Computershare Limited provides issuer, employee share plans and voucher, business, communication and utilities, technology, and mortgage and property rental services.
Price History & Performance
|Historical stock prices|
|Current Share Price||AU$18.10|
|52 Week High||AU$11.87|
|52 Week Low||AU$18.38|
|1 Month Change||8.71%|
|3 Month Change||16.03%|
|1 Year Change||39.02%|
|3 Year Change||-7.89%|
|5 Year Change||70.11%|
|Change since IPO||11,966.67%|
Recent News & Updates
Estimating The Fair Value Of Computershare Limited (ASX:CPU)
Today we will run through one way of estimating the intrinsic value of Computershare Limited ( ASX:CPU ) by estimating...
What Does Computershare Limited's (ASX:CPU) Share Price Indicate?
Computershare Limited ( ASX:CPU ), might not be a large cap stock, but it saw a decent share price growth in the teens...
We Think Computershare (ASX:CPU) Is Taking Some Risk With Its Debt
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
Analysts Are Updating Their Computershare Limited (ASX:CPU) Estimates After Its Yearly Results
The annual results for Computershare Limited ( ASX:CPU ) were released last week, making it a good time to revisit its...
|CPU||AU IT||AU Market|
Return vs Industry: CPU exceeded the Australian IT industry which returned 9% over the past year.
Return vs Market: CPU exceeded the Australian Market which returned 20.2% over the past year.
Stable Share Price: CPU is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: CPU's weekly volatility (3%) has been stable over the past year.
About the Company
Computershare Limited provides issuer, employee share plans and voucher, business, communication and utilities, technology, and mortgage and property rental services. The company offers issuer services that include register maintenance, corporate actions, stakeholder relationship management, corporate governance, and related services; mortgage services and property rental, and tenancy bond protection services; and employee share plans and voucher services comprising administration and related services for employee share and option plans, and childcare voucher administration services. It also provides business services, including the provision of bankruptcy, class action, and corporate trust administration services; communication services and utilities operations consisting of document composition and printing, intelligent mailing, inbound process automation, scanning, and electronic delivery; and technology services, such as software solutions in share registry and financial services.
Computershare Fundamentals Summary
|CPU fundamental statistics|
Is CPU overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|CPU income statement (TTM)|
|Cost of Revenue||US$1.97b|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Feb 09, 2022
|Earnings per share (EPS)||0.31|
|Net Profit Margin||8.28%|
How did CPU perform over the long term?See historical performance and comparison
2.4%Current Dividend Yield
Is Computershare 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: CPU (A$18.1) is trading below our estimate of fair value (A$18.9)
Significantly Below Fair Value: CPU is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: CPU is poor value based on its PE Ratio (42.9x) compared to the Australian IT industry average (42.6x).
PE vs Market: CPU is poor value based on its PE Ratio (42.9x) compared to the Australian market (19.8x).
Price to Earnings Growth Ratio
PEG Ratio: CPU is poor value based on its PEG Ratio (2x)
Price to Book Ratio
PB vs Industry: CPU is overvalued based on its PB Ratio (3.6x) compared to the AU IT industry average (3.4x).
How is Computershare forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CPU's forecast earnings growth (21.4% per year) is above the savings rate (1.9%).
Earnings vs Market: CPU's earnings (21.4% per year) are forecast to grow faster than the Australian market (11.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: CPU's revenue (7.6% per year) is forecast to grow faster than the Australian market (5.5% per year).
High Growth Revenue: CPU's revenue (7.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CPU's Return on Equity is forecast to be high in 3 years time (21.1%)
How has Computershare performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CPU has high quality earnings.
Growing Profit Margin: CPU's current net profit margins (8.3%) are lower than last year (10.2%).
Past Earnings Growth Analysis
Earnings Trend: CPU's earnings have declined by 0.4% per year over the past 5 years.
Accelerating Growth: CPU's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: CPU had negative earnings growth (-18.8%) over the past year, making it difficult to compare to the IT industry average (-11.2%).
Return on Equity
High ROE: CPU's Return on Equity (8.3%) is considered low.
How is Computershare's financial position?
Financial Position Analysis
Short Term Liabilities: CPU's short term assets ($1.7B) exceed its short term liabilities ($995.7M).
Long Term Liabilities: CPU's short term assets ($1.7B) do not cover its long term liabilities ($2.0B).
Debt to Equity History and Analysis
Debt Level: CPU's debt to equity ratio (75.1%) is considered high.
Reducing Debt: CPU's debt to equity ratio has reduced from 164.8% to 75.1% over the past 5 years.
Debt Coverage: CPU's debt is not well covered by operating cash flow (17.9%).
Interest Coverage: CPU's interest payments on its debt are well covered by EBIT (5x coverage).
What is Computershare current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CPU's dividend (2.44%) is higher than the bottom 25% of dividend payers in the Australian market (2.27%).
High Dividend: CPU's dividend (2.44%) is low compared to the top 25% of dividend payers in the Australian market (5.32%).
Stability and Growth of Payments
Stable Dividend: CPU's dividends per share have been stable in the past 10 years.
Growing Dividend: CPU's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (102.1%), CPU's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CPU's dividends in 3 years are forecast to be covered by earnings (58% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Stuart Irving (50 yo)
Mr. Stuart James Irving has been the Chief Executive Officer, President and Executive Director of Computershare Limited since July 1, 2014 and served as its Chief Information Officer since 2008. Mr. Irving...
CEO Compensation Analysis
Compensation vs Market: Stuart's total compensation ($USD3.36M) is above average for companies of similar size in the Australian market ($USD2.16M).
Compensation vs Earnings: Stuart's compensation has been consistent with company performance over the past year.
Experienced Management: CPU's management team is considered experienced (4.7 years average tenure).
Experienced Board: CPU's board of directors are considered experienced (5.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CPU insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 11.6%.
Computershare Limited's employee growth, exchange listings and data sources
- Name: Computershare Limited
- Ticker: CPU
- Exchange: ASX
- Founded: 1978
- Industry: Data Processing and Outsourced Services
- Sector: Software
- Market Cap: AU$10.929b
- Shares outstanding: 603.79m
- Website: https://www.computershare.com
Number of Employees
- Computershare Limited
- Yarra Falls
- 452 Johnston Street
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/18 15:09|
|End of Day Share Price||2021/10/18 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.