Coles Group
Market Cap
AU$21.1b
Last Updated
2021/04/10 08:21 UTC
Data Sources
Company Financials +
Executive Summary
Coles Group Limited operates as a retailer in Australia. More Details
Rewards
Risk Analysis
Snowflake Analysis
Second-rate dividend payer with questionable track record.
Similar Companies
Share Price & News
How has Coles Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: COL is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: COL's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-0.3%
COL
0.5%
AU Consumer Retailing
1.5%
AU Market
1 Year Return
-0.6%
COL
13.2%
AU Consumer Retailing
35.6%
AU Market
Return vs Industry: COL underperformed the Australian Consumer Retailing industry which returned 13.2% over the past year.
Return vs Market: COL underperformed the Australian Market which returned 35.6% over the past year.
Shareholder returns
| COL | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.3% | 0.5% | 1.5% |
| 30 Day | 2.6% | 4.6% | 2.6% |
| 90 Day | -15.7% | -3.1% | 2.5% |
| 1 Year | 3.0%-0.6% | 16.5%13.2% | 39.8%35.6% |
| 3 Year | n/a | 38.7%28.4% | 35.1%18.7% |
| 5 Year | n/a | 59.7%40.2% | 67.0%34.3% |
Long-Term Price Volatility Vs. Market
How volatile is Coles Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Estimating The Intrinsic Value Of Coles Group Limited (ASX:COL)3 weeks ago | Simply Wall St
Coles Group (ASX:COL) Seems To Use Debt Quite Sensibly1 month ago | Simply Wall St
Income Investors Should Know That Coles Group Limited (ASX:COL) Goes Ex-Dividend SoonValuation
Is Coles Group undervalued compared to its fair value and its price relative to the market?
4.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: COL (A$15.85) is trading below our estimate of fair value (A$16.55)
Significantly Below Fair Value: COL is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: COL is poor value based on its PE Ratio (20.2x) compared to the XO Consumer Retailing industry average (20.1x).
PE vs Market: COL's PE Ratio (20.2x) is in line with the Australian market.
Price to Earnings Growth Ratio
PEG Ratio: COL is poor value based on its PEG Ratio (4.8x)
Price to Book Ratio
PB vs Industry: COL is overvalued based on its PB Ratio (7.6x) compared to the AU Consumer Retailing industry average (5.6x).
Future Growth
How is Coles Group forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
4.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: COL's forecast earnings growth (4.2% per year) is above the savings rate (2%).
Earnings vs Market: COL's earnings (4.2% per year) are forecast to grow slower than the Australian market (15.4% per year).
High Growth Earnings: COL's earnings are forecast to grow, but not significantly.
Revenue vs Market: COL's revenue (2.7% per year) is forecast to grow slower than the Australian market (5.8% per year).
High Growth Revenue: COL's revenue (2.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: COL's Return on Equity is forecast to be high in 3 years time (35.6%)
Past Performance
How has Coles Group performed over the past 5 years?
-11.5%
Last years earnings growth
Earnings and Revenue History
Quality Earnings: COL has high quality earnings.
Growing Profit Margin: COL's current net profit margins (2.7%) are lower than last year (3.2%).
Past Earnings Growth Analysis
Earnings Trend: Insufficient data to determine if COL's year-on-year earnings growth rate was positive over the past 5 years.
Accelerating Growth: COL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: COL had negative earnings growth (-11.5%) over the past year, making it difficult to compare to the Consumer Retailing industry average (14.8%).
Return on Equity
High ROE: COL's Return on Equity (37.6%) is considered high.
Financial Health
How is Coles Group's financial position?
Financial Position Analysis
Short Term Liabilities: COL's short term assets (A$4.1B) do not cover its short term liabilities (A$6.3B).
Long Term Liabilities: COL's short term assets (A$4.1B) do not cover its long term liabilities (A$9.9B).
Debt to Equity History and Analysis
Debt Level: COL's debt to equity ratio (40.8%) is considered high.
Reducing Debt: Insufficient data to determine if COL's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: COL's debt is well covered by operating cash flow (286.3%).
Interest Coverage: COL's interest payments on its debt are well covered by EBIT (4.1x coverage).
Balance Sheet
Dividend
What is Coles Group current dividend yield, its reliability and sustainability?
3.82%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: COL's dividend (3.82%) is higher than the bottom 25% of dividend payers in the Australian market (1.99%).
High Dividend: COL's dividend (3.82%) is low compared to the top 25% of dividend payers in the Australian market (5.39%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, COL has been paying a dividend for less than 10 years.
Growing Dividend: COL's dividend payments have increased, but the company has only paid a dividend for 2 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (76.9%), COL's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: COL's dividends in 3 years are forecast to be covered by earnings (83.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.3yrs
Average management tenure
CEO
Steve Cain (55 yo)
2.58yrs
Tenure
AU$6,965,079
Compensation
Mr. Steven Cain, also known as Steve, serves as Managing Director at Coles Group Ltd. (operates independently of Wesfarmers Limited) since September 28, 2018. He serves as Director at Coles Group Limited s...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD5.32M) is above average for companies of similar size in the Australian market ($USD3.43M).
Compensation vs Earnings: Insufficient data to compare Steve's compensation with company performance.
Leadership Team
Experienced Management: COL's management team is considered experienced (2.3 years average tenure).
Board Members
Experienced Board: COL's board of directors are not considered experienced ( 2.4 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: 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
Coles Group Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Coles Group Limited
- Ticker: COL
- Exchange: ASX
- Founded: 1914
- Industry: Hypermarkets and Super Centers
- Sector: Consumer Retailing
- Market Cap: AU$21.143b
- Shares outstanding: 1.33b
- Website: https://www.colesgroup.com.au
Number of Employees
Location
- Coles Group Limited
- 800 Toorak Road
- Hawthorn East
- Victoria
- 3123
- Australia
Listings
Biography
Coles Group Limited operates as a retailer in Australia. The company operates through Supermarkets, Liquor, and Express segments. It provides fresh food, groceries, and general merchandise through 824 supe...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/10 08:21 |
| End of Day Share Price | 2021/04/09 00:00 |
| Earnings | 2021/01/03 |
| Annual Earnings | 2020/06/28 |
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.