highly-regarded dividend payer that has been able to sustain great financial health over the past. … AIM:ZYT Historical Debt, August 1st 2019 For those seeking income streams from their portfolio, ZYT is a robust dividend payer as well. … AIM:ZYT Historical Dividend Yield, August 1st 2019 Next Steps: For Zytronic, I've put together three key factors you should look at: Future Outlook: What are well-informed industry analysts predicting for ZYT’s future growth?

Simply Wall St -

These 4 Measures Indicate That Zytronic (LON:ZYT) Is Using Debt Reasonably Well

Zytronic may have net cash on the balance sheet, but it is still interesting to look at how well the business converts its earnings before interest and tax (EBIT) to free cash flow, because that will influence both its need for, and its capacity to manage debt. … This free cash flow puts the company in a good position to pay down debt, when appropriate. … Summing up While it is always sensible to investigate a company's debt, in this case Zytronic has UK£12m in net cash and a decent-looking balance sheet.

Simply Wall St -

Why Zytronic plc (LON:ZYT) Could Be Worth Watching

Zytronic plc (LON:ZYT), which is in the electronic business, and is based in United Kingdom, saw a double-digit share price rise of over 10% in the past couple of months on the AIM. … What’s more interesting is that, Zytronic’s share price is quite volatile, which gives us more chances to buy since the share price could sink lower (or rise higher) in the future. … What does the future of Zytronic look like?

Simply Wall St -

Did Changing Sentiment Drive Zytronic's (LON:ZYT) Share Price Down A Worrying 51%?

Investors in Zytronic plc (LON:ZYT) have tasted that bitter downside in the last year, as the share price dropped 51%. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … We note that for Zytronic the TSR over the last year was -48%, which is better than the share price return mentioned above.

Simply Wall St -

Should You Be Impressed By Zytronic plc's (LON:ZYT) ROE?

The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Zytronic: 14% = UK£3.6m ÷ UK£27m (Based on the trailing twelve months to September 2018.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. … In my book the highest quality companies have high return on equity, despite low debt.

Simply Wall St -

Estimating The Fair Value Of Zytronic plc (LON:ZYT)

by taking the expected future cash flows and discounting them to today's value. … I will use the Discounted Cash Flow (DCF) model. … If you want to learn more about discounted cash flow, the rationale behind this calculation can be read in detail in the Simply Wall St analysis model

Simply Wall St -

Should You Worry About Zytronic plc's (LON:ZYT) CEO Salary Level?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Mark Cambridge's Compensation Compare With Similar Sized Companies. … According to our data, Zytronic plc has a market capitalization of UK£55m, and pays its CEO total annual compensation worth UK£152k.

Simply Wall St -

These Factors Make Zytronic plc (LON:ZYT) An Interesting Investment

Zytronic plc (LON:ZYT) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … For those interested in understanding where the figures come from and want to see the analysis,

Simply Wall St -

Is Zytronic plc (LON:ZYT) Investing Effectively In Its Business?

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Understanding Return On Capital Employed (ROCE). … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Company Info

Description

Zytronic plc, together with its subsidiaries, develops and manufactures interactive touch sensor products. The company offers touchscreens in gaming; retail, leisure, and commercial applications; digital signage; vending; banking; and industrial applications, as well as touch controllers. It provides single and multi-touch sensing technology. The company markets its products through a network of representatives and resellers. It primarily operates in the Americas, Europe, the Middle East, Africa, Hungary, the United Kingdom, the Asia Pacific, and South Korea. Zytronic plc was incorporated in 2000 and is based in Blaydon-on-Tyne, the United Kingdom.

Details
Name: Zytronic plc
ZYT
Exchange: AIM
Founded: 2000
£15,241,838
16,044,041
Website: http://www.zytronicplc.com
Address: Zytronic plc
Whiteley Road,
Blaydon-on-Tyne,
Tyne and Wear, NE21 5NJ,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
AIM ZYT Ordinary Shares London Stock Exchange AIM Market GB GBP 06. Jul 2000
Number of employees
Current staff
Staff numbers
186
Zytronic employees.
Industry
Electronic Components
Tech
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/02 20:54
End of day share price update: 2020/04/02 00:00
Last estimates confirmation: 2020/02/04
Last earnings filing: 2020/01/02
Last earnings reported: 2019/09/30
Last annual earnings reported: 2019/09/30


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.