DB:4H6

Stock Analysis Report

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Executive Summary

Hulamin Limited manufactures and distributes rolled and extruded aluminum products in South Africa, North America, Europe, Asia, the Middle East, Australasia, South America, and rest of Africa. More Details


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 4H6's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.9%

4H6

1.6%

DE Metals and Mining

0.1%

DE Market


1 Year Return

-70.1%

4H6

18.5%

DE Metals and Mining

6.2%

DE Market

Return vs Industry: 4H6 underperformed the German Metals and Mining industry which returned 18.9% over the past year.

Return vs Market: 4H6 underperformed the German Market which returned 6.6% over the past year.


Shareholder returns

4H6IndustryMarket
7 Day6.9%1.6%0.1%
30 Day6.9%3.7%1.5%
90 Day-21.5%16.4%5.3%
1 Year-70.1%-70.1%21.1%18.5%8.7%6.2%
3 Year-91.2%-91.8%-24.6%-29.9%6.4%-2.3%
5 Year-90.4%-91.4%11.9%-1.3%36.6%18.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Hulamin 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: 4H6 (€0.03) is trading below our estimate of fair value (€0.73)

Significantly Below Fair Value: 4H6 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 4H6 is unprofitable, so we can't compare its PE Ratio to the XE Metals and Mining industry average.

PE vs Market: 4H6 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 4H6's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 4H6 is good value based on its PB Ratio (0.1x) compared to the XE Metals and Mining industry average (1.2x).


Next Steps

Future Growth

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

99.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 4H6 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: 4H6 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 4H6's is expected to become profitable in the next 3 years.

Revenue vs Market: 4H6's revenue (5.5% per year) is forecast to grow slower than the German market (6% per year).

High Growth Revenue: 4H6's revenue (5.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 4H6's Return on Equity is forecast to be low in 3 years time (4%).


Next Steps

Past Performance

How has Hulamin performed over the past 5 years?

-62.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 4H6 is currently unprofitable.

Growing Profit Margin: 4H6 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 4H6 is unprofitable, and losses have increased over the past 5 years at a rate of 62% per year.

Accelerating Growth: Unable to compare 4H6's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 4H6 is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-14.2%).


Return on Equity

High ROE: 4H6 has a negative Return on Equity (-46.86%), as it is currently unprofitable.


Next Steps

Financial Health

How is Hulamin's financial position?


Financial Position Analysis

Short Term Liabilities: 4H6's short term assets (ZAR3.2B) exceed its short term liabilities (ZAR1.4B).

Long Term Liabilities: 4H6's short term assets (ZAR3.2B) exceed its long term liabilities (ZAR276.4M).


Debt to Equity History and Analysis

Debt Level: 4H6's debt to equity ratio (13.7%) is considered satisfactory.

Reducing Debt: 4H6's debt to equity ratio has reduced from 18% to 13.7% 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: Whilst unprofitable 4H6 has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: 4H6 is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 6.7% per year.


Next Steps

Dividend

What is Hulamin current dividend yield, its reliability and sustainability?

289.86%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 4H6's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 4H6'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 4H6's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 4H6's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 4H6 is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 4H6's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

10.2yrs

Average management tenure


CEO

Richard Jacob (54 yo)

10.17yrs

Tenure

R5,933,307

Compensation

Mr. Richard Gordon Jacob, BSc (Eng); MBA has been the Chief Executive Officer of Hulamin Limited since July 1, 2010. Mr. Jacob served as a Director of Can End and Painted at Hulett Aluminium (pty) Limited. ...


CEO Compensation Analysis

Compensation vs Market: Richard's total compensation ($USD365.46K) is about average for companies of similar size in the German market ($USD478.34K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Richard Jacob
CEO & Executive Director10.17yrsR5.93m0.29%
ZAR 44.3k
Anton Krull
CFO & Executive Director4.33yrsR4.41mno data
Ayanda Mngadi
Group Executive of Corporate Affairs & Investor Relationsno datano datano data
Marlene Janneker
Group Executive of Human Capitalno datano datano data
Clayton Fisher
Group Executive of Strategy & Supply Chainno datano datano data
L. Ncoliwe
Head of Internal Auditno datano datano data
Willem Fitchat
Company Secretary22.67yrsno datano data

10.2yrs

Average Tenure

45yo

Average Age

Experienced Management: 4H6's management team is seasoned and experienced (10.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Richard Jacob
CEO & Executive Director10.17yrsR5.93m0.29%
ZAR 44.3k
Anton Krull
CFO & Executive Director4.33yrsR4.41mno data
Sibusiso Ngwenya
Non-Executive Director10.92yrsR315.75kno data
Robert Larson
Independent Non-Executive Director3.42yrsR730.73kno data
Vusi Khumalo
Non Executive Director14.08yrsR407.24kno data
Thabo Leeuw
Independent Chairman of the Board2.42yrsR826.95kno data
Bonakele Mehlomakulu
Independent Non-Executive Director3.83yrsR388.56kno data
Geoffrey Harold Watson
Independent Non-Executive Director9.08yrsR887.11k0.0086%
ZAR 1.3k
Naran Maharajh
Independent Non-Executive Director4yrsR490.75kno data
Gcina Zondi
Alternate Non-Executive Director4.33yrsR13.50kno data
Charles Boles
Independent Non-Executive Director3.92yrsR430.74k0.018%
ZAR 2.9k

4.3yrs

Average Tenure

54yo

Average Age

Experienced Board: 4H6's board of directors are considered experienced (4.3 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Hulamin Limited
  • Ticker: 4H6
  • Exchange: DB
  • Founded: 1935
  • Industry: Aluminum
  • Sector: Materials
  • Market Cap: R298.373m
  • Listing Market Cap: R15.491m
  • Shares outstanding: 324.32m
  • Website: https://www.hulamin.com

Number of Employees


Location

  • Hulamin Limited
  • Moses Mabhida Road
  • PO Box 74
  • Pietermaritzburg
  • KwaZulu-Natal
  • 3200
  • South Africa

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HLMJSE (The Johannesburg Securities Exchange)YesOrdinary SharesZAZARJun 2007
4H6DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2007

Biography

Hulamin Limited manufactures and distributes rolled and extruded aluminum products in South Africa, North America, Europe, Asia, the Middle East, Australasia, South America, and rest of Africa. It operates ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/19 02:42
End of Day Share Price2020/09/18 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.