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AWC

AluminaASX:AWC Stock Report

Last Price

AU$1.94

Market Cap

AU$5.6b

7D

-5.6%

1Y

12.5%

Updated

22 Jan, 2022

Data

Company Financials +
AWC fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance4/6
Financial Health4/6
Dividends1/6

AWC Stock Overview

Alumina Limited, through its 40% interest in Alcoa World Alumina and Chemicals, engages in bauxite mining, alumina refining, and aluminum smelting businesses.

Alumina Competitors

Vale

BOVESPA:VALE3

R$415.4b

Anglo American

LSE:AAL

UK£41.7b

Southern Copper

NYSE:SCCO

US$51.2b

First Quantum Minerals

TSX:FM

CA$23.2b

Price History & Performance

Summary of all time highs, changes and price drops for Alumina
Historical stock prices
Current Share PriceAU$1.94
52 Week HighAU$2.33
52 Week LowAU$1.51
Beta0.96
1 Month Change2.93%
3 Month Change-6.97%
1 Year Change12.50%
3 Year Change-18.35%
5 Year Change-1.28%
Change since IPO-71.03%

Recent News & Updates

Shareholder Returns

AWCAU Metals and MiningAU Market
7D-5.6%-2.0%-2.8%
1Y12.5%7.0%5.8%

Return vs Industry: AWC exceeded the Australian Metals and Mining industry which returned 7% over the past year.

Return vs Market: AWC exceeded the Australian Market which returned 5.8% over the past year.

Price Volatility

Is AWC's price volatile compared to industry and market?
AWC volatility
AWC Average Weekly Movement3.9%
Metals and Mining Industry Average Movement10.8%
Market Average Movement8.6%
10% most volatile stocks in AU Market15.4%
10% least volatile stocks in AU Market3.7%

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

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

About the Company

FoundedEmployeesCEOWebsite
1970n/aMike Ferrarohttps://www.aluminalimited.com

Alumina Limited, through its 40% interest in Alcoa World Alumina and Chemicals, engages in bauxite mining, alumina refining, and aluminum smelting businesses. The company has a network of bauxite mines and alumina refineries in Australia, Guinea, Brazil, and Spain, and Saudi Arabia; and a 55% interest in the Portland aluminium smelter in Victoria, Australia. It is also involved in shipping operations.

Alumina Fundamentals Summary

How do Alumina's earnings and revenue compare to its market cap?
AWC fundamental statistics
Market CapUS$4.04b
Earnings (TTM)US$129.70m
Revenue (TTM)n/a

31.2x

P/E Ratio

0.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AWC income statement (TTM)
RevenueUS$0
Cost of RevenueUS$0
Gross ProfitUS$0
Expenses-US$129.70m
EarningsUS$129.70m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Feb 22, 2022

Earnings per share (EPS)0.045
Gross Margin0.00%
Net Profit Margin0.00%
Debt/Equity Ratio1.1%

How did AWC perform over the long term?

See historical performance and comparison

Dividends

4.5%

Current Dividend Yield

141%

Payout Ratio

Valuation

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

31.18x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: AWC (A$1.94) is trading above our estimate of fair value (A$1.43)

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


Price To Earnings Ratio

PE vs Industry: AWC is poor value based on its PE Ratio (31.2x) compared to the Australian Metals and Mining industry average (16.4x).

PE vs Market: AWC is poor value based on its PE Ratio (31.2x) compared to the Australian market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: AWC is poor value based on its PEG Ratio (1.8x)


Price to Book Ratio

PB vs Industry: AWC is good value based on its PB Ratio (2.3x) compared to the AU Metals and Mining industry average (2.8x).


Future Growth

How is Alumina forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

17.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AWC's forecast earnings growth (17.4% per year) is above the savings rate (1.9%).

Earnings vs Market: AWC's earnings (17.4% per year) are forecast to grow faster than the Australian market (11.1% per year).

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

Revenue vs Market: AWC's revenue is expected to decline over the next 3 years (-74.6% per year).

High Growth Revenue: AWC's revenue is forecast to decline over the next 3 years (-74.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AWC's Return on Equity is forecast to be low in 3 years time (16.7%).


Past Performance

How has Alumina performed over the past 5 years?

8.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AWC has high quality earnings.

Growing Profit Margin: Insufficient data to determine if AWC's profit margins have improved over the past year.


Past Earnings Growth Analysis

Earnings Trend: AWC has become profitable over the past 5 years, growing earnings by 8.6% per year.

Accelerating Growth: AWC's earnings growth over the past year (38.6%) exceeds its 5-year average (8.6% per year).

Earnings vs Industry: AWC earnings growth over the past year (38.6%) exceeded the Metals and Mining industry 33%.


Return on Equity

High ROE: AWC's Return on Equity (7.4%) is considered low.


Financial Health

How is Alumina's financial position?


Financial Position Analysis

Short Term Liabilities: AWC's short term assets ($15.6M) exceed its short term liabilities ($1.4M).

Long Term Liabilities: AWC's short term assets ($15.6M) do not cover its long term liabilities ($22.7M).


Debt to Equity History and Analysis

Debt Level: AWC's net debt to equity ratio (0.3%) is considered satisfactory.

Reducing Debt: AWC's debt to equity ratio has reduced from 5.5% to 1.1% over the past 5 years.

Debt Coverage: AWC's debt is well covered by operating cash flow (857.5%).

Interest Coverage: Insufficient data to determine if AWC's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is Alumina current dividend yield, its reliability and sustainability?

4.52%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AWC's dividend (4.52%) is higher than the bottom 25% of dividend payers in the Australian market (2.25%).

High Dividend: AWC's dividend (4.52%) is low compared to the top 25% of dividend payers in the Australian market (5.52%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (140.7%), AWC's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: AWC's dividends in 3 years are not forecast to be well covered by earnings (93.4% payout ratio).


Next Steps

Management

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

9.3yrs

Average management tenure


CEO

Mike Ferraro (61 yo)

4.58yrs

Tenure

US$1,629,371

Compensation

Mr. Michael Peter Ferraro, also known as Mike, LLB (Hons), had been Non-Executive Director of Helloworld Travel Limited (formerly known as Helloworld Limited) since January 1, 2017 until October 25, 2021....


CEO Compensation Analysis

Compensation vs Market: Mike's total compensation ($USD1.63M) is about average for companies of similar size in the Australian market ($USD1.73M).

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


Leadership Team

Experienced Management: AWC's management team is seasoned and experienced (9.3 years average tenure).


Board Members

Experienced Board: AWC's board of directors are considered experienced (6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: AWC 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

Alumina Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Alumina Limited
  • Ticker: AWC
  • Exchange: ASX
  • Founded: 1970
  • Industry: Aluminum
  • Sector: Materials
  • Implied Market Cap: AU$5.613b
  • Shares outstanding: 2.90b
  • Website: https://www.aluminalimited.com

Location

  • Alumina Limited
  • 2 Southbank Boulevard
  • Level 36
  • Southbank
  • Victoria
  • 3006
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/22 07:01
End of Day Share Price2022/01/21 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.