NZSE:EBO

Stock Analysis Report

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Executive Summary

EBOS Group Limited engages in the marketing, wholesale, and distribution of healthcare, medical, pharmaceutical, consumer, and animal care products in Australia and New Zealand. More Details


Snowflake Analysis

Established dividend payer with proven track record.


Similar Companies

Share Price & News

How has EBOS Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

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


Market Performance


7 Day Return

0.7%

EBO

-4.1%

NZ Healthcare

-4.0%

NZ Market


1 Year Return

18.5%

EBO

3.3%

NZ Healthcare

7.9%

NZ Market

Return vs Industry: EBO exceeded the NZ Healthcare industry which returned 3.4% over the past year.

Return vs Market: EBO exceeded the NZ Market which returned 8% over the past year.


Shareholder returns

EBOIndustryMarket
7 Day0.7%-4.1%-4.0%
30 Day8.1%2.0%2.4%
90 Day7.9%3.6%7.4%
1 Year22.6%18.5%5.6%3.3%11.9%7.9%
3 Year73.2%56.3%62.9%50.7%53.6%33.2%
5 Year156.8%115.7%130.1%102.7%109.4%58.7%

Long-Term Price Volatility Vs. Market

How volatile is EBOS Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is EBOS Group undervalued compared to its fair value and its price relative to the market?

4.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EBO (NZ$28.91) is trading below our estimate of fair value (NZ$30.35)

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


Price To Earnings Ratio

PE vs Industry: EBO is good value based on its PE Ratio (26.6x) compared to the XO Healthcare industry average (31.2x).

PE vs Market: EBO is poor value based on its PE Ratio (26.6x) compared to the NZ market (25.2x).


Price to Earnings Growth Ratio

PEG Ratio: EBO is poor value based on its PEG Ratio (3.9x)


Price to Book Ratio

PB vs Industry: EBO is overvalued based on its PB Ratio (3.3x) compared to the NZ Healthcare industry average (2.4x).


Next Steps

Future Growth

How is EBOS Group forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

6.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EBO's forecast earnings growth (6.9% per year) is above the savings rate (2.3%).

Earnings vs Market: EBO's earnings (6.9% per year) are forecast to grow slower than the NZ market (11.3% per year).

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

Revenue vs Market: EBO's revenue (4.5% per year) is forecast to grow slower than the NZ market (4.9% per year).

High Growth Revenue: EBO's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EBO's Return on Equity is forecast to be low in 3 years time (14%).


Next Steps

Past Performance

How has EBOS Group performed over the past 5 years?

8.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EBO has high quality earnings.

Growing Profit Margin: EBO's current net profit margins (1.9%) are lower than last year (2%).


Past Earnings Growth Analysis

Earnings Trend: EBO's earnings have grown by 8.2% per year over the past 5 years.

Accelerating Growth: EBO's earnings growth over the past year (18%) exceeds its 5-year average (8.2% per year).

Earnings vs Industry: EBO earnings growth over the past year (18%) exceeded the Healthcare industry -16.1%.


Return on Equity

High ROE: EBO's Return on Equity (12.3%) is considered low.


Next Steps

Financial Health

How is EBOS Group's financial position?


Financial Position Analysis

Short Term Liabilities: EBO's short term assets (A$2.0B) exceed its short term liabilities (A$1.8B).

Long Term Liabilities: EBO's short term assets (A$2.0B) exceed its long term liabilities (A$668.3M).


Debt to Equity History and Analysis

Debt Level: EBO's debt to equity ratio (44.6%) is considered high.

Reducing Debt: EBO's debt to equity ratio has increased from 41.2% to 44.6% over the past 5 years.

Debt Coverage: EBO's debt is well covered by operating cash flow (39.2%).

Interest Coverage: EBO's interest payments on its debt are well covered by EBIT (8.6x coverage).


Balance Sheet


Next Steps

Dividend

What is EBOS Group current dividend yield, its reliability and sustainability?

2.74%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: EBO's dividend (2.74%) is higher than the bottom 25% of dividend payers in the NZ market (2.39%).

High Dividend: EBO's dividend (2.74%) is low compared to the top 25% of dividend payers in the NZ market (4.1%).


Stability and Growth of Payments

Stable Dividend: EBO's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (72.9%), EBO's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: EBO's dividends in 3 years are forecast to be covered by earnings (70.9% payout ratio).


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

John Cullity

2.75yrs

Tenure

AU$3,500,000

Compensation

Mr. John Cullity has been Non-Executive Director of Terry White Group Limited since March 29, 2018. Mr. Cullity has been Chief Executive Officer of EBOS Group Limited since April 1, 2018. Mr. Cullity serve...


CEO Compensation Analysis

Compensation vs Market: John's total compensation ($USD2.70M) is above average for companies of similar size in the NZ market ($USD1.39M).

Compensation vs Earnings: John's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
John Cullity
Chief Executive Officer2.75yrsAU$3.50mno data
Leonard Hansen
Acting CFO & Chief Accountant0.83yrno data0.00020%
A$ 9.5k
Andrea Bell
Chief Information Officer6yrsno datano data
Mark Connell
Manager of Investor Relationsno datano datano data
Janelle Cain
General Counsel6yrsno datano data
Jacinta McCarthy
Group General Manager of Human Recourses1.17yrsno datano data
Sean Duggan
Chief Executive Officer of Animal Care & Consumer Brands6.5yrsno data0.031%
A$ 1.5m
Brett Barons
Chief Executive Officer of Symbion3yrsno datano data
Stuart Spencer
Executive General Manager of Pharmacy & Institutional Healthcare4.58yrsno datano data

3.8yrs

Average Tenure

Experienced Management: EBO's management team is considered experienced (3.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Elizabeth Coutts
Independent Chairman1.25yrsAU$313.89k0.064%
A$ 3.0m
Stuart McGregor
Director7.5yrsAU$177.50kno data
Sarah Ottrey
Independent Director14.33yrsAU$170.00k0.0070%
A$ 333.4k
Stuart McLauchlan
Independent Director1.5yrsAU$193.69k0.0013%
A$ 60.1k
Peter Williams
Director7.5yrsAU$160.00kno data
Nicholas Dowling
Independent Director0.92yrAU$66.37k0.00092%
A$ 43.5k

4.5yrs

Average Tenure

Experienced Board: EBO's board of directors are considered experienced (4.5 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

EBOS Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: EBOS Group Limited
  • Ticker: EBO
  • Exchange: NZSE
  • Founded: 1922
  • Industry: Health Care Distributors
  • Sector: Healthcare
  • Market Cap: NZ$4.728b
  • Shares outstanding: 163.55m
  • Website: https://www.ebosgroup.com

Number of Employees


Location

  • EBOS Group Limited
  • 737 Bourke Street
  • Level 7
  • Docklands
  • Victoria
  • 3008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EBONZSE (New Zealand Stock Exchange)YesOrdinary SharesNZNZDJun 1999
EBOASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 1999
EBOCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 1999
EBOS.YOTCPK (Pink Sheets LLC)SPON ADRUSUSDNov 2011

Biography

EBOS Group Limited engages in the marketing, wholesale, and distribution of healthcare, medical, pharmaceutical, consumer, and animal care products in Australia and New Zealand. It operates in two segments...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/16 06:03
End of Day Share Price2021/01/15 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.