ASX:PBH

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

PointsBet Holdings Limited provides sports and racing betting products and services through its cloud-based technology platform in Australia and New Jersey.


Snowflake Analysis

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PBH's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.2%

PBH

5.6%

AU Hospitality

2.3%

AU Market


1 Year Return

94.7%

PBH

-18.9%

AU Hospitality

-8.1%

AU Market

Return vs Industry: PBH exceeded the Australian Hospitality industry which returned -18.9% over the past year.

Return vs Market: PBH exceeded the Australian Market which returned -8.1% over the past year.


Shareholder returns

PBHIndustryMarket
7 Day3.2%5.6%2.3%
30 Day-2.2%7.5%2.8%
90 Day39.7%10.0%13.5%
1 Year103.1%94.7%-15.0%-18.9%-4.3%-8.1%
3 Yearn/a-3.9%-14.1%19.3%3.6%
5 Yearn/a27.6%3.2%40.0%9.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

5.1x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate PBH's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate PBH's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: PBH is overvalued based on its PB Ratio (5.1x) compared to the AU Hospitality industry average (1x).


Next Steps

Future Growth

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

-10.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PBH is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: PBH is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: PBH is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: PBH's revenue (46.2% per year) is forecast to grow faster than the Australian market (4.2% per year).

High Growth Revenue: PBH's revenue (46.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PBH is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has PointsBet Holdings performed over the past 5 years?

-306.8%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: PBH is currently unprofitable.

Growing Profit Margin: PBH is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if PBH's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: PBH is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (-5.5%).


Return on Equity

High ROE: PBH has a negative Return on Equity (-34.5%), as it is currently unprofitable.


Next Steps

Financial Health

How is PointsBet Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: PBH's short term assets (A$159.8M) exceed its short term liabilities (A$26.8M).

Long Term Liabilities: PBH's short term assets (A$159.8M) exceed its long term liabilities (A$12.0M).


Debt to Equity History and Analysis

Debt Level: PBH is debt free.

Reducing Debt: PBH had no debt 5 years ago.


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: PBH has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: PBH has sufficient cash runway for 1.7 years if free cash flow continues to reduce at historical rates of 122.4% each year.


Next Steps

Dividend

What is PointsBet Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

1.1yrs

Average management tenure


CEO

Sam Swanell

no data

Tenure

AU$786,977

Compensation

Mr. Samuel J. Swanell, also known as Sam, is the Co-Founder, Managing Director and Group Chief Executive Officer at PointsBet Holdings Limited and has been its Director since March 15, 2015. He has experie ...


CEO Compensation Analysis

Compensation vs Market: Sam's total compensation ($USD564.71K) is below average for companies of similar size in the Australian market ($USD981.63K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Samuel Swanell
Co-Founderno dataAU$786.98k2.17%
A$ 20.6m
Nicholas Fahey
Co-Founder5.42yrsAU$445.75k0.093%
A$ 881.3k
Andrew Mellor
Chief Financial Officer1.08yrsAU$314.03k0.037%
A$ 348.7k
Andrew Hensher
Group General Counsel & Company Secretaryno dataAU$345.52k0.0033%
A$ 30.9k
Andrew Fahey
Co-Founder & Chief Marketing Officerno datano data7.47%
A$ 70.8m
Manjit Singh
President of Product & Technology1.08yrsno datano data
Eric Foote
Chief Commercial Officer of US0.58yrno datano data

1.1yrs

Average Tenure

Experienced Management: PBH's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Samuel Swanell
Co-Founderno dataAU$786.98k2.17%
A$ 20.6m
Nicholas Fahey
Co-Founder5.42yrsAU$445.75k0.093%
A$ 881.3k
A Symons
Non-Executive Director3.92yrsAU$117.37k0.46%
A$ 4.4m
Brett William Paton
Non-Executive Chairmanno dataAU$62.09kno data
Peter McCluskey
Independent Non-Executive Director2.75yrsAU$77.97k0.26%
A$ 2.5m
Becky Harris
Independent Non-Executive Director0.75yrno datano data

3.9yrs

Average Tenure

Experienced Board: PBH's board of directors are considered experienced (3.9 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 been diluted in the past year, with total shares outstanding growing by 31.8%.


Top Shareholders

Company Information

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


Key Information

  • Name: PointsBet Holdings Limited
  • Ticker: PBH
  • Exchange: ASX
  • Founded: 2015
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: AU$948.193m
  • Shares outstanding: 153.18m
  • Website: https://www.pointsbet.com.au

Number of Employees


Location

  • PointsBet Holdings Limited
  • 165 Cremorne Street
  • Level 2
  • Cremorne
  • Victoria
  • 3121
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PBHASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2019
PBHCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2019
PBTH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 2019

Biography

PointsBet Holdings Limited provides sports and racing betting products and services through its cloud-based technology platform in Australia and New Jersey. It operates through Australian Trading, Technolo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/11 10:42
End of Day Share Price2020/08/10 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.