ASX:GDF

Stock Analysis Report

Garda Property Group

Executive Summary

Garda Diversified Property Fund is a real estate investment trust externally managed by Garda Capital Group.


Snowflake Analysis

Undervalued with limited growth.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

1.1%

GDF

8.6%

AU REITs

7.1%

AU Market


1 Year Return

-31.9%

GDF

-31.7%

AU REITs

-19.4%

AU Market

Return vs Industry: GDF matched the Australian REITs industry which returned -31.7% over the past year.

Return vs Market: GDF underperformed the Australian Market which returned -19.4% over the past year.


Shareholder returns

GDFIndustryMarket
7 Day1.1%8.6%7.1%
30 Day-31.3%-34.1%-21.3%
90 Day-34.8%-33.2%-24.8%
1 Year-27.0%-31.9%-28.5%-31.7%-15.8%-19.4%
3 Year7.2%-14.4%-8.7%-21.7%-2.4%-15.8%
5 Yearn/a17.5%-8.6%8.4%-16.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Garda Property Group undervalued compared to its fair value and its price relative to the market?

41.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GDF (A$0.92) is trading below our estimate of fair value (A$1.58)

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


Price To Earnings Ratio

PE vs Industry: GDF is poor value based on its PE Ratio (9.6x) compared to the REITs industry average (9.2x).

PE vs Market: GDF is good value based on its PE Ratio (9.6x) compared to the Australian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: GDF is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: GDF is good value based on its PB Ratio (0.7x) compared to the AU REITs industry average (0.8x).


Next Steps

Future Growth

How is Garda Property Group forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

17.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GDF's forecast earnings growth (17.6% per year) is above the savings rate (1.1%).

Earnings vs Market: GDF's earnings (17.6% per year) are forecast to grow faster than the Australian market (9.7% per year).

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

Revenue vs Market: GDF's revenue (2.7% per year) is forecast to grow slower than the Australian market (4% per year).

High Growth Revenue: GDF's revenue (2.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GDF's Return on Equity is forecast to be low in 3 years time (7%).


Next Steps

Past Performance

How has Garda Property Group performed over the past 5 years?

39.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GDF has high quality earnings.

Growing Profit Margin: GDF's current net profit margins (45.6%) are lower than last year .


Past Earnings Growth Analysis

Earnings Trend: GDF has become profitable over the past 5 years, growing earnings by 39% per year.

Accelerating Growth: GDF's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GDF had negative earnings growth (-50.2%) over the past year, making it difficult to compare to the REITs industry average (1.7%).


Return on Equity

High ROE: GDF's Return on Equity (5.9%) is considered low.


Next Steps

Financial Health

How is Garda Property Group's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

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

Debt Coverage by Assets: GDF's debt is not covered by short term assets (assets are 0.1x debt).


Financial Institutions Analysis

Asset Level: GDF's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if GDF has a sufficient allowance for bad loans.

Low Risk Liabilities: GDF reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if GDF has an acceptable proportion of non-loan assets held.

Low Risk Deposits: GDF has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if GDF has an appropriate level of bad loans.


Next Steps

Dividend

What is Garda Property Group's current dividend yield, its reliability and sustainability?

9.78%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GDF's dividend (9.78%) is higher than the bottom 25% of dividend payers in the Australian market (3.17%).

High Dividend: GDF's dividend (9.78%) is in the top 25% of dividend payers in the Australian market (8.18%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, GDF has been paying a dividend for less than 10 years.

Growing Dividend: GDF's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (125.6%), GDF's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GDF's dividends in 3 years are not forecast to be well covered by earnings (100.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.0yrs

Average management tenure


CEO

Matthew Madsen (46yo)

8.58s

Tenure

Mr. Matthew Madsen, DipFin DipFinMrkt MAICD, has been Executive Chairman of GARDA Capital Limited, a Manager of Garda Property Group since January 31, 2017. He serves as Managing Director of GARDA Capital  ...


Leadership Team

NamePositionTenureCompensationOwnership
Matthew Madsen
Executive Chairman & MD of Garda Capital Limited8.58yrsno data4.41% A$8.2m
David Addis
Chief Operating Officer1.08yrsno datano data
Paul Brown
Manager of Investor Relations - Garda Capital Groupno datano datano data
Lachlan Davidson
General Counsel & Company Secretary of Garda Capital Limited6.25yrsno datano data
Matthew Burrows
Head of Property - Garda Capital Group2.83yrsno datano data
Ikram Patel
Financial Controller0.67yrno datano data
Paul Lohr
Asset Manager of Garda Capital Group3.08yrsno datano data

3.0yrs

Average Tenure

Experienced Management: GDF's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Matthew Madsen
Executive Chairman & MD of Garda Capital Limited8.58yrsno data4.41% A$8.2m
Morgan Parker
Independent Director of Garda Capital Limited1.33yrsno datano data
Andrew Thornton
Non-Executive Director0.083yrno data0.0017% A$3.1k
Paul Leitch
Independent Non-Executive Director0.083yrno datano data
Mark Hallett
Executive Director of Garda Capital Limited9.25yrsno data7.25% A$13.4m
Philip Lee
Non-Executive Director of Garda Capital Limited4.92yrsno data0.11% A$195.2k

2.3yrs

Average Tenure

Experienced Board: GDF's board of directors are not considered experienced ( 2.3 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: GDF insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.6%.


Top Shareholders

Company Information

Garda Property Group's company bio, employee growth, exchange listings and data sources


Key Information


Location

  • Garda Property Group
  • 12 Creek Street
  • Level 21
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GDFASX (Australian Securities Exchange)YesOrdinary UnitsAUAUDJul 2015
GDFCHIA (Chi-X Australia)YesOrdinary UnitsAUAUDJul 2015

Biography

Garda Diversified Property Fund is a real estate investment trust externally managed by Garda Capital Group. It invests in real estate markets of Australia. The fund intends to invest in commercial offices in city and suburban markets as well as industrial facilities along the eastern seaboard of Australia. Garda Diversified Property is domiciled in Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 11:02
End of Day Share Price2020/04/01 00:00
Earnings2019/12/31
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.