Executive Summary
Audinate Group Limited provides professional digital audio networking technologies worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with high growth potential.
Similar Companies
Share Price & News
How has Audinate Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AD8 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-3.7%
AD8
1.3%
AU Electronic
1.5%
AU Market
1 Year Return
124.0%
AD8
112.2%
AU Electronic
20.1%
AU Market
Return vs Industry: AD8 exceeded the Australian Electronic industry which returned 110.1% over the past year.
Return vs Market: AD8 exceeded the Australian Market which returned 19.4% over the past year.
Shareholder returns
| AD8 | Industry | Market | |
|---|---|---|---|
| 7 Day | -3.7% | 1.3% | 1.5% |
| 30 Day | 14.4% | 7.1% | 3.9% |
| 90 Day | 18.4% | 19.7% | 5.5% |
| 1 Year | 124.0%124.0% | 117.4%112.2% | 25.6%20.1% |
| 3 Year | n/a | 94.4%81.9% | 39.7%20.9% |
| 5 Year | n/a | 183.2%156.5% | 60.8%24.7% |
Price Volatility Vs. Market
How volatile is Audinate Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Is Audinate Group Limited (ASX:AD8) Investing Your Capital Efficiently?1 month ago | Simply Wall St
Can You Imagine How Chuffed Audinate Group's (ASX:AD8) Shareholders Feel About Its 154% Share Price Gain?2 months ago | Simply Wall St
Is Audinate Group Limited's (ASX:AD8) 1.6% ROE Worse Than Average?Valuation
Is Audinate Group undervalued compared to its fair value and its price relative to the market?
804.72x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: AD8 (A$9) is trading above our estimate of fair value (A$3.73)
Significantly Below Fair Value: AD8 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: AD8 is poor value based on its PE Ratio (835.3x) compared to the Electronic industry average (30.4x).
PE vs Market: AD8 is poor value based on its PE Ratio (835.3x) compared to the Australian market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: AD8 is poor value based on its PEG Ratio (12.2x)
Price to Book Ratio
PB vs Industry: AD8 is overvalued based on its PB Ratio (14.1x) compared to the AU Electronic industry average (4.1x).
Next Steps
Future Growth
How is Audinate Group forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?
66.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AD8's forecast earnings growth (68.5% per year) is above the savings rate (1.1%).
Earnings vs Market: AD8's earnings (68.5% per year) are forecast to grow faster than the Australian market (9.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: AD8's revenue (26.1% per year) is forecast to grow faster than the Australian market (3.8% per year).
High Growth Revenue: AD8's revenue (26.1% 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 (13%).
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Past Performance
How has Audinate Group performed over the past 5 years?
19.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AD8 has a high level of non-cash earnings.
Growing Profit Margin: AD8's current net profit margins (2.3%) are lower than last year (12.9%).
Past Earnings Growth Analysis
Earnings Trend: AD8 has become profitable over the past 5 years, growing earnings by 19.5% per year.
Accelerating Growth: AD8's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AD8 had negative earnings growth (-74%) over the past year, making it difficult to compare to the Electronic industry average (-74%).
Return on Equity
High ROE: AD8's Return on Equity (1.6%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Audinate Group's financial position?
Financial Position Analysis
Short Term Liabilities: AD8's short term assets (A$35.6M) exceed its short term liabilities (A$5.3M).
Long Term Liabilities: AD8's short term assets (A$35.6M) exceed its long term liabilities (A$133.0K).
Debt to Equity History and Analysis
Debt Level: AD8 is debt free.
Reducing Debt: AD8 has not had any debt for past 5 years.
Debt Coverage: AD8 has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: AD8 has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: AD8 has a low level of unsold assets or inventory.
Debt Coverage by Assets: Insufficient data to determine if AD8's debt is covered by short term assets.
Next Steps
Dividend
What is Audinate Group's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate AD8's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate AD8's dividend yield against the top 25% of dividend payers, as the company has not reported any 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
What is the CEO of Audinate Group's salary, the management and board of directors tenure and is there insider trading?
2.7yrs
Average board tenure
CEO
Aidan Williams 0
0.3yrs
Tenure
AU$418,331
Compensation
Mr. Aidan Williams serves as Director at Audinate Group Limited since September 16, 2019. He is Co-founder of Audinate Group Limited and serves as its Chief Executive Officer since September 16, 2019. He w ...
CEO Compensation Analysis
Compensation vs Market: Aidan's total compensation ($USD288.70K) is below average for companies of similar size in the Australian market ($USD724.04K).
Compensation vs Earnings: Aidan's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Board Age and Tenure
2.7yrs
Average Tenure
Experienced Board: AD8's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.
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 Non-Executive Director |
| Shares | 900 |
| Max Price | AU$7.05 |
| Entity | Individual |
| Role | Member of the Board of Directors Non-Executive Director |
| Shares | 529 |
| Max Price | AU$6.86 |
| Entity | Company |
| Shares | 570,000 |
| Max Price | AU$8.24 |
| Entity | Company |
| Shares | 1,906,627 |
| Max Price | AU$6.00 |
| Entity | Company |
| Shares | 609,500 |
| Max Price | AU$6.26 |
| Entity | Company |
| Shares | 704,647 |
| Max Price | AU$5.71 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Aidan Williams
Co-Founder
- Tenure: 0.3yrs
- Compensation: AU$418.33k
Rob Goss
CFO & Company Secretary
- Tenure: 2.8yrs
- Compensation: AU$436.39k
Board Members
David Krall (59yo)
Non-Executive Chairman
- Tenure: 2.8yrs
- Compensation: AU$120.00k
John Dyson
Non-Executive Director
- Compensation: AU$65.00k
Alison Ledger
Non-Executive Director
- Tenure: 2.7yrs
- Compensation: AU$80.00k
Tim Finlayson
Non-Executive Director
- Tenure: 2.7yrs
- Compensation: AU$80.00k
Roger Price
Non-Executive Director
- Tenure: 2.8yrs
- Compensation: AU$65.00k
Aidan Williams
Co-Founder
- Tenure: 0.3yrs
- Compensation: AU$418.33k
Company Information
Audinate Group Limited's company bio, 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
- Market Cap: AU$593.906m
- Shares outstanding: 67.80m
- 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
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AD8 | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Jun 2017 |
| AD8 | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Jun 2017 |
| AUDG.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jun 2017 |
Biography
Audinate Group Limited provides professional digital audio networking technologies worldwide. It offers Dante Controller, a software application that enables users to route audio and configure devices on a Dante network; Dante Virtual Soundcard, which turns the computer into a Dante-powered workstation, integrating the PC or Mac with Dante audio devices on the user network; Dante Via, an easy-to-use software that delivers unprecedented multi-channel routing of computer-based audio; Dante Embedded Platform, a software used in AV-over-IP solutions; and Dante Domain Manager, a network management software for Dante systems. The company also provides Dante Brooklyn II networking solutions; Dante Application Library, which delivers Dante for Windows and MacOS applications; Dante Brooklyn II PDK, a product development kits; Dante Broadway chip that delivers Dante networking for medium channel-count applications; Dante Ultimo chip, a Dante solution for low channel-count applications; Ultimo PDK, a Ultimo development platform that includes hardware, software, documentation, and a technical support packages; Dante PCIe-R Soundcard recording solutions and audio processing; Dante HC networked audio solution for professional AV systems; Dante Adapter Modules, which enables development of professional audio products; Dante AV, an AV-over-IP networking solutions; and Dante IP Core, a soft IP solutions, as well as Dante AVIO adapters and Dante-MY16-AUD2 cards. It primarily serves original equipment manufacturers. The company was founded in 2003 and is based in Surry Hills, Australia.Â
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/01/22 10:49 |
| End of Day Share Price | 2020/01/22 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2019/06/30 |
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.