ASX:AHY

Stock Analysis Report

Executive Summary

Asaleo Care Limited, together with its subsidiaries, manufactures, markets, distributes, and sells hygiene, personal care, and consumer tissue products in Australia, New Zealand, Fiji, and the Pacific Islands.

Snowflake

Fundamentals

Mediocre balance sheet with limited growth.

Share Price & News

How has Asaleo Care's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

8.6%

ASX:AHY

-12.4%

AU Personal Products

-1.8%

AU Market


1 Year Return

27.7%

ASX:AHY

-38.0%

AU Personal Products

0.2%

AU Market

AHY outperformed the Personal Products industry which returned -38% over the past year.

AHY outperformed the Market in Australia which returned 0.2% over the past year.


Share holder returns

AHYIndustryMarket
7 Day8.6%-12.4%-1.8%
30 Day5.7%-22.1%-3.5%
90 Day10.3%-24.7%-0.4%
1 Year27.7%27.7%-36.7%-38.0%5.9%0.2%
3 Year-14.9%-25.4%-48.9%-53.2%31.5%14.4%
5 Year-35.4%-48.1%26.9%2.9%38.3%7.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Asaleo Care undervalued based on future cash flows and its price relative to the stock market?

24.22x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Asaleo Care's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Asaleo Care's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Asaleo Care is overvalued based on earnings compared to the Oceania Personal Products industry average.

Asaleo Care is overvalued based on earnings compared to the Australia market.


Price Based on Expected Growth

Asaleo Care is poor value based on expected growth next year.


Price Based on Value of Assets

Asaleo Care is overvalued based on assets compared to the AU Personal Products industry average.


Next Steps

Future Growth

How is Asaleo Care expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

17.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Asaleo Care's revenue is expected to grow by 1.7% yearly, however this is not considered high growth (20% yearly).

Asaleo Care's earnings are expected to grow by 17.1% yearly, however this is not considered high growth (20% yearly).

Asaleo Care's revenue growth is positive but not above the Australia market average.

Asaleo Care's earnings growth is expected to exceed the Australia market average.

Asaleo Care's earnings growth is expected to exceed the low risk savings rate of 2.3%.


Earnings per Share Growth Estimates


Future Return on Equity

Asaleo Care is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Asaleo Care performed over the past 5 years?

-21.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Asaleo Care's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Asaleo Care has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

Asaleo Care has become profitable in the last year making it difficult to compare the Oceania Personal Products industry average.


Return on Equity

Asaleo Care has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Asaleo Care used its assets more efficiently than the Oceania Personal Products industry average last year based on Return on Assets.


Return on Capital Employed

Asaleo Care has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Asaleo Care's financial position?


Financial Position Analysis

Asaleo Care is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Asaleo Care's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Asaleo Care's level of debt (107%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (305.6% vs 107% today).

Debt is not well covered by operating cash flow (15.8%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.9x debt.


Next Steps

Dividend

What is Asaleo Care's current dividend yield, its reliability and sustainability?

4.15%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Unable to evaluate Asaleo Care's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Asaleo Care's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Asaleo Care has not reported any payouts.

Unable to verify if Asaleo Care's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Asaleo Care has not reported any payouts.


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.5x coverage).


Next Steps

Management

What is the CEO of Asaleo Care's salary, the management and board of directors tenure and is there insider trading?

3.1yrs

Average management tenure


CEO

Sid Takla 0

1.3yrs

Tenure

AU$658,334

Compensation

Mr. Sid Takla has been Chief Executive Officer, Managing Director and Director at Asaleo Care Ltd since October 23, 2018. Mr. Takla was the Chief Operating Officer of Asaleo Care Limited since August 28, 2 ...


CEO Compensation Analysis

Sid's remuneration is lower than average for companies of similar size in Australia.

Sid's compensation has increased in line with Asaleo Care recently becoming profitable.


Management Age and Tenure

3.1yrs

Average Tenure

The tenure for the Asaleo Care management team is about average.


Board Age and Tenure

5.3yrs

Average Tenure

64.5yo

Average Age

The tenure for the Asaleo Care board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

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Realindex Investments Pty Limited
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BuyAU$5,022,58511 Apr 19
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Max PriceAU$0.98
BuyAU$3,927,23611 Jan 19
Orbis Investment Management Limited
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Max PriceAU$0.78
SellAU$8,624,82215 Nov 18
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BuyAU$3,969,88909 Oct 18
Orbis Investment Management Limited
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BuyAU$4,428,05520 Sep 18
Orbis Investment Management Limited
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Shares5,960,232
Max PriceAU$0.76

Ownership Breakdown


Management Team

  • James Orr (55yo)

    General Counsel & Company Secretary

    • Tenure: 5.0yrs
  • Sid Takla

    CEO, MD & Director

    • Tenure: 1.3yrs
    • Compensation: AU$658.33k
  • David Griss

    Executive General Manager of People & Corporate Services

    • Tenure: 7.4yrs
  • Campbell Richards

    Chief Financial Officer

    • Tenure: 0.3yrs

Board Members

  • Harry Boon (71yo)

    Independent Non-Executive Chairman

    • Tenure: 0.0yrs
    • Compensation: AU$300.00k
  • Sue Morphet (64yo)

    Independent Non-Executive Director

    • Tenure: 5.3yrs
    • Compensation: AU$130.00k
  • Mats Berencreutz (65yo)

    Non-Executive Director

    • Tenure: 5.4yrs
    • Compensation: AU$110.00k
  • Robert Sjöström (55yo)

    Non-Executive Director

    • Tenure: 3.3yrs
  • JoAnne Stephenson

    Independent Non-Executive Director

    • Tenure: 5.3yrs
    • Compensation: AU$130.00k
  • Sid Takla

    CEO, MD & Director

    • Tenure: 1.3yrs
    • Compensation: AU$658.33k

Company Information

Asaleo Care Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Asaleo Care Limited
  • Ticker: AHY
  • Exchange: ASX
  • Founded: 1932
  • Industry: Personal Products
  • Sector: Household
  • Market Cap: AU$543.122m
  • Shares outstanding: 543.12m
  • Website: https://www.asaleocare.com

Number of Employees


Location

  • Asaleo Care Limited
  • Ailsa Street
  • PO Box 117
  • Box Hill
  • Victoria
  • 3128
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AHYASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2014
AHYCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2014
AL4DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2014
ASLE.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 2014

Biography

Asaleo Care Limited, together with its subsidiaries, manufactures, markets, distributes, and sells hygiene, personal care, and consumer tissue products in Australia, New Zealand, Fiji, and the Pacific Isla ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 10:36
End of Day Share Price2019/08/20 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.