PPS Stock Overview
Praemium Limited, together with its subsidiaries, provides managed accounts platform, investment management, portfolio administration, and reporting and financial planning software in Australia and internationally.
Price History & Performance
|Historical stock prices|
|Current Share Price||AU$1.33|
|52 Week High||AU$1.61|
|52 Week Low||AU$0.60|
|1 Month Change||-7.32%|
|3 Month Change||12.24%|
|1 Year Change||77.33%|
|3 Year Change||91.37%|
|5 Year Change||186.02%|
|Change since IPO||171.43%|
Recent News & Updates
These 4 Measures Indicate That Praemium (ASX:PPS) Is Using Debt Reasonably Well
Warren Buffett famously said, 'Volatility is far from synonymous with risk.' When we think about how risky a company...
Is It Time To Consider Buying Praemium Limited (ASX:PPS)?
While Praemium Limited ( ASX:PPS ) might not be the most widely known stock at the moment, it led the ASX gainers with...
|PPS||AU Software||AU Market|
Return vs Industry: PPS exceeded the Australian Software industry which returned 4.5% over the past year.
Return vs Market: PPS exceeded the Australian Market which returned 5.8% over the past year.
|PPS Average Weekly Movement||7.1%|
|Software Industry Average Movement||8.7%|
|Market Average Movement||8.6%|
|10% most volatile stocks in AU Market||15.4%|
|10% least volatile stocks in AU Market||3.7%|
Stable Share Price: PPS is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: PPS's weekly volatility (7%) has been stable over the past year.
About the Company
Praemium Limited, together with its subsidiaries, provides managed accounts platform, investment management, portfolio administration, and reporting and financial planning software in Australia and internationally. It offers managed accounts platform that enables advisers and wealth managers to construct the managed account solutions for their clients; virtual managed accounts (VMA) and VMA administration services; and WealthCraft, a CRM and financial planning software. The company also provides advice solutions comprising practice management, report building and plan generation, remuneration, lead generation, and client engagement services; and investments related products.
Praemium Fundamentals Summary
|PPS fundamental statistics|
Is PPS overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|PPS income statement (TTM)|
|Cost of Revenue||AU$43.20m|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
|Earnings per share (EPS)||0.003|
|Net Profit Margin||2.37%|
How did PPS perform over the long term?See historical performance and comparison
Is Praemium 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: PPS (A$1.33) is trading below our estimate of fair value (A$1.91)
Significantly Below Fair Value: PPS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PPS is poor value based on its PE Ratio (440.4x) compared to the Australian Software industry average (43.6x).
PE vs Market: PPS is poor value based on its PE Ratio (440.4x) compared to the Australian market (18.6x).
Price to Earnings Growth Ratio
PEG Ratio: PPS is poor value based on its PEG Ratio (10.9x)
Price to Book Ratio
PB vs Industry: PPS is overvalued based on its PB Ratio (8.4x) compared to the AU Software industry average (5.3x).
How is Praemium forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PPS's forecast earnings growth (40.4% per year) is above the savings rate (1.9%).
Earnings vs Market: PPS's earnings (40.4% per year) are forecast to grow faster than the Australian market (10.9% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: PPS's revenue (17.2% per year) is forecast to grow faster than the Australian market (4.9% per year).
High Growth Revenue: PPS's revenue (17.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PPS's Return on Equity is forecast to be low in 3 years time (16.9%).
How has Praemium performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PPS has a large one-off loss of A$3.4M impacting its June 30 2021 financial results.
Growing Profit Margin: PPS's current net profit margins (2.4%) are lower than last year (9.7%).
Past Earnings Growth Analysis
Earnings Trend: PPS's earnings have grown significantly by 44.3% per year over the past 5 years.
Accelerating Growth: PPS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PPS had negative earnings growth (-68.4%) over the past year, making it difficult to compare to the Software industry average (37.5%).
Return on Equity
High ROE: PPS's Return on Equity (1.9%) is considered low.
How is Praemium's financial position?
Financial Position Analysis
Short Term Liabilities: PPS's short term assets (A$38.9M) exceed its short term liabilities (A$19.8M).
Long Term Liabilities: PPS's short term assets (A$38.9M) exceed its long term liabilities (A$11.9M).
Debt to Equity History and Analysis
Debt Level: PPS has more cash than its total debt.
Reducing Debt: Insufficient data to determine if PPS's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: PPS's debt is well covered by operating cash flow (43.4%).
Interest Coverage: PPS's interest payments on its debt are well covered by EBIT (6.3x coverage).
What is Praemium current dividend yield, its reliability and sustainability?
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate PPS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PPS's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if PPS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PPS's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of PPS's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Anthony Stewart Wamsteker, BEc, SF Fin, serves as Executive Director at Praemium Limited since November 23, 2020 and served as its Interim Chief Executive Officer since May 20, 2021 until August 16, 20...
CEO Compensation Analysis
Compensation vs Market: Anthony's total compensation ($USD623.48K) is about average for companies of similar size in the Australian market ($USD745.23K).
Compensation vs Earnings: Insufficient data to compare Anthony's compensation with company performance.
Experienced Management: PPS's management team is seasoned and experienced (8.2 years average tenure).
Experienced Board: PPS's board of directors are considered experienced (4.7 years average tenure).
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.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Praemium Limited's employee growth, exchange listings and data sources
- Name: Praemium Limited
- Ticker: PPS
- Exchange: ASX
- Founded: 2001
- Industry: Application Software
- Sector: Software
- Implied Market Cap: AU$675.386m
- Shares outstanding: 507.81m
- Website: https://www.praemium.com.au
Number of Employees
- Praemium Limited
- 367 Collins Street
- Level 19
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/01/23 07:03|
|End of Day Share Price||2022/01/21 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.