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STU

Steel & Tube HoldingsNZSE:STU Stock Report

Market Cap

NZ$231.0m

7D

8.5%

1Y

90.5%

Updated

30 Nov, 2021

Data

Company Financials +
STU fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends3/6

STU Stock Overview

Steel & Tube Holdings Limited engages in the distribution and processing of steel, fastenings, and metal floor decking products in New Zealand.

Rewards

Became profitable this year

Risk Analysis

Unstable dividend track record


Price History & Performance

Summary of all time highs, changes and price drops for Steel & Tube Holdings
Historical stock prices
Current Share PriceNZ$1.41
52 Week HighNZ$1.41
52 Week LowNZ$0.72
Beta1.39
1 Month Change18.49%
3 Month Change25.89%
1 Year Change90.54%
3 Year Change16.53%
5 Year Change-35.62%
Change since IPO203.23%

Recent News & Updates

Sep 23
Here's Why Shareholders May Want To Be Cautious With Increasing Steel & Tube Holdings Limited's (NZSE:STU) CEO Pay Packet

Here's Why Shareholders May Want To Be Cautious With Increasing Steel & Tube Holdings Limited's (NZSE:STU) CEO Pay Packet

As many shareholders of Steel & Tube Holdings Limited ( NZSE:STU ) will be aware, they have not made a gain on their...

Aug 30
Steel & Tube Holdings' (NZSE:STU) Promising Earnings May Rest On Soft Foundations

Steel & Tube Holdings' (NZSE:STU) Promising Earnings May Rest On Soft Foundations

Steel & Tube Holdings Limited's ( NZSE:STU ) robust earnings report didn't manage to move the market for its stock. Our...

Shareholder Returns

STUNZ Metals and MiningNZ Market
7D8.5%0.4%0.02%
1Y90.5%10.3%-3.3%

Return vs Industry: STU exceeded the NZ Metals and Mining industry which returned 10.3% over the past year.

Return vs Market: STU exceeded the NZ Market which returned -4.7% over the past year.

Price Volatility

Is STU's price volatile compared to industry and market?
STU volatility
STU Average Weekly Movement3.7%
Metals and Mining Industry Average Movement10.3%
Market Average Movement3.6%
10% most volatile stocks in NZ Market7.0%
10% least volatile stocks in NZ Market2.4%

Stable Share Price: STU is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: STU's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1953870Mark Malpasshttps://steelandtube.co.nz

Steel & Tube Holdings Limited engages in the distribution and processing of steel, fastenings, and metal floor decking products in New Zealand. It operates in two segments, Distribution and Infrastructure. The company offers structural steel, bar and plate products, and hollow steel sections; pipe and cable support products that include clip pipes, cables, and wire suspension systems; and stainless steel products, such as coils, sheets, plates, pipes, hygienic tube and associated fittings, and various structural bars, handrails, and architectural products to large scale projects and to the stainless steel fabricators, major corporations, and businesses in the construction, diary, water, food processing, energy, and manufacturing sectors.

Steel & Tube Holdings Fundamentals Summary

How do Steel & Tube Holdings's earnings and revenue compare to its market cap?
STU fundamental statistics
Market CapNZ$231.03m
Earnings (TTM)NZ$16.12m
Revenue (TTM)NZ$480.02m

0.0x

P/E Ratio

0.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
STU income statement (TTM)
RevenueNZ$480.02m
Cost of RevenueNZ$381.93m
Gross ProfitNZ$98.09m
ExpensesNZ$81.97m
EarningsNZ$16.12m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0
Gross Margin20.44%
Net Profit Margin3.36%
Debt/Equity Ratio0%

How did STU perform over the long term?

See historical performance and comparison

Dividends

3.2%

Current Dividend Yield

46%

Payout Ratio

Valuation

Is Steel & Tube Holdings undervalued compared to its fair value and its price relative to the market?


Share Price vs. Fair Value

Below Fair Value: STU (NZ$1.41) is trading above our estimate of fair value (NZ$0.45)

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


Price To Earnings Ratio

PE vs Industry: Insufficient data to calculate STU's PE Ratio to determine if it is good value compared to the Oceanic Metals and Mining industry average.

PE vs Market: Insufficient data to calculate STU's PE Ratio to determine if it is good value compared to the NZ market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate STU's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: Insufficient data to calculate STU's PB Ratio to determine if it is good value.


Future Growth

How is Steel & Tube Holdings forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

1.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STU's forecast earnings growth (1% per year) is below the savings rate (2.1%).

Earnings vs Market: STU's earnings (1% per year) are forecast to grow slower than the NZ market (6.6% per year).

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

Revenue vs Market: STU's revenue (2.1% per year) is forecast to grow slower than the NZ market (4.6% per year).

High Growth Revenue: STU's revenue (2.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STU's Return on Equity is forecast to be low in 3 years time (6.2%).


Past Performance

How has Steel & Tube Holdings performed over the past 5 years?

-43.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: STU has high quality earnings.

Growing Profit Margin: STU became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: STU has become profitable over the past 5 years, growing earnings by -43% per year.

Accelerating Growth: STU has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: STU has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (35.4%).


Return on Equity

High ROE: STU's Return on Equity (8.2%) is considered low.


Financial Health

How is Steel & Tube Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: STU's short term assets (NZ$222.5M) exceed its short term liabilities (NZ$80.0M).

Long Term Liabilities: STU's short term assets (NZ$222.5M) exceed its long term liabilities (NZ$92.0M).


Debt to Equity History and Analysis

Debt Level: STU is debt free.

Reducing Debt: STU has no debt compared to 5 years ago when its debt to equity ratio was 54.4%.

Debt Coverage: STU has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: STU has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Steel & Tube Holdings's current dividend yield, its reliability and sustainability?

3.19%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: STU's dividend (3.19%) is higher than the bottom 25% of dividend payers in the NZ market (2.78%).

High Dividend: STU's dividend (3.19%) is low compared to the top 25% of dividend payers in the NZ market (5%).


Stability and Growth of Payments

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

Growing Dividend: STU's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.1%), STU's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: STU's dividends in 3 years are forecast to be covered by earnings (70.1% payout ratio).


Next Steps

Management

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

2.4yrs

Average management tenure


CEO

Mark Malpass

4.17yrs

Tenure

NZ$994,245

Compensation

Mr. Mark Roy Malpass, MBA, BE (Mech Hons), NZCE, serves as Independent Director at Z Energy Limited since October 30, 2019. He has been Chief Executive Officer of Steel & Tube Holdings Limited since Februa...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD675.48K) is about average for companies of similar size in the NZ market ($USD522.99K).

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


Leadership Team

Experienced Management: STU's management team is considered experienced (2.4 years average tenure).


Board Members

Experienced Board: STU's board of directors are considered experienced (3.2 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: STU insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Insufficient data to determine if shareholders have been diluted in the past year.


Top Shareholders

Company Information

Steel & Tube Holdings Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Steel & Tube Holdings Limited
  • Ticker: STU
  • Exchange: NZSE
  • Founded: 1953
  • Industry: Steel
  • Sector: Materials
  • Market Cap: NZ$231.035m
  • Shares outstanding: 165.02m
  • Website: https://steelandtube.co.nz

Number of Employees


Location

  • Steel & Tube Holdings Limited
  • 7 Bruce Roderick Drive
  • East Tamaki
  • Auckland
  • 2013
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 09:14
End of Day Share Price2021/11/30 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.