ASX:BPP

Stock Analysis Report

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Executive Summary

Babylon Pump & Power Limited focuses on rental of specialty diesel driven pumping and power generation equipment in Australia.


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.

Share Price & News

How has Babylon Pump & Power's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

5.6%

BPP

3.9%

AU Trade Distributors

3.6%

AU Market


1 Year Return

11.8%

BPP

-9.0%

AU Trade Distributors

-10.3%

AU Market

Return vs Industry: BPP exceeded the Australian Trade Distributors industry which returned -9% over the past year.

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


Shareholder returns

BPPIndustryMarket
7 Day5.6%3.9%3.6%
30 Day35.7%-1.7%0.2%
90 Day26.7%22.4%16.4%
1 Year11.8%11.8%-6.3%-9.0%-6.6%-10.3%
3 Yearn/a40.5%24.7%18.2%2.5%
5 Yearn/a106.4%71.3%35.7%6.4%

Price Volatility Vs. Market

How volatile is Babylon Pump & Power's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Babylon Pump & Power undervalued compared to its fair value and its price relative to the market?

1.77x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate BPP's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate BPP's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: BPP is unprofitable, so we can't compare its PE Ratio to the Trade Distributors industry average.

PE vs Market: BPP is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BPP is overvalued based on its PB Ratio (1.8x) compared to the AU Trade Distributors industry average (1.3x).


Next Steps

Future Growth

How is Babylon Pump & Power forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

29.4%

Forecasted Capital Goods 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 Babylon Pump & Power 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.


Next Steps

Past Performance

How has Babylon Pump & Power performed over the past 5 years?

-39.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BPP is currently unprofitable.

Growing Profit Margin: BPP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BPP is unprofitable, and losses have increased over the past 5 years at a rate of -39% per year.

Accelerating Growth: Unable to compare BPP's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BPP is unprofitable, making it difficult to compare its past year earnings growth to the Trade Distributors industry (-5.4%).


Return on Equity

High ROE: BPP has a negative Return on Equity (-15.65%), as it is currently unprofitable.


Next Steps

Financial Health

How is Babylon Pump & Power's financial position?


Financial Position Analysis

Short Term Liabilities: BPP's short term assets (A$9.3M) exceed its short term liabilities (A$7.0M).

Long Term Liabilities: BPP's short term assets (A$9.3M) exceed its long term liabilities (A$3.1M).


Debt to Equity History and Analysis

Debt Level: BPP's debt to equity ratio (41%) is considered high.

Reducing Debt: BPP had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: BPP has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: BPP has less than a year of cash runway if free cash flow continues to reduce at historical rates of 53.6% each year


Next Steps

Dividend

What is Babylon Pump & Power current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate BPP's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate BPP's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if BPP's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BPP's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BPP's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

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

2.6yrs

Average management tenure


CEO

Babylon Pump & Power has no CEO, or we have no data on them.


Leadership Team

NamePositionTenureCompensationOwnership
Michael Shelby
Executive Chairman2.58yrsAU$398.56k1.29% A$205.1k
Patrick Maingard
Executive Director2.67yrsAU$218.66k0.58% A$92.9k
Michael Kenyon
Non-Executive Director & Company Secretary2.58yrsAU$43.80k0.16% A$25.3k
Mark Lagemann
Operations Managerno datano datano data

2.6yrs

Average Tenure

Experienced Management: BPP's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Shelby
Executive Chairman2.58yrsAU$398.56k1.29% A$205.1k
Patrick Maingard
Executive Director2.67yrsAU$218.66k0.58% A$92.9k
Michael Kenyon
Non-Executive Director & Company Secretary2.58yrsAU$43.80k0.16% A$25.3k

2.6yrs

Average Tenure

Experienced Board: BPP's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 125.1%.


Top Shareholders

Company Information

Babylon Pump & Power Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Babylon Pump & Power Limited
  • Ticker: BPP
  • Exchange: ASX
  • Founded: 1990
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: AU$15.910m
  • Shares outstanding: 837.38m
  • Website: https://www.babylonpumpandpower.com

Location

  • Babylon Pump & Power Limited
  • 74 Harrison Road
  • Forrestfield
  • Western Australia
  • 6058
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BPPASX (Australian Securities Exchange)YesOrdinary ShareAUAUDJan 2018
BPPCHIA (Chi-X Australia)YesOrdinary ShareAUAUDJan 2018

Biography

Babylon Pump & Power Limited focuses on rental of specialty diesel driven pumping and power generation equipment in Australia. It also offers rebuild and maintenance services for diesel driven equipment. The company was formerly known as IM Medical Limited and changed its name to Babylon Pump & Power Limited in December 2017. Babylon Pump & Power Limited was incorporated in 1990 and is headquartered in Forrestfield, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/07 10:36
End of Day Share Price2020/07/07 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.