ASX:MNY

Stock Analysis Report

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Executive Summary

Money3 Corporation Limited provides automotive finance in Australia and New Zealand.


Snowflake Analysis

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has Money3's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

11.2%

MNY

28.0%

AU Consumer Finance

4.0%

AU Market


1 Year Return

-9.6%

MNY

12.1%

AU Consumer Finance

-7.0%

AU Market

Return vs Industry: MNY underperformed the Australian Consumer Finance industry which returned 12.1% over the past year.

Return vs Market: MNY underperformed the Australian Market which returned -7% over the past year.


Shareholder returns

MNYIndustryMarket
7 Day11.2%28.0%4.0%
30 Day27.9%59.3%12.2%
90 Day-21.7%20.7%-2.5%
1 Year-5.8%-9.6%14.4%12.1%-3.1%-7.0%
3 Year69.3%48.0%49.1%36.6%19.0%3.3%
5 Year80.3%45.2%-15.7%-30.7%33.9%5.0%

Price Volatility Vs. Market

How volatile is Money3's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Money3 undervalued compared to its fair value and its price relative to the market?

12.11x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: MNY (A$1.88) is trading above our estimate of fair value (A$1.43)

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


Price To Earnings Ratio

PE vs Industry: MNY is poor value based on its PE Ratio (12.1x) compared to the Consumer Finance industry average (10.6x).

PE vs Market: MNY is good value based on its PE Ratio (12.1x) compared to the Australian market (16x).


Price to Earnings Growth Ratio

PEG Ratio: MNY is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: MNY is good value based on its PB Ratio (1.4x) compared to the AU Consumer Finance industry average (2x).


Next Steps

Future Growth

How is Money3 forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

18.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MNY's forecast earnings growth (18.3% per year) is above the savings rate (2.3%).

Earnings vs Market: MNY's earnings (18.3% per year) are forecast to grow faster than the Australian market (15% per year).

High Growth Earnings: MNY's earnings are forecast to grow, but not significantly.

Revenue vs Market: MNY's revenue (11.8% per year) is forecast to grow faster than the Australian market (4.2% per year).

High Growth Revenue: MNY's revenue (11.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MNY's Return on Equity is forecast to be low in 3 years time (13.6%).


Next Steps

Past Performance

How has Money3 performed over the past 5 years?

11.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MNY has high quality earnings.

Growing Profit Margin: MNY's current net profit margins (24.8%) are lower than last year (32.4%).


Past Earnings Growth Analysis

Earnings Trend: MNY's earnings have grown by 11.9% per year over the past 5 years.

Accelerating Growth: MNY's earnings growth over the past year (62.3%) exceeds its 5-year average (11.9% per year).

Earnings vs Industry: MNY earnings growth over the past year (62.3%) exceeded the Consumer Finance industry 14.1%.


Return on Equity

High ROE: MNY's Return on Equity (11.2%) is considered low.


Next Steps

Financial Health

How is Money3's financial position?


Financial Position Analysis

Short Term Liabilities: MNY's short term assets (A$150.7M) exceed its short term liabilities (A$116.7M).

Long Term Liabilities: MNY's short term assets (A$150.7M) exceed its long term liabilities (A$49.7M).


Debt to Equity History and Analysis

Debt Level: MNY's debt to equity ratio (56.9%) is considered high.

Reducing Debt: MNY's debt to equity ratio has increased from 34% to 56.9% over the past 5 years.

Debt Coverage: MNY's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: MNY's interest payments on its debt are well covered by EBIT (4x coverage).


Balance Sheet


Next Steps

Dividend

What is Money3's current dividend yield, its reliability and sustainability?

5.32%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MNY's dividend (5.32%) is higher than the bottom 25% of dividend payers in the Australian market (2.47%).

High Dividend: MNY's dividend (5.32%) is low compared to the top 25% of dividend payers in the Australian market (6.45%).


Stability and Growth of Payments

Stable Dividend: MNY's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64.4%), MNY's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MNY's dividends in 3 years are forecast to be covered by earnings (56.4% payout ratio).


Next Steps

Management

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

3.4yrs

Average management tenure


CEO

Scott Baldwin

4.75yrs

Tenure

AU$1,404,515

Compensation

Mr. Scott Joseph Baldwin, B.Eng (Hons) MBA GAICD has been Managing Director of Money3 Corporation Limited since September 29, 2015 and also serves as its Chief Executive Officer and Executive Director. Mr. ...


CEO Compensation Analysis

Compensation vs Market: Scott's total compensation ($USD981.22K) is above average for companies of similar size in the Australian market ($USD471.32K).

Compensation vs Earnings: Scott's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Scott Baldwin
CEO, MD & Executive Director4.75yrsAU$1.40m0.37% A$1.3m
Siva Subramani
Chief Financial Officer2.25yrsAU$474.14k0.027% A$93.5k
Rob Camilleri
Chief Information Officer3.42yrsAU$350.65k0.026% A$91.6k
Craig Harris
General Manager of Lendingno dataAU$585.02k1.27% A$4.4m
Michael Neville
Chief Operating Officer1yrno datano data
Julian Cook
Head of Marketingno datano datano data
Terri-Anne Bakos
Company Secretary3.67yrsno datano data
Roy Gormley
Chief Executive Officer of Go Car Finance - New Zealandno datano datano data

3.4yrs

Average Tenure

Experienced Management: MNY's management team is considered experienced (3.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Scott Baldwin
CEO, MD & Executive Director4.75yrsAU$1.40m0.37% A$1.3m
Kate Robb
Independent Non-Executive Director0.75yrno data0.020% A$69.6k
Symon Brewis-Weston
Independent Non-Executive Director1.58yrsAU$63.69k0.022% A$76.6k
Stuart Robertson
Chairman1.58yrsAU$251.63k0.43% A$1.5m

1.6yrs

Average Tenure

Experienced Board: MNY's board of directors are not considered experienced ( 1.6 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: MNY 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

Money3 Corporation Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Money3 Corporation Limited
  • Ticker: MNY
  • Exchange: ASX
  • Founded:
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: AU$348.336m
  • Shares outstanding: 185.29m
  • Website: https://www.money3.com.au

Number of Employees


Location

  • Money3 Corporation Limited
  • 40 Graduate Road
  • Level 1
  • Bundoora
  • Victoria
  • 3083
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MNYASX (Australian Securities Exchange)YesOrdinary SharesAUAUDOct 2006
MNYCHIA (Chi-X Australia)YesOrdinary SharesAUAUDOct 2006

Biography

Money3 Corporation Limited provides automotive finance in Australia and New Zealand. The company offers vehicle loans that include loans for new and used cars, campervans, vans, minibuses, motorbikes, caravans, utes, trailers, boats, jet skis, trucks, ride on mowers, and tractors. It also provides secured and unsecured personal, and cash loans. The company provides loans through brokers under the Money3 and GoCarFinance brand names. Money3 Corporation Limited is headquartered in Bundoora, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 10:40
End of Day Share Price2020/06/05 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.