Snowflake Score | |
---|---|
Valuation | 3/6 |
Future Growth | 2/6 |
Past Performance | 2/6 |
Financial Health | 3/6 |
Dividends | 3/6 |
GEM Stock Overview
G8 Education Limited provides early childhood education and care services in Australia.
G8 Education Competitors
Price History & Performance
Historical stock prices | |
---|---|
Current Share Price | AU$1.08 |
52 Week High | AU$1.33 |
52 Week Low | AU$0.92 |
Beta | 1.06 |
1 Month Change | -6.49% |
3 Month Change | -5.26% |
1 Year Change | 8.54% |
3 Year Change | -64.12% |
5 Year Change | -71.12% |
Change since IPO | 140.00% |
Recent News & Updates
A Look At The Fair Value Of G8 Education Limited (ASX:GEM)
How far off is G8 Education Limited ( ASX:GEM ) from its intrinsic value? Using the most recent financial data, we'll...
Should You Think About Buying G8 Education Limited (ASX:GEM) Now?
While G8 Education Limited ( ASX:GEM ) might not be the most widely known stock at the moment, it saw significant share...
Shareholder Returns
GEM | AU Consumer Services | AU Market | |
---|---|---|---|
7D | 1.9% | 7.7% | 1.4% |
1Y | 8.5% | -10.6% | -11.3% |
Return vs Industry: GEM exceeded the Australian Consumer Services industry which returned -10.6% over the past year.
Return vs Market: GEM exceeded the Australian Market which returned -11.3% over the past year.
Price Volatility
GEM volatility | |
---|---|
GEM Average Weekly Movement | 4.6% |
Consumer Services Industry Average Movement | 7.1% |
Market Average Movement | 9.7% |
10% most volatile stocks in AU Market | 16.3% |
10% least volatile stocks in AU Market | 4.2% |
Stable Share Price: GEM is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: GEM's weekly volatility (5%) has been stable over the past year.
About the Company
Founded | Employees | CEO | Website |
---|---|---|---|
2007 | 7,598 | Gary Carroll | https://www.g8education.edu.au |
G8 Education Limited provides early childhood education and care services in Australia. It offers its services under the Buggles, Community Kids, Casa Bambini, Creative Garden, First Grammar, Great Beginnings, Green Wood, Head Start, Kool Kids, Kindy Patch Kids, Jelly Beans, Pelicans, Kinder Haven, Nurture One, World Of Learning, The Learning Sanctuary, Sand Castles, Bambinos, Pelican child care, Penguin child care, and Early learning services brands. The company also provides disability support services, including specialist early intervention and allied health support services under the Leor brand name.
G8 Education Fundamentals Summary
GEM fundamental statistics | |
---|---|
Market Cap | AU$903.08m |
Earnings (TTM) | AU$45.68m |
Revenue (TTM) | AU$866.34m |
19.8x
P/E Ratio1.0x
P/S RatioIs GEM overvalued?
See Fair Value and valuation analysisEarnings & Revenue
GEM income statement (TTM) | |
---|---|
Revenue | AU$866.34m |
Cost of Revenue | AU$38.78m |
Gross Profit | AU$827.55m |
Other Expenses | AU$781.87m |
Earnings | AU$45.68m |
Last Reported Earnings
Dec 31, 2021
Next Earnings Date
Aug 24, 2022
Earnings per share (EPS) | 0.055 |
Gross Margin | 95.52% |
Net Profit Margin | 5.27% |
Debt/Equity Ratio | 10.5% |
How did GEM perform over the long term?
See historical performance and comparisonDividends
2.8%
Current Dividend Yield56%
Payout RatioValuation
Is GEM undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
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 GEM?
Other financial metrics that can be useful for relative valuation.
What is GEM's n/a Ratio? | |
---|---|
n/a Ratio | 0x |
n/a | n/a |
Market Cap | AU$903.08m |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 1.8x |
Enterprise Value/EBITDA | 12.2x |
PEG Ratio | 1.1x |
Price to Earnings Ratio vs Peers
How does GEM's PE Ratio compare to its peers?
GEM PE Ratio vs Peers |
---|
Company | PE | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 52.2x | ||
IEL IDP Education | 114.2x | 29.4% | AU$6.9b |
KME Kip McGrath Education Centres | 29.7x | n/a | AU$54.3m |
RTE Retech Technology | 40.6x | n/a | AU$44.3m |
8VI 8VI Holdings | 24.2x | n/a | AU$49.8m |
GEM G8 Education | 19.8x | 18.2% | AU$903.1m |
Price-To-Earnings vs Peers: GEM is good value based on its Price-To-Earnings Ratio (19.8x) compared to the peer average (52.2x).
Price to Earnings Ratio vs Industry
How does GEM's PE Ratio compare vs other companies in the Global Consumer Services Industry?
Price-To-Earnings vs Industry: GEM is expensive based on its Price-To-Earnings Ratio (19.8x) compared to the Global Consumer Services industry average (18.1x)
Price to Earnings Ratio vs Fair Ratio
What is GEM'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.
Fair Ratio | |
---|---|
Current PE Ratio | 19.8x |
Fair PE Ratio | 30.3x |
Price-To-Earnings vs Fair Ratio: GEM is good value based on its Price-To-Earnings Ratio (19.8x) compared to the estimated Fair Price-To-Earnings Ratio (30.3x).
Share Price vs Fair Value
What is the Fair Price of GEM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: GEM (A$1.08) is trading below our estimate of fair value (A$1.23)
Significantly Below Fair Value: GEM is trading below fair value, but not by a significant amount.
Price to Earnings Growth Ratio
PEG Ratio: GEM is poor value based on its PEG Ratio (1.1x)
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Future Growth
How is G8 Education forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Future Growth Score
2/6Future Growth Score 2/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
18.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GEM's forecast earnings growth (18.2% per year) is above the savings rate (1.8%).
Earnings vs Market: GEM's earnings (18.2% per year) are forecast to grow faster than the Australian market (6% per year).
High Growth Earnings: GEM's earnings are forecast to grow, but not significantly.
Revenue vs Market: GEM's revenue (4.7% per year) is forecast to grow slower than the Australian market (5.2% per year).
High Growth Revenue: GEM's revenue (4.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GEM's Return on Equity is forecast to be low in 3 years time (8.4%).
Discover growth companies
Past Performance
How has G8 Education performed over the past 5 years?
Past Performance Score
2/6Past Performance Score 2/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
-35.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GEM has high quality earnings.
Growing Profit Margin: GEM became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: GEM's earnings have declined by 35.7% per year over the past 5 years.
Accelerating Growth: GEM has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: GEM has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Services industry (1.1%).
Return on Equity
High ROE: GEM's Return on Equity (5%) is considered low.
Discover strong past performing companies
Financial Health
How is G8 Education's financial position?
Financial Health Score
3/6Financial Health Score 3/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: GEM's short term assets (A$123.6M) do not cover its short term liabilities (A$253.9M).
Long Term Liabilities: GEM's short term assets (A$123.6M) do not cover its long term liabilities (A$677.4M).
Debt to Equity History and Analysis
Debt Level: GEM's net debt to equity ratio (2.4%) is considered satisfactory.
Reducing Debt: GEM's debt to equity ratio has reduced from 65.3% to 10.5% over the past 5 years.
Debt Coverage: GEM's debt is well covered by operating cash flow (87.7%).
Interest Coverage: GEM's interest payments on its debt are not well covered by EBIT (2x coverage).
Balance Sheet
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Dividend
What is G8 Education current dividend yield, its reliability and sustainability?
Dividend Score
3/6Dividend Score 3/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
2.78%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GEM's dividend (2.78%) is higher than the bottom 25% of dividend payers in the Australian market (2.75%).
High Dividend: GEM's dividend (2.78%) is low compared to the top 25% of dividend payers in the Australian market (6.85%).
Stability and Growth of Payments
Stable Dividend: GEM's dividend payments have been volatile in the past 10 years.
Growing Dividend: GEM's dividend payments have fallen over the past 10 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonable payout ratio (55.7%), GEM's dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonable cash payout ratio (60.3%), GEM'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?
2.9yrs
Average management tenure
CEO
Gary Carroll
5.42yrs
Tenure
AU$1,474,022
Compensation
Mr. Gary G. Carroll, B.Comm (Hons), B.Law (Hons), CPA, has been Chief Executive Officer, Managing Director and Executive Director of G8 Education Limited since January 1, 2017. Mr. Carroll is responsible f...
CEO Compensation Analysis
Compensation vs Market: Gary's total compensation ($USD1.02M) is about average for companies of similar size in the Australian market ($USD1.04M).
Compensation vs Earnings: Gary's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: GEM's management team is considered experienced (2.9 years average tenure).
Board Members
Experienced Board: GEM's board of directors are considered experienced (4.8 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
G8 Education Limited's employee growth, exchange listings and data sources
Key Information
- Name: G8 Education Limited
- Ticker: GEM
- Exchange: ASX
- Founded: 2007
- Industry: Education Services
- Sector: Consumer Services
- Implied Market Cap: AU$903.075m
- Shares outstanding: 836.18m
- Website: https://www.g8education.edu.au
Number of Employees
Location
- G8 Education Limited
- 159 Varsity Parade
- Varsity Lakes
- Queensland
- 4227
- Australia
Listings
Company Analysis and Financial Data Status
Data | Last Updated (UTC time) |
---|---|
Company Analysis | 2022/06/27 00:00 |
End of Day Share Price | 2022/06/27 00:00 |
Earnings | 2021/12/31 |
Annual Earnings | 2021/12/31 |
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.