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RHP

rhipeASX:RHP Stock Report

Market Cap

AU$406.6m

7D

-0.4%

1Y

33.9%

Updated

15 Oct, 2021

Data

Company Financials +
RHP fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance5/6
Financial Health6/6
Dividends0/6

RHP Overview

rhipe Limited, a cloud channel company, provides cloud based licensing programs and services to software vendors in the Asia Pacific region.

Rewards

Earnings are forecast to grow 42.87% per year

Earnings grew by 45.5% over the past year

Risk Analysis

No risks detected for RHP from our risk checks.

Price History & Performance

Summary of all time highs, changes and price drops for rhipe
Historical stock prices
Current Share PriceAU$2.49
52 Week HighAU$1.55
52 Week LowAU$2.56
Beta0.55
1 Month Change0.40%
3 Month Change-0.80%
1 Year Change33.87%
3 Year Change116.52%
5 Year Change172.13%
Change since IPO352.73%

Recent News & Updates

Shareholder Returns

RHPAU ITAU Market
7D-0.4%1.6%0.7%
1Y33.9%8.6%21.4%

Return vs Industry: RHP exceeded the Australian IT industry which returned 7.4% over the past year.

Return vs Market: RHP exceeded the Australian Market which returned 19.3% over the past year.

Price Volatility

Is RHP's price volatile compared to industry and market?
RHP volatility
RHP Beta0.55
Industry Beta1.68
Market Beta1

Stable Share Price: RHP is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: RHP's weekly volatility (1%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2003537Dominic O'Hanlonhttps://www.rhipe.com

rhipe Limited, a cloud channel company, provides cloud based licensing programs and services to software vendors in the Asia Pacific region. The company offers licensing, business development, and knowledge services to services providers, system integrators, and software vendors to accelerate the adoption of the cloud by end customers. Its services include private, public, and hybrid cloud IT environment services; cloud consulting and support services; and cloud operations, including subscription billing, provisioning, support, and marketing services.

rhipe Fundamentals Summary

How do rhipe's earnings and revenue compare to its market cap?
RHP fundamental statistics
Market CapAU$406.58m
Earnings (TTM)AU$7.30m
Revenue (TTM)AU$66.82m

55.7x

P/E Ratio

6.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
RHP income statement (TTM)
RevenueAU$66.82m
Cost of RevenueAU$6.43m
Gross ProfitAU$60.39m
ExpensesAU$53.09m
EarningsAU$7.30m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.045
Gross Margin90.37%
Net Profit Margin10.92%
Debt/Equity Ratio0%

How did RHP perform over the long term?

See historical performance and comparison

Valuation

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

55.74x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RHP (A$2.49) is trading above our estimate of fair value (A$2.08)

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


Price To Earnings Ratio

PE vs Industry: RHP is poor value based on its PE Ratio (55.7x) compared to the Australian IT industry average (41.8x).

PE vs Market: RHP is poor value based on its PE Ratio (55.7x) compared to the Australian market (19.7x).


Price to Earnings Growth Ratio

PEG Ratio: RHP is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: RHP is overvalued based on its PB Ratio (4.5x) compared to the AU IT industry average (3.3x).


Future Growth

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

42.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RHP's forecast earnings growth (42.9% per year) is above the savings rate (1.9%).

Earnings vs Market: RHP's earnings (42.9% per year) are forecast to grow faster than the Australian market (11.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: RHP's revenue (22.4% per year) is forecast to grow faster than the Australian market (5.3% per year).

High Growth Revenue: RHP's revenue (22.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RHP's Return on Equity is forecast to be low in 3 years time (16.5%).


Past Performance

How has rhipe performed over the past 5 years?

31.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RHP has high quality earnings.

Growing Profit Margin: RHP's current net profit margins (10.9%) are higher than last year (9%).


Past Earnings Growth Analysis

Earnings Trend: RHP has become profitable over the past 5 years, growing earnings by 31.7% per year.

Accelerating Growth: RHP's earnings growth over the past year (45.5%) exceeds its 5-year average (31.7% per year).

Earnings vs Industry: RHP earnings growth over the past year (45.5%) exceeded the IT industry -11.2%.


Return on Equity

High ROE: RHP's Return on Equity (7.7%) is considered low.


Financial Health

How is rhipe's financial position?


Financial Position Analysis

Short Term Liabilities: RHP's short term assets (A$112.0M) exceed its short term liabilities (A$77.8M).

Long Term Liabilities: RHP's short term assets (A$112.0M) exceed its long term liabilities (A$4.9M).


Debt to Equity History and Analysis

Debt Level: RHP is debt free.

Reducing Debt: RHP has not had any debt for past 5 years.

Debt Coverage: RHP has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: RHP has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

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

2.03%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: RHP is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RHP'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?

7.0yrs

Average management tenure


CEO

Dominic O'Hanlon

7.17yrs

Tenure

AU$1,615,548

Compensation

Mr. Dominic John O'Hanlon, B.Sc., has been the Chief Executive Officer at Rhipe Limited since August 05, 2014 and as its Managing Director since June 15, 2015. Mr. O'Hanlon served as the President and Chie...


CEO Compensation Analysis

Compensation vs Market: Dominic's total compensation ($USD1.20M) is above average for companies of similar size in the Australian market ($USD729.63K).

Compensation vs Earnings: Dominic's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: RHP's management team is seasoned and experienced (7 years average tenure).


Board Members

Experienced Board: RHP's board of directors are considered experienced (6.3 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

rhipe Limited's employee growth, exchange listings and data sources


Key Information

  • Name: rhipe Limited
  • Ticker: RHP
  • Exchange: ASX
  • Founded: 2003
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: AU$406.582m
  • Shares outstanding: 163.29m
  • Website: https://www.rhipe.com

Number of Employees


Location

  • rhipe Limited
  • 100 Miller Street
  • Level 19
  • North Sydney
  • New South Wales
  • 2060
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/15 07:03
End of Day Share Price2021/10/14 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.