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EXP

Experience CoASX:EXP Stock Report

Market Cap

AU$241.6m

7D

-2.9%

1Y

47.8%

Updated

18 Oct, 2021

Data

Company Financials +
EXP fundamental analysis
Snowflake Score
Valuation3/6
Future Growth5/6
Past Performance0/6
Financial Health4/6
Dividends0/6

EXP Overview

Experience Co Limited, an adventure tourism company, provides tandem skydiving services in Australia and New Zealand.

Price History & Performance

Summary of all time highs, changes and price drops for Experience Co
Historical stock prices
Current Share PriceAU$0.34
52 Week HighAU$0.15
52 Week LowAU$0.41
Beta1.6
1 Month Change0%
3 Month Change19.30%
1 Year Change47.83%
3 Year Change6.25%
5 Year Change-47.29%
Change since IPO-12.82%

Recent News & Updates

Mar 17
Did Experience Co Limited (ASX:EXP) Insiders Buy Up More Shares?

Did Experience Co Limited (ASX:EXP) Insiders Buy Up More Shares?

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. On...

Shareholder Returns

EXPAU HospitalityAU Market
7D-2.9%2.7%1.7%
1Y47.8%40.3%20.3%

Return vs Industry: EXP exceeded the Australian Hospitality industry which returned 41.7% over the past year.

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

Price Volatility

Is EXP's price volatile compared to industry and market?
EXP volatility
EXP Beta1.6
Industry Beta1.24
Market Beta1

Stable Share Price: EXP is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: EXP's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1998n/aJohn O’Sullivanhttps://experienceco.com

Experience Co Limited, an adventure tourism company, provides tandem skydiving services in Australia and New Zealand. The company operates through Skydiving and GBR Experiences segments. It also provides boat tours, snorkeling, and diving in the Great Barrier Reef; and rainforest tour in the Daintree in North Queensland, as well as aircraft maintenance services.

Experience Co Fundamentals Summary

How do Experience Co's earnings and revenue compare to its market cap?
EXP fundamental statistics
Market CapAU$241.56m
Earnings (TTM)-AU$4.76m
Revenue (TTM)AU$44.45m

5.4x

P/S Ratio

-50.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
EXP income statement (TTM)
RevenueAU$44.45m
Cost of RevenueAU$28.23m
Gross ProfitAU$16.22m
ExpensesAU$20.97m
Earnings-AU$4.76m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.0067
Gross Margin36.48%
Net Profit Margin-10.71%
Debt/Equity Ratio10.6%

How did EXP perform over the long term?

See historical performance and comparison

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EXP (A$0.34) is trading below our estimate of fair value (A$0.81)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: EXP is good value based on its PB Ratio (3.3x) compared to the AU Hospitality industry average (3.7x).


Future Growth

How is Experience Co forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

88.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EXP is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: EXP is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: EXP's is expected to become profitable in the next 3 years.

Revenue vs Market: EXP's revenue (39.6% per year) is forecast to grow faster than the Australian market (5.5% per year).

High Growth Revenue: EXP's revenue (39.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EXP's Return on Equity is forecast to be low in 3 years time (10.2%).


Past Performance

How has Experience Co performed over the past 5 years?

-64.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EXP is currently unprofitable.

Growing Profit Margin: EXP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EXP is unprofitable, and losses have increased over the past 5 years at a rate of 64.1% per year.

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

Earnings vs Industry: EXP is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (4.2%).


Return on Equity

High ROE: EXP has a negative Return on Equity (-6.44%), as it is currently unprofitable.


Financial Health

How is Experience Co's financial position?


Financial Position Analysis

Short Term Liabilities: EXP's short term assets (A$24.9M) exceed its short term liabilities (A$19.7M).

Long Term Liabilities: EXP's short term assets (A$24.9M) exceed its long term liabilities (A$23.0M).


Debt to Equity History and Analysis

Debt Level: EXP's debt to equity ratio (10.6%) is considered satisfactory.

Reducing Debt: EXP's debt to equity ratio has increased from 4.4% to 10.6% 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: EXP has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if EXP has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is Experience Co current dividend yield, its reliability and sustainability?

0.52%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

2.3yrs

Average management tenure


CEO

John O’Sullivan

2.25yrs

Tenure

AU$749,486

Compensation

Mr. John O’Sullivan has been Chief Executive Officer and Executive Director of Experience Co Limited since July 29, 2019. Mr. O’Sullivan is a highly regarded and well respected industry leader with over 25...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD556.29K) is about average for companies of similar size in the Australian market ($USD556.28K).

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


Leadership Team

Experienced Management: EXP's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: EXP's board of directors are not considered experienced ( 2.3 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: EXP insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 27.8%.


Top Shareholders

Company Information

Experience Co Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Experience Co Limited
  • Ticker: EXP
  • Exchange: ASX
  • Founded: 1998
  • Industry: Leisure Facilities
  • Sector: Consumer Services
  • Market Cap: AU$241.557m
  • Shares outstanding: 710.46m
  • Website: https://experienceco.com

Number of Employees


Location

  • Experience Co Limited
  • 89 York Street
  • Level 5
  • 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 15:36
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.