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NOV

Novatti GroupASX:NOV Stock Report

Last Price

AU$0.32

Market Cap

AU$105.6m

7D

-10.0%

1Y

18.9%

Updated

23 Jan, 2022

Data

Company Financials
NOV fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance0/6
Financial Health3/6
Dividends0/6

NOV Stock Overview

Novatti Group Limited, together with its subsidiaries, provides software technology, utility billing, and payment services worldwide.

Price History & Performance

Summary of all time highs, changes and price drops for Novatti Group
Historical stock prices
Current Share PriceAU$0.32
52 Week HighAU$0.79
52 Week LowAU$0.24
Beta2.1
1 Month Change5.00%
3 Month Change-28.41%
1 Year Change18.87%
3 Year Change70.27%
5 Year Change85.29%
Change since IPO61.54%

Recent News & Updates

Shareholder Returns

NOVAU SoftwareAU Market
7D-10.0%-2.1%-2.8%
1Y18.9%4.5%5.8%

Return vs Industry: NOV exceeded the Australian Software industry which returned 4.5% over the past year.

Return vs Market: NOV exceeded the Australian Market which returned 5.8% over the past year.

Price Volatility

Is NOV's price volatile compared to industry and market?
NOV volatility
NOV Average Weekly Movement10.0%
Software Industry Average Movement8.7%
Market Average Movement8.6%
10% most volatile stocks in AU Market15.4%
10% least volatile stocks in AU Market3.7%

Stable Share Price: NOV is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: NOV's weekly volatility (10%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1994n/aPeter Cookhttps://www.novatti.com

Novatti Group Limited, together with its subsidiaries, provides software technology, utility billing, and payment services worldwide. It operates through Technology, Business Automation, Acquiring, Alternative Payments, Banking Services, and Issuing segments. The Technology segment develops, deploys, and supports mobile and alternate payment technology, primarily through the deployment of the Novatti platform; and provides billing and CIS solutions to service providers in the utility industry.

Novatti Group Fundamentals Summary

How do Novatti Group's earnings and revenue compare to its market cap?
NOV fundamental statistics
Market CapAU$105.62m
Earnings (TTM)-AU$11.81m
Revenue (TTM)AU$18.43m

5.7x

P/S Ratio

-8.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NOV income statement (TTM)
RevenueAU$18.43m
Cost of RevenueAU$20.87m
Gross Profit-AU$2.44m
ExpensesAU$9.37m
Earnings-AU$11.81m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.035
Gross Margin-13.23%
Net Profit Margin-64.09%
Debt/Equity Ratio55.1%

How did NOV perform over the long term?

See historical performance and comparison

Valuation

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

15.25x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate NOV's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate NOV's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NOV is overvalued based on its PB Ratio (15.2x) compared to the AU Software industry average (5.3x).


Future Growth

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

35.6%

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 Novatti 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.


Past Performance

How has Novatti Group performed over the past 5 years?

-21.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NOV is currently unprofitable.

Growing Profit Margin: NOV is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NOV is unprofitable, and losses have increased over the past 5 years at a rate of 21.8% per year.

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

Earnings vs Industry: NOV is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (37.5%).


Return on Equity

High ROE: NOV has a negative Return on Equity (-133.1%), as it is currently unprofitable.


Financial Health

How is Novatti Group's financial position?


Financial Position Analysis

Short Term Liabilities: NOV's short term assets (A$52.3M) do not cover its short term liabilities (A$52.8M).

Long Term Liabilities: NOV's short term assets (A$52.3M) exceed its long term liabilities (A$2.1M).


Debt to Equity History and Analysis

Debt Level: NOV has more cash than its total debt.

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


Balance Sheet


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: NOV has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: NOV has less than a year of cash runway if free cash flow continues to reduce at historical rates of 9.5% each year


Dividend

What is Novatti Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate NOV's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if NOV's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NOV'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 NOV's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

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

7.9yrs

Average management tenure


CEO

Peter Cook (61 yo)

19.42yrs

Tenure

AU$800,692

Compensation

Mr. Peter Samuel Cook, BSc, Gr Dip Compng, Gr Dip Secu, GAICD., is the Founder of Novatti Group Limited (also known as Total Tel International Pty Ltd) and has been its Chief Executive Officer since August...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD576.91K) is above average for companies of similar size in the Australian market ($USD291.61K).

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


Leadership Team

Experienced Management: NOV's management team is seasoned and experienced (7.9 years average tenure).


Board Members

Experienced Board: NOV's board of directors are considered experienced (5.7 years average tenure).


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 been diluted in the past year, with total shares outstanding growing by 47.6%.


Top Shareholders

Company Information

Novatti Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Novatti Group Limited
  • Ticker: NOV
  • Exchange: ASX
  • Founded: 1994
  • Industry: Application Software
  • Sector: Software
  • Implied Market Cap: AU$105.619m
  • Shares outstanding: 335.30m
  • Website: https://www.novatti.com

Location

  • Novatti Group Limited
  • 461 Bourke Street
  • Level 3
  • Melbourne
  • Victoria
  • 3000
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/23 07:03
End of Day Share Price2022/01/21 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.