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ARB

ArborGen Holdings NZSE:ARB Stock Report

Last Price

NZ$0.23

Market Cap

NZ$118.1m

7D

-2.2%

1Y

-23.7%

Updated

06 Oct, 2022

Data

Company Financials +
ARB fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance2/6
Financial Health4/6
Dividends0/6

ARB Stock Overview

ArborGen Holdings Limited engages in the forestry genetics business.

ArborGen Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for ArborGen Holdings
Historical stock prices
Current Share PriceNZ$0.23
52 Week HighNZ$0.30
52 Week LowNZ$0.20
Beta0.74
1 Month Change0%
3 Month Change0%
1 Year Change-23.73%
3 Year Change18.42%
5 Year Change18.42%
Change since IPO-54.08%

Recent News & Updates

Shareholder Returns

ARBNZ ForestryNZ Market
7D-2.2%-1.5%-0.3%
1Y-23.7%-11.4%-18.1%

Return vs Industry: ARB underperformed the NZ Forestry industry which returned -11.4% over the past year.

Return vs Market: ARB underperformed the NZ Market which returned -18.1% over the past year.

Price Volatility

Is ARB's price volatile compared to industry and market?
ARB volatility
ARB Average Weekly Movement5.3%
Forestry Industry Average Movement6.8%
Market Average Movement4.0%
10% most volatile stocks in NZ Market7.4%
10% least volatile stocks in NZ Market2.9%

Stable Share Price: ARB is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: ARB's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2001n/aAndrew Baumhttps://www.arborgenholdings.com

ArborGen Holdings Limited engages in the forestry genetics business. It provides its tree seedlings under the ArborGen brand name to forestry industry primarily in the United States and Brazil. The company was formerly known as Rubicon Limited and changed its name to ArborGen Holdings Limited in September 2019.

ArborGen Holdings Fundamentals Summary

How do ArborGen Holdings's earnings and revenue compare to its market cap?
ARB fundamental statistics
Market CapNZ$118.09m
Earnings (TTM)NZ$2.99m
Revenue (TTM)NZ$83.60m

37.9x

P/E Ratio

1.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ARB income statement (TTM)
RevenueUS$47.60m
Cost of RevenueUS$29.80m
Gross ProfitUS$17.80m
Other ExpensesUS$16.10m
EarningsUS$1.70m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.0034
Gross Margin37.39%
Net Profit Margin3.57%
Debt/Equity Ratio17.6%

How did ARB perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • 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 ARB?

Other financial metrics that can be useful for relative valuation.

ARB 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/Revenue1.7x
Enterprise Value/EBITDA9.5x
PEG Ratio0.5x

Price to Earnings Ratio vs Peers

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

ARB PE Ratio vs Peers
The above table shows the PE ratio for ARB vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average15.2x
STU Steel & Tube Holdings
7.2x-6.3%NZ$219.4m
MHM MHM Automation
23.1xn/aNZ$41.0m
CSCENIC Classic Scenic Berhad
25.1xn/aRM284.0m
EVERGRN Evergreen Fibreboard Berhad
5.5x18.8%RM308.3m
ARB ArborGen Holdings
37.9x69.1%NZ$118.1m

Price-To-Earnings vs Peers: ARB is expensive based on its Price-To-Earnings Ratio (37.9x) compared to the peer average (15.2x).


Price to Earnings Ratio vs Industry

How does ARB's PE Ratio compare vs other companies in the Global Forestry Industry?

Price-To-Earnings vs Industry: ARB is expensive based on its Price-To-Earnings Ratio (37.9x) compared to the Global Forestry industry average (10.5x)


Price to Earnings Ratio vs Fair Ratio

What is ARB'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.

ARB PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio37.9x
Fair PE Ration/a

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


Share Price vs Fair Value

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

Below Fair Value: ARB (NZ$0.23) is trading above our estimate of fair value (NZ$0.01)

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


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


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Future Growth

How is ArborGen Holdings forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


69.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ARB's forecast earnings growth (69.1% per year) is above the savings rate (2.1%).

Earnings vs Market: ARB's earnings (69.1% per year) are forecast to grow faster than the NZ market (5.7% per year).

High Growth Earnings: ARB's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ARB's revenue (23.4% per year) is forecast to grow faster than the NZ market (5.6% per year).

High Growth Revenue: ARB's revenue (23.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ARB's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has ArborGen Holdings performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


31.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ARB has a large one-off loss of $700.0K impacting its March 31 2022 financial results.

Growing Profit Margin: ARB's current net profit margins (3.6%) are higher than last year (3.5%).


Past Earnings Growth Analysis

Earnings Trend: ARB has become profitable over the past 5 years, growing earnings by 31.6% per year.

Accelerating Growth: ARB's earnings growth over the past year (13.3%) is below its 5-year average (31.6% per year).

Earnings vs Industry: ARB earnings growth over the past year (13.3%) underperformed the Forestry industry 20.2%.


Return on Equity

High ROE: ARB's Return on Equity (1.1%) is considered low.


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Financial Health

How is ArborGen Holdings's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ARB's short term assets ($53.3M) exceed its short term liabilities ($10.5M).

Long Term Liabilities: ARB's short term assets ($53.3M) exceed its long term liabilities ($30.2M).


Debt to Equity History and Analysis

Debt Level: ARB's net debt to equity ratio (7.6%) is considered satisfactory.

Reducing Debt: ARB's debt to equity ratio has increased from 12.2% to 17.6% over the past 5 years.

Debt Coverage: ARB's debt is well covered by operating cash flow (28.1%).

Interest Coverage: Insufficient data to determine if ARB's interest payments on its debt are well covered by EBIT.


Balance Sheet


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Dividend

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

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

ArborGen Holdings Dividend Yield vs Market
How does ArborGen Holdings dividend yield compare to the market?
SegmentDividend Yield
Company (ArborGen Holdings)n/a
Market Bottom 25% (NZ)3.0%
Market Top 25% (NZ)6.3%
Industry Average (Forestry)3.5%
Analyst forecast in 3 Years (ArborGen Holdings)0%

Notable Dividend: Unable to evaluate ARB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ARB's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ARB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ARB's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as ARB has not reported any payouts.


Discover strong dividend paying companies

Management

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

4.2yrs

Average board tenure


CEO

Andrew Baum (66 yo)

3.08yrs

Tenure

US$422,616

Compensation

Mr. Andrew Baum serves as the Chief Executive Officer at ArborGen Holdings Limited (formerly known as Rubicon Limited) since September 2019 and serves as its President. Mr. Baum has been the Chief Executiv...


CEO Compensation Analysis

Andrew Baum's Compensation vs ArborGen Holdings Earnings
How has Andrew Baum's remuneration changed compared to ArborGen Holdings's earnings?
DateTotal Comp.SalaryCompany Earnings
Mar 31 2022US$423kUS$392k

US$2m

Sep 30 2021n/an/a

US$300k

Jun 30 2021n/an/a

US$2m

Mar 31 2021US$423kUS$392k

US$2m

Dec 31 2020n/an/a

US$2m

Sep 30 2020n/an/a

US$3m

Jun 30 2020n/an/a

US$0

Mar 31 2020US$797kUS$392k

-US$3m

Dec 31 2019n/an/a

-US$4m

Sep 30 2019n/an/a

-US$5m

Jun 30 2019n/an/a

-US$5m

Mar 31 2019US$983kUS$390k

-US$4m

Compensation vs Market: Andrew's total compensation ($USD422.62K) is above average for companies of similar size in the NZ market ($USD317.40K).

Compensation vs Earnings: Andrew's compensation has been consistent with company performance over the past year.


Board Members

Experienced Board: ARB's board of directors are considered experienced (4.2 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.


Ownership Breakdown

What is the ownership structure of ARB?
Owner TypeNumber of SharesOwnership Percentage
General Public13,426,6562.7%
Private Companies18,875,2453.8%
Institutions81,812,62016.3%
Individual Insiders174,515,87034.7%
Hedge Funds213,868,02542.6%

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Top 25 shareholders own 96.96% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
23.14%
David Knott
116,263,540$26.2m0%no data
17.14%
Libra Advisors, LLC
86,108,419$19.4m0%30.72%
16.42%
Knott Partners Management, LLC
82,511,226$18.6m0%3.76%
9%
Dorset Management Corporation
45,248,380$10.2m0%63.17%
6.25%
Accident Compensation Corporation, Asset Management Arm
31,383,014$7.1m-2.6%0.16%
4.98%
National Australia Bank Limited, Asset Management Arm
25,000,000$5.6m0%0.57%
4.98%
Irvin Kessler
25,000,000$5.6m0%no data
3.76%
Sky Hill Limited
18,875,245$4.2m6.39%no data
1.84%
HSBC Global Asset Management (UK) Limited
9,223,127$2.1m0%no data
1.6%
Simon Moriarty
8,030,124$1.8m0%no data
1.42%
JPMorgan Chase & Co, Brokerage and Securities Investments
7,157,411$1.6m0%no data
1.12%
Hugh Fletcher
5,649,731$1.3m0%no data
0.96%
Norges Bank Investment Management
4,838,869$1.1m0%no data
0.83%
Tai Shan Foundation, Endowment Arm
4,171,811$938.7k0%100%
0.73%
Mark Taylor
3,680,000$828.0k-12.93%no data
0.45%
K. Chiam
2,241,937$504.4k0%no data
0.4%
B. Tyler
2,020,000$454.5k34.67%no data
0.35%
Alex Brown
1,735,551$390.5k0%no data
0.34%
G. Simms
1,725,000$388.1k2.99%no data
0.34%
Peter Bradfield
1,722,000$387.5k0%no data
0.24%
Andrew Baum
1,188,507$267.4k69.2%no data
0.18%
S. Godfrey
879,677$197.9k0%no data
0.18%
M. Godfrey
879,675$197.9k0%no data
0.18%
D. Toothill
879,675$197.9k0%no data
0.16%
T. H. Adams
820,998$184.7k0%no data

Company Information

ArborGen Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: ArborGen Holdings Limited
  • Ticker: ARB
  • Exchange: NZSE
  • Founded: 2001
  • Industry: Forest Products
  • Sector: Materials
  • Implied Market Cap: NZ$118.087m
  • Shares outstanding: 502.50m
  • Website: https://www.arborgenholdings.com

Location

  • ArborGen Holdings Limited
  • 100 Parnell Road
  • Suite 107
  • Auckland
  • 1052
  • New Zealand


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ARBNZSE (New Zealand Stock Exchange)YesOrdinary SharesNZNZDMar 2001
RUBN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMar 2001

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/10/06 00:00
End of Day Share Price2022/10/06 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.