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AMWA

Amway (Malaysia) Holdings Berhad KLSE:AMWAY Stock Report

Last Price

RM5.13

Market Cap

RM838.4m

7D

0.6%

1Y

-1.2%

Updated

24 May, 2022

Data

Company Financials +
AMWAY fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance1/6
Financial Health6/6
Dividends4/6

AMWAY Stock Overview

Amway (Malaysia) Holdings Berhad, an investment holding company, engages in the distribution of consumer products under the Amway trademark in Malaysia and Brunei.

Amway (Malaysia) Holdings Berhad Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Amway (Malaysia) Holdings Berhad
Historical stock prices
Current Share PriceRM5.13
52 Week HighRM5.75
52 Week LowRM5.07
Beta0.41
1 Month Change0.39%
3 Month Change-5.35%
1 Year Change-1.16%
3 Year Change-13.64%
5 Year Change-33.98%
Change since IPO-37.59%

Recent News & Updates

Shareholder Returns

AMWAYMY Online RetailMY Market
7D0.6%1.7%0.1%
1Y-1.2%-46.5%-3.1%

Return vs Industry: AMWAY exceeded the MY Online Retail industry which returned -46.5% over the past year.

Return vs Market: AMWAY exceeded the MY Market which returned -3.1% over the past year.

Price Volatility

Is AMWAY's price volatile compared to industry and market?
AMWAY volatility
AMWAY Average Weekly Movement1.3%
Online Retail Industry Average Movement7.6%
Market Average Movement5.8%
10% most volatile stocks in MY Market11.6%
10% least volatile stocks in MY Market3.1%

Stable Share Price: AMWAY is less volatile than 75% of MY stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: AMWAY's weekly volatility (1%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1976318Mike Duonghttps://www.amway.my

Amway (Malaysia) Holdings Berhad, an investment holding company, engages in the distribution of consumer products under the Amway trademark in Malaysia and Brunei. It offers nutrition and wellness products, including vitamin, mineral, and dietary supplements under the NUTRILITE brand; energy drink under the XS brand; skincare, make-up, fragrance, and accessories under the ARTISTRY brand; personal care products, such as body care, hair care, oral care, and child care products under the GLISTER, G&H, and SATINIQUE brands; household cleaning products under the L.O.C., AMWAY HOME, and AMWAY brands; atmosphere SKY and DRIVE air purifiers and eSpring water treatment system, as well as cookware, laundry, and dish care products. The company was founded in 1976 and is headquartered in Petaling Jaya, Malaysia.

Amway (Malaysia) Holdings Berhad Fundamentals Summary

How do Amway (Malaysia) Holdings Berhad's earnings and revenue compare to its market cap?
AMWAY fundamental statistics
Market CapRM838.37m
Earnings (TTM)RM36.78m
Revenue (TTM)RM1.49b

22.9x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AMWAY income statement (TTM)
RevenueRM1.49b
Cost of RevenueRM1.22b
Gross ProfitRM266.29m
Other ExpensesRM229.51m
EarningsRM36.78m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.22
Gross Margin17.92%
Net Profit Margin2.48%
Debt/Equity Ratio0.06%

How did AMWAY perform over the long term?

See historical performance and comparison

Dividends

4.7%

Current Dividend Yield

89%

Payout Ratio

Valuation

Is Amway (Malaysia) Holdings Berhad undervalued compared to its fair value and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: AMWAY (MYR5.13) is trading below our estimate of fair value (MYR20.11)

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


Price To Earnings Ratio

PE vs Industry: AMWAY is poor value based on its Price-To-Earnings Ratio (22.9x) compared to the Asian Online Retail industry average (18.3x).

PE vs Market: AMWAY is poor value based on its Price-To-Earnings Ratio (22.9x) compared to the MY market (15.3x).


Price to Earnings Growth Ratio

PEG Ratio: AMWAY is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: AMWAY is overvalued based on its Price-To-Book Ratio (3.9x) compared to the XA Online Retail industry average (2.2x).


Future Growth

How is Amway (Malaysia) Holdings Berhad forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


18.4%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMWAY's forecast earnings growth (18.4% per year) is above the savings rate (3.6%).

Earnings vs Market: AMWAY's earnings (18.4% per year) are forecast to grow faster than the MY market (10.6% per year).

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

Revenue vs Market: AMWAY's revenue (2.5% per year) is forecast to grow slower than the MY market (6.5% per year).

High Growth Revenue: AMWAY's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AMWAY's Return on Equity is forecast to be high in 3 years time (26.2%)


Past Performance

How has Amway (Malaysia) Holdings Berhad performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-2.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AMWAY has high quality earnings.

Growing Profit Margin: AMWAY's current net profit margins (2.5%) are lower than last year (4.1%).


Past Earnings Growth Analysis

Earnings Trend: AMWAY's earnings have declined by 2.3% per year over the past 5 years.

Accelerating Growth: AMWAY's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: AMWAY had negative earnings growth (-21.6%) over the past year, making it difficult to compare to the Online Retail industry average (14.7%).


Return on Equity

High ROE: AMWAY's Return on Equity (17%) is considered low.


Financial Health

How is Amway (Malaysia) Holdings Berhad's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: AMWAY's short term assets (MYR412.7M) exceed its short term liabilities (MYR314.3M).

Long Term Liabilities: AMWAY's short term assets (MYR412.7M) exceed its long term liabilities (MYR6.3M).


Debt to Equity History and Analysis

Debt Level: AMWAY has more cash than its total debt.

Reducing Debt: AMWAY's debt to equity ratio has reduced from 2.9% to 0.06% over the past 5 years.

Debt Coverage: AMWAY's debt is well covered by operating cash flow (85560.9%).

Interest Coverage: AMWAY earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Amway (Malaysia) Holdings Berhad current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.68%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: AMWAY's dividend (4.68%) is higher than the bottom 25% of dividend payers in the MY market (1.86%).

High Dividend: AMWAY's dividend (4.68%) is in the top 25% of dividend payers in the MY market (4.66%)


Stability and Growth of Payments

Stable Dividend: AMWAY's dividend payments have been volatile in the past 10 years.

Growing Dividend: AMWAY's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (89.4%), AMWAY's payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (36.6%), AMWAY's dividend payments are well covered by cash flows.


Discover strong dividend paying companies

Management

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

4.5yrs

Average management tenure


CEO

Mike Duong (47 yo)

4yrs

Tenure

Mr. Michael Jonathan Duong, also known as Mike, has been Executive Director of Amway (Malaysia) Holdings Berhad since January 1, 2017 and also its Managing Director since May 01, 2018. On 1 May 2018, he we...


CEO Compensation Analysis

Compensation vs Market: Insufficient data to establish whether Mike's total compensation is reasonable compared to companies of similar size in the MY market.

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


Leadership Team

Experienced Management: AMWAY's management team is considered experienced (4.5 years average tenure).


Board Members

Experienced Board: AMWAY's board of directors are considered experienced (7 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

Amway (Malaysia) Holdings Berhad's employee growth, exchange listings and data sources


Key Information

  • Name: Amway (Malaysia) Holdings Berhad
  • Ticker: AMWAY
  • Exchange: KLSE
  • Founded: 1976
  • Industry: Internet and Direct Marketing Retail
  • Sector: Retail
  • Implied Market Cap: RM838.367m
  • Shares outstanding: 164.39m
  • Website: https://www.amway.my

Number of Employees


Location

  • Amway (Malaysia) Holdings Berhad
  • 28, Jalan 223
  • Petaling Jaya
  • Selangor
  • 46100
  • Malaysia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/24 00:00
End of Day Share Price2022/05/24 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


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.