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The n00b Share Analysis
FTSE:AHT Ashtead Group
Industrial Plant Hire Company
Go by a building site/Get stuck in roadworks - their name is usually somewhere nearby!!
Branded as Sunbelt Hire they hire JCBs, Diggers, Road Signs, Traffic Lights, Portakabins, etc, etc
FTSE:AHT Ashtead Group
Industrial Plant Hire Company
Go by a building site/Get stuck in roadworks - their name is usually somewhere nearby!!
Branded as Sunbelt Hire they hire JCBs, Diggers, Road Signs, Traffic Lights, Portakabins, etc, etc
Recent News
Covid impact in the closure of construction sites - 8% revenue drop year on year and a 35% profit decrease
Sneaky COVID play as however - they hold the contract with the UK Government to provide the equipment for the local testing stations
Covid impact in the closure of construction sites - 8% revenue drop year on year and a 35% profit decrease
Sneaky COVID play as however - they hold the contract with the UK Government to provide the equipment for the local testing stations
Profit and Loss
FY20 (April 20) revenue growth 9% - market is quite saturated so reasonable
Profit down slightly due to
Rebranding UK arm (from A-Plant)
Month of lost revenue to Covid
Earnings per share however grew 3.2% to 179.8p
FY20 (April 20) revenue growth 9% - market is quite saturated so reasonable
Profit down slightly due to
Rebranding UK arm (from A-Plant)
Month of lost revenue to Covid
Earnings per share however grew 3.2% to 179.8p
Balance Sheet
Asset driven balance sheet - all £2bn of their machinery counted as assets
Debt increased to support the asset purchases
Cash position is MUCH stronger up £225m (from £12m 2019)
Asset driven balance sheet - all £2bn of their machinery counted as assets
Debt increased to support the asset purchases
Cash position is MUCH stronger up £225m (from £12m 2019)
Cash View
The group generated nearly £1bn in cash from operations
Large values spent on investment in machinery to generate revenue
Also acquisitions of other businesses to grow market share
The group generated nearly £1bn in cash from operations
Large values spent on investment in machinery to generate revenue
Also acquisitions of other businesses to grow market share
PE & Dividends
P/E Ratio of 17 looks - in keeping with industry so valued around the right level
Dividend Yield - 1.4% HOWEVER Dividend growth is 1.6% this year BUT had been 20% for the 3 years prior
UK Dividend King in the making?
P/E Ratio of 17 looks - in keeping with industry so valued around the right level
Dividend Yield - 1.4% HOWEVER Dividend growth is 1.6% this year BUT had been 20% for the 3 years prior
UK Dividend King in the making?
Future View
Aggressively pursuing growth strategy purchasing new assets and new businesses
Strength lies in their size as they are on most UK Government supplier lists
Competitors have struggled during Covid with their main UK competitor closing 7% of their outlets
Aggressively pursuing growth strategy purchasing new assets and new businesses
Strength lies in their size as they are on most UK Government supplier lists
Competitors have struggled during Covid with their main UK competitor closing 7% of their outlets
If you are interested and want invest then you can earn a share worth £100/$100 by simply using the link
http://trading212.com/invite/Gbast0Ny 
Or DM me and I will talk you through the process
http://trading212.com/invite/Gbast0Ny Or DM me and I will talk you through the process
Analysis and Opinions are my own. I am NOT a financial advisor. Please do YOUR OWN research
