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SEQ

Sequoia Financial GroupASX:SEQ Stock Report

Market Cap

AU$93.2m

7D

1.4%

1Y

101.4%

Updated

18 Oct, 2021

Data

Company Financials
SEQ fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance5/6
Financial Health6/6
Dividends1/6

SEQ Overview

Sequoia Financial Group Limited, an integrated financial services company, provides financial products and services to retail and wholesale clients, and third-party professional service firms primarily in Australia.

Price History & Performance

Summary of all time highs, changes and price drops for Sequoia Financial Group
Historical stock prices
Current Share PriceAU$0.70
52 Week HighAU$0.35
52 Week LowAU$0.74
Beta0.39
1 Month Change8.46%
3 Month Change19.49%
1 Year Change101.43%
3 Year Change113.64%
5 Year Change135.00%
Change since IPO76.25%

Recent News & Updates

May 13
Does Sequoia Financial Group (ASX:SEQ) Deserve A Spot On Your Watchlist?

Does Sequoia Financial Group (ASX:SEQ) Deserve A Spot On Your Watchlist?

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

Shareholder Returns

SEQAU Capital MarketsAU Market
7D1.4%1.9%0.9%
1Y101.4%21.7%20.2%

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

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

Price Volatility

Is SEQ's price volatile compared to industry and market?
SEQ volatility
SEQ Beta0.39
Industry Beta0.98
Market Beta1

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

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

About the Company

FoundedEmployeesCEOWebsite
n/an/aGarry Crolehttps://www.sequoia.com.au

Sequoia Financial Group Limited, an integrated financial services company, provides financial products and services to retail and wholesale clients, and third-party professional service firms primarily in Australia. It operates through Sequoia Wealth Group, Sequoia Professional Services Group, Sequoia Equity Markets Group, and Sequoia Direct Investment Group segments. The company provides licensing and support services, and merger and acquisitions corporate advices to accountants, financial planners, mortgage brokers, insurance advisers, equity market advisers, investment professionals, and corporate advisory business units; and offers compliance, marketing, coaching, education, research, and technical support services.

Sequoia Financial Group Fundamentals Summary

How do Sequoia Financial Group's earnings and revenue compare to its market cap?
SEQ fundamental statistics
Market CapAU$93.22m
Earnings (TTM)AU$5.55m
Revenue (TTM)AU$116.46m

16.8x

P/E Ratio

0.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SEQ income statement (TTM)
RevenueAU$116.46m
Cost of RevenueAU$97.78m
Gross ProfitAU$18.68m
ExpensesAU$13.14m
EarningsAU$5.55m

Dividends

1.7%

Current Dividend Yield

23%

Payout Ratio

Valuation

Is Sequoia Financial Group undervalued compared to its fair value and its price relative to the market?

16.8x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SEQ (A$0.71) is trading above our estimate of fair value (A$0.16)

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


Price To Earnings Ratio

PE vs Industry: SEQ is poor value based on its PE Ratio (16.8x) compared to the Australian Capital Markets industry average (16.3x).

PE vs Market: SEQ is good value based on its PE Ratio (16.8x) compared to the Australian market (19.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SEQ is overvalued based on its PB Ratio (2.3x) compared to the AU Capital Markets industry average (1.4x).


Future Growth

How is Sequoia Financial Group 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 Sequoia Financial Group 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 Sequoia Financial Group performed over the past 5 years?

40.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SEQ has high quality earnings.

Growing Profit Margin: SEQ's current net profit margins (4.8%) are higher than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: SEQ has become profitable over the past 5 years, growing earnings by 40.1% per year.

Accelerating Growth: SEQ's earnings growth over the past year (187.1%) exceeds its 5-year average (40.1% per year).

Earnings vs Industry: SEQ earnings growth over the past year (187.1%) exceeded the Capital Markets industry 12.8%.


Return on Equity

High ROE: SEQ's Return on Equity (13.5%) is considered low.


Financial Health

How is Sequoia Financial Group's financial position?


Financial Position Analysis

Short Term Liabilities: SEQ's short term assets (A$87.2M) exceed its short term liabilities (A$76.1M).

Long Term Liabilities: SEQ's short term assets (A$87.2M) exceed its long term liabilities (A$25.2M).


Debt to Equity History and Analysis

Debt Level: SEQ's debt to equity ratio (0.8%) is considered satisfactory.

Reducing Debt: SEQ's debt to equity ratio has reduced from 22.2% to 0.8% over the past 5 years.

Debt Coverage: SEQ's debt is well covered by operating cash flow (5272.6%).

Interest Coverage: SEQ's interest payments on its debt are well covered by EBIT (39.1x coverage).


Balance Sheet


Dividend

What is Sequoia Financial Group current dividend yield, its reliability and sustainability?

1.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SEQ's dividend (1.7%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.27%).

High Dividend: SEQ's dividend (1.7%) is low compared to the top 25% of dividend payers in the Australian market (5.32%).


Stability and Growth of Payments

Stable Dividend: SEQ has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: SEQ's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (23.1%), SEQ'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?

2.6yrs

Average management tenure


CEO

Garry Crole (58 yo)

2.67yrs

Tenure

AU$532,724

Compensation

Mr. Garry Peter Crole serves as Managing Director of Sequoia Financial Group Ltd. and also serves as its Chief Executive Officer since August 2020. Mr. Crole served as an Acting Chief Executive Officer of...


CEO Compensation Analysis

Compensation vs Market: Garry's total compensation ($USD395.40K) is above average for companies of similar size in the Australian market ($USD302.72K).

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


Leadership Team

Experienced Management: SEQ's management team is considered experienced (2.6 years average tenure).


Board Members

Experienced Board: SEQ's board of directors are not considered experienced ( 2.6 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: 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 3.8%.


Top Shareholders

Company Information

Sequoia Financial Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Sequoia Financial Group Limited
  • Ticker: SEQ
  • Exchange: ASX
  • Founded: NaN
  • Industry: Investment Banking and Brokerage
  • Sector: Diversified Financials
  • Market Cap: AU$93.218m
  • Shares outstanding: 132.22m
  • Website: https://www.sequoia.com.au

Number of Employees


Location

  • Sequoia Financial Group Limited
  • 7 Macquarie Place
  • Level 7
  • 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 Analysis2021/10/18 15:35
End of Day Share Price2021/10/18 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.