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ELD

EldersASX:ELD Stock Report

Market Cap

AU$1.8b

7D

-0.4%

1Y

11.0%

Updated

07 Dec, 2021

Data

Company Financials +
ELD fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance4/6
Financial Health6/6
Dividends3/6

ELD Stock Overview

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

Elders Competitors

McGrath

ASX:MEA

AU$98.4m

Alloggio Group

ASX:ALO

AU$35.1m

Price History & Performance

Summary of all time highs, changes and price drops for Elders
Historical stock prices
Current Share PriceAU$11.38
52 Week HighAU$12.86
52 Week LowAU$9.66
Beta-0.0094
1 Month Change-6.72%
3 Month Change-4.37%
1 Year Change11.02%
3 Year Change72.69%
5 Year Change187.37%
Change since IPO-79.14%

Recent News & Updates

Oct 28
Are Investors Undervaluing Elders Limited (ASX:ELD) By 34%?

Are Investors Undervaluing Elders Limited (ASX:ELD) By 34%?

How far off is Elders Limited ( ASX:ELD ) from its intrinsic value? Using the most recent financial data, we'll take a...

Sep 15
Investors Could Be Concerned With Elders' (ASX:ELD) Returns On Capital

Investors Could Be Concerned With Elders' (ASX:ELD) Returns On Capital

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Firstly, we'll want to...

Shareholder Returns

ELDAU FoodAU Market
7D-0.4%-1.1%0.4%
1Y11.0%-3.9%9.3%

Return vs Industry: ELD exceeded the Australian Food industry which returned -4.3% over the past year.

Return vs Market: ELD exceeded the Australian Market which returned 8.9% over the past year.

Price Volatility

Is ELD's price volatile compared to industry and market?
ELD volatility
ELD Average Weekly Movement3.4%
Food Industry Average Movement7.3%
Market Average Movement8.3%
10% most volatile stocks in AU Market15.6%
10% least volatile stocks in AU Market3.7%

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

Volatility Over Time: ELD's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18392,300Mark Allisonhttps://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 CapAU$1.79b
Earnings (TTM)AU$149.78m
Revenue (TTM)AU$2.55b

11.9x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ELD income statement (TTM)
RevenueAU$2.55b
Cost of RevenueAU$2.03b
Gross ProfitAU$518.42m
ExpensesAU$368.65m
EarningsAU$149.78m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.95
Gross Margin20.34%
Net Profit Margin5.88%
Debt/Equity Ratio19.8%

How did ELD perform over the long term?

See historical performance and comparison

Dividends

3.9%

Current Dividend Yield

44%

Payout Ratio

Valuation

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

18.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ELD (A$11.38) is trading below our estimate of fair value (A$13.94)

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


Price To Earnings Ratio

PE vs Industry: ELD is good value based on its PE Ratio (11.9x) compared to the Australian Food industry average (17.5x).

PE vs Market: ELD is good value based on its PE Ratio (11.9x) compared to the Australian market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: ELD's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

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


Future Growth

How is Elders forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-2.6%

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 (-2.6% per year).

Earnings vs Market: ELD's earnings are forecast to decline over the next 3 years (-2.6% per year).

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

Revenue vs Market: ELD's revenue (2.3% per year) is forecast to grow slower than the Australian market (5.2% per year).

High Growth Revenue: ELD's revenue (2.3% per year) is forecast to grow slower than 20% 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 (14.1%).


Past Performance

How has Elders performed over the past 5 years?

12.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ELD has high quality earnings.

Growing Profit Margin: ELD's current net profit margins (5.9%) are higher than last year (5.9%).


Past Earnings Growth Analysis

Earnings Trend: ELD's earnings have grown by 12.3% per year over the past 5 years.

Accelerating Growth: ELD's earnings growth over the past year (21.8%) exceeds its 5-year average (12.3% per year).

Earnings vs Industry: ELD earnings growth over the past year (21.8%) underperformed the Food industry 106.9%.


Return on Equity

High ROE: ELD's Return on Equity (19.8%) is considered low.


Financial Health

How is Elders's financial position?


Financial Position Analysis

Short Term Liabilities: ELD's short term assets (A$1.2B) exceed its short term liabilities (A$923.4M).

Long Term Liabilities: ELD's short term assets (A$1.2B) exceed its long term liabilities (A$95.1M).


Debt to Equity History and Analysis

Debt Level: ELD's net debt to equity ratio (13.6%) is considered satisfactory.

Reducing Debt: ELD's debt to equity ratio has reduced from 65% to 19.8% over the past 5 years.

Debt Coverage: ELD's debt is well covered by operating cash flow (92.2%).

Interest Coverage: ELD's interest payments on its debt are well covered by EBIT (20.1x coverage).


Balance Sheet


Dividend

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

3.87%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ELD's dividend (3.87%) is higher than the bottom 25% of dividend payers in the Australian market (2.31%).

High Dividend: ELD's dividend (3.87%) is low compared to the top 25% of dividend payers in the Australian market (5.63%).


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 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (43.8%), ELD's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ELD's dividends in 3 years are forecast to be covered by earnings (55% payout ratio).


Next Steps

Management

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

3.9yrs

Average management tenure


CEO

Mark Allison (61 yo)

7.58yrs

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 ($USD2.09M) is above average for companies of similar size in the Australian market ($USD1.36M).

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 (3.9 years average tenure).


Board Members

Experienced Board: ELD's board of directors are considered experienced (5.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: ELD 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

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


Key Information

  • Name: Elders Limited
  • Ticker: ELD
  • Exchange: ASX
  • Founded: 1839
  • Industry: Agricultural Products
  • Sector: Food, Beverage & Tobacco
  • Market Cap: AU$1.785b
  • Shares outstanding: 156.87m
  • Website: https://elders.com.au

Number of Employees


Location

  • Elders Limited
  • 80 Grenfell Street
  • Level 10
  • Adelaide
  • South Australia
  • 5000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/07 15:59
End of Day Share Price2021/12/07 00:00
Earnings2021/09/30
Annual Earnings2021/09/30


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.