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NZX

NZX NZSE:NZX Stock Report

Last Price

NZ$1.21

Market Cap

NZ$388.3m

7D

0%

1Y

-34.9%

Updated

09 Aug, 2022

Data

Company Financials +
NZX fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance3/6
Financial Health5/6
Dividends2/6

NZX Stock Overview

NZX Limited operates a stock exchange in New Zealand.

NZX Competitors

Price History & Performance

Summary of all time highs, changes and price drops for NZX
Historical stock prices
Current Share PriceNZ$1.21
52 Week HighNZ$1.90
52 Week LowNZ$1.20
Beta0.68
1 Month Change-3.97%
3 Month Change-3.97%
1 Year Change-34.95%
3 Year Change0.83%
5 Year Change0.83%
Change since IPO12,449.26%

Recent News & Updates

Shareholder Returns

NZXNZ Capital MarketsNZ Market
7D0%-1.1%1.4%
1Y-34.9%-5.5%-11.3%

Return vs Industry: NZX underperformed the NZ Capital Markets industry which returned -5.5% over the past year.

Return vs Market: NZX underperformed the NZ Market which returned -11.3% over the past year.

Price Volatility

Is NZX's price volatile compared to industry and market?
NZX volatility
NZX Average Weekly Movement3.4%
Capital Markets Industry Average Movement5.8%
Market Average Movement4.4%
10% most volatile stocks in NZ Market8.3%
10% least volatile stocks in NZ Market3.0%

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

Volatility Over Time: NZX's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1866293Mark Petersonhttps://www.nzx.com

NZX Limited operates a stock exchange in New Zealand. The company operates through five segments: Capital Markets Origination, Secondary Markets, Data & Insights, Funds Management, and Wealth Technologies. The Capital Markets Origination segment provides issuer services for current and prospective customers.

NZX Fundamentals Summary

How do NZX's earnings and revenue compare to its market cap?
NZX fundamental statistics
Market CapNZ$388.29m
Earnings (TTM)NZ$15.02m
Revenue (TTM)NZ$87.96m

25.2x

P/E Ratio

4.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NZX income statement (TTM)
RevenueNZ$87.96m
Cost of RevenueNZ$50.79m
Gross ProfitNZ$37.17m
Other ExpensesNZ$22.15m
EarningsNZ$15.02m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Aug 18, 2022

Earnings per share (EPS)0.048
Gross Margin42.26%
Net Profit Margin17.07%
Debt/Equity Ratio55.2%

How did NZX perform over the long term?

See historical performance and comparison

Dividends

5.0%

Current Dividend Yield

114%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is NZX undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for NZX?

Other financial metrics that can be useful for relative valuation.

NZX key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue4.7x
Enterprise Value/EBITDA15.1x
PEG Ratio2.8x

Price to Earnings Ratio vs Peers

How does NZX's PE Ratio compare to its peers?

NZX PE Ratio vs Peers
The above table shows the PE ratio for NZX vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average14.1x
MLN Marlin Global
4.9xn/aNZ$226.7m
A034950 Korea Ratings
15.3xn/a₩329.2b
PSE Philippine Stock Exchange
13.4xn/a₱13.1b
EXAE Hellenic Exchanges - Athens Stock Exchange
22.9x28.4%€194.6m
NZX NZX
25.2x9.1%NZ$388.3m

Price-To-Earnings vs Peers: NZX is expensive based on its Price-To-Earnings Ratio (25.2x) compared to the peer average (14.1x).


Price to Earnings Ratio vs Industry

How does NZX's PE Ratio compare vs other companies in the Oceanian Capital Markets Industry?

Price-To-Earnings vs Industry: NZX is expensive based on its Price-To-Earnings Ratio (25.2x) compared to the Oceanic Capital Markets industry average (14.7x)


Price to Earnings Ratio vs Fair Ratio

What is NZX's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

NZX PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio25.2x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate NZX's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of NZX when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: NZX (NZ$1.21) is trading below our estimate of fair value (NZ$1.3)

Significantly Below Fair Value: NZX is trading below fair value, but not by a significant amount.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but there are not enough analysts covering the stock to determine statistical confidence in agreement.


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Future Growth

How is NZX forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


9.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NZX's forecast earnings growth (9.1% per year) is above the savings rate (2.1%).

Earnings vs Market: NZX's earnings (9.1% per year) are forecast to grow faster than the NZ market (5.2% per year).

High Growth Earnings: NZX's earnings are forecast to grow, but not significantly.

Revenue vs Market: NZX's revenue (3.5% per year) is forecast to grow slower than the NZ market (5.8% per year).

High Growth Revenue: NZX's revenue (3.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: NZX's Return on Equity is forecast to be low in 3 years time (19.7%).


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Past Performance

How has NZX performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


7.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: NZX has high quality earnings.

Growing Profit Margin: NZX's current net profit margins (17.1%) are lower than last year (22.4%).


Past Earnings Growth Analysis

Earnings Trend: NZX's earnings have grown by 7.2% per year over the past 5 years.

Accelerating Growth: NZX's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NZX had negative earnings growth (-14.6%) over the past year, making it difficult to compare to the Capital Markets industry average (29.3%).


Return on Equity

High ROE: NZX's Return on Equity (21.3%) is considered high.


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Financial Health

How is NZX's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: NZX's short term assets (NZ$88.4M) exceed its short term liabilities (NZ$54.9M).

Long Term Liabilities: NZX's short term assets (NZ$88.4M) exceed its long term liabilities (NZ$55.1M).


Debt to Equity History and Analysis

Debt Level: NZX's net debt to equity ratio (14%) is considered satisfactory.

Reducing Debt: NZX's debt to equity ratio has increased from 28.7% to 55.2% over the past 5 years.

Debt Coverage: NZX's debt is well covered by operating cash flow (70.3%).

Interest Coverage: NZX's interest payments on its debt are well covered by EBIT (10.3x coverage).


Balance Sheet


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Dividend

What is NZX current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


5.04%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: NZX's dividend (5.04%) is higher than the bottom 25% of dividend payers in the NZ market (2.99%).

High Dividend: NZX's dividend (5.04%) is low compared to the top 25% of dividend payers in the NZ market (5.86%).


Stability and Growth of Payments

Stable Dividend: NZX's dividend payments have been volatile in the past 10 years.

Growing Dividend: NZX's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (113.6%), NZX's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (182.4%), NZX's dividend payments are not well covered by cash flows.


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Management

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

6.2yrs

Average management tenure


CEO

Mark Peterson

5.58yrs

Tenure

Mr. Mark John Peterson has been Chief Executive Officer at NZX Ltd. since April 10, 2017. Mr. Peterson served as an Interim Chief Executive Officer at NZX Ltd.from January 1, 2017 to April 10, 2017. He se...


Leadership Team

Experienced Management: NZX's management team is seasoned and experienced (6.2 years average tenure).


Board Members

Experienced Board: NZX's board of directors are considered experienced (4.7 years average tenure).


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12%.


Top Shareholders

Company Information

NZX Limited's employee growth, exchange listings and data sources


Key Information

  • Name: NZX Limited
  • Ticker: NZX
  • Exchange: NZSE
  • Founded: 1866
  • Industry: Financial Exchanges and Data
  • Sector: Diversified Financials
  • Implied Market Cap: NZ$388.290m
  • Shares outstanding: 313.14m
  • Website: https://www.nzx.com

Number of Employees


Location

  • NZX Limited
  • NZX Centre
  • Level 1
  • Wellington
  • 6011
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/09 00:00
End of Day Share Price2022/08/09 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


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.