ASX:PWH

Stock Analysis Report

Executive Summary

PWR Holdings Limited designs, engineers, produces, tests, validates, and sells customized aluminum cooling products and solutions in Australia and internationally.

Snowflake

Fundamentals

Excellent balance sheet with solid track record.

Share Price & News

How has PWR Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.9%

PWH

-0.8%

AU Auto Components

1.7%

AU Market


1 Year Return

36.6%

PWH

-4.7%

AU Auto Components

10.3%

AU Market

Return vs Industry: PWH exceeded the Australian Auto Components industry which returned -4.7% over the past year.

Return vs Market: PWH exceeded the Australian Market which returned 10.3% over the past year.


Shareholder returns

PWHIndustryMarket
7 Day3.9%-0.8%1.7%
30 Day10.2%-3.4%-0.4%
90 Day21.9%0.1%-0.1%
1 Year40.3%36.6%-1.3%-4.7%16.7%10.3%
3 Year63.3%51.6%17.9%8.1%36.7%18.4%
5 Yearn/a73.6%42.4%50.9%16.9%

Price Volatility Vs. Market

How volatile is PWR Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is PWR Holdings undervalued compared to its fair value and its price relative to the market?

34.14x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: PWH (A$4.85) is trading above our estimate of fair value (A$2.6)

Significantly Undervalued: PWH is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PWH is poor value based on its PE Ratio (34.1x) compared to the Auto Components industry average (15.5x).

PE vs Market: PWH is poor value based on its PE Ratio (34.1x) compared to the Australian market (18.2x).


Price to Earnings Growth Ratio

Low PEG Ratio: PWH is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: PWH is overvalued based on its PB Ratio (9.2x) compared to the AU Auto Components industry average (4.2x).


Next Steps

Future Growth

How is PWR Holdings forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

15.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PWH's forecast earnings growth (15.9% per year) is above the savings rate (2.3%).

Earnings vs Market: PWH's earnings (15.9% per year) are forecast to grow faster than the Australian market (10.2% per year).

High Growth Earnings: PWH's earnings are forecast to grow, but not significantly.

Revenue vs Market: PWH's revenue (14.6% per year) is forecast to grow faster than the Australian market (3.6% per year).

High Growth Revenue: PWH's revenue (14.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: PWH's Return on Equity is forecast to be high in 3 years time (29.5%)


Next Steps

Past Performance

How has PWR Holdings performed over the past 5 years?

15.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PWH's earnings have grown by 15.2% per year over the past 5 years.

Accelerating Growth: PWH's earnings growth over the past year (29.1%) exceeds its 5-year average (15.2% per year).

Earnings vs Industry: PWH earnings growth over the past year (29.1%) exceeded the Auto Components industry 20.2%.


Return on Equity

High ROE: PWH's Return on Equity (26.8%) is considered high.


Return on Assets

ROA vs Industry: PWH has a higher Return on Assets than the Auto Components industry average last year.


Return on Capital Employed

ROCE Improving: PWH's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is PWR Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: PWH's short term assets (A$33.7M) exceeds its short term liabilities (A$8.3M)

Long Term Liabilities: PWH's short term assets (33.7M) exceeds its long term liabilities (3.7M)


Debt to Equity History and Analysis

Debt Level: PWH's debt to equity ratio (6.4%) is considered satisfactory

Reducing Debt: PWH's debt to equity ratio has increased from 0.9% to 6.4% over the past 5 years.

Debt Coverage: PWH's debt is well covered by operating cash flow (546.1%).

Interest Coverage: PWH's interest payments on its debt are well covered by EBIT (876.8x coverage).


Balance Sheet

Inventory Level: PWH has a high level of physical assets or inventory.

Debt Coverage by Assets: PWH's debt is covered by short term assets (assets are 9.859150x debt).


Next Steps

Dividend

What is PWR Holdings's current dividend yield, its reliability and sustainability?

1.75%

Current Dividend Yield


Dividend Yield vs Market

company1.8%marketbottom25%2.5%markettop25%5.6%industryaverage2.8%forecastin3Years2.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: PWH's dividend (1.75%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.45%).

High Dividend: PWH's dividend (1.75%) is low compared to the top 25% of dividend payers in the Australian market (5.56%).

Stable Dividend: Whilst dividend payments have been stable, PWH has been paying a dividend for less than 10 years.

Growing Dividend: PWH's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (59.8%), PWH's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PWH's dividends in 3 years are forecast to be covered by earnings (58.2% payout ratio).


Next Steps

Management

What is the CEO of PWR Holdings's salary, the management and board of directors tenure and is there insider trading?

3.5yrs

Average management tenure


CEO

Kees Weel 0

16.3yrs

Tenure

AU$629,025

Compensation

Mr. Kees Cornelius Weel has been the Chief Executive Officer, Managing Director and Executive Director of PWR Holdings Limited since June 30, 2003. Mr. Weel has more than 30 years of experience in the auto ...


CEO Compensation Analysis

Compensation vs. Market: Kees's total compensation ($USD424.67K) is below average for companies of similar size in the Australian market ($USD720.62K).

Compensation vs Earnings: Kees's compensation has been consistent with company performance over the past year.


Management Age and Tenure

3.5yrs

Average Tenure

Experienced Management: PWH's management team is considered experienced (3.5 years average tenure).


Board Age and Tenure

3.4yrs

Average Tenure

Experienced Board: PWH's board of directors are considered experienced (3.4 years average tenure).


Insider Trading

Insider Buying: PWH insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

BuyAU$6,75308 Oct 19
Perennial Value Management Limited
EntityCompany
Shares1,532
Max PriceAU$4.41
SellAU$4,923,60908 Oct 19
Perennial Value Management Limited
EntityCompany
Shares1,041,280
Max PriceAU$4.87
BuyAU$99,97707 Oct 19
Roland Dane
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares20,885
Max PriceAU$4.79
SellAU$4,925,79123 Sep 19
Tribeca Investment Partners Pty Ltd.
EntityCompany
Shares1,164,739
Max PriceAU$4.64
BuyAU$588,89323 Sep 19
Tribeca Investment Partners Pty Ltd.
EntityCompany
Shares136,792
Max PriceAU$4.35
BuyAU$7,061,83510 Sep 19
Perennial Value Management Limited
EntityCompany
Shares1,672,942
Max PriceAU$4.22
SellAU$13,984,40210 Sep 19
Perennial Value Management Limited
EntityCompany
Shares3,252,991
Max PriceAU$4.30
SellAU$11,250,00008 Sep 19
Kees Weel
EntityIndividual
Role
Chief Executive Officer
MD, CEO & Executive Director
Shares2,500,000
Max PriceAU$4.50
SellAU$431,78108 Sep 19
Park Lane (UK) Ltd
EntityCompany
Shares94,474
Max PriceAU$4.60
BuyAU$23,12004 Sep 19
Teresa Handicott
EntityIndividual
Role
Chairman of the Board
Independent Chairman
Shares5,000
Max PriceAU$4.66
SellAU$4,912,47730 May 19
Tribeca Investment Partners Pty Ltd.
EntityCompany
Shares1,195,954
Max PriceAU$4.14
SellAU$4,96823 May 19
Park Lane (UK) Ltd
EntityCompany
Shares1,269
Max PriceAU$3.92
SellAU$146,80008 May 19
Park Lane (UK) Ltd
EntityCompany
Shares37,199
Max PriceAU$3.95
BuyAU$4,86801 May 19
Park Lane (UK) Ltd
EntityCompany
Shares1,217
Max PriceAU$4.00
BuyAU$12,637,97004 Mar 19
Perennial Value Management Limited
EntityCompany
Shares3,571,096
Max PriceAU$3.54
SellAU$924,85004 Mar 19
Perennial Value Management Limited
EntityCompany
Shares281,073
Max PriceAU$3.29
SellAU$2,073,89704 Mar 19
Tribeca Investment Partners Pty Ltd.
EntityCompany
Shares590,012
Max PriceAU$3.83
BuyAU$7,080,07904 Mar 19
Tribeca Investment Partners Pty Ltd.
EntityCompany
Shares2,039,405
Max PriceAU$3.84
SellAU$16,199,99828 Feb 19
Kees Weel
EntityIndividual
Role
Chief Executive Officer
MD, CEO & Executive Director
Shares4,500,000
Max PriceAU$3.60

Ownership Breakdown


Management Team

  • Lisa Dalton (55yo)

    Company Secretary

    • Tenure: 4.2yrs
  • Stuart Smith

    Chief Financial Officer

    • Tenure: 1.9yrs
    • Compensation: AU$390.84k
  • Kees Weel

    MD, CEO & Executive Director

    • Tenure: 16.3yrs
    • Compensation: AU$629.03k
  • Matthew Bryson

    General Manager of Engineering

    • Tenure: 13.5yrs
    • Compensation: AU$427.49k
  • Andy Burton

    General Manager of Europe

    • Tenure: 2.3yrs
    • Compensation: AU$284.26k
  • Jim Ryder

    General Manager of USA

    • Tenure: 2.8yrs
    • Compensation: AU$251.14k

Board Members

  • Jeff Forbes (66yo)

    Independent Non-Executive Director

    • Tenure: 4.2yrs
    • Compensation: AU$115.00k
  • Kees Weel

    MD, CEO & Executive Director

    • Tenure: 16.3yrs
    • Compensation: AU$629.03k
  • Teresa Handicott (56yo)

    Independent Chairman

    • Tenure: 2yrs
    • Compensation: AU$170.00k
  • Roland Dane

    Independent Non-Executive Director

    • Tenure: 2.6yrs
    • Compensation: AU$95.00k

Company Information

PWR Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PWR Holdings Limited
  • Ticker: PWH
  • Exchange: ASX
  • Founded: 1987
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: AU$472.000m
  • Shares outstanding: 100.00m
  • Website: https://www.pwr.com.au

Number of Employees


Location

  • PWR Holdings Limited
  • 103 Lahrs Road
  • Ormeau
  • Queensland
  • 4208
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PWHASX (Australian Securities Exchange)YesOrdinary SharesAUAUDNov 2015
PWHCHIA (Chi-X Australia)YesOrdinary SharesAUAUDNov 2015

Biography

PWR Holdings Limited designs, engineers, produces, tests, validates, and sells customized aluminum cooling products and solutions in Australia and internationally. It operates through two segments, PWR Per ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/17 10:40
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.