ASX:HTG

Stock Analysis Report

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Harvest Technology Group

Executive Summary

Harvest Technology Group Limited provides offshore solutions and engineering services for subsea intervention projects and asset integrity risk mitigation primarily in Australia. More Details


Snowflake Analysis

Exceptional growth potential with adequate balance sheet.

Share Price & News

How has Harvest Technology Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HTG is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: HTG's weekly volatility has decreased from 16% to 9% over the past year.


Market Performance


7 Day Return

12.5%

HTG

2.2%

AU Electronic

-0.3%

AU Market


1 Year Return

421.7%

HTG

36.1%

AU Electronic

-1.8%

AU Market

Return vs Industry: HTG exceeded the Australian Electronic industry which returned 34.7% over the past year.

Return vs Market: HTG exceeded the Australian Market which returned -1.6% over the past year.


Shareholder returns

HTGIndustryMarket
7 Day12.5%2.2%-0.3%
30 Day18.0%11.9%1.6%
90 Day12.5%10.7%9.9%
1 Year421.7%421.7%39.6%36.1%1.5%-1.8%
3 Year1,009.0%958.8%134.5%117.8%26.2%10.7%
5 Yearn/a209.4%183.1%69.0%35.8%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

12.43x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: HTG (A$0.36) is trading above our estimate of fair value (A$0.09)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: HTG is overvalued based on its PB Ratio (12.4x) compared to the AU Electronic industry average (4.4x).


Next Steps

Future Growth

How is Harvest Technology Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

132.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HTG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

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

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

Revenue vs Market: HTG's revenue (28.1% per year) is forecast to grow faster than the Australian market (5% per year).

High Growth Revenue: HTG's revenue (28.1% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HTG's Return on Equity is forecast to be very high in 3 years time (41%).


Next Steps

Past Performance

How has Harvest Technology Group performed over the past 5 years?

-21.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HTG is currently unprofitable.

Growing Profit Margin: HTG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HTG is unprofitable, and losses have increased over the past 5 years at a rate of 21.9% per year.

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

Earnings vs Industry: HTG is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-0.9%).


Return on Equity

High ROE: HTG has a negative Return on Equity (-47.59%), as it is currently unprofitable.


Next Steps

Financial Health

How is Harvest Technology Group's financial position?


Financial Position Analysis

Short Term Liabilities: HTG's short term assets (A$12.5M) exceed its short term liabilities (A$4.7M).

Long Term Liabilities: HTG's short term assets (A$12.5M) exceed its long term liabilities (A$6.9M).


Debt to Equity History and Analysis

Debt Level: HTG's debt to equity ratio (28.9%) is considered satisfactory.

Reducing Debt: HTG's debt to equity ratio has increased from 0.02% to 28.9% over the 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: HTG has sufficient cash runway for more than 3 years based on its current free cash flow.

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


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if HTG'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 HTG's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

  • Explore strong dividend paying companies in the Tech industry.

Management

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

1.5yrs

Average board tenure


CEO

Paul Guilfoyle

1.33yrs

Tenure

AU$875,847

Compensation

Mr. Paul Joseph Guilfoyle, MBA has been Group Managing Director and Executive Director of Harvest Technology Group Ltd. (formerly known as Smart Marine Systems Limited) since September 03, 2019 and since J...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD681.81K) is above average for companies of similar size in the Australian market ($USD295.31K).

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


Board Members

NamePositionTenureCompensationOwnership
Paul Guilfoyle
Group MD & Executive Director1.33yrsAU$875.85k2.49%
A$ 4.5m
Rodney Evans
Non-Executive Independent Director1.67yrsAU$82.51k0.50%
A$ 893.3k
Marcus Machin
Non-Executive Independent Director1.33yrsAU$71.45k3.17%
A$ 5.7m
Jeffrey Sengelman
Independent Non-Executive Chairman0.58yrAU$987.00no data

1.5yrs

Average Tenure

Experienced Board: HTG's board of directors are not considered experienced ( 1.5 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: HTG insiders have only sold shares 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 46.5%.


Top Shareholders

Company Information

Harvest Technology Group Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Harvest Technology Group Ltd
  • Ticker: HTG
  • Exchange: ASX
  • Founded: 2011
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: AU$178.956m
  • Shares outstanding: 490.29m
  • Website: https://www.harvest.technology

Number of Employees


Location

  • Harvest Technology Group Ltd
  • 61 Kings Street
  • Level 2
  • Perth
  • Western Australia
  • 6000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HTGASX (Australian Securities Exchange)YesOrdinary SharesAUAUDMay 2016
HTGCHIA (Chi-X Australia)YesOrdinary SharesAUAUDMay 2016

Biography

Harvest Technology Group Limited provides offshore solutions and engineering services for subsea intervention projects and asset integrity risk mitigation primarily in Australia. The company provides techn...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/15 07:09
End of Day Share Price2021/01/15 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.