The Gym Group (GYM)

Sector:

Tourism and Leisure Services

Index:

FTSE Small Cap

296.00p
   
  • Change Today:
    -14.00p
  • 52 Week High: 316.00
  • 52 Week Low: 185.80
  • Currency: UK Pounds
  • Shares Issued: 138.10m
  • Volume: 169,674
  • Market Cap: £408.76m
  • RiskGrade: 59

Barclays ups target price for Gym Group

By Alexander Bueso

Date: Tuesday 19 Sep 2017

LONDON (ShareCast) - (ShareCast News) - Barclays Research upped its target on shares of Gym Group from 230p to 250p following its first acquisition since the group floated, purchasing 18 gyms from Lifestyle Fitness.
On the downside, the transaction was seen diluting the company's overall return-on-capital-employed, with 20% expected from the deal versus a target EBITDA ROCE of 30% on those sites which it added organically.

There were also potential integration risks which management might have to navigate.

Offsetting those were numerous potential positives, including adding a year's-worth of organic growth "instantly", significant earnings accretion on a per share basis, and attractive rents on the new sites which should bolster EBITDA.

Hence, Barclays retained its 'overweight' stance on the stock, adding that the EBITDA ROCE on offer was still attractive, while highlighting that by buying assets the company would reach cash payback more quickly than if it opted to build out organically.

An annual compound growth rate in the company's earnings before interest, taxes, depreciation and amortisation of 24% for fiscal years 2016 to 2019 was also "highly attractive".

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

The Gym Group Market Data

Currency UK Pounds
Share Price 296.00p
Change Today -14.00p
% Change -4.52 %
52 Week High 316.00
52 Week Low 185.80
Volume 169,674
Shares Issued 138.10m
Market Cap £408.76m
RiskGrade 59

The Gym Group Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
95.55% below the market average95.55% below the market average95.55% below the market average95.55% below the market average95.55% below the market average
100% below the sector average100% below the sector average100% below the sector average100% below the sector average100% below the sector average
Price Trend
73.09% above the market average73.09% above the market average73.09% above the market average73.09% above the market average73.09% above the market average
83.78% above the sector average83.78% above the sector average83.78% above the sector average83.78% above the sector average83.78% above the sector average
Income
90.94% below the market average90.94% below the market average90.94% below the market average90.94% below the market average90.94% below the market average
86.05% below the sector average86.05% below the sector average86.05% below the sector average86.05% below the sector average86.05% below the sector average
Growth
73.05% above the market average73.05% above the market average73.05% above the market average73.05% above the market average73.05% above the market average
85.71% above the sector average85.71% above the sector average85.71% above the sector average85.71% above the sector average85.71% above the sector average

What The Brokers Say

Strong Buy 6
Buy 0
Neutral 2
Sell 0
Strong Sell 0
Total 8
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

The Gym Group Dividends

  Latest Previous
  Interim Final
Ex-Div 05-Sep-19 23-May-19
Paid 11-Oct-19 14-Jun-19
Amount 0.45p 0.95p

Trades for 21-Feb-2020

Time Volume / Share Price
16:35 9,802 @ 296.00p
16:29 528 @ 296.50p
16:29 407 @ 297.50p
16:29 345 @ 297.50p
16:29 6 @ 297.50p

The Gym Group Key Personnel

CEO John Treharne
CFO Mark George

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