Elders (ASX:ELD) - Share price, News & Analysis

ELD fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	5/6
Financial Health	6/6
Dividends	2/6

ELD Stock Overview

Elders Limited provides livestock, real estate, and wool agency services to rural and regional customers primarily in Australia.

Rewards

Price-To-Earnings ratio (12.1x) is below the Australian market (15.8x)

Earnings grew by 24.1% over the past year

Risk Analysis

Earnings are forecast to decline by an average of 8.5% per year for the next 3 years

Dividend of 4.19% is not well covered by earnings

Elders Competitors

Costa Group Holdings

ASX:CGC

AU$1.4b

Select Harvests

ASX:SHV

AU$723.3m

Ridley

ASX:RIC

AU$543.1m

Lynch Group Holdings

ASX:LGL

AU$267.3m

Price History & Performance

Summary of all time highs, changes and price drops for Elders
Historical stock prices
Current Share Price	AU$13.38
52 Week High	AU$15.32
52 Week Low	AU$10.73
Beta	-0.0015
1 Month Change	-5.04%
3 Month Change	17.89%
1 Year Change	19.89%
3 Year Change	135.98%
5 Year Change	156.32%
Change since IPO	-75.47%

Recent News & Updates

May 25

Elders (ASX:ELD) Is Increasing Its Dividend To AU$0.28

Elders Limited ( ASX:ELD ) has announced that it will be increasing its dividend on the 17th of June to AU$0.28. The...

May 24

There Are Reasons To Feel Uneasy About Elders' (ASX:ELD) Returns On Capital

There are a few key trends to look for if we want to identify the next multi-bagger. Firstly, we'd want to identify a...

Shareholder Returns

	ELD	AU Food	AU Market
7D	-2.3%	2.1%	-0.4%
1Y	19.9%	-3.1%	-1.1%

Return vs Industry: ELD exceeded the Australian Food industry which returned -3.1% over the past year.

Return vs Market: ELD exceeded the Australian Market which returned -1.1% over the past year.

Price Volatility

Is ELD's price volatile compared to industry and market?
ELD volatility
ELD Average Weekly Movement	5.2%
Food Industry Average Movement	5.4%
Market Average Movement	9.3%
10% most volatile stocks in AU Market	16.4%
10% least volatile stocks in AU Market	4.2%

Stable Share Price: ELD is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: ELD's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1839	2,489	Mark Allison	https://elders.com.au

Elders Limited provides livestock, real estate, and wool agency services to rural and regional customers primarily in Australia. It operates through Branch Network, Wholesale Products, Feed and Processing Services, and Corporate Services and Other Costs segments. The company offers rural farm inputs, such as seeds, fertilizers, agricultural chemicals, animal health products, and general rural merchandise, as well as professional production and cropping advisory services; and provides retail services through corporate owned stores and through the Tucker Pet and Produce brand to independently owned member stores.

Elders Fundamentals Summary

How do Elders's earnings and revenue compare to its market cap?
ELD fundamental statistics
Market Cap	AU$2.09b
Earnings (TTM)	AU$172.74m
Revenue (TTM)	AU$2.96b

12.1x

P/E Ratio

0.7x

P/S Ratio

Is ELD overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
ELD income statement (TTM)
Revenue	AU$2.96b
Cost of Revenue	AU$2.36b
Gross Profit	AU$601.40m
Other Expenses	AU$428.66m
Earnings	AU$172.74m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Nov 14, 2022

Earnings per share (EPS)	1.10
Gross Margin	20.29%
Net Profit Margin	5.83%
Debt/Equity Ratio	33.6%

How did ELD perform over the long term?

See historical performance and comparison

Dividends

4.2%

Current Dividend Yield

45%

Payout Ratio

Does ELD pay a reliable dividends?

See ELD dividend history and benchmarks

When do you need to buy ELD by to receive an upcoming dividend?
Elders dividend dates
Ex Dividend Date	May 30 2022
Dividend Pay Date	Jun 17 2022
Days until Ex dividend	3 days
Days until Dividend pay date	21 days

Does ELD pay a reliable dividends?

See ELD dividend history and benchmarks

New valuation analysis is now available for all ASX stocks. This is in beta.

Future Growth

How is Elders forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-8.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: ELD's earnings are forecast to decline over the next 3 years (-8.5% per year).

Earnings vs Market: ELD's earnings are forecast to decline over the next 3 years (-8.5% per year).

High Growth Earnings: ELD's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ELD's revenue is expected to decline over the next 3 years (-1.4% per year).

High Growth Revenue: ELD's revenue is forecast to decline over the next 3 years (-1.4% per year).

Earnings per Share Growth Forecasts

Future Return on Equity

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

Past Performance

How has Elders performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

13.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ELD has high quality earnings.

Growing Profit Margin: ELD's current net profit margins (5.8%) are lower than last year (6.1%).

Past Earnings Growth Analysis

Earnings Trend: ELD's earnings have grown by 13.4% per year over the past 5 years.

Accelerating Growth: ELD's earnings growth over the past year (24.1%) exceeds its 5-year average (13.4% per year).

Earnings vs Industry: ELD earnings growth over the past year (24.1%) exceeded the Food industry 6.2%.

Return on Equity

High ROE: ELD's Return on Equity (21.5%) is considered high.

Financial Health

How is Elders's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: ELD's short term assets (A$1.5B) exceed its short term liabilities (A$1.2B).

Long Term Liabilities: ELD's short term assets (A$1.5B) exceed its long term liabilities (A$136.6M).

Debt to Equity History and Analysis

Debt Level: ELD's net debt to equity ratio (32.1%) is considered satisfactory.

Reducing Debt: ELD's debt to equity ratio has reduced from 95.6% to 33.6% over the past 5 years.

Debt Coverage: ELD's debt is well covered by operating cash flow (22.5%).

Interest Coverage: ELD's interest payments on its debt are well covered by EBIT (32.3x coverage).

Balance Sheet

Dividend

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

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

4.19%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: ELD's dividend (4.19%) is higher than the bottom 25% of dividend payers in the Australian market (2.6%).

High Dividend: ELD's dividend (4.19%) is low compared to the top 25% of dividend payers in the Australian market (6.23%).

Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, ELD has been paying a dividend for less than 10 years.

Growing Dividend: ELD's dividend payments have increased, but the company has only paid a dividend for 5 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (45.3%), ELD's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (175.8%), ELD's dividend payments are not well covered by cash flows.

Discover strong dividend paying companies

Management

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

4.3yrs

Average management tenure

CEO

Mark Allison (61 yo)

8yrs

Tenure

AU$2,962,581

Compensation

Mr. Mark Charles Allison, BAgrSc, BEcon, GDM, FAICD, AMP (HBS), has been the Chief Executive Officer and Managing Director of Elders Limited since May 1, 2014 and serves as its Director in December 2009. M...

CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD2.10M) is above average for companies of similar size in the Australian market ($USD1.37M).

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

Leadership Team

Experienced Management: ELD's management team is considered experienced (4.3 years average tenure).

Board Members

Experienced Board: ELD's board of directors are considered experienced (5.6 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 not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/26 00:00
End of Day Share Price	2022/05/26 00:00
Earnings	2022/03/31
Annual Earnings	2021/09/30