company background image
SCT

Scott TechnologyNZSE:SCT Stock Report

Market Cap

NZ$217.9m

7D

-5.8%

1Y

38.5%

Updated

18 Oct, 2021

Data

Company Financials
SCT fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance1/6
Financial Health5/6
Dividends0/6

SCT Overview

Scott Technology Limited, an investment holding company, designs, manufactures, sells, and services automated and robotic production lines, and processes for various industries in New Zealand and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Scott Technology
Historical stock prices
Current Share PriceNZ$2.77
52 Week HighNZ$1.71
52 Week LowNZ$3.06
Beta0.71
1 Month Change-5.46%
3 Month Change4.53%
1 Year Change38.50%
3 Year Change-4.48%
5 Year Change27.06%
Change since IPO79.37%

Recent News & Updates

May 08
Scott Technology (NZSE:SCT) Has A Pretty Healthy Balance Sheet

Scott Technology (NZSE:SCT) Has A Pretty Healthy Balance Sheet

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Feb 22
Is Scott Technology Limited (NZSE:SCT) Popular Amongst Insiders?

Is Scott Technology Limited (NZSE:SCT) Popular Amongst Insiders?

If you want to know who really controls Scott Technology Limited ( NZSE:SCT ), then you'll have to look at the makeup...

Jan 14
Would Scott Technology (NZSE:SCT) Be Better Off With Less Debt?

Would Scott Technology (NZSE:SCT) Be Better Off With Less Debt?

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

SCTNZ MachineryNZ Market
7D-5.8%-0.9%-0.5%
1Y38.5%71.0%2.2%

Return vs Industry: SCT underperformed the NZ Machinery industry which returned 71% over the past year.

Return vs Market: SCT exceeded the NZ Market which returned 2.2% over the past year.

Price Volatility

Is SCT's price volatile compared to industry and market?
SCT volatility
SCT Beta0.71
Industry Beta1.03
Market Beta1

Stable Share Price: SCT is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: SCT's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1913600John Kippenbergerhttps://www.scottautomation.com

Scott Technology Limited, an investment holding company, designs, manufactures, sells, and services automated and robotic production lines, and processes for various industries in New Zealand and internationally. The company operates through Australasia Manufacturing, Americas Manufacturing, Europe Manufacturing and China Manufacturing segments. The company manufactures and sells automated laboratory sampling equipment for the mining industry; high temperature superconductor equipment; patented centrifuge technology for the honey and fish processing industries; automated guided vehicles under the Transbotics brand; band-saw machines under the BladeStop brand; and x-ray and sorting technology, as well as offers robot systems under the RobotWorx brand.

Scott Technology Fundamentals Summary

How do Scott Technology's earnings and revenue compare to its market cap?
SCT fundamental statistics
Market CapNZ$217.90m
Earnings (TTM)NZ$1.34m
Revenue (TTM)NZ$191.52m

163.1x

P/E Ratio

1.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SCT income statement (TTM)
RevenueNZ$191.52m
Cost of RevenueNZ$118.85m
Gross ProfitNZ$72.66m
ExpensesNZ$71.33m
EarningsNZ$1.34m

Last Reported Earnings

Feb 28, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.017
Gross Margin37.94%
Net Profit Margin0.70%
Debt/Equity Ratio9.8%

How did SCT perform over the long term?

See historical performance and comparison

Dividends

1.4%

Current Dividend Yield

117%

Payout Ratio

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SCT (NZ$2.77) is trading below our estimate of fair value (NZ$45.91)

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


Price To Earnings Ratio

PE vs Industry: SCT is poor value based on its PE Ratio (163.1x) compared to the Oceanic Machinery industry average (29.7x).

PE vs Market: SCT is poor value based on its PE Ratio (163.1x) compared to the NZ market (22.5x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SCT's PB Ratio (2.3x) is in line with the XO Machinery industry average.


Future Growth

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

27.0%

Forecasted Capital Goods 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 Scott 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 Scott Technology performed over the past 5 years?

-39.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SCT has a large one-off gain of NZ$277.0K impacting its February 28 2021 financial results.

Growing Profit Margin: SCT became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: SCT's earnings have declined by 39.5% per year over the past 5 years.

Accelerating Growth: SCT has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: SCT has become profitable in the last year, making it difficult to compare its past year earnings growth to the Machinery industry (19.7%).


Return on Equity

High ROE: SCT's Return on Equity (0.9%) is considered low.


Financial Health

How is Scott Technology's financial position?


Financial Position Analysis

Short Term Liabilities: SCT's short term assets (NZ$74.0M) exceed its short term liabilities (NZ$66.9M).

Long Term Liabilities: SCT's short term assets (NZ$74.0M) exceed its long term liabilities (NZ$16.3M).


Debt to Equity History and Analysis

Debt Level: SCT's debt to equity ratio (9.8%) is considered satisfactory.

Reducing Debt: SCT's debt to equity ratio has reduced from 32.6% to 9.8% over the past 5 years.

Debt Coverage: SCT's debt is well covered by operating cash flow (261.5%).

Interest Coverage: SCT's interest payments on its debt are not well covered by EBIT (0.3x coverage).


Balance Sheet


Dividend

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

1.44%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SCT's dividend (1.44%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (2.45%).

High Dividend: SCT's dividend (1.44%) is low compared to the top 25% of dividend payers in the NZ market (4.75%).


Stability and Growth of Payments

Stable Dividend: SCT is not paying a notable dividend for the NZ market, therefore no need to check if payments are stable.

Growing Dividend: SCT is not paying a notable dividend for the NZ market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: SCT is not paying a notable dividend for the NZ market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SCT's dividend in 3 years as they are not forecast to pay a notable one for the NZ market.


Next Steps

Management

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

1.8yrs

Average management tenure


CEO

John Kippenberger

1.92yrs

Tenure

NZ$524,000

Compensation

Mr. John Robert Kippenberger serves as Chief Executive Officer since November 2019 and its Executive Director at Scott Technology Limited since July 13, 2020. Mr. John is an experienced business leader who...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD370.74K) is about average for companies of similar size in the NZ market ($USD521.40K).

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


Leadership Team

Experienced Management: SCT's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: SCT's board of directors are considered experienced (4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: SCT insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Scott Technology Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Scott Technology Limited
  • Ticker: SCT
  • Exchange: NZSE
  • Founded: 1913
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: NZ$217.904m
  • Shares outstanding: 78.67m
  • Website: https://www.scottautomation.com

Number of Employees


Location

  • Scott Technology Limited
  • Private Bag 1960
  • Dunedin
  • 9054
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 15:14
End of Day Share Price2021/10/18 00:00
Earnings2021/02/28
Annual Earnings2020/08/31


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.