ASX:GNX

Stock Analysis Report

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Executive Summary

Genex Power Limited engages in the generation and storage of renewable energy in Australia. More Details


Snowflake Analysis

High growth potential with imperfect balance sheet.

Share Price & News

How has Genex Power's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GNX is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: GNX's weekly volatility has decreased from 14% to 8% over the past year.


Market Performance


7 Day Return

-2.6%

GNX

0.04%

AU Renewable Energy

1.3%

AU Market


1 Year Return

-2.6%

GNX

9.3%

AU Renewable Energy

-1.0%

AU Market

Return vs Industry: GNX underperformed the Australian Renewable Energy industry which returned 9.7% over the past year.

Return vs Market: GNX underperformed the Australian Market which returned -1.2% over the past year.


Shareholder returns

GNXIndustryMarket
7 Day-2.6%0.04%1.3%
30 Day0%6.2%6.0%
90 Day-11.6%4.2%6.8%
1 Year-2.6%-2.6%12.4%9.3%2.4%-1.0%
3 Year-47.2%-47.2%-34.5%-35.5%22.9%7.6%
5 Year74.6%72.7%-42.8%-43.6%55.7%24.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Genex Power undervalued compared to its fair value and its price relative to the market?

4.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GNX (A$0.19) is trading below our estimate of fair value (A$0.2)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: GNX is overvalued based on its PB Ratio (6.7x) compared to the AU Renewable Energy industry average (1.2x).


Next Steps

Future Growth

How is Genex Power forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

82.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GNX is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.3%).

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

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

Revenue vs Market: GNX's revenue (19.9% per year) is forecast to grow faster than the Australian market (5.1% per year).

High Growth Revenue: GNX's revenue (19.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GNX's Return on Equity is forecast to be very high in 3 years time (53.6%).


Next Steps

Past Performance

How has Genex Power performed over the past 5 years?

-12.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GNX is currently unprofitable.

Growing Profit Margin: GNX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GNX is unprofitable, and losses have increased over the past 5 years at a rate of 12.2% per year.

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

Earnings vs Industry: GNX is unprofitable, making it difficult to compare its past year earnings growth to the Renewable Energy industry (-48.1%).


Return on Equity

High ROE: GNX has a negative Return on Equity (-92.56%), as it is currently unprofitable.


Next Steps

Financial Health

How is Genex Power's financial position?


Financial Position Analysis

Short Term Liabilities: GNX's short term assets (A$69.4M) exceed its short term liabilities (A$31.1M).

Long Term Liabilities: GNX's short term assets (A$69.4M) do not cover its long term liabilities (A$211.4M).


Debt to Equity History and Analysis

Debt Level: GNX's debt to equity ratio (1782.4%) is considered high.

Reducing Debt: GNX's debt to equity ratio has increased from 0.4% to 1782.4% 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: GNX has sufficient cash runway for more than a year based on its current free cash flow.

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


Next Steps

Dividend

What is Genex Power current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

5.3yrs

Average management tenure


CEO

James Harding

2.5yrs

Tenure

AU$507,017

Compensation

Mr. James William, BA Hons (Cantab), MA (Cantab), MBA, Harding has been chief Executive Officer of Genex Power Ltd since May 7, 2018. Mr. Harding served as an Executive General Manager of Genex Power Limit...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD370.90K) is above average for companies of similar size in the Australian market ($USD279.44K).

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


Leadership Team

NamePositionTenureCompensationOwnership
James Harding
Chief Executive Officer2.5yrsAU$507.02kno data
Ben Guo
Finance Director & Executive Director7.08yrsAU$920.16k0.42%
A$ 412.4k
Arran McGhie
?Chief Operations Officer5.33yrsAU$410.42kno data
Simon R. Kidston
Executive Director7.25yrsAU$894.70k3.61%
A$ 3.5m
Justin Clyne
Company Secretary6.67yrsAU$60.98kno data

5.3yrs

Average Tenure

Experienced Management: GNX's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ben Guo
Finance Director & Executive Director7.08yrsAU$920.16k0.42%
A$ 412.4k
Simon R. Kidston
Executive Director7.25yrsAU$894.70k3.61%
A$ 3.5m
Michael Addison
Non-Executive Director9.33yrsAU$571.90k4.79%
A$ 4.7m
Ralph Craven
Independent Non-Executive Chairman5.5yrsAU$772.46k0.088%
A$ 85.3k
Yongqing Yu
Non-Executive Director4.75yrsno datano data
Teresa Dyson
Independent Non-Executive Director2.5yrsAU$312.05k0.026%
A$ 25.0k
Kenichi Seshimo
Director1.17yrsno datano data

5.5yrs

Average Tenure

58yo

Average Age

Experienced Board: GNX's board of directors are considered experienced (5.5 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 been diluted in the past year, with total shares outstanding growing by 27.3%.


Top Shareholders

Company Information

Genex Power Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Genex Power Limited
  • Ticker: GNX
  • Exchange: ASX
  • Founded: 2011
  • Industry: Renewable Electricity
  • Sector: Utilities
  • Market Cap: AU$97.186m
  • Shares outstanding: 511.51m
  • Website: https://www.genexpower.com.au

Location

  • Genex Power Limited
  • 28 O'Connell Street
  • Suite 6.02
  • Sydney
  • New South Wales
  • 2000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GNXASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJul 2015
GNXCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJul 2015
GPODB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 2015

Biography

Genex Power Limited engages in the generation and storage of renewable energy in Australia. It generates power through hydro, wind, and solar projects. The company was formerly known as Allied Resources Li...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/23 10:43
End of Day Share Price2020/11/23 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.