Class Limited develops and distributes cloud-based accounting, investment reporting, and administration software for accountants, administrators, and advisers in Australia.
Flawless balance sheet with moderate growth potential.
Share Price & News
How has Class's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CL1 has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: CL1 matched the Australian Software industry which returned 40.1% over the past year.
Return vs Market: CL1 exceeded the Australian Market which returned 16.1% over the past year.
Price Volatility Vs. Market
How volatile is Class's share price compared to the market and industry in the last 5 years?
Simply Wall St News
9 hours ago | Simply Wall StShould You Think About Buying Class Limited (ASX:CL1) Now?
1 week ago | Simply Wall StCan You Imagine How Class's (ASX:CL1) Shareholders Feel About The 44% Share Price Increase?
3 weeks ago | Simply Wall StDo Directors Own Class Limited (ASX:CL1) Shares?
Is Class 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: CL1 (A$2.08) is trading below our estimate of fair value (A$2.15)
Significantly Below Fair Value: CL1 is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: CL1 is good value based on its PE Ratio (27.2x) compared to the Software industry average (36.6x).
PE vs Market: CL1 is poor value based on its PE Ratio (27.2x) compared to the Australian market (18.8x).
Price to Earnings Growth Ratio
PEG Ratio: CL1 is poor value based on its PEG Ratio (5.9x)
Price to Book Ratio
PB vs Industry: CL1 is overvalued based on its PB Ratio (8.4x) compared to the AU Software industry average (4.2x).
How is Class 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: CL1's forecast earnings growth (4.6% per year) is above the savings rate (1.1%).
Earnings vs Market: CL1's earnings (4.6% per year) are forecast to grow slower than the Australian market (9.3% per year).
High Growth Earnings: CL1's earnings are forecast to grow, but not significantly.
Revenue vs Market: CL1's revenue (12.3% per year) is forecast to grow faster than the Australian market (4.1% per year).
High Growth Revenue: CL1's revenue (12.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CL1's Return on Equity is forecast to be high in 3 years time (24.4%)
How has Class performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CL1 has a high level of non-cash earnings.
Growing Profit Margin: CL1's current net profit margins (23.4%) are lower than last year (25.6%).
Past Earnings Growth Analysis
Earnings Trend: CL1's earnings have grown significantly by 22.1% per year over the past 5 years.
Accelerating Growth: CL1's earnings growth over the past year (3.2%) is below its 5-year average (22.1% per year).
Earnings vs Industry: CL1 earnings growth over the past year (3.2%) underperformed the Software industry 23.8%.
Return on Equity
High ROE: CL1's Return on Equity (31.1%) is considered high.
Return on Assets
Return on Capital Employed
How is Class's financial position?
Financial Position Analysis
Short Term Liabilities: CL1's short term assets (A$22.6M) exceed its short term liabilities (A$4.7M).
Long Term Liabilities: CL1's short term assets (A$22.6M) exceed its long term liabilities (A$2.3M).
Debt to Equity History and Analysis
Debt Level: CL1 is debt free.
Reducing Debt: CL1 has not had any debt for past 5 years.
Debt Coverage: CL1 has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: CL1 has no debt, therefore coverage of interest payments is not a concern.
Inventory Level: CL1 has a low level of unsold assets or inventory.
Debt Coverage by Assets: Insufficient data to determine if CL1's debt is covered by short term assets.
What is Class's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: CL1's dividend (2.4%) is higher than the bottom 25% of dividend payers in the Australian market (2.29%).
High Dividend: CL1's dividend (2.4%) is low compared to the top 25% of dividend payers in the Australian market (5.5%).
Stability and Growth of Payments
Stable Dividend: CL1 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: CL1's dividend payments have increased, but the company has only paid a dividend for 4 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (65.3%), CL1's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CL1's dividends in 3 years are forecast to be covered by earnings (67.1% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Andrew Russell 0
Mr. Andrew J. Russell serves as Managing Director, Chief Executive Officer and Director of Class Limited since May 14, 2019. He served as a General Manager of Product and Distribution at Mortgage Choice Lt ...
CEO Compensation Analysis
Compensation vs Market: Andrew's total compensation ($USD572.48K) is about average for companies of similar size in the Australian market ($USD456.30K).
Compensation vs Earnings: Insufficient data to compare Andrew's compensation with company performance.
|MD, CEO & Director||0.8yrs||AU$852.02k||0.094% A$239.5k|
|CFO & Company Secretary||0yrs||AU$385.33k||0.21% A$525.2k|
|Chief Operating Officer||0yrs||no data||no data|
|Investor Relations Manager & Asst Co. Secretary||0yrs||no data||no data|
|Chief Product & Marketing Officer||0.6yrs||no data||no data|
|Chief Sales Officer||0.08yrs||no data||no data|
|Chief People Officer||2.1yrs||no data||no data|
|Chief Strategy Officer||1.1yrs||no data||no data|
|Chief Growth Officer of NowInfinity||0yrs||no data||no data|
Experienced Management: CL1's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
|MD, CEO & Director||0.8yrs||AU$852.02k||0.094% A$239.5k|
|Non-Executive Chairman||3yrs||AU$142.35k||0.11% A$282.9k|
|Independent Non-Executive Director||0.3yrs||no data||no data|
|Independent Non-Executive Director||2.8yrs||AU$98.55k||0.12% A$317.9k|
|Independent Non-Executive Director||4.6yrs||AU$98.55k||0.13% A$337.4k|
|Independent Non-Executive Director||0.08yrs||no data||no data|
Experienced Board: CL1's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if 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.
Class Limited's company bio, employee growth, exchange listings and data sources
- Name: Class Limited
- Ticker: CL1
- Exchange: ASX
- Founded: 2005
- Industry: Application Software
- Sector: Software
- Market Cap: AU$254.705m
- Shares outstanding: 122.45m
- Website: https://www.class.com.au
Number of Employees
- Class Limited
- 228 Pitt Street
- Level 3
- New South Wales
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|CL1||ASX (Australian Securities Exchange)||Yes||Ordinary Shares||AU||AUD||Dec 2015|
|CL1||CHIA (Chi-X Australia)||Yes||Ordinary Shares||AU||AUD||Dec 2015|
|1X6||DB (Deutsche Boerse AG)||Yes||Ordinary Shares||DE||EUR||Dec 2015|
Class Limited develops and distributes cloud-based accounting, investment reporting, and administration software for accountants, administrators, and advisers in Australia. The company offers Class Super, a cloud based self-managed super fund SMSF administration software to streamline various aspects of SMSF administration. It also provides Class Portfolio, a cloud software solution for streamlining investment portfolio accounting, administration, and reporting for companies, trusts, and individuals. Class Limited was founded in 2005 and is based in Sydney, Australia. Class Limited operates as a subsidiary of Deutsche Bank Aktiengesellschaft
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/16 10:47|
|End of Day Share Price||2020/02/14 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.