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VEA

Viva Energy GroupASX:VEA Stock Report

Market Cap

AU$3.7b

7D

-2.2%

1Y

36.6%

Updated

26 Oct, 2021

Data

Company Financials +
VEA fundamental analysis
Snowflake Score
Valuation2/6
Future Growth2/6
Past Performance3/6
Financial Health5/6
Dividends2/6

VEA Overview

Viva Energy Group Limited operates as an energy company in Australia, Singapore, and Papua New Guinea.

Price History & Performance

Summary of all time highs, changes and price drops for Viva Energy Group
Historical stock prices
Current Share PriceAU$2.33
52 Week HighAU$1.68
52 Week LowAU$2.59
Beta1.13
1 Month Change-0.87%
3 Month Change10.79%
1 Year Change36.56%
3 Year Change-11.29%
5 Year Changen/a
Change since IPO-20.90%

Recent News & Updates

Oct 13
Viva Energy Group's (ASX:VEA) Dividend Will Be Reduced To AU$0.062

Viva Energy Group's (ASX:VEA) Dividend Will Be Reduced To AU$0.062

Viva Energy Group Limited ( ASX:VEA ) has announced it will be reducing its dividend payable on the 22nd of October to...

Oct 05
We Think Viva Energy Group (ASX:VEA) Is Taking Some Risk With Its Debt

We Think Viva Energy Group (ASX:VEA) Is Taking Some Risk With Its Debt

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Sep 19
Returns At Viva Energy Group (ASX:VEA) Appear To Be Weighed Down

Returns At Viva Energy Group (ASX:VEA) Appear To Be Weighed Down

If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...

Shareholder Returns

VEAAU Oil and GasAU Market
7D-2.2%-3.2%0.8%
1Y36.6%48.1%24.4%

Return vs Industry: VEA underperformed the Australian Oil and Gas industry which returned 48.1% over the past year.

Return vs Market: VEA exceeded the Australian Market which returned 24.4% over the past year.

Price Volatility

Is VEA's price volatile compared to industry and market?
VEA volatility
VEA Beta1.13
Industry Beta1.29
Market Beta1

Stable Share Price: VEA is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: VEA's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2018n/aScott Wyatthttps://www.vivaenergy.com.au

Viva Energy Group Limited operates as an energy company in Australia, Singapore, and Papua New Guinea. The company operates through three segments: Retail, Fuels and Marketing; Refining; and Supply, Corporate and Overheads. The Retail, Fuels and Marketing segment supplies and markets fuel products through a network of approximately 1,300 retail service stations, as well as to other retail operators and wholesalers.

Viva Energy Group Fundamentals Summary

How do Viva Energy Group's earnings and revenue compare to its market cap?
VEA fundamental statistics
Market CapAU$3.71b
Earnings (TTM)AU$82.80m
Revenue (TTM)AU$12.96b

43.8x

P/E Ratio

0.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
VEA income statement (TTM)
RevenueAU$12.96b
Cost of RevenueAU$11.20b
Gross ProfitAU$1.76b
ExpensesAU$1.67b
EarningsAU$82.80m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.053
Gross Margin13.54%
Net Profit Margin0.64%
Debt/Equity Ratio4.8%

How did VEA perform over the long term?

See historical performance and comparison

Dividends

3.6%

Current Dividend Yield

94%

Payout Ratio

Valuation

Is Viva Energy Group undervalued compared to its fair value and its price relative to the market?

7.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VEA (A$2.33) is trading below our estimate of fair value (A$2.52)

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


Price To Earnings Ratio

PE vs Industry: VEA is poor value based on its PE Ratio (43.8x) compared to the Australian Oil and Gas industry average (30.2x).

PE vs Market: VEA is poor value based on its PE Ratio (43.8x) compared to the Australian market (20x).


Price to Earnings Growth Ratio

PEG Ratio: VEA is poor value based on its PEG Ratio (3.9x)


Price to Book Ratio

PB vs Industry: VEA is good value based on its PB Ratio (1.7x) compared to the AU Oil and Gas industry average (2.5x).


Future Growth

How is Viva Energy Group forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

11.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VEA's forecast earnings growth (11.3% per year) is above the savings rate (1.9%).

Earnings vs Market: VEA's earnings (11.3% per year) are forecast to grow slower than the Australian market (12.4% per year).

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

Revenue vs Market: VEA's revenue (9.5% per year) is forecast to grow faster than the Australian market (5.3% per year).

High Growth Revenue: VEA's revenue (9.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VEA's Return on Equity is forecast to be low in 3 years time (12.9%).


Past Performance

How has Viva Energy Group performed over the past 5 years?

-79.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VEA has a large one-off loss of A$197.3M impacting its June 30 2021 financial results.

Growing Profit Margin: VEA's current net profit margins (0.6%) are higher than last year (0.4%).


Past Earnings Growth Analysis

Earnings Trend: VEA's earnings have declined by 79.2% per year over the past 5 years.

Accelerating Growth: VEA's earnings growth over the past year (50.8%) exceeds its 5-year average (-79.2% per year).

Earnings vs Industry: VEA earnings growth over the past year (50.8%) exceeded the Oil and Gas industry -50.5%.


Return on Equity

High ROE: VEA's Return on Equity (3.8%) is considered low.


Financial Health

How is Viva Energy Group's financial position?


Financial Position Analysis

Short Term Liabilities: VEA's short term assets (A$2.6B) exceed its short term liabilities (A$2.4B).

Long Term Liabilities: VEA's short term assets (A$2.6B) do not cover its long term liabilities (A$2.7B).


Debt to Equity History and Analysis

Debt Level: VEA's debt to equity ratio (4.8%) is considered satisfactory.

Reducing Debt: VEA's debt to equity ratio has reduced from 40.3% to 4.8% over the past 5 years.

Debt Coverage: VEA's debt is well covered by operating cash flow (396.8%).

Interest Coverage: VEA's interest payments on its debt are well covered by EBIT (3.1x coverage).


Balance Sheet


Dividend

What is Viva Energy Group current dividend yield, its reliability and sustainability?

3.63%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: VEA's dividend (3.63%) is higher than the bottom 25% of dividend payers in the Australian market (2.23%).

High Dividend: VEA's dividend (3.63%) is low compared to the top 25% of dividend payers in the Australian market (5.32%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (93.9%), VEA's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: VEA's dividends in 3 years are forecast to be covered by earnings (58.9% payout ratio).


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Scott Wyatt

7.17yrs

Tenure

AU$1,890,449

Compensation

Mr. Scott A. Wyatt, BCA, has been the Chief Executive Officer and Director at Viva Energy Group Limited since August 13, 2014 and June 7, 2018 respectively. He serves as Managing Director at Viva Energy Gr...


CEO Compensation Analysis

Compensation vs Market: Scott's total compensation ($USD1.42M) is about average for companies of similar size in the Australian market ($USD1.79M).

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


Leadership Team

Experienced Management: VEA's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: VEA's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: VEA insiders have sold more shares than they have bought 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

Viva Energy Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Viva Energy Group Limited
  • Ticker: VEA
  • Exchange: ASX
  • Founded: 2018
  • Industry: Oil and Gas Refining and Marketing
  • Sector: Energy
  • Market Cap: AU$3.705b
  • Shares outstanding: 1.56b
  • Website: https://www.vivaenergy.com.au

Location

  • Viva Energy Group Limited
  • 720 Bourke Street
  • Level 16
  • Docklands
  • Victoria
  • 3008
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 07:02
End of Day Share Price2021/10/26 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.