ASX:SMN

Stock Analysis Report

Structural Monitoring Systems

Executive Summary

Structural Monitoring Systems Plc, through its subsidiaries, designs, develops, and commercializes structural health monitoring systems for the aviation industry in Australia, the United Kingdom, the United States, and Canada.

Snowflake

Fundamentals

Adequate balance sheet with weak fundamentals.

Share Price & News

How has Structural Monitoring Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.5%

SMN

-1.3%

AU Electronic

0.1%

AU Market


1 Year Return

-10.2%

SMN

73.2%

AU Electronic

11.9%

AU Market

Return vs Industry: SMN underperformed the Australian Electronic industry which returned 73.2% over the past year.

Return vs Market: SMN underperformed the Australian Market which returned 11.9% over the past year.


Shareholder returns

SMNIndustryMarket
7 Day-1.5%-1.3%0.1%
30 Day17.6%1.1%-1.1%
90 Day38.6%15.0%-1.4%
1 Year-10.2%-10.2%77.5%73.2%18.5%11.9%
3 Year-58.9%-58.9%40.3%33.4%36.4%18.1%
5 Year92.1%92.1%117.3%97.5%50.9%16.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Structural Monitoring Systems undervalued compared to its fair value and its price relative to the market?

9.06x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate SMN's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate SMN's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: SMN is overvalued based on its PB Ratio (9.1x) compared to the AU Electronic industry average (3.3x).


Next Steps

Future Growth

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

15.0%

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 Structural Monitoring Systems 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 Structural Monitoring Systems performed over the past 5 years?

-29.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SMN is unprofitable, and losses have increased over the past 5 years at a rate of -29.6% per year.

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

Earnings vs Industry: SMN is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-66.4%).


Return on Equity

High ROE: SMN has a negative Return on Equity (-32.53%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: SMN is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: SMN is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Structural Monitoring Systems's financial position?


Financial Position Analysis

Short Term Liabilities: SMN's short term assets (A$12.1M) exceeds its short term liabilities (A$3.5M)

Long Term Liabilities: SMN's short term assets (12.1M) exceeds its long term liabilities (449.6K)


Debt to Equity History and Analysis

Debt Level: SMN's debt to equity ratio (5.9%) is considered satisfactory

Reducing Debt: Insufficient data to determine if SMN's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: SMN has a high level of physical assets or inventory.

Debt Coverage by Assets: SMN's debt is covered by short term assets (assets are 16.652870x 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: SMN has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: SMN has less than a year of cash runway if free cash flow continues to reduce at historical rates of -23.5% each year


Next Steps

Dividend

What is Structural Monitoring Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.4%markettop25%5.6%industryaverage1.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate SMN's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if SMN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SMN'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 SMN'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 Structural Monitoring Systems's salary, the management and board of directors tenure and is there insider trading?

1.7yrs

Average management tenure


CEO

Toby Robert Chandler 0

2.8yrs

Tenure

AU$225,000

Compensation

Mr. Toby Robert Secretan Chandler has been Chief Executive Officer of Structural Monitoring Systems Plc since January 20, 2017. Mr. Chandler served as Managing Director of Structural Monitoring Systems Plc ...


CEO Compensation Analysis

Compensation vs. Market: Toby Robert's total compensation ($USD154.47K) is about average for companies of similar size in the Australian market ($USD260.53K).

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


Management Age and Tenure

1.7yrs

Average Tenure

Experienced Management: SMN's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Insider Trading

Insider Buying: SMN insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellAU$13,76026 Aug 19
Robert Reveley
EntityIndividual
Role
Chairman of the Board
Chairman
Shares16,000
Max PriceAU$0.86
SellAU$76,10919 Aug 19
Robert Reveley
EntityIndividual
Role
Chairman of the Board
Chairman
Shares83,373
Max PriceAU$0.91
SellAU$25,03619 Jun 19
Robert Reveley
EntityIndividual
Role
Chairman of the Board
Chairman
Shares34,000
Max PriceAU$0.74
BuyAU$11,89018 Apr 19
Terence William Walsh
EntityIndividual
Role
Member of the Board of Directors
General Counsel & Non-Executive Director
Shares14,500
Max PriceAU$0.82
BuyAU$46,75013 Dec 18
William Rouse
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares50,000
Max PriceAU$0.93
BuyAU$18,30002 Dec 18
Robert Reveley
EntityIndividual
Role
Chairman of the Board
Chairman
Shares20,000
Max PriceAU$0.91

Ownership Breakdown


Management Team

  • Nigel Laxton

    Principal Engineer

    • Tenure: 0yrs
  • Sam Wright (41yo)

    Company Secretary

    • Tenure: 0yrs
    • Compensation: AU$124.69k
  • Terry Walsh

    General Counsel & Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: AU$172.00k
  • Toby Robert Chandler

    Chief Executive Officer

    • Tenure: 2.8yrs
    • Compensation: AU$225.00k
  • Rich Poutier

    Executive Vice President of Global Sales & Marketing

    • Tenure: 1.4yrs
  • Will Rouse

    Executive Director

    • Tenure: 1.9yrs
    • Compensation: AU$120.00k
  • Robert Reveley (58yo)

    Chairman

    • Tenure: 0yrs
    • Compensation: AU$175.08k
  • Trevor Lynch-Staunton

    Chief Technology Officer of Canada

    • Tenure: 0yrs

Board Members

  • Terry Walsh

    General Counsel & Non-Executive Director

    • Tenure: 1.5yrs
    • Compensation: AU$172.00k
  • Will Rouse

    Executive Director

    • Tenure: 1.9yrs
    • Compensation: AU$120.00k
  • Robert Reveley (58yo)

    Chairman

    • Tenure: 0yrs
    • Compensation: AU$175.08k

Company Information

Structural Monitoring Systems Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Structural Monitoring Systems Plc
  • Ticker: SMN
  • Exchange: ASX
  • Founded:
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: AU$113.968m
  • Shares outstanding: 115.70m
  • Website: https://www.smsystems.com.au

Number of Employees


Location

  • Structural Monitoring Systems Plc
  • 1 Freshwater Parade
  • Suite 39
  • Claremont
  • Western Australia
  • 6009
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SMNASX (Australian Securities Exchange)YesCHESS DEP INTAUAUDAug 2004
SMNCHIA (Chi-X Australia)YesCHESS DEP INTAUAUDAug 2004
STTL.FOTCPK (Pink Sheets LLC)YesCHESS DEP INTUSUSDAug 2004

Biography

Structural Monitoring Systems Plc, through its subsidiaries, designs, develops, and commercializes structural health monitoring systems for the aviation industry in Australia, the United Kingdom, the Unite ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 10:31
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.