ASX:WWG

Stock Analysis Report

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Market Cap

AU$39.6m

Last Updated

2021/06/23 08:12 UTC

Data Sources

Company Financials +

Executive Summary

Wiseway Group Limited, together with its subsidiaries, provides logistics and freight forwarding services in Australia. More Details


Snowflake Analysis

Very undervalued with excellent balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: WWG is more volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: WWG's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of Australian stocks.


Market Performance


7 Day Return

1.9%

WWG

1.8%

AU Logistics

-0.8%

AU Market


1 Year Return

129.2%

WWG

84.5%

AU Logistics

29.1%

AU Market

Return vs Industry: WWG exceeded the Australian Logistics industry which returned 77.5% over the past year.

Return vs Market: WWG exceeded the Australian Market which returned 26.8% over the past year.


Shareholder returns

WWGIndustryMarket
7 Day1.9%1.8%-0.8%
30 Day-3.5%3.9%2.7%
90 Day-11.3%13.4%6.7%
1 Year129.2%129.2%87.6%84.5%33.3%29.1%
3 Yearn/a137.1%121.1%32.9%17.2%
5 Yearn/a110.5%86.2%69.8%38.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WWG (A$0.28) is trading below our estimate of fair value (A$1.31)

Significantly Below Fair Value: WWG is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: WWG is good value based on its PE Ratio (7.9x) compared to the Oceanic Logistics industry average (11.8x).

PE vs Market: WWG is good value based on its PE Ratio (7.9x) compared to the Australian market (20.4x).


Price to Earnings Growth Ratio

PEG Ratio: WWG is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: WWG is good value based on its PB Ratio (1.4x) compared to the XO Logistics industry average (1.8x).


Future Growth

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

15.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WWG's forecast earnings growth (15.5% per year) is above the savings rate (1.9%).

Earnings vs Market: WWG's earnings (15.5% per year) are forecast to grow faster than the Australian market (13.7% per year).

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

Revenue vs Market: WWG's revenue (12% per year) is forecast to grow faster than the Australian market (5.4% per year).

High Growth Revenue: WWG's revenue (12% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WWG's Return on Equity is forecast to be low in 3 years time (17.6%).


Past Performance

How has Wiseway Group performed over the past 5 years?

-3.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WWG has high quality earnings.

Growing Profit Margin: WWG became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: WWG has become profitable over the past 5 years, growing earnings by -3.5% per year.

Accelerating Growth: WWG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: WWG has become profitable in the last year, making it difficult to compare its past year earnings growth to the Logistics industry (14.2%).


Return on Equity

High ROE: WWG's Return on Equity (17.8%) is considered low.


Financial Health

How is Wiseway Group's financial position?


Financial Position Analysis

Short Term Liabilities: WWG's short term assets (A$23.9M) exceed its short term liabilities (A$19.8M).

Long Term Liabilities: WWG's short term assets (A$23.9M) exceed its long term liabilities (A$21.1M).


Debt to Equity History and Analysis

Debt Level: WWG's debt to equity ratio (19.9%) is considered satisfactory.

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

Debt Coverage: WWG's debt is well covered by operating cash flow (267%).

Interest Coverage: WWG's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if WWG'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 WWG'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?

1.6yrs

Average board tenure


CEO

Roger Tong

no data

Tenure

AU$274,868

Compensation

Mr. Shigang Tong, also known as Roger, serves as Chief Executive Officer at Wiseway Group Limited and serves as its Company Secretary since March 2021 and served as its Executive Director since January 22,...


CEO Compensation Analysis

Compensation vs Market: Roger's total compensation ($USD206.93K) is about average for companies of similar size in the Australian market ($USD278.71K).

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


Board Members

Experienced Board: WWG'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: 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 been diluted in the past year, with total shares outstanding growing by 2.5%.


Top Shareholders

Company Information

Wiseway Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wiseway Group Limited
  • Ticker: WWG
  • Exchange: ASX
  • Founded: 2005
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Market Cap: AU$39.550m
  • Shares outstanding: 143.82m
  • Website: https://www.wiseway.com.au

Location

  • Wiseway Group Limited
  • 39-43 Warren Avenue
  • Bankstown
  • New South Wales
  • 2000
  • Australia

Listings


Biography

Wiseway Group Limited, together with its subsidiaries, provides logistics and freight forwarding services in Australia. It offers air cargo services, including door to door, airport to airport, import and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/23 08:12
End of Day Share Price2021/06/22 00:00
Earnings2020/12/31
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.