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NZA

NZ Automotive Investments NZSE:NZA Stock Report

Last Price

NZ$0.73

Market Cap

NZ$36.3m

7D

-2.7%

1Y

-27.0%

Updated

18 May, 2022

Data

Company Financials
NZA fundamental analysis
Snowflake Score
Valuation1/6
Future Growth0/6
Past Performance0/6
Financial Health4/6
Dividends1/6

NZA Stock Overview

NZ Automotive Investments Limited, through its subsidiaries, operates in the automotive retail and vehicle finance businesses in New Zealand.

NZ Automotive Investments Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for NZ Automotive Investments
Historical stock prices
Current Share PriceNZ$0.73
52 Week HighNZ$1.20
52 Week LowNZ$0.73
Beta0
1 Month Change-15.12%
3 Month Change-20.65%
1 Year Change-27.00%
3 Year Changen/a
5 Year Changen/a
Change since IPO-43.85%

Recent News & Updates

Dec 09
NZ Automotive Investments' (NZSE:NZA) Shareholders Have More To Worry About Than Only Soft Earnings

NZ Automotive Investments' (NZSE:NZA) Shareholders Have More To Worry About Than Only Soft Earnings

NZ Automotive Investments Limited's ( NZSE:NZA ) recent weak earnings report didn't cause a big stock movement. We...

Shareholder Returns

NZANZ Specialty RetailNZ Market
7D-2.7%-2.3%-1.1%
1Y-27.0%-10.9%-13.4%

Return vs Industry: NZA underperformed the NZ Specialty Retail industry which returned -10.9% over the past year.

Return vs Market: NZA underperformed the NZ Market which returned -13.4% over the past year.

Price Volatility

Is NZA's price volatile compared to industry and market?
NZA volatility
NZA Average Weekly Movement3.3%
Specialty Retail Industry Average Movement3.4%
Market Average Movement4.3%
10% most volatile stocks in NZ Market7.5%
10% least volatile stocks in NZ Market2.9%

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

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

About the Company

FoundedEmployeesCEOWebsite
201675David Pagehttps://www.nzautomotiveinvestments.co.nz

NZ Automotive Investments Limited, through its subsidiaries, operates in the automotive retail and vehicle finance businesses in New Zealand. It sells used vehicles through 12 dealerships operated under the 2 Cheap Cars brand in New Zealand; and offers secured car loans under the NZ Motor Finance brand. The company was formerly known as 2CC Holdings Limited and changed its name to NZ Automotive Investments Limited in November 2020.

NZ Automotive Investments Fundamentals Summary

How do NZ Automotive Investments's earnings and revenue compare to its market cap?
NZA fundamental statistics
Market CapNZ$36.34m
Earnings (TTM)NZ$2.73m
Revenue (TTM)NZ$66.52m

13.3x

P/E Ratio

0.5x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
NZA income statement (TTM)
RevenueNZ$66.52m
Cost of RevenueNZ$52.72m
Gross ProfitNZ$13.80m
Other ExpensesNZ$11.07m
EarningsNZ$2.73m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.055
Gross Margin20.74%
Net Profit Margin4.11%
Debt/Equity Ratio64.2%

How did NZA perform over the long term?

See historical performance and comparison

Dividends

4.4%

Current Dividend Yield

147%

Payout Ratio

Valuation

Is NZ Automotive Investments undervalued compared to its fair value and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


13.3x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: NZA (NZ$0.73) is trading above our estimate of fair value (NZ$0.59)

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


Price To Earnings Ratio

PE vs Industry: NZA's PE Ratio (13.3x) is in line with the NZ Specialty Retail industry average.

PE vs Market: NZA is good value based on its PE Ratio (13.3x) compared to the NZ market (17.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NZA is overvalued based on its PB Ratio (2.5x) compared to the NZ Specialty Retail industry average (2.1x).


Future Growth

How is NZ Automotive Investments forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


2.9%

Forecasted Retail 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 NZ Automotive Investments 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 NZ Automotive Investments performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-34.9%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: NZA has a high level of non-cash earnings.

Growing Profit Margin: NZA's current net profit margins (4.1%) are lower than last year (6.3%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if NZA's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: NZA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NZA had negative earnings growth (-34.9%) over the past year, making it difficult to compare to the Specialty Retail industry average (20%).


Return on Equity

High ROE: NZA's Return on Equity (18.6%) is considered low.


Financial Health

How is NZ Automotive Investments'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: NZA's short term assets (NZ$23.8M) exceed its short term liabilities (NZ$14.7M).

Long Term Liabilities: NZA's short term assets (NZ$23.8M) exceed its long term liabilities (NZ$4.6M).


Debt to Equity History and Analysis

Debt Level: NZA's net debt to equity ratio (16.8%) is considered satisfactory.

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

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

Interest Coverage: NZA's interest payments on its debt are well covered by EBIT (10.8x coverage).


Balance Sheet


Dividend

What is NZ Automotive Investments's current dividend yield, its reliability and sustainability?

Dividend Score

1/6

Dividend Score 1/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


4.38%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: NZA's dividend (4.38%) is higher than the bottom 25% of dividend payers in the NZ market (3.12%).

High Dividend: NZA's dividend (4.38%) is low compared to the top 25% of dividend payers in the NZ market (5.62%).


Stability and Growth of Payments

Stable Dividend: Too early to tell whether NZA's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if NZA's dividend payments are increasing as they only just started paying a dividend.


Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (147%), NZA's dividend payments are not well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: NZA is paying a dividend but the company has no free cash flows.


Next Steps

Management

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

1.4yrs

Average board tenure


CEO

David Page

1.42yrs

Tenure

Mr. David Page is Chief Executive Officer of NZ Automotive Investments Limited from December 2020.


Board Members

Experienced Board: NZA's board of directors are not considered experienced ( 1.4 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: 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 been diluted in the past year, with total shares outstanding growing by 9.3%.


Top Shareholders

Company Information

NZ Automotive Investments Limited's employee growth, exchange listings and data sources


Key Information

  • Name: NZ Automotive Investments Limited
  • Ticker: NZA
  • Exchange: NZSE
  • Founded: 2016
  • Industry: Automotive Retail
  • Sector: Retail
  • Implied Market Cap: NZ$36.345m
  • Shares outstanding: 49.79m
  • Website: https://www.nzautomotiveinvestments.co.nz

Number of Employees


Location

  • NZ Automotive Investments Limited
  • 17 Levene Place
  • Mt Wellington
  • Auckland
  • 1060
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/18 00:00
End of Day Share Price2022/05/18 00:00
Earnings2021/09/30
Annual Earnings2021/03/31


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.