ASX:XF1

Stock Analysis Report

Executive Summary

Xref Limited develops human resources technology that automates the candidate reference process for employers.

Snowflake

Fundamentals

Flawless balance sheet with limited growth.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-2.3%

XF1

-0.6%

AU Software

0.4%

AU Market


1 Year Return

-26.3%

XF1

39.0%

AU Software

9.8%

AU Market

Return vs Industry: XF1 underperformed the Australian Software industry which returned 39% over the past year.

Return vs Market: XF1 underperformed the Australian Market which returned 9.8% over the past year.


Shareholder returns

XF1IndustryMarket
7 Day-2.3%-0.6%0.4%
30 Day9.1%-2.1%-1.3%
90 Day-14.3%1.9%-0.5%
1 Year-26.3%-26.3%40.2%39.0%16.1%9.8%
3 Year-22.2%-22.2%117.9%108.4%36.1%17.9%
5 Yearn/a169.6%148.0%49.4%15.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

22.02x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate XF1's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate XF1's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: XF1 is unprofitable, so we can't compare its PE Ratio to the Software industry average.

PE vs Market: XF1 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 XF1's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: XF1 is overvalued based on its PB Ratio (22x) compared to the AU Software industry average (4.6x).


Next Steps

Future Growth

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

27.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XF1 is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: XF1 is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: XF1 is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: XF1's revenue (27.4% per year) is forecast to grow faster than the Australian market (3.6% per year).

High Growth Revenue: XF1's revenue (27.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if XF1's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Xref performed over the past 5 years?

-38.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: XF1 is unprofitable, and losses have increased over the past 5 years at a rate of -38.9% per year.

Accelerating Growth: Unable to compare XF1's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: XF1 is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (22%).


Return on Equity

High ROE: XF1 has a negative Return on Equity (-259.01%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: XF1 is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: XF1 is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Xref's financial position?


Financial Position Analysis

Short Term Liabilities: XF1's short term assets (A$11.3M) exceeds its short term liabilities (A$8.6M)

Long Term Liabilities: XF1's short term assets (11.3M) exceeds its long term liabilities (89.7K)


Debt to Equity History and Analysis

Debt Level: XF1 is debt free.

Reducing Debt: XF1 currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet

Inventory Level: XF1 has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if XF1's debt is covered by short term assets.


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: XF1 has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: XF1 has sufficient cash runway for 1.472578 years if free cash flow continues to reduce at historical rates of -15.3% each year.


Next Steps

Dividend

What is Xref's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.4%markettop25%5.6%industryaverage1.2%forecastin3Years0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate XF1's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate XF1's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if XF1's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if XF1'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 XF1'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 Xref's salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average board tenure


CEO

Lee-Martin Seymour 0

0yrs

Tenure

AU$293,750

Compensation

Mr. Lee-Martin John Seymour is a Co-Founder and Managing Director of Xref Limited and serves as its Chief Executive Officer. Mr. Seymour founded Talentforce Pty Ltd in 2012. He founded Talentforce Academy  ...


CEO Compensation Analysis

Compensation vs. Market: Lee-Martin's total compensation ($USD201.10K) is about average for companies of similar size in the Australian market ($USD257.37K).

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


Board Age and Tenure

3.8yrs

Average Tenure

Experienced Board: XF1's board of directors are considered experienced (3.8 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

BuyAU$1,411,16026 May 19
FIL Limited
EntityCompany
Shares2,477,987
Max PriceAU$0.64
SellAU$914,88324 May 19
Victorian Funds Management Corporation
EntityCompany
Shares1,441,897
Max PriceAU$0.63
BuyAU$007 Dec 18
FIL Limited
EntityCompany
Shares3,173,574
Max PriceAU$0.61
SellAU$999,99915 Nov 18
IFM Investors Pty Ltd
EntityCompany
Shares2,000,000
Max PriceAU$0.50

Ownership Breakdown


Management Team

  • Rob Waring

    Company Secretary

    • Tenure: 0yrs
    • Compensation: AU$76.93k
  • Tim Griffiths

    Co-Founder

    • Tenure: 3.8yrs
    • Compensation: AU$293.75k
  • Lee-Martin Seymour

    Co-Founder

    • Tenure: 0yrs
    • Compensation: AU$293.75k
  • James Solomons

    Chief Financial Officer

    • Tenure: 3.4yrs
    • Compensation: AU$386.41k
  • Sharon Blesson

    COO and Director of Delivery & Operations

    • Tenure: 0yrs
  • David Haines

    Director of Global Sales

    • Tenure: 0yrs
  • Laura Johnson

    Marketing Director

    • Tenure: 0yrs
  • Melanie Seymour

    Compliance Manager

    • Tenure: 0yrs

Board Members

  • Nigel S. Heap

    Non-Executive Director

    • Tenure: 3.2yrs
    • Compensation: AU$91.33k
  • Brad Rosser (55yo)

    Non-Executive Chairman

    • Tenure: 3.2yrs
    • Compensation: AU$328.63k
  • Tim Griffiths

    Co-Founder

    • Tenure: 3.8yrs
    • Compensation: AU$293.75k
  • Lee-Martin Seymour

    Co-Founder

    • Tenure: 0yrs
    • Compensation: AU$293.75k
  • Tim Mahony

    Non-Executive Director

    • Tenure: 3.8yrs
    • Compensation: AU$70.79k

Company Information

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


Key Information

  • Name: Xref Limited
  • Ticker: XF1
  • Exchange: ASX
  • Founded:
  • Industry: Application Software
  • Sector: Software
  • Market Cap: AU$70.334m
  • Shares outstanding: 167.46m
  • Website: https://www.xref.com/en

Number of Employees


Location

  • Xref Limited
  • 17/13 Hickson Road
  • Suite 14
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
XF1CHIA (Chi-X Australia)NPVAUAUDNo data
XF1ASX (Australian Securities Exchange)YesOrdinary SharesAUAUDFeb 2016
XF1CHIA (Chi-X Australia)YesOrdinary SharesAUAUDFeb 2016

Biography

Xref Limited develops human resources technology that automates the candidate reference process for employers. The company offers Xref, an automated reference checking tool that provides hiring efficiency, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 10:33
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.