MotorCycle Holdings Limited operates as a motorcycle dealer in Australia.
Undervalued with excellent balance sheet.
Share Price & News
How has MotorCycle Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MTO's share price has been volatile over the past 3 months.
7 Day Return
AU Specialty Retail
1 Year Return
AU Specialty Retail
Return vs Industry: MTO exceeded the Australian Specialty Retail industry which returned -8.8% over the past year.
Return vs Market: MTO exceeded the Australian Market which returned -10.6% over the past year.
Price Volatility Vs. Market
How volatile is MotorCycle Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall StWhy We’re Not Keen On MotorCycle Holdings Limited’s (ASX:MTO) 7.0% Return On Capital
2 weeks ago | Simply Wall StA Rising Share Price Has Us Looking Closely At MotorCycle Holdings Limited's (ASX:MTO) P/E Ratio
3 weeks ago | Simply Wall StInvestors Who Bought MotorCycle Holdings (ASX:MTO) Shares Three Years Ago Are Now Down 79%
Is MotorCycle Holdings undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MTO (A$1.38) is trading below our estimate of fair value (A$1.57)
Significantly Below Fair Value: MTO is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: MTO is good value based on its PE Ratio (10.7x) compared to the Specialty Retail industry average (11.4x).
PE vs Market: MTO is good value based on its PE Ratio (10.7x) compared to the Australian market (15.2x).
Price to Earnings Growth Ratio
PEG Ratio: MTO is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: MTO is good value based on its PB Ratio (0.6x) compared to the AU Specialty Retail industry average (1.8x).
How is MotorCycle Holdings forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MTO's forecast earnings growth (17.8% per year) is above the savings rate (2.3%).
Earnings vs Market: MTO's earnings (17.8% per year) are forecast to grow faster than the Australian market (15% per year).
High Growth Earnings: MTO's earnings are forecast to grow, but not significantly.
Revenue vs Market: MTO's revenue (4.8% per year) is forecast to grow faster than the Australian market (4.5% per year).
High Growth Revenue: MTO's revenue (4.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MTO's Return on Equity is forecast to be low in 3 years time (6.9%).
How has MotorCycle Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MTO has high quality earnings.
Growing Profit Margin: MTO's current net profit margins (2.4%) are lower than last year (3%).
Past Earnings Growth Analysis
Earnings Trend: MTO's earnings have grown by 13.5% per year over the past 5 years.
Accelerating Growth: MTO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MTO had negative earnings growth (-20.2%) over the past year, making it difficult to compare to the Specialty Retail industry average (-2.2%).
Return on Equity
High ROE: MTO's Return on Equity (5.7%) is considered low.
How is MotorCycle Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: MTO's short term assets (A$109.0M) exceed its short term liabilities (A$65.2M).
Long Term Liabilities: MTO's short term assets (A$109.0M) exceed its long term liabilities (A$73.6M).
Debt to Equity History and Analysis
Debt Level: MTO's debt to equity ratio (55.7%) is considered high.
Reducing Debt: MTO's debt to equity ratio has reduced from 440.4% to 55.7% over the past 5 years.
Debt Coverage: MTO's debt is well covered by operating cash flow (21.1%).
Interest Coverage: MTO's interest payments on its debt are well covered by EBIT (5.6x coverage).
What is MotorCycle Holdings's current dividend yield, its reliability and sustainability?
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate MTO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate MTO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if MTO's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if MTO's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: MTO is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of MTO's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. David Hedley Ahmet, also known as Dave, is Founder of MotorCycle Holdings Limited and has been its Chief Executive Officer and Managing Director since June 30, 2011. Mr. Ahmet has successfully led Moto ...
CEO Compensation Analysis
Compensation vs Market: Dave's total compensation ($USD466.50K) is above average for companies of similar size in the Australian market ($USD252.41K).
Compensation vs Earnings: Dave's compensation has been consistent with company performance over the past year.
|Chief Financial Officer||1yr||AU$270.48k||0.41% A$331.9k|
|Head of Group Finance & Insurance||no data||no data||no data|
|Head of Group Service||no data||no data||no data|
|Financial Controller & Company Secretary||2yrs||no data||no data|
Experienced Management: MTO's management team is considered experienced (2 years average tenure).
|Chairman of the Board||3.83yrs||AU$175.00k||0.073% A$58.4k|
|Independent Non-Executive Director||3.17yrs||AU$90.95k||0.041% A$33.2k|
|Independent Non-Executive Director||3.67yrs||AU$85.00k||no data|
|Independent Non-Executive Director||8.92yrs||AU$85.00k||0.063% A$50.6k|
|Non-Independent Non-Executive Director||2.58yrs||AU$283.62k||5.45% A$4.4m|
Experienced Board: MTO's board of directors are considered experienced (3.8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MTO insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
MotorCycle Holdings Limited's company bio, employee growth, exchange listings and data sources
- Name: MotorCycle Holdings Limited
- Ticker: MTO
- Exchange: ASX
- Founded: 1989
- Industry: Automotive Retail
- Sector: Retail
- Market Cap: AU$80.219m
- Shares outstanding: 61.71m
- Website: https://www.mcholdings.com.au
Number of Employees
- MotorCycle Holdings Limited
- 68 Moss Street
- Slacks Creek
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|MTO||ASX (Australian Securities Exchange)||Yes||Ordinary Shares||AU||AUD||Apr 2016|
|MTO||CHIA (Chi-X Australia)||Yes||Ordinary Shares||AU||AUD||Apr 2016|
MotorCycle Holdings Limited operates as a motorcycle dealer in Australia. It operates in two segments, Motorcycle Retailing and Motorcycle Accessories Wholesaling. The company is involved in the sale of new motorcycles, used motorcycles, and accessories and parts; and finance, insurance, and warranty activities, as well as servicing and repair of motorcycles. It operates 48 franchises from 31 dealership and 8 retail accessory locations in Queensland, New South Wales, Victoria, and the Australian Capital Territory. The company also owns and operates a rider training school and a motorcycle repair business that performs smash repair work for insurers. MotorCycle Holdings Limited was founded in 1989 and is based in Slacks Creek, Australia.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/05/28 10:54|
|End of Day Share Price||2020/05/28 00:00|
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.