Is Vista Group International (NZSE:VGL) Weighed On By Its Debt Load?
The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...
New Zealand (NZX) Tech Sector Analysis
UpdatedDec 07, 2021
DataAggregated Company Financials
Companies15
- 7D-1.9%
- 3M-17.7%
- 1Y-8.6%
- YTD-8.9%
Over the last 7 days, the Tech industry has dropped 1.9%, driven by a decline by ikeGPS Group of 8.5%. Meanwhile, Serko actually outperformed within the industry, gaining 6.6% in the last week. However, the industry is down 8.6% over the past year.
Sector Valuation and Performance
Has the New Zealand Tech Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE |
|---|---|---|---|---|
| Thu, 09 Dec 2021 | NZ$4.7b | NZ$871.0m | NZ$4.3m | 24x |
| Sat, 06 Nov 2021 | NZ$5.3b | NZ$801.8m | -NZ$36,957,833.00 | 35.8x |
| Mon, 04 Oct 2021 | NZ$5.4b | NZ$808.0m | -NZ$35,887,172.00 | 31.8x |
| Wed, 01 Sep 2021 | NZ$5.0b | NZ$806.0m | -NZ$36,239,528.60 | 36.9x |
| Thu, 08 Jul 2021 | NZ$4.9b | NZ$806.0m | -NZ$36,239,528.60 | 43.5x |
| Wed, 31 Mar 2021 | NZ$4.9b | NZ$799.9m | -NZ$55,192,228.60 | 22.1x |
| Sat, 02 Jan 2021 | NZ$4.3b | NZ$770.5m | -NZ$80,263,506.50 | 16.6x |
| Tue, 06 Oct 2020 | NZ$4.3b | NZ$787.2m | -NZ$75,068,721.00 | 17.4x |
| Fri, 10 Jul 2020 | NZ$3.9b | NZ$788.6m | -NZ$50,378,635.55 | 19.7x |
| Thu, 02 Apr 2020 | NZ$1.9b | NZ$788.2m | -NZ$11,069,194.50 | 34.7x |
| Sun, 05 Jan 2020 | NZ$3.3b | NZ$751.9m | NZ$24.1m | 32.6x |
| Wed, 09 Oct 2019 | NZ$2.9b | NZ$738.8m | NZ$44.3m | 28.3x |
| Tue, 02 Jul 2019 | NZ$3.5b | NZ$697.5m | NZ$31.0m | 48.7x |
| Fri, 05 Apr 2019 | NZ$2.9b | NZ$666.3m | NZ$20.1m | 37.5x |
| Mon, 07 Jan 2019 | NZ$2.7b | NZ$643.1m | NZ$8.3m | 93x |
PE Ratio
93x
Current Industry PE: There are only 2 profitable companies in this industry, so there is insufficient data to make an industry-wide assessment of PE.
Past Earnings Growth: The earnings for companies in the Information Technology industry have declined 20% per year over the last three years, while revenues for these companies have grown 11% per year. This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the New Zealand Tech sector?
| Software | 0.51% | |
| Electronic Equipment and Components | -3.08% | |
| IT | -3.60% | |
Industry PE: Investors are most optimistic about the Software industry even though it's trading below its 3-year average PE ratio of 91.7x. This is likely because analysts are expecting annual earnings growth of 89%, which is higher than its past year's earnings growth of 2.7% per year. Meanwhile, investors are most pessimistic about the IT industry, which is trading below its 3-year average of 60.7x.
Forecasted Growth: Analysts are most optimistic on the Electronic Equipment and Components industry, expecting annual earnings growth of 109% over the next 5 years. However this is lower than its past earnings growth rate of 229% per year. Meanwhile, the IT industry is expected to see its earnings grow by 26% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | 7D | 1Y | Valuation | |
|---|---|---|---|---|
| SKO Serko | 6.6%+NZ$50.4m | 30.4% | n/a | |
| PX1 Plexure Group | 9.9%+NZ$14.1m | -62.6% | n/a | |
| PPH Pushpay Holdings | 0.7%+NZ$11.4m | -30.3% | n/a | |
| RAK Rakon | 2.2%+NZ$9.1m | 283.3% | n/a |