NZSE:GTK

Stock Analysis Report

Gentrack Group Limited

Executive Summary

Gentrack Group Limited engages in the development, integration, and support of enterprise billing and customer management software solutions for the energy and water utility, and airport industries in Australia, New Zealand, the United Kingdom, and internationally.

Snowflake

Share Price & News

How has Gentrack Group Limited's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-0.2%

GTK

0%

0%

Market


1 Year Return

-23.2%

GTK

0%

0%

Market

Return vs Industry: Insufficient data to determine how GTK performed against the NZ industry.

Return vs Market: GTK underperformed the NZ Market which returned 19.1% over the past year.


Shareholder returns

GTKIndustryMarket
7 Day-0.2%0%0%
30 Day-9.9%0%0%
90 Day-11.2%0%0%
1 Year-20.7%-23.2%0%0%0%0%
3 Year73.8%55.9%0%0%0%0%
5 Year208.8%152.4%0%0%0%0%

Price Volatility Vs. Market

How volatile is Gentrack Group Limited's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Gentrack Group Limited undervalued compared to its fair value and its price relative to the market?

10.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GTK (NZ$5.3) is trading below our estimate of fair value (NZ$5.92)

Significantly Below Fair Value: GTK is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: Insufficient data to calculate GTK's PE Ratio to determine if it is good value compared to the industry average.

PE vs Market: GTK is unprofitable, so we can't compare its PE Ratio to the NZ market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

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


Next Steps

Future Growth

How is Gentrack Group Limited forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

61.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GTK is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.4%).

Earnings vs Market: GTK is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: GTK's loss is forecast to worsen by 0% next year.

Revenue vs Market: GTK's revenue (11.8% per year) is forecast to grow faster than the NZ market (4.2% per year).

High Growth Revenue: GTK's revenue (11.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GTK's Return on Equity is forecast to be low in 3 years time (10%).


Next Steps

Past Performance

How has Gentrack Group Limited performed over the past 5 years?

9.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GTK is unprofitable, but has reduced losses over the past 5 years at a rate of 9.8% per year.

Accelerating Growth: Unable to compare GTK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GTK is unprofitable, making it difficult to compare its past year earnings growth to the industry (0%).


Return on Equity

High ROE: GTK has a negative Return on Equity (-1.64%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: GTK is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: GTK is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Gentrack Group Limited's financial position?


Financial Position Analysis

Short Term Liabilities: GTK's short term assets (NZ$39.0M) exceeds its short term liabilities (NZ$31.5M)

Long Term Liabilities: GTK's short term assets (39.0M) exceeds its long term liabilities (16.2M)


Debt to Equity History and Analysis

Debt Level: GTK's debt to equity ratio (2.1%) is considered satisfactory

Reducing Debt: GTK's debt to equity ratio has reduced from 111% to 2.1% over the past 5 years.

Debt Coverage: GTK's debt is well covered by operating cash flow (424.7%).

Interest Coverage: GTK is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet

Inventory Level: GTK has a low level of unsold assets or inventory.

Debt Coverage by Assets: GTK's debt is covered by short term assets (assets are 9.752000x debt).


Next Steps

Dividend

What is current dividend yield, its reliability and sustainability?

2.58%

Current Dividend Yield


Dividend Yield vs Market

company2.6%marketbottom25%0%markettop25%0%industryaverage0%forecastin3Years2.9%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: GTK's dividend (2.58%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (3%).

High Dividend: GTK's dividend (2.58%) is low compared to the top 25% of dividend payers in the NZ market (5.56%).

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

Growing Dividend: GTK's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: GTK is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: GTK's dividends in 3 years are forecast to be covered by earnings (79.9% payout ratio).


Next Steps

Management

What is the CEO of salary, the management and board of directors tenure and is there insider trading?

3.8yrs

Average management tenure


CEO

Ian Black 0

3.8yrs

Tenure

0

Mr. Ian Black has been the Chief Executive Officer at Gentrack Group Limited, the holding company of Gentrack Limited since January 18, 2016. Mr. Black is a 30-year old veteran of the technology industry.  ...


Management Age and Tenure

3.8yrs

Average Tenure

Experienced Management: GTK's management team is considered experienced (3.8 years average tenure).


Board Age and Tenure

6.5yrs

Average Tenure

Experienced Board: GTK's board of directors are considered experienced (6.5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyNZ$39,93504 Jul 19
Harbour Asset Management Limited
EntityCompany
Shares6,620
Max PriceNZ$6.03
SellNZ$6,812,12104 Jul 19
Harbour Asset Management Limited
EntityCompany
Shares1,084,284
Max PriceNZ$6.28
SellNZ$269,78402 Dec 18
Mawer Investment Management Limited
EntityCompany
Shares45,000
Max PriceNZ$6.00

Ownership Breakdown


Management Team

  • Saul Nurtman

    Managing Director of UK & Europe

    • Tenure: 0yrs
  • Aaron Baker

    General Manager of Smart World Solutions and Marketing Manager

    • Tenure: 14.3yrs
  • Jon Kershaw

    GM of Commercial & Legal and Company Secretary

    • Tenure: 0yrs
  • Tim Bluett

    Chief Financial Officer

    • Tenure: 1.5yrs
  • Glenn Sutherland

    Vice President of Asia

    • Tenure: 0yrs
  • Jan Behrens

    Chief Technology Officer

    • Tenure: 3.1yrs
  • Ian Black

    Chief Executive Officer

    • Tenure: 3.8yrs
  • Melina Lemalie

    Human Resources Manager

    • Tenure: 3.8yrs

Board Members

  • Nick Luckock

    Non-Executive Director

    • Tenure: 1.7yrs
    • Compensation: NZ$36.17k
  • John Clifford

    Non-Executive Chairman

    • Tenure: 12.4yrs
    • Compensation: NZ$103.00k
  • James Docking

    Non-Executive Director

    • Tenure: 7.4yrs
    • Compensation: NZ$62.00k
  • Leigh Warren

    Independent Non-Executive Director

    • Tenure: 7.4yrs
    • Compensation: NZ$62.00k
  • Fiona Oliver

    Non-Executive Director

    • Tenure: 0.7yrs
  • Andy Coupe

    Independent Non-Executive Director

    • Tenure: 5.5yrs
    • Compensation: NZ$62.00k

Company Information

Gentrack Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Gentrack Group Limited
  • Ticker: GTK
  • Exchange: NZSE
  • Founded: 1989
  • Industry:
  • Sector:
  • Market Cap: NZ$522.818m
  • Shares outstanding: 98.64m
  • Website: https://www.gentrack.com

Number of Employees


Location

  • Gentrack Group Limited

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GTKNZSE (New Zealand Stock Exchange)YesOrdinary SharesNZNZDJun 2014
GTKASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2014
GTKCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2014
GTKCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2014

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 10:39
End of Day Share Price2019/10/18 00:00
Earnings2019/03/31
Annual Earnings2018/09/30


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.