CAJ

Capitol HealthASX:CAJ Stock Report

Market Cap

AU$419.2m

7D

-1.2%

1Y

55.8%

Updated

18 Sep, 2021

Data

Company Financials +
CAJ fundamental analysis
Snowflake Score
Valuation0/6
Future Growth3/6
Past Performance4/6
Financial Health4/6
Dividends4/6

CAJ Overview

Capitol Health Limited provides diagnostic imaging and related services to the healthcare market in Australia.

Capitol Health Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Capitol Health
Historical stock prices
Current Share PriceAU$0.41
52 Week HighAU$0.23
52 Week LowAU$0.42
Beta0.84
1 Month Change6.58%
3 Month Change17.39%
1 Year Change55.77%
3 Year Change39.66%
5 Year Change211.54%
Change since IPO52.83%

Recent News & Updates

May 28
Capitol Health (ASX:CAJ) Seems To Use Debt Rather Sparingly

Capitol Health (ASX:CAJ) Seems To Use Debt Rather Sparingly

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Apr 16
Should You Investigate Capitol Health Limited (ASX:CAJ) At AU$0.37?

Should You Investigate Capitol Health Limited (ASX:CAJ) At AU$0.37?

Capitol Health Limited ( ASX:CAJ ), might not be a large cap stock, but it led the ASX gainers with a relatively large...

Mar 05
Capitol Health Limited's (ASX:CAJ) Stock Has Seen Strong Momentum: Does That Call For Deeper Study Of Its Financial Prospects?

Capitol Health Limited's (ASX:CAJ) Stock Has Seen Strong Momentum: Does That Call For Deeper Study Of Its Financial Prospects?

Capitol Health's (ASX:CAJ) stock is up by a considerable 22% over the past three months. We wonder if and what role the...

Shareholder Returns

CAJAU HealthcareAU Market
7D-1.2%1.9%-0.02%
1Y55.8%23.6%27.0%

Return vs Industry: CAJ exceeded the Australian Healthcare industry which returned 23.6% over the past year.

Return vs Market: CAJ exceeded the Australian Market which returned 27% over the past year.

Price Volatility

Is CAJ's price volatile compared to industry and market?
CAJ volatility
CAJ Beta0.84
Industry Beta0.58
Market Beta1

Stable Share Price: CAJ is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CAJ's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2005n/aJustin Walterhttps://www.capitolhealth.com.au

Capitol Health Limited provides diagnostic imaging and related services to the healthcare market in Australia. The company owns and operates clinics in Victoria, Tasmania, South Australia, and Western Australia. It offers a range of diagnostic imaging services, including general x-ray, magnetic resonance imaging, ultrasound, mammography, Doppler, orthopantomogram, echocardiography, computed tomography, CT angiography, cone beam CT, nuclear medicine, bone densitometry, and fluoroscopy.

Capitol Health Fundamentals Summary

How do Capitol Health's earnings and revenue compare to its market cap?
CAJ fundamental statistics
Market CapAU$419.15m
Earnings (TTM)AU$11.92m
Revenue (TTM)AU$178.00m

35.2x

P/E Ratio

2.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CAJ income statement (TTM)
RevenueAU$178.00m
Cost of RevenueAU$131.59m
Gross ProfitAU$46.41m
ExpensesAU$34.49m
EarningsAU$11.92m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.012
Gross Margin26.07%
Net Profit Margin6.70%
Debt/Equity Ratio19.9%

How did CAJ perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

86%

Payout Ratio

Does CAJ pay a reliable dividends?

See CAJ dividend history and benchmarks
When do you need to buy CAJ by to receive an upcoming dividend?
Capitol Health dividend dates
Ex Dividend DateSep 23 2021
Dividend Pay DateOct 22 2021
Days until Ex dividend4 days
Days until Dividend pay date33 days

Does CAJ pay a reliable dividends?

See CAJ dividend history and benchmarks

Valuation

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

35.19x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CAJ (A$0.41) is trading above our estimate of fair value (A$0.28)

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


Price To Earnings Ratio

PE vs Industry: CAJ is poor value based on its PE Ratio (35.2x) compared to the Australian Healthcare industry average (26.5x).

PE vs Market: CAJ is poor value based on its PE Ratio (35.2x) compared to the Australian market (18.7x).


Price to Earnings Growth Ratio

PEG Ratio: CAJ is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: CAJ is overvalued based on its PB Ratio (2.9x) compared to the AU Healthcare industry average (2.4x).


Future Growth

How is Capitol Health forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

14.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CAJ's forecast earnings growth (14.2% per year) is above the savings rate (1.9%).

Earnings vs Market: CAJ's earnings (14.2% per year) are forecast to grow faster than the Australian market (11.5% per year).

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

Revenue vs Market: CAJ's revenue (6.3% per year) is forecast to grow faster than the Australian market (5.3% per year).

High Growth Revenue: CAJ's revenue (6.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CAJ's Return on Equity is forecast to be low in 3 years time (12.4%).


Past Performance

How has Capitol Health performed over the past 5 years?

30.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CAJ has a large one-off gain of A$4.6M impacting its June 30 2021 financial results.

Growing Profit Margin: CAJ's current net profit margins (6.7%) are higher than last year (0.6%).


Past Earnings Growth Analysis

Earnings Trend: CAJ's earnings have grown significantly by 30.2% per year over the past 5 years.

Accelerating Growth: CAJ's earnings growth over the past year (1277.9%) exceeds its 5-year average (30.2% per year).

Earnings vs Industry: CAJ earnings growth over the past year (1277.9%) exceeded the Healthcare industry 61.3%.


Return on Equity

High ROE: CAJ's Return on Equity (8.2%) is considered low.


Financial Health

How is Capitol Health's financial position?


Financial Position Analysis

Short Term Liabilities: CAJ's short term assets (A$28.3M) do not cover its short term liabilities (A$37.6M).

Long Term Liabilities: CAJ's short term assets (A$28.3M) do not cover its long term liabilities (A$96.1M).


Debt to Equity History and Analysis

Debt Level: CAJ's debt to equity ratio (19.9%) is considered satisfactory.

Reducing Debt: CAJ's debt to equity ratio has reduced from 115.2% to 19.9% over the past 5 years.

Debt Coverage: CAJ's debt is well covered by operating cash flow (141%).

Interest Coverage: CAJ's interest payments on its debt are well covered by EBIT (6.1x coverage).


Balance Sheet


Dividend

What is Capitol Health current dividend yield, its reliability and sustainability?

2.47%

Current Dividend Yield


Upcoming Dividend Payment

TodaySep 19 2021Ex Dividend DateSep 23 2021Dividend Pay DateOct 22 202129 days from Ex DividendBuy in the next 4 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: CAJ's dividend (2.47%) is higher than the bottom 25% of dividend payers in the Australian market (2.3%).

High Dividend: CAJ's dividend (2.47%) is low compared to the top 25% of dividend payers in the Australian market (5.41%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: At its current payout ratio (85.6%), CAJ's payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CAJ's dividends in 3 years are forecast to be covered by earnings (76.2% payout ratio).


Next Steps

Management

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

1.7yrs

Average management tenure


CEO

Justin Walter

2.17yrs

Tenure

AU$1,520,948

Compensation

Mr. Justin Samuel Walter, MPH (JCU) has been the Chief Executive Officer, Managing Director and a Director at Capitol Health Limited since July 1, 2019. He was the Chief Executive Officer of Zenitas Health...


CEO Compensation Analysis

Compensation vs Market: Justin's total compensation ($USD1.11M) is above average for companies of similar size in the Australian market ($USD722.58K).

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


Leadership Team

Experienced Management: CAJ's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: CAJ's board of directors are considered experienced (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

Capitol Health Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Capitol Health Limited
  • Ticker: CAJ
  • Exchange: ASX
  • Founded: 2005
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: AU$419.154m
  • Shares outstanding: 1.03b
  • Website: https://www.capitolhealth.com.au

Location

  • Capitol Health Limited
  • 288 Victoria Parade
  • Level 2
  • East Melbourne
  • Victoria
  • 3002
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/18 08:03
End of Day Share Price2021/09/17 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.