ASX:ISD

Stock Analysis Report

Executive Summary

Isentia Group Limited provides media intelligence services to the public and private sector clients in Australia, New Zealand, Asia, and internationally.

Snowflake

Fundamentals

Fair value with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-16.1%

ISD

1.3%

AU Software

1.0%

AU Market


1 Year Return

25.9%

ISD

42.3%

AU Software

11.7%

AU Market

Return vs Industry: ISD underperformed the Australian Software industry which returned 42.3% over the past year.

Return vs Market: ISD exceeded the Australian Market which returned 11.7% over the past year.


Shareholder returns

ISDIndustryMarket
7 Day-16.1%1.3%1.0%
30 Day-7.6%1.3%-0.2%
90 Day30.4%4.3%0.3%
1 Year25.9%25.9%43.6%42.3%18.1%11.7%
3 Year-89.5%-89.9%123.7%113.7%37.4%19.0%
5 Year-86.2%-87.4%159.9%139.1%51.7%17.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: ISD (A$0.37) is trading below our estimate of fair value (A$0.83)

Significantly Undervalued: ISD is trading below fair value by more than 20%.


Price To Earnings Ratio

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

PE vs Market: ISD 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 ISD's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ISD is good value based on its PB Ratio (1.3x) compared to the AU Software industry average (4.6x).


Next Steps

Future Growth

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

33.9%

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 Isentia Group 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.


Next Steps

Past Performance

How has Isentia Group performed over the past 5 years?

-39.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ISD is unprofitable, and losses have increased over the past 5 years at a rate of -39.9% per year.

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

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


Return on Equity

High ROE: ISD has a negative Return on Equity (-58.99%), as it is currently unprofitable.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Isentia Group's financial position?


Financial Position Analysis

Short Term Liabilities: ISD's short term assets (A$36.9M) exceeds its short term liabilities (A$35.1M)

Long Term Liabilities: ISD's short term assets (36.9M) do not cover its long term liabilities (48.4M)


Debt to Equity History and Analysis

Debt Level: ISD's debt to equity ratio (74.3%) is considered high

Reducing Debt: ISD's debt to equity ratio has increased from 50.9% to 74.3% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: ISD's debt is not covered by short term assets (assets are 0.9x 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: Whilst unprofitable ISD has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ISD is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -7.9% per year.


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%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 ISD's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

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

Growing Dividend: Insufficient data to determine if ISD's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: ISD is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ISD'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 Isentia Group's salary, the management and board of directors tenure and is there insider trading?

1.0yrs

Average management tenure


CEO

Ed Harrison 0

1.2yrs

Tenure

AU$1,206,721

Compensation

Mr. Ed Harrison has been Managing Director, Director and Chief Executive Officer of Isentia Group Limited since August 6, 2018. Mr. Harrison served as the Chief Executive Officer of Yahoo7 from 2014 to Jun ...


CEO Compensation Analysis

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

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


Management Age and Tenure

1.0yrs

Average Tenure

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


Board Age and Tenure

1.3yrs

Average Tenure

Experienced Board: ISD's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellAU$61,76302 Jul 19
Spheria Asset Management Pty Ltd
EntityCompany
Shares294,110
Max PriceAU$0.21
BuyAU$898,40002 Jul 19
Spheria Asset Management Pty Ltd
EntityCompany
Shares3,686,963
Max PriceAU$0.30
BuyAU$44,50006 May 19
Fiona Pak-Poy
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares200,000
Max PriceAU$0.22
BuyAU$44,00003 May 19
Travyn Rhall
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares200,000
Max PriceAU$0.22
BuyAU$29,22429 Apr 19
Douglas Snedden
EntityIndividual
Role
Chairman of the Board
Independent Non-Executive Chairman
Shares130,000
Max PriceAU$0.22
SellAU$1,595,29013 Mar 19
Spheria Asset Management Pty Ltd
EntityCompany
Shares3,286,747
Max PriceAU$0.50
BuyAU$3,247,01613 Mar 19
Spheria Asset Management Pty Ltd
EntityCompany
Shares8,700,988
Max PriceAU$0.88
BuyAU$1,294,92501 Mar 19
Adam Smith Asset Management Pty Limited
EntityCompany
Shares1,603,427
Max PriceAU$0.81
SellAU$414,52901 Mar 19
Adam Smith Asset Management Pty Limited
EntityCompany
Shares997,239
Max PriceAU$0.42

Ownership Breakdown


Management Team

  • Peter McClelland (50yo)

    Chief Financial Officer

    • Tenure: 0.8yrs
    • Compensation: AU$644.65k
  • Jacquie Shanahan

    General Counsel & Company Secretary

    • Tenure: 0yrs
  • Sean Smith

    Chief Commercial Officer

    • Tenure: 1.6yrs
    • Compensation: AU$502.07k
  • Khali Sakkas

    Chief Insights Officer

    • Tenure: 1.6yrs
  • Ed Harrison

    MD, CEO & Executive Director

    • Tenure: 1.2yrs
    • Compensation: AU$1.21m
  • Tom Gerstmyer

    Chief Operations Officer

    • Tenure: 1.6yrs
  • Paul Russell

    Chief Technology Officer

    • Tenure: 0.9yrs
  • Jen Marshall

    Chief Product Officer

    • Tenure: 0.8yrs
  • Kelly Young

    Chief Human Resources Officer

    • Tenure: 0.8yrs

Board Members

  • Fiona Pak-Poy

    Independent Non-Executive Director

    • Tenure: 5.4yrs
    • Compensation: AU$120.45k
  • Travyn Rhall

    Independent Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: AU$103.80k
  • Doug Snedden (61yo)

    Independent Non-Executive Chairman

    • Tenure: 1.9yrs
    • Compensation: AU$211.20k
  • Jeffrey Strong (41yo)

    Alternate Director

    • Tenure: 1.3yrs
  • Justin Kane

    Non-Executive Director

    • Tenure: 1.3yrs
    • Compensation: AU$90.06k
  • Ed Harrison

    MD, CEO & Executive Director

    • Tenure: 1.2yrs
    • Compensation: AU$1.21m
  • Abigail Cheadle

    Independent Non-Executive Director

    • Tenure: 0.8yrs
    • Compensation: AU$55.44k

Company Information

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


Key Information

  • Name: Isentia Group Limited
  • Ticker: ISD
  • Exchange: ASX
  • Founded: 1982
  • Industry: Application Software
  • Sector: Software
  • Market Cap: AU$79.000m
  • Shares outstanding: 200.00m
  • Website: https://www.isentia.com

Number of Employees


Location

  • Isentia Group Limited
  • 219-241 Cleveland Street
  • Level 3
  • Sydney
  • New South Wales
  • 2012
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ISDASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2014
ISDCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2014
6IGDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2014

Biography

Isentia Group Limited provides media intelligence services to the public and private sector clients in Australia, New Zealand, Asia, and internationally. The company develops and hosts a range of software- ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 10:37
End of Day Share Price2019/10/15 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.