-0.51%
0.00%
-12.11%
-10.84%
-12.26%
13.34%
-2.71%
AI Spotlight on SRP
Company Description
Serco Group plc provides public services in the United Kingdom, Europe, North America, the Asia Pacific, and the Middle East.The company offers base and operational support engineering, and management and information, as well as nuclear, space, and maritime services for the defense sector; and custodial, immigration detention, and detainee transport and monitoring services for the justice and immigration sectors.It also provides rail, ferry, and cycle operations; road traffic management; and air traffic control services to the transportation sector, as well as integrated facilities management, pathology and non-clinical support, and patient administration and contact services for the health sector.
In addition, the company offers citizen services, including contact centers and case management; middle, back office, and IT; and employment and skills services.The company serves the United Kingdom and Canadian governments, devolved authorities, and other public sector customers; and federal and civilian agencies, and various state and municipal governments.Serco Group plc was founded in 1929 and is based in Hook, the United Kingdom.
Market Data
| Last Price | 154.6 |
| Change Percentage | -0.51% |
| Open | 155.8 |
| Previous Close | 155.4 |
| Market Cap ( Millions) | 1565 |
| Volume | 1523099 |
| Year High | 196.4 |
| Year Low | 136.2 |
| M A 50 | 151.38 |
| M A 200 | 170.36 |
Financial Ratios
| FCF Yield | 22.19% |
| Dividend Yield | 2.34% |
| ROE | 13.70% |
| Debt / Equity | 62.40% |
| Net Debt / EBIDTA | 157.13% |
| Price To Book | 1.68 |
| Price Earnings Ratio | 12.03 |
| Price To FCF | 4.51 |
| Price To sales | 0.32 |
| EV / EBITDA | 6.71 |
News
- Feb -03 - Royal Navy tugboat crews balloted for strike action
- Dec -20 - Baker Tilly bolsters French presence with Serco Partners acquisition
- Nov -08 - Prison operator warns of cost cuts after £20m hit from National Insurance raid
- Nov -08 - Serco shares drop 10% after losing major Australian immigration contract renewal
- Aug -22 - British defence contractor to work on top secret nuclear monitoring base
- Jun -21 - Shareholders turn to lawsuits over soured investments in UK companies
- Jun -06 - Will Weakness in Serco Group plc's (LON:SRP) Stock Prove Temporary Given Strong Fundamentals?
- May -10 - Calculating The Intrinsic Value Of Serco Group plc (LON:SRP)
- Apr -07 - Is It Worth Considering Forbo Holding AG (VTX:FORN) For Its Upcoming Dividend?
- Apr -04 - Trending tickers: Google, Spotify, Paramount and Vodafone
- Mar -19 - Should You Be Adding Bâloise Holding (VTX:BALN) To Your Watchlist Today?
- Mar -03 - Serco Group plc Just Beat EPS By 28%: Here's What Analysts Think Will Happen Next
- Feb -23 - Serco Leisure ordered to stop using facial recognition tech on workers
- Dec -19 - 12 Best Prison and Law Enforcement Stocks to Buy Now
- Dec -12 - Serco Group plc's (LON:SRP) Stock Been Rising: Are Strong Financials Guiding The Market?
- Oct -26 - Estimating The Fair Value Of Serco Group plc (LON:SRP)
- Oct -24 - Those who invested in Hydratec Industries (AMS:HYDRA) three years ago are up 109%
- Sep -12 - Ethical investing is a threat to Britain’s defence industry, warns Shapps
- Sep -04 - Serco Group's (LON:SRP) Dividend Will Be Increased To £0.0114
- Aug -20 - Serco Group's (LON:SRP) Upcoming Dividend Will Be Larger Than Last Year's
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> United Kingdom and Europe
Expected Growth : 1.8 %
What the company do ?
The United Kingdom is a sovereign state in Northwest Europe, comprising England, Scotland, Wales, and Northern Ireland, while Europe is a continent, home to 50 countries, with the UK being a part of it, as per Serco Group plc's geographical understanding.
Why we expect these perspectives ?
Serco Group plc's 1.8% growth in the United Kingdom and Europe is driven by increasing demand for outsourcing services in the public sector, particularly in healthcare and defense. Additionally, the company's strategic acquisitions and investments in digital transformation have enhanced its service offerings, contributing to revenue growth.
Segment n°2 -> North America
Expected Growth : 2.2 %
What the company do ?
North America is a segment of Serco Group plc, a British outsourcing company, providing public services in the US, Canada, and other North American countries.
Why we expect these perspectives ?
Serco Group plc's 2.2% growth in North America is driven by increasing demand for outsourced services in the public sector, particularly in defense, healthcare, and transportation. The region's growing need for efficient and cost-effective solutions, coupled with the company's strategic acquisitions and partnerships, have contributed to this growth.
Segment n°3 -> Asia Pacific
Expected Growth : 2.5 %
What the company do ?
The Asia Pacific segment of Serco Group plc provides public services in Australia, Hong Kong, and New Zealand, including defense, transportation, and healthcare services.
Why we expect these perspectives ?
Serco Group plc's 2.5% growth in Asia Pacific is driven by increasing demand for outsourcing services in government and private sectors, particularly in Australia and Singapore. Growing infrastructure development and urbanization in the region also contribute to the growth, as well as the company's strategic partnerships and investments in digital transformation.
Segment n°4 -> Middle East
Expected Growth : 1.5 %
What the company do ?
The Middle East, as defined by Serco Group plc, refers to the region spanning from Turkey to Oman, including countries such as Saudi Arabia, Iraq, and Iran.
Why we expect these perspectives ?
In the Middle East, Serco Group plc's 1.5% growth is driven by increasing demand for outsourced services in the region, particularly in the defense and transportation sectors. The company's strong relationships with government clients and its ability to provide cost-effective solutions are key growth drivers. Additionally, the region's infrastructure development and urbanization initiatives are creating new opportunities for Serco's services.
Serco Group Plc Products
| Product Range | What is it ? |
|---|---|
| Defence | Serco provides defence services including military base management, logistics, and operational support to military forces. |
| Justice | Serco provides justice services including prison management, electronic monitoring, and community justice services. |
| Immigration | Serco provides immigration services including asylum seeker accommodation, immigration detention centres, and border control services. |
| Transport | Serco provides transport services including rail, bus, and ferry operations, as well as traffic management and parking services. |
| Health | Serco provides health services including healthcare facilities management, patient transport, and healthcare consulting services. |
| Citizen Services | Serco provides citizen services including customer service centres, contact centres, and back-office processing services. |
| Facilities Management | Serco provides facilities management services including property maintenance, catering, and cleaning services. |
Serco Group plc's Porter Forces
Threat Of Substitutes
The threat of substitutes for Serco Group plc is medium due to the presence of alternative service providers in the industry. However, the company's strong brand reputation and diversified service offerings mitigate this threat to some extent.
Bargaining Power Of Customers
The bargaining power of customers is low for Serco Group plc due to the company's strong relationships with its clients and the lack of concentration in the customer base.
Bargaining Power Of Suppliers
The bargaining power of suppliers is medium for Serco Group plc due to the presence of multiple suppliers in the market. However, the company's large scale of operations and diversified supplier base mitigate this threat to some extent.
Threat Of New Entrants
The threat of new entrants is low for Serco Group plc due to the high barriers to entry in the industry, including the need for significant capital investment and regulatory compliance.
Intensity Of Rivalry
The intensity of rivalry is high for Serco Group plc due to the presence of several established players in the industry, leading to a competitive bidding process for contracts.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 25.08% |
| Debt Cost | 5.89% |
| Equity Weight | 74.92% |
| Equity Cost | 5.89% |
| WACC | 5.89% |
| Leverage | 33.48% |
Serco Group plc : Quality Control
Serco Group plc passed 7 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| ITRK.L | Intertek Group plc provides quality assurance solutions to various industries in the United Kingdom, the United States, and internationally. It operates in three segments: Products, Trade, and Resources. The Products … |
| IDL.PA | ID Logistics Group SA provides contract logistics services in France and internationally. It provides warehousing and value-added, transport and flow organization, and supply chain optimization services. The company also offers … |
| INPST.AS | InPost S.A., together with its subsidiaries, operates as an out-of-home e-commerce enablement platform providing parcel locker services in Europe. It operates through four segments: APM (automated parcel machines), To-Door, Mondial … |
| ELIS.PA | Elis SA provides linen and work wear textile, hygiene, and well-being services in France, the United Kingdom, Ireland, Central Europe, Scandinavia, Eastern Europe, Southern Europe, Latin America, and internationally. The … |
| SW.PA | Sodexo S.A. develops, manages, and delivers on-site, benefits and rewards, and personal and home services worldwide. It provides various on-site services, including business and administration, which covers corporate, energy and … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Intertek
A-Score
1-Year Total Return ->
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Sodexo
A-Score
1-Year Total Return ->
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Serco
A-Score
1-Year Total Return ->
4
ID Logistics
A-Score
1-Year Total Return ->
5
Elis
A-Score
1-Year Total Return ->
6
