ASX:SSL

Stock Analysis Report

Executive Summary

Sietel Limited invests in industrial, commercial, and retail real estate properties in Australia.

Snowflake

Fundamentals

Flawless balance sheet with acceptable track record.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

SSL

2.2%

AU Real Estate

-0.2%

AU Market


1 Year Return

5.1%

SSL

4.4%

AU Real Estate

10.5%

AU Market

Return vs Industry: SSL matched the Australian Real Estate industry which returned 4.4% over the past year.

Return vs Market: SSL underperformed the Australian Market which returned 10.5% over the past year.


Shareholder returns

SSLIndustryMarket
7 Day0%2.2%-0.2%
30 Day0%4.7%-1.4%
90 Day0%15.8%-1.0%
1 Year5.1%5.1%7.9%4.4%16.9%10.5%
3 Yearn/a28.2%14.4%36.9%18.6%
5 Year56.5%56.5%38.7%14.2%50.2%16.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

37.38x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SSL (A$7.2) is trading above our estimate of fair value (A$3.98)

Significantly Below Fair Value: SSL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SSL is poor value based on its PE Ratio (37.4x) compared to the Real Estate industry average (13.7x).

PE vs Market: SSL is poor value based on its PE Ratio (37.4x) compared to the Australian market (18.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SSL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SSL is good value based on its PB Ratio (0.8x) compared to the AU Real Estate industry average (1x).


Next Steps

Future Growth

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

26.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SSL's forecast earnings growth (26.6% per year) is above the savings rate (2.3%).

Earnings vs Market: SSL's earnings (26.6% per year) are forecast to grow faster than the Australian market (10.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: Insufficient data to determine if SSL's revenue is forecast to grow faster than the Australian market.

High Growth Revenue: Insufficient data to determine if SSL's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if SSL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Sietel performed over the past 5 years?

14.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SSL's earnings have grown by 14.5% per year over the past 5 years.

Accelerating Growth: SSL's earnings growth over the past year (11.3%) is below its 5-year average (14.5% per year).

Earnings vs Industry: SSL earnings growth over the past year (11.3%) exceeded the Real Estate industry -2.4%.


Return on Equity

High ROE: SSL's Return on Equity (2.3%) is considered low.


Return on Assets

ROA vs Industry: SSL's Return on Assets is below or equal to the Real Estate industry average last year.


Return on Capital Employed

ROCE Improving: SSL has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Sietel's financial position?


Financial Position Analysis

Short Term Liabilities: SSL's short term assets (A$5.3M) exceeds its short term liabilities (A$2.8M)

Long Term Liabilities: SSL's short term assets (5.3M) exceeds its long term liabilities (1.5M)


Debt to Equity History and Analysis

Debt Level: SSL is debt free.

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

Debt Coverage: SSL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: SSL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: SSL has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if SSL's debt is covered by short term assets.


Next Steps

Dividend

What is Sietel's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.4%markettop25%5.6%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

Growing Dividend: Insufficient data to determine if SSL'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 SSL's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

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

38.8yrs

Average board tenure


CEO

Richard Rees (69yo)

38.8yrs

Tenure

AU$315,000

Compensation

Mr. Richard Rees, B. Comm, C.A., has been the Chief Executive Officer of Cooks Body Works Pty Ltd since 1981 and serves as its Managing Director and Company Secretary. Mr. Rees has been Managing Director a ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Richard's total compensation is reasonable compared to companies of similar size in the Australian market.

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


Board Age and Tenure

38.8yrs

Average Tenure

69yo

Average Age

Experienced Board: SSL's board of directors are seasoned and experienced ( 38.8 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

BuyAU$19,80022 Jul 19
Delwyn Rees
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares2,750
Max PriceAU$7.20
BuyAU$19,80022 Jul 19
Richard Rees
EntityIndividual
Role
Chief Executive Officer
MD, Company Secretary & Director
Shares2,750
Max PriceAU$7.20
BuyAU$25,25812 Jun 19
Triple Two Investments Pty. Ltd.
EntityCompany
Shares3,508
Max PriceAU$7.20

Ownership Breakdown


Management Team

  • Richard Rees (69yo)

    MD, Company Secretary & Director

    • Tenure: 38.8yrs
    • Compensation: AU$315.00k
  • Thomas Rees

    Executive Officer

    • Tenure: 0yrs
    • Compensation: AU$230.00k

Board Members

  • Geoff Rees (65yo)

    Non Executive Chairman

    • Tenure: 4.7yrs
    • Compensation: AU$70.00k
  • Delwyn Rees (93yo)

    Non-Executive Director

    • Tenure: 52.8yrs
    • Compensation: AU$76.65k
  • Richard Rees (69yo)

    MD, Company Secretary & Director

    • Tenure: 38.8yrs
    • Compensation: AU$315.00k

Company Information

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


Key Information

  • Name: Sietel Limited
  • Ticker: SSL
  • Exchange: ASX
  • Founded:
  • Industry: Real Estate Operating Companies
  • Sector: Real Estate
  • Market Cap: AU$57.654m
  • Shares outstanding: 8.01m
  • Website: https://www.sietel.com.au

Location

  • Sietel Limited
  • 140-144 Cochranes Road
  • Moorabbin
  • Victoria
  • 3189
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SSLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992

Biography

Sietel Limited invests in industrial, commercial, and retail real estate properties in Australia. The company also offers commercial vehicle body building, and property maintenance services; and invests in ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 10:31
End of Day Share Price2019/09/05 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


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.