| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 4/6 |
| Past Performance | 5/6 |
| Financial Health | 6/6 |
| Dividends | 3/6 |
CDA Overview
Codan Limited develops technology solutions for United Nations organizations, mining companies, security and military groups, government departments, individuals, and small-scale miners.
Rewards
Risk Analysis
No risks detected for CDA from our risk checks.
Codan Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | AU$12.91 |
| 52 Week High | AU$9.20 |
| 52 Week Low | AU$19.43 |
| Beta | 0.62 |
| 1 Month Change | -14.33% |
| 3 Month Change | -28.40% |
| 1 Year Change | 13.45% |
| 3 Year Change | 304.70% |
| 5 Year Change | 696.91% |
| Change since IPO | 856.30% |
Recent News & Updates
Codan's (ASX:CDA) Upcoming Dividend Will Be Larger Than Last Year's
The board of Codan Limited ( ASX:CDA ) has announced that it will be increasing its dividend on the 10th of September...
Returns On Capital Are A Standout For Codan (ASX:CDA)
If you're looking for a multi-bagger, there's a few things to keep an eye out for. Firstly, we'll want to see a proven...
Calculating The Fair Value Of Codan Limited (ASX:CDA)
How far off is Codan Limited ( ASX:CDA ) from its intrinsic value? Using the most recent financial data, we'll take a...
Shareholder Returns
| CDA | AU Electronic | AU Market | |
|---|---|---|---|
| 7D | -1.8% | 0.5% | -0.8% |
| 1Y | 13.4% | 72.7% | 25.3% |
Return vs Industry: CDA underperformed the Australian Electronic industry which returned 72.7% over the past year.
Return vs Market: CDA underperformed the Australian Market which returned 25.3% over the past year.
Price Volatility
| CDA volatility | |
|---|---|
| CDA Beta | 0.62 |
| Industry Beta | 1.01 |
| Market Beta | 1 |
Stable Share Price: CDA is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: CDA's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1959 | 450 | Donald McGurk | https://www.codan.com.au |
Codan Limited develops technology solutions for United Nations organizations, mining companies, security and military groups, government departments, individuals, and small-scale miners. The company operates through Communications Equipment and Metal Detection segments. The Communications segment designs, develops, manufactures, and markets communication equipment that consists MIMO MESH; DTC radio solutions for the wireless transmission of video and other data applications; and Zetron communications solutions.
Codan Fundamentals Summary
| CDA fundamental statistics | |
|---|---|
| Market Cap | AU$2.34b |
| Earnings (TTM) | AU$90.35m |
| Revenue (TTM) | AU$437.05m |
25.8x
P/E Ratio5.3x
P/S RatioIs CDA overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CDA income statement (TTM) | |
|---|---|
| Revenue | AU$437.05m |
| Cost of Revenue | AU$193.91m |
| Gross Profit | AU$243.14m |
| Expenses | AU$152.79m |
| Earnings | AU$90.35m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.50 |
| Gross Margin | 55.63% |
| Net Profit Margin | 20.67% |
| Debt/Equity Ratio | 7.9% |
How did CDA perform over the long term?
See historical performance and comparisonDividends
2.1%
Current Dividend Yield54%
Payout RatioValuation
Is Codan undervalued compared to its fair value and its price relative to the market?
24.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CDA (A$12.91) is trading below our estimate of fair value (A$17.09)
Significantly Below Fair Value: CDA is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CDA is poor value based on its PE Ratio (25.8x) compared to the Australian Electronic industry average (20.2x).
PE vs Market: CDA is poor value based on its PE Ratio (25.8x) compared to the Australian market (19.1x).
Price to Earnings Growth Ratio
PEG Ratio: CDA is poor value based on its PEG Ratio (2.1x)
Price to Book Ratio
PB vs Industry: CDA is overvalued based on its PB Ratio (7.7x) compared to the AU Electronic industry average (4.5x).
Future Growth
How is Codan forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
12.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CDA's forecast earnings growth (12.3% per year) is above the savings rate (1.9%).
Earnings vs Market: CDA's earnings (12.3% per year) are forecast to grow faster than the Australian market (11.9% per year).
High Growth Earnings: CDA's earnings are forecast to grow, but not significantly.
Revenue vs Market: CDA's revenue (13.2% per year) is forecast to grow faster than the Australian market (5.7% per year).
High Growth Revenue: CDA's revenue (13.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CDA's Return on Equity is forecast to be high in 3 years time (29.3%)
Past Performance
How has Codan performed over the past 5 years?
22.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CDA has high quality earnings.
Growing Profit Margin: CDA's current net profit margins (20.7%) are higher than last year (18.3%).
Past Earnings Growth Analysis
Earnings Trend: CDA's earnings have grown significantly by 22.8% per year over the past 5 years.
Accelerating Growth: CDA's earnings growth over the past year (41.6%) exceeds its 5-year average (22.8% per year).
Earnings vs Industry: CDA earnings growth over the past year (41.6%) underperformed the Electronic industry 178.2%.
Return on Equity
High ROE: CDA's Return on Equity (29.7%) is considered high.
Financial Health
How is Codan's financial position?
Financial Position Analysis
Short Term Liabilities: CDA's short term assets (A$156.9M) exceed its short term liabilities (A$142.5M).
Long Term Liabilities: CDA's short term assets (A$156.9M) exceed its long term liabilities (A$57.4M).
Debt to Equity History and Analysis
Debt Level: CDA's debt to equity ratio (7.9%) is considered satisfactory.
Reducing Debt: CDA's debt to equity ratio has reduced from 14.4% to 7.9% over the past 5 years.
Debt Coverage: CDA's debt is well covered by operating cash flow (547.1%).
Interest Coverage: CDA's interest payments on its debt are well covered by EBIT (130.6x coverage).
Balance Sheet
Dividend
What is Codan current dividend yield, its reliability and sustainability?
2.09%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CDA's dividend (2.09%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.31%).
High Dividend: CDA's dividend (2.09%) is low compared to the top 25% of dividend payers in the Australian market (5.45%).
Stability and Growth of Payments
Stable Dividend: CDA's dividend payments have been volatile in the past 10 years.
Growing Dividend: CDA's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (53.9%), CDA's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CDA's dividends in 3 years are forecast to be well covered by earnings (50% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
12.0yrs
Average management tenure
CEO
Donald McGurk (59 yo)
10.83yrs
Tenure
AU$1,515,242
Compensation
Mr. Donald S. McGurk, HNC (Mech Eng), MBA, FAICD, Harvard AMP, has been the Chief Executive Officer and Managing Director of Codan Limited since November 2010 and has been its Executive Director since May...
CEO Compensation Analysis
Compensation vs Market: Donald's total compensation ($USD1.10M) is about average for companies of similar size in the Australian market ($USD1.33M).
Compensation vs Earnings: Donald's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: CDA's management team is seasoned and experienced (12 years average tenure).
Board Members
Experienced Board: CDA's board of directors are considered experienced (6.6 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
Codan Limited's employee growth, exchange listings and data sources
Key Information
- Name: Codan Limited
- Ticker: CDA
- Exchange: ASX
- Founded: 1959
- Industry: Electronic Equipment and Instruments
- Sector: Tech
- Market Cap: AU$2.335b
- Shares outstanding: 180.88m
- Website: https://www.codan.com.au
Number of Employees
Location
- Codan Limited
- Technology Park
- 2 Second Avenue
- Mawson Lakes
- South Australia
- 5095
- Australia
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/27 15:38 |
| End of Day Share Price | 2021/09/27 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2021/06/30 |
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.