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XRF

XRF Scientific ASX:XRF Stock Report

Last Price

AU$0.56

Market Cap

AU$76.1m

7D

0%

1Y

17.9%

Updated

28 Jun, 2022

Data

Company Financials +
XRF fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance5/6
Financial Health5/6
Dividends4/6

XRF Stock Overview

XRF Scientific Limited manufactures and markets precious metal products, specialized chemicals, and instruments for the scientific, analytical, construction material, and mining industries in Australia, Canada, and Europe.

XRF Scientific Competitors

Price History & Performance

Summary of all time highs, changes and price drops for XRF Scientific
Historical stock prices
Current Share PriceAU$0.56
52 Week HighAU$0.77
52 Week LowAU$0.42
Beta0.70
1 Month Change-15.15%
3 Month Change-15.79%
1 Year Change17.90%
3 Year Change194.74%
5 Year Change220.00%
Change since IPO160.47%

Recent News & Updates

May 12
We Think XRF Scientific (ASX:XRF) Can Manage Its Debt With Ease

We Think XRF Scientific (ASX:XRF) Can Manage Its Debt With Ease

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Apr 21
XRF Scientific (ASX:XRF) Shareholders Will Want The ROCE Trajectory To Continue

XRF Scientific (ASX:XRF) Shareholders Will Want The ROCE Trajectory To Continue

Did you know there are some financial metrics that can provide clues of a potential multi-bagger? Ideally, a business...

Shareholder Returns

XRFAU MachineryAU Market
7D0%-0.7%4.0%
1Y17.9%-56.4%-9.1%

Return vs Industry: XRF exceeded the Australian Machinery industry which returned -55.6% over the past year.

Return vs Market: XRF exceeded the Australian Market which returned -9.6% over the past year.

Price Volatility

Is XRF's price volatile compared to industry and market?
XRF volatility
XRF Average Weekly Movement6.7%
Machinery Industry Average Movement9.5%
Market Average Movement9.8%
10% most volatile stocks in AU Market16.6%
10% least volatile stocks in AU Market4.3%

Stable Share Price: XRF is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: XRF's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1972n/aVance Stazzonellihttps://www.xrfscientific.com

XRF Scientific Limited manufactures and markets precious metal products, specialized chemicals, and instruments for the scientific, analytical, construction material, and mining industries in Australia, Canada, and Europe. It operates through Capital Equipment, Precious Metals, and Consumables segments. The Capital Equipment segment designs, manufactures, and services automated fusion equipment, and high temperature test and production furnaces, as well as general laboratory equipment.

XRF Scientific Fundamentals Summary

How do XRF Scientific's earnings and revenue compare to its market cap?
XRF fundamental statistics
Market CapAU$76.10m
Earnings (TTM)AU$5.54m
Revenue (TTM)AU$34.87m

13.7x

P/E Ratio

2.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
XRF income statement (TTM)
RevenueAU$34.87m
Cost of RevenueAU$19.34m
Gross ProfitAU$15.53m
Other ExpensesAU$9.99m
EarningsAU$5.54m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.041
Gross Margin44.55%
Net Profit Margin15.89%
Debt/Equity Ratio11.3%

How did XRF perform over the long term?

See historical performance and comparison

Dividends

3.6%

Current Dividend Yield

49%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is XRF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for XRF?

Other financial metrics that can be useful for relative valuation.

XRF key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.2x
Enterprise Value/EBITDA9.8x
PEG Ratio2.8x

Price to Earnings Ratio vs Peers

How does XRF's PE Ratio compare to its peers?

XRF PE Ratio vs Peers
The above table shows the PE ratio for XRF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average19.8x
LBL LaserBond
23.3x35.0%AU$73.8m
KOV Korvest
7.8xn/aAU$80.3m
VEE VEEM
23.9x49.0%AU$53.6m
EGL Environmental Group
24.1xn/aAU$51.5m
XRF XRF Scientific
13.7x5.0%AU$76.1m

Price-To-Earnings vs Peers: XRF is good value based on its Price-To-Earnings Ratio (13.7x) compared to the peer average (19.8x).


Price to Earnings Ratio vs Industry

How does XRF's PE Ratio compare vs other companies in the Global Machinery Industry?

Price-To-Earnings vs Industry: XRF is good value based on its Price-To-Earnings Ratio (13.7x) compared to the Global Machinery industry average (18.4x)


Price to Earnings Ratio vs Fair Ratio

What is XRF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

XRF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.7x
Fair PE Ratio11.5x

Price-To-Earnings vs Fair Ratio: XRF is expensive based on its Price-To-Earnings Ratio (13.7x) compared to the estimated Fair Price-To-Earnings Ratio (11.5x).


Share Price vs Fair Value

What is the Fair Price of XRF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: XRF (A$0.56) is trading below our estimate of fair value (A$0.83)

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


Price to Earnings Growth Ratio

PEG Ratio: XRF is poor value based on its PEG Ratio (2.8x)


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Future Growth

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

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


5.0%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XRF's forecast earnings growth (5% per year) is above the savings rate (1.8%).

Earnings vs Market: XRF's earnings (5% per year) are forecast to grow slower than the Australian market (6% per year).

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

Revenue vs Market: XRF's revenue (5.7% per year) is forecast to grow faster than the Australian market (5.2% per year).

High Growth Revenue: XRF's revenue (5.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: XRF's Return on Equity is forecast to be low in 3 years time (11.6%).


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Past Performance

How has XRF Scientific performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


39.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: XRF has high quality earnings.

Growing Profit Margin: XRF's current net profit margins (15.9%) are higher than last year (13.7%).


Past Earnings Growth Analysis

Earnings Trend: XRF's earnings have grown significantly by 39.9% per year over the past 5 years.

Accelerating Growth: XRF's earnings growth over the past year (42.9%) exceeds its 5-year average (39.9% per year).

Earnings vs Industry: XRF earnings growth over the past year (42.9%) exceeded the Machinery industry -28.5%.


Return on Equity

High ROE: XRF's Return on Equity (13.8%) is considered low.


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Financial Health

How is XRF Scientific's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: XRF's short term assets (A$23.3M) exceed its short term liabilities (A$7.6M).

Long Term Liabilities: XRF's short term assets (A$23.3M) exceed its long term liabilities (A$2.8M).


Debt to Equity History and Analysis

Debt Level: XRF has more cash than its total debt.

Reducing Debt: XRF's debt to equity ratio has increased from 4.2% to 11.3% over the past 5 years.

Debt Coverage: XRF's debt is well covered by operating cash flow (109.8%).

Interest Coverage: XRF's interest payments on its debt are well covered by EBIT (240.6x coverage).


Balance Sheet


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Dividend

What is XRF Scientific current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


3.57%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: XRF's dividend (3.57%) is higher than the bottom 25% of dividend payers in the Australian market (2.73%).

High Dividend: XRF's dividend (3.57%) is low compared to the top 25% of dividend payers in the Australian market (6.67%).


Stability and Growth of Payments

Stable Dividend: XRF's dividend payments have been volatile in the past 10 years.

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


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (48.6%), XRF's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (62.4%), XRF's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

14.0yrs

Average management tenure


CEO

Vance Stazzonelli

14yrs

Tenure

AU$365,226

Compensation

Mr. Vance Stazzonelli, B.Comm has been the Chief Executive Officer of XRF Scientific Limited since August 6, 2012 and Company Secretary since June 16, 2008. Mr. Stazzonelli has been Managing Director and D...


CEO Compensation Analysis

Compensation vs Market: Vance's total compensation ($USD253.68K) is about average for companies of similar size in the Australian market ($USD289.00K).

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


Leadership Team

Experienced Management: XRF's management team is seasoned and experienced (14 years average tenure).


Board Members

Experienced Board: XRF's board of directors are seasoned and experienced ( 10.1 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: XRF 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

XRF Scientific Limited's employee growth, exchange listings and data sources


Key Information

  • Name: XRF Scientific Limited
  • Ticker: XRF
  • Exchange: ASX
  • Founded: 1972
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Implied Market Cap: AU$76.100m
  • Shares outstanding: 135.89m
  • Website: https://www.xrfscientific.com

Location

  • XRF Scientific Limited
  • 86 Guthrie Street
  • Osborne Park
  • Western Australia
  • 6017
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/28 00:00
End of Day Share Price2022/06/28 00:00
Earnings2021/12/31
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.