Rare Foods Australia (ASX:RFA) - Share price, News & Analysis

RFA fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	0/6
Past Performance	0/6
Financial Health	5/6
Dividends	0/6

RFA Stock Overview

Rare Foods Australia Limited owns and operates an abalone sea ranching business in Australia, Asia, Europe, and North America.

Risk Analysis

Earnings have declined by 6.2% per year over past 5 years

Has less than 1 year of cash runway

Does not have a meaningful market cap (A$12M)

Does not have meaningful revenue (A$4M)

Rare Foods Australia Peers

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Price History & Performance

Summary of all time highs, changes and price drops for Rare Foods Australia
Historical stock prices
Current Share Price	AU$0.061
52 Week High	AU$0.096
52 Week Low	AU$0.06
Beta	0.55
1 Month Change	1.67%
3 Month Change	-20.78%
1 Year Change	-22.79%
3 Year Change	-61.88%
5 Year Change	n/a
Change since IPO	-75.60%

Recent News & Updates

Jan 11

Read This Before Buying Ocean Grown Abalone Limited (ASX:OGA) Shares

We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. The...

Shareholder Returns

	RFA	AU Food	AU Market
7D	0%	-0.2%	-2.1%
1Y	-22.8%	-8.2%	0.5%

Return vs Industry: RFA underperformed the Australian Food industry which returned -8.2% over the past year.

Return vs Market: RFA underperformed the Australian Market which returned 0.5% over the past year.

Price Volatility

Is RFA's price volatile compared to industry and market?
RFA volatility
RFA Average Weekly Movement	7.1%
Food Industry Average Movement	5.8%
Market Average Movement	9.4%
10% most volatile stocks in AU Market	16.5%
10% least volatile stocks in AU Market	4.3%

Stable Share Price: RFA is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: RFA's weekly volatility (7%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2011	n/a	Rob Jorden	https://rarefoodsaustralia.com.au

Rare Foods Australia Limited owns and operates an abalone sea ranching business in Australia, Asia, Europe, and North America. It develops its sea ranching for aquaculture. The company produces wild, ocean grown, and green lip abalones.

Rare Foods Australia Fundamentals Summary

How do Rare Foods Australia's earnings and revenue compare to its market cap?
RFA fundamental statistics
Market Cap	AU$12.04m
Earnings (TTM)	-AU$1.89m
Revenue (TTM)	AU$3.81m

3.2x

P/S Ratio

-6.5x

P/E Ratio

Is RFA overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
RFA income statement (TTM)
Revenue	AU$3.81m
Cost of Revenue	AU$2.64m
Gross Profit	AU$1.17m
Other Expenses	AU$3.06m
Earnings	-AU$1.89m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	-0.0094
Gross Margin	30.65%
Net Profit Margin	-49.74%
Debt/Equity Ratio	0.5%

How did RFA perform over the long term?

See historical performance and comparison

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

Future Growth

How is Rare Foods Australia forecast to perform in the next 1 to 3 years based on estimates from 0 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

10.2%

Forecasted Food, Beverage & Tobacco 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 Rare Foods Australia 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 Rare Foods Australia performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

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

-6.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: RFA is currently unprofitable.

Growing Profit Margin: RFA is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: RFA is unprofitable, and losses have increased over the past 5 years at a rate of 6.2% per year.

Accelerating Growth: Unable to compare RFA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: RFA is unprofitable, making it difficult to compare its past year earnings growth to the Food industry (5.1%).

Return on Equity

High ROE: RFA has a negative Return on Equity (-13.81%), as it is currently unprofitable.

Financial Health

How is Rare Foods Australia's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: RFA's short term assets (A$7.6M) exceed its short term liabilities (A$984.8K).

Long Term Liabilities: RFA's short term assets (A$7.6M) exceed its long term liabilities (A$1.6M).

Debt to Equity History and Analysis

Debt Level: RFA has more cash than its total debt.

Reducing Debt: RFA's debt to equity ratio has reduced from 124.7% to 0.5% over the past 5 years.

Balance Sheet

Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: RFA has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: RFA has less than a year of cash runway if free cash flow continues to grow at historical rates of 24.9% each year.

Dividend

What is Rare Foods Australia current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

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

Dividend Yield vs Market

Notable Dividend: Unable to evaluate RFA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate RFA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if RFA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if RFA's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as RFA has not reported any payouts.

Next Steps

Explore strong dividend paying companies in the Food, Beverage & Tobacco industry.

Management

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

1.2yrs

Average management tenure

CEO

Rob Jorden

1.17yrs

Tenure

AU$213,178

Compensation

Mr. Robert Jorden, also known as Rob, serves as Chief Executive Officer at Rare Foods Australia Limited (formerly known as Ocean Grown Abalone Limited) since March 09, 2021. He has to initially focus on th...

CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD147.50K) is below average for companies of similar size in the Australian market ($USD284.65K).

Compensation vs Earnings: Insufficient data to compare Rob's compensation with company performance.

Leadership Team

Experienced Management: RFA's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.

Board Members

Experienced Board: RFA's board of directors are considered experienced (6.9 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	2022/05/16 00:00
End of Day Share Price	2022/05/16 00:00
Earnings	2021/12/31
Annual Earnings	2021/06/30