SkyCity Entertainment Group Limited, together with its subsidiaries, operates in the gaming, entertainment, hotel, convention, hospitality, and tourism sectors in New Zealand and Australia.
Price History & Performance
|Historical stock prices|
|Current Share Price||NZ$3.12|
|52 Week High||NZ$2.75|
|52 Week Low||NZ$3.69|
|1 Month Change||-5.74%|
|3 Month Change||-1.89%|
|1 Year Change||1.63%|
|3 Year Change||-18.96%|
|5 Year Change||-17.02%|
|Change since IPO||106.28%|
Recent News & Updates
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|SKC||NZ Hospitality||NZ Market|
Return vs Industry: SKC underperformed the NZ Hospitality industry which returned 13.6% over the past year.
Return vs Market: SKC matched the NZ Market which returned 2.2% over the past year.
Stable Share Price: SKC is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: SKC's weekly volatility (4%) has been stable over the past year.
About the Company
SkyCity Entertainment Group Limited, together with its subsidiaries, operates in the gaming, entertainment, hotel, convention, hospitality, and tourism sectors in New Zealand and Australia. The company operates through Skycity Auckland, Other NZ Operations, SkyCity Adelaide, and International Business segments. It engages in the hotels and convention, food and beverage, sky tower, car parking, property investment, and other related activities.
SkyCity Entertainment Group Fundamentals Summary
|SKC fundamental statistics|
Is SKC overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|SKC income statement (TTM)|
|Cost of Revenue||NZ$314.55m|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
|Earnings per share (EPS)||0.21|
|Net Profit Margin||21.82%|
How did SKC perform over the long term?See historical performance and comparison
2.2%Current Dividend Yield
Is SkyCity Entertainment Group 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: SKC (NZ$3.12) is trading below our estimate of fair value (NZ$4.53)
Significantly Below Fair Value: SKC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SKC is good value based on its PE Ratio (15.1x) compared to the Oceanic Hospitality industry average (27.9x).
PE vs Market: SKC is good value based on its PE Ratio (15.1x) compared to the NZ market (22.5x).
Price to Earnings Growth Ratio
PEG Ratio: SKC is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: SKC is good value based on its PB Ratio (1.4x) compared to the NZ Hospitality industry average (1.9x).
How is SkyCity Entertainment Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SKC's forecast earnings growth (8.6% per year) is above the savings rate (2.1%).
Earnings vs Market: SKC's earnings (8.6% per year) are forecast to grow slower than the NZ market (9.2% per year).
High Growth Earnings: SKC's earnings are forecast to grow, but not significantly.
Revenue vs Market: SKC's revenue (11.3% per year) is forecast to grow faster than the NZ market (5.2% per year).
High Growth Revenue: SKC's revenue (11.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SKC's Return on Equity is forecast to be low in 3 years time (9.9%).
How has SkyCity Entertainment Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SKC has a large one-off gain of NZ$43.7M impacting its June 30 2021 financial results.
Growing Profit Margin: SKC's current net profit margins (21.8%) are lower than last year (36.5%).
Past Earnings Growth Analysis
Earnings Trend: SKC's earnings have grown by 9.2% per year over the past 5 years.
Accelerating Growth: SKC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SKC had negative earnings growth (-33.6%) over the past year, making it difficult to compare to the Hospitality industry average (4.2%).
Return on Equity
High ROE: SKC's Return on Equity (9.5%) is considered low.
How is SkyCity Entertainment Group's financial position?
Financial Position Analysis
Short Term Liabilities: SKC's short term assets (NZ$279.6M) exceed its short term liabilities (NZ$269.4M).
Long Term Liabilities: SKC's short term assets (NZ$279.6M) do not cover its long term liabilities (NZ$885.4M).
Debt to Equity History and Analysis
Debt Level: SKC's debt to equity ratio (30.1%) is considered satisfactory.
Reducing Debt: SKC's debt to equity ratio has reduced from 41.9% to 30.1% over the past 5 years.
Debt Coverage: SKC's debt is well covered by operating cash flow (58%).
Interest Coverage: SKC's interest payments on its debt are well covered by EBIT (4.3x coverage).
What is SkyCity Entertainment Group current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SKC's dividend (2.24%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (2.45%).
High Dividend: SKC's dividend (2.24%) is low compared to the top 25% of dividend payers in the NZ market (4.75%).
Stability and Growth of Payments
Stable Dividend: SKC's dividend payments have been volatile in the past 10 years.
Growing Dividend: SKC's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (34.1%), SKC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SKC's dividends in 3 years are forecast to be covered by earnings (75.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Michael Ahearne has been Chief Executive Officer since November 16, 2020 and served as Group Chief Operating Officer of SKYCITY Entertainment Group Ltd since January 01, 2018 until November 2020 where...
CEO Compensation Analysis
Compensation vs Market: Michael's total compensation ($USD1.60M) is above average for companies of similar size in the NZ market ($USD1.16M).
Compensation vs Earnings: Michael's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: SKC's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
Experienced Board: SKC's board of directors are not considered experienced ( 2 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: SKC 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.
SkyCity Entertainment Group Limited's employee growth, exchange listings and data sources
- Name: SkyCity Entertainment Group Limited
- Ticker: SKC
- Exchange: NZSE
- Founded: 1994
- Industry: Casinos and Gaming
- Sector: Consumer Services
- Market Cap: NZ$2.376b
- Shares outstanding: 756.81m
- Website: https://skycityentertainmentgroup.com
Number of Employees
- SkyCity Entertainment Group Limited
- 99 Albert Street
- Level 13
- New Zealand
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/18 06:01|
|End of Day Share Price||2021/10/18 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.