ASX:MYS

Stock Analysis Report

Executive Summary

MyState Limited, through its subsidiaries, provides a range of financial products and services in Australia.


Snowflake Analysis

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: MYS's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

12.1%

MYS

15.6%

AU Mortgage

5.0%

AU Market


1 Year Return

-9.5%

MYS

-15.1%

AU Mortgage

-19.2%

AU Market

Return vs Industry: MYS exceeded the Australian Mortgage industry which returned -15.2% over the past year.

Return vs Market: MYS exceeded the Australian Market which returned -18.9% over the past year.


Shareholder returns

MYSIndustryMarket
7 Day12.1%15.6%5.0%
30 Day-33.4%-32.7%-20.3%
90 Day-23.5%-39.1%-25.8%
1 Year-4.4%-9.5%-3.9%-15.1%-15.6%-19.2%
3 Year-1.0%-16.8%-15.7%-35.9%-3.6%-16.8%
5 Year0.2%-26.2%-12.4%-48.7%6.6%-17.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

33.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MYS (A$3.81) is trading below our estimate of fair value (A$5.7)

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


Price To Earnings Ratio

PE vs Industry: MYS is poor value based on its PE Ratio (11.4x) compared to the Mortgage industry average (9.7x).

PE vs Market: MYS is good value based on its PE Ratio (11.4x) compared to the Australian market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: MYS is poor value based on its PEG Ratio (3.2x)


Price to Book Ratio

PB vs Industry: MYS is overvalued based on its PB Ratio (1.1x) compared to the AU Mortgage industry average (0.9x).


Next Steps

Future Growth

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

3.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MYS's forecast earnings growth (3.5% per year) is above the savings rate (1.1%).

Earnings vs Market: MYS's earnings (3.5% per year) are forecast to grow slower than the Australian market (10.1% per year).

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

Revenue vs Market: MYS's revenue (2.3% per year) is forecast to grow slower than the Australian market (4% per year).

High Growth Revenue: MYS's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MYS's Return on Equity is forecast to be low in 3 years time (9.7%).


Next Steps

Past Performance

How has MyState performed over the past 5 years?

-0.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MYS has high quality earnings.

Growing Profit Margin: MYS's current net profit margins (24.7%) are lower than last year (25.3%).


Past Earnings Growth Analysis

Earnings Trend: MYS's earnings have declined by -0.5% per year over the past 5 years.

Accelerating Growth: MYS's earnings growth over the past year (2.5%) exceeds its 5-year average (-0.5% per year).

Earnings vs Industry: MYS earnings growth over the past year (2.5%) underperformed the Mortgage industry 11.3%.


Return on Equity

High ROE: MYS's Return on Equity (9.2%) is considered low.


Next Steps

Financial Health

How is MyState'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: MYS has a low level of unsold assets or inventory.

Debt Coverage by Assets: MYS's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

Asset Level: MYS's level of assets compared to its equity is moderate.

Allowance for Bad Loans: MYS has a sufficient allowance for bad loans.

Low Risk Liabilities: MYS's liabilities are made up of primarily low risk sources of funding.

Loan Level: MYS has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MYS has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: MYS has an appropriate level of bad loans (0.01%)


Next Steps

Dividend

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

7.55%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MYS's dividend (7.55%) is higher than the bottom 25% of dividend payers in the Australian market (3.17%).

High Dividend: MYS's dividend (7.55%) is low compared to the top 25% of dividend payers in the Australian market (8%).


Stability and Growth of Payments

Stable Dividend: MYS's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (85.7%), MYS's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MYS's dividends in 3 years are forecast to be covered by earnings (81.6% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Melos Sulicich

5.75s

Tenure

AU$754,299

Compensation

Mr. Melos Anthony Sulicich, BBus(Mktg), GAICD, SA FIN serves as Chief Executive Officer, Managing Director and Executive Director at MyState Bank Limited. Mr. Sulicich has been the Chief Executive Officer, ...


CEO Compensation Analysis

Compensation vs Market: Melos's total compensation ($USD456.57K) is about average for companies of similar size in the Australian market ($USD596.57K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Melos Sulicich
MD, CEO & Director5.75yrsAU$754.30k0.11% A$378.6k
Paul Moss
General Manager of Technology4.92yrsAU$384.09k0.0069% A$24.1k
Heather McGovern
General Manager of Digital & Marketing1.08yrsAU$312.27kno data
Janelle Whittle
General Manager of People & Culture2.25yrsAU$301.66k0.0015% A$5.4k
Mandakini Khanna
Chief Risk Officer4.33yrsAU$417.02k0.0069% A$24.1k
Craig Mowll
General Manager of Wealth Management1.75yrsAU$392.56kno data
Anthony MacRae
General Manager of Banking1.17yrsAU$379.09kno data
Gary Dickson
Interim Chief Financial Officer0.50yrno datano data
Greg Slade
Investor Relation Professionalno datano datano data
Scott Lukianenko
Company Secretary6.42yrsAU$311.82kno data

2.3yrs

Average Tenure

Experienced Management: MYS's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Melos Sulicich
MD, CEO & Director5.75yrsAU$754.30k0.11% A$378.6k
Miles Hampton
Independent Chairman of the Board6.5yrsAU$220.33k0.82% A$2.9m
Vaughn Richtor
Independent Non-Executive Director0.58yrno datano data
Robert Gordon
Independent Non-Executive Director11.17yrsAU$113.04k0.028% A$97.3k
Warren Lee
Independent Non-Executive Director2.5yrsAU$103.09k0.013% A$45.9k
Andrea Waters
Independent Non-Executive Director2.5yrsAU$108.08k0.023% A$81.8k
Sibylle Krieger
Independent Non-Executive Director3.33yrsAU$105.77k0.028% A$96.8k

3.3yrs

Average Tenure

64yo

Average Age

Experienced Board: MYS's board of directors are considered experienced (3.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

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


Key Information

  • Name: MyState Limited
  • Ticker: MYS
  • Exchange: ASX
  • Founded: 2009
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: AU$350.554m
  • Shares outstanding: 92.01m
  • Website: https://www.mystatelimited.com.au

Location

  • MyState Limited
  • 137 Harrington Street
  • Level 2
  • Hobart
  • Tasmania
  • 7000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MYSASX (Australian Securities Exchange)YesOrdinary SharesAUAUDSep 2009
MYSCHIA (Chi-X Australia)YesOrdinary SharesAUAUDSep 2009

Biography

MyState Limited, through its subsidiaries, provides a range of financial products and services in Australia. It operates through two divisions, Banking and Wealth Management. The company offers banking products and services, including transactional savings accounts; fixed term deposits; insurance products; home loans; personal, overdraft, lines of credit, and commercial products; residential and business banking services; and Internet and mobile banking, savings and investment, and other services through its branch network, digital channels, and third party channels. It also provides trustee services, such as estate planning, estate and trust administration, power of attorney, and corporate trustee services. In addition, the company offers wealth management services, such as managed fund investment services. MyState Limited was founded in 2009 and is based in Hobart, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/03 14:32
End of Day Share Price2020/04/03 00:00
Earnings2019/12/31
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.