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QHL

Quickstep HoldingsASX:QHL Stock Report

Market Cap

AU$37.2m

7D

-5.5%

1Y

-28.8%

Updated

25 Oct, 2021

Data

Company Financials +
QHL fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance0/6
Financial Health6/6
Dividends0/6

QHL Overview

Quickstep Holdings Limited manufactures advanced composites for the defense and commercial aerospace, and other industry sector customers in Australia and the United States.

Price History & Performance

Summary of all time highs, changes and price drops for Quickstep Holdings
Historical stock prices
Current Share PriceAU$0.052
52 Week HighAU$0.042
52 Week LowAU$0.095
Beta1.13
1 Month Change13.04%
3 Month Change0%
1 Year Change-28.77%
3 Year Change-31.58%
5 Year Change-52.73%
Change since IPO-77.39%

Recent News & Updates

Oct 21
Quickstep Holdings (ASX:QHL) Has A Somewhat Strained Balance Sheet

Quickstep Holdings (ASX:QHL) Has A Somewhat Strained Balance Sheet

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

Shareholder Returns

QHLAU Aerospace & DefenseAU Market
7D-5.5%-0.8%0.6%
1Y-28.8%-36.5%21.3%

Return vs Industry: QHL exceeded the Australian Aerospace & Defense industry which returned -36.5% over the past year.

Return vs Market: QHL underperformed the Australian Market which returned 21.3% over the past year.

Price Volatility

Is QHL's price volatile compared to industry and market?
QHL volatility
QHL Beta1.13
Industry Beta0.85
Market Beta1

Stable Share Price: QHL is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: QHL's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2001280Mark Burgesshttps://www.quickstep.com.au

Quickstep Holdings Limited manufactures advanced composites for the defense and commercial aerospace, and other industry sector customers in Australia and the United States. It produces aerospace-grade advanced composites. The company was incorporated in 2001 and is based in Bankstown, Australia.

Quickstep Holdings Fundamentals Summary

How do Quickstep Holdings's earnings and revenue compare to its market cap?
QHL fundamental statistics
Market CapAU$37.25m
Earnings (TTM)-AU$271.00k
Revenue (TTM)AU$85.10m

0.4x

P/S Ratio

-140.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
QHL income statement (TTM)
RevenueAU$85.10m
Cost of RevenueAU$70.48m
Gross ProfitAU$14.62m
ExpensesAU$14.89m
Earnings-AU$271.00k

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.00038
Gross Margin17.18%
Net Profit Margin-0.32%
Debt/Equity Ratio35.0%

How did QHL perform over the long term?

See historical performance and comparison

Valuation

Is Quickstep Holdings 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: QHL (A$0.05) is trading below our estimate of fair value (A$0.19)

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


Price To Earnings Ratio

PE vs Industry: QHL is unprofitable, so we can't compare its PE Ratio to the Global Aerospace & Defense industry average.

PE vs Market: QHL 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 QHL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: QHL's PB Ratio (1.7x) is in line with the AU Aerospace & Defense industry average.


Future Growth

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

59.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: QHL is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: QHL is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: QHL's is expected to become profitable in the next 3 years.

Revenue vs Market: QHL's revenue (3.2% per year) is forecast to grow slower than the Australian market (5.3% per year).

High Growth Revenue: QHL's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: QHL's Return on Equity is forecast to be low in 3 years time (14.5%).


Past Performance

How has Quickstep Holdings performed over the past 5 years?

62.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: QHL is currently unprofitable.

Growing Profit Margin: QHL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: QHL is unprofitable, but has reduced losses over the past 5 years at a rate of 62.2% per year.

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

Earnings vs Industry: QHL is unprofitable, making it difficult to compare its past year earnings growth to the Aerospace & Defense industry (23.7%).


Return on Equity

High ROE: QHL has a negative Return on Equity (-1.24%), as it is currently unprofitable.


Financial Health

How is Quickstep Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: QHL's short term assets (A$30.9M) exceed its short term liabilities (A$21.2M).

Long Term Liabilities: QHL's short term assets (A$30.9M) exceed its long term liabilities (A$26.1M).


Debt to Equity History and Analysis

Debt Level: QHL's debt to equity ratio (35%) is considered satisfactory.

Reducing Debt: QHL's debt to equity ratio has reduced from 43.9% to 35% over the past 5 years.


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: Whilst unprofitable QHL has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: QHL is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 29.9% per year.


Dividend

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


Dividend Yield vs Market

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

High Dividend: Unable to evaluate QHL'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 QHL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if QHL'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 QHL'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?

3.2yrs

Average management tenure


CEO

Mark Burgess

4.42yrs

Tenure

AU$653,061

Compensation

Mr. Mark H. Burgess has been the Chief Executive Officer, Managing Director and Director of Quickstep Holdings Limited since May 18, 2017. Mr. Burgess serves as Vice President of Honeywell Aerospace Asia P...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD489.55K) is above average for companies of similar size in the Australian market ($USD302.38K).

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


Leadership Team

Experienced Management: QHL's management team is considered experienced (3.2 years average tenure).


Board Members

Experienced Board: QHL's board of directors are not considered experienced ( 2.2 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: QHL 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

Quickstep Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Quickstep Holdings Limited
  • Ticker: QHL
  • Exchange: ASX
  • Founded: 2001
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: AU$37.246m
  • Shares outstanding: 716.27m
  • Website: https://www.quickstep.com.au

Number of Employees


Location

  • Quickstep Holdings Limited
  • 361 Milperra Road
  • Bankstown Airport
  • Bankstown
  • New South Wales
  • 2200
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/25 16:49
End of Day Share Price2021/10/25 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.