ASX:FFI

Stock Analysis Report

Executive Summary

FFI Holdings Limited, a food processing company, engages in the processing, manufacture, packaging, and distribution of food products in Australia.

Snowflake

Fundamentals

Excellent balance sheet with proven track record and pays a dividend.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

FFI

-0.3%

AU Food

0.7%

AU Market


1 Year Return

5.3%

FFI

-9.6%

AU Food

11.0%

AU Market

Return vs Industry: FFI exceeded the Australian Food industry which returned -9.6% over the past year.

Return vs Market: FFI underperformed the Australian Market which returned 11% over the past year.


Shareholder returns

FFIIndustryMarket
7 Day0%-0.3%0.7%
30 Day-10.8%2.7%-0.2%
90 Day-5.4%-3.7%-0.1%
1 Year10.7%5.3%-7.0%-9.6%17.4%11.0%
3 Year37.8%18.6%-0.4%-5.3%36.3%18.0%
5 Year42.8%8.2%41.0%29.3%51.4%17.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

13.67x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: FFI (A$4.21) is trading above our estimate of fair value (A$2.76)

Significantly Undervalued: FFI is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FFI is good value based on its PE Ratio (13.7x) compared to the Food industry average (25.3x).

PE vs Market: FFI is good value based on its PE Ratio (13.7x) compared to the Australian market (17.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FFI is overvalued based on its PB Ratio (1.3x) compared to the AU Food industry average (1.2x).


Next Steps

Future Growth

How is FFI Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-3.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FFI's earnings are forecast to decline over the next 3 years (-3.1% per year).

Earnings vs Market: FFI's earnings are forecast to decline over the next 3 years (-3.1% per year).

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

Revenue vs Market: Insufficient data to determine if FFI's revenue is forecast to grow faster than the Australian market.

High Growth Revenue: Insufficient data to determine if FFI's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if FFI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has FFI Holdings performed over the past 5 years?

-1.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: FFI's earnings have declined by -1.5% per year over the past 5 years.

Accelerating Growth: FFI's earnings growth over the past year (42.4%) exceeds its 5-year average (-1.5% per year).

Earnings vs Industry: FFI earnings growth over the past year (42.4%) exceeded the Food industry -28.6%.


Return on Equity

High ROE: FFI's Return on Equity (9.2%) is considered low.


Return on Assets

ROA vs Industry: FFI has a higher Return on Assets than the Food industry average last year.


Return on Capital Employed

ROCE Improving: FFI has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is FFI Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: FFI's short term assets (A$12.6M) exceeds its short term liabilities (A$9.0M)

Long Term Liabilities: FFI's short term assets (12.6M) exceeds its long term liabilities (5.5M)


Debt to Equity History and Analysis

Debt Level: FFI's debt to equity ratio (12.5%) is considered satisfactory

Reducing Debt: FFI's debt to equity ratio has increased from 10.3% to 12.5% over the past 5 years.

Debt Coverage: FFI's debt is well covered by operating cash flow (59.8%).

Interest Coverage: FFI's interest payments on its debt are well covered by EBIT (25.5x coverage).


Balance Sheet

Inventory Level: FFI has a high level of physical assets or inventory.

Debt Coverage by Assets: FFI's debt is covered by short term assets (assets are 2.791920x debt).


Next Steps

Dividend

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

5.70%

Current Dividend Yield


Dividend Yield vs Market

company5.7%marketbottom25%2.5%markettop25%5.6%industryaverage3.1%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: FFI's dividend (5.7%) is higher than the bottom 25% of dividend payers in the Australian market (2.49%).

High Dividend: FFI's dividend (5.7%) is in the top 25% of dividend payers in the Australian market (5.56%)

Stable Dividend: FFI's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (71.4%), FFI's dividend payments are 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

What is the CEO of FFI Holdings's salary, the management and board of directors tenure and is there insider trading?

29.8yrs

Average board tenure


CEO

Geoffrey Nicholson 0

0.3yrs

Tenure

AU$211,804

Compensation

Mr. Geoffrey Wayne Nicholson has been an Executive Director of FFI Holdings Limited since September 2, 1986 and serves as its General Manager. Mr. Nicholson serves as Managing Director of Ffi Holdings Ltd. ...


CEO Compensation Analysis

Compensation vs. Market: Geoffrey has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Australian market.

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


Board Age and Tenure

29.8yrs

Average Tenure

Experienced Board: FFI's board of directors are seasoned and experienced ( 29.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyAU$456,68707 Oct 19
Phoenix Portfolios Pty Ltd.
EntityCompany
Shares113,913
Max PriceAU$4.01
SellAU$11,58907 Oct 19
Phoenix Portfolios Pty Ltd.
EntityCompany
Shares2,890
Max PriceAU$4.01
BuyAU$16307 Mar 19
Robert Fraser
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares40
Max PriceAU$4.07
BuyAU$10,25024 Feb 19
Robert Fraser
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares2,500
Max PriceAU$4.10
BuyAU$54,60021 Feb 19
Robert Fraser
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares13,000
Max PriceAU$4.20
BuyAU$17,10814 Nov 18
Geoffrey Nicholson
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares4,277
Max PriceAU$4.00

Ownership Breakdown


Management Team

  • Rodney Moonen

    Chairman & Company Secretary

    • Tenure: 29.8yrs
    • Compensation: AU$162.00k
  • Robert Strong

    Managing Director of Tradition Smallgoods Pty Ltd

    • Tenure: 0yrs
    • Compensation: AU$152.28k
  • Geoffrey Nicholson

    MD & Executive Director

    • Tenure: 0.3yrs
    • Compensation: AU$211.80k
  • Brett Matthews

    Group General Manager

    • Tenure: 0yrs
    • Compensation: AU$206.89k

Board Members

  • Rob Fraser (53yo)

    Non-Executive Director

    • Tenure: 8yrs
    • Compensation: AU$40.00k
  • Rodney Moonen

    Chairman & Company Secretary

    • Tenure: 29.8yrs
    • Compensation: AU$162.00k
  • Geoffrey Nicholson

    MD & Executive Director

    • Tenure: 0.3yrs
    • Compensation: AU$211.80k

Company Information

FFI Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FFI Holdings Limited
  • Ticker: FFI
  • Exchange: ASX
  • Founded: 1979
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: AU$45.301m
  • Shares outstanding: 10.76m
  • Website: https://www.ffiholdings.com.au

Location

  • FFI Holdings Limited
  • 19-23 Knock Place
  • Jandakot
  • Western Australia
  • 6164
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FFIASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992

Biography

FFI Holdings Limited, a food processing company, engages in the processing, manufacture, packaging, and distribution of food products in Australia. The company operates through Bakery, Smallgoods, and Inve ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 10:32
End of Day Share Price2019/10/02 00:00
Earnings2019/06/30
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.