Executive Summary
Auswide Bank Ltd provides various personal and business banking products and services in Australia.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet average dividend payer.
Similar Companies
Share Price & News
How has Auswide Bank's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ABA has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.2%
ABA
2.0%
AU Mortgage
2.0%
AU Market
1 Year Return
9.2%
ABA
45.4%
AU Mortgage
19.8%
AU Market
Return vs Industry: ABA underperformed the Australian Mortgage industry which returned 48% over the past year.
Return vs Market: ABA underperformed the Australian Market which returned 19.4% over the past year.
Shareholder returns
| ABA | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.2% | 2.0% | 2.0% |
| 30 Day | 2.4% | 0.9% | 3.3% |
| 90 Day | 8.0% | 3.8% | 5.8% |
| 1 Year | 16.2%9.2% | 65.0%45.4% | 25.2%19.8% |
| 3 Year | 35.6%13.1% | 44.6%8.4% | 39.6%20.9% |
| 5 Year | 47.8%10.0% | 55.2%-11.3% | 61.8%25.3% |
Price Volatility Vs. Market
How volatile is Auswide Bank's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
Should You Worry About Auswide Bank Ltd's (ASX:ABA) CEO Pay?3 weeks ago | Simply Wall St
The Auswide Bank (ASX:ABA) Share Price Has Gained 15% And Shareholders Are Hoping For More1 month ago | Simply Wall St
Could Auswide Bank Ltd (ASX:ABA) Have The Makings Of Another Dividend Aristocrat?Valuation
Is Auswide Bank undervalued compared to its fair value and its price relative to the market?
14.56x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ABA (A$6) is trading above our estimate of fair value (A$5.6)
Significantly Below Fair Value: ABA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ABA is poor value based on its PE Ratio (14.7x) compared to the Mortgage industry average (13.7x).
PE vs Market: ABA is good value based on its PE Ratio (14.7x) compared to the Australian market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: ABA is poor value based on its PEG Ratio (2.1x)
Price to Book Ratio
PB vs Industry: ABA is overvalued based on its PB Ratio (1.1x) compared to the AU Mortgage industry average (1x).
Next Steps
Future Growth
How is Auswide Bank forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
7.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ABA's forecast earnings growth (7.1% per year) is above the savings rate (1.1%).
Earnings vs Market: ABA's earnings (7.1% per year) are forecast to grow slower than the Australian market (9.6% per year).
High Growth Earnings: ABA's earnings are forecast to grow, but not significantly.
Revenue vs Market: ABA's revenue (3.5% per year) is forecast to grow slower than the Australian market (3.8% per year).
High Growth Revenue: ABA's revenue (3.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ABA's Return on Equity is forecast to be low in 3 years time (9%).
Next Steps
Past Performance
How has Auswide Bank performed over the past 5 years?
6.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ABA has high quality earnings.
Growing Profit Margin: ABA's current net profit margins (24.1%) are lower than last year (25%).
Past Earnings Growth Analysis
Earnings Trend: ABA's earnings have grown by 6.7% per year over the past 5 years.
Accelerating Growth: ABA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ABA had negative earnings growth (-0.4%) over the past year, making it difficult to compare to the Mortgage industry average (17.4%).
Return on Equity
High ROE: ABA's Return on Equity (7.2%) is considered low.
Return on Assets
Return on Capital Employed
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Financial Health
How is Auswide Bank's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: ABA has a low level of unsold assets or inventory.
Debt Coverage by Assets: ABA's debt is not covered by short term assets (assets are 0.6x debt).
Financial Institutions Analysis
Asset Level: ABA's level of assets compared to its equity is moderate.
Allowance for Bad Loans: ABA has a low allowance for bad loans.
Low Risk Liabilities: ABA's liabilities are made up of primarily low risk sources of funding.
Loan Level: ABA has an acceptable proportion of non-loan assets held.
Low Risk Deposits: ABA's loans are broadly funded by customer deposits.
Level of Bad Loans: ABA has an appropriate level of bad loans (0.3%)
Next Steps
Dividend
What is Auswide Bank's current dividend yield, its reliability and sustainability?
5.81%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ABA's dividend (5.75%) is higher than the bottom 25% of dividend payers in the Australian market (2.34%).
High Dividend: ABA's dividend (5.75%) is in the top 25% of dividend payers in the Australian market (5.47%)
Stability and Growth of Payments
Stable Dividend: ABA's dividend payments have been volatile in the past 10 years.
Growing Dividend: ABA's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (84.5%), ABA's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ABA's dividends in 3 years are forecast to be covered by earnings (80.6% payout ratio).
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Management
What is the CEO of Auswide Bank's salary, the management and board of directors tenure and is there insider trading?
6.2yrs
Average management tenure
CEO
Martin Barrett (54yo)
6.9yrs
Tenure
AU$784,075
Compensation
Mr. Martin John Barrett, BA(ECON), MBA, has served as Managing Director and Director of Auswide Bank Ltd. since September 2013. Mr. Barrett has extensive experience in the banking sector, having previously ...
CEO Compensation Analysis
Compensation vs Market: Martin's total compensation ($USD541.11K) is about average for companies of similar size in the Australian market ($USD509.47K).
Compensation vs Earnings: Martin's compensation has been consistent with company performance over the past year.
Management Age and Tenure
6.2yrs
Average Tenure
Experienced Management: ABA's management team is seasoned and experienced (6.2 years average tenure).
Board Age and Tenure
6.3yrs
Average Tenure
63yo
Average Age
Experienced Board: ABA's board of directors are considered experienced (6.3 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Bill Schafer
Company Secretary & CFO
- Tenure: 18.8yrs
- Compensation: AU$401.54k
Joanne Norris
Administration Manager
Gayle Job
Chief People & Property Officer
- Tenure: 3.6yrs
- Compensation: AU$243.89k
Dale Hancock
Group Treasurer
- Tenure: 7yrs
Steve Caville
Chief Information Officer
- Tenure: 9.2yrs
- Compensation: AU$237.21k
Martin Barrett (54yo)
MD & Executive Director
- Tenure: 6.9yrs
- Compensation: AU$784.08k
Mark Rasmussen
Chief Operating Officer
- Tenure: 5yrs
- Compensation: AU$278.27k
Craig Lonergan
Chief Risk Officer
- Tenure: 5.5yrs
- Compensation: AU$248.64k
Damian Hearne
Chief Customer Officer
- Tenure: 3.6yrs
- Compensation: AU$363.29k
Board Members
John Humphrey (64yo)
Independent Chairman of the Board
- Tenure: 10.2yrs
- Compensation: AU$163.40k
Greg Kenny (63yo)
Independent Non-Executive Director
- Tenure: 6.2yrs
- Compensation: AU$102.13k
Barry Dangerfield (63yo)
Non-Executive Director
- Tenure: 8.2yrs
- Compensation: AU$102.13k
Martin Barrett (54yo)
MD & Executive Director
- Tenure: 6.9yrs
- Compensation: AU$784.08k
Sandra Birkensleigh (64yo)
Independent Non-Executive Director
- Tenure: 4.9yrs
- Compensation: AU$102.13k
Company Information
Auswide Bank Ltd's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Auswide Bank Ltd
- Ticker: ABA
- Exchange: ASX
- Founded: 1966
- Industry: Thrifts and Mortgage Finance
- Sector: Banks
- Market Cap: AU$250.507m
- Shares outstanding: 42.17m
- Website: https://www.auswidebank.com.au
Location
- Auswide Bank Ltd
- 16-20 Barolin Street
- Bundaberg
- Queensland
- 4670
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ABA | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Oct 1994 |
| ABA | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Oct 1994 |
Biography
Auswide Bank Ltd provides various personal and business banking products and services in Australia. The company accepts personal and business accounts, and term deposits; and grants home loans, car and personal loans, business loans, and overdrafts. It also offers credit cards; self-managed superannuation fund accounts; and home and contents, landlord, car, caravan or trailer, boat, travel, trade and services, and farm insurance products, as well as insurance to protect professional office based business. In addition, the company provides foreign exchange, financial advisory, and business support services. The company was formerly known as Wide Bay Australia Ltd and changed its name to Auswide Bank Ltd in April 2015. Auswide Bank Ltd was founded in 1966 and is headquartered in Bundaberg, Australia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/18 10:31 |
| End of Day Share Price | 2020/01/17 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2019/06/30 |
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.