ASX:FLN

Stock Analysis Report

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Market Cap

AU$429.9m

Last Updated

2021/08/01 08:08 UTC

Data Sources

Company Financials

Executive Summary

Freelancer Limited operates a freelancing and crowdsourcing marketplace in Australia. More Details


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: FLN is more volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: FLN's weekly volatility (12%) has been stable over the past year, but is still higher than 75% of Australian stocks.


Market Performance


7 Day Return

-11.6%

FLN

0.7%

AU Professional Services

-0.1%

AU Market


1 Year Return

55.7%

FLN

39.9%

AU Professional Services

27.3%

AU Market

Return vs Industry: FLN exceeded the Australian Professional Services industry which returned 39.9% over the past year.

Return vs Market: FLN exceeded the Australian Market which returned 27.3% over the past year.


Shareholder returns

FLNIndustryMarket
7 Day-11.6%0.7%-0.1%
30 Day-18.8%-1.3%1.5%
90 Day0%14.5%4.4%
1 Year55.7%55.7%44.3%39.9%31.9%27.3%
3 Year69.6%69.6%37.1%22.8%32.7%16.8%
5 Year-44.0%-44.0%76.3%49.4%62.5%31.0%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

15.41x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: FLN (A$0.95) is trading above our estimate of fair value (A$0.07)

Significantly Below Fair Value: FLN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FLN is unprofitable, so we can't compare its PE Ratio to the Australian Professional Services industry average.

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


Price to Book Ratio

PB vs Industry: FLN is overvalued based on its PB Ratio (15.4x) compared to the AU Professional Services industry average (3.7x).


Future Growth

How is Freelancer forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.8%

Forecasted Commercial Services 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 Freelancer 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.


Past Performance

How has Freelancer performed over the past 5 years?

11.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FLN is currently unprofitable.

Growing Profit Margin: FLN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: FLN is unprofitable, but has reduced losses over the past 5 years at a rate of 11.6% per year.

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

Earnings vs Industry: FLN is unprofitable, making it difficult to compare its past year earnings growth to the Professional Services industry (1.2%).


Return on Equity

High ROE: FLN has a negative Return on Equity (-3.77%), as it is currently unprofitable.


Financial Health

How is Freelancer's financial position?


Financial Position Analysis

Short Term Liabilities: FLN's short term assets (A$39.1M) do not cover its short term liabilities (A$51.8M).

Long Term Liabilities: FLN's short term assets (A$39.1M) exceed its long term liabilities (A$24.6M).


Debt to Equity History and Analysis

Debt Level: FLN's debt to equity ratio (0.4%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if FLN's debt to equity ratio has reduced 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 FLN has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: FLN is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 36.4% per year.


Dividend

What is Freelancer current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

0.5yrs

Average management tenure


CEO

Matt Barrie (48 yo)

no data

Tenure

AU$612,056

Compensation

Mr. Robert Matthew Barrie, also known as Matt, BE (Hons I) BSc (Hons I) GDipAppFin MAppFin MSEE (Stanford) GAICD SEP FIEAust, is Founder of Freelancer Limited and has been its Executive Chairman since Apri...


CEO Compensation Analysis

Compensation vs Market: Matt's total compensation ($USD449.64K) is below average for companies of similar size in the Australian market ($USD676.71K).

Compensation vs Earnings: Matt's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: FLN's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: FLN's board of directors are seasoned and experienced ( 11.3 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

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


Key Information

  • Name: Freelancer Limited
  • Ticker: FLN
  • Exchange: ASX
  • Founded: 2009
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: AU$429.891m
  • Shares outstanding: 452.52m
  • Website: https://www.freelancer.com

Number of Employees


Location

  • Freelancer Limited
  • Grosvenor Place
  • Level 37
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings


Biography

Freelancer Limited operates a freelancing and crowdsourcing marketplace in Australia. It operates through two segments, Online Marketplace and Online Payment Services. Through its marketplace employers can...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/01 08:08
End of Day Share Price2021/07/30 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.