ASX:RCW

Stock Analysis Report

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Executive Summary

RightCrowd Limited develops and sells physical security, safety, and compliance software solutions worldwide. More Details


Snowflake Analysis

Flawless balance sheet with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: RCW is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 12% a week.

Volatility Over Time: RCW's weekly volatility has decreased from 18% to 12% over the past year.


Market Performance


7 Day Return

-3.2%

RCW

-5.8%

AU Software

-0.3%

AU Market


1 Year Return

114.3%

RCW

34.8%

AU Software

7.6%

AU Market

Return vs Industry: RCW exceeded the Australian Software industry which returned 34.8% over the past year.

Return vs Market: RCW exceeded the Australian Market which returned 7.6% over the past year.


Shareholder returns

RCWIndustryMarket
7 Day-3.2%-5.8%-0.3%
30 Day9.8%-10.2%0.4%
90 Day95.7%-7.1%5.1%
1 Year114.3%114.3%35.9%34.8%11.2%7.6%
3 Year-16.7%-16.7%101.1%94.4%30.6%14.9%
5 Yearn/a157.0%152.9%65.8%33.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

5.91x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: RCW is overvalued based on its PB Ratio (5.9x) compared to the AU Software industry average (5x).


Next Steps

Future Growth

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

34.4%

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 RightCrowd 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 RightCrowd performed over the past 5 years?

-28.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RCW is currently unprofitable.

Growing Profit Margin: RCW is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RCW is unprofitable, and losses have increased over the past 5 years at a rate of 28.3% per year.

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

Earnings vs Industry: RCW is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (20.2%).


Return on Equity

High ROE: RCW has a negative Return on Equity (-44.72%), as it is currently unprofitable.


Next Steps

Financial Health

How is RightCrowd's financial position?


Financial Position Analysis

Short Term Liabilities: RCW's short term assets (A$7.3M) exceed its short term liabilities (A$7.1M).

Long Term Liabilities: RCW's short term assets (A$7.3M) exceed its long term liabilities (A$1.4M).


Debt to Equity History and Analysis

Debt Level: RCW's debt to equity ratio (7.2%) is considered satisfactory.

Reducing Debt: RCW's debt to equity ratio has reduced from 147.8% to 7.2% 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: RCW has sufficient cash runway for 5 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: RCW is forecast to have sufficient cash runway for 5 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

What is RightCrowd current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if RCW'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 RCW'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?

3.5yrs

Average board tenure


CEO

Peter Hill

no data

Tenure

AU$253,693

Compensation

Mr. Peter Leslie Hill founded RightCrowd Limited in 2004 and serves as its Chief Executive Officer and Managing Director. Mr. Hill has been an Executive Director at RightCrowd Limited since March 18, 2004....


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD201.92K) is below average for companies of similar size in the Australian market ($USD297.57K).

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


Board Members

NamePositionTenureCompensationOwnership
Peter Hill
CEO, MD & Executive Directorno dataAU$253.69kno data
Robert Baker
Non-Executive Chairman3.5yrsAU$65.70k0.20%
A$ 195.0k
Craig Davies
Non-Executive Director1.5yrsAU$34.72k0.047%
A$ 46.9k

3.5yrs

Average Tenure

Experienced Board: RCW's board of directors are considered experienced (3.5 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 11.5%.


Top Shareholders

Company Information

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


Key Information

  • Name: RightCrowd Limited
  • Ticker: RCW
  • Exchange: ASX
  • Founded: 2004
  • Industry: Systems Software
  • Sector: Software
  • Market Cap: AU$99.975m
  • Shares outstanding: 222.17m
  • Website: https://www.rightcrowd.com

Location

  • RightCrowd Limited
  • 203 Robina Town Centre Drive
  • Suite 501
  • Robina
  • Queensland
  • 4226
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RCWASX (Australian Securities Exchange)YesOrdinary SharesAUAUDSep 2017
RCWCHIA (Chi-X Australia)YesOrdinary SharesAUAUDSep 2017
RGGG.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDSep 2017

Biography

RightCrowd Limited develops and sells physical security, safety, and compliance software solutions worldwide. The company offers RightCrowd Workforce Management, a solution that ensure that workers meet po...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/26 07:02
End of Day Share Price2021/02/26 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.