New Zealand Rural Land (NZSE:NZL) - Share price, News & Analysis

NZL fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	0/6
Financial Health	1/6
Dividends	0/6

NZL Overview

New Zealand Rural Land Company Limited focuses on investing and acquiring rural land across the New Zealand agricultural sector.

Rewards

PE ratio (6x) is below the NZ market (22.2x)

Risk Analysis

Debt is not well covered by operating cash flow

Makes less than USD$1m in revenue (NZ$598K)

Large one-off items impacting financial results

Less than 3 years of financial data is available

+ 1 more risk

Price History & Performance

Summary of all time highs, changes and price drops for New Zealand Rural Land
Historical stock prices
Current Share Price	NZ$1.12
52 Week High	NZ$1.05
52 Week Low	NZ$1.31
Beta	0
1 Month Change	0.90%
3 Month Change	4.67%
1 Year Change	n/a
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	-10.40%

Shareholder Returns

	NZL	NZ Real Estate	NZ Market
7D	0%	-0.2%	0.5%
1Y	n/a	4.5%	2.1%

Return vs Industry: Insufficient data to determine how NZL performed against the NZ Real Estate industry.

Return vs Market: Insufficient data to determine how NZL performed against the NZ Market.

Price Volatility

Is NZL's price volatile compared to industry and market?
NZL volatility
NZL Beta	0
Industry Beta	0.86
Market Beta	1

Stable Share Price: NZL is less volatile than 75% of NZ stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: NZL's weekly volatility (2%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2020	n/a	n/a	https://nzrlc.co.nz

New Zealand Rural Land Company Limited focuses on investing and acquiring rural land across the New Zealand agricultural sector. It owns the land and provide a platform for farmers and food producers. The company was incorporated in 2020 and is based in Auckland, New Zealand.

New Zealand Rural Land Fundamentals Summary

How do New Zealand Rural Land's earnings and revenue compare to its market cap?
NZL fundamental statistics
Market Cap	NZ$108.53m
Earnings (TTM)	NZ$18.14m
Revenue (TTM)	NZ$597.60k

6.0x

P/E Ratio

181.8x

P/S Ratio

Is NZL overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
NZL income statement (TTM)
Revenue	NZ$597.60k
Cost of Revenue	NZ$118.80k
Gross Profit	NZ$478.80k
Expenses	-NZ$17.66m
Earnings	NZ$18.14m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.19
Gross Margin	80.12%
Net Profit Margin	3,035.14%
Debt/Equity Ratio	49.2%

How did NZL perform over the long term?

See historical performance and comparison

Valuation

Is New Zealand Rural Land undervalued compared to its fair value and its price relative to the market?

5.98x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: NZL (NZ$1.12) is trading above our estimate of fair value (NZ$0.88)

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

Price To Earnings Ratio

PE vs Industry: NZL is good value based on its PE Ratio (6x) compared to the Oceanic Real Estate industry average (16.8x).

PE vs Market: NZL is good value based on its PE Ratio (6x) compared to the NZ market (22.2x).

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: NZL's PB Ratio (1x) is in line with the XO Real Estate industry average.

Future Growth

How is New Zealand Rural Land forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

22.2%

Forecasted Real Estate industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as New Zealand Rural Land has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has New Zealand Rural Land performed over the past 5 years?

-4.7%

Historical Real Estate annual earnings growth

Earnings and Revenue History

Quality Earnings: NZL has a large one-off gain of NZ$19.8M impacting its June 30 2021 financial results.

Growing Profit Margin: Insufficient data to determine if NZL's profit margins have improved over the past year.

Past Earnings Growth Analysis

Earnings Trend: Unable to establish if NZL's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

Accelerating Growth: Unable to compare NZL's past year earnings growth to its 5-year average as it has been trading publicly for less than 3 years.

Earnings vs Industry: Insufficient data to determine if NZL's earnings growth over the past year exceeded the Real Estate industry average.

Return on Equity

High ROE: NZL's Return on Equity (16.5%) is considered low.

Financial Health

How is New Zealand Rural Land's financial position?

Financial Position Analysis

Short Term Liabilities: NZL's short term assets (NZ$21.2M) exceed its short term liabilities (NZ$308.0K).

Long Term Liabilities: NZL's short term assets (NZ$21.2M) do not cover its long term liabilities (NZ$54.4M).

Debt to Equity History and Analysis

Debt Level: NZL's debt to equity ratio (49.2%) is considered high.

Reducing Debt: Insufficient data to determine if NZL's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: NZL's operating cash flow is negative, therefore debt is not well covered.

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

Balance Sheet

Dividend

What is New Zealand Rural Land current dividend yield, its reliability and sustainability?

5.06%

Forecast Dividend Yield

Dividend Yield vs Market

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

High Dividend: Unable to evaluate NZL'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 NZL's dividends per share have been stable in the past.

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

Current Payout to Shareholders

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

Future Payout to Shareholders

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

Next Steps

Explore strong dividend paying companies in the Real Estate industry.

Management

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

1.1yrs

Average board tenure

CEO

New Zealand Rural Land has no CEO, or we have no data on them.

Board Members

Experienced Board: NZL's board of directors are not considered experienced ( 1.1 years average tenure), which suggests a new board.

Ownership

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

Insider Trading Volume

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

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: NZL only recently listed within the past 12 months.

Data	Last Updated (UTC time)
Company Analysis	2021/10/26 06:01
End of Day Share Price	2021/10/26 00:00
Earnings	2021/06/30
Annual Earnings	2021/06/30

Market Cap

7D

1Y

Updated

Data