ASX:BLD

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Executive Summary

Boral Limited manufactures and supplies building and construction materials in Australia, North America, Asia, and internationally.


Snowflake Analysis

Undervalued with moderate growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BLD's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

3.3%

BLD

3.2%

AU Basic Materials

1.9%

AU Market


1 Year Return

-27.0%

BLD

4.9%

AU Basic Materials

-8.4%

AU Market

Return vs Industry: BLD underperformed the Australian Basic Materials industry which returned 4.9% over the past year.

Return vs Market: BLD underperformed the Australian Market which returned -8.4% over the past year.


Shareholder returns

BLDIndustryMarket
7 Day3.3%3.2%1.9%
30 Day0.8%7.1%1.7%
90 Day33.9%28.3%13.2%
1 Year-22.4%-27.0%7.8%4.9%-4.6%-8.4%
3 Year-36.7%-45.1%11.7%0.2%19.4%3.7%
5 Year-28.0%-42.9%24.1%3.1%39.5%9.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Boral 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: BLD (A$3.71) is trading below our estimate of fair value (A$8.27)

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


Price To Earnings Ratio

PE vs Industry: BLD is good value based on its PE Ratio (25.6x) compared to the AU Basic Materials industry average (28.4x).

PE vs Market: BLD is poor value based on its PE Ratio (25.6x) compared to the Australian market (16x).


Price to Earnings Growth Ratio

PEG Ratio: BLD is good value based on its PEG Ratio (1x)


Price to Book Ratio

PB vs Industry: BLD is good value based on its PB Ratio (0.8x) compared to the AU Basic Materials industry average (1.6x).


Next Steps

Future Growth

How is Boral forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

25.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BLD's forecast earnings growth (25.8% per year) is above the savings rate (2.3%).

Earnings vs Market: BLD's earnings (25.8% per year) are forecast to grow faster than the Australian market (14.7% per year).

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

Revenue vs Market: BLD's revenue (3% per year) is forecast to grow slower than the Australian market (4.1% per year).

High Growth Revenue: BLD'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: BLD's Return on Equity is forecast to be low in 3 years time (5.5%).


Next Steps

Past Performance

How has Boral performed over the past 5 years?

5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BLD has high quality earnings.

Growing Profit Margin: BLD's current net profit margins (2.9%) are lower than last year (7.8%).


Past Earnings Growth Analysis

Earnings Trend: BLD's earnings have grown by 5.8% per year over the past 5 years.

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

Earnings vs Industry: BLD had negative earnings growth (-61.4%) over the past year, making it difficult to compare to the Basic Materials industry average (-55.8%).


Return on Equity

High ROE: BLD's Return on Equity (2.9%) is considered low.


Next Steps

Financial Health

How is Boral's financial position?


Financial Position Analysis

Short Term Liabilities: BLD's short term assets (A$1.7B) exceed its short term liabilities (A$1.3B).

Long Term Liabilities: BLD's short term assets (A$1.7B) do not cover its long term liabilities (A$2.6B).


Debt to Equity History and Analysis

Debt Level: BLD's debt to equity ratio (41.5%) is considered high.

Reducing Debt: BLD's debt to equity ratio has increased from 35.5% to 41.5% over the past 5 years.

Debt Coverage: BLD's debt is well covered by operating cash flow (31%).

Interest Coverage: BLD's interest payments on its debt are well covered by EBIT (4.6x coverage).


Balance Sheet


Next Steps

Dividend

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

6.20%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BLD's dividend (6.2%) is higher than the bottom 25% of dividend payers in the Australian market (2.47%).

High Dividend: BLD's dividend (6.2%) is low compared to the top 25% of dividend payers in the Australian market (6.61%).


Stability and Growth of Payments

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

Growing Dividend: BLD's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (158.7%), BLD's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: BLD's dividends in 3 years are forecast to be covered by earnings (59.7% payout ratio).


Next Steps

Management

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

1.5yrs

Average management tenure


CEO

Zlatko Todorcevski (52 yo)

0.083

Tenure

Mr. Zlatko Todorcevski, BCom (Accounting), MBA. FGPA, FGIA, serves as Chief Executive Officer, Managing Director and Director at Boral Limited since July 01, 2020. Mr. Todorcevski serves as Director of Col ...


Leadership Team

NamePositionTenureCompensationOwnership
Rosaline Ng
Group President Ventures & CFOno dataAU$1.44mno data
Michael Kane
Executive Officer0.083yrAU$3.84m0.11%
A$ 4.8m
Ross Harper
Group President of HSE0.25yrAU$1.02mno data
Wayne Manners
President & CEO of Boral Australia1.5yrsAU$323.50kno data
Zlatko Todorcevski
CEO, MD & Director0.083yrno data0.0041%
A$ 185.5k
Kylie FitzGerald
Group Communications & Investor Relations Directorno datano datano data
Damien Sullivan
Group General Counsel7.08yrsno datano data
Ramesh Karnani
Group Head of Strategy1.58yrsno datano data
Linda Coates
Group Human Resources Director6.75yrsno datano data
Darren Schulz
Acting President & CEO of Boral North Americano dataAU$261.70kno data
Eric Miller
Acting President of Roofing North America0.17yrno datano data
Dominic Millgate
Company Secretary7.17yrsno datano data

1.5yrs

Average Tenure

52yo

Average Age

Experienced Management: BLD's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Zlatko Todorcevski
CEO, MD & Director0.083yrno data0.0041%
A$ 185.5k
Peter Alexander
Independent Non-Executive Director1.92yrsAU$147.40k0.0060%
A$ 274.2k
Paul Rayner
Independent Non-Executive Director11.92yrsAU$197.20k0.014%
A$ 639.8k
John Marlay
Independent Non-Executive Director10.67yrsAU$197.40k0.0032%
A$ 146.0k
Karen Moses
Independent Non-Executive Director4.42yrsAU$192.40k0.0037%
A$ 169.2k
Kathryn Fagg
Independent Non-Executive Chairman2.08yrsAU$465.60k0.0088%
A$ 398.3k
Eileen Doyle
Independent Non-Executive Director10.42yrsAU$208.30k0.0039%
A$ 175.5k

4.4yrs

Average Tenure

63yo

Average Age

Experienced Board: BLD's board of directors are considered experienced (4.4 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 been diluted in the past year, with total shares outstanding growing by 4.5%.


Top Shareholders

Company Information

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


Key Information

  • Name: Boral Limited
  • Ticker: BLD
  • Exchange: ASX
  • Founded: 1946
  • Industry: Construction Materials
  • Sector: Materials
  • Market Cap: AU$4.547b
  • Shares outstanding: 1.23b
  • Website: https://www.boral.com.au

Number of Employees


Location

  • Boral Limited
  • 15 Blue Street
  • Level 18
  • North Sydney
  • New South Wales
  • 2060
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BOAL.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDFeb 2000
HQKDB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 2000
BLDASX (Australian Securities Exchange)YesOrdinary SharesAUAUDFeb 2000
BLDCHIA (Chi-X Australia)YesOrdinary SharesAUAUDFeb 2000
BOAL.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDAug 2000

Biography

Boral Limited manufactures and supplies building and construction materials in Australia, North America, Asia, and internationally. It offers asphalt, blocks, bricks, cement materials, concrete, pavers and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/09 10:34
End of Day Share Price2020/08/07 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.