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COS

COSOLASX:COS Stock Report

Market Cap

AU$79.1m

7D

-1.6%

1Y

-13.0%

Updated

22 Oct, 2021

Data

Company Financials
COS fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance4/6
Financial Health5/6
Dividends2/6

COS Overview

COSOL Limited, together with its subsidiaries, provides information technology services in Australia.

Price History & Performance

Summary of all time highs, changes and price drops for COSOL
Historical stock prices
Current Share PriceAU$0.60
52 Week HighAU$0.53
52 Week LowAU$0.84
Beta0
1 Month Change-6.20%
3 Month Change-6.92%
1 Year Change-12.95%
3 Year Changen/a
5 Year Changen/a
Change since IPO59.21%

Recent News & Updates

Shareholder Returns

COSAU SoftwareAU Market
7D-1.6%2.2%0.7%
1Y-13.0%28.7%21.4%

Return vs Industry: COS underperformed the Australian Software industry which returned 28.7% over the past year.

Return vs Market: COS underperformed the Australian Market which returned 21.4% over the past year.

Price Volatility

Is COS's price volatile compared to industry and market?
COS volatility
COS Beta0
Industry Beta0.85
Market Beta1

Stable Share Price: COS is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: COS's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2019n/aScott McGowanhttps://www.cosol.global

COSOL Limited, together with its subsidiaries, provides information technology services in Australia. It utilizes proprietary software and services to deliver solutions for clients operating in asset-intensive industries with a focus on resource and capital-intensive enterprise asset management and infrastructure-focused systems. The company also provides digital business solutions, including business process and strategic reviews; legacy data services; and data migration and ongoing support services to clients, as well as implements enterprise resource planning/ enterprise asset management solutions.

COSOL Fundamentals Summary

How do COSOL's earnings and revenue compare to its market cap?
COS fundamental statistics
Market CapAU$79.06m
Earnings (TTM)AU$4.00m
Revenue (TTM)AU$33.58m

19.9x

P/E Ratio

2.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
COS income statement (TTM)
RevenueAU$33.58m
Cost of RevenueAU$24.80m
Gross ProfitAU$8.79m
ExpensesAU$4.79m
EarningsAU$4.00m

Dividends

3.3%

Current Dividend Yield

49%

Payout Ratio

Valuation

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

19.95x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: COS (A$0.61) is trading above our estimate of fair value (A$0.47)

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


Price To Earnings Ratio

PE vs Industry: COS is good value based on its PE Ratio (19.9x) compared to the Australian Software industry average (45.8x).

PE vs Market: COS is poor value based on its PE Ratio (19.9x) compared to the Australian market (19.8x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: COS is good value based on its PB Ratio (3.2x) compared to the AU Software industry average (5.2x).


Future Growth

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

31.1%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as COSOL has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has COSOL performed over the past 5 years?

52.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: COS has high quality earnings.

Growing Profit Margin: COS's current net profit margins (11.9%) are lower than last year (12.9%).


Past Earnings Growth Analysis

Earnings Trend: COS's earnings have grown significantly by 52.1% per year over the past 5 years.

Accelerating Growth: COS's earnings growth over the past year (143.3%) exceeds its 5-year average (52.1% per year).

Earnings vs Industry: COS earnings growth over the past year (143.3%) exceeded the Software industry 37.5%.


Return on Equity

High ROE: COS's Return on Equity (15.9%) is considered low.


Financial Health

How is COSOL's financial position?


Financial Position Analysis

Short Term Liabilities: COS's short term assets (A$12.9M) exceed its short term liabilities (A$9.8M).

Long Term Liabilities: COS's short term assets (A$12.9M) exceed its long term liabilities (A$3.3M).


Debt to Equity History and Analysis

Debt Level: COS's debt to equity ratio (8.9%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if COS's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: COS's debt is well covered by operating cash flow (82.8%).

Interest Coverage: COS's interest payments on its debt are well covered by EBIT (42.6x coverage).


Balance Sheet


Dividend

What is COSOL current dividend yield, its reliability and sustainability?

3.31%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: COS's dividend (3.31%) is higher than the bottom 25% of dividend payers in the Australian market (2.27%).

High Dividend: COS's dividend (3.31%) is low compared to the top 25% of dividend payers in the Australian market (5.31%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether COS's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if COS's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49%), COS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

1.0yrs

Average management tenure


CEO

Scott McGowan

no data

Tenure

AU$420,392

Compensation

Mr. Scott Evatt McGowan serves as Chief Executive Officer at Cosol Australia Pty Ltd. He serves as Chief Executive Officer at COSOL Limited. Mr. McGowan is a highly experienced Executive Manager with a dem...


CEO Compensation Analysis

Compensation vs Market: Scott's total compensation ($USD314.83K) is about average for companies of similar size in the Australian market ($USD303.33K).

Compensation vs Earnings: Insufficient data to compare Scott's compensation with company performance.


Leadership Team

Experienced Management: COS's management team is not considered experienced ( 1 years average tenure), which suggests a new team.


Board Members

Experienced Board: COS's board of directors are not considered experienced ( 2 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: COS insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

COSOL Limited's employee growth, exchange listings and data sources


Key Information

  • Name: COSOL Limited
  • Ticker: COS
  • Exchange: ASX
  • Founded: 2019
  • Industry: Application Software
  • Sector: Software
  • Market Cap: AU$79.063m
  • Shares outstanding: 131.77m
  • Website: https://www.cosol.global

Number of Employees


Location

  • COSOL Limited
  • 201 Leichhardt Street
  • Level 3
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/22 07:03
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.