Chorus Limited provides fixed line communications infrastructure services in New Zealand.
Price History & Performance
|Historical stock prices|
|Current Share Price||NZ$6.23|
|52 Week High||NZ$6.03|
|52 Week Low||NZ$9.08|
|1 Month Change||-4.74%|
|3 Month Change||0.48%|
|1 Year Change||-25.21%|
|3 Year Change||33.98%|
|5 Year Change||70.69%|
|Change since IPO||94.08%|
Recent News & Updates
The Returns On Capital At Chorus (NZSE:CNU) Don't Inspire Confidence
Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...
Here's Why Chorus (NZSE:CNU) Is Weighed Down By Its Debt Load
Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...
Chorus (NZSE:CNU) Has Announced That It Will Be Increasing Its Dividend To NZ$0.17
Chorus Limited ( NZSE:CNU ) has announced that it will be increasing its dividend on the 12th of October to NZ$0.17...
|CNU||NZ Telecom||NZ Market|
Return vs Industry: CNU underperformed the NZ Telecom industry which returned 25.9% over the past year.
Return vs Market: CNU underperformed the NZ Market which returned 2.1% over the past year.
Stable Share Price: CNU is not significantly more volatile than the rest of NZ stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: CNU's weekly volatility (4%) has been stable over the past year.
About the Company
Chorus Limited provides fixed line communications infrastructure services in New Zealand. It offers phone and broadband services over copper and fiber networks for residential and business customers; and very high-speed digital subscriber line broadband services. The company also provides colocation services.
Chorus Fundamentals Summary
|CNU fundamental statistics|
Is CNU overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|CNU income statement (TTM)|
|Cost of Revenue||NZ$296.00m|
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
|Earnings per share (EPS)||0.10|
|Net Profit Margin||4.96%|
How did CNU perform over the long term?See historical performance and comparison
4.0%Current Dividend Yield
Is Chorus undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: CNU (NZ$6.23) is trading below our estimate of fair value (NZ$15.57)
Significantly Below Fair Value: CNU is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: CNU is poor value based on its PE Ratio (59.8x) compared to the Oceanic Telecom industry average (56.2x).
PE vs Market: CNU is poor value based on its PE Ratio (59.8x) compared to the NZ market (22.2x).
Price to Earnings Growth Ratio
PEG Ratio: CNU is poor value based on its PEG Ratio (3.8x)
Price to Book Ratio
PB vs Industry: CNU is good value based on its PB Ratio (3x) compared to the XO Telecom industry average (3.4x).
How is Chorus forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CNU's forecast earnings growth (15.9% per year) is above the savings rate (2.1%).
Earnings vs Market: CNU's earnings (15.9% per year) are forecast to grow faster than the NZ market (9.2% per year).
High Growth Earnings: CNU's earnings are forecast to grow, but not significantly.
Revenue vs Market: CNU's revenue (1.4% per year) is forecast to grow slower than the NZ market (5.3% per year).
High Growth Revenue: CNU's revenue (1.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CNU's Return on Equity is forecast to be low in 3 years time (8.2%).
How has Chorus performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CNU has high quality earnings.
Growing Profit Margin: CNU's current net profit margins (5%) are lower than last year (5.4%).
Past Earnings Growth Analysis
Earnings Trend: CNU's earnings have declined by 21.2% per year over the past 5 years.
Accelerating Growth: CNU's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: CNU had negative earnings growth (-9.6%) over the past year, making it difficult to compare to the Telecom industry average (-7.4%).
Return on Equity
High ROE: CNU's Return on Equity (5%) is considered low.
How is Chorus's financial position?
Financial Position Analysis
Short Term Liabilities: CNU's short term assets (NZ$202.0M) do not cover its short term liabilities (NZ$461.0M).
Long Term Liabilities: CNU's short term assets (NZ$202.0M) do not cover its long term liabilities (NZ$4.5B).
Debt to Equity History and Analysis
Debt Level: CNU's debt to equity ratio (319%) is considered high.
Reducing Debt: CNU's debt to equity ratio has increased from 218.4% to 319% over the past 5 years.
Debt Coverage: CNU's debt is not well covered by operating cash flow (18.4%).
Interest Coverage: CNU's interest payments on its debt are not well covered by EBIT (1.4x coverage).
What is Chorus's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: CNU's dividend (4.01%) is higher than the bottom 25% of dividend payers in the NZ market (2.41%).
High Dividend: CNU's dividend (4.01%) is low compared to the top 25% of dividend payers in the NZ market (4.9%).
Stability and Growth of Payments
Stable Dividend: CNU has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: CNU's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (237.2%), CNU's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CNU's dividends in 3 years are not forecast to be well covered by earnings (340.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Jean-Baptiste B. Rousselot, also known as JB, has been Chief Executive Officer of Chorus Limited since November 20, 2019. Mr. Rousselot, had been a Director of Chorus Limited since November 20, 2019 u...
CEO Compensation Analysis
Compensation vs Market: JB's total compensation ($USD1.45M) is about average for companies of similar size in the NZ market ($USD1.44M).
Compensation vs Earnings: JB's compensation has been consistent with company performance over the past year.
Experienced Management: CNU's management team is considered experienced (3.3 years average tenure).
Experienced Board: CNU's board of directors are considered experienced (4.9 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: CNU insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Chorus Limited's employee growth, exchange listings and data sources
- Name: Chorus Limited
- Ticker: CNU
- Exchange: NZSE
- Founded: 2008
- Industry: Alternative Carriers
- Sector: Telecom
- Market Cap: NZ$2.881b
- Shares outstanding: 450.88m
- Website: https://www.chorus.co.nz
Number of Employees
- Chorus Limited
- 1 Willis Street
- Level 10
- New Zealand
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/10/26 06:01|
|End of Day Share Price||2021/10/26 00:00|
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.