Secure Electronic Technology (NGSE:NSLTECH) - Share price, News & Analysis

NSLTECH fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	0/6
Financial Health	5/6
Dividends	0/6

NSLTECH Overview

Secure Electronic Technology Plc engages in the lottery business in Nigeria.

Rewards

Trading at 46.2% below our estimate of its fair value

Risk Analysis

Earnings have declined by 44.9% per year over past 5 years

Does not have a meaningful market cap (NGN1B)

Price History & Performance

Summary of all time highs, changes and price drops for Secure Electronic Technology
Historical stock prices
Current Share Price	₦0.20
52 Week High	₦0.20
52 Week Low	₦0.20
Beta	0.13
1 Month Change	0%
3 Month Change	0%
1 Year Change	0%
3 Year Change	0%
5 Year Change	-60.00%
Change since IPO	-94.01%

Shareholder Returns

	NSLTECH	NG Hospitality	NG Market
7D	0%	-0.1%	1.5%
1Y	0%	37.0%	40.2%

Return vs Industry: NSLTECH underperformed the NG Hospitality industry which returned 36.8% over the past year.

Return vs Market: NSLTECH underperformed the NG Market which returned 40.9% over the past year.

Price Volatility

Is NSLTECH's price volatile compared to industry and market?
NSLTECH volatility
NSLTECH Beta	0.13
Industry Beta	1.11
Market Beta	1

Stable Share Price: NSLTECH is less volatile than 75% of NG stocks over the past 3 months, typically moving +/- 0% a week.

Volatility Over Time: NSLTECH's weekly volatility (0%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2000	56	Odunlami Kola-Daisi	https://www.setplc.com

Secure Electronic Technology Plc engages in the lottery business in Nigeria. It offers lottery and gaming products. The company was formerly known as National Sports Lottery Plc and changed its name to Secure Electronic Technology Plc in January 2010.

Secure Electronic Technology Fundamentals Summary

How do Secure Electronic Technology's earnings and revenue compare to its market cap?
NSLTECH fundamental statistics
Market Cap	₦1.13b
Earnings (TTM)	-₦32.85m
Revenue (TTM)	₦4.13b

0.3x

P/S Ratio

-34.3x

P/E Ratio

Is NSLTECH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
NSLTECH income statement (TTM)
Revenue	₦4.13b
Cost of Revenue	₦2.46b
Gross Profit	₦1.67b
Expenses	₦1.70b
Earnings	-₦32.85m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	-0.0058
Gross Margin	40.41%
Net Profit Margin	-0.80%
Debt/Equity Ratio	0.0%

How did NSLTECH perform over the long term?

See historical performance and comparison

Valuation

Is Secure Electronic Technology undervalued compared to its fair value and its price relative to the market?

46.2%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: NSLTECH (NGN0.2) is trading below our estimate of fair value (NGN0.37)

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

Price To Earnings Ratio

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

PE vs Market: NSLTECH is unprofitable, so we can't compare its PE Ratio to the NG market.

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: NSLTECH is good value based on its PB Ratio (0.4x) compared to the NG Hospitality industry average (0.7x).

Future Growth

How is Secure Electronic Technology forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

45.5%

Forecasted Consumer Services 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 Secure Electronic Technology 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.

Past Performance

How has Secure Electronic Technology performed over the past 5 years?

-44.9%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NSLTECH is currently unprofitable.

Growing Profit Margin: NSLTECH is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: NSLTECH is unprofitable, and losses have increased over the past 5 years at a rate of 44.9% per year.

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

Earnings vs Industry: NSLTECH is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (23.7%).

Return on Equity

High ROE: NSLTECH has a negative Return on Equity (-1.2%), as it is currently unprofitable.

Financial Health

How is Secure Electronic Technology's financial position?

Financial Position Analysis

Short Term Liabilities: NSLTECH's short term assets (NGN394.7M) do not cover its short term liabilities (NGN770.9M).

Long Term Liabilities: NSLTECH has no long term liabilities.

Debt to Equity History and Analysis

Debt Level: NSLTECH is debt free.

Reducing Debt: NSLTECH had no debt 5 years ago.

Debt Coverage: NSLTECH has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: NSLTECH has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

Dividend

What is Secure Electronic Technology current dividend yield, its reliability and sustainability?

Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if NSLTECH'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 NSLTECH's dividend in 3 years as they are not forecast to pay a notable one for the NG market.

Next Steps

Explore strong dividend paying companies in the Consumer Services industry.

Management

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

CEO

Odunlami Kola-Daisi

no data

Tenure

Dr. Odunlami .B. A. Kola-Daisi serves as Chief Executive Officer at Secure Electronic Technology Plc. Dr. Kola-Daisi serves as Deputy Managing Director and Chief Relationship Officer of Fountain Trust Bank...

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.

Data	Last Updated (UTC time)
Company Analysis	2021/10/25 21:40
End of Day Share Price	2021/10/25 00:00
Earnings	2021/09/30
Annual Earnings	2020/12/31

Market Cap

7D

1Y

Updated

Data