Executive Summary
Technology One Limited researches, develops, markets, sells, implements, and supports integrated enterprise business software solutions in Australia, New Zealand, and internationally.
Snowflake
Fundamentals
Outstanding track record with excellent balance sheet.
Similar Companies
Share Price & News
How has Technology One's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
2.8%
TNE
-0.6%
AU Software
0.4%
AU Market
1 Year Return
35.2%
TNE
39.0%
AU Software
9.8%
AU Market
Return vs Industry: TNE underperformed the Australian Software industry which returned 39% over the past year.
Return vs Market: TNE exceeded the Australian Market which returned 9.8% over the past year.
Shareholder returns
| TNE | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.8% | -0.6% | 0.4% |
| 30 Day | -0.3% | -1.4% | -1.1% |
| 90 Day | -6.1% | 2.4% | -0.6% |
| 1 Year | 37.6%35.2% | 40.2%39.0% | 16.1%9.8% |
| 3 Year | 36.9%29.5% | 117.9%108.4% | 36.1%17.9% |
| 5 Year | 150.1%125.8% | 169.6%148.0% | 49.4%15.7% |
Price Volatility Vs. Market
How volatile is Technology One's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Calculating The Intrinsic Value Of Technology One Limited (ASX:TNE)3 weeks ago | Simply Wall St
Could The Technology One Limited (ASX:TNE) Ownership Structure Tell Us Something Useful?Valuation
Is Technology One undervalued compared to its fair value and its price relative to the market?
38.27x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Undervalued: TNE (A$7.34) is trading above our estimate of fair value (A$7.04)
Significantly Undervalued: TNE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: TNE is poor value based on its PE Ratio (38.3x) compared to the Software industry average (32.2x).
PE vs Market: TNE is poor value based on its PE Ratio (38.3x) compared to the Australian market (18.2x).
Price to Earnings Growth Ratio
Low PEG Ratio: TNE is poor value based on its PEG Ratio (3.3x)
Price to Book Ratio
PB vs Industry: TNE is overvalued based on its PB Ratio (30.7x) compared to the AU Software industry average (4.6x).
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Future Growth
How is Technology One forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
11.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: TNE's forecast earnings growth (11.6% per year) is above the savings rate (2.3%).
Earnings vs Market: TNE's earnings (11.6% per year) are forecast to grow faster than the Australian market (10.3% per year).
High Growth Earnings: TNE's earnings are forecast to grow, but not significantly.
Revenue vs Market: TNE's revenue (9% per year) is forecast to grow faster than the Australian market (3.6% per year).
High Growth Revenue: TNE's revenue (9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
High Future ROE: TNE's Return on Equity is forecast to be very high in 3 years time (48.3%).
Next Steps
Past Performance
How has Technology One performed over the past 5 years?
13.8%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: TNE's earnings have grown by 13.8% per year over the past 5 years.
Accelerating Growth: TNE's earnings growth over the past year (36%) exceeds its 5-year average (13.8% per year).
Earnings vs Industry: TNE earnings growth over the past year (36%) exceeded the Software industry 22%.
Return on Equity
High ROE: TNE's Return on Equity (80.1%) is considered outstanding.
Return on Assets
ROA vs Industry: TNE has a higher Return on Assets than the Software industry average last year.
Return on Capital Employed
ROCE Improving: TNE has significantly improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Technology One's financial position?
Financial Position Analysis
Short Term Liabilities: TNE's short term assets (A$133.7M) do not cover its short term liabilities (A$171.4M)
Long Term Liabilities: TNE's short term assets (133.7M) exceeds its long term liabilities (4.4M)
Debt to Equity History and Analysis
Debt Level: TNE is debt free.
Reducing Debt: TNE has not had any debt for past 5 years.
Debt Coverage: TNE has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: TNE has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: TNE has a low level of unsold assets or inventory.
Debt Coverage by Assets: Insufficient data to determine if TNE's debt is covered by short term assets.
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Dividend
What is Technology One's current dividend yield, its reliability and sustainability?
1.54%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: TNE's dividend (1.54%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.44%).
High Dividend: TNE's dividend (1.54%) is low compared to the top 25% of dividend payers in the Australian market (5.59%).
Stable Dividend: TNE is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.
Growing Dividend: TNE is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: TNE is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of TNE'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 Technology One's salary, the management and board of directors tenure and is there insider trading?
2.5yrs
Average management tenure
CEO
Edward Chung 0
2.4yrs
Tenure
AU$1,396,604
Compensation
Mr. Edward James Chung, BCom, MCom, CA, FTIA, AICD, has been the Chief Executive Officer at TechnologyOne Limited since May 23, 2017 and served as its Chief Operating Officer from February 16, 2016 to May ...
CEO Compensation Analysis
Compensation vs. Market: Edward has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Australian market.
Compensation vs Earnings: Edward's compensation has increased by more than 20% in the past year.
Management Age and Tenure
2.5yrs
Average Tenure
Experienced Management: TNE's management team is considered experienced (2.5 years average tenure).
Board Age and Tenure
3.7yrs
Average Tenure
Experienced Board: TNE's board of directors are considered experienced (3.7 years average tenure).
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
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 60,000 |
| Max Price | AU$8.08 |
| Entity | Company |
| Shares | 7,075,472 |
| Max Price | AU$8.13 |
| Entity | Company |
| Shares | 1,264,170 |
| Max Price | AU$7.73 |
| Entity | Individual |
| Role | Member of the Board of Directors Independent Non-Executive Director |
| Shares | 12,375 |
| Max Price | AU$8.11 |
| Entity | Company |
| Shares | 4,023,902 |
| Max Price | AU$8.31 |
| Entity | Company |
| Shares | 2,914,573 |
| Max Price | AU$6.49 |
| Entity | Company |
| Shares | 68,552 |
| Max Price | AU$6.22 |
| Entity | Company |
| Shares | 5,864,343 |
| Max Price | AU$5.66 |
| Entity | Company |
| Shares | 1,245,905 |
| Max Price | AU$5.57 |
| Entity | Individual |
| Role | Member of the Board of Directors Non-Executive Director |
| Shares | 4,000,000 |
| Max Price | AU$5.55 |
| Entity | Company |
| Shares | 1,245,905 |
| Max Price | AU$5.60 |
| Entity | Company |
| Shares | 4,506,381 |
| Max Price | AU$5.77 |
Ownership Breakdown
Management Team
Adrian Di Marco
Founder
- Tenure: 0yrs
- Compensation: AU$1.35m
Michelle Reid
Executive Secretary
- Tenure: 0yrs
Roger Phare
Operating Officer of United Kingdom
- Tenure: 0yrs
- Compensation: AU$520.79k
Edward Chung
Chief Executive Officer
- Tenure: 2.4yrs
- Compensation: AU$1.40m
Paul MacRae
General Manager of Human Resources & Payroll and Business Process Automation
- Tenure: 7.9yrs
Gareth Pye
Acting Operating Officer of Corporate Services & Deputy CFO
- Tenure: 5yrs
- Compensation: AU$273.70k
Stuart MacDonald
Chief Operating Officer
- Tenure: 2.4yrs
- Compensation: AU$1.01m
Stephen Kennedy
Head of Compliance & Risk and Group Company Secretary
- Tenure: 2.5yrs
Lisa Watson
Corporate Communications Manager
- Tenure: 0yrs
Paul Jobbins
CFO & Operating Officer of Corporate Services
- Tenure: 1yrs
Board Members
Jane Andrews
Independent Non-Executive Director
- Tenure: 3.7yrs
- Compensation: AU$128.27k
Richard Anstey
Independent Non-Executive Director
- Tenure: 13.8yrs
- Compensation: AU$128.27k
Adrian Di Marco
Founder
- Tenure: 0yrs
- Compensation: AU$1.35m
John MacTaggart
Non-Executive Director
- Tenure: 19.8yrs
- Compensation: AU$128.27k
Ron McLean
Deputy Chair
- Tenure: 2.2yrs
- Compensation: AU$128.27k
Kevin Blinco
Independent Non-Executive Director
- Tenure: 15.5yrs
- Compensation: AU$128.27k
Cliff Rosenberg (55yo)
Independent Non-Executive Director
- Tenure: 0.7yrs
Sharon Doyle
Independent Non-Executive Director
- Tenure: 1.4yrs
- Compensation: AU$74.83k
Company Information
Technology One Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Technology One Limited
- Ticker: TNE
- Exchange: ASX
- Founded: 1987
- Industry: Application Software
- Sector: Software
- Market Cap: AU$2.333b
- Shares outstanding: 317.83m
- Website: https://www.technologyonecorp.com
Number of Employees
Location
- Technology One Limited
- TechnologyOne HQ
- Level 11
- Fortitude Valley
- Queensland
- 4006
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| TNE | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Dec 1999 |
| TNE | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Dec 1999 |
| RW8 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Dec 1999 |
Biography
Technology One Limited researches, develops, markets, sells, implements, and supports integrated enterprise business software solutions in Australia, New Zealand, and internationally. It operates through S ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/19 10:31 |
| End of Day Share Price | 2019/10/18 00:00 |
| Earnings | 2019/03/31 |
| Annual Earnings | 2018/09/30 |
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.