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Summerset Group Holdings

Market Cap

NZ$2.8b

Last Updated

2021/05/07 07:02 UTC

Data Sources

Company Financials +

Executive Summary

Summerset Group Holdings Limited, together with its subsidiaries, develops, owns, and operates integrated retirement villages in New Zealand. More Details


Snowflake Analysis

Proven track record and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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

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


Market Performance


7 Day Return

-0.5%

SUM

0.7%

NZ Healthcare

-0.5%

NZ Market


1 Year Return

101.7%

SUM

36.1%

NZ Healthcare

18.9%

NZ Market

Return vs Industry: SUM exceeded the NZ Healthcare industry which returned 36.6% over the past year.

Return vs Market: SUM exceeded the NZ Market which returned 20.4% over the past year.


Shareholder returns

SUMIndustryMarket
7 Day-0.5%0.7%-0.5%
30 Day2.2%-2.7%1.2%
90 Day-2.4%-5.2%-3.9%
1 Year104.2%101.7%39.1%36.1%22.4%18.9%
3 Year76.3%67.4%55.2%44.4%43.4%26.7%
5 Year195.5%171.3%39.0%21.1%80.1%39.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

11.83x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SUM (NZ$12.1) is trading above our estimate of fair value (NZ$5.18)

Significantly Below Fair Value: SUM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: SUM is good value based on its PE Ratio (11.8x) compared to the NZ Healthcare industry average (24.8x).

PE vs Market: SUM is good value based on its PE Ratio (11.8x) compared to the NZ market (22.4x).


Price to Earnings Growth Ratio

PEG Ratio: SUM's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: SUM is good value based on its PB Ratio (2x) compared to the NZ Healthcare industry average (2.9x).


Future Growth

How is Summerset Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-3.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SUM's earnings are forecast to decline over the next 3 years (-3.5% per year).

Earnings vs Market: SUM's earnings are forecast to decline over the next 3 years (-3.5% per year).

High Growth Earnings: SUM's earnings are forecast to decline over the next 3 years.

Revenue vs Market: SUM's revenue (17.5% per year) is forecast to grow faster than the NZ market (6.8% per year).

High Growth Revenue: SUM's revenue (17.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SUM's Return on Equity is forecast to be low in 3 years time (10.5%).


Past Performance

How has Summerset Group Holdings performed over the past 5 years?

6.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SUM has a large one-off gain of NZ$227.0M impacting its December 31 2020 financial results.

Growing Profit Margin: SUM's current net profit margins are higher than last year .


Past Earnings Growth Analysis

Earnings Trend: SUM's earnings have grown by 6.9% per year over the past 5 years.

Accelerating Growth: SUM's earnings growth over the past year (32.1%) exceeds its 5-year average (6.9% per year).

Earnings vs Industry: SUM earnings growth over the past year (32.1%) exceeded the Healthcare industry 14%.


Return on Equity

High ROE: SUM's Return on Equity (17%) is considered low.


Financial Health

How is Summerset Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: SUM's short term assets (NZ$67.6M) do not cover its short term liabilities (NZ$294.2M).

Long Term Liabilities: SUM's short term assets (NZ$67.6M) do not cover its long term liabilities (NZ$2.2B).


Debt to Equity History and Analysis

Debt Level: SUM's debt to equity ratio (52.8%) is considered high.

Reducing Debt: SUM's debt to equity ratio has reduced from 61.3% to 52.8% over the past 5 years.

Debt Coverage: SUM's debt is well covered by operating cash flow (37.3%).

Interest Coverage: SUM's interest payments on its debt are not well covered by EBIT (1.1x coverage).


Balance Sheet


Dividend

What is Summerset Group Holdings's current dividend yield, its reliability and sustainability?

1.07%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SUM's dividend (1.07%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (2.31%).

High Dividend: SUM's dividend (1.07%) is low compared to the top 25% of dividend payers in the NZ market (4.54%).


Stability and Growth of Payments

Stable Dividend: SUM is not paying a notable dividend for the NZ market, therefore no need to check if payments are stable.

Growing Dividend: SUM is not paying a notable dividend for the NZ market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: SUM is not paying a notable dividend for the NZ market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SUM's dividend in 3 years as they are not forecast to pay a notable one for the NZ market.


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Scott Scoullar

0.17

Tenure

Mr. Scott Grady Scoullar, C.A., ANZ, BCA & FCPA, serves as Chief Executive Officer at Summerset Group Holdings Limited since March 29, 2021. Mr. Scoullar had been the Chief Financial Officer at Summerset G...


Leadership Team

Experienced Management: SUM's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: SUM's board of directors are considered experienced (7.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: SUM insiders have only sold shares 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

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


Key Information

  • Name: Summerset Group Holdings Limited
  • Ticker: SUM
  • Exchange: NZSE
  • Founded: 1994
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: NZ$2.796b
  • Shares outstanding: 227.69m
  • Website: https://www.summerset.co.nz

Number of Employees


Location

  • Summerset Group Holdings Limited
  • Majestic Centre
  • Level 27
  • Wellington
  • 6011
  • New Zealand

Listings


Biography

Summerset Group Holdings Limited, together with its subsidiaries, develops, owns, and operates integrated retirement villages in New Zealand. It provides independent living, care centers with rest home, an...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/07 07:02
End of Day Share Price2021/05/07 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.