NZSE:VGL

Stock Analysis Report

Vista Group International

Executive Summary

Vista Group International Limited engages in the development, sale, and support of software solutions to the film industry worldwide.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: VGL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

1.8%

VGL

-0.8%

NZ Software

-0.1%

NZ Market


1 Year Return

4.0%

VGL

4.8%

NZ Software

16.3%

NZ Market

Return vs Industry: VGL matched the NZ Software industry which returned 4.8% over the past year.

Return vs Market: VGL underperformed the NZ Market which returned 16.3% over the past year.


Shareholder returns

VGLIndustryMarket
7 Day1.8%-0.8%-0.1%
30 Day3.4%4.9%-2.4%
90 Day-28.8%-11.8%1.7%
1 Year4.8%4.0%6.4%4.8%21.3%16.3%
3 Year33.8%29.8%87.9%77.8%55.7%35.2%
5 Year114.4%108.0%143.9%127.3%94.0%50.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Vista Group International undervalued compared to its fair value and its price relative to the market?

63.09x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: VGL (NZ$3.9) is trading above our estimate of fair value (NZ$1.94)

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


Price To Earnings Ratio

PE vs Industry: VGL is poor value based on its PE Ratio (63.1x) compared to the Software industry average (40.8x).

PE vs Market: VGL is poor value based on its PE Ratio (63.1x) compared to the NZ market (18.7x).


Price to Earnings Growth Ratio

PEG Ratio: VGL is poor value based on its PEG Ratio (3.8x)


Price to Book Ratio

PB vs Industry: VGL is overvalued based on its PB Ratio (5.3x) compared to the NZ Software industry average (3.7x).


Next Steps

Future Growth

How is Vista Group International forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

16.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VGL's forecast earnings growth (16.8% per year) is above the savings rate (2.4%).

Earnings vs Market: VGL's earnings (16.8% per year) are forecast to grow faster than the NZ market (8.4% per year).

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

Revenue vs Market: VGL's revenue (11.4% per year) is forecast to grow faster than the NZ market (4.5% per year).

High Growth Revenue: VGL's revenue (11.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: VGL's Return on Equity is forecast to be low in 3 years time (10.7%).


Next Steps

Past Performance

How has Vista Group International performed over the past 5 years?

12.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VGL has high quality earnings.

Growing Profit Margin: VGL's current net profit margins (8%) are lower than last year (9.5%).


Past Earnings Growth Analysis

Earnings Trend: VGL's earnings have grown by 12.2% per year over the past 5 years.

Accelerating Growth: VGL's earnings growth over the past year (0.1%) is below its 5-year average (12.2% per year).

Earnings vs Industry: VGL earnings growth over the past year (0.1%) underperformed the Software industry 21.4%.


Return on Equity

High ROE: VGL's Return on Equity (7.1%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Vista Group International's financial position?


Financial Position Analysis

Short Term Liabilities: VGL's short term assets (NZ$84.7M) exceeds its short term liabilities (NZ$41.4M)

Long Term Liabilities: VGL's short term assets (84.7M) exceeds its long term liabilities (18.8M)


Debt to Equity History and Analysis

Debt Level: VGL's debt to equity ratio (7.5%) is considered satisfactory

Reducing Debt: VGL's debt to equity ratio has reduced from 24.9% to 7.5% over the past 5 years.

Debt Coverage: VGL's debt is well covered by operating cash flow (189.4%).

Interest Coverage: VGL's interest payments on its debt are well covered by EBIT (30.8x coverage).


Balance Sheet

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

Debt Coverage by Assets: VGL's debt is covered by short term assets (assets are 7.1x debt).


Next Steps

Dividend

What is Vista Group International's current dividend yield, its reliability and sustainability?

0.95%

Current Dividend Yield


Dividend Yield vs Market

company0.9%marketbottom25%3.1%markettop25%5.7%industryaverage1.2%forecastin3Years1.4%

Current dividend yield vs market & industry

Notable Dividend: VGL's dividend (0.95%) isn’t notable compared to the bottom 25% of dividend payers in the NZ market (3.12%).

High Dividend: VGL's dividend (0.95%) is low compared to the top 25% of dividend payers in the NZ market (5.65%).


Stability and Growth of Payments

Stable Dividend: VGL is not paying a notable dividend for the NZ market, therefore no need to check if payments are stable.

Growing Dividend: VGL is not paying a notable dividend for the NZ market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: VGL is not paying a notable dividend for the NZ market.


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Vista Group International's salary, the management and board of directors tenure and is there insider trading?

1.9yrs

Average management tenure


CEO

Kimbal Riley 0

1.6yrs

Tenure

0

Mr. Kimbal Harrison Riley serves as Group Chief Executive Officer of Vista Group International Ltd. since April 3, 2018. He was the Chief Executive Officer of Vista Entertainment Solutions Limited from Jul ...


Management Age and Tenure

1.9yrs

Average Tenure

Experienced Management: VGL's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Age and Tenure

5.4yrs

Average Tenure

Experienced Board: VGL's board of directors are considered experienced (5.4 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.1%.


Management Team

  • Kirk Senior

    Executive Chairman

    • Tenure: 0yrs
  • Kimbal Riley

    Group Chief Executive Officer

    • Tenure: 1.6yrs
  • Matt Cawte

    Chief Financial Officer

    • Tenure: 0.3yrs
  • Brian Cadzow

    Director of Commercial & Legal and Executive Director

    • Tenure: 16.3yrs
  • Derek Forbes

    Chief Operating Officer

    • Tenure: 3.4yrs
  • Murray Holdaway

    Founder

    • Tenure: 16.3yrs
  • will Palmer

    Co-Founder & Chief Executive of Movio Inc

    • Tenure: 0yrs
  • STE Thompson

    Founder

    • Tenure: 3.3yrs
  • Evan Bateup

    Chief People Officer

    • Tenure: 2.3yrs
  • Kelvin Preston

    General Counsel & Company Secretary

    • Tenure: 0.8yrs

Board Members

  • Kirk Senior

    Executive Chairman

    • Tenure: 0yrs
  • James Ogden (67yo)

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: NZ$80.00k
  • Cris Nicolli (65yo)

    Non-Executive Independent Director

    • Tenure: 2.8yrs
    • Compensation: NZ$73.33k
  • Brian Cadzow

    Director of Commercial & Legal and Executive Director

    • Tenure: 16.3yrs
  • Murray Holdaway

    Founder

    • Tenure: 16.3yrs
  • Susan Peterson

    Independent Director

    • Tenure: 5.4yrs
    • Compensation: NZ$80.00k

Company Information

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


Key Information

  • Name: Vista Group International Limited
  • Ticker: VGL
  • Exchange: NZSE
  • Founded: 1996
  • Industry: Application Software
  • Sector: Software
  • Market Cap: NZ$648.951m
  • Shares outstanding: 166.40m
  • Website: https://www.vistagroup.co.nz

Number of Employees


Location

  • Vista Group International Limited
  • 60 Khyber Pass Road
  • Level 3
  • Auckland
  • 1023
  • New Zealand

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VGLNZSE (New Zealand Stock Exchange)YesOrdinary SharesNZNZDAug 2014
VGLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDAug 2014
VGLCHIA (Chi-X Australia)YesOrdinary SharesAUAUDAug 2014

Biography

Vista Group International Limited engages in the development, sale, and support of software solutions to the film industry worldwide. The company operates through four segments: Cinema, Movio, Additional G ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/17 10:40
End of Day Share Price2019/11/15 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.