Executive Summary
GTN Limited, together with its subsidiaries, operates broadcast media advertising platforms that supply traffic information reports to radio and/or television stations.
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with excellent balance sheet and pays a dividend.
Share Price & News
How has GTN's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: GTN's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-9.2%
GTN
0.09%
AU Media
4.0%
AU Market
1 Year Return
-65.6%
GTN
-46.1%
AU Media
-16.5%
AU Market
Return vs Industry: GTN underperformed the Australian Media industry which returned -47.1% over the past year.
Return vs Market: GTN underperformed the Australian Market which returned -19% over the past year.
Shareholder returns
| GTN | Industry | Market | |
|---|---|---|---|
| 7 Day | -9.2% | 0.09% | 4.0% |
| 30 Day | -34.6% | -33.1% | -15.4% |
| 90 Day | -47.3% | -47.4% | -23.5% |
| 1 Year | -63.6%-65.6% | -42.0%-46.1% | -12.8%-16.5% |
| 3 Year | -79.8%-82.6% | -40.0%-50.8% | -0.9%-14.5% |
| 5 Year | n/a | -42.2%-59.5% | 11.2%-13.9% |
Price Volatility Vs. Market
How volatile is GTN's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
A Sliding Share Price Has Us Looking At GTN Limited's (ASX:GTN) P/E Ratio3 weeks ago | Simply Wall St
How Does GTN's (ASX:GTN) P/E Compare To Its Industry, After The Share Price Drop?1 month ago | Simply Wall St
It Might Be Better To Avoid GTN Limited's (ASX:GTN) Upcoming DividendValuation
Is GTN 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: GTN (A$0.46) is trading below our estimate of fair value (A$3.52)
Significantly Below Fair Value: GTN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: GTN is good value based on its PE Ratio (8.1x) compared to the Media industry average (15.2x).
PE vs Market: GTN is good value based on its PE Ratio (8.1x) compared to the Australian market (13x).
Price to Earnings Growth Ratio
PEG Ratio: GTN is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: GTN is good value based on its PB Ratio (0.4x) compared to the AU Media industry average (1x).
Next Steps
Future Growth
How is GTN forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
28.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: GTN's forecast earnings growth (28.8% per year) is above the savings rate (1.1%).
Earnings vs Market: GTN's earnings (28.8% per year) are forecast to grow faster than the Australian market (10% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: GTN's revenue (7.9% per year) is forecast to grow faster than the Australian market (4.1% per year).
High Growth Revenue: GTN's revenue (7.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: GTN's Return on Equity is forecast to be low in 3 years time (12.6%).
Next Steps
Past Performance
How has GTN performed over the past 5 years?
58.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: GTN has high quality earnings.
Growing Profit Margin: GTN's current net profit margins (6.8%) are lower than last year (11.7%).
Past Earnings Growth Analysis
Earnings Trend: GTN has become profitable over the past 5 years, growing earnings by 58.5% per year.
Accelerating Growth: GTN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: GTN had negative earnings growth (-41.9%) over the past year, making it difficult to compare to the Media industry average (-37.7%).
Return on Equity
High ROE: GTN's Return on Equity (5.3%) is considered low.
Next Steps
Financial Health
How is GTN's financial position?
Financial Position Analysis
Short Term Liabilities: GTN's short term assets (A$100.4M) exceed its short term liabilities (A$35.4M).
Long Term Liabilities: GTN's short term assets (A$100.4M) exceed its long term liabilities (A$82.8M).
Debt to Equity History and Analysis
Debt Level: GTN's debt to equity ratio (25.3%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if GTN's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: GTN's debt is well covered by operating cash flow (49%).
Interest Coverage: GTN earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is GTN's current dividend yield, its reliability and sustainability?
10.34%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: GTN's dividend (10%) is higher than the bottom 25% of dividend payers in the Australian market (3.17%).
High Dividend: GTN's dividend (10%) is in the top 25% of dividend payers in the Australian market (8.1%)
Stability and Growth of Payments
Stable Dividend: GTN has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: GTN has only been paying a dividend for 3 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (80.9%), GTN's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: GTN's dividends in 3 years are forecast to be covered by earnings (65% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
AU$1m
CEO Compensation
CEO
Bill Yde (66yo)
15.25s
Tenure
AU$1,394,492
Compensation
Mr. William L. Yde, III, also known as Bill, has been Chief Executive Officer, Managing Director and President of GTN Limited since 2005. Mr. Yde has been Chairman, Chief Executive Officer and President of ...
CEO Compensation Analysis
Compensation vs Market: Bill's total compensation ($USD837.99K) is above average for companies of similar size in the Australian market ($USD238.47K).
Compensation vs Earnings: Bill's compensation has been consistent with company performance over the past year.
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
GTN Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: GTN Limited
- Ticker: GTN
- Exchange: ASX
- Founded: 1997
- Industry: Advertising
- Sector: Media
- Market Cap: AU$95.799m
- Shares outstanding: 215.28m
- Website: https://www.gtnetwork.com.au
Location
- GTN Limited
- 100 Miller Street
- Level 42, Northpoint
- North Sydney
- New South Wales
- 2060
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| GTN | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Jun 2016 |
| GTN | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Jun 2016 |
Biography
GTN Limited, together with its subsidiaries, operates broadcast media advertising platforms that supply traffic information reports to radio and/or television stations. The company through its advertising spots offers information reports for listeners related to traffic, news, etc. Its advertising platform enables advertisers to reach audiences in Australia, the United Kingdom, Canada, and Brazil. The company was founded in 1997 and is headquartered in North Sydney, Australia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 12:48 |
| End of Day Share Price | 2020/04/08 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.