Market Valuation Provide an overview of the company’s relative market valuation over the period 2017–2020. What can be inferred from the company’s relative market valuation?

Fixed Assets (£ millions) 2020 2019 2018 2017 Tangible assets 164 167 180 188 Land and buildings 71 70 68 66 Freehold land 71 70 Fixtures and fittings 78 81 93 103 Plant and vehicles 15 15 19 19 Plant 15 15 Intangible assets 832 832 832 832 Investments 520 521 509 518 Fixed assets 1,517 1,520 1,521 1,538 Current Assets Stock and WIP 1 Stock 1 WIP 0 Finished goods Trade debtors 2 4 1 Bank and deposits 47 58 43 34 Other current assets 662 35 28 26 Group loans (asset) 618 0 0 0 Directors loans (asset) 0 0 0 0 Other debtors 12 5 28 26 Prepayments 32 30 Current assets 711 97 72 61 Current Liabilities Trade creditors −7 −10 −14 −18 Short-term loans and overdrafts −1,924 −1,325 −1,260 −1,255 Bank overdrafts 0 0 0 0 Group loans (short t.) −1,923 −1,324 −1,259 −1,255 Director loans (short t.) 0 0 0 0 Hire purch. and leas. (short t.) 0 −1 −1 0 Hire purchase (short t.)
Leasing (short t.) −1 Other short-term loans 0 0 0 0 Total other current liabilities −105 −78 −102 −102 Corporation tax −29 −28 −36 −29 Dividends 0 0 0 0 Accruals and def. inc. (sh. t.) −33 −21 −41 −37 Social securities and VAT −19 −18 −20 −21 Other current liabilities −25 −11 −5 −15 Current liabilities −2,035 −1,413 −1,376 −1,374 Net current assets (liab.) −1,324 −1,316 −1,304 −1,313 Net tangible assets (liab.) −639 −628 −615 −607 Working capital −1,324 −1,316 −1,304 −1,313 Total assets 2,228 1,617 1,593 1,599 Total assets less cur. liab. 193 204 217 225 Long-term Liabilities Provisions for other liab. −12 −13 −31 −14 Deferred tax −12 −13 −13 −12 Other provisions −19 −2 Pension liabilities −23 −31 Long-term liabilities −35 −44 −31 −14 Total assets less liabilities 158 160 186 210 Shareholders’ Funds Issued capital 1 1 1 1 Ordinary shares 1 1 Preference shares Other shares Total reserves 157 158 184 209 Share premium account 3 3 3 3 Profit (loss) account 159 162 180 205 Other reserves −5 −6 1 1 Shareholders’ funds 158 160 186 210 Turnover 14,569 13,480 13,337 7,127 Cost of sales −13,932 −12,870 −12,708 −6,800 Gross profit 637 610 629 327 Administration expenses −388 −369 −502 Other operating income pre OP −377 Exceptional items pre OP −13 Operating profit 260 210 260 −175 Other income 10 33 30 486 Total other income and int. received 22 43 30 486 Exceptional items −16 −18 Profit (loss) before interest paid 282 253 274 293 Interest received 12 10 Interest paid −28 −37 −84 −92 Other interest paid −28 −37 Net interest −16 −27 −84 −92 Profit (loss) before tax 254 216 190 201 Taxation −53 −46 −49 −18 Profit (loss) after tax 201 170 141 183 Dividends −210 −175 −150 −20 Retained profit (loss) −9 −6 −9 163 Depreciation 26 27 30 26