Heartland Group Holdings Limited operates as the bank holding company for Heartland Bank Limited that provides various financial services in New Zealand and Australia. More Details
Adequate balance sheet second-rate dividend payer.
Share Price & News
How has Heartland Group Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HGH is less volatile than 75% of NZ stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: HGH's weekly volatility (2%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: HGH exceeded the NZ Banks industry which returned 47.7% over the past year.
Return vs Market: HGH exceeded the NZ Market which returned 14% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Heartland Group Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall StCan You Imagine How Heartland Group Holdings' (NZSE:HGH) Shareholders Feel About The 50% Share Price Increase?
3 months ago | Simply Wall StShould Heartland Group Holdings Limited (NZSE:HGH) Be Part Of Your Dividend Portfolio?
Is Heartland Group Holdings undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HGH (NZ$1.97) is trading below our estimate of fair value (NZ$2.08)
Significantly Below Fair Value: HGH is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: HGH's PE Ratio (15x) is in line with the Oceanic Banks industry average.
PE vs Market: HGH is good value based on its PE Ratio (15x) compared to the NZ market (22.2x).
Price to Earnings Growth Ratio
PEG Ratio: HGH is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: HGH is overvalued based on its PB Ratio (1.6x) compared to the XO Banks industry average (0.9x).
How is Heartland Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HGH's forecast earnings growth (6.4% per year) is above the savings rate (2.1%).
Earnings vs Market: HGH's earnings (6.4% per year) are forecast to grow slower than the NZ market (13.2% per year).
High Growth Earnings: HGH's earnings are forecast to grow, but not significantly.
Revenue vs Market: HGH's revenue (5.3% per year) is forecast to grow slower than the NZ market (6% per year).
High Growth Revenue: HGH's revenue (5.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HGH's Return on Equity is forecast to be low in 3 years time (11.4%).
How has Heartland Group Holdings performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HGH has high quality earnings.
Growing Profit Margin: HGH's current net profit margins (35.1%) are lower than last year (38.6%).
Past Earnings Growth Analysis
Earnings Trend: HGH's earnings have grown by 8.3% per year over the past 5 years.
Accelerating Growth: HGH's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: HGH had negative earnings growth (-5.1%) over the past year, making it difficult to compare to the Banks industry average (-5.1%).
Return on Equity
High ROE: HGH's Return on Equity (10.3%) is considered low.
How is Heartland Group Holdings's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: HGH's Assets to Equity ratio (7.4x) is low.
Allowance for Bad Loans: HGH has a low allowance for bad loans (67%).
Low Risk Liabilities: 70% of HGH's liabilities are made up of primarily low risk sources of funding.
Loan Level: HGH has an appropriate level of Loans to Assets ratio (86%).
Low Risk Deposits: HGH's Loans to Deposits ratio (142%) is high.
Level of Bad Loans: HGH has an appropriate level of bad loans (1.8%).
What is Heartland Group Holdings's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: HGH's dividend (3.3%) is higher than the bottom 25% of dividend payers in the NZ market (2.34%).
High Dividend: HGH's dividend (3.3%) is low compared to the top 25% of dividend payers in the NZ market (4.53%).
Stability and Growth of Payments
Stable Dividend: HGH has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: HGH's dividend payments have increased, but the company has only paid a dividend for 8 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (49.5%), HGH's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: HGH's dividends in 3 years are forecast to be covered by earnings (71.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Jeffrey Kenneth Greenslade, also known as Jeff, LLB, serves as Chief Executive Officer of Heartland Group Holdings Ltd. He serves as Non-Independent Non-Executive Director of Heartland Bank Limited and...
CEO Compensation Analysis
Compensation vs Market: Insufficient data to establish whether Jeff's total compensation is reasonable compared to companies of similar size in the NZ market.
Compensation vs Earnings: Jeff's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: HGH's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Experienced Board: HGH's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: HGH insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Heartland Group Holdings Limited's company bio, employee growth, exchange listings and data sources
- Name: Heartland Group Holdings Limited
- Ticker: HGH
- Exchange: NZSE
- Founded: 1875
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: NZ$1.154b
- Shares outstanding: 585.90m
- Website: https://www.heartland.co.nz
Number of Employees
- Heartland Group Holdings Limited
- Heartland House
- Level 3
- New Zealand
Heartland Group Holdings Limited operates as the bank holding company for Heartland Bank Limited that provides various financial services in New Zealand and Australia. The company offers savings accounts, ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/13 07:00|
|End of Day Share Price||2021/06/11 00:00|
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.