Japara Healthcare
Market Cap
AU$148.3m
Last Updated
2020/05/26 14:30 UTC
Data Sources
Company Financials +
Executive Summary
Japara Healthcare Limited, together with its subsidiaries, owns, develops, and operates residential aged care homes in Australia.
Rewards
Risk Analysis
Dividend of 9.64% is not well covered by earnings or forecast to be in the next 3 years
+ 2 more risks
Snowflake Analysis
Undervalued with limited growth.
Share Price & News
How has Japara Healthcare's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: JHC's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
1.8%
JHC
3.5%
AU Healthcare
2.9%
AU Market
1 Year Return
-59.9%
JHC
-5.2%
AU Healthcare
-13.6%
AU Market
Return vs Industry: JHC underperformed the Australian Healthcare industry which returned -5.2% over the past year.
Return vs Market: JHC underperformed the Australian Market which returned -13.6% over the past year.
Shareholder returns
| JHC | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.8% | 3.5% | 2.9% |
| 30 Day | 12.1% | 10.1% | 8.3% |
| 90 Day | -39.0% | -12.2% | -18.0% |
| 1 Year | -56.8%-59.9% | -2.4%-5.2% | -10.0%-13.6% |
| 3 Year | -68.6%-73.7% | 4.6%-4.9% | 9.8%-4.7% |
| 5 Year | -72.9%-79.4% | 7.7%-7.9% | 20.7%-5.4% |
Price Volatility Vs. Market
How volatile is Japara Healthcare's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
How Does Japara Healthcare's (ASX:JHC) P/E Compare To Its Industry, After The Share Price Drop?2 months ago | Simply Wall St
How Does Japara Healthcare's (ASX:JHC) P/E Compare To Its Industry, After The Share Price Drop?2 months ago | Simply Wall St
Japara Healthcare Limited Just Reported, And Analysts Assigned A AU$0.88 Price TargetValuation
Is Japara 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: JHC (A$0.56) is trading below our estimate of fair value (A$14.95)
Significantly Below Fair Value: JHC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: JHC is good value based on its PE Ratio (10.4x) compared to the Healthcare industry average (12.6x).
PE vs Market: JHC is good value based on its PE Ratio (10.4x) compared to the Australian market (14.8x).
Price to Earnings Growth Ratio
PEG Ratio: JHC is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: JHC is good value based on its PB Ratio (0.3x) compared to the AU Healthcare industry average (1.4x).
Next Steps
Future Growth
How is Japara Healthcare forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
6.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: JHC's forecast earnings growth (6.8% per year) is above the savings rate (2.3%).
Earnings vs Market: JHC's earnings (6.8% per year) are forecast to grow slower than the Australian market (14.4% per year).
High Growth Earnings: JHC's earnings are forecast to grow, but not significantly.
Revenue vs Market: JHC's revenue (8% per year) is forecast to grow faster than the Australian market (4.3% per year).
High Growth Revenue: JHC's revenue (8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: JHC's Return on Equity is forecast to be low in 3 years time (1.7%).
Next Steps
Past Performance
How has Japara Healthcare performed over the past 5 years?
-14.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: JHC has a large one-off gain of A$10.0M impacting its December 31 2019 financial results.
Growing Profit Margin: JHC's current net profit margins (3.5%) are lower than last year (5.5%).
Past Earnings Growth Analysis
Earnings Trend: JHC's earnings have declined by -14.3% per year over the past 5 years.
Accelerating Growth: JHC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: JHC had negative earnings growth (-30.6%) over the past year, making it difficult to compare to the Healthcare industry average (4.3%).
Return on Equity
High ROE: JHC's Return on Equity (2.7%) is considered low.
Next Steps
Financial Health
How is Japara Healthcare's financial position?
Financial Position Analysis
Short Term Liabilities: JHC's short term assets (A$81.3M) do not cover its short term liabilities (A$699.0M).
Long Term Liabilities: JHC's short term assets (A$81.3M) do not cover its long term liabilities (A$251.8M).
Debt to Equity History and Analysis
Debt Level: JHC's debt to equity ratio (45.2%) is considered high.
Reducing Debt: JHC's debt to equity ratio has increased from 1.5% to 45.2% over the past 5 years.
Debt Coverage: JHC's debt is not well covered by operating cash flow (14.4%).
Interest Coverage: JHC's interest payments on its debt are not well covered by EBIT (2.6x coverage).
Balance Sheet
Next Steps
Dividend
What is Japara Healthcare's current dividend yield, its reliability and sustainability?
9.64%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: JHC's dividend (9.64%) is higher than the bottom 25% of dividend payers in the Australian market (2.67%).
High Dividend: JHC's dividend (9.64%) is in the top 25% of dividend payers in the Australian market (6.98%)
Stability and Growth of Payments
Stable Dividend: JHC has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: JHC has only been paying a dividend for 5 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (100%), JHC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: JHC's dividends in 3 years are not forecast to be well covered by earnings (155.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.8yrs
Average management tenure
CEO
Chris Price (54yo)
0.17
Tenure
AU$590,000
Compensation
Mr. Christopher Murray Price, also known as Chris, B. Bus, CA, serves as Secretary at Japara Holdings Pty Ltd. Mr. Price had been the Chief Financial Officer of Japara Healthcare Limited since June 22, 201 ...
CEO Compensation Analysis
Compensation vs Market: Chris's total compensation ($USD386.20K) is above average for companies of similar size in the Australian market ($USD250.79K).
Compensation vs Earnings: Chris's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, MD & Director | 0.17yr | AU$590.00k | no data | |
| CFO & Chief Investment Officer | 0.17yr | no data | no data | |
| Chief HR Officer | 1.33yrs | no data | no data | |
| Company Secretary | 4.42yrs | no data | no data |
0.8yrs
Average Tenure
Experienced Management: JHC's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, MD & Director | 0.17yr | AU$590.00k | no data | |
| Non Executive Director | 6.17yrs | AU$125.00k | 0.034% A$50.0k | |
| Independent Non-Executive Director | 6.17yrs | AU$125.00k | 0.028% A$41.2k | |
| Non-Executive Chairman | no data | AU$250.00k | 0.087% A$128.8k | |
| Independent Non-Executive Director | 0.83yr | no data | 0.043% A$63.3k | |
| Independent Non-Executive Director | 4.67yrs | AU$125.00k | 0.020% A$29.8k |
4.7yrs
Average Tenure
62yo
Average Age
Experienced Board: JHC's board of directors are considered experienced (4.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: JHC 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
Japara Healthcare Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Japara Healthcare Limited
- Ticker: JHC
- Exchange: ASX
- Founded: 2005
- Industry: Health Care Facilities
- Sector: Healthcare
- Market Cap: AU$148.322m
- Shares outstanding: 267.25m
- Website: https://japara.com.au
Number of Employees
Location
- Japara Healthcare Limited
- Q1 Building
- Level 4
- Southbank
- Victoria
- 3006
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| JHC | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Apr 2014 |
| JHC | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Apr 2014 |
| 7JH | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Apr 2014 |
Biography
Japara Healthcare Limited, together with its subsidiaries, owns, develops, and operates residential aged care homes in Australia. It operates approximately 5,750 resident places across 50 homes located in Victoria, New South Wales, Queensland, South Australia, and Tasmania; and 180 independent living units across 5 retirement villages. The company was founded in 2005 and is based in Southbank, Australia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/05/26 14:30 |
| End of Day Share Price | 2020/05/26 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.