ASX:EVS

Stock Analysis Report

Executive Summary

Envirosuite Limited develops and sells environmental management technology platform solutions.

Snowflake

Fundamentals

High growth potential with excellent balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

EVS

-0.5%

AU Software

1.7%

AU Market


1 Year Return

283.7%

EVS

37.3%

AU Software

10.3%

AU Market

Return vs Industry: EVS exceeded the Australian Software industry which returned 37.3% over the past year.

Return vs Market: EVS exceeded the Australian Market which returned 10.3% over the past year.


Shareholder returns

EVSIndustryMarket
7 Day1.5%-0.5%1.7%
30 Day11.9%-1.2%-0.4%
90 Day153.8%1.8%-0.1%
1 Year283.7%283.7%38.5%37.3%16.7%10.3%
3 Year240.2%240.2%120.6%111.0%36.7%18.4%
5 Year407.7%407.7%171.0%149.3%50.9%16.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

9.91x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: EVS (A$0.33) is trading above our estimate of fair value (A$0.06)

Significantly Undervalued: EVS is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: EVS is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: EVS is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: EVS is overvalued based on its PB Ratio (9.9x) compared to the AU Software industry average (4.4x).


Next Steps

Future Growth

How is Envirosuite forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

79.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EVS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.3%).

Earnings vs Market: EVS is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: EVS's loss is forecast to worsen by 0% next year.

Revenue vs Market: EVS's revenue (40.7% per year) is forecast to grow faster than the Australian market (3.6% per year).

High Growth Revenue: EVS's revenue (40.7% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: EVS's Return on Equity is forecast to be low in 3 years time (14.3%).


Next Steps

Past Performance

How has Envirosuite performed over the past 5 years?

-65.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: EVS is unprofitable, and losses have increased over the past 5 years at a rate of -65.5% per year.

Accelerating Growth: Unable to compare EVS's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: EVS is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (22%).


Return on Equity

High ROE: EVS has a negative Return on Equity (-48.63%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: EVS is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: EVS is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Envirosuite's financial position?


Financial Position Analysis

Short Term Liabilities: EVS's short term assets (A$9.6M) exceeds its short term liabilities (A$3.4M)

Long Term Liabilities: EVS's short term assets (9.6M) exceeds its long term liabilities (170.0K)


Debt to Equity History and Analysis

Debt Level: EVS's debt to equity ratio (0.07%) is considered satisfactory

Reducing Debt: EVS's debt to equity ratio has reduced from 22.3% to 0.07% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: EVS's debt is covered by short term assets (assets are 1062.777770x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: EVS has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if EVS has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.5%markettop25%5.6%industryaverage1.1%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate EVS'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 EVS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if EVS'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 EVS'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 Envirosuite's salary, the management and board of directors tenure and is there insider trading?

3.2yrs

Average management tenure


CEO

Peter White 0

2.3yrs

Tenure

AU$415,303

Compensation

Mr. Peter J. White, B. Maths has been the Chief Executive Officer and Director of EnviroSuite Limited since July 10, 2017. Mr. White served as the Chief Executive Officer of Pacific Environment Limited fro ...


CEO Compensation Analysis

Compensation vs. Market: Peter has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Australian market.

Compensation vs Earnings: Peter's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

3.2yrs

Average Tenure

Experienced Management: EVS's management team is considered experienced (3.2 years average tenure).


Board Age and Tenure

2.7yrs

Average Tenure

Experienced Board: EVS's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: EVS insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

SellAU$2,024,18718 Sep 19
Robin Ormerod
EntityIndividual
Role
Top Key Executive
Co-Founder
Shares7,450,000
Max PriceAU$0.28
BuyAU$9,97628 Aug 19
David Edward Johnstone
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares80,000
Max PriceAU$0.12
BuyAU$22,17511 Mar 19
David Edward Johnstone
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares150,000
Max PriceAU$0.15

Ownership Breakdown


Management Team

  • Kristin Zeise

    • Tenure: 0yrs
  • Robin Ormerod

    Co-Founder

    • Tenure: 0yrs
    • Compensation: AU$305.39k
  • Peter White

    CEO & Executive Director

    • Tenure: 2.3yrs
    • Compensation: AU$415.30k
  • Peter D'Abreton

    Principal Research Scientist

    • Tenure: 0yrs
  • Adam Gallagher

    Company Secretary & Executive Director

    • Tenure: 7yrs
    • Compensation: AU$160.00k
  • Ross Lawrence

    Senior Consultant

    • Tenure: 3.4yrs
  • Brian Fainton

    Principal & Team Lead of Contaminated Land

    • Tenure: 3.2yrs
  • Bennett Oprysa

    Chief Technology Officer

    • Tenure: 0yrs
  • Clinton Lander

    Chief Financial Officer

    • Tenure: 1.4yrs
    • Compensation: AU$330.02k
  • Ian Edgehill

    Marketing & Communications Manager

    • Tenure: 0yrs

Board Members

  • Hugh Robertson

    Non-Executive Director

    • Tenure: 0.9yrs
    • Compensation: AU$40.00k
  • David Edward Johnstone

    Non-Executive Chairman

    • Tenure: 3.1yrs
    • Compensation: AU$100.00k
  • Peter White

    CEO & Executive Director

    • Tenure: 2.3yrs
    • Compensation: AU$415.30k
  • Adam Gallagher

    Company Secretary & Executive Director

    • Tenure: 7yrs
    • Compensation: AU$160.00k

Company Information

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


Key Information

  • Name: Envirosuite Limited
  • Ticker: EVS
  • Exchange: ASX
  • Founded: 2006
  • Industry: Application Software
  • Sector: Software
  • Market Cap: AU$132.560m
  • Shares outstanding: 395.70m
  • Website: https://www.envirosuite.com

Number of Employees


Location

  • Envirosuite Limited
  • 157 Walker Street
  • Suite 3
  • North Sydney
  • New South Wales
  • 2060
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EVSASX (Australian Securities Exchange)YesOrdinary SharesAUAUDFeb 2008
57PDB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 2008
EVSCHIA (Chi-X Australia)YesOrdinary SharesAUAUDFeb 2008

Biography

Envirosuite Limited develops and sells environmental management technology platform solutions. It offers environmental management software for environmental compliance, risk management, incident intelligen ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 10:35
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.