ASX:IRI

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Integrated Research

Executive Summary

Integrated Research Limited designs, develops, implements, and sells systems and applications management computer software for business-critical computing, unified communication networks, and payment networks in the Americas, Europe, and the Asia Pacific. More Details


Snowflake Analysis

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: IRI is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: IRI's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

2.8%

IRI

6.4%

AU Software

1.4%

AU Market


1 Year Return

-11.9%

IRI

27.1%

AU Software

-0.6%

AU Market

Return vs Industry: IRI underperformed the Australian Software industry which returned 27.1% over the past year.

Return vs Market: IRI underperformed the Australian Market which returned -0.6% over the past year.


Shareholder returns

IRIIndustryMarket
7 Day2.8%6.4%1.4%
30 Day-12.5%-0.2%3.0%
90 Day-28.9%6.6%12.2%
1 Year-10.1%-11.9%28.1%27.1%2.8%-0.6%
3 Year-28.7%-33.5%106.4%99.5%27.0%11.4%
5 Year39.4%23.4%173.0%169.0%68.6%34.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

18.43x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: IRI (A$2.58) is trading above our estimate of fair value (A$1.04)

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


Price To Earnings Ratio

PE vs Industry: IRI is good value based on its PE Ratio (18.4x) compared to the AU Software industry average (34x).

PE vs Market: IRI is good value based on its PE Ratio (18.4x) compared to the Australian market (23x).


Price to Earnings Growth Ratio

PEG Ratio: IRI is poor value based on its PEG Ratio (6.6x)


Price to Book Ratio

PB vs Industry: IRI is good value based on its PB Ratio (5.4x) compared to the AU Software industry average (5.5x).


Next Steps

Future Growth

How is Integrated Research forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

2.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IRI's forecast earnings growth (2.8% per year) is above the savings rate (2%).

Earnings vs Market: IRI's earnings (2.8% per year) are forecast to grow slower than the Australian market (18.8% per year).

High Growth Earnings: IRI's earnings are forecast to grow, but not significantly.

Revenue vs Market: IRI's revenue is expected to decline over the next 3 years (-0.5% per year).

High Growth Revenue: IRI's revenue is forecast to decline over the next 3 years (-0.5% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IRI's Return on Equity is forecast to be high in 3 years time (21.1%)


Next Steps

Past Performance

How has Integrated Research performed over the past 5 years?

10.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IRI has a high level of non-cash earnings.

Growing Profit Margin: IRI's current net profit margins (21.7%) are higher than last year (21.7%).


Past Earnings Growth Analysis

Earnings Trend: IRI's earnings have grown by 10.8% per year over the past 5 years.

Accelerating Growth: IRI's earnings growth over the past year (10.1%) is below its 5-year average (10.8% per year).

Earnings vs Industry: IRI earnings growth over the past year (10.1%) underperformed the Software industry 21%.


Return on Equity

High ROE: IRI's Return on Equity (29.1%) is considered high.


Next Steps

Financial Health

How is Integrated Research's financial position?


Financial Position Analysis

Short Term Liabilities: IRI's short term assets (A$70.6M) exceed its short term liabilities (A$38.4M).

Long Term Liabilities: IRI's short term assets (A$70.6M) exceed its long term liabilities (A$18.9M).


Debt to Equity History and Analysis

Debt Level: IRI's debt to equity ratio (6.1%) is considered satisfactory.

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

Debt Coverage: IRI's debt is well covered by operating cash flow (483%).

Interest Coverage: IRI earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Integrated Research current dividend yield, its reliability and sustainability?

2.81%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: IRI's dividend (2.81%) is higher than the bottom 25% of dividend payers in the Australian market (2.05%).

High Dividend: IRI's dividend (2.81%) is low compared to the top 25% of dividend payers in the Australian market (4.99%).


Stability and Growth of Payments

Stable Dividend: IRI's dividends per share have been stable in the past 10 years.

Growing Dividend: IRI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (51.8%), IRI's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: IRI's dividends in 3 years are forecast to be well covered by earnings (49.2% payout ratio).


Next Steps

Management

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

2.2yrs

Average management tenure


CEO

John Ruthven

1.5yrs

Tenure

AU$864,631

Compensation

Mr. John Ruthven has been the Managing Director and Director at Integrated Research Limited since September 12, 2019 and its Chief Executive Officer since July 8, 2019. Mr. Ruthven served as Operating Offi...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD667.21K) is about average for companies of similar size in the Australian market ($USD702.21K).

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


Leadership Team

NamePositionTenureCompensationOwnership
John Ruthven
MD, CEO & Director1.5yrsAU$864.63kno data
Peter Adams
Chief Financial Officer12.83yrsAU$654.83k0.0058%
A$ 25.4k
Matthew Glasner
Chief Commercial Officer2yrsAU$763.03kno data
Michael Tomkins
Chief Technology Officer1.33yrsno datano data
Kevin Ryder
Chief Marketing & Product Officer7.25yrsAU$433.09k0%
A$ 0
Vanessa Walker
Chief People & Culture Officer3.33yrsno datano data
Frank Hoekstra
Head of Europe1.67yrsno datano data
David Purdue
Company Secretary8.5yrsAU$91.52kno data
Stephen Killelea
2.17yrsAU$64.06k30.13%
A$ 131.8m

2.2yrs

Average Tenure

Experienced Management: IRI's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Ruthven
MD, CEO & Director1.5yrsAU$864.63kno data
Peter Lloyd
Independent Non-Executive Director10.5yrsAU$100.00kno data
Garry Dinnie
Independent Non-Executive Director7.92yrsAU$110.00k0.0052%
A$ 22.9k
Paul Brandling
Independent Chairman2.17yrsAU$180.00k0.023%
A$ 99.9k
Anne Myers
Non-Executive Independent Director2.5yrsAU$90.00k0.0052%
A$ 22.9k

2.5yrs

Average Tenure

64yo

Average Age

Experienced Board: IRI's board of directors are not considered experienced ( 2.5 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: Insufficient data to determine if insiders have bought more shares than they have sold 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

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


Key Information

  • Name: Integrated Research Limited
  • Ticker: IRI
  • Exchange: ASX
  • Founded: 1988
  • Industry: Application Software
  • Sector: Software
  • Market Cap: AU$437.324m
  • Shares outstanding: 172.17m
  • Website: https://www.ir.com

Number of Employees


Location

  • Integrated Research Limited
  • 100 Pacific Highway
  • Level 9
  • North Sydney
  • New South Wales
  • 2060
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IRIASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2000
IREH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2000
IRICHIA (Chi-X Australia)YesOrdinary SharesAUAUDDec 2000

Biography

Integrated Research Limited designs, develops, implements, and sells systems and applications management computer software for business-critical computing, unified communication networks, and payment netwo...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/25 07:00
End of Day Share Price2021/01/25 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.