Frasers Group plc
Frasers Group plc Fundamental Analysis
Frasers Group plc (SDIPF) shows moderate financial fundamentals with a PE ratio of 6.55, profit margin of 9.42%, and ROE of 21.65%. The company generates $5.0B in annual revenue with weak year-over-year growth of -0.34%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.9/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SDIPF's fundamental strength across five key dimensions:
Efficiency Score
WeakSDIPF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSDIPF trades at attractive valuation levels.
Growth Score
WeakSDIPF faces weak or negative growth trends.
Financial Health Score
ExcellentSDIPF maintains a strong and stable balance sheet.
Profitability Score
ModerateSDIPF maintains healthy but balanced margins.
Key Financial Metrics
Is SDIPF Expensive or Cheap?
P/E Ratio
SDIPF trades at 6.55 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SDIPF's PEG of 0.15 indicates potential undervaluation.
Price to Book
The market values Frasers Group plc at 1.30 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 1.07 times EBITDA. This is generally considered low.
How Well Does SDIPF Make Money?
Net Profit Margin
For every $100 in sales, Frasers Group plc keeps $9.42 as profit after all expenses.
Operating Margin
Core operations generate 9.87 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $21.65 in profit for every $100 of shareholder equity.
ROA
Frasers Group plc generates $7.70 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Frasers Group plc produces operating cash flow of $670.57M, showing steady but balanced cash generation.
Free Cash Flow
Frasers Group plc produces free cash flow of $293.13M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.68 in free cash annually.
FCF Yield
SDIPF converts 9.54% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
6.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.15
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.62
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.99
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How SDIPF Stacks Against Its Sector Peers
| Metric | SDIPF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 6.55 | 25.25 | Better (Cheaper) |
| ROE | 21.65% | 1170.00% | Weak |
| Net Margin | 9.42% | 742.00% | Weak |
| Debt/Equity | 0.99 | 0.77 | Weak (High Leverage) |
| Current Ratio | 2.08 | 9.19 | Strong Liquidity |
| ROA | 7.70% | -6467.00% (disorted) | Weak |
SDIPF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Frasers Group plc's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
61.01%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
265.95%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
168.67%
Industry Style: Cyclical, Growth, Discretionary
High Growth