ASX:HZR

Stock Analysis Report

Executive Summary

Hazer Group Limited commercializes Hazer Process, a hydrogen-and-graphite production technology in India.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

25.5%

HZR

10.8%

AU Chemicals

7.1%

AU Market


1 Year Return

14.3%

HZR

-18.0%

AU Chemicals

-19.4%

AU Market

Return vs Industry: HZR exceeded the Australian Chemicals industry which returned -19.2% over the past year.

Return vs Market: HZR exceeded the Australian Market which returned -18.8% over the past year.


Shareholder returns

HZRIndustryMarket
7 Day25.5%10.8%7.1%
30 Day-20.0%-20.9%-21.3%
90 Day-17.9%-29.0%-24.8%
1 Year14.3%14.3%-16.7%-18.0%-15.8%-19.4%
3 Year-50.8%-50.8%-24.9%-29.8%-2.4%-15.8%
5 Yearn/a-23.2%-32.8%8.4%-16.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.71x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate HZR's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate HZR's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

PE vs Market: HZR 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 HZR's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HZR is overvalued based on its PB Ratio (3.7x) compared to the AU Chemicals industry average (2.5x).


Next Steps

Future Growth

How is Hazer Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

36.2%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Hazer Group has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Hazer Group performed over the past 5 years?

-27.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HZR is currently unprofitable.

Growing Profit Margin: HZR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HZR is unprofitable, and losses have increased over the past 5 years at a rate of -27.8% per year.

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

Earnings vs Industry: HZR is unprofitable, making it difficult to compare its past year earnings growth to the Chemicals industry (-2.1%).


Return on Equity

High ROE: HZR has a negative Return on Equity (-32.14%), as it is currently unprofitable.


Next Steps

Financial Health

How is Hazer Group's financial position?


Financial Position Analysis

Short Term Liabilities: HZR's short term assets (A$9.8M) exceed its short term liabilities (A$629.9K).

Long Term Liabilities: HZR's short term assets (A$9.8M) exceed its long term liabilities (A$29.8K).


Debt to Equity History and Analysis

Debt Level: HZR is debt free.

Reducing Debt: HZR had no debt 5 years ago.


Balance Sheet

Inventory Level: HZR has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if HZR's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: HZR has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: HZR has sufficient cash runway for 2.5 years if free cash flow continues to reduce at historical rates of -28.3% each year.


Next Steps

Dividend

What is Hazer Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate HZR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if HZR's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HZR's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

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

1.4yrs

Average management tenure


CEO

Geoff Ward

1.42s

Tenure

AU$814,108

Compensation

Mr. Geoffrey Michael Ward, also known as Geoff, B.E. (Chem), (Hons), MBA has been Chief Executive Officer at Hazer Group Limited since October 08, 2018 and its Executive Director since April 30, 2019. He s ...


CEO Compensation Analysis

Compensation vs Market: Geoff's total compensation ($USD501.45K) is above average for companies of similar size in the Australian market ($USD245.57K).

Compensation vs Earnings: Insufficient data to compare Geoff's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Geoffrey Ward
CEO, MD & Executive Director1.42yrsAU$814.11k0.60% A$196.6k
Emma Waldon
CFO & Company Secretary1.17yrsno data0.68% A$224.8k
Mark Edwards
COO & Member of Advisory Committee3.25yrsAU$339.25kno data
Andrew Cornejo
Chief Technology Officerno datano data5.94% A$2.0m
Terence William Walsh
Executive Officer1.83yrsAU$248.35kno data

1.4yrs

Average Tenure

Experienced Management: HZR's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Mark Edwards
COO & Member of Advisory Committee3.25yrsAU$339.25kno data
Andrew Harris
Non-Executive Director2.67yrsAU$43.80k0.11% A$37.1k
Danielle Lee
Non-Executive Director4.42yrsAU$43.80k0.55% A$182.1k
Kevin Peakman
Member of Advisory Committee3.25yrsno datano data
David De Haas
Member of Advisory Committee3.25yrsno datano data
Timothy Goldsmith
Non-Executive Chairman2.67yrsAU$206.35k0.92% A$304.2k
Mike Grey
Non-Executive Director0.83yrno datano data

3.3yrs

Average Tenure

Experienced Board: HZR's board of directors are considered experienced (3.3 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 11.1%.


Top Shareholders

Company Information

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


Key Information

  • Name: Hazer Group Limited
  • Ticker: HZR
  • Exchange: ASX
  • Founded: 2010
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: AU$32.954m
  • Shares outstanding: 113.63m
  • Website: https://www.hazergroup.com.au

Location

  • Hazer Group Limited
  • 99 St Georges Terrace
  • Level 9
  • Perth
  • Western Australia
  • 6000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HZRASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2015
HZRCHIA (Chi-X Australia)YesOrdinary SharesAUAUDDec 2015
2H8DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2015

Biography

Hazer Group Limited commercializes Hazer Process, a hydrogen-and-graphite production technology in India. It enables the conversion of natural gas and similar feed stocks, into hydrogen and graphite, using iron ore as a process catalyst. The company serves the industrial hydrogen, hydrogen energy, and synthetic graphite markets. Hazer Group Limited was founded in 2010 and is based in Perth, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 11:10
End of Day Share Price2020/03/31 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.