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SIG

Sigma Healthcare CHIA:SIG Stock Report

Last Price

AU$0.47

Market Cap

AU$464.7m

7D

0.5%

1Y

-30.1%

Updated

18 Apr, 2022

Data

Company Financials +
SIG fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance0/6
Financial Health3/6
Dividends1/6

SIG Stock Overview

Sigma Healthcare Limited, together with its subsidiaries, engages in the wholesale and distribution of pharmaceutical products primarily in Australia.

Sigma Healthcare Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sigma Healthcare
Historical stock prices
Current Share PriceAU$0.47
52 Week HighAU$0.69
52 Week LowAU$0.42
Beta-0.13
1 Month Change-12.04%
3 Month Change1.06%
1 Year Change-30.15%
3 Year Change-6.86%
5 Year Changen/a
Change since IPO-63.32%

Recent News & Updates

Shareholder Returns

SIGAU HealthcareAU Market
7D0.5%0.9%0.6%
1Y-30.1%-1.6%6.7%

Return vs Industry: SIG underperformed the Australian Healthcare industry which returned -1.6% over the past year.

Return vs Market: SIG underperformed the Australian Market which returned 6.7% over the past year.

Price Volatility

Is SIG's price volatile compared to industry and market?
SIG volatility
SIG Average Weekly Movement4.1%
Healthcare Industry Average Movement4.9%
Market Average Movement9.6%
10% most volatile stocks in AU Market16.6%
10% least volatile stocks in AU Market4.4%

Stable Share Price: SIG is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: SIG's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1912n/aVikesh Ramsunderhttps://www.sigmahealthcare.com.au

Sigma Healthcare Limited, together with its subsidiaries, engages in the wholesale and distribution of pharmaceutical products primarily in Australia. It operates approximately 1,200 branded and independent pharmacy stores under the Amcal, Discount Drug Stores, Guardian, WholeLife, and PharmaSave brands. The company also provides hospital pharmacy wholesale services; dose administration aid services to the aged care sector, community pharmacy sector, and in the home; technology solutions and data analytics; and product development and support for a range of private and exclusive label products, as well as supplies medical consumables and devices to a broad range of customers, including pharmacy aged care facilities, hospitals, and clinics.

Sigma Healthcare Fundamentals Summary

How do Sigma Healthcare's earnings and revenue compare to its market cap?
SIG fundamental statistics
Market CapAU$464.71m
Earnings (TTM)-AU$7.24m
Revenue (TTM)AU$3.45b

0.1x

P/S Ratio

-64.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SIG income statement (TTM)
RevenueAU$3.45b
Cost of RevenueAU$3.22b
Gross ProfitAU$227.11m
Other ExpensesAU$234.35m
Earnings-AU$7.24m

Last Reported Earnings

Jan 31, 2022

Next Earnings Date

Sep 22, 2022

Earnings per share (EPS)-0.0073
Gross Margin6.59%
Net Profit Margin-0.21%
Debt/Equity Ratio36.9%

How did SIG perform over the long term?

See historical performance and comparison

Dividends

4.3%

Current Dividend Yield

-273%

Payout Ratio

Valuation

Is Sigma 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: SIG (A$0.48) is trading below our estimate of fair value (A$1.88)

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


Price To Earnings Ratio

PE vs Industry: SIG is unprofitable, so we can't compare its PE Ratio to the Australian Healthcare industry average.

PE vs Market: SIG is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SIG is good value based on its PB Ratio (1x) compared to the AU Healthcare industry average (2x).


Future Growth

How is Sigma Healthcare forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

67.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SIG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.8%).

Earnings vs Market: SIG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SIG's is expected to become profitable in the next 3 years.

Revenue vs Market: SIG's revenue (3% per year) is forecast to grow slower than the Australian market (5.1% per year).

High Growth Revenue: SIG's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SIG's Return on Equity is forecast to be low in 3 years time (6.9%).


Past Performance

How has Sigma Healthcare performed over the past 5 years?

-23.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SIG is currently unprofitable.

Growing Profit Margin: SIG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SIG is unprofitable, and losses have increased over the past 5 years at a rate of 23.3% per year.

Accelerating Growth: Unable to compare SIG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SIG is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (35.6%).


Return on Equity

High ROE: SIG has a negative Return on Equity (-1.3%), as it is currently unprofitable.


Financial Health

How is Sigma Healthcare's financial position?


Financial Position Analysis

Short Term Liabilities: SIG's short term assets (A$761.6M) exceed its short term liabilities (A$457.6M).

Long Term Liabilities: SIG's short term assets (A$761.6M) exceed its long term liabilities (A$301.9M).


Debt to Equity History and Analysis

Debt Level: SIG's net debt to equity ratio (30.5%) is considered satisfactory.

Reducing Debt: SIG's debt to equity ratio has increased from 6.3% to 36.9% over the past 5 years.

Debt Coverage: SIG's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: SIG's interest payments on its debt are not well covered by EBIT (0.4x coverage).


Balance Sheet


Dividend

What is Sigma Healthcare current dividend yield, its reliability and sustainability?

4.26%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SIG's dividend (4.26%) is higher than the bottom 25% of dividend payers in the Australian market (2.42%).

High Dividend: SIG's dividend (4.26%) is low compared to the top 25% of dividend payers in the Australian market (5.66%).


Stability and Growth of Payments

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

Growing Dividend: SIG's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: SIG is paying a dividend but the company is unprofitable.


Cash Payout to Shareholders

Cash Flow Coverage: SIG is paying a dividend but the company has no free cash flows.


Next Steps

Management

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

0.5yrs

Average management tenure


CEO

Vikesh Ramsunder (50 yo)

0.17

Tenure

Mr. Vikesh Ramsunder, B.Com, MBL, has been Chief Executive Officer and Managing Director of Sigma Healthcare Limited since February 01, 2022 and serves as its Director since February 17, 2022. He served as...


Leadership Team

Experienced Management: SIG's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: SIG's board of directors are considered experienced (6.2 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sigma Healthcare Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Sigma Healthcare Limited
  • Ticker: SIG
  • Exchange: CHIA
  • Founded: 1912
  • Industry: Health Care Distributors
  • Sector: Healthcare
  • Implied Market Cap: AU$464.707m
  • Shares outstanding: 988.74m
  • Website: https://www.sigmahealthcare.com.au

Location

  • Sigma Healthcare Limited
  • 3 Myer Place
  • Rowville
  • Victoria
  • 3178
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/04/18 00:00
End of Day Share Price2022/04/14 00:00
Earnings2022/01/31
Annual Earnings2022/01/31


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.