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TRA

Turners Automotive Group NZSE:TRA Stock Report

Last Price

NZ$3.63

Market Cap

NZ$312.4m

7D

0.8%

1Y

-19.5%

Updated

29 Jun, 2022

Data

Company Financials +
TRA fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health2/6
Dividends3/6

TRA Stock Overview

Turners Automotive Group Limited engages in the automotive retail business in New Zealand.

Turners Automotive Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Turners Automotive Group
Historical stock prices
Current Share PriceNZ$3.63
52 Week HighNZ$4.61
52 Week LowNZ$3.46
Beta1.03
1 Month Change-4.47%
3 Month Change-11.68%
1 Year Change-19.51%
3 Year Change55.13%
5 Year Change1.68%
Change since IPO21.00%

Recent News & Updates

Jun 09
Turners Automotive Group (NZSE:TRA) Has Announced That It Will Be Increasing Its Dividend To NZ$0.082

Turners Automotive Group (NZSE:TRA) Has Announced That It Will Be Increasing Its Dividend To NZ$0.082

Turners Automotive Group Limited ( NZSE:TRA ) will increase its dividend on the 28th of July to NZ$0.082. This will...

Shareholder Returns

TRANZ Specialty RetailNZ Market
7D0.8%2.8%2.9%
1Y-19.5%-17.6%-16.5%

Return vs Industry: TRA underperformed the NZ Specialty Retail industry which returned -17.6% over the past year.

Return vs Market: TRA underperformed the NZ Market which returned -16.5% over the past year.

Price Volatility

Is TRA's price volatile compared to industry and market?
TRA volatility
TRA Average Weekly Movement2.9%
Specialty Retail Industry Average Movement4.4%
Market Average Movement4.4%
10% most volatile stocks in NZ Market8.8%
10% least volatile stocks in NZ Market3.0%

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

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

About the Company

FoundedEmployeesCEOWebsite
1984700Todd Hunterhttps://www.turnersautogroup.co.nz

Turners Automotive Group Limited engages in the automotive retail business in New Zealand. It operates through: Automotive Retail, Finance, Credit Management, and Insurance segments. The Automotive retail segment engages in the purchasing and selling of vehicles.

Turners Automotive Group Fundamentals Summary

How do Turners Automotive Group's earnings and revenue compare to its market cap?
TRA fundamental statistics
Market CapNZ$312.43m
Earnings (TTM)NZ$31.28m
Revenue (TTM)NZ$342.58m

10.0x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TRA income statement (TTM)
RevenueNZ$342.58m
Cost of RevenueNZ$167.22m
Gross ProfitNZ$129.62m
Other ExpensesNZ$98.33m
EarningsNZ$31.28m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.36
Gross Margin37.84%
Net Profit Margin9.13%
Debt/Equity Ratio163.5%

How did TRA perform over the long term?

See historical performance and comparison

Dividends

6.6%

Current Dividend Yield

66%

Payout Ratio

Does TRA pay a reliable dividends?

See TRA dividend history and benchmarks
When do you need to buy TRA by to receive an upcoming dividend?
Turners Automotive Group dividend dates
Ex Dividend DateJul 18 2022
Dividend Pay DateJul 28 2022
Days until Ex dividend18 days
Days until Dividend pay date28 days

Does TRA pay a reliable dividends?

See TRA dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TRA?

Other financial metrics that can be useful for relative valuation.

TRA 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/Revenue2x
Enterprise Value/EBITDA11.5x
PEG Ratio1.8x

Price to Earnings Ratio vs Peers

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

TRA PE Ratio vs Peers
The above table shows the PE ratio for TRA vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average14.4x
CMO Colonial Motor
10.3xn/aNZ$310.9m
NZA NZ Automotive Investments
12.1xn/aNZ$31.4m
HLG Hallenstein Glasson Holdings
12.8xn/aNZ$325.8m
KMD KMD Brands
22.3x34.9%NZ$787.0m
TRA Turners Automotive Group
10x5.6%NZ$312.4m

Price-To-Earnings vs Peers: TRA is good value based on its Price-To-Earnings Ratio (10x) compared to the peer average (14.4x).


Price to Earnings Ratio vs Industry

How does TRA's PE Ratio compare vs other companies in the Oceanian Specialty Retail Industry?

Price-To-Earnings vs Industry: TRA is good value based on its Price-To-Earnings Ratio (10x) compared to the NZ Specialty Retail industry average (12.9x)


Price to Earnings Ratio vs Fair Ratio

What is TRA'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.

TRA PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10x
Fair PE Ratio9.7x

Price-To-Earnings vs Fair Ratio: TRA is expensive based on its Price-To-Earnings Ratio (10x) compared to the estimated Fair Price-To-Earnings Ratio (9.7x).


Share Price vs Fair Value

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

Below Fair Value: TRA (NZ$3.63) is trading below our estimate of fair value (NZ$5.14)

Significantly Below Fair Value: TRA is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: TRA is poor value based on its PEG Ratio (1.8x)


Discover undervalued companies

Future Growth

How is Turners Automotive Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


5.6%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TRA's forecast earnings growth (5.6% per year) is above the savings rate (2%).

Earnings vs Market: TRA's earnings (5.6% per year) are forecast to grow slower than the NZ market (6.7% per year).

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

Revenue vs Market: TRA's revenue (5.3% per year) is forecast to grow slower than the NZ market (6.6% per year).

High Growth Revenue: TRA's revenue (5.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TRA's Return on Equity is forecast to be low in 3 years time (13.1%).


Discover growth companies

Past Performance

How has Turners Automotive Group performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


8.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TRA has high quality earnings.

Growing Profit Margin: TRA's current net profit margins (9.1%) are higher than last year (9.1%).


Past Earnings Growth Analysis

Earnings Trend: TRA's earnings have grown by 8.6% per year over the past 5 years.

Accelerating Growth: TRA's earnings growth over the past year (16.4%) exceeds its 5-year average (8.6% per year).

Earnings vs Industry: TRA earnings growth over the past year (16.4%) exceeded the Specialty Retail industry 13.7%.


Return on Equity

High ROE: TRA's Return on Equity (12.4%) is considered low.


Discover strong past performing companies

Financial Health

How is Turners Automotive Group's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TRA's short term assets (NZ$561.0M) exceed its short term liabilities (NZ$4.0M).

Long Term Liabilities: TRA's short term assets (NZ$561.0M) do not cover its long term liabilities (NZ$569.3M).


Debt to Equity History and Analysis

Debt Level: TRA's net debt to equity ratio (130.3%) is considered high.

Reducing Debt: TRA's debt to equity ratio has increased from 154.8% to 163.5% over the past 5 years.

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

Interest Coverage: TRA's interest payments on its debt are well covered by EBIT (10.4x coverage).


Balance Sheet


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Dividend

What is Turners Automotive Group current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


6.61%

Current Dividend Yield

Upcoming Dividend Payment

TodayJun 30 2022Ex Dividend DateJul 18 2022Dividend Pay DateJul 28 202210 days from Ex DividendBuy in the next 18 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TRA's dividend (6.61%) is higher than the bottom 25% of dividend payers in the NZ market (3.01%).

High Dividend: TRA's dividend (6.61%) is in the top 25% of dividend payers in the NZ market (6.11%)


Stability and Growth of Payments

Stable Dividend: TRA has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: TRA's dividend payments have increased, but the company has only paid a dividend for 8 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (66%), TRA's dividend payments are covered by earnings.


Cash Payout to Shareholders

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


Discover strong dividend paying companies

Management

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

5.4yrs

Average management tenure


CEO

Todd Hunter

6yrs

Tenure

Mr. Todd William Hunter serves as Group Chief Executive Officer at Turners Automotive Group Limited. He serves as Non-Executive Director of Carly Holdings Limited (formerly known as Collaborate Corporation...


Leadership Team

Experienced Management: TRA's management team is seasoned and experienced (5.4 years average tenure).


Board Members

Experienced Board: TRA'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: 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Turners Automotive Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Turners Automotive Group Limited
  • Ticker: TRA
  • Exchange: NZSE
  • Founded: 1984
  • Industry: Automotive Retail
  • Sector: Retail
  • Implied Market Cap: NZ$312.431m
  • Shares outstanding: 86.07m
  • Website: https://www.turnersautogroup.co.nz

Number of Employees


Location

  • Turners Automotive Group Limited
  • 70 Shortland Street
  • Level 5
  • Auckland
  • 1140
  • New Zealand

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/29 00:00
End of Day Share Price2022/06/29 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.