JANUS HENDERSON GROUP PLC (JHG) Stock Fundamental Analysis
NYSE:JHG - New York Stock Exchange, Inc. - JE00BYPZJM29 - Common Stock - Currency: USD
JHG gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 227 industry peers in the Capital Markets industry. While JHG has a great health rating, its profitability is only average at the moment. JHG scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings could make JHG a good candidate for value investing.
1. Profitability
1.1 Basic Checks
JHG had positive earnings in the past year.
In the past year JHG had a positive cash flow from operations.
In the past 5 years JHG has always been profitable.
Each year in the past 5 years JHG had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 7.56%, JHG belongs to the top of the industry, outperforming 83.26% of the companies in the same industry.
Looking at the Return On Equity, with a value of 11.47%, JHG is in the better half of the industry, outperforming 60.35% of the companies in the same industry.
The Return On Invested Capital of JHG (9.44%) is better than 84.58% of its industry peers.
JHG had an Average Return On Invested Capital over the past 3 years of 7.17%. This is in line with the industry average of 7.06%.
The last Return On Invested Capital (9.44%) for JHG is above the 3 year average (7.17%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.56% | ||
| ROE | 11.47% | ||
| ROIC | 9.44% |
ROA(3y)5.79%
ROA(5y)5.75%
ROE(3y)8.45%
ROE(5y)8.35%
ROIC(3y)7.17%
ROIC(5y)8.49%
1.3 Margins
JHG's Profit Margin of 17.30% is in line compared to the rest of the industry. JHG outperforms 55.07% of its industry peers.
JHG's Profit Margin has declined in the last couple of years.
JHG has a Operating Margin (25.13%) which is comparable to the rest of the industry.
JHG's Operating Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.13% | ||
| PM (TTM) | 17.3% | ||
| GM | N/A |
OM growth 3Y-8.56%
OM growth 5Y0.87%
PM growth 3Y-9.59%
PM growth 5Y-3.2%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for JHG has been reduced compared to 1 year ago.
JHG has less shares outstanding than it did 5 years ago.
JHG has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.57 indicates that JHG is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.57, JHG is in the better half of the industry, outperforming 75.33% of the companies in the same industry.
JHG has a debt to FCF ratio of 0.58. This is a very positive value and a sign of high solvency as it would only need 0.58 years to pay back of all of its debts.
JHG's Debt to FCF ratio of 0.58 is amongst the best of the industry. JHG outperforms 88.99% of its industry peers.
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 80.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.58 | ||
| Altman-Z | 2.57 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
JHG has a Current Ratio of 3.59. This indicates that JHG is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of JHG (3.59) is better than 82.82% of its industry peers.
JHG has a Quick Ratio of 3.59. This indicates that JHG is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.59, JHG belongs to the top of the industry, outperforming 82.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.59 | ||
| Quick Ratio | 3.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 34.60% over the past year.
The Earnings Per Share has been growing slightly by 7.55% on average over the past years.
JHG shows a strong growth in Revenue. In the last year, the Revenue has grown by 42.34%.
The Revenue has been growing slightly by 2.44% on average over the past years.
EPS 1Y (TTM)34.6%
EPS 3Y-6.13%
EPS 5Y7.55%
EPS Q2Q%30.49%
Revenue 1Y (TTM)42.34%
Revenue growth 3Y-3.67%
Revenue growth 5Y2.44%
Sales Q2Q%24.59%
3.2 Future
JHG is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.88% yearly.
JHG is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.37% yearly.
EPS Next Y3.19%
EPS Next 2Y8.67%
EPS Next 3Y7.42%
EPS Next 5Y3.88%
Revenue Next Year1.97%
Revenue Next 2Y4.09%
Revenue Next 3Y3.92%
Revenue Next 5Y0.37%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.68 indicates a reasonable valuation of JHG.
Based on the Price/Earnings ratio, JHG is valued a bit cheaper than the industry average as 74.89% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of JHG to the average of the S&P500 Index (28.29), we can say JHG is valued rather cheaply.
With a Price/Forward Earnings ratio of 8.41, the valuation of JHG can be described as very reasonable.
Based on the Price/Forward Earnings ratio, JHG is valued a bit cheaper than 74.89% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 21.08. JHG is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.68 | ||
| Fwd PE | 8.41 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of JHG indicates a rather cheap valuation: JHG is cheaper than 97.80% of the companies listed in the same industry.
JHG's Price/Free Cash Flow ratio is rather cheap when compared to the industry. JHG is cheaper than 80.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.07 | ||
| EV/EBITDA | 2.96 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates JHG does not grow enough to justify the current Price/Earnings ratio.
JHG has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.72
PEG (5Y)1.15
EPS Next 2Y8.67%
EPS Next 3Y7.42%
5. Dividend
5.1 Amount
JHG has a Yearly Dividend Yield of 5.12%, which is a nice return.
In the last 3 months the price of JHG has falen by -28.32%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
JHG's Dividend Yield is comparable with the industry average which is at 8.84.
JHG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.57.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.12% |
5.2 History
The dividend of JHG has a limited annual growth rate of 1.81%.
JHG has been paying a dividend for over 5 years, so it has already some track record.
JHG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.81%
Div Incr Years2
Div Non Decr Years3
5.3 Sustainability
JHG pays out 47.48% of its income as dividend. This is a bit on the high side, but may be sustainable.
JHG's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP47.48%
EPS Next 2Y8.67%
EPS Next 3Y7.42%
30.72
+0.17 (+0.56%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryCapital Markets
Earnings (Last)
Earnings (Next)
Inst Owners93.89%
Inst Owner Change0%
Ins Owners0.3%
Ins Owner Change6.42%
Market Cap4.84B
Analysts69.23
Price Target48.71 (58.56%)
Short Float %2.03%
Short Ratio2.83
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.12% |
Yearly Dividend1.56
Dividend Growth(5Y)1.81%
DP47.48%
Div Incr Years2
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.06%
Min EPS beat(2)12.46%
Max EPS beat(2)15.66%
EPS beat(4)4
Avg EPS beat(4)14.3%
Min EPS beat(4)12.46%
Max EPS beat(4)15.88%
EPS beat(8)8
Avg EPS beat(8)18.93%
EPS beat(12)10
Avg EPS beat(12)17.03%
EPS beat(16)14
Avg EPS beat(16)15.56%
Revenue beat(2)2
Avg Revenue beat(2)5.99%
Min Revenue beat(2)3.26%
Max Revenue beat(2)8.72%
Revenue beat(4)3
Avg Revenue beat(4)3.56%
Min Revenue beat(4)-0.18%
Max Revenue beat(4)8.72%
Revenue beat(8)6
Avg Revenue beat(8)3.32%
Revenue beat(12)9
Avg Revenue beat(12)3.12%
Revenue beat(16)11
Avg Revenue beat(16)2.8%
PT rev (1m)-1.66%
PT rev (3m)5.88%
EPS NQ rev (1m)-6.23%
EPS NQ rev (3m)-9.05%
EPS NY rev (1m)-0.37%
EPS NY rev (3m)-0.12%
Revenue NQ rev (1m)-1.45%
Revenue NQ rev (3m)-2.3%
Revenue NY rev (1m)-3.9%
Revenue NY rev (3m)-7.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.68 | ||
| Fwd PE | 8.41 | ||
| P/S | 1.59 | ||
| P/FCF | 7.07 | ||
| P/OCF | 6.97 | ||
| P/B | 1.05 | ||
| P/tB | 8.52 | ||
| EV/EBITDA | 2.96 |
EPS(TTM)3.54
EY11.52%
EPS(NY)3.65
Fwd EY11.89%
FCF(TTM)4.34
FCFY14.14%
OCF(TTM)4.41
OCFY14.35%
SpS19.32
BVpS29.14
TBVpS3.6
PEG (NY)2.72
PEG (5Y)1.15
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.56% | ||
| ROE | 11.47% | ||
| ROCE | 12.28% | ||
| ROIC | 9.44% | ||
| ROICexc | 14.1% | ||
| ROICexgc | 397.41% | ||
| OM | 25.13% | ||
| PM (TTM) | 17.3% | ||
| GM | N/A | ||
| FCFM | 22.49% |
ROA(3y)5.79%
ROA(5y)5.75%
ROE(3y)8.45%
ROE(5y)8.35%
ROIC(3y)7.17%
ROIC(5y)8.49%
ROICexc(3y)10.57%
ROICexc(5y)12.25%
ROICexgc(3y)229.01%
ROICexgc(5y)240.83%
ROCE(3y)9.32%
ROCE(5y)11.04%
ROICexcg growth 3Y-1.03%
ROICexcg growth 5Y17.72%
ROICexc growth 3Y-12.47%
ROICexc growth 5Y6.61%
OM growth 3Y-8.56%
OM growth 5Y0.87%
PM growth 3Y-9.59%
PM growth 5Y-3.2%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.44
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 0.58 | ||
| Debt/EBITDA | 0.5 | ||
| Cap/Depr | 41.22% | ||
| Cap/Sales | 0.33% | ||
| Interest Coverage | 41.35 | ||
| Cash Conversion | 87.99% | ||
| Profit Quality | 129.96% | ||
| Current Ratio | 3.59 | ||
| Quick Ratio | 3.59 | ||
| Altman-Z | 2.57 |
F-Score6
WACCN/A
ROIC/WACCN/A
Cap/Depr(3y)47.97%
Cap/Depr(5y)41.13%
Cap/Sales(3y)0.57%
Cap/Sales(5y)0.57%
Profit Quality(3y)136.97%
Profit Quality(5y)191.48%
High Growth Momentum
Growth
EPS 1Y (TTM)34.6%
EPS 3Y-6.13%
EPS 5Y7.55%
EPS Q2Q%30.49%
EPS Next Y3.19%
EPS Next 2Y8.67%
EPS Next 3Y7.42%
EPS Next 5Y3.88%
Revenue 1Y (TTM)42.34%
Revenue growth 3Y-3.67%
Revenue growth 5Y2.44%
Sales Q2Q%24.59%
Revenue Next Year1.97%
Revenue Next 2Y4.09%
Revenue Next 3Y3.92%
Revenue Next 5Y0.37%
EBIT growth 1Y58.14%
EBIT growth 3Y-11.92%
EBIT growth 5Y3.34%
EBIT Next Year7.6%
EBIT Next 3Y8.65%
EBIT Next 5Y1.34%
FCF growth 1Y58.89%
FCF growth 3Y-8.21%
FCF growth 5Y9.98%
OCF growth 1Y57.29%
OCF growth 3Y-8.12%
OCF growth 5Y8.44%