DB:9SL

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Superloop Limited engages in the design, development, construction, and operation of independent telecommunications infrastructure in the Asia Pacific region.


Snowflake Analysis

Fair value with imperfect balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 9SL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.2%

9SL

0.6%

DE Telecom

1.5%

DE Market


1 Year Return

17.2%

9SL

2.4%

DE Telecom

6.4%

DE Market

Return vs Industry: 9SL exceeded the German Telecom industry which returned 2.8% over the past year.

Return vs Market: 9SL exceeded the German Market which returned 8% over the past year.


Shareholder returns

9SLIndustryMarket
7 Day-2.2%0.6%1.5%
30 Day0.8%-3.9%-0.6%
90 Day30.7%4.8%11.0%
1 Year20.4%17.2%6.5%2.4%8.7%6.4%
3 Year-59.2%-60.8%-2.6%-14.9%5.7%-2.7%
5 Yearn/a-2.0%-20.6%14.8%-0.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

35.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 9SL (€0.66) is trading below our estimate of fair value (€1.03)

Significantly Below Fair Value: 9SL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 9SL is unprofitable, so we can't compare its PE Ratio to the XE Telecom industry average.

PE vs Market: 9SL 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 9SL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 9SL is good value based on its PB Ratio (1x) compared to the DE Telecom industry average (1.3x).


Next Steps

Future Growth

How is Superloop forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

38.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 9SL is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: 9SL is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: 9SL is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: 9SL's revenue (11.6% per year) is forecast to grow faster than the German market (5.8% per year).

High Growth Revenue: 9SL's revenue (11.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 9SL is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Superloop performed over the past 5 years?

-81.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 9SL is currently unprofitable.

Growing Profit Margin: 9SL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 9SL is unprofitable, and losses have increased over the past 5 years at a rate of 81.2% per year.

Accelerating Growth: Unable to compare 9SL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 9SL is unprofitable, making it difficult to compare its past year earnings growth to the Telecom industry (19.6%).


Return on Equity

High ROE: 9SL has a negative Return on Equity (-20.46%), as it is currently unprofitable.


Next Steps

Financial Health

How is Superloop's financial position?


Financial Position Analysis

Short Term Liabilities: 9SL's short term assets (A$37.4M) exceed its short term liabilities (A$31.1M).

Long Term Liabilities: 9SL's short term assets (A$37.4M) do not cover its long term liabilities (A$87.9M).


Debt to Equity History and Analysis

Debt Level: 9SL's debt to equity ratio (10.2%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 9SL's debt to equity ratio has reduced 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: 9SL has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if 9SL has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 9SL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 9SL'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 9SL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 9SL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 9SL is not paying a notable dividend for the German market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 9SL'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?

0.7yrs

Average management tenure


CEO

Drew Kelton

2.08yrs

Tenure

AU$500,000

Compensation

Mr. Alexander Andrew Kelton, also known as Drew, served as Non-Executive Director of Megaport Limited until June 1, 2019. Mr. Kelton has been the Chief Executive Officer of Superloop Ltd since July 1, 2018 ...


CEO Compensation Analysis

Compensation vs Market: Drew's total compensation ($USD360.75K) is below average for companies of similar size in the German market ($USD786.48K).

Compensation vs Earnings: Insufficient data to compare Drew's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Bevan Slattery
Founder & Non-Executive Chairman0.42yrAU$60.00k17.5%
A$ 43.3m
Alexander Kelton
CEO, MD & Director2.08yrsAU$500.00k0.027%
A$ 67.6k
Louise Bolger
General Counsel & Company Secretaryno dataAU$29.17k0.020%
A$ 50.3k
Jason Ashton
Consultant1.92yrsAU$240.21kno data
Lidia Valenzuela
Group Chief Financial Officer0.67yrno datano data
Andrew Lawrence
Chief Information Officer0.58yrno datano data
Adrian Martin
Group Head of Global Sales0.58yrno datano data
Ashleigh Loughnan
Group Head of People & Cultureno datano datano data
Matthew Whitlock
Chief Operations Officer of Infrastructureno dataAU$355.32kno data
Ryan Crouch
Chief Operating Officer of Networksno dataAU$488.64kno data
Julian Breen
Head of Customer Experienceno datano datano data
Jon Tidd
Chief Customer Officer0.67yrno datano data

0.7yrs

Average Tenure

Experienced Management: 9SL's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Bevan Slattery
Founder & Non-Executive Chairman0.42yrAU$60.00k17.5%
A$ 43.3m
Alexander Kelton
CEO, MD & Director2.08yrsAU$500.00k0.027%
A$ 67.6k
Vivian Stewart
Independent Non-Executive Director3.67yrsAU$90.00k0.16%
A$ 390.6k
Gregory Baynton
Independent Non Executive Director6.33yrsAU$90.00k0.27%
A$ 656.7k
Richard Anthony Clark
Independent Non Executive Director4.67yrsAU$60.00k0.13%
A$ 332.8k
Stephanie Lai
Independent Director0.42yrno data0.026%
A$ 64.2k

2.7yrs

Average Tenure

49yo

Average Age

Experienced Board: 9SL's board of directors are not considered experienced ( 2.7 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 44.4%.


Top Shareholders

Company Information

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


Key Information

  • Name: Superloop Limited
  • Ticker: 9SL
  • Exchange: DB
  • Founded: 2014
  • Industry: Alternative Carriers
  • Sector: Telecom
  • Market Cap: AU$406.112m
  • Listing Market Cap: AU$247.359m
  • Shares outstanding: 365.87m
  • Website: https://www.superloop.com

Number of Employees


Location

  • Superloop Limited
  • 545 Queen Street
  • Level 1
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SLCASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2015
SLCCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2015
9SLDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2015

Biography

Superloop Limited engages in the design, development, construction, and operation of independent telecommunications infrastructure in the Asia Pacific region. It offers network solutions for wholesale, ent ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/06 21:42
End of Day Share Price2020/08/06 00:00
Earnings2019/12/31
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.