Executive Summary
Ava Risk Group Limited provides risk management services and technologies worldwide.
Risk Analysis
Earnings have declined by -14.89% per year over past 5 years
Currently unprofitable and not forecast to become profitable over the next 3 years
+ 2 more risks
Snowflake Analysis
Excellent balance sheet and overvalued.
Share Price & News
How has Ava Risk Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AVA's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
26.3%
AVA
24.3%
AU Electronic
13.4%
AU Market
1 Year Return
-22.6%
AVA
3.1%
AU Electronic
-18.8%
AU Market
Return vs Industry: AVA underperformed the Australian Electronic industry which returned 3.1% over the past year.
Return vs Market: AVA underperformed the Australian Market which returned -18.8% over the past year.
Shareholder returns
| AVA | Industry | Market | |
|---|---|---|---|
| 7 Day | 26.3% | 24.3% | 13.4% |
| 30 Day | -4.0% | -30.7% | -20.7% |
| 90 Day | -22.6% | -38.8% | -24.4% |
| 1 Year | -22.6%-22.6% | 5.3%3.1% | -15.2%-18.8% |
| 3 Year | -14.3%-14.3% | 14.3%7.9% | -2.8%-15.9% |
| 5 Year | n/a | 69.2%53.0% | 9.3%-15.3% |
Price Volatility Vs. Market
How volatile is Ava Risk Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
How Much Of Ava Risk Group Limited (ASX:AVA) Do Insiders Own?2 months ago | Simply Wall St
Those Who Purchased Ava Risk Group (ASX:AVA) Shares Three Years Ago Have A 12% Loss To Show For It2 months ago | Simply Wall St
Will Ava Risk Group (ASX:AVA) Spend Its Cash Wisely?Valuation
Is Ava Risk Group undervalued compared to its fair value and its price relative to the market?
1.31x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate AVA's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate AVA's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: AVA is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.
PE vs Market: AVA 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 AVA's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: AVA is good value based on its PB Ratio (1.3x) compared to the AU Electronic industry average (2.6x).
Next Steps
Future Growth
How is Ava Risk Group forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
30.9%
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 Ava Risk Group 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
- Examine Ava Risk Group's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
- Ava Risk Group competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Tech industry.
Past Performance
How has Ava Risk Group performed over the past 5 years?
-14.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AVA is currently unprofitable.
Growing Profit Margin: AVA is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: AVA is unprofitable, and losses have increased over the past 5 years at a rate of -14.9% per year.
Accelerating Growth: Unable to compare AVA's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: AVA is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-75.9%).
Return on Equity
High ROE: AVA has a negative Return on Equity (-5.27%), as it is currently unprofitable.
Next Steps
Financial Health
How is Ava Risk Group's financial position?
Financial Position Analysis
Short Term Liabilities: AVA's short term assets (A$15.4M) exceed its short term liabilities (A$6.8M).
Long Term Liabilities: AVA's short term assets (A$15.4M) exceed its long term liabilities (A$1.1M).
Debt to Equity History and Analysis
Debt Level: AVA is debt free.
Reducing Debt: AVA has not had any debt for past 5 years.
Balance Sheet
Inventory Level: AVA has a low level of unsold assets or inventory.
Debt Coverage by Assets: AVA's debt is covered by short term assets (assets are 1.3895406290288E+17x debt).
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: AVA has sufficient cash runway for more than a year based on its current free cash flow.
Forecast Cash Runway: AVA has less than a year of cash runway if free cash flow continues to grow at historical rates of 7.1% each year.
Next Steps
Dividend
What is Ava Risk Group's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate AVA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate AVA'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 AVA's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if AVA'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 AVA'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?
2.0yrs
Average management tenure
CEO
Scott Basham
1
Tenure
AU$273,617
Compensation
Mr. Scott Basham has been Chief Executive Officer and Executive Director of Ava Risk Group Limited since March 12, 2019. As a proven sales and business development executive, in addition to overseeing glob ...
CEO Compensation Analysis
Compensation vs Market: Scott's total compensation ($USD168.54K) is below average for companies of similar size in the Australian market ($USD245.57K).
Compensation vs Earnings: Insufficient data to compare Scott's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 1yr | AU$273.62k | 0.043% A$10.0k | |
| Group CFO & Company Secretary | 5yrs | AU$264.97k | 0.085% A$20.0k | |
| COO of Technology & Executive Director | 12yrs | AU$348.11k | 1.28% A$299.4k | |
| Chief Executive Officer of Services Division | no data | AU$653.94k | 1.4% A$328.5k | |
| COO & CFO of Services Division | 2yrs | no data | no data | |
| Group Human Resources & Administration Manager | 2.17yrs | no data | no data | |
| Group Head of Extractives & Energy | 1.83yrs | no data | no data | |
| Joint Company Secretary | 3.17yrs | no data | no data | |
| Financial Controller | no data | no data | no data |
2.0yrs
Average Tenure
Experienced Management: AVA's management team is considered experienced (2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 1yr | AU$273.62k | 0.043% A$10.0k | |
| COO of Technology & Executive Director | 12yrs | AU$348.11k | 1.28% A$299.4k | |
| Chairman of the Board | 1.58yrs | AU$36.00k | 0.22% A$51.2k | |
| Independent Non-Executive Director | 5yrs | AU$28.91k | 0.35% A$81.8k | |
| Non-Executive Director | 1.58yrs | AU$26.40k | 2.48% A$580.5k |
1.6yrs
Average Tenure
Experienced Board: AVA's board of directors are not considered experienced ( 1.6 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: AVA insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 42.1%.
Top Shareholders
Company Information
Ava Risk Group Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Ava Risk Group Limited
- Ticker: AVA
- Exchange: ASX
- Founded: 1994
- Industry: Electronic Equipment and Instruments
- Sector: Tech
- Market Cap: AU$23.412m
- Shares outstanding: 234.12m
- Website: https://www.theavagroup.com
Number of Employees
Location
- Ava Risk Group Limited
- 10 Hartnett Close
- Mulgrave
- Victoria
- 3170
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AVA | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | May 2015 |
| AVA | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | May 2015 |
Biography
Ava Risk Group Limited provides risk management services and technologies worldwide. The company operates through Perimeter Security, Access Control Solutions, and International Valuable Logistics segments. It manufactures and sells fiber optic intrusion detection and location systems that are used to detect and locate perimeter intrusion; for data network tapping and tampering, and oil and gas pipeline third party interference detection; and for other applications, including health, safety, and traffic monitoring. The company also provides smart card readers and card systems, biometric solutions, and electric locking and access control products. In addition, it offers international logistics services comprising armored vehicle collection and delivery, storage, commercial and chartered air and sea freight, and customs brokerage services for high-risk valuables, precious metals, and currency. Further, the company provides consultancy services in the areas of risk and vulnerability assessments; incident, emergency, and crisis management; designing, integration, and installation for CCTV, electronic intrusion detection and location, electronic, biometric, smart card, and mechanical access control systems; and cyber security and risk management solutions. Additionally, its consultancy services comprise business continuity planning, cash management strategies and day to day management plans, vendor and service provider assessments, technical tender management with site supervision, specialized security training and skills workshops, distribution and loss prevention plans, and secure transportation management. The company serves architects, commercial and industrial customers, military, and governments. The company has a strategic alliance with CMTE Development Ltd. The company was formerly known as Future Fibre Technologies Limited and changed its name to Ava Risk Group Limited in May 2018. Ava Risk Group Limited was founded in 1994 and is based in Mulgrave, Australia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/31 11:04 |
| End of Day Share Price | 2020/03/31 00:00 |
| Earnings | 2019/12/31 |
| 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.