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PSQ

Pacific Smiles Group ASX:PSQ Stock Report

Last Price

AU$1.84

Market Cap

AU$290.4m

7D

-3.2%

1Y

-33.3%

Updated

27 Jun, 2022

Data

Company Financials +
PSQ fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance0/6
Financial Health2/6
Dividends0/6

PSQ Stock Overview

Pacific Smiles Group Limited, together with its subsidiaries, owns and operates dental centers under the Pacific Smiles Dental Centres and the nib Dental Care Centres names in Australian Capital Territory, New South Wales, Victoria, and Queensland.

Pacific Smiles Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Pacific Smiles Group
Historical stock prices
Current Share PriceAU$1.84
52 Week HighAU$3.08
52 Week LowAU$1.39
Beta1.19
1 Month Change14.29%
3 Month Change-16.74%
1 Year Change-33.33%
3 Year Change55.93%
5 Year Change8.24%
Change since IPO3.37%

Recent News & Updates

Shareholder Returns

PSQAU HealthcareAU Market
7D-3.2%1.7%1.4%
1Y-33.3%-3.0%-11.3%

Return vs Industry: PSQ underperformed the Australian Healthcare industry which returned -3% over the past year.

Return vs Market: PSQ underperformed the Australian Market which returned -11.3% over the past year.

Price Volatility

Is PSQ's price volatile compared to industry and market?
PSQ volatility
PSQ Average Weekly Movement8.7%
Healthcare Industry Average Movement5.2%
Market Average Movement9.7%
10% most volatile stocks in AU Market16.3%
10% least volatile stocks in AU Market4.2%

Stable Share Price: PSQ is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: PSQ's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2002n/aPhil McKenziehttps://www.pacificsmilesgroup.com.au

Pacific Smiles Group Limited, together with its subsidiaries, owns and operates dental centers under the Pacific Smiles Dental Centres and the nib Dental Care Centres names in Australian Capital Territory, New South Wales, Victoria, and Queensland. The company provides services and equipped facilities to dentists, including support staff, materials, marketing, and administrative services. It also offers dental services, such as cosmetic dentistry, child dental care, dental check-ups, emergency dental, endodontics, gum disease treatment, Invisalign, orthodontics, periodontics, prosthodontics, root canal treatment, sleep dentistry, teeth cleaning, teeth whitening, tele dentistry, tooth extraction, and wisdom teeth removal, as well as offers dental crowns, dental implants, dentures, veneers, and SmileStyler clear aligners.

Pacific Smiles Group Fundamentals Summary

How do Pacific Smiles Group's earnings and revenue compare to its market cap?
PSQ fundamental statistics
Market CapAU$290.44m
Earnings (TTM)AU$978.00k
Revenue (TTM)AU$141.71m

300.7x

P/E Ratio

2.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PSQ income statement (TTM)
RevenueAU$141.71m
Cost of RevenueAU$78.90m
Gross ProfitAU$62.82m
Other ExpensesAU$61.84m
EarningsAU$978.00k

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.0061
Gross Margin44.33%
Net Profit Margin0.69%
Debt/Equity Ratio24.0%

How did PSQ perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is PSQ undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PSQ?

Other financial metrics that can be useful for relative valuation.

PSQ key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.7x
Enterprise Value/EBITDA20.4x
PEG Ratio3.1x

Price to Sales Ratio vs Peers

How does PSQ's PS Ratio compare to its peers?

PSQ PS Ratio vs Peers
The above table shows the PS ratio for PSQ vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average1.4x
MVF Monash IVF Group
1.9x7.7%AU$372.1m
EHE Estia Health
0.8x4.0%AU$501.5m
REG Regis Healthcare
0.8x5.6%AU$565.6m
VRT Virtus Health
2x5.0%AU$680.9m
PSQ Pacific Smiles Group
2.1x19.7%AU$290.4m

Price-To-Sales vs Peers: PSQ is expensive based on its Price-To-Sales Ratio (2.1x) compared to the peer average (1.4x).


Price to Earnings Ratio vs Industry

How does PSQ's PE Ratio compare vs other companies in the AU Healthcare Industry?

Price-To-Sales vs Industry: PSQ is expensive based on its Price-To-Sales Ratio (2.1x) compared to the Australian Healthcare industry average (1.2x)


Price to Sales Ratio vs Fair Ratio

What is PSQ's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PSQ PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.1x
Fair PS Ratio3.5x

Price-To-Sales vs Fair Ratio: PSQ is good value based on its Price-To-Sales Ratio (2.1x) compared to the estimated Fair Price-To-Sales Ratio (3.5x).


Share Price vs Fair Value

What is the Fair Price of PSQ when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: PSQ (A$1.84) is trading below our estimate of fair value (A$2.48)

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


Price to Earnings Growth Ratio

PEG Ratio: PSQ is poor value based on its PEG Ratio (3.1x)


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Future Growth

How is Pacific Smiles Group forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


97.9%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PSQ's forecast earnings growth (97.9% per year) is above the savings rate (1.8%).

Earnings vs Market: PSQ's earnings (97.9% per year) are forecast to grow faster than the Australian market (6% per year).

High Growth Earnings: PSQ's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PSQ's revenue (19.7% per year) is forecast to grow faster than the Australian market (5.2% per year).

High Growth Revenue: PSQ's revenue (19.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PSQ's Return on Equity is forecast to be low in 3 years time (18.5%).


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Past Performance

How has Pacific Smiles Group performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-2.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PSQ has a high level of non-cash earnings.

Growing Profit Margin: PSQ's current net profit margins (0.7%) are lower than last year (9.3%).


Past Earnings Growth Analysis

Earnings Trend: PSQ's earnings have declined by 2% per year over the past 5 years.

Accelerating Growth: PSQ's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: PSQ had negative earnings growth (-91.9%) over the past year, making it difficult to compare to the Healthcare industry average (35.6%).


Return on Equity

High ROE: PSQ's Return on Equity (1.6%) is considered low.


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Financial Health

How is Pacific Smiles Group's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: PSQ's short term assets (A$21.1M) do not cover its short term liabilities (A$48.5M).

Long Term Liabilities: PSQ's short term assets (A$21.1M) do not cover its long term liabilities (A$74.4M).


Debt to Equity History and Analysis

Debt Level: PSQ's net debt to equity ratio (8%) is considered satisfactory.

Reducing Debt: PSQ's debt to equity ratio has increased from 0.2% to 24% over the past 5 years.

Debt Coverage: PSQ's debt is well covered by operating cash flow (119.9%).

Interest Coverage: PSQ's interest payments on its debt are not well covered by EBIT (1.3x coverage).


Balance Sheet


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Dividend

What is Pacific Smiles Group current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


2.03%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

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


Earnings Payout to Shareholders

Earnings Coverage: PSQ is not paying a notable dividend for the Australian market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as PSQ has not reported any payouts.


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Management

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

2.6yrs

Average management tenure


CEO

Phil McKenzie

3.67yrs

Tenure

AU$1,471,333

Compensation

Mr. Philip McKenzie, also known as Phil, has been Managing Director, Chief Executive Officer and Executive Director at Pacific Smiles Group Limited since October 29, 2018. He is Chief Executive Officer of...


CEO Compensation Analysis

Compensation vs Market: Phil's total compensation ($USD1.02M) is above average for companies of similar size in the Australian market ($USD606.74K).

Compensation vs Earnings: Phil's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: PSQ's management team is considered experienced (2.6 years average tenure).


Board Members

Experienced Board: PSQ's board of directors are considered experienced (3.7 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

Pacific Smiles Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Pacific Smiles Group Limited
  • Ticker: PSQ
  • Exchange: ASX
  • Founded: 2002
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Implied Market Cap: AU$290.439m
  • Shares outstanding: 159.58m
  • Website: https://www.pacificsmilesgroup.com.au

Number of Employees


Location

  • Pacific Smiles Group Limited
  • 6 Molly Morgan Drive
  • Level 1
  • East Maitland
  • New South Wales
  • 2323
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2021/12/31
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.