ASX:AMO

Stock Analysis Report

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Executive Summary

Ambertech Limited, together with its subsidiaries, provides various technologies for the professional and consumer audio/visual markets in Australia and New Zealand. More Details


Snowflake Analysis

Undervalued with adequate balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AMO is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 13% a week.

Volatility Over Time: Insufficient data to determine AMO's volatility change over the past year.


Market Performance


7 Day Return

2.4%

AMO

14.7%

AU Electronic

2.6%

AU Market


1 Year Return

128.3%

AMO

54.8%

AU Electronic

-0.4%

AU Market

Return vs Industry: AMO exceeded the Australian Electronic industry which returned 54.8% over the past year.

Return vs Market: AMO exceeded the Australian Market which returned -0.4% over the past year.


Shareholder returns

AMOIndustryMarket
7 Day2.4%14.7%2.6%
30 Day7.7%23.4%3.4%
90 Day10.5%25.9%14.6%
1 Year134.1%128.3%58.5%54.8%3.0%-0.4%
3 Year72.3%68.0%161.3%143.0%26.6%11.0%
5 Year72.3%68.0%251.4%222.9%67.5%33.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AMO (A$0.21) is trading below our estimate of fair value (A$0.69)

Significantly Below Fair Value: AMO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AMO is good value based on its PE Ratio (14.9x) compared to the XO Electronic industry average (28.6x).

PE vs Market: AMO is good value based on its PE Ratio (14.9x) compared to the Australian market (23.5x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AMO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AMO is good value based on its PB Ratio (1.4x) compared to the AU Electronic industry average (4.3x).


Next Steps

Future Growth

How is Ambertech forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

25.4%

Forecasted Tech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Ambertech has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Ambertech performed over the past 5 years?

-11.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMO has a large one-off gain of A$396.8K impacting its June 30 2020 financial results.

Growing Profit Margin: AMO became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: AMO has become profitable over the past 5 years, growing earnings by -11.3% per year.

Accelerating Growth: AMO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: AMO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Electronic industry (-0.9%).


Return on Equity

High ROE: AMO's Return on Equity (6.7%) is considered low.


Next Steps

Financial Health

How is Ambertech's financial position?


Financial Position Analysis

Short Term Liabilities: AMO's short term assets (A$32.3M) exceed its short term liabilities (A$21.7M).

Long Term Liabilities: AMO's short term assets (A$32.3M) exceed its long term liabilities (A$9.8M).


Debt to Equity History and Analysis

Debt Level: AMO's debt to equity ratio (40.8%) is considered high.

Reducing Debt: AMO's debt to equity ratio has reduced from 44.6% to 40.8% over the past 5 years.

Debt Coverage: AMO's debt is well covered by operating cash flow (27.8%).

Interest Coverage: AMO's interest payments on its debt are not well covered by EBIT (0.8x coverage).


Balance Sheet


Next Steps

Dividend

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

1.43%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AMO's dividend (1.43%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.04%).

High Dividend: AMO's dividend (1.43%) is low compared to the top 25% of dividend payers in the Australian market (5%).


Stability and Growth of Payments

Stable Dividend: AMO's dividend payments have been volatile in the past 10 years.

Growing Dividend: AMO's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (21.3%), AMO's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

23.6yrs

Average board tenure


CEO

Peter Amos (63 yo)

26yrs

Tenure

AU$412,212

Compensation

Mr. Peter Andrew Amos has been the Managing Director of Ambertech Limited since 1995. Mr. Amos joined Rank Electronics, Ambertech Limited from which Ambertech was formed via a management buyout, as a techn...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD317.26K) is about average for companies of similar size in the Australian market ($USD293.85K).

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


Board Members

NamePositionTenureCompensationOwnership
Peter Amos
Group MD & Director26yrsAU$412.21k6.24%
A$ 1.0m
Peter Wallace
Non-Executive Chairman18.25yrsAU$58.27k3.06%
A$ 491.8k
Thomas Amos
Non-Executive Director23.58yrsAU$33.99k0%
A$ 0
David Swift
Non-Executive Director23.58yrsAU$34.98kno data
Santo Carlini
Non-Executive Director0.83yrAU$7.62k36.31%
A$ 5.8m

23.6yrs

Average Tenure

66yo

Average Age

Experienced Board: AMO's board of directors are seasoned and experienced ( 23.6 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

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


Key Information

  • Name: Ambertech Limited
  • Ticker: AMO
  • Exchange: ASX
  • Founded: 1987
  • Industry: Technology Distributors
  • Sector: Tech
  • Market Cap: AU$16.056m
  • Shares outstanding: 76.45m
  • Website: https://www.ambertech.com.au

Number of Employees


Location

  • Ambertech Limited
  • 2 Daydream Street
  • Unit 1
  • Warriewood
  • New South Wales
  • 2102
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AMOASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2004
AMOCHIA (Chi-X Australia)YesOrdinary SharesAUAUDDec 2004

Biography

Ambertech Limited, together with its subsidiaries, provides various technologies for the professional and consumer audio/visual markets in Australia and New Zealand. It operates through Professional, Lifes...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/26 07:00
End of Day Share Price2021/01/25 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.