Augean (AUG)

Business description

Augean manages hazardous waste through five divisions: Radioactive Waste Services (3% of group revenues), Energy & Construction (37%), Industry & Infrastructure (21%), Augean Integrated Services – AIS (11%) and ANSS (27%).

Stock data

Market cap.£63.7m
Last close62.00p
High / Low (52 weeks)65.0p / 44.2p
Stock market listingLN
Forecast net debt (£m)12.6
Forecast gearing ratio (%)9
TeamIndustrials
SectorIndustrial Support Services

Price performance

%1m3m12m
Actual17.022.231.9
Relative *20.021.917.7

* % Relative to local index

Other companies in sector Show

Company news

Augean and Forth Ports partner to deliver waste plant

Mon, 14 Nov 2016 15:00:00 GMT

Augean chief exec to take over as ESA chairman

Thu, 20 Oct 2016 11:02:29 GMT

Strong results from hazardous waste site Augean at Port Clarence

Thu, 24 Mar 2016 14:31:25 GMT

Residents get chance to discuss plans to extend lifetime of Port Clarence ...

Fri, 15 Aug 2014 09:32:03 GMT

Augean completes Colt acquisition

Thu, 19 May 2016 09:33:45 GMT

Investment summary

For a company that reported double-digit EBITDA and operating cash flow growth for FY16, Augean continues to confound our analysis by trading on a low P/E multiple and well below our fundamental fair value. Given its excellent market position and sustainable competitive advantage through ownership of scarce hazardous landfill assets, we believe the stock should trade well above current levels. Granted, the company had one or two negative items at the full year, most notably the East Kent impairment, but cash conversion at 95% allowing for growth capex and a 50% increase in dividends is an attractive earnings story which is supported by our discounted cash flow valuation of 80p/share.

Last updated on 31/03/2017

Y/E Dec Revenue (£m) EBITDA (£m) PBT (£m) EPS (p) P/E (x) P/CF (x)
2015A 61.0 11.9 6.0 4.65 13.3 5.1
2016A 76.0 13.8 7.0 4.42 14.0 4.9
2017E 87.1 15.7 8.2 5.84 10.6 4.3
2018E 91.5 17.5 9.5 6.98 8.9 3.7

Last updated on 03/04/2017

Latest video

Executive Interview - Augean

Industry outlook

There is a growing trend towards treatment, recovery and recycling in the waste hierarchy, highlighted in the government's Strategy for Hazardous Waste Management. This increasingly more stringent environmental regulation supports Augean's specialist industry knowledge model and provides a platform for growth, in our view.

Last updated on 02/03/2017

Key management

Dr Stewart Davies, CEO
Mark Fryer, FD

Company address

Unit 4,
Rudgate Court,
Walton,
Wetherby,
LS23 7BF
United Kingdom
+44 (0) 1937 844 980
View website