ASX:AC8

Stock Analysis Report

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Executive Summary

AusCann Group Holdings Ltd, a pharmaceutical company, researches, develops, cultivates, produces, and distributes cannabinoid-based pharmaceuticals in Australia and internationally. More Details


Snowflake Analysis

Excellent balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AC8's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.6%

AC8

-5.7%

AU Pharmaceuticals

-3.9%

AU Market


1 Year Return

-50.9%

AC8

-32.4%

AU Pharmaceuticals

-9.6%

AU Market

Return vs Industry: AC8 underperformed the Australian Pharmaceuticals industry which returned -32.4% over the past year.

Return vs Market: AC8 underperformed the Australian Market which returned -9.6% over the past year.


Shareholder returns

AC8IndustryMarket
7 Day-3.6%-5.7%-3.9%
30 Day-10.0%-13.7%1.8%
90 Day-10.0%-8.3%1.7%
1 Year-50.9%-50.9%-32.3%-32.4%-6.4%-9.6%
3 Year-73.0%-73.0%-40.8%-41.7%12.3%-1.9%
5 Yearn/a-36.9%-40.4%40.0%11.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.24x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate AC8's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate AC8's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: AC8 is unprofitable, so we can't compare its PE Ratio to the XO Pharmaceuticals industry average.

PE vs Market: AC8 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 AC8's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AC8 is good value based on its PB Ratio (1.2x) compared to the AU Pharmaceuticals industry average (3.4x).


Next Steps

Future Growth

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

67.6%

Forecasted Pharmaceuticals & Biotech 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 AusCann Group Holdings 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 AusCann Group Holdings performed over the past 5 years?

-1.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AC8 is currently unprofitable.

Growing Profit Margin: AC8 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AC8 is unprofitable, and losses have increased over the past 5 years at a rate of 1.3% per year.

Accelerating Growth: Unable to compare AC8's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AC8 is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (117.8%).


Return on Equity

High ROE: AC8 has a negative Return on Equity (-20.43%), as it is currently unprofitable.


Next Steps

Financial Health

How is AusCann Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: AC8's short term assets (A$23.6M) exceed its short term liabilities (A$774.8K).

Long Term Liabilities: AC8's short term assets (A$23.6M) exceed its long term liabilities (A$54.4K).


Debt to Equity History and Analysis

Debt Level: AC8 is debt free.

Reducing Debt: AC8 has not had any debt for past 5 years.


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: AC8 has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: AC8 has less than a year of cash runway if free cash flow continues to reduce at historical rates of 48.4% each year


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AC8's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate AC8'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 AC8's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AC8'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 AC8'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?

0.8yrs

Average board tenure


CEO

Nick Woolf (52 yo)

0.17

Tenure

Mr. Nicholas Woolf, also known as Nick, MA (OXOM), FCCA has been Chief Executive Officer of AusCann Group Holdings Ltd since August 5, 2020. Mr. Woolf served as Chief Business Officer of Suda Pharmaceutica ...


Board Members

NamePositionTenureCompensationOwnership
Bruce McHarrie
Independent Non-Executive Director3.75yrsAU$65.70k0.036%
A$ 15.4k
Christopher Mews
Independent Non-Executive Director0.83yrAU$31.94kno data
Robert Johnston
Independent Non-Executive Chairman0.75yrAU$43.88k0.16%
A$ 67.5k
Krista Bates
Independent Non-Executive Director0.83yrAU$29.14k0.043%
A$ 18.2k
Marc Russo
Chief Medical Advisor & Chairman of Medical Advisory Boardno datano datano data
Peter Gonski
Member of Medical Advisory Boardno datano datano data
Sachin Shetty
Member of Medical Advisory Boardno datano datano data
Peter Georgius
Member of Medical Advisory Boardno datano datano data

0.8yrs

Average Tenure

Experienced Board: AC8's board of directors are not considered experienced ( 0.8 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

AusCann Group Holdings Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AusCann Group Holdings Ltd
  • Ticker: AC8
  • Exchange: ASX
  • Founded:
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: AU$42.801m
  • Shares outstanding: 317.05m
  • Website: https://auscann.com.au

Location

  • AusCann Group Holdings Ltd
  • 35 Havelock Street
  • Level 5
  • West Perth
  • Western Australia
  • 6005
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AC8ASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 2017
AC8CHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 2017
UVPDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 2017
ACNN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 2017

Biography

AusCann Group Holdings Ltd, a pharmaceutical company, researches, develops, cultivates, produces, and distributes cannabinoid-based pharmaceuticals in Australia and internationally. It offers hard-shell ca ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/31 10:44
End of Day Share Price2020/10/30 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.