ASX:ANN

Stock Analysis Report

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Executive Summary

Ansell Limited designs, develops, and manufactures protection solutions in the Asia Pacific, Europe, the Middle East, Africa, Latin America, Caribbean, and North America. More Details


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: ANN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.8%

ANN

1.9%

AU Medical Equipment

-0.1%

AU Market


1 Year Return

28.0%

ANN

-0.3%

AU Medical Equipment

-12.0%

AU Market

Return vs Industry: ANN exceeded the Australian Medical Equipment industry which returned -0.3% over the past year.

Return vs Market: ANN exceeded the Australian Market which returned -12% over the past year.


Shareholder returns

ANNIndustryMarket
7 Day-2.8%1.9%-0.1%
30 Day-11.4%-7.5%-2.9%
90 Day2.9%1.5%1.1%
1 Year30.7%28.0%1.0%-0.3%-8.7%-12.0%
3 Year75.6%63.7%33.7%27.7%17.7%2.6%
5 Year104.2%79.9%98.9%84.8%44.5%14.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

21.5x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ANN (A$35.8) is trading above our estimate of fair value (A$31.77)

Significantly Below Fair Value: ANN is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ANN is good value based on its PE Ratio (21.5x) compared to the AU Medical Equipment industry average (22.1x).

PE vs Market: ANN is poor value based on its PE Ratio (21.5x) compared to the Australian market (19.8x).


Price to Earnings Growth Ratio

PEG Ratio: ANN is poor value based on its PEG Ratio (4.2x)


Price to Book Ratio

PB vs Industry: ANN is good value based on its PB Ratio (2.4x) compared to the AU Medical Equipment industry average (6.2x).


Next Steps

Future Growth

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

5.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ANN's forecast earnings growth (5.1% per year) is above the savings rate (2.3%).

Earnings vs Market: ANN's earnings (5.1% per year) are forecast to grow slower than the Australian market (19.4% per year).

High Growth Earnings: ANN's earnings are forecast to grow, but not significantly.

Revenue vs Market: ANN's revenue (4.1% per year) is forecast to grow slower than the Australian market (4.4% per year).

High Growth Revenue: ANN's revenue (4.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ANN's Return on Equity is forecast to be low in 3 years time (11.3%).


Next Steps

Past Performance

How has Ansell performed over the past 5 years?

-5.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ANN has high quality earnings.

Growing Profit Margin: ANN's current net profit margins (9.8%) are higher than last year (7.5%).


Past Earnings Growth Analysis

Earnings Trend: ANN's earnings have declined by 5.1% per year over the past 5 years.

Accelerating Growth: ANN's earnings growth over the past year (41.9%) exceeds its 5-year average (-5.1% per year).

Earnings vs Industry: ANN earnings growth over the past year (41.9%) exceeded the Medical Equipment industry 37.2%.


Return on Equity

High ROE: ANN's Return on Equity (11.4%) is considered low.


Next Steps

Financial Health

How is Ansell's financial position?


Financial Position Analysis

Short Term Liabilities: ANN's short term assets ($961.0M) exceed its short term liabilities ($408.4M).

Long Term Liabilities: ANN's short term assets ($961.0M) exceed its long term liabilities ($636.8M).


Debt to Equity History and Analysis

Debt Level: ANN's debt to equity ratio (37%) is considered satisfactory.

Reducing Debt: ANN's debt to equity ratio has reduced from 63.6% to 37% over the past 5 years.

Debt Coverage: ANN's debt is well covered by operating cash flow (56%).

Interest Coverage: ANN's interest payments on its debt are well covered by EBIT (15.2x coverage).


Balance Sheet


Next Steps

Dividend

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

1.91%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ANN's dividend (1.91%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.39%).

High Dividend: ANN's dividend (1.91%) is low compared to the top 25% of dividend payers in the Australian market (5.66%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (41.1%), ANN's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ANN's dividends in 3 years are forecast to be well covered by earnings (44.5% payout ratio).


Next Steps

Management

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

1.4yrs

Average management tenure


CEO

Magnus Nicolin (63 yo)

10.5yrs

Tenure

US$6,983,039

Compensation

Mr. Magnus R. Nicolin, BA (Stockholm), MBA (Wharton), has been the Chief Executive Officer and Managing Director of Ansell Limited since March 1, 2010. Mr. Nicolin served as the President of Europe, Middle ...


CEO Compensation Analysis

Compensation vs Market: Magnus's total compensation ($USD6.98M) is above average for companies of similar size in the Australian market ($USD2.11M).

Compensation vs Earnings: Magnus's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Magnus Nicolin
MD, CEO & Executive Director10.5yrsUS$6.98m0.27%
$ 12.6m
Zubair Javeed
Chief Financial Officer1.42yrsUS$1.14mno data
Neil Salmon
President of Industrial GBU1.42yrsUS$2.72m0.070%
$ 3.2m
Darryl Nazareth
President of Healthcare GBU1.42yrsUS$1.22m0.020%
$ 941.4k
John Marsden
Senior Vice President of Operations & Global Supply Chain1.42yrsno datano data
Deanna Johnston
Senior VP & Global Chief Information Officer0.33yrno datano data
Anita Chow
Director of Investor Relations & Treasury0.67yrno datano data
Michael Gilleece
Senior VP & Corporate General Counsel3.17yrsno datano data
Francois Le Jeune
Senior VP of Business Developmentno datano datano data
Amanda Manzoni
Chief Human Resources Officer1.25yrsno datano data
Joelle Haughey
Acting Head Human Resourcesno datano datano data
Rikard Fröberg
Chief Commercial Officer of EMEA & APAC Region and Senior VP3.17yrsno datano data

1.4yrs

Average Tenure

Experienced Management: ANN's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Magnus Nicolin
MD, CEO & Executive Director10.5yrsUS$6.98m0.27%
$ 12.6m
Marissa Peterson
Independent Non-Executive Director14.08yrsUS$171.00k0.018%
$ 846.6k
John Bevan
Independent Chairman0.83yrUS$279.17k0.023%
$ 1.1m
William Day
Independent Non-Executive Director13.08yrsUS$177.00k0.024%
$ 1.1m
Nigel Garrard
Independent Non-Executive Director0.50yrUS$49.33k0.0039%
$ 179.0k
William Reilly
Independent Non-Executive Director2.92yrsUS$153.00k0.046%
$ 2.1m
Christina Stercken
Independent Non-Executive Director2.92yrsUS$153.00k0.0042%
$ 192.8k
Leslie Desjardins
Independent Non-Executive Director4.83yrsUS$171.00k0.011%
$ 519.5k
Christine Yan
Independent Non-Executive Director1.42yrsUS$153.00k0.0023%
$ 107.7k

2.9yrs

Average Tenure

62yo

Average Age

Experienced Board: ANN's board of directors are not considered experienced ( 2.9 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: ANN 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

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


Key Information

  • Name: Ansell Limited
  • Ticker: ANN
  • Exchange: ASX
  • Founded: 1893
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Market Cap: AU$4.601b
  • Shares outstanding: 128.53m
  • Website: https://www.ansell.com

Number of Employees


Location

  • Ansell Limited
  • 678 Victoria Street
  • Level 3
  • Richmond
  • Victoria
  • 3121
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ANSL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
ANNASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992
PD1ADB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
ANNCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1992
ANSL.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDOct 2007

Biography

Ansell Limited designs, develops, and manufactures protection solutions in the Asia Pacific, Europe, the Middle East, Africa, Latin America, Caribbean, and North America. It operates in two segments, Healt ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/18 19:04
End of Day Share Price2020/09/18 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.