Executive Summary
Domain Holdings Australia Limited operates as a real estate media and technology services company that focuses on the property market in Australia.
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with adequate balance sheet.
Similar Companies
Share Price & News
How has Domain Holdings Australia's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DHG's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
5.5%
DHG
2.9%
AU Interactive Media and Services
4.0%
AU Market
1 Year Return
0%
DHG
9.2%
AU Interactive Media and Services
-7.0%
AU Market
Return vs Industry: DHG underperformed the Australian Interactive Media and Services industry which returned 9.2% over the past year.
Return vs Market: DHG exceeded the Australian Market which returned -7% over the past year.
Shareholder returns
| DHG | Industry | Market | |
|---|---|---|---|
| 7 Day | 5.5% | 2.9% | 4.0% |
| 30 Day | 12.5% | 17.9% | 12.2% |
| 90 Day | 11.0% | 4.5% | -2.5% |
| 1 Year | 1.8%0% | 11.1%9.2% | -3.1%-7.0% |
| 3 Year | n/a | 52.2%43.5% | 19.0%3.3% |
| 5 Year | n/a | 102.7%81.7% | 33.9%5.0% |
Price Volatility Vs. Market
How volatile is Domain Holdings Australia's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Why Domain Holdings Australia Limited (ASX:DHG) Could Be Worth Watching1 month ago | Simply Wall St
Estimating The Intrinsic Value Of Domain Holdings Australia Limited (ASX:DHG)1 month ago | Simply Wall St
What Type Of Shareholder Owns Domain Holdings Australia Limited's (ASX:DHG)?Valuation
Is Domain Holdings Australia undervalued compared to its fair value and its price relative to the market?
49.47x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: DHG (A$3.24) is trading above our estimate of fair value (A$2.36)
Significantly Below Fair Value: DHG is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: DHG is poor value based on its PE Ratio (49.5x) compared to the Interactive Media and Services industry average (30.6x).
PE vs Market: DHG is poor value based on its PE Ratio (49.5x) compared to the Australian market (16x).
Price to Earnings Growth Ratio
PEG Ratio: DHG is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: DHG is good value based on its PB Ratio (1.6x) compared to the AU Interactive Media and Services industry average (3.2x).
Next Steps
Future Growth
How is Domain Holdings Australia forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
32.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DHG's forecast earnings growth (32.4% per year) is above the savings rate (2.3%).
Earnings vs Market: DHG's earnings (32.4% per year) are forecast to grow faster than the Australian market (15% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: DHG's revenue (9.4% per year) is forecast to grow faster than the Australian market (4.2% per year).
High Growth Revenue: DHG's revenue (9.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DHG's Return on Equity is forecast to be low in 3 years time (5.3%).
Next Steps
Past Performance
How has Domain Holdings Australia performed over the past 5 years?
-16.7%
Last years revenue growth
Earnings and Revenue History
Quality Earnings: DHG has a large one-off gain of A$9.7M impacting its December 31 2019 financial results.
Growing Profit Margin: DHG became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: DHG has become profitable over the past 5 years, growing earnings by 0% per year.
Accelerating Growth: DHG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: DHG has become profitable in the last year, making it difficult to compare its past year earnings growth to the Interactive Media and Services industry (2.4%).
Return on Equity
High ROE: DHG's Return on Equity (3.6%) is considered low.
Next Steps
Financial Health
How is Domain Holdings Australia's financial position?
Financial Position Analysis
Short Term Liabilities: DHG's short term assets (A$60.9M) exceed its short term liabilities (A$54.9M).
Long Term Liabilities: DHG's short term assets (A$60.9M) do not cover its long term liabilities (A$287.6M).
Debt to Equity History and Analysis
Debt Level: DHG's debt to equity ratio (14%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if DHG's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: DHG's debt is well covered by operating cash flow (35.1%).
Interest Coverage: DHG's interest payments on its debt are well covered by EBIT (8.8x coverage).
Balance Sheet
Next Steps
Dividend
What is Domain Holdings Australia's current dividend yield, its reliability and sustainability?
1.85%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: DHG's dividend (1.85%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.47%).
High Dividend: DHG's dividend (1.85%) is low compared to the top 25% of dividend payers in the Australian market (6.45%).
Stability and Growth of Payments
Stable Dividend: DHG has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: DHG has only been paying a dividend for 2 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (91.6%), DHG's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: DHG's dividends in 3 years are forecast to be covered by earnings (76.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.5yrs
Average management tenure
CEO
Jason Pellegrino
1.83yrs
Tenure
AU$2,396,633
Compensation
Mr. Jason Pellegrino has been the Managing Director and Chief Executive Officer at Domain Holdings Australia Ltd. since August 27, 2018. He was Managing Director Australia and New Zealand at Google from Ma ...
CEO Compensation Analysis
Compensation vs Market: Jason's total compensation ($USD1.67M) is about average for companies of similar size in the Australian market ($USD1.40M).
Compensation vs Earnings: Insufficient data to compare Jason's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO & Director | 1.83yrs | AU$2.40m | 0.13% A$2.4m | |
| Chief Financial Officer | 2.58yrs | AU$924.38k | 0.017% A$324.1k | |
| Group Director of Strategy & Operations | 0.58yr | no data | no data | |
| Director of Technology | 0.42yr | no data | no data | |
| Group General Counsel & Company Secretary | 2.5yrs | no data | no data | |
| Chief Sales Officer | no data | no data | no data | |
| Chief Commercial Officer | no data | no data | no data | |
| Chief Data Officer | no data | no data | no data | |
| Chief Consumer Officer | 1.17yrs | no data | no data |
1.5yrs
Average Tenure
Experienced Management: DHG's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO & Director | 1.83yrs | AU$2.40m | 0.13% A$2.4m | |
| Non-Executive Chairman | 2.42yrs | AU$433.26k | 0.017% A$328.1k | |
| Independent Non-Executive Director | 2.58yrs | AU$150.85k | 0.0074% A$140.5k | |
| Independent Non-Executive Director | 2.58yrs | AU$152.89k | 0.010% A$194.3k | |
| Non-Executive Director | 0.33yr | no data | no data | |
| Independent Non-Executive Director | 2.58yrs | AU$112.12k | 0.0018% A$34.3k | |
| Non-Executive Director | 0.33yr | no data | no data |
2.4yrs
Average Tenure
60.5yo
Average Age
Experienced Board: DHG's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.
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 not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Domain Holdings Australia Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Domain Holdings Australia Limited
- Ticker: DHG
- Exchange: ASX
- Founded:
- Industry: Interactive Media and Services
- Sector: Media
- Market Cap: AU$1.894b
- Shares outstanding: 584.62m
- Website: https://shareholders.domain.com.au
Number of Employees
Location
- Domain Holdings Australia Limited
- 100 Harris Street
- Level 5
- Pyrmont
- New South Wales
- 2009
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| DHG | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Nov 2017 |
| DHG | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Nov 2017 |
| 3DH | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Nov 2017 |
Biography
Domain Holdings Australia Limited operates as a real estate media and technology services company that focuses on the property market in Australia. It operates through three segments: Core Digital, Consumer Solutions and Other, and Print segments. The company offers residential, commercial, and rural property marketing services through its listings portals on desktop and mobile, as well as through social media and print magazines. It also provides media and lead-generation solutions for advertisers looking to promote their products and services to consumers; and creates property market content to engage consumers and support audience growth. In addition, the company offers data and technology services to real estate agencies through customer relationship management software, property data subscriptions and research, and property inspection management tools. Further, it publishes real estate newspapers and magazines; and provides other services in the property lifecycle, including home loan brokerage, insurance, residential utilities product comparison, residential and commercial utilities connection, and trade services, as well as information services for buyers, investors, sellers, renters, and agents. Domain Holdings Australia Limited serves residential and commercial real estate agencies and professionals, property developers, financial services companies, retailers, utilities companies, media, government, and consumers. The company is based in Pyrmont, Australia. Domain Holdings Australia Limited is a subsidiary of Nine Entertainment Co. Holdings Limited.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/06 11:09 |
| End of Day Share Price | 2020/06/05 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.