JANUS HENDERSON GROUP PLC (JHG)
JE00BYPZJM29 - Common Stock
We assign a fundamental rating of 5 out of 10 to JHG. JHG was compared to 218 industry peers in the Capital Markets industry. JHG has an excellent financial health rating, but there are some minor concerns on its profitability. JHG has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
JHG had positive earnings in the past year.
JHG had a positive operating cash flow in the past year.
Of the past 5 years JHG 4 years were profitable.
JHG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of JHG (7.24%) is better than 80.47% of its industry peers.
With a decent Return On Equity value of 11.35%, JHG is doing good in the industry, outperforming 60.93% of the companies in the same industry.
JHG has a Return On Invested Capital of 8.77%. This is in the better half of the industry: JHG outperforms 80.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for JHG is in line with the industry average of 6.96%.
The last Return On Invested Capital (8.77%) for JHG is above the 3 year average (8.62%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.24% | ||
| ROE | 11.35% | ||
| ROIC | 8.77% |
ROA(3y)6.89%
ROA(5y)5.69%
ROE(3y)9.91%
ROE(5y)8.31%
ROIC(3y)8.62%
ROIC(5y)8.14%
1.3 Margins
JHG has a Profit Margin (18.11%) which is in line with its industry peers.
In the last couple of years the Profit Margin of JHG has declined.
Looking at the Operating Margin, with a value of 24.49%, JHG is in line with its industry, outperforming 44.19% of the companies in the same industry.
In the last couple of years the Operating Margin of JHG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.49% | ||
| PM (TTM) | 18.11% | ||
| GM | N/A |
OM growth 3Y-7.66%
OM growth 5Y-4.18%
PM growth 3Y38.44%
PM growth 5Y-3.95%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
JHG has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
JHG has an Altman-Z score of 2.87. This is not the best score and indicates that JHG is in the grey zone with still only limited risk for bankruptcy at the moment.
The Altman-Z score of JHG (2.87) is better than 75.35% of its industry peers.
JHG has a debt to FCF ratio of 1.16. This is a very positive value and a sign of high solvency as it would only need 1.16 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.16, JHG belongs to the best of the industry, outperforming 86.05% of the companies in the same industry.
JHG has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.09, JHG belongs to the best of the industry, outperforming 81.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.16 | ||
| Altman-Z | 2.87 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
A Current Ratio of 3.08 indicates that JHG has no problem at all paying its short term obligations.
JHG has a Current ratio of 3.08. This is amongst the best in the industry. JHG outperforms 80.47% of its industry peers.
JHG has a Quick Ratio of 3.08. This indicates that JHG is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of JHG (3.08) is better than 80.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.08 | ||
| Quick Ratio | 3.08 |
3. Growth
3.1 Past
JHG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.24%, which is quite impressive.
Measured over the past 5 years, JHG shows a small growth in Earnings Per Share. The EPS has been growing by 6.18% on average per year.
EPS 1Y (TTM)26.24%
EPS 3Y-8.12%
EPS 5Y6.18%
EPS Q2Q%3.66%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%3.5%
3.2 Future
JHG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.80% yearly.
Based on estimates for the next years, JHG will show a decrease in Revenue. The Revenue will decrease by -3.45% on average per year.
EPS Next Y9.75%
EPS Next 2Y7.32%
EPS Next 3Y-3.33%
EPS Next 5Y0.8%
Revenue Next Year8.4%
Revenue Next 2Y6.99%
Revenue Next 3Y-5.28%
Revenue Next 5Y-3.45%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.47 indicates a correct valuation of JHG.
Compared to the rest of the industry, the Price/Earnings ratio of JHG is on the same level as its industry peers.
JHG is valuated cheaply when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 12.28, the valuation of JHG can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as JHG.
JHG is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.47 | ||
| Fwd PE | 12.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, JHG is valued cheaply inside the industry as 92.09% of the companies are valued more expensively.
67.91% of the companies in the same industry are more expensive than JHG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.85 | ||
| EV/EBITDA | 5.64 |
4.3 Compensation for Growth
JHG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
JHG's earnings are expected to decrease with -3.33% in the coming years. This may justify a cheaper valuation.
PEG (NY)1.38
PEG (5Y)2.18
EPS Next 2Y7.32%
EPS Next 3Y-3.33%
5. Dividend
5.1 Amount
JHG has a Yearly Dividend Yield of 3.42%. Purely for dividend investing, there may be better candidates out there.
JHG's Dividend Yield is comparable with the industry average which is at 9.01.
JHG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.42% |
5.2 History
The dividend of JHG has a limited annual growth rate of 2.49%.
JHG has been paying a dividend for over 5 years, so it has already some track record.
JHG has decreased its dividend in the last 3 years.
Dividend Growth(5Y)2.49%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
JHG pays out 48.06% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of JHG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP48.06%
EPS Next 2Y7.32%
EPS Next 3Y-3.33%
JANUS HENDERSON GROUP PLC
NYSE:JHG (11/21/2024, 8:04:00 PM)
After market: 44.73 0 (0%)44.73
+0.87 (+1.98%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.11B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.42% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.47 | ||
| Fwd PE | 12.28 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.38
PEG (5Y)2.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.24% | ||
| ROE | 11.35% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 24.49% | ||
| PM (TTM) | 18.11% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.4
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.08 | ||
| Quick Ratio | 3.08 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)26.24%
EPS 3Y-8.12%
EPS 5Y
EPS Q2Q%
EPS Next Y9.75%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y