DB:GIX

Stock Analysis Report

Emerge Gaming

Executive Summary

Emerge Gaming Limited engages in the development and marketing of an online eSport gamification platform in Eastern Europe and South Africa.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-25.0%

GIX

-13.4%

DE Entertainment

-9.1%

DE Market


1 Year Return

-86.4%

GIX

18.9%

DE Entertainment

2.9%

DE Market

Return vs Industry: GIX underperformed the German Entertainment industry which returned 18.9% over the past year.

Return vs Market: GIX underperformed the German Market which returned 2.9% over the past year.


Shareholder returns

GIXIndustryMarket
7 Day-25.0%-13.4%-9.1%
30 Day-62.5%-11.9%-7.2%
90 Day-76.9%-7.8%-6.5%
1 Year-86.4%-86.4%20.5%18.9%6.1%2.9%
3 Yearn/a23.2%17.2%3.5%-5.6%
5 Yearn/a82.0%67.5%8.0%-6.8%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Emerge Gaming undervalued compared to its fair value and its price relative to the market?

1.51x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: GIX is overvalued based on its PB Ratio (1.5x) compared to the DE Entertainment industry average (1.3x).


Next Steps

Future Growth

How is Emerge Gaming forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

22.4%

Forecasted Media 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 Emerge Gaming 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 Emerge Gaming performed over the past 5 years?

54.2%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: GIX is currently unprofitable.

Growing Profit Margin: GIX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if GIX's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: GIX is unprofitable, making it difficult to compare its past year earnings growth to the Entertainment industry (14.9%).


Return on Equity

High ROE: GIX has a negative Return on Equity (-97.37%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Emerge Gaming's financial position?


Financial Position Analysis

Short Term Liabilities: GIX's short term assets (A$3.2M) exceed its short term liabilities (A$217.5K).

Long Term Liabilities: GIX has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: GIX is debt free.

Reducing Debt: GIX had no debt 5 years ago.


Balance Sheet

Inventory Level: GIX has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if GIX's debt is covered by short term assets.


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: GIX has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: GIX has sufficient cash runway for 1.5 years if free cash flow continues to reduce at historical rates of -50.9% each year.


Next Steps

Dividend

What is Emerge Gaming's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.9%industryaverage1.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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

1.8yrs

Average board tenure


CEO

Greg Stevens 0

AU$120,000

Compensation

Mr. Gregory Hamilton Stevens, also known as Greg, is a Co-Founder and Chief Executive Officer of Emerge Gaming Limited (GBG) and has been its Executive Director since April 16, 2016. Mr. Stevens served as  ...


CEO Compensation Analysis

Compensation vs Market: Greg's total compensation ($USD78.95K) is below average for companies of similar size in the German market ($USD419.45K).

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


Board Members

NamePositionTenureCompensationOwnership
Gregory Stevens
CEO & Executive Director0yrsAU$120.00k2.72% A$73.8k
Philip Re
Non-Executive Director2.7yrsAU$48.00kno data
Firdhose Coovadia
Independent Director1.3yrsAU$32.00k0.23% A$6.2k
Jonathan Hart
Non-Executive Director1.8yrsAU$48.00k2.03% A$55.2k
Umberto Mondello
Non-Executive Chairman1.8yrsAU$60.00k1.66% A$45.0k

1.8yrs

Average Tenure

Experienced Board: GIX's board of directors are not considered experienced ( 1.8 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 substantially diluted in the past year, with total shares outstanding growing by 131.2%.


Top Shareholders

Company Information

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


Key Information

  • Name: Emerge Gaming Limited
  • Ticker: GIX
  • Exchange: DB
  • Founded:
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Market Cap: AU$4.600m
  • Listing Market Cap: AU$2.717m
  • Shares outstanding: 657.09m
  • Website: https://www.emergegaming.com.au

Location

  • Emerge Gaming Limited
  • 437 Roberts Road
  • Suite 1
  • Subiaco
  • Western Australia
  • 6008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EM1ASX (Australian Securities Exchange)YesOrdinary SharesAUAUDApr 2018
GIXDB (Deutsche Boerse AG)YesOrdinary SharesDEEURApr 2018
EM1CHIA (Chi-X Australia)YesOrdinary SharesAUAUDApr 2018

Biography

Emerge Gaming Limited engages in the development and marketing of an online eSport gamification platform in Eastern Europe and South Africa. It develops Arcade X online gaming platform, which focuses on skill based tournaments and matches, where players compete to enhance their user rankings/status in the virtual gaming world and for digital merchandise to enhance their gaming experience; and offers a hybrid environment that provides access to casual and eSports gaming titles, as well as offers a market place that gives players the opportunity to enter pay-to-play competitions and tournaments. The company is headquartered in Subiaco, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 22:30
End of Day Share Price2020/02/28 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.