Zegona Communications (ZEG) Share Price, News & Analysis

Company Overview

Zegona is a British company investing strategically across the Europe with the objective of acquiring businesses in the European TMT sector, using a "Buy-Fix-Sell" strategy to deliver attractive shareholder returns. The first acquisition made by Zegona was of Asturian telecommunications operator Telecable in 2015. Telecable was later sold to Euskaltel in 2017, at which point Zegona acquired a 15% ownership of Euskaltel. Zegona has subsequently increased its disclosable interest in Euskaltel to over 20%, becoming the largest shareholder in the company. The Directors expect to drive Euskaltel performance improvement, leveraging Zegona's influence at the Euskaltel Board and Strategy Committee. Zegona's Directors intend to make further acquisitions that they believe could create a combined business with an enterprise value in the range of £1-3 billion. Zegona was founded in 2015 by Eamonn O'Hare, current CEO, and Robert Samuelson, current COO.

Key Stats

• Today's Range: 1,280 to 1,350
• 50-Day Range: 868 to 1,330
• 52-Week Range: 292 to 1,350
• Volume: 415,991 shs
• Average Volume: 487,017 shs
• Market Capitalization: £10.25 billion
• P/E Ratio: 12,272.73
• Dividend Yield: 5.71%
• Price Target: GBX 1,466.67
• Consensus Rating: Buy

Zegona Communications Stock Analysis - MarketRank™

Zegona Communications scored higher than 31% of companies evaluated by MarketBeat. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.8 / 5
• Analyst Rating: Buy

Consensus Rating

Zegona Communications has received a consensus rating of Buy. The company's average rating score is 3.00, and is based on 3 buy ratings, no hold ratings, and no sell ratings.

Upside/Downside

The consensus price target for Zegona Communications is close to its current price, suggesting limited near-term upside or downside.

Amount of Analyst Coverage

Zegona Communications has only been the subject of 3 research reports in the past 90 days.

Earnings and Valuation

• Score: 0.0 / 5
• Proj. Earnings Growth: N/A

Price to Earnings Ratio vs. the Market

The P/E ratio of Zegona Communications is 12,272.73, which means that it is trading at a more expensive P/E ratio than the market average P/E ratio of about 233.85.

Price to Earnings Ratio vs. Sector

The P/E ratio of Zegona Communications is 12,272.73, which means that it is trading at a more expensive P/E ratio than the Communication Services sector average P/E ratio of about 364.26.

Price to Book Value per Share Ratio

Zegona Communications has a P/B Ratio of 1.21. P/B Ratios below 3 indicates that a company is reasonably valued with respect to its assets and liabilities.

Short Interest

• Score: N/A
• Short Interest Level: N/A

Short Interest

There is no current short interest data available for ZEG.

Dividend

• Score: 1.7 / 5
• Dividend Strength: Weak

Dividend Leadership

Zegona Communications is a leading dividend payer. It pays a dividend yield of 5.71%, putting its dividend yield in the top 25% of dividend-paying stocks.

Dividend Growth

Zegona Communications does not have a long track record of dividend growth.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Short Interest

There is no current short interest data available for ZEG.

News and Social Media

• Score: 1.9 / 5
• News Sentiment: 0.37

News Sentiment

Zegona Communications has a news sentiment score of 0.37. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.54 average news sentiment score of Communication Services companies.

News Coverage This Week

MarketBeat has tracked 4 news articles for Zegona Communications this week, compared to 1 article on an average week.

Company Ownership

• Score: 1.7 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Zegona Communications insiders have not sold or bought any company stock.

Percentage Held by Insiders

12.42% of the stock of Zegona Communications is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

42.04% of the stock of Zegona Communications is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

ZEG Stock Analysis - Frequently Asked Questions

How have ZEG shares performed this year?

Zegona Communications' stock was trading at GBX 418 at the beginning of the year. Since then, ZEG stock has increased by 223.0% and is now trading at GBX 1,350.

How do I buy shares of Zegona Communications?

Shares of ZEG stock and other U.K. stocks can be purchased through online brokerage accounts that support trading on the London Stock Exchange (LSX). Some U.K. companies can be purchased through major U.S. brokerages in the form of American Depository Receipts (ADRs), which are placeholder equities held in a trust by a bank that represent shares of a foreign stock.

What other stocks do shareholders of Zegona Communications own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Zegona Communications investors own include NIO (NIO), Serco Group (SRP), Intermediate Capital Group (ICP), EnQuest (ENQ) and Augean (AUG).

Industry, Sector and Symbol

• Stock Exchange: LON
• Sector: Communication Services
• Industry: Telecom Services
• Sub-Industry: N/A
• Current Symbol: LON:ZEG
• CIK: N/A
• Web: www.zegona.com
• Phone: +44-20-79203150
• Fax: N/A
• Employees: 6
• Year Founded: N/A

Price Target and Rating

• Average Price Target for Zegona Communications: GBX 1,466.67
• High Price Target: GBX 1,550
• Low Price Target: GBX 1,350
• Potential Upside/Downside: +11.0%
• Consensus Rating: Buy
• Rating Score (0-4): 3.00
• Research Coverage: 3 Analysts

Profitability

• EPS (Trailing Twelve Months): GBX 0.11
• Trailing P/E Ratio: 12,016.65
• Forward P/E Ratio: 660.92
• P/E Growth: N/A
• Net Income: -£136.50 million
• Net Margins: N/A
• Pretax Margin: N/A
• Return on Equity: -2.61%
• Return on Assets: -0.50%

Debt

• Debt-to-Equity Ratio: N/A
• Current Ratio: 67.85
• Quick Ratio: 6.23

Sales & Book Value

• Annual Sales: £302.06 million
• Price / Sales: 33.22
• Cash Flow: GBX 2,550.32 per share
• Price / Cash Flow: 0.52
• Book Value: GBX 1,118.93 per share
• Price / Book: 1.18

Miscellaneous

• Outstanding Shares: 759,210,000
• Free Float: N/A
• Market Cap: £10.04 billion
• Optionable: Not Optionable
• Beta: 2.80