Kip McGrath Education Centres Limited's (ASX:KME) Earnings Are Not Doing Enough For Some Investors
Aug 21
Australian (ASX) Consumer Services Industry Analysis
UpdatedAug 25, 2024
DataAggregated Company Financials
Companies17
- 7D-3.3%
- 3M-8.8%
- 1Y-30.4%
- YTD-17.1%
Over the last 7 days, the Consumer Services industry has dropped 3.3%, driven by IDP Education declining 2.5%. Overall the industry is down 30% in 12 months. As for the next few years, earnings are expected to grow by 16% per annum.
Industry Valuation and Performance
Has the Australian Consumer Services Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 25 Aug 2024 | AU$7.0b | AU$3.4b | AU$127.9m | 16.9x | 54.4x | 2.1x |
| Tue, 23 Jul 2024 | AU$6.8b | AU$3.3b | AU$167.6m | 15.9x | 40.8x | 2.1x |
| Thu, 20 Jun 2024 | AU$7.2b | AU$3.3b | AU$167.6m | 14.7x | 43x | 2.2x |
| Sat, 18 May 2024 | AU$7.4b | AU$3.3b | AU$153.9m | 19.3x | 47.8x | 2.2x |
| Mon, 15 Apr 2024 | AU$7.4b | AU$3.3b | AU$153.3m | 19.9x | 48.2x | 2.2x |
| Wed, 13 Mar 2024 | AU$8.2b | AU$3.3b | AU$153.7m | 21.8x | 53.6x | 2.5x |
| Fri, 09 Feb 2024 | AU$7.9b | AU$3.0b | AU$151.8m | 37.6x | 52.2x | 2.6x |
| Sun, 07 Jan 2024 | AU$10.2b | AU$3.9b | AU$130.0m | 36.4x | 78.1x | 2.6x |
| Tue, 05 Dec 2023 | AU$10.8b | AU$3.9b | AU$129.7m | 34.4x | 83x | 2.7x |
| Thu, 02 Nov 2023 | AU$10.4b | AU$3.9b | AU$126.5m | 32.3x | 82.4x | 2.6x |
| Sat, 30 Sep 2023 | AU$10.4b | AU$3.9b | AU$127.0m | 33.1x | 81.6x | 2.6x |
| Mon, 28 Aug 2023 | AU$11.6b | AU$3.9b | AU$176.1m | 20.8x | 65.9x | 3x |
| Wed, 26 Jul 2023 | AU$11.0b | AU$3.7b | AU$155.5m | 24.4x | 70.6x | 3x |
| Fri, 23 Jun 2023 | AU$10.8b | AU$3.7b | AU$158.9m | 22.6x | 68x | 3x |
| Sun, 21 May 2023 | AU$12.0b | AU$3.7b | AU$162.2m | 24.7x | 74.1x | 3.3x |
| Tue, 18 Apr 2023 | AU$12.4b | AU$3.7b | AU$162.4m | 27.3x | 76.2x | 3.4x |
| Thu, 16 Mar 2023 | AU$12.3b | AU$3.6b | AU$157.5m | 25.7x | 78x | 3.4x |
| Sat, 11 Feb 2023 | AU$13.3b | AU$3.4b | AU$95.9m | 32.6x | 138.2x | 3.9x |
| Mon, 09 Jan 2023 | AU$12.6b | AU$3.4b | AU$95.3m | 30.1x | 131.8x | 3.7x |
| Wed, 07 Dec 2022 | AU$12.0b | AU$3.4b | AU$104.1m | 27.8x | 115.4x | 3.6x |
| Fri, 04 Nov 2022 | AU$12.5b | AU$3.4b | AU$110.0m | 27.3x | 113.4x | 3.7x |
| Sun, 02 Oct 2022 | AU$11.6b | AU$3.4b | AU$110.5m | 25.8x | 105.3x | 3.4x |
| Tue, 30 Aug 2022 | AU$12.1b | AU$3.3b | AU$102.2m | 27.2x | 118.5x | 3.6x |
| Thu, 28 Jul 2022 | AU$12.0b | AU$3.2b | AU$62.0m | 28.3x | 194.1x | 3.8x |
| Sat, 25 Jun 2022 | AU$11.0b | AU$3.2b | AU$61.4m | 22.2x | 179.9x | 3.5x |
| Mon, 23 May 2022 | AU$11.6b | AU$3.2b | AU$68.3m | 22.7x | 169.3x | 3.6x |
| Wed, 20 Apr 2022 | AU$12.8b | AU$3.2b | AU$73.7m | 25.4x | 173.2x | 4x |
| Fri, 18 Mar 2022 | AU$13.6b | AU$3.2b | AU$73.7m | 22.7x | 184.3x | 4.3x |
| Sun, 13 Feb 2022 | AU$13.5b | AU$3.1b | AU$135.3m | 26.1x | 99.6x | 4.3x |
| Tue, 11 Jan 2022 | AU$14.4b | AU$3.0b | AU$114.6m | 27.5x | 125.8x | 4.8x |
| Thu, 09 Dec 2021 | AU$15.2b | AU$3.0b | AU$113.9m | 28.5x | 133.1x | 5.1x |
| Sat, 06 Nov 2021 | AU$16.4b | AU$3.2b | AU$124.1m | 30.7x | 131.8x | 5.1x |
| Mon, 04 Oct 2021 | AU$14.9b | AU$3.2b | AU$122.4m | 28.6x | 121.8x | 4.7x |
| Wed, 01 Sep 2021 | AU$13.9b | AU$3.2b | AU$113.5m | 26.5x | 122.6x | 4.3x |
Price to Earnings Ratio
122.6x
Current Industry PE
- Investors are pessimistic on the Australian Consumer Services industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 54.4x which is lower than its 3-year average PE of 104x.
- The 3-year average PS ratio of 3.4x is higher than the industry's current PS ratio of 2.1x.
Past Earnings Growth
- The earnings for companies in the Consumer Services industry have grown 4.1% per year over the last three years, while revenues have remained mostly flat.
- This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.
Industry Trends
Which industries have driven the changes within the Australian Consumer Discretionary industry?
| AU Market | 0.74% | |
| Consumer Discretionary | 0.34% | |
| Consumer Services | -3.25% | |
| Specialized Consumer Services | -1.13% | |
| Education Services | -3.68% | |
Industry PE
- Investors are most optimistic about the Education Services industry even though it's trading below its 3-year average PE ratio of 154kx.
- Analysts are expecting annual earnings growth of 12.6%, which is lower than the prior year's growth of 22.5% per year.
Forecasted Growth
- Analysts are most optimistic on the Specialized Consumer Services industry, expecting annual earnings growth of 30% over the next 5 years.
- This is better than its past earnings decline of 11% per year.
- In contrast, the Education Services industry is expected to see its earnings grow by 13% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| IVC InvoCare | AU$12.67 | 0.9% +AU$15.7m | 22.9% | PS3.1x | |
| KME Kip McGrath Education Centres | AU$0.42 | 31.3% +AU$5.7m | -32.3% | PE18.1x | |
| NDO Nido Education | AU$0.88 | 1.7% +AU$3.4m | n/a | PS1.5x | |
| KED Keypath Education International | AU$0.87 | 0.6% +AU$1.1m | 97.7% | PS0.9x |
