PGG Wrightson Limited provides goods and services for agricultural sector in New Zealand.
+ 1 more risk
Excellent balance sheet and fair value.
Share Price & News
How has PGG Wrightson's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PGW has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: PGW underperformed the NZ Food industry which returned 3.4% over the past year.
Return vs Market: PGW underperformed the NZ Market which returned 21.9% over the past year.
Price Volatility Vs. Market
How volatile is PGG Wrightson's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 year ago | Simply Wall StWith A 6.4% Return On Equity, Is PGG Wrightson Limited (NZSE:PGW) A Quality Stock?
1 year ago | Simply Wall StUnderstanding Your Return On Investment In PGG Wrightson Limited (NZSE:PGW)
1 year ago | Simply Wall StWhat You Must Know About PGG Wrightson Limited's (NZSE:PGW) Return on Equity
Is PGG Wrightson 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: PGW (NZ$2.32) is trading below our estimate of fair value (NZ$4.04)
Significantly Below Fair Value: PGW is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PGW is poor value based on its PE Ratio (52.8x) compared to the Food industry average (15.8x).
PE vs Market: PGW is poor value based on its PE Ratio (52.8x) compared to the NZ market (19.8x).
Price to Earnings Growth Ratio
PEG Ratio: PGW is poor value based on its PEG Ratio (2x)
Price to Book Ratio
PB vs Industry: PGW is good value based on its PB Ratio (0.4x) compared to the NZ Food industry average (1.2x).
How is PGG Wrightson forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PGW's forecast earnings growth (27.1% per year) is above the savings rate (1.3%).
Earnings vs Market: PGW's earnings (27.1% per year) are forecast to grow faster than the NZ market (6.3% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: PGW's revenue (1.8% per year) is forecast to grow slower than the NZ market (5.1% per year).
High Growth Revenue: PGW's revenue (1.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PGW's Return on Equity is forecast to be low in 3 years time (9.2%).
How has PGG Wrightson performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PGW has a high level of non-cash earnings.
Growing Profit Margin: PGW's current net profit margins (0.4%) are lower than last year (1%).
Past Earnings Growth Analysis
Earnings Trend: PGW has become profitable over the past 5 years, growing earnings by -17.5% per year.
Accelerating Growth: PGW's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: PGW had negative earnings growth (-59%) over the past year, making it difficult to compare to the Food industry average (-9.7%).
Return on Equity
High ROE: PGW's Return on Equity (1%) is considered low.
Return on Assets
Return on Capital Employed
How is PGG Wrightson's financial position?
Financial Position Analysis
Short Term Liabilities: PGW's short term assets (NZ$495.3M) exceed its short term liabilities (NZ$159.7M).
Long Term Liabilities: PGW's short term assets (NZ$495.3M) exceed its long term liabilities (NZ$7.6M).
Debt to Equity History and Analysis
Debt Level: PGW's debt to equity ratio (0.7%) is considered satisfactory.
Reducing Debt: PGW's debt to equity ratio has reduced from 37.5% to 0.7% over the past 5 years.
Inventory Level: PGW has a high level of physical assets or inventory.
Debt Coverage by Assets: PGW's debt is covered by short term assets (assets are 184.8x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: PGW is profitable, therefore cash runway is not a concern.
Forecast Cash Runway: PGW is profitable, therefore cash runway is not a concern.
What is PGG Wrightson's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: PGW's dividend (6.47%) is higher than the bottom 25% of dividend payers in the NZ market (2.87%).
High Dividend: PGW's dividend (6.47%) is in the top 25% of dividend payers in the NZ market (5.53%)
Stability and Growth of Payments
Stable Dividend: PGW has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: PGW's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (341.4%), PGW's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PGW's dividends in 3 years are forecast to be covered by earnings (83.9% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Stephen Guerin 0
Mr. Stephen Guerin serves as Chief Executive Officer at PGG Wrightson Limited since June 1, 2019. He had been Group General Manager of Retail & Water at PGG Wrightson Limited since September 1, 2016 until ...
|Chief Executive Officer||0.7yrs||no data||0.0069% NZ$8.9k|
|Chief Financial Officer||4.9yrs||no data||no data|
|Legal Counsel||0yrs||no data||no data|
|Acting General Manager Human Resources||1yrs||no data||no data|
|GM of Corporate Affairs & Company Secretary||0yrs||no data||no data|
Experienced Management: PGW's management team is not considered experienced ( 1 years average tenure), which suggests a new team.
|Deputy Chairman of the Board||0.8yrs||NZ$116.74k||no data|
|Alternate Director||4.9yrs||no data||no data|
|Independent Chairman||0.8yrs||NZ$37.47k||0.041% NZ$53.1k|
|Independent Director||0.8yrs||NZ$13.63k||0.021% NZ$26.4k|
|Independent Director||0.8yrs||NZ$13.63k||no data|
Experienced Board: PGW's board of directors are not considered experienced ( 0.8 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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
PGG Wrightson Limited's company bio, employee growth, exchange listings and data sources
- Name: PGG Wrightson Limited
- Ticker: PGW
- Exchange: NZSE
- Founded: 1841
- Industry: Agricultural Products
- Sector: Food, Beverage & Tobacco
- Market Cap: NZ$128.493m
- Shares outstanding: 55.39m
- Website: https://www.pggwrightson.co.nz
- PGG Wrightson Limited
- 57 Waterloo Road
- New Zealand
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|PGW||NZSE (New Zealand Stock Exchange)||Yes||Ordinary Shares||NZ||NZD||Jan 1992|
|PGWF.F||OTCPK (Pink Sheets LLC)||Yes||Ordinary Shares||US||USD||Jan 1992|
PGG Wrightson Limited provides goods and services for agricultural sector in New Zealand. The company operates in two segments, Agency, and Retail & Water. It operates rural supplies stores that offer a range of products, such as animal health and management products; apparel and footwear products; dairy shed hygiene products; fencing products; fertilizers; nutrition products; calf rearing products; pasture and crop protection products; wine making products; water products; horse feeds; seeds; and general merchandise products. The company also provides agency services for the sale, purchase, and service of livestock through auction, private and on-farm sales, and specialist stud stock sales; irrigation and pumping systems to farmers and horticulturists; and agritrade and ancillary support services, as well as markets and exports wool products. In addition, it offers insurance products; and rural finance and investment products to small-to-medium sized business, farms, and families. Further, the company provides real estate services, including rural, lifestyle, residential, and commercial properties; and operates fruitfed supplies retail network that provides plant protection and nutrition products, vegetable seeds, crop monitoring, soil tests and fertilizer recommendations, spray programs, frost fighting solutions and machinery, irrigation services, winery supplies, posts, wire and bird nettings, safety gears, and picking and pruning equipment, as well as protective cropping supplies for glasshouses and undercover crops. PGG Wrightson Limited was founded in 1841 and is based in Christchurch, New Zealand.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/19 10:33|
|End of Day Share Price||2020/02/18 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.