ASX:CSL

Stock Analysis Report

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Executive Summary

CSL Limited researches, develops, manufactures, markets, and distributes biopharmaceutical and allied products in Australia, the United States, Germany, the United Kingdom, Switzerland, China, and internationally. More Details


Snowflake Analysis

Outstanding track record with excellent balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CSL is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: CSL's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-5.3%

CSL

-5.0%

AU Biotechs

-1.7%

AU Market


1 Year Return

-19.3%

CSL

-17.7%

AU Biotechs

10.5%

AU Market

Return vs Industry: CSL underperformed the Australian Biotechs industry which returned -11.3% over the past year.

Return vs Market: CSL underperformed the Australian Market which returned 12.5% over the past year.


Shareholder returns

CSLIndustryMarket
7 Day-5.3%-5.0%-1.7%
30 Day-6.7%-6.3%-0.3%
90 Day-12.9%-12.7%2.7%
1 Year-18.1%-19.3%-16.5%-17.7%14.1%10.5%
3 Year62.8%56.5%63.7%57.6%29.7%14.0%
5 Year166.0%148.0%157.3%140.8%62.5%31.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

4.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: CSL (A$255.83) is trading below our estimate of fair value (A$268.39)

Significantly Below Fair Value: CSL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: CSL is good value based on its PE Ratio (34.1x) compared to the XX Biotechs industry average (42.4x).

PE vs Market: CSL is poor value based on its PE Ratio (34.1x) compared to the Australian market (20x).


Price to Earnings Growth Ratio

PEG Ratio: CSL is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: CSL is overvalued based on its PB Ratio (11.1x) compared to the AU Biotechs industry average (4.7x).


Next Steps

Future Growth

How is CSL forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

13.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CSL's forecast earnings growth (13.4% per year) is above the savings rate (2%).

Earnings vs Market: CSL's earnings (13.4% per year) are forecast to grow slower than the Australian market (15.6% per year).

High Growth Earnings: CSL's earnings are forecast to grow, but not significantly.

Revenue vs Market: CSL's revenue (9.4% per year) is forecast to grow faster than the Australian market (5.6% per year).

High Growth Revenue: CSL'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: CSL's Return on Equity is forecast to be high in 3 years time (28.7%)


Next Steps

Past Performance

How has CSL performed over the past 5 years?

13.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CSL has high quality earnings.

Growing Profit Margin: CSL's current net profit margins (26.7%) are higher than last year (22.4%).


Past Earnings Growth Analysis

Earnings Trend: CSL's earnings have grown by 13.7% per year over the past 5 years.

Accelerating Growth: CSL's earnings growth over the past year (32.8%) exceeds its 5-year average (13.7% per year).

Earnings vs Industry: CSL earnings growth over the past year (32.8%) exceeded the Biotechs industry 7.5%.


Return on Equity

High ROE: CSL's Return on Equity (32.7%) is considered high.


Next Steps

Financial Health

How is CSL's financial position?


Financial Position Analysis

Short Term Liabilities: CSL's short term assets ($8.1B) exceed its short term liabilities ($2.7B).

Long Term Liabilities: CSL's short term assets ($8.1B) exceed its long term liabilities ($6.9B).


Debt to Equity History and Analysis

Debt Level: CSL's debt to equity ratio (60.8%) is considered high.

Reducing Debt: CSL's debt to equity ratio has reduced from 107.4% to 60.8% over the past 5 years.

Debt Coverage: CSL's debt is well covered by operating cash flow (72.1%).

Interest Coverage: CSL's interest payments on its debt are well covered by EBIT (24.5x coverage).


Balance Sheet


Next Steps

Dividend

What is CSL current dividend yield, its reliability and sustainability?

1.06%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CSL's dividend (1.06%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.09%).

High Dividend: CSL's dividend (1.06%) is low compared to the top 25% of dividend payers in the Australian market (5.52%).


Stability and Growth of Payments

Stable Dividend: CSL is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.

Growing Dividend: CSL is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

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


Future Payout to Shareholders

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

2.5yrs

Average management tenure


CEO

Paul Perreault (63 yo)

7.67yrs

Tenure

US$11,116,792

Compensation

Mr. Paul R. Perreault, B.A. (Psychology) has been the Chief Executive Officer and Managing Director of CSL Limited since July 1, 2013. Mr. Perreault serves as the Chief Executive Officer and Managing Direc...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD11.12M) is above average for companies of similar size in the Australian market ($USD3.51M).

Compensation vs Earnings: Paul's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Paul Perreault
MD, CEO & Executive Director7.67yrsUS$11.12m0.036%
$ 43.6m
Paul McKenzie
Chief Operating Officer1.67yrsUS$6.83m0.00088%
$ 1.1m
Robert Cuthbertson
Senior Adviser & Executive Director2.42yrsUS$2.80m0.023%
$ 28.5m
John A. Levy
Senior VP of Corporate Finance & Interim CFO1.17yrsno datano data
Joy Linton
Chief Financial Officer0.42yrno datano data
Mark Dehring
Head of Investor Relationsno datano datano data
Gregory Boss
Executive VP of Legal & Group General Counsel12.17yrsUS$2.31mno data
Christina Hickie
Senior Manager of Communicationsno datano datano data
Elizabeth Walker
Executive VP & Chief Human Resources Officer3.25yrsUS$1.35mno data
Karen Etchberger
Executive Vice President of Quality & Business Services10.92yrsUS$2.14mno data
Sharon McHale
Head of Public Affairsno datano datano data
Wilfried Freudenberg
Department Head of Albumin & Immunoglobulins Productionno datano datano data

2.5yrs

Average Tenure

59yo

Average Age

Experienced Management: CSL's management team is considered experienced (2.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Paul Perreault
MD, CEO & Executive Director7.67yrsUS$11.12m0.036%
$ 43.6m
Robert Cuthbertson
Senior Adviser & Executive Director2.42yrsUS$2.80m0.023%
$ 28.5m
Megan Clark
Independent Non Executive Director5.08yrsUS$221.26k0.00075%
$ 911.2k
Carolyn Hewson
Independent Non-Executive Director1.25yrsUS$84.21k0.00017%
$ 206.5k
Brian McNamee
Independent Non-Executive Chairman2.42yrsUS$535.99k0.036%
$ 43.2m
Bruce Brook
Independent Non-Executive Director9.58yrsUS$207.79k0.0012%
$ 1.5m
Shah Hussain
Independent Non-Executive Director3.08yrsUS$201.39k0.000080%
$ 97.2k
Marie McDonald
Independent Non-Executive Director7.58yrsUS$195.73k0.00072%
$ 874.7k

4.1yrs

Average Tenure

63.5yo

Average Age

Experienced Board: CSL's board of directors are considered experienced (4.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CSL 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

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


Key Information

  • Name: CSL Limited
  • Ticker: CSL
  • Exchange: ASX
  • Founded: 1916
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: AU$121.488b
  • Shares outstanding: 455.01m
  • Website: https://www.csl.com.au

Number of Employees


Location

  • CSL Limited
  • 45 Poplar Road
  • Parkville
  • Victoria
  • 3052
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CSLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 1994
CSJDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 1994
CMXH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 1994
CSLCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 1994
CSL NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJun 1994
CSLL.YOTCPK (Pink Sheets LLC)SPONSORED ADRUSUSDOct 2008
CSJADB (Deutsche Boerse AG)SPONSORED ADRDEEUROct 2008

Biography

CSL Limited researches, develops, manufactures, markets, and distributes biopharmaceutical and allied products in Australia, the United States, Germany, the United Kingdom, Switzerland, China, and internat...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/04 07:02
End of Day Share Price2021/03/04 00:00
Earnings2020/12/31
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.