ASX:AZV

Stock Analysis Report

Executive Summary

Azure Healthcare Limited, together with its subsidiaries, manufactures, services, supplies, and distributes healthcare and electronic communications equipment in Australia, New Zealand, Asia, Europe, and North America.


Snowflake Analysis

Flawless balance sheet and undervalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AZV's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-15.4%

AZV

4.3%

AU Medical Equipment

0.1%

AU Market


1 Year Return

-12.7%

AZV

-1.7%

AU Medical Equipment

-22.8%

AU Market

Return vs Industry: AZV underperformed the Australian Medical Equipment industry which returned -1.7% over the past year.

Return vs Market: AZV exceeded the Australian Market which returned -22.8% over the past year.


Shareholder returns

AZVIndustryMarket
7 Day-15.4%4.3%0.1%
30 Day-52.2%-23.9%-28.8%
90 Day-40.2%-27.1%-30.1%
1 Year-12.5%-12.7%-0.04%-1.7%-19.4%-22.8%
3 Year-47.5%-47.6%17.8%12.4%-9.5%-21.7%
5 Year-82.5%-82.8%57.1%43.7%2.1%-20.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Azure Healthcare 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: AZV (A$0.06) is trading below our estimate of fair value (A$0.13)

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


Price To Earnings Ratio

PE vs Industry: AZV is good value based on its PE Ratio (6.8x) compared to the Medical Equipment industry average (15.7x).

PE vs Market: AZV is good value based on its PE Ratio (6.8x) compared to the Australian market (12.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AZV is good value based on its PB Ratio (1.1x) compared to the AU Medical Equipment industry average (3.2x).


Next Steps

Future Growth

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

37.2%

Forecasted Healthcare 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 Azure Healthcare 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.


Next Steps

Past Performance

How has Azure Healthcare performed over the past 5 years?

19.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AZV has high quality earnings.

Growing Profit Margin: AZV's current net profit margins (5.7%) are higher than last year (1%).


Past Earnings Growth Analysis

Earnings Trend: AZV has become profitable over the past 5 years, growing earnings by 19.9% per year.

Accelerating Growth: AZV's earnings growth over the past year (554.5%) exceeds its 5-year average (19.9% per year).

Earnings vs Industry: AZV earnings growth over the past year (554.5%) exceeded the Medical Equipment industry 14.7%.


Return on Equity

High ROE: AZV's Return on Equity (13.2%) is considered low.


Next Steps

Financial Health

How is Azure Healthcare's financial position?


Financial Position Analysis

Short Term Liabilities: AZV's short term assets (A$18.7M) exceed its short term liabilities (A$8.0M).

Long Term Liabilities: AZV's short term assets (A$18.7M) exceed its long term liabilities (A$708.0K).


Debt to Equity History and Analysis

Debt Level: AZV's debt to equity ratio (0.4%) is considered satisfactory.

Reducing Debt: AZV's debt to equity ratio has reduced from 8.3% to 0.4% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: AZV's debt is covered by short term assets (assets are 323.2x debt).


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: AZV is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: AZV is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: AZV is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

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


Next Steps

Management

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

4.4yrs

Average board tenure


CEO

Clayton Astles

4.67s

Tenure

AU$770,507

Compensation

Mr. Clayton Astles has been the Chief Executive Officer of Azure Healthcare Limited since July 31, 2015. Mr. Astles serves as the President of Azure Healthcare's main operating subsidiary Austco. He has he ...


CEO Compensation Analysis

Compensation vs Market: Clayton's total compensation ($USD472.59K) is above average for companies of similar size in the Australian market ($USD242.11K).

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


Board Members

NamePositionTenureCompensationOwnership
Clayton Astles
CEO & Executive Director4.67yrsAU$770.51k0.64% A$100.3k
J. Burns
Independent Non-Executive Director4.42yrsAU$70.00k0.11% A$17.9k
Anthony Glenning
Independent Non-Executive Director1.5yrsAU$58.33k0.34% A$53.7k
Graeme Billings
Independent Non-Executive Chairman4.42yrsAU$85.00k0.10% A$15.9k

4.4yrs

Average Tenure

Experienced Board: AZV's board of directors are considered experienced (4.4 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.


Top Shareholders

Company Information

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


Key Information

  • Name: Azure Healthcare Limited
  • Ticker: AZV
  • Exchange: ASX
  • Founded: 2004
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: AU$15.630m
  • Shares outstanding: 284.19m
  • Website: https://azurehealthcare.com.au

Number of Employees


Location

  • Azure Healthcare Limited
  • 1/31 Sabre Drive
  • Port Melbourne
  • Victoria
  • 3207
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AZVNAASX (Australian Securities Exchange)NPV DFD 20/12/19(EX-RIGHTS)AUAUDNo data
AZVASX (Australian Securities Exchange)YesOrdinary SharesAUAUDSep 2004
AZVCHIA (Chi-X Australia)YesOrdinary SharesAUAUDSep 2004

Biography

Azure Healthcare Limited, together with its subsidiaries, manufactures, services, supplies, and distributes healthcare and electronic communications equipment in Australia, New Zealand, Asia, Europe, and North America. The company offers Tacera, an IP based nurse call system for hospitals and aged care facilities. It also develops software. The company was formerly known as TSV Holdings Limited and changed its name to Azure Healthcare Limited in January 2012. Azure Healthcare Limited was incorporated in 2004 and is headquartered in Port Melbourne, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 10:33
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.