Loading...

SLI Systems

NZSE:SLI
Snowflake Description

Flawless balance sheet with proven track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SLI
NZSE
NZ$40M
Market Cap
  1. Home
  2. NZ
  3. Software
Company description

SLI Systems Limited provides site search and navigation technologies to connect site visitors with products on e-commerce Websites in New Zealand, United States, Australia, the United Kingdom, Brazil, Japan, and internationally. The last earnings update was 100 days ago. More info.


Add to Portfolio Compare Print
  • SLI Systems has significant price volatility in the past 3 months.
SLI Share Price and Events
7 Day Returns
0%
NZSE:SLI
-0.1%
NZ Software
-0.4%
NZ Market
1 Year Returns
212.2%
NZSE:SLI
-11.2%
NZ Software
-1.8%
NZ Market
SLI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
SLI Systems (SLI) 0% 1.6% 106.5% 212.2% -13.5% -67.2%
NZ Software -0.1% -4.5% -15.7% -11.2% 53.1% 37.3%
NZ Market -0.4% -1.7% -5.1% -1.8% 20.7% 40.9%
1 Year Return vs Industry and Market
  • SLI outperformed the Software industry which returned -11.2% over the past year.
  • SLI outperformed the Market in New Zealand which returned -1.8% over the past year.
Price Volatility
SLI
Industry
5yr Volatility vs Market

SLI Value

 Is SLI Systems undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of SLI Systems to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for SLI Systems.

NZSE:SLI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.7%
Perpetual Growth Rate 10-Year NZ Government Bond Rate 5%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NZSE:SLI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year NZ Govt Bond Rate 5%
Equity Risk Premium S&P Global 5%
Software Unlevered Beta Simply Wall St/ S&P Global 0.94
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.94 (1 + (1- 28%) (0%))
0.94
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.94
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 5.04% + (0.94 * 4.96%)
9.7%

Discounted Cash Flow Calculation for NZSE:SLI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for SLI Systems is arrived at by discounting future cash flows to their present value using the 2 stage method. We use analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.

NZSE:SLI DCF 1st Stage: Next 5 year cash flow forecast
2019 2020 2021 2022 2023
Levered FCF (NZD, Millions) 2.00 2.00 1.00 1.11 1.23
Source Analyst x1 Analyst x1 Analyst x1 Est @ 10.96% Est @ 10.96%
Present Value
Discounted (@ 9.7%)
1.82 1.66 0.76 0.77 0.77
Present value of next 5 years cash flows NZ$5.78
NZSE:SLI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2023 × (1 + g) ÷ (Discount Rate – g)
= NZ$1.23 × (1 + 5.04%) ÷ (9.7% – 5.04%)
NZ$27.73
Present Value of Terminal Value = Terminal Value ÷ (1 + r)5
= NZ$27.73 ÷ (1 + 9.7%)5
NZ$17.45
NZSE:SLI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 5 years cash flows + Terminal Value
= NZ$5.78 + NZ$17.45
NZ$23.24
Equity Value per Share
(NZD)
= Total value / Shares Outstanding
= NZ$23.24 / 62.28
NZ$0.37
NZSE:SLI Discount to Share Price
Calculation Result
Value per share (NZD) From above. NZ$0.37
Current discount Discount to share price of NZ$0.64
= -1 x (NZ$0.64 - NZ$0.37) / NZ$0.37
-71.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of SLI Systems is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for SLI Systems's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are SLI Systems's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NZSE:SLI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-06-30) in NZD NZ$0.06
NZSE:SLI Share Price ** NZSE (2018-12-27) in NZD NZ$0.64
Oceania Software Industry PE Ratio Median Figure of 26 Publicly-Listed Software Companies 32.26x
New Zealand Market PE Ratio Median Figure of 90 Publicly-Listed Companies 15.89x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of SLI Systems.

NZSE:SLI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NZSE:SLI Share Price ÷ EPS (both in NZD)

= 0.64 ÷ 0.06

9.91x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • SLI Systems is good value based on earnings compared to the Oceania Software industry average.
  • SLI Systems is good value based on earnings compared to the New Zealand market.
Price based on expected Growth
Does SLI Systems's expected growth come at a high price?
Raw Data
NZSE:SLI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 9.91x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
-13.3%per year
Oceania Software Industry PEG Ratio Median Figure of 18 Publicly-Listed Software Companies 2.38x
New Zealand Market PEG Ratio Median Figure of 64 Publicly-Listed Companies 1.09x

*Line of best fit is calculated by linear regression .

NZSE:SLI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 9.91x ÷ -13.3%

-0.74x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • SLI Systems earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on SLI Systems's assets?
Raw Data
NZSE:SLI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-06-30) in NZD NZ$0.14
NZSE:SLI Share Price * NZSE (2018-12-27) in NZD NZ$0.64
New Zealand Software Industry PB Ratio Median Figure of 8 Publicly-Listed Software Companies 3.51x
New Zealand Market PB Ratio Median Figure of 125 Publicly-Listed Companies 1.48x
NZSE:SLI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NZSE:SLI Share Price ÷ Book Value per Share (both in NZD)

= 0.64 ÷ 0.14

4.49x

* Primary Listing of SLI Systems.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • SLI Systems is overvalued based on assets compared to the NZ Software industry average.
X
Value checks
We assess SLI Systems's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Software industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Software industry average (and greater than 0)? (1 check)
  5. SLI Systems has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

SLI Future Performance

 How is SLI Systems expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-13.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is SLI Systems expected to grow at an attractive rate?
  • SLI Systems's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 5%.
Growth vs Market Checks
  • SLI Systems's earnings are expected to decrease over the next 1-3 years, this is below the New Zealand market average.
  • SLI Systems's revenue growth is positive but not above the New Zealand market average.
Annual Growth Rates Comparison
Raw Data
NZSE:SLI Future Growth Rates Data Sources
Data Point Source Value (per year)
NZSE:SLI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts -13.3%
NZSE:SLI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 3%
New Zealand Software Industry Earnings Growth Rate Market Cap Weighted Average 40%
Oceania Software Industry Revenue Growth Rate Market Cap Weighted Average 17.5%
New Zealand Market Earnings Growth Rate Market Cap Weighted Average 7.4%
New Zealand Market Revenue Growth Rate Market Cap Weighted Average 5.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NZSE:SLI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in NZD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NZSE:SLI Future Estimates Data
Date (Data in NZD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-06-30 38 2 1
2021-06-30 37 2 2 1
2020-06-30 35 2 1 2
2019-06-30 34 2 2 2
NZSE:SLI Past Financials Data
Date (Data in NZD Millions) Revenue Cash Flow Net Income *
2018-06-30 34 4 4
2018-03-31 33 2 2
2017-12-31 33 1 1
2017-09-30 32 -0 -1
2017-06-30 32 -1 -2
2017-03-31 32 -0 -1
2016-12-31 33 0 -1
2016-09-30 34 1 -1
2016-06-30 35 1 -0
2016-03-31 34 -1 -2
2015-12-31 32 -2 -4
2015-09-30 30 -4 -6

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • SLI Systems's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • SLI Systems's revenue is expected to grow by 3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NZSE:SLI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (6 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from SLI Systems Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NZSE:SLI Future Estimates Data
Date (Data in NZD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-06-30 0.04 0.04 0.04 1.00
2021-06-30 0.03 0.03 0.03 1.00
2020-06-30 0.02 0.03 0.01 2.00
2019-06-30 0.03 0.03 0.03 2.00
NZSE:SLI Past Financials Data
Date (Data in NZD Millions) EPS *
2018-06-30 0.06
2018-03-31 0.04
2017-12-31 0.01
2017-09-30 -0.01
2017-06-30 -0.03
2017-03-31 -0.02
2016-12-31 -0.02
2016-09-30 -0.01
2016-06-30 -0.00
2016-03-31 -0.03
2015-12-31 -0.06
2015-09-30 -0.09

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • SLI Systems is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess SLI Systems's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the New Zealand market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Oceania market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
SLI Systems has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

SLI Past Performance

  How has SLI Systems performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare SLI Systems's growth in the last year to its industry (Software).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • SLI Systems has delivered over 20% year on year earnings growth in the past 5 years.
  • SLI Systems has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • SLI Systems has become profitable in the last year making it difficult to compare the Oceania Software industry average.
Earnings and Revenue History
SLI Systems's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from SLI Systems Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NZSE:SLI Past Revenue, Cash Flow and Net Income Data
Date (Data in NZD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-06-30 33.80 4.02 11.77
2018-03-31 33.21 2.29 12.15
2017-12-31 32.61 0.57 12.53
2017-09-30 32.08 -0.64 12.81
2017-06-30 31.55 -1.85 13.09
2017-03-31 32.33 -1.44 13.77
2016-12-31 33.12 -1.02 14.46
2016-09-30 34.06 -0.63 14.63
2016-06-30 35.01 -0.24 14.80
2016-03-31 33.58 -1.98 14.37
2015-12-31 32.15 -3.72 13.94
2015-09-30 30.14 -5.54 14.13
2015-06-30 28.13 -7.36 14.31
2015-03-31 26.49 -7.43 14.17
2014-12-31 24.86 -7.58 14.20
2014-09-30 23.49 -6.65 13.25
2014-06-30 22.12 -5.72 12.30
2013-12-31 20.02 -24.89 13.06
2013-09-30 19.51 -23.35 12.03
2013-06-30 19.00 -21.80 10.99
2013-03-31 18.38 -0.61 7.86
2012-12-31 17.80 0.79 6.67
2012-09-30 16.66 0.43 6.35
2012-06-30 15.52 0.08 6.03

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • SLI Systems made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%).
  • SLI Systems used its assets more efficiently than the Oceania Software industry average last year based on Return on Assets.
  • SLI Systems has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess SLI Systems's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Software industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
SLI Systems has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

SLI Health

 How is SLI Systems's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up SLI Systems's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • SLI Systems is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • SLI Systems's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of SLI Systems's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • SLI Systems has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from SLI Systems Company Filings, last reported 6 months ago.

NZSE:SLI Past Debt and Equity Data
Date (Data in NZD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-06-30 8.88 0.00 9.15
2018-03-31 8.88 0.00 9.15
2017-12-31 5.88 0.00 6.44
2017-09-30 5.88 0.00 6.44
2017-06-30 4.61 0.00 5.65
2017-03-31 4.61 0.00 5.65
2016-12-31 4.88 0.00 6.01
2016-09-30 4.88 0.00 6.01
2016-06-30 5.79 0.00 6.77
2016-03-31 5.79 0.00 6.77
2015-12-31 4.63 0.00 5.61
2015-09-30 4.63 0.00 5.61
2015-06-30 4.91 0.00 5.58
2015-03-31 5.39 0.00 5.58
2014-12-31 7.98 0.00 7.36
2014-09-30 7.98 0.00 7.36
2014-06-30 11.45 0.00 11.39
2013-12-31 14.47 0.00 13.62
2013-09-30 14.47 0.00 13.62
2013-06-30 15.76 0.00 15.38
2013-03-31 15.76 0.00 15.38
2012-12-31 3.92 0.00 2.75
2012-09-30 3.92 0.00 2.75
2012-06-30 2.03 0.00 2.44
  • SLI Systems has no debt.
  • SLI Systems has not taken on any debt in the past 5 years.
  • SLI Systems has no debt, it does not need to be covered by operating cash flow.
  • SLI Systems has no debt, therefore coverage of interest payments is not a concern.
X
Financial health checks
We assess SLI Systems's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. SLI Systems has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

SLI Dividends

 What is SLI Systems's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from SLI Systems dividends. Estimated to be 0% next year.
If you bought NZ$2,000 of SLI Systems shares you are expected to receive NZ$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate SLI Systems's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate SLI Systems's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NZSE:SLI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Oceania Software Industry Average Dividend Yield Market Cap Weighted Average of 16 Stocks 1.8%
New Zealand Market Average Dividend Yield Market Cap Weighted Average of 77 Stocks 4.3%
New Zealand Minimum Threshold Dividend Yield 10th Percentile 2%
New Zealand Bottom 25% Dividend Yield 25th Percentile 3.4%
New Zealand Top 25% Dividend Yield 75th Percentile 6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NZSE:SLI Future Dividends Estimate Data
Date (Data in NZ$) Dividend per Share (annual) Avg. No. Analysts
2022-06-30
2021-06-30
2020-06-30 0.00 1.00
2019-06-30 0.00 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as SLI Systems has not reported any payouts.
  • Unable to verify if SLI Systems's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of SLI Systems's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as SLI Systems has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of SLI Systems's dividends in 3 years as they are not expected to pay a notable one for New Zealand.
X
Income/ dividend checks
We assess SLI Systems's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can SLI Systems afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. SLI Systems has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

SLI Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Chris Brennan
COMPENSATION NZ$0
AGE 61
TENURE AS CEO 3.3 years
CEO Bio

Mr. Christopher D. Brennan, also known as Chris, has been Chief Executive Officer of SLI Systems Limited since October 09, 2015 and serves as its Managing Director. Mr. Brennan was the Founder of NetAuthority, Inc. and served as its Chairman and Chief Executive Officer. He was responsible for NetAuthority's strategic vision. Prior to NetAuthority, Inc., he served as the Chief Executive Officer and President at Contactual, Inc. He served as the President of Roamware, Inc. He worked at Telesoft Partners. He worked at Telesoft Venture Partners, Banter Systems, Inc., Tandem Computers, Inc. and Digital Equipment Corporation. From April 1999 to April 2000, he served as Chief Financial Officer of Genesys Telecommunications Laboratories, Inc. He was employed at Diamond Lane Communications Corporation. From April 1994 to July 1997, Mr. Brennan held various senior executive positions, including President, Chief Operating Officer and Chief Financial Officer of UB Networks. He served as the President and Chief Executive Officer of TIBCO LogLogic Inc (formerly LogLogic, Inc). From April 2000 to July 2001, he served as the President of Mobileum Inc. He serves as a Director of Cintech, LLC (formerly Cintech Solutions, Inc.) and NetAuthority, Inc. He has been Director of SLI Systems Limited since November 2, 2015. He served as a Director of Extensity, Inc. since January 2000. He served as a Director of Kibo Software, Inc from June 2014 to April 2016. He served as a Director and Member of the Advisory Board at TIBCO LogLogic Inc. From April 2000 to July of 2001, he served as a Director of Mobileum, Inc. He is a Member of the National Visiting Committee at the University of Louisville. Mr. Brennan holds a B.S. in Commerce from the University of Louisville, School of Business Administration.

CEO Compensation
  • Chris's compensation has been consistent with company performance over the past year.
  • Chris's remuneration is lower than average for companies of similar size in New Zealand.
Management Team Tenure

Average tenure of the SLI Systems management team in years:

1
Average Tenure
  • The average tenure for the SLI Systems management team is less than 2 years, this suggests a new team.
Management Team

Chris Brennan

TITLE
CEO, MD & Director
AGE
61
TENURE
3.3 yrs

Steven Marder

TITLE
Co-Founder & Non-Executive Director
COMPENSATION
NZ$40K
AGE
53

Shaun Ryan

TITLE
Co-Founder & Non-Executive Director
COMPENSATION
NZ$30K
TENURE
3.3 yrs

Wayne Munro

TITLE
Co-Founder & CTO

Michael Grantham

TITLE
Co-Founder & Chief Information Officer

Rod Garrett

TITLE
Chief Financial Officer

Cheri Winterberg

TITLE
Chief Marketing Officer
TENURE
0.8 yrs

Blair Cassidy

TITLE
Chief Product Officer

Carter Perez

TITLE
Chief Revenue Officer
TENURE
0.8 yrs

Matt Brovelli

TITLE
Vice President of Global Services
TENURE
1 yrs
Board of Directors Tenure

Average tenure of the SLI Systems board of directors in years:

5.1
Average Tenure
  • The tenure for the SLI Systems board of directors is about average.
Board of Directors

Greg Cross

TITLE
Independent Chairman
COMPENSATION
NZ$60K
TENURE
14 yrs

Chris Brennan

TITLE
CEO, MD & Director
AGE
61
TENURE
3.2 yrs

Steven Marder

TITLE
Co-Founder & Non-Executive Director
COMPENSATION
NZ$40K
AGE
53

Shaun Ryan

TITLE
Co-Founder & Non-Executive Director
COMPENSATION
NZ$30K
TENURE
1.3 yrs

Sarah Louise Smith

TITLE
Independent Director
COMPENSATION
NZ$40K
TENURE
5.9 yrs

Andy Lark

TITLE
Independent Director
COMPENSATION
NZ$40K
TENURE
5.1 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (NZ$) Value (NZ$)
X
Management checks
We assess SLI Systems's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. SLI Systems has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

SLI News

External News
Loading...
Simply Wall St News

What Should You Know About SLI Systems Limited's (NZSE:SLI) Return On Capital?

and want to better understand how you can grow your money by investing in SLI Systems Limited (NZSE:SLI). … Your return is tied to SLI’s ability to do this because the amount earned is used to invest in opportunities to grow the business or payout dividends, which are the two sources of return on investment. … Thus, to understand how your money can grow by investing in SLI Systems, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE)

Simply Wall St -

Who Are The Major Shareholders Of SLI Systems Limited (NZSE:SLI)?

In this article, I will take a quick look at SLI Systems Limited’s (NZSE:SLI) recent ownership structure – an unconventional investing subject, but an important one. … The impact of a company's ownership structure affects both its short- and long-term performance. … The implications of these institutions’ actions can either benefit or hinder individual investors, so it is important to understand the ownership composition of your stock investment.

Simply Wall St -

Does SLI Systems Limited's (NZSE:SLI) June Stock Price Reflect Its Future Growth?

SLI Systems Limited (NZSE:SLI) closed yesterday at NZ$0.305, which left some investors asking whether the high earnings potential can still be justified at this price. … See our latest analysis for SLI Systems? … Analysts are predicting good growth prospects for SLI Systems over the next couple of years

Simply Wall St -

Is It Too Late To Buy SLI Systems Limited (NZE:SLI) At Its June Price?

Looking at SLI Systems Limited’s (NZSE:SLI) fundamentals some investors are wondering if its last closing price of NZ$0.31 represents a good value for money for this high growth stock. … But, to be able to properly assess the value of a high-growth stock such as SLI Systems, we must incorporate its earnings growth in our valuation. … A PE ratio of 34.66x and expected year-on-year earnings growth of 10.40% give SLI Systems a quite high PEG ratio of 3.33x.

Simply Wall St -

Interested In Tech? Why SLI Systems Limited (NZE:SLI) May Be The Entry Point

Tech analysts are forecasting for the entire software tech industry, a positive double-digit growth of 17.60% in the upcoming year , and a massive growth of 93.13% over the next couple of years. … Below, I will examine the sector growth prospects, and also determine whether SLI Systems is a laggard or leader relative to its tech sector peers. … NZSE:SLI PE PEG Gauge May 21st 18 The software tech industry is trading at a PE ratio of 31.41x, higher than the rest of the NZ stock market PE of 14.68x.

Simply Wall St -

Does SLI Systems Limited's (NZE:SLI) CEO Salary Reflect Performance?

In this exercise, I will use profits as a proxy for Brennan's performance. … NZSE:SLI Past Future Earnings May 8th 18 Is SLI's CEO overpaid relative to the market? … Accounting for the size of SLI in terms of market cap, as well as its performance, using earnings as a proxy, it seems that Brennan is paid more than the average NZ small-cap CEO.

Simply Wall St -

Who Are The Major Shareholders Of SLI Systems Limited (NZE:SLI)?

With this size of ownership, retail investors can collectively play a role in major company policies that affect shareholders returns, including executive remuneration and the appointment of directors. … Private Company Ownership Potential investors in SLI should also look at another important group of investors: private companies, with a stake of 9.14%, who are primarily invested because of strategic and capital gain interests. … Thus, potential investors should look into these business relations and check how it can impact long-term shareholder returns.Next Steps: The company's high institutional ownership makes margin of safety a very important consideration to existing investors since long bull and bear trends often emerge when these big-ticket investors see a change in long-term potential of the company.

Simply Wall St -

How Does Investing In SLI Systems Limited (NZE:SLI) Impact Your Portfolio?

A widely-used metric to measure a stock's market risk is beta, and the broad market index represents a beta value of one. … An asset-heavy company tends to have a higher beta because the risk associated with running fixed assets during a downturn is highly expensive. … As a result, the company may be less volatile relative to broad market movements, compared to a company of similar size but higher proportion of fixed assets.

Simply Wall St -

Does SLI Systems Limited's (NZE:SLI) PE Ratio Signal A Selling Opportunity?

Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for SLI Price per share = NZ$0.31 Earnings per share = NZ$0.009 ∴ Price-Earnings Ratio = NZ$0.31 ÷ NZ$0.009 = 34.7x On its own, the P/E ratio doesn’t tell you much; however, it becomes extremely useful when you compare it with other similar companies. … For example, if you accidentally compared lower growth firms with SLI, then SLI’s P/E would naturally be higher since investors would reward SLI’s higher growth with a higher price. … Alternatively, if you inadvertently compared riskier firms with SLI, SLI’s P/E would again be higher since investors would reward SLI’s lower risk with a higher price as well.

Simply Wall St -

Did SLI Systems Limited (NZE:SLI) Create Value For Investors Over The Past Year?

View our latest analysis for SLI Systems Breaking down ROE — the mother of all ratios Firstly, Return on Equity, or ROE, is simply the percentage of last years’ earning against the book value of shareholders’ equity. … Return on Equity = Net Profit ÷ Shareholders Equity ROE is assessed against cost of equity, which is measured using the Capital Asset Pricing Model (CAPM) – but let’s not dive into the details of that today. … This is called the Dupont Formula: Dupont Formula ROE = profit margin × asset turnover × financial leverage ROE = (annual net profit ÷ sales) × (sales ÷ assets) × (assets ÷ shareholders’ equity) ROE = annual net profit ÷ shareholders’ equity NZSE:SLI Last Perf Apr 4th 18 Basically, profit margin measures how much of revenue trickles down into earnings which illustrates how efficient the business is with its cost management.

Simply Wall St -

SLI Company Info

Map
Description

SLI Systems Limited provides site search and navigation technologies to connect site visitors with products on e-commerce Websites in New Zealand, United States, Australia, the United Kingdom, Brazil, Japan, and internationally. The company offers SLI E-commerce Product Discovery Suite, which provides analytics, metrics, and merchandising tools that deliver insights and actionable information to online retailers to enhance conversion rates and average order value; Learning Search, a predictive e-commerce site search; SLI Enhanced Search Personalization personalizes the shopping experience for first-time visitors and existing customers in real time; Rich Autocomplete helps in engaging customers with the relevant product names, categories and images, and others; and SLI Learning Navigation, a solution that builds a user-centered design and browsing experience based on visitor behavior to guide shoppers. It also provides SLI Learning Recommendations system creates the shopping experience by connecting customers with e-commerce product recommendations they love; SLI Mobile, a software that provides a streamlined user experience that makes shopping intuitive from various devices; and SLI automated and manual merchandising tools, which offers online retailers with the automated and manual tools to enhance conversion rates and raise average order values. In addition, the company offers Site Champion that enhances site traffic to shoppers find the products in search engines; SLI Solutions for Magento; and e-commerce infrastructure, compliance, uptime, e-commerce platform plugins, implementation, API implementation, and other e-commerce support services. SLI Systems Limited serves various sectors, including B2B e-commerce, apparel, automotive, beauty, food and beverage, furniture, home and garden, jewelry, content sites, party supplies, pet supply, sports and equipment, wholesale, and pharmacy. The company was incorporated in 2013 and is based in Christchurch, New Zealand.

Details
Name: SLI Systems Limited
SLI
Exchange: NZSE
Founded: 2013
NZ$39,859,722
62,280,816
Website: http://www.sli-systems.com
Address: SLI Systems Limited
Epic Centre,
1st Floor,
Christchurch,
8011,
New Zealand
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NZSE SLI Ordinary Shares New Zealand Stock Exchange NZ NZD 31. May 2013
Number of employees
Current staff
Staff numbers
0
SLI Systems employees.
Industry
Application Software
Software
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/01/04 10:35
End of day share price update: 2018/12/27 00:00
Last estimates confirmation: 2018/10/24
Last earnings filing: 2018/09/26
Last earnings reported: 2018/06/30
Last annual earnings reported: 2018/06/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.