Wellard (ASX:WLD) - Stock price, News & Analysis

WLD fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	5/6
Financial Health	4/6
Dividends	0/6

WLD Stock Overview

Wellard Limited supplies livestock vessels and livestock in Asia, Mediterranean Basin, and the Middle East.

Rewards

Trading at 70.9% below our estimate of its fair value

Earnings grew by 976.3% over the past year

Risk Analysis

Volatile share price over the past 3 months

Does not have a meaningful market cap (A$58M)

Price History & Performance

Summary of all time highs, changes and price drops for Wellard
Historical stock prices
Current Share Price	AU$0.11
52 Week High	AU$0.14
52 Week Low	AU$0.055
Beta	0.70
1 Month Change	15.79%
3 Month Change	-4.35%
1 Year Change	80.33%
3 Year Change	100.00%
5 Year Change	-47.62%
Change since IPO	-92.09%

Recent News & Updates

Mar 07

Does Wellard (ASX:WLD) Have A Healthy Balance Sheet?

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Shareholder Returns

	WLD	AU Food	AU Market
7D	-8.3%	-3.4%	-0.5%
1Y	80.3%	-0.8%	10.4%

Return vs Industry: WLD exceeded the Australian Food industry which returned -0.8% over the past year.

Return vs Market: WLD exceeded the Australian Market which returned 10.4% over the past year.

Price Volatility

Is WLD's price volatile compared to industry and market?
WLD volatility
WLD Average Weekly Movement	14.1%
Food Industry Average Movement	6.1%
Market Average Movement	8.4%
10% most volatile stocks in AU Market	15.2%
10% least volatile stocks in AU Market	3.6%

Stable Share Price: WLD is more volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: WLD's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of Australian stocks.

About the Company

Founded	Employees	CEO	Website
1950	n/a	n/a	https://www.wellard.com.au

Wellard Limited supplies livestock vessels and livestock in Asia, Mediterranean Basin, and the Middle East. The company operates in two segments, Chartering and Trading. It engages in the logistics and transportation activities for the delivery of livestock, which include the carriage of cargo owned by third parties through its vessels; livestock marketing business; and buying livestock from various sources for export to buyers in international markets.

Wellard Fundamentals Summary

How do Wellard's earnings and revenue compare to its market cap?
WLD fundamental statistics
Market Cap	US$42.22m
Earnings (TTM)	US$1.86m
Revenue (TTM)	US$43.43m

22.7x

P/E Ratio

1.0x

P/S Ratio

Is WLD overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
WLD income statement (TTM)
Revenue	US$43.43m
Cost of Revenue	US$27.37m
Gross Profit	US$16.06m
Expenses	US$14.20m
Earnings	US$1.86m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.0035
Gross Margin	36.98%
Net Profit Margin	4.29%
Debt/Equity Ratio	2.6%

How did WLD perform over the long term?

See historical performance and comparison

Valuation

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

>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: WLD (A$0.11) is trading below our estimate of fair value (A$0.38)

Significantly Below Fair Value: WLD is trading below fair value by more than 20%.

Price To Earnings Ratio

PE vs Industry: WLD is poor value based on its PE Ratio (22.7x) compared to the Australian Food industry average (19.3x).

PE vs Market: WLD is poor value based on its PE Ratio (22.7x) compared to the Australian market (19.3x).

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: WLD is good value based on its PB Ratio (1x) compared to the AU Food industry average (1.4x).

Future Growth

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

11.1%

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 Wellard 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 Wellard performed over the past 5 years?

28.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: WLD has high quality earnings.

Growing Profit Margin: WLD's current net profit margins (4.3%) are higher than last year (0.3%).

Past Earnings Growth Analysis

Earnings Trend: WLD has become profitable over the past 5 years, growing earnings by 28.3% per year.

Accelerating Growth: WLD's earnings growth over the past year (976.3%) exceeds its 5-year average (28.3% per year).

Earnings vs Industry: WLD earnings growth over the past year (976.3%) exceeded the Food industry 106.9%.

Return on Equity

High ROE: WLD's Return on Equity (4.3%) is considered low.

Financial Health

How is Wellard's financial position?

Financial Position Analysis

Short Term Liabilities: WLD's short term assets ($9.7M) do not cover its short term liabilities ($13.0M).

Long Term Liabilities: WLD's short term assets ($9.7M) exceed its long term liabilities ($4.8M).

Debt to Equity History and Analysis

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

Reducing Debt: WLD's debt to equity ratio has reduced from 39.8% to 2.6% over the past 5 years.

Debt Coverage: WLD's debt is well covered by operating cash flow (951.7%).

Interest Coverage: WLD's interest payments on its debt are not well covered by EBIT (2.8x coverage).

Balance Sheet

Dividend

What is Wellard current dividend yield, its reliability and sustainability?

Dividend Yield vs Market

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

High Dividend: Unable to evaluate WLD'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 WLD's dividends per share have been stable in the past.

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

Current Payout to Shareholders

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

Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of WLD's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.

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?

5.2yrs

Average management tenure

CEO

Wellard has no CEO, or we have no data on them.

Leadership Team

Experienced Management: WLD's management team is seasoned and experienced (5.2 years average tenure).

Board Members

Experienced Board: WLD's board of directors are considered experienced (4.9 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	2022/01/17 16:37
End of Day Share Price	2022/01/17 00:00
Earnings	2021/06/30
Annual Earnings	2021/06/30