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RDH

RedHill EducationASX:RDH Stock Report

Market Cap

AU$59.7m

7D

4.6%

1Y

90.0%

Updated

17 Oct, 2021

Data

Company Financials
RDH fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health6/6
Dividends0/6

RDH Overview

RedHill Education Limited engages in the education business in Australia, Europe, and South America.

Price History & Performance

Summary of all time highs, changes and price drops for RedHill Education
Historical stock prices
Current Share PriceAU$1.14
52 Week HighAU$0.52
52 Week LowAU$1.18
Beta1.02
1 Month Change22.58%
3 Month Change31.03%
1 Year Change90.00%
3 Year Change-66.96%
5 Year Change37.35%
Change since IPO-5.00%

Recent News & Updates

May 14
Some Investors May Be Worried About RedHill Education's (ASX:RDH) Returns On Capital

Some Investors May Be Worried About RedHill Education's (ASX:RDH) Returns On Capital

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Typically, we'll...

Jan 18
Does RedHill Education's (ASX:RDH) CEO Salary Compare Well With Industry Peers?

Does RedHill Education's (ASX:RDH) CEO Salary Compare Well With Industry Peers?

Glenn Elith has been the CEO of RedHill Education Limited ( ASX:RDH ) since 2012, and this article will examine the...

Shareholder Returns

RDHAU Consumer ServicesAU Market
7D4.6%3.6%0.9%
1Y90.0%58.1%20.2%

Return vs Industry: RDH exceeded the Australian Consumer Services industry which returned 58.1% over the past year.

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

Price Volatility

Is RDH's price volatile compared to industry and market?
RDH volatility
RDH Beta1.02
Industry Beta0.95
Market Beta1

Stable Share Price: RDH is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: RDH's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2006n/aGlenn Elithhttps://www.redhilleducation.com

RedHill Education Limited engages in the education business in Australia, Europe, and South America. It operates through three segments: Technology & Design, Greenwich, and Go Study. The Technology & Design segment provides face-to-face and online courses in information technology, digital design, interactive multimedia, computer coding, digital marketing, games and apps programming, as well as interior designing services.

RedHill Education Fundamentals Summary

How do RedHill Education's earnings and revenue compare to its market cap?
RDH fundamental statistics
Market CapAU$59.67m
Earnings (TTM)-AU$455.00k
Revenue (TTM)AU$43.67m

1.4x

P/S Ratio

-131.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RDH income statement (TTM)
RevenueAU$43.67m
Cost of RevenueAU$33.58m
Gross ProfitAU$10.09m
ExpensesAU$10.54m
Earnings-AU$455.00k

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.0087
Gross Margin23.10%
Net Profit Margin-1.04%
Debt/Equity Ratio0%

How did RDH perform over the long term?

See historical performance and comparison

Valuation

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

13.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RDH (A$1.14) is trading below our estimate of fair value (A$1.32)

Significantly Below Fair Value: RDH is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: RDH is overvalued based on its PB Ratio (11.4x) compared to the AU Consumer Services industry average (2.6x).


Future Growth

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

40.4%

Forecasted Consumer 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 RedHill Education 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 RedHill Education performed over the past 5 years?

-65.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RDH is currently unprofitable.

Growing Profit Margin: RDH is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RDH is unprofitable, and losses have increased over the past 5 years at a rate of 65.4% per year.

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

Earnings vs Industry: RDH is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Services industry (43.2%).


Return on Equity

High ROE: RDH has a negative Return on Equity (-8.7%), as it is currently unprofitable.


Financial Health

How is RedHill Education's financial position?


Financial Position Analysis

Short Term Liabilities: RDH's short term assets (A$34.0M) exceed its short term liabilities (A$29.3M).

Long Term Liabilities: RDH's short term assets (A$34.0M) exceed its long term liabilities (A$16.0M).


Debt to Equity History and Analysis

Debt Level: RDH is debt free.

Reducing Debt: RDH has not had any debt for 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: Whilst unprofitable RDH has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: RDH is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 35.9% per year.


Dividend

What is RedHill Education current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

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


Future Payout to Shareholders

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

3.3yrs

Average management tenure


CEO

Glenn Elith

9.42yrs

Tenure

AU$715,095

Compensation

Mr. Glenn Elith, B Bus (UTS), CA has been the Chief Executive Officer, Managing Director and Executive Director of Redhill Education Limited since May 11, 2012 and served as its Chief Financial Officer si...


CEO Compensation Analysis

Compensation vs Market: Glenn's total compensation ($USD530.76K) is above average for companies of similar size in the Australian market ($USD302.72K).

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


Leadership Team

Experienced Management: RDH's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: RDH's board of directors are considered experienced (5.8 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 been diluted in the past year, with total shares outstanding growing by 2.9%.


Top Shareholders

Company Information

RedHill Education Limited's employee growth, exchange listings and data sources


Key Information

  • Name: RedHill Education Limited
  • Ticker: RDH
  • Exchange: ASX
  • Founded: 2006
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: AU$59.673m
  • Shares outstanding: 52.34m
  • Website: https://www.redhilleducation.com

Location

  • RedHill Education Limited
  • 7 Kelly Street
  • Level 2
  • Ultimo
  • New South Wales
  • 2007
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/17 07:05
End of Day Share Price2021/10/15 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.