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CVC

CVCASX:CVC Stock Report

Market Cap

AU$259.3m

7D

0%

1Y

38.3%

Updated

16 Oct, 2021

Data

Company Financials
CVC fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health4/6
Dividends3/6

CVC Overview

CVC Limited is a venture capital and private equity firm specializing in, management buy-outs, seed/startup, early venture, mid venture, late venture, emerging growth, mezzanine, and growth capital investments.

Price History & Performance

Summary of all time highs, changes and price drops for CVC
Historical stock prices
Current Share PriceAU$2.22
52 Week HighAU$1.63
52 Week LowAU$2.45
Beta0.79
1 Month Change-5.93%
3 Month Change11.00%
1 Year Change38.32%
3 Year Change-18.68%
5 Year Change36.20%
Change since IPO1,485.71%

Recent News & Updates

Mar 10
Shareholders Of CVC (ASX:CVC) Must Be Happy With Their 83% Return

Shareholders Of CVC (ASX:CVC) Must Be Happy With Their 83% Return

Stock pickers are generally looking for stocks that will outperform the broader market. And while active stock picking...

Shareholder Returns

CVCAU Capital MarketsAU Market
7D0%1.9%0.9%
1Y38.3%21.7%20.2%

Return vs Industry: CVC exceeded the Australian Capital Markets industry which returned 21.7% over the past year.

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

Price Volatility

Is CVC's price volatile compared to industry and market?
CVC volatility
CVC Beta0.79
Industry Beta0.98
Market Beta1

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

Volatility Over Time: Insufficient data to determine CVC's volatility change over the past year.

About the Company

FoundedEmployeesCEOWebsite
1985n/aMark Averyhttps://www.cvc.com.au

CVC Limited is a venture capital and private equity firm specializing in, management buy-outs, seed/startup, early venture, mid venture, late venture, emerging growth, mezzanine, and growth capital investments. It prefers to invest in energy, transportation, healthcare, renewable energy technologies and fintech sector. The firm is providing investment capital to companies that engage in financing, property related investments, and packaging supplies in Australia.

CVC Fundamentals Summary

How do CVC's earnings and revenue compare to its market cap?
CVC fundamental statistics
Market CapAU$259.31m
Earnings (TTM)AU$19.49m
Revenue (TTM)AU$56.94m

13.3x

P/E Ratio

4.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CVC income statement (TTM)
RevenueAU$56.94m
Cost of RevenueAU$22.57m
Gross ProfitAU$34.37m
ExpensesAU$14.88m
EarningsAU$19.49m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.17
Gross Margin60.36%
Net Profit Margin34.23%
Debt/Equity Ratio41.6%

How did CVC perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

48%

Payout Ratio

Valuation

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

13.31x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CVC (A$2.22) is trading above our estimate of fair value (A$0.15)

Significantly Below Fair Value: CVC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CVC is good value based on its PE Ratio (13.3x) compared to the Australian Capital Markets industry average (16.3x).

PE vs Market: CVC is good value based on its PE Ratio (13.3x) compared to the Australian market (19.8x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CVC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CVC's PB Ratio (1.4x) is in line with the AU Capital Markets industry average.


Future Growth

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

9.1%

Forecasted Diversified Financials 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 CVC 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 CVC performed over the past 5 years?

-18.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CVC has a large one-off gain of A$8.5M impacting its June 30 2021 financial results.

Growing Profit Margin: CVC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CVC's earnings have declined by 18.7% per year over the past 5 years.

Accelerating Growth: CVC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CVC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (12.8%).


Return on Equity

High ROE: CVC's Return on Equity (12.8%) is considered low.


Financial Health

How is CVC's financial position?


Financial Position Analysis

Short Term Liabilities: CVC's short term assets (A$163.8M) exceed its short term liabilities (A$45.1M).

Long Term Liabilities: CVC's short term assets (A$163.8M) exceed its long term liabilities (A$97.4M).


Debt to Equity History and Analysis

Debt Level: CVC's debt to equity ratio (41.6%) is considered high.

Reducing Debt: CVC's debt to equity ratio has increased from 11.7% to 41.6% over the past 5 years.

Debt Coverage: CVC's debt is well covered by operating cash flow (39.4%).

Interest Coverage: CVC's interest payments on its debt are well covered by EBIT (5.1x coverage).


Balance Sheet


Dividend

What is CVC current dividend yield, its reliability and sustainability?

4.50%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CVC's dividend (4.5%) is higher than the bottom 25% of dividend payers in the Australian market (2.27%).

High Dividend: CVC's dividend (4.5%) is low compared to the top 25% of dividend payers in the Australian market (5.32%).


Stability and Growth of Payments

Stable Dividend: CVC's dividend payments have been volatile in the past 10 years.

Growing Dividend: CVC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (48%), CVC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.3yrs

Average board tenure


CEO

Mark Avery

2.17yrs

Tenure

AU$717,500

Compensation

Mr. Mark Anthony Avery, B.Com. Pl.Ds. (UOM), has been Chief Executive Officer at CVC Limited since August 1, 2019 and its Executive Director since July 1, 2019 and serves as its Managing Director.He serve...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD532.55K) is about average for companies of similar size in the Australian market ($USD555.78K).

Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.


Board Members

Experienced Board: CVC'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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

CVC Limited's employee growth, exchange listings and data sources


Key Information

  • Name: CVC Limited
  • Ticker: CVC
  • Exchange: ASX
  • Founded: 1985
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: AU$259.315m
  • Shares outstanding: 116.81m
  • Website: https://www.cvc.com.au

Location

  • CVC Limited
  • Suite 40.04, Level 40
  • Governor Phillip Tower
  • 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 Analysis2021/10/16 07:02
End of Day Share Price2021/10/11 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.