NZSE:GXH

Stock Analysis Report

Executive Summary

Green Cross Health Limited provides health support, care, and advice services to communities in New Zealand.

Snowflake

Fundamentals

Undervalued with adequate balance sheet.

Risks

  • Green Cross Health is not covered by any analysts.

Share Price & News

How has Green Cross Health's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.9%

GXH

-0.6%

NZ Consumer Retailing

-1.2%

NZ Market


1 Year Return

-22.5%

GXH

9.5%

NZ Consumer Retailing

9.1%

NZ Market

GXH underperformed the Consumer Retailing industry which returned 9.5% over the past year.

GXH underperformed the Market in New Zealand which returned 9.1% over the past year.


Share holder returns

GXHIndustryMarket
7 Day-0.9%-0.6%-1.2%
30 Day-3.5%3.9%-0.7%
90 Day-6.8%5.4%2.7%
1 Year-16.9%-22.5%12.3%9.5%13.9%9.1%
3 Year-53.0%-59.7%33.3%23.6%44.4%25.6%
5 Year-20.0%-40.5%51.2%33.2%97.3%53.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Green Cross Health undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Green Cross Health's share price is below the future cash flow value, and at a moderate discount (> 20%).

Green Cross Health's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Green Cross Health is good value based on earnings compared to the Global Consumer Retailing industry average.

Green Cross Health is good value based on earnings compared to the New Zealand market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Green Cross Health, we can't assess if its growth is good value.


Price Based on Value of Assets

Green Cross Health is good value based on assets compared to the Global Consumer Retailing industry average.


Next Steps

Future Growth

How is Green Cross Health expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

9.4%

Forecasted Consumer Retailing 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 Green Cross Health 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.


Next Steps

Past Performance

How has Green Cross Health performed over the past 5 years?

2.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Green Cross Health's year on year earnings growth rate has been positive over the past 5 years.

Green Cross Health's 1-year earnings growth exceeds its 5-year average (3.2% vs 2.5%)

Green Cross Health's earnings growth has not exceeded the Global Consumer Retailing industry average in the past year (3.2% vs 3.3%).


Return on Equity

Green Cross Health has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Green Cross Health used its assets more efficiently than the Global Consumer Retailing industry average last year based on Return on Assets.


Return on Capital Employed

Green Cross Health's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Green Cross Health's financial position?


Financial Position Analysis

Green Cross Health's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Green Cross Health's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Green Cross Health's level of debt (36.7%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (10.4% vs 36.7% today).

Debt is well covered by operating cash flow (60%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 14.7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.7x debt.


Next Steps

Dividend

What is Green Cross Health's current dividend yield, its reliability and sustainability?

6.36%

Current Dividend Yield


Dividend Yield and Payments Analysis

Green Cross Health's pays a higher dividend yield than the bottom 25% of dividend payers in New Zealand (3.12%).

Green Cross Health's dividend is above the markets top 25% of dividend payers in New Zealand (5.66%).

Green Cross Health has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

Dividend payments have increased, but Green Cross Health only paid a dividend in the past 9 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.6x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Green Cross Health's salary, the management and board of directors tenure and is there insider trading?

1.5yrs

Average management tenure


CEO

Rachael Newfield 0

0.7yrs

Tenure

0

Ms. Rachael Newfield has been the Group Chief Executive Officer of Green Cross Health Limited since January 2019. 


Management Age and Tenure

1.5yrs

Average Tenure

The average tenure for the Green Cross Health management team is less than 2 years, this suggests a new team.


Board Age and Tenure

4.8yrs

Average Tenure

The tenure for the Green Cross Health board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Jim Greenwood

    Company Secretary

    • Tenure: 0yrs
  • Grant Bai

    Chief Executive Officer of Pharmacy & Medical

    • Tenure: 5.9yrs
  • Alison Van Wyk

    Chief Executive Officer of Community Health Division

    • Tenure: 0yrs
  • Steve Browning

    COO & CFO

    • Tenure: 0yrs
  • Mark Smith

    Chief Information Officer

    • Tenure: 1.5yrs
  • Rachael Newfield

    Group Chief Executive Officer

    • Tenure: 0.7yrs

Board Members

  • Peter Merton

    Chairman

    • Tenure: 0yrs
    • Compensation: NZ$85.00k
  • Tony Edwards

    Independent Director

    • Tenure: 4.1yrs
    • Compensation: NZ$60.00k
  • John Bolland

    Non-Executive Director

    • Tenure: 10.9yrs
    • Compensation: NZ$35.00k
  • John Bagnall

    Non-Executive Director

    • Tenure: 12.1yrs
    • Compensation: NZ$35.00k
  • Ken Orr

    Independent Director

    • Tenure: 7.5yrs
    • Compensation: NZ$65.00k
  • Peter Williams

    Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: NZ$35.00k
  • Carolyn Steele

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: NZ$70.00k
  • M. Millard

    Independent Director

    • Tenure: 4.8yrs
    • Compensation: NZ$60.00k

Company Information

Green Cross Health Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Green Cross Health Limited
  • Ticker: GXH
  • Exchange: NZSE
  • Founded: 1999
  • Industry: Drug Retail
  • Sector: Consumer Retailing
  • Market Cap: NZ$157.468m
  • Shares outstanding: 143.15m
  • Website: https://www.greencrosshealth.co.nz

Number of Employees


Location

  • Green Cross Health Limited
  • Building B
  • Ground Floor
  • Auckland
  • 1051
  • New Zealand

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GXHNZSE (New Zealand Stock Exchange)YesOrdinary SharesNZNZDOct 2009

Biography

Green Cross Health Limited provides health support, care, and advice services to communities in New Zealand. It operates in three segments: Pharmacy Services, Medical Services, and Community Health. The Ph ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 10:35
End of Day Share Price2019/09/20 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.