ASX:CWP

Stock Analysis Report

Cedar Woods Properties

Executive Summary

Cedar Woods Properties Limited engages in property investment and development activities in Australia.

Snowflake

Fundamentals

Excellent balance sheet with proven track record and pays a dividend.

Share Price & News

How has Cedar Woods Properties's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.7%

CWP

3.3%

AU Real Estate

0.4%

AU Market


1 Year Return

22.8%

CWP

3.1%

AU Real Estate

9.8%

AU Market

Return vs Industry: CWP exceeded the Australian Real Estate industry which returned 3.1% over the past year.

Return vs Market: CWP exceeded the Australian Market which returned 9.8% over the past year.


Shareholder returns

CWPIndustryMarket
7 Day4.7%3.3%0.4%
30 Day1.0%2.5%-1.1%
90 Day9.1%13.5%-0.6%
1 Year29.1%22.8%6.5%3.1%16.1%9.8%
3 Year77.7%52.4%25.1%11.7%36.1%17.9%
5 Year30.3%-0.7%40.6%15.9%49.4%15.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Cedar Woods Properties undervalued compared to its fair value and its price relative to the market?

11.42x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: CWP (A$6.95) is trading above our estimate of fair value (A$5.58)

Significantly Undervalued: CWP is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CWP is good value based on its PE Ratio (11.4x) compared to the Real Estate industry average (12.9x).

PE vs Market: CWP is good value based on its PE Ratio (11.4x) compared to the Australian market (18.2x).


Price to Earnings Growth Ratio

Low PEG Ratio: CWP is poor value based on its PEG Ratio (2.8x)


Price to Book Ratio

PB vs Industry: CWP is overvalued based on its PB Ratio (1.5x) compared to the AU Real Estate industry average (1x).


Next Steps

Future Growth

How is Cedar Woods Properties forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

4.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CWP's forecast earnings growth (4.1% per year) is above the savings rate (2.3%).

Earnings vs Market: CWP's earnings (4.1% per year) are forecast to grow slower than the Australian market (10.3% per year).

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

Revenue vs Market: CWP's revenue (2.5% per year) is forecast to grow slower than the Australian market (3.6% per year).

High Growth Revenue: CWP's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: CWP's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has Cedar Woods Properties performed over the past 5 years?

8.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CWP's earnings have grown by 8.7% per year over the past 5 years.

Accelerating Growth: CWP's earnings growth over the past year (14.2%) exceeds its 5-year average (8.7% per year).

Earnings vs Industry: CWP earnings growth over the past year (14.2%) exceeded the Real Estate industry -2.5%.


Return on Equity

High ROE: CWP's Return on Equity (12.9%) is considered low.


Return on Assets

ROA vs Industry: CWP has a higher Return on Assets than the Real Estate industry average last year.


Return on Capital Employed

ROCE Improving: CWP's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Cedar Woods Properties's financial position?


Financial Position Analysis

Short Term Liabilities: CWP's short term assets (A$171.0M) exceeds its short term liabilities (A$54.2M)

Long Term Liabilities: CWP's short term assets (171.0M) exceeds its long term liabilities (141.0M)


Debt to Equity History and Analysis

Debt Level: CWP's debt to equity ratio (31.6%) is considered satisfactory

Reducing Debt: CWP's debt to equity ratio has increased from 16.3% to 31.6% over the past 5 years.

Debt Coverage: CWP's debt is well covered by operating cash flow (27.8%).

Interest Coverage: CWP's interest payments on its debt are well covered by EBIT (29.5x coverage).


Balance Sheet

Inventory Level: CWP has a high level of physical assets or inventory.

Debt Coverage by Assets: CWP's debt is covered by short term assets (assets are 1.437130x debt).


Next Steps

Dividend

What is Cedar Woods Properties's current dividend yield, its reliability and sustainability?

4.53%

Current Dividend Yield


Dividend Yield vs Market

company4.5%marketbottom25%2.4%markettop25%5.6%industryaverage2.7%forecastin3Years4.7%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: CWP's dividend (4.53%) is higher than the bottom 25% of dividend payers in the Australian market (2.44%).

High Dividend: CWP's dividend (4.53%) is low compared to the top 25% of dividend payers in the Australian market (5.59%).

Stable Dividend: CWP's dividend payments have been volatile in the past 10 years.

Growing Dividend: CWP's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (51.8%), CWP's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CWP's dividends in 3 years are forecast to be covered by earnings (50.7% payout ratio).


Next Steps

Management

What is the CEO of Cedar Woods Properties's salary, the management and board of directors tenure and is there insider trading?

2.1yrs

Average management tenure


CEO

Nathan Blackburne 0

2.1yrs

Tenure

AU$997,009

Compensation

Mr. Nathan John Blackburne, BB, AMP, GAID has been Managing Director of Cedar Woods Properties Limited since September 18, 2017. Mr. Blackburne served as the Chief Operating Officer of Cedar Woods Properti ...


CEO Compensation Analysis

Compensation vs. Market: Nathan has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Australian market.

Compensation vs Earnings: Nathan's compensation has increased by more than 20% in the past year.


Management Age and Tenure

2.1yrs

Average Tenure

Experienced Management: CWP's management team is considered experienced (2.1 years average tenure).


Board Age and Tenure

3.1yrs

Average Tenure

Experienced Board: CWP's board of directors are considered experienced (3.1 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellAU$1,060,12105 Sep 19
Westland Group Holdings Pty Ltd
EntityCompany
Shares163,951
Max PriceAU$6.47
BuyAU$6,146,39422 May 19
Westoz Funds Management Pty Ltd.
EntityCompany
Shares1,155,043
Max PriceAU$5.32
SellAU$6,786,81222 May 19
Westoz Funds Management Pty Ltd.
EntityCompany
Shares1,179,816
Max PriceAU$5.75
BuyAU$18,37515 Nov 18
Nathan Blackburne
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares3,500
Max PriceAU$5.25
BuyAU$66,27015 Nov 18
Joia Holdings Pty Ltd
EntityCompany
Shares11,045
Max PriceAU$6.00

Ownership Breakdown


Management Team

  • Nathan Blackburne

    MD & Executive Director

    • Tenure: 2.1yrs
    • Compensation: AU$997.01k
  • William Hames

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: AU$164.00k
  • Paul Freedman

    Company Secretary

    • Tenure: 21.8yrs
    • Compensation: AU$281.46k
  • Patrick Archer

    Chief Operating Officer

    • Tenure: 1.9yrs
    • Compensation: AU$516.07k
  • Ben Rosser

    State Manager of Western Australia

    • Tenure: 4.3yrs
    • Compensation: AU$391.52k
  • Leon Hanrahan

    Chief Financial Officer

    • Tenure: 1.3yrs
    • Compensation: AU$349.17k

Board Members

  • Valerie Davies (68yo)

    Independent Non-Executive Director

    • Tenure: 4.1yrs
    • Compensation: AU$88.70k
  • Nathan Blackburne

    MD & Executive Director

    • Tenure: 2.1yrs
    • Compensation: AU$997.01k
  • Robert Brown

    Deputy Chairman

    • Tenure: 0yrs
    • Compensation: AU$126.50k
  • William Hames

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: AU$164.00k
  • Ron Packer

    Lead Independent Director (Leave of Absence)

    • Tenure: 4.3yrs
    • Compensation: AU$128.30k
  • Jane Muirsmith

    Independent Non-Executive Director

    • Tenure: 2yrs
    • Compensation: AU$88.70k

Company Information

Cedar Woods Properties Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cedar Woods Properties Limited
  • Ticker: CWP
  • Exchange: ASX
  • Founded: 1987
  • Industry: Real Estate Development
  • Sector: Real Estate
  • Market Cap: AU$557.244m
  • Shares outstanding: 80.18m
  • Website: https://www.cedarwoods.com.au

Location

  • Cedar Woods Properties Limited
  • 50 Colin Street
  • Ground Floor
  • West Perth
  • Western Australia
  • 6005
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CWPASX (Australian Securities Exchange)YesOrdinary SharesAUAUDSep 1994
CWPCHIA (Chi-X Australia)YesOrdinary SharesAUAUDSep 1994

Biography

Cedar Woods Properties Limited engages in property investment and development activities in Australia. It is involved in the urban land subdivision and development of residential, commercial, and retail pr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/19 10:31
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.