ASX:SIV

Stock Analysis Report

Executive Summary

Silver Chef Limited engages in the rental and financing of commercial equipment in Australia, New Zealand, and Canada.

Snowflake

Fundamentals

Moderate growth potential with imperfect balance sheet.

Risks

  • Silver Chef has significant price volatility in the past 3 months.
  • Silver Chef is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.1%

ASX:SIV

4.3%

AU Trade Distributors

1.8%

AU Market


1 Year Return

-65.0%

ASX:SIV

-20.5%

AU Trade Distributors

2.2%

AU Market

SIV underperformed the Trade Distributors industry which returned -20.5% over the past year.

SIV underperformed the Market in Australia which returned 2.2% over the past year.


Share holder returns

SIVIndustryMarket
7 Day-2.1%4.3%1.8%
30 Day0.7%-4.3%-3.7%
90 Day-5.3%-6.3%1.1%
1 Year-65.0%-65.0%-18.7%-20.5%8.0%2.2%
3 Year-92.4%-93.2%59.0%42.8%32.9%15.6%
5 Year-86.1%-88.7%94.0%62.5%39.3%8.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Silver Chef undervalued based on future cash flows and its price relative to the stock market?

0.33x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Silver Chef to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Silver Chef to establish if it is available at substantial discount.


Price Based on Earnings

Silver Chef is loss making, we can't compare its value to the AU Trade Distributors industry average.

Silver Chef is loss making, we can't compare the value of its earnings to the Australia market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Silver Chef, we can't assess if its growth is good value.


Price Based on Value of Assets

Silver Chef is good value based on assets compared to the AU Trade Distributors industry average.


Next Steps

Future Growth

How is Silver Chef expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

105.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Silver Chef's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Silver Chef's earnings are expected to grow significantly at over 20% yearly.

Silver Chef's revenues are expected to decrease over the next 1-3 years, this is below the Australia market average.

Silver Chef's earnings growth is expected to exceed the Australia market average.

Silver Chef's earnings growth is expected to exceed the low risk savings rate of 2.3%.


Earnings per Share Growth Estimates


Future Return on Equity

Silver Chef is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Silver Chef performed over the past 5 years?

-49.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Silver Chef does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare Silver Chef's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Silver Chef's 1-year growth to the AU Trade Distributors industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Silver Chef has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Silver Chef has efficiently used its assets last year compared to the AU Trade Distributors industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Silver Chef improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Silver Chef's financial position?


Financial Position Analysis

Silver Chef's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Silver Chef's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Silver Chef's level of debt (373.3%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (161.9% vs 373.3% today).

Debt is well covered by operating cash flow (53.3%, greater than 20% of total debt).

Silver Chef is making a loss, therefore interest payments are not well covered by earnings.


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.3x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Silver Chef's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Silver Chef's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Silver Chef has not reported any payouts.

Unable to verify if Silver Chef's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Silver Chef has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Silver Chef's dividends in 3 years as they are not expected to pay a notable one for Australia.


Next Steps

Management

What is the CEO of Silver Chef's salary, the management and board of directors tenure and is there insider trading?

1.6yrs

Average management tenure


CEO

Damien Guivarra (45yo)

2.8yrs

Tenure

AU$582,442

Compensation

Mr. Damien Guivarra has been Chief Executive Officer of Silver Chef Limited since November 3, 2016. Mr. Guivarra served as the Chief Operating Officer at Silver Chef Limited from October 1, 2015 to Novembe ...


CEO Compensation Analysis

Damien's remuneration is higher than average for companies of similar size in Australia.

Damien's compensation has increased whilst company is loss making.


Management Age and Tenure

1.6yrs

Average Tenure

The average tenure for the Silver Chef management team is less than 2 years, this suggests a new team.


Board Age and Tenure

9.1yrs

Average Tenure

63yo

Average Age

The tenure for the Silver Chef board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyAU$323,58019 Aug 19
Blue Stamp Company Pty Ltd
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Blue Stamp Company Pty Ltd
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Shares2,052,530
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BuyAU$35,11201 Nov 18
Andrew Peter Kemp
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares21,000
Max PriceAU$1.67
BuyAU$34,84231 Oct 18
Andrew Peter Kemp
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares20,000
Max PriceAU$1.74
BuyAU$9,50520 Sep 18
Bede King
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares5,000
Max PriceAU$1.90
BuyAU$49,63318 Sep 18
Sophie Mitchell
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares27,000
Max PriceAU$1.84
BuyAU$4,88412 Sep 18
Andrew Peter Kemp
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares2,658
Max PriceAU$1.84
BuyAU$22,86612 Sep 18
Andrew Peter Kemp
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares12,342
Max PriceAU$1.85
BuyAU$49,99305 Sep 18
Allan English
EntityIndividual
Role
Chairman of the Board
Founder & Non-Executive Chairman
Shares23,809
Max PriceAU$2.10

Ownership Breakdown


Management Team

  • Graeme Fallet

    CFO & Company Secretary

    • Tenure: 1.2yrs
    • Compensation: AU$335.74k
  • Damien Guivarra (45yo)

    Chief Executive Officer

    • Tenure: 2.8yrs
    • Compensation: AU$582.44k
  • Peta Karunaratne

    Head of People

    • Tenure: 1.6yrs

Board Members

  • Andrew Peter Kemp (68yo)

    Non Executive Director

    • Tenure: 14.5yrs
    • Compensation: AU$65.00k
  • Bede King (63yo)

    Non Executive Director

    • Tenure: 14.4yrs
    • Compensation: AU$65.00k
  • Allan English (64yo)

    Founder & Non-Executive Chairman

    • Tenure: 9.1yrs
    • Compensation: AU$130.00k
  • Sophie Mitchell (52yo)

    Non-Executive Director

    • Tenure: 7.9yrs
    • Compensation: AU$65.00k
  • Patrick Tapper (57yo)

    Non-Executive Director

    • Tenure: 4.1yrs
    • Compensation: AU$65.00k

Company Information

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


Key Information

  • Name: Silver Chef Limited
  • Ticker: SIV
  • Exchange: ASX
  • Founded: 1986
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: AU$28.077m
  • Shares outstanding: 39.27m
  • Website: https://www.silverchefgroup.com.au

Number of Employees


Location

  • Silver Chef Limited
  • Park Tower
  • 20 Pidgeon Close
  • West End
  • Queensland
  • 4101
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SIVASX (Australian Securities Exchange)YesOrdinary SharesAUAUDMay 2005
SIVCHIA (Chi-X Australia)YesOrdinary SharesAUAUDMay 2005

Biography

Silver Chef Limited engages in the rental and financing of commercial equipment in Australia, New Zealand, and Canada. It offers equipment rental and financing solutions to small and medium sized businesse ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 10:33
End of Day Share Price2019/08/23 00:00
Earnings2018/12/31
Annual Earnings2018/06/30


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.