ASX:QUB

Stock Analysis Report

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Executive Summary

Qube Holdings Limited, together with its subsidiaries, provides integrated import and export logistics services in Australia. More Details


Snowflake Analysis

Limited growth with imperfect balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: QUB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.8%

QUB

-0.3%

AU Infrastructure

-0.5%

AU Market


1 Year Return

-13.6%

QUB

-8.9%

AU Infrastructure

-6.2%

AU Market

Return vs Industry: QUB underperformed the Australian Infrastructure industry which returned -8.8% over the past year.

Return vs Market: QUB underperformed the Australian Market which returned -5.4% over the past year.


Shareholder returns

QUBIndustryMarket
7 Day1.8%-0.3%-0.5%
30 Day11.8%2.7%6.8%
90 Day2.2%3.0%4.4%
1 Year-8.6%-13.6%-5.8%-8.9%-2.9%-6.2%
3 Year24.5%11.8%31.1%15.0%17.9%2.9%
5 Year54.8%29.5%70.6%37.0%43.9%14.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

18.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: QUB (A$2.85) is trading below our estimate of fair value (A$3.5)

Significantly Below Fair Value: QUB is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: QUB is poor value based on its PE Ratio (54.6x) compared to the XO Infrastructure industry average (47.6x).

PE vs Market: QUB is poor value based on its PE Ratio (54.6x) compared to the Australian market (21x).


Price to Earnings Growth Ratio

PEG Ratio: QUB is poor value based on its PEG Ratio (3.2x)


Price to Book Ratio

PB vs Industry: QUB's PB Ratio (1.6x) is in line with the AU Infrastructure industry average.


Next Steps

Future Growth

How is Qube Holdings forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

16.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: QUB's forecast earnings growth (16.9% per year) is above the savings rate (2.3%).

Earnings vs Market: QUB's earnings (16.9% per year) are forecast to grow slower than the Australian market (17.4% per year).

High Growth Earnings: QUB's earnings are forecast to grow, but not significantly.

Revenue vs Market: QUB's revenue (6.9% per year) is forecast to grow faster than the Australian market (4.6% per year).

High Growth Revenue: QUB's revenue (6.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: QUB's Return on Equity is forecast to be low in 3 years time (4.9%).


Next Steps

Past Performance

How has Qube Holdings performed over the past 5 years?

19.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: QUB has a large one-off gain of A$41.7M impacting its June 30 2020 financial results.

Growing Profit Margin: QUB's current net profit margins (4.8%) are lower than last year (11.8%).


Past Earnings Growth Analysis

Earnings Trend: QUB's earnings have grown by 19.2% per year over the past 5 years.

Accelerating Growth: QUB's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: QUB had negative earnings growth (-55.5%) over the past year, making it difficult to compare to the Infrastructure industry average (-22.4%).


Return on Equity

High ROE: QUB's Return on Equity (2.6%) is considered low.


Next Steps

  • Explore strong past performing companies in the Transportation industry.

Financial Health

How is Qube Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: QUB's short term assets (A$806.0M) exceed its short term liabilities (A$395.9M).

Long Term Liabilities: QUB's short term assets (A$806.0M) do not cover its long term liabilities (A$2.2B).


Debt to Equity History and Analysis

Debt Level: QUB's debt to equity ratio (45.1%) is considered high.

Reducing Debt: QUB's debt to equity ratio has increased from 39.7% to 45.1% over the past 5 years.

Debt Coverage: QUB's debt is not well covered by operating cash flow (19.8%).

Interest Coverage: QUB's interest payments on its debt are well covered by EBIT (3x coverage).


Balance Sheet


Next Steps

Dividend

What is Qube Holdings's current dividend yield, its reliability and sustainability?

1.82%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: QUB's dividend (1.82%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.15%).

High Dividend: QUB's dividend (1.82%) is low compared to the top 25% of dividend payers in the Australian market (5.43%).


Stability and Growth of Payments

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

Growing Dividend: QUB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (99.7%), QUB's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: QUB's dividends in 3 years are forecast to be covered by earnings (65.3% payout ratio).


Next Steps

Management

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

4.3yrs

Average management tenure


CEO

Maurice James (63 yo)

no data

Tenure

AU$3,928,630

Compensation

Mr. Maurice A. James, B. Engineering, MBA serves as the Managing Director of Qube Holdings Limited (alternate name: Qube Logistics Holdings Limited) since September 1, 2011. Mr. James has many years’ exten ...


CEO Compensation Analysis

Compensation vs Market: Maurice's total compensation ($USD2.80M) is above average for companies of similar size in the Australian market ($USD2.06M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Maurice James
MD & Executive Directorno dataAU$3.93m0.54%
A$ 28.4m
Paul Lewis
Chief Financial Officerno dataAU$1.68m0.0029%
A$ 154.6k
Paul Digney
Chief Operating Officer4.25yrsAU$2.07m0.034%
A$ 1.8m
William Hara
General Counsel & Company Secretary7.75yrsAU$1.47m0.11%
A$ 6.0m
Adam Jacobs
Company Secretary4.25yrsno datano data
Don Smithwick
4.33yrsAU$998.18kno data

4.3yrs

Average Tenure

Experienced Management: QUB's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Maurice James
MD & Executive Directorno dataAU$3.93m0.54%
A$ 28.4m
Sam Kaplan
Non-Executive Deputy Chairman9.58yrsAU$213.65kno data
Ross Burney
Non-Executive Director9.08yrsAU$122.56kno data
John Mann
Independent Non-Executive Director1.08yrsAU$95.23k0.0037%
A$ 196.5k
Nicole Hollows
Directorno datano datano data
Allan Davies
Independent Non-Executive Chairman3.33yrsAU$244.98k0.21%
A$ 11.1m
Peter Dexter
Non Executive Director9.08yrsAU$148.81k0.012%
A$ 650.3k
Susan Palmer
Non Executive Director3.08yrsAU$125.06k0.0028%
A$ 146.2k
Alan Miles
Independent Non-Executive Director9.08yrsAU$145.48k0.00054%
A$ 28.6k
Jacqueline McArthur
Director0.17yrno data0.00080%
A$ 42.4k
Åge Holm
Alternate Non-Executive Director8.92yrsno datano data

9.0yrs

Average Tenure

63yo

Average Age

Experienced Board: QUB's board of directors are considered experienced (9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: QUB 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 16.9%.


Top Shareholders

Company Information

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


Key Information

  • Name: Qube Holdings Limited
  • Ticker: QUB
  • Exchange: ASX
  • Founded: 2011
  • Industry: Marine Ports and Services
  • Sector: Transportation
  • Market Cap: AU$5.296b
  • Shares outstanding: 1.90b
  • Website: https://www.qube.com.au

Number of Employees


Location

  • Qube Holdings Limited
  • 45 Clarence Street
  • Level 27
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
QUBASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 2007
QUBCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 2007
1K1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 2007

Biography

Qube Holdings Limited, together with its subsidiaries, provides integrated import and export logistics services in Australia. The company’s Operating Division offers services relating to the import and exp ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/22 10:36
End of Day Share Price2020/10/22 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.