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AD8

Audinate GroupASX:AD8 Stock Report

Last Price

AU$7.67

Market Cap

AU$590.3m

7D

-4.1%

1Y

-0.8%

Updated

21 Jan, 2022

Data

Company Financials +
AD8 fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance0/6
Financial Health5/6
Dividends0/6

AD8 Stock Overview

Audinate Group Limited develops and sells digital audio visual (AV) networking solutions worldwide.

Rewards

Earnings are forecast to grow 74.09% per year

Earnings have grown 31.9% per year over the past 5 years

Risk Analysis

No risks detected for AD8 from our risk checks.

Audinate Group Competitors

Dolby Laboratories

NYSE:DLB

US$8.8b

Cirrus Logic

NasdaqGS:CRUS

US$4.9b

Price History & Performance

Summary of all time highs, changes and price drops for Audinate Group
Historical stock prices
Current Share PriceAU$7.67
52 Week HighAU$11.01
52 Week LowAU$6.75
Beta0.94
1 Month Change-14.68%
3 Month Change-10.92%
1 Year Change-0.78%
3 Year Change102.38%
5 Year Changen/a
Change since IPO401.31%

Recent News & Updates

Dec 12
We're Not Worried About Audinate Group's (ASX:AD8) Cash Burn

We're Not Worried About Audinate Group's (ASX:AD8) Cash Burn

There's no doubt that money can be made by owning shares of unprofitable businesses. For example, biotech and mining...

Oct 21
Is There Now An Opportunity In Audinate Group Limited (ASX:AD8)?

Is There Now An Opportunity In Audinate Group Limited (ASX:AD8)?

Audinate Group Limited ( ASX:AD8 ), might not be a large cap stock, but it saw significant share price movement during...

Jul 13
At AU$10.03, Is It Time To Put Audinate Group Limited (ASX:AD8) On Your Watch List?

At AU$10.03, Is It Time To Put Audinate Group Limited (ASX:AD8) On Your Watch List?

While Audinate Group Limited ( ASX:AD8 ) might not be the most widely known stock at the moment, it saw a significant...

Shareholder Returns

AD8AU ElectronicAU Market
7D-4.1%-3.5%-0.5%
1Y-0.8%34.6%8.4%

Return vs Industry: AD8 underperformed the Australian Electronic industry which returned 34.6% over the past year.

Return vs Market: AD8 underperformed the Australian Market which returned 8.4% over the past year.

Price Volatility

Is AD8's price volatile compared to industry and market?
AD8 volatility
AD8 Average Weekly Movement5.0%
Electronic Industry Average Movement7.3%
Market Average Movement8.6%
10% most volatile stocks in AU Market15.5%
10% least volatile stocks in AU Market3.6%

Stable Share Price: AD8 is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: AD8's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2003123Aidan Williamshttps://www.audinate.com

Audinate Group Limited develops and sells digital audio visual (AV) networking solutions worldwide. The company provides Dante, a technology platform that distributes digital audio and video signals over computer networks to original equipment manufacturers. It offers software products, such as Dante Controller, a real-time network monitoring device; Dante Virtual Soundcard that provides access to various audio devices on the network; Dante Via, a software that delivers multi-channel routing of computer-based audio; and Dante Domain Manager, as well as Dante AVIO adapter, an audio networking solution.

Audinate Group Fundamentals Summary

How do Audinate Group's earnings and revenue compare to its market cap?
AD8 fundamental statistics
Market CapAU$590.26m
Earnings (TTM)-AU$3.44m
Revenue (TTM)AU$33.37m

17.7x

P/S Ratio

-171.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AD8 income statement (TTM)
RevenueAU$33.37m
Cost of RevenueAU$7.87m
Gross ProfitAU$25.50m
ExpensesAU$28.95m
Earnings-AU$3.44m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.045
Gross Margin76.43%
Net Profit Margin-10.31%
Debt/Equity Ratio0%

How did AD8 perform over the long term?

See historical performance and comparison

Valuation

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

7.49x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: AD8 (A$7.67) is trading above our estimate of fair value (A$6.42)

Significantly Below Fair Value: AD8 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: AD8 is unprofitable, so we can't compare its PE Ratio to the Australian Electronic industry average.

PE vs Market: AD8 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 AD8's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AD8 is overvalued based on its PB Ratio (7.5x) compared to the AU Electronic industry average (4.4x).


Future Growth

How is Audinate Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

74.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AD8 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: AD8 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AD8's is expected to become profitable in the next 3 years.

Revenue vs Market: AD8's revenue (28% per year) is forecast to grow faster than the Australian market (4.8% per year).

High Growth Revenue: AD8's revenue (28% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AD8's Return on Equity is forecast to be low in 3 years time (5.8%).


Past Performance

How has Audinate Group performed over the past 5 years?

31.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AD8 is currently unprofitable.

Growing Profit Margin: AD8 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AD8 is unprofitable, but has reduced losses over the past 5 years at a rate of 31.9% per year.

Accelerating Growth: Unable to compare AD8's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AD8 is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (178.2%).


Return on Equity

High ROE: AD8 has a negative Return on Equity (-4.36%), as it is currently unprofitable.


Financial Health

How is Audinate Group's financial position?


Financial Position Analysis

Short Term Liabilities: AD8's short term assets (A$71.8M) exceed its short term liabilities (A$9.2M).

Long Term Liabilities: AD8's short term assets (A$71.8M) exceed its long term liabilities (A$1.7M).


Debt to Equity History and Analysis

Debt Level: AD8 is debt free.

Reducing Debt: AD8 has not had any debt for 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: AD8 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if AD8 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is Audinate Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AD8's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate AD8'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 AD8's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AD8'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 AD8'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?

2.3yrs

Average management tenure


CEO

Aidan Williams

2.33yrs

Tenure

AU$831,701

Compensation

Mr. Aidan Williams is Co-Founder of Audinate Group Limited. He serves as Chief Executive Officer and Director at Audinate Group Limited since September 16, 2019 and served as its Chief Technology Officer s...


CEO Compensation Analysis

Compensation vs Market: Aidan's total compensation ($USD604.26K) is about average for companies of similar size in the Australian market ($USD742.62K).

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


Leadership Team

Experienced Management: AD8's management team is considered experienced (2.3 years average tenure).


Board Members

Experienced Board: AD8's board of directors are considered experienced (4.7 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

Audinate Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Audinate Group Limited
  • Ticker: AD8
  • Exchange: ASX
  • Founded: 2003
  • Industry: Electronic Manufacturing Services
  • Sector: Tech
  • Implied Market Cap: AU$590.260m
  • Shares outstanding: 76.96m
  • Website: https://www.audinate.com

Number of Employees


Location

  • Audinate Group Limited
  • 64 Kippax Street
  • Level 7
  • Surry Hills
  • New South Wales
  • 2010
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/21 15:47
End of Day Share Price2022/01/21 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.