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IGN

IgniteASX:IGN Stock Report

Market Cap

AU$9.0m

7D

-2.0%

1Y

209.7%

Updated

18 Oct, 2021

Data

Company Financials
IGN fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance3/6
Financial Health4/6
Dividends0/6

IGN Overview

Ignite Limited, together with its subsidiaries, provides specialist recruitment, on-demand information technology, and people services in Australia and New Zealand.

Price History & Performance

Summary of all time highs, changes and price drops for Ignite
Historical stock prices
Current Share PriceAU$0.096
52 Week HighAU$0.026
52 Week LowAU$0.10
Beta3.84
1 Month Change10.35%
3 Month Change65.52%
1 Year Change209.68%
3 Year Change95.92%
5 Year Change-23.20%
Change since IPO-92.13%

Recent News & Updates

Shareholder Returns

IGNAU Professional ServicesAU Market
7D-2.0%2.2%0.9%
1Y209.7%33.4%20.2%

Return vs Industry: IGN exceeded the Australian Professional Services industry which returned 33.4% over the past year.

Return vs Market: IGN exceeded the Australian Market which returned 20.2% over the past year.

Price Volatility

Is IGN's price volatile compared to industry and market?
IGN volatility
IGN Beta3.84
Industry Beta0.92
Market Beta1

Stable Share Price: IGN is more volatile than 90% of Australian stocks over the past 3 months, typically moving +/- 16% a week.

Volatility Over Time: IGN's weekly volatility (16%) has been stable over the past year, but is still higher than 75% of Australian stocks.

About the Company

FoundedEmployeesCEOWebsite
198475Tim Moranhttps://www.igniteco.com

Ignite Limited, together with its subsidiaries, provides specialist recruitment, on-demand information technology, and people services in Australia and New Zealand. It offers contingent labour and permanent recruitment, and payroll services; and outsourced recruitment and human resource consulting services. The company is also involved in the provision of pre-qualified information technology resources to deliver on demand solutions.

Ignite Fundamentals Summary

How do Ignite's earnings and revenue compare to its market cap?
IGN fundamental statistics
Market CapAU$8.96m
Earnings (TTM)AU$2.42m
Revenue (TTM)AU$113.88m

3.6x

P/E Ratio

0.08x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IGN income statement (TTM)
RevenueAU$113.88m
Cost of RevenueAU$100.39m
Gross ProfitAU$13.49m
ExpensesAU$11.07m
EarningsAU$2.42m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.027
Gross Margin11.84%
Net Profit Margin2.12%
Debt/Equity Ratio14.7%

How did IGN perform over the long term?

See historical performance and comparison

Valuation

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

3.56x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: IGN (A$0.1) is trading above our estimate of fair value (A$0)

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


Price To Earnings Ratio

PE vs Industry: IGN is good value based on its PE Ratio (3.6x) compared to the Australian Professional Services industry average (21.7x).

PE vs Market: IGN is good value based on its PE Ratio (3.6x) compared to the Australian market (19.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: IGN is good value based on its PB Ratio (1.6x) compared to the AU Professional Services industry average (3.9x).


Future Growth

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

12.5%

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 Ignite 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 Ignite performed over the past 5 years?

24.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IGN has a high level of non-cash earnings.

Growing Profit Margin: IGN became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: IGN has become profitable over the past 5 years, growing earnings by 24.9% per year.

Accelerating Growth: IGN has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: IGN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Professional Services industry (9.3%).


Return on Equity

High ROE: IGN's Return on Equity (45.3%) is considered outstanding.


Financial Health

How is Ignite's financial position?


Financial Position Analysis

Short Term Liabilities: IGN's short term assets (A$12.7M) exceed its short term liabilities (A$7.6M).

Long Term Liabilities: IGN's short term assets (A$12.7M) exceed its long term liabilities (A$169.0K).


Debt to Equity History and Analysis

Debt Level: IGN's debt to equity ratio (14.7%) is considered satisfactory.

Reducing Debt: IGN's debt to equity ratio has increased from 8.8% to 14.7% over the past 5 years.

Debt Coverage: IGN's debt is well covered by operating cash flow (85.6%).

Interest Coverage: IGN's interest payments on its debt are not well covered by EBIT (0.1x coverage).


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: IGN is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IGN'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?

2.7yrs

Average management tenure


CEO

Tim Moran

0.58

Tenure

AU$364,422

Compensation

Mr. Timothy Moran, also known as Tim, serves as Chief Executive Officer at Ignite Limited since March 08, 2021. He was most recently the Asia-Pacific Regional Director for SThree, where he has held various...


CEO Compensation Analysis

Compensation vs Market: Tim's total compensation ($USD270.48K) is about average for companies of similar size in the Australian market ($USD302.72K).

Compensation vs Earnings: Insufficient data to compare Tim's compensation with company performance.


Leadership Team

Experienced Management: IGN's management team is considered experienced (2.7 years average tenure).


Board Members

Experienced Board: IGN's board of directors are considered experienced (6.7 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: IGN 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

Ignite Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Ignite Limited
  • Ticker: IGN
  • Exchange: ASX
  • Founded: 1984
  • Industry: Human Resource and Employment Services
  • Sector: Commercial Services
  • Market Cap: AU$8.958m
  • Shares outstanding: 89.58m
  • Website: https://www.igniteco.com

Number of Employees


Location

  • Ignite Limited
  • Mezzanine Level
  • 3 Spring Street
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 07:04
End of Day Share Price2021/10/18 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.