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SFC

SchafferASX:SFC Stock Report

Last Price

AU$20.49

Market Cap

AU$281.3m

7D

-2.4%

1Y

12.5%

Updated

26 Jan, 2022

Data

Company Financials
SFC fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends3/6

SFC Stock Overview

Schaffer Corporation Limited, a diversified industrial and investment company, manufactures and sells automotive leather and building materials primarily in Australia, Asia, and Europe.

Price History & Performance

Summary of all time highs, changes and price drops for Schaffer
Historical stock prices
Current Share PriceAU$20.49
52 Week HighAU$22.80
52 Week LowAU$18.11
Beta0.74
1 Month Change0.89%
3 Month Change-4.65%
1 Year Change12.46%
3 Year Change47.94%
5 Year Change246.12%
Change since IPO2,283.94%

Recent News & Updates

Aug 20
Schaffer (ASX:SFC) Is Paying Out A Larger Dividend Than Last Year

Schaffer (ASX:SFC) Is Paying Out A Larger Dividend Than Last Year

Schaffer Corporation Limited's ( ASX:SFC ) dividend will be increasing to AU$0.45 on 17th of September. This will take...

May 10
Schaffer (ASX:SFC) Shareholders Will Want The ROCE Trajectory To Continue

Schaffer (ASX:SFC) Shareholders Will Want The ROCE Trajectory To Continue

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Apr 19
Is Schaffer (ASX:SFC) A Risky Investment?

Is Schaffer (ASX:SFC) A Risky Investment?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Shareholder Returns

SFCAU Auto ComponentsAU Market
7D-2.4%-5.3%-5.4%
1Y12.5%9.9%2.6%

Return vs Industry: SFC exceeded the Australian Auto Components industry which returned 9.9% over the past year.

Return vs Market: SFC exceeded the Australian Market which returned 2.6% over the past year.

Price Volatility

Is SFC's price volatile compared to industry and market?
SFC volatility
SFC Average Weekly Movement3.5%
Auto Components Industry Average Movement5.3%
Market Average Movement8.5%
10% most volatile stocks in AU Market15.4%
10% least volatile stocks in AU Market3.7%

Stable Share Price: SFC is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: SFC's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1955900John Schafferhttps://www.schaffer.com.au

Schaffer Corporation Limited, a diversified industrial and investment company, manufactures and sells automotive leather and building materials primarily in Australia, Asia, and Europe. The company’s Automotive Leather segment manufactures and supplies leather to the automotive industry. Its Building Materials segment manufactures pre-cast and pre-stressed concrete floors, beams, and wall products for infrastructure, building, and resource projects.

Schaffer Fundamentals Summary

How do Schaffer's earnings and revenue compare to its market cap?
SFC fundamental statistics
Market CapAU$281.31m
Earnings (TTM)AU$38.83m
Revenue (TTM)AU$196.33m

7.2x

P/E Ratio

1.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SFC income statement (TTM)
RevenueAU$196.33m
Cost of RevenueAU$130.88m
Gross ProfitAU$65.46m
ExpensesAU$26.63m
EarningsAU$38.83m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)2.83
Gross Margin33.34%
Net Profit Margin19.78%
Debt/Equity Ratio25.5%

How did SFC perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

32%

Payout Ratio

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SFC (A$20.49) is trading below our estimate of fair value (A$78.66)

Significantly Below Fair Value: SFC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SFC is good value based on its PE Ratio (7.2x) compared to the Australian Auto Components industry average (25.3x).

PE vs Market: SFC is good value based on its PE Ratio (7.2x) compared to the Australian market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SFC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SFC is good value based on its PB Ratio (2x) compared to the AU Auto Components industry average (3.9x).


Future Growth

How is Schaffer forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.7%

Forecasted Automobiles industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Schaffer has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Schaffer performed over the past 5 years?

35.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SFC has a large one-off gain of A$18.0M impacting its June 30 2021 financial results.

Growing Profit Margin: SFC's current net profit margins (19.8%) are higher than last year (15.1%).


Past Earnings Growth Analysis

Earnings Trend: SFC's earnings have grown significantly by 35.5% per year over the past 5 years.

Accelerating Growth: SFC's earnings growth over the past year (64.9%) exceeds its 5-year average (35.5% per year).

Earnings vs Industry: SFC earnings growth over the past year (64.9%) underperformed the Auto Components industry 81%.


Return on Equity

High ROE: SFC's Return on Equity (29.1%) is considered high.


Financial Health

How is Schaffer's financial position?


Financial Position Analysis

Short Term Liabilities: SFC's short term assets (A$113.7M) exceed its short term liabilities (A$56.2M).

Long Term Liabilities: SFC's short term assets (A$113.7M) exceed its long term liabilities (A$70.3M).


Debt to Equity History and Analysis

Debt Level: SFC has more cash than its total debt.

Reducing Debt: SFC's debt to equity ratio has reduced from 75.6% to 25.5% over the past 5 years.

Debt Coverage: SFC's debt is well covered by operating cash flow (123.4%).

Interest Coverage: SFC's interest payments on its debt are well covered by EBIT (24x coverage).


Balance Sheet


Dividend

What is Schaffer current dividend yield, its reliability and sustainability?

4.39%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SFC's dividend (4.39%) is higher than the bottom 25% of dividend payers in the Australian market (2.36%).

High Dividend: SFC's dividend (4.39%) is low compared to the top 25% of dividend payers in the Australian market (5.62%).


Stability and Growth of Payments

Stable Dividend: SFC's dividend payments have been volatile in the past 10 years.

Growing Dividend: SFC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.6%), SFC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

11.7yrs

Average management tenure


CEO

John Schaffer (71 yo)

35yrs

Tenure

AU$1,473,597

Compensation

Mr. John Michael Schaffer, BCom (Hons) FCPA FAICD, has been Managing Director at Schaffer Corporation Limited since 1987 and has been its Chairman since 1988. Mr. Schaffer has been Chairman of Howe Automot...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD1.05M) is above average for companies of similar size in the Australian market ($USD564.83K).

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


Leadership Team

Experienced Management: SFC's management team is seasoned and experienced (11.7 years average tenure).


Board Members

Experienced Board: SFC's board of directors are seasoned and experienced ( 22.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Schaffer Corporation Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Schaffer Corporation Limited
  • Ticker: SFC
  • Exchange: ASX
  • Founded: 1955
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Implied Market Cap: AU$281.309m
  • Shares outstanding: 13.73m
  • Website: https://www.schaffer.com.au

Number of Employees


Location

  • Schaffer Corporation Limited
  • 1305 Hay Street
  • West Perth
  • Western Australia
  • 6005
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/26 07:03
End of Day Share Price2022/01/25 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.