ASX:SWM

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Seven West Media

Executive Summary

Seven West Media Limited, together with its subsidiaries, operates as an integrated media company in Australia and internationally. More Details


Snowflake Analysis

Moderate growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Seven West Media's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SWM is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: SWM's weekly volatility has decreased from 16% to 10% over the past year.


Market Performance


7 Day Return

1.9%

SWM

8.8%

AU Media

-0.3%

AU Market


1 Year Return

230.3%

SWM

5.8%

AU Media

7.6%

AU Market

Return vs Industry: SWM exceeded the Australian Media industry which returned 5.8% over the past year.

Return vs Market: SWM exceeded the Australian Market which returned 7.6% over the past year.


Shareholder returns

SWMIndustryMarket
7 Day1.9%8.8%-0.3%
30 Day45.3%17.2%0.4%
90 Day118.0%25.5%5.1%
1 Year230.3%230.3%21.6%5.8%11.2%7.6%
3 Year-6.0%-6.0%-8.8%-28.7%30.6%14.9%
5 Year-34.8%-43.8%15.9%-21.0%65.8%33.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Seven West Media undervalued compared to its fair value and its price relative to the market?

26.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SWM (A$0.55) is trading below our estimate of fair value (A$0.75)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: SWM has negative assets, so we can't compare its PB Ratio to the AU Media industry average.


Next Steps

Future Growth

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

-0.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SWM's earnings are forecast to decline over the next 3 years (-0.9% per year).

Earnings vs Market: SWM is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: SWM's is expected to become profitable in the next 3 years.

Revenue vs Market: SWM's revenue (1.9% per year) is forecast to grow slower than the Australian market (5.2% per year).

High Growth Revenue: SWM's revenue (1.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SWM's Return on Equity is forecast to be very high in 3 years time (74.1%).


Next Steps

Past Performance

How has Seven West Media performed over the past 5 years?

9.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SWM is currently unprofitable.

Growing Profit Margin: SWM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SWM is unprofitable, but has reduced losses over the past 5 years at a rate of 9% per year.

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

Earnings vs Industry: SWM is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (-3.6%).


Return on Equity

High ROE: SWM's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Seven West Media's financial position?


Financial Position Analysis

Short Term Liabilities: SWM has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: SWM has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: SWM has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: SWM's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


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: Whilst unprofitable SWM has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: SWM is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 25.1% per year.


Next Steps

Dividend

What is Seven West Media current dividend yield, its reliability and sustainability?

0.60%

Forecast Dividend Yield


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: SWM is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SWM'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?

3.8yrs

Average management tenure


CEO

James Warburton (50 yo)

1.5yrs

Tenure

AU$1,342,248

Compensation

Mr. James R. Warburton serves as Managing Director, Chief Executive Officer and Director at Seven West Media Limited since August 16, 2019. He was the Chief Executive Officer and Managing Director of APN O...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD1.07M) is about average for companies of similar size in the Australian market ($USD955.18K).

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


Leadership Team

NamePositionTenureCompensationOwnership
James Warburton
MD, CEO & Director1.5yrsAU$1.34mno data
Jeffrey Howard
Chief Financial Officer1.08yrsAU$296.17kno data
Katie McGrath
Chief People & Culture Officer3.83yrsAU$583.90kno data
Kurt Burnette
Chief Revenue Officer7.33yrsAU$1.29mno data
Bruce McWilliam
Commercial Director9.83yrsAU$1.07mno data
Robert Cronin
Editor-In-Chief & Editor of the West Australian12.17yrsno datano data
Charlotte Valente
Chief Marketing Officer1.33yrsno datano data
Mark Mallabone
Chief of Staffno datano datano data
David Porter
Head of TV Operations6.08yrsno datano data
Maryna Fewster
Chief Executive Officer of SWM WA1.25yrsno datano data
Gereurd Roberts
Chief Digital Officer0.67yrno datano data
Warren Coatsworth
Company Secretary7.83yrsno datano data

3.8yrs

Average Tenure

50yo

Average Age

Experienced Management: SWM's management team is considered experienced (3.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
James Warburton
MD, CEO & Director1.5yrsAU$1.34mno data
John Alexander
Independent Non-Executive Director7.75yrsAU$135.63k0.0036%
A$ 31.0k
Colette Garnsey
Independent Non-Executive Director2.17yrsAU$124.30k0.016%
A$ 138.7k
Michael Malone
Independent Non-Executive Director5.67yrsAU$130.38k0.015%
A$ 129.3k
Ryan Stokes
Non-Independent Non-Executive Director8.5yrsAU$126.88k0.016%
A$ 133.4k
Kerry Stokes
Chairman of the Board12.17yrsAU$295.20kno data
David Evans
Independent Non-Executive Director8.5yrsAU$139.13k0.060%
A$ 514.9k
Teresa Dyson
Independent Non-Executive Director3.25yrsAU$153.13k0.0025%
A$ 21.2k
Michael Ziegelaar
Independent Non-Executive Director3.25yrsAU$130.38k0.00065%
A$ 5.5k

5.7yrs

Average Tenure

56yo

Average Age

Experienced Board: SWM's board of directors are considered experienced (5.7 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Seven West Media Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Seven West Media Limited
  • Ticker: SWM
  • Exchange: ASX
  • Founded: 1991
  • Industry: Broadcasting
  • Sector: Media
  • Market Cap: AU$853.609m
  • Shares outstanding: 1.54b
  • Website: https://www.sevenwestmedia.com.au

Number of Employees


Location

  • Seven West Media Limited
  • Newspaper House
  • 50 Hasler Road
  • Perth
  • Western Australia
  • 6017
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SWMASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992
WA7DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
SWMCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1992

Biography

Seven West Media Limited, together with its subsidiaries, operates as an integrated media company in Australia and internationally. The company operates through Television; The West; and Other Business and...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/26 07:01
End of Day Share Price2021/02/26 00:00
Earnings2020/12/26
Annual Earnings2020/06/27


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.