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Freightways

NZSE:FRE
Snowflake Description

Proven track record with reasonable growth potential and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
FRE
NZSE
NZ$1B
Market Cap
  1. Home
  2. NZ
  3. Transportation
Company description

Freightways Limited, together with its subsidiaries, provides express package and business mail services primarily in New Zealand, Australia, and internationally. The last earnings update was 28 days ago. More info.


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FRE Share Price and Events
7 Day Returns
0%
NZSE:FRE
3.5%
Oceania Logistics
0.6%
NZ Market
1 Year Returns
3.9%
NZSE:FRE
26.4%
Oceania Logistics
5.8%
NZ Market
FRE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Freightways (FRE) 0% 1.8% 11% 3.9% 28% 64.3%
Oceania Logistics 3.5% 6.3% 12.6% 26.4% 77.5% 106.4%
NZ Market 0.6% 1.2% 6.8% 5.8% 22.9% 43.2%
1 Year Return vs Industry and Market
  • FRE underperformed the Logistics industry which returned 26.4% over the past year.
  • FRE underperformed the Market in New Zealand which returned 5.8% over the past year.
Price Volatility
FRE
Industry
5yr Volatility vs Market

Value

 Is Freightways 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 Freightways 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 Freightways.

NZSE:FRE Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 6 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.8%
Perpetual Growth Rate 10-Year NZ Government Bond Rate 2.4%

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:FRE
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year NZ Govt Bond Rate 2.4%
Equity Risk Premium S&P Global 6%
Logistics Unlevered Beta Simply Wall St/ S&P Global 1.02
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.015 (1 + (1- 28%) (13.49%))
1.076
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.08
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.37% + (1.076 * 5.96%)
8.78%

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

The calculations below outline how an intrinsic value for Freightways is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NZSE:FRE DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (NZD, Millions) Source Present Value
Discounted (@ 8.78%)
2019 55.00 Analyst x1 50.56
2020 63.00 Analyst x1 53.24
2021 67.00 Analyst x1 52.04
2022 70.36 Est @ 5.02% 50.24
2023 73.34 Est @ 4.23% 48.14
2024 76.03 Est @ 3.67% 45.87
2025 78.52 Est @ 3.28% 43.55
2026 80.88 Est @ 3.01% 41.24
2027 83.16 Est @ 2.82% 38.98
2028 85.39 Est @ 2.68% 36.79
Present value of next 10 years cash flows NZ$460.66
NZSE:FRE DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= NZ$85.39 × (1 + 2.37%) ÷ (8.78% – 2.37%)
NZ$1,362.73
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= NZ$1,362.73 ÷ (1 + 8.78%)10
NZ$587.13
NZSE:FRE Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= NZ$460.66 + NZ$587.13
NZ$1,047.78
Equity Value per Share
(NZD)
= Total value / Shares Outstanding
= NZ$1,047.78 / 155.38
NZ$6.74
NZSE:FRE Discount to Share Price
Calculation Result
Value per share (NZD) From above. NZ$6.74
Current discount Discount to share price of NZ$7.95
= -1 x (NZ$7.95 - NZ$6.74) / NZ$6.74
-17.9%

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

  • The current share price of Freightways 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 Freightways's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Freightways's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NZSE:FRE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in NZD NZ$0.41
NZSE:FRE Share Price ** NZSE (2019-03-25) in NZD NZ$7.95
Oceania Logistics Industry PE Ratio Median Figure of 6 Publicly-Listed Logistics Companies 25.92x
New Zealand Market PE Ratio Median Figure of 90 Publicly-Listed Companies 16.99x

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

** Primary Listing of Freightways.

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

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

= 7.95 ÷ 0.41

19.26x

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

  • Freightways is good value based on earnings compared to the Oceania Logistics industry average.
  • Freightways is overvalued based on earnings compared to the New Zealand market.
Price based on expected Growth
Does Freightways's expected growth come at a high price?
Raw Data
NZSE:FRE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 19.26x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
8.1%per year
Global Logistics Industry PEG Ratio Median Figure of 42 Publicly-Listed Logistics Companies 1.36x
New Zealand Market PEG Ratio Median Figure of 66 Publicly-Listed Companies 1.47x

*Line of best fit is calculated by linear regression .

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

= PE Ratio ÷ Net Income Annual Growth Rate

= 19.26x ÷ 8.1%

2.38x

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

  • Freightways is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Freightways's assets?
Raw Data
NZSE:FRE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in NZD NZ$1.72
NZSE:FRE Share Price * NZSE (2019-03-25) in NZD NZ$7.95
Oceania Logistics Industry PB Ratio Median Figure of 7 Publicly-Listed Logistics Companies 4.63x
New Zealand Market PB Ratio Median Figure of 126 Publicly-Listed Companies 1.54x
NZSE:FRE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 7.95 ÷ 1.72

4.62x

* Primary Listing of Freightways.

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

  • Freightways is good value based on assets compared to the Oceania Logistics industry average.
X
Value checks
We assess Freightways'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 Logistics 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 Logistics industry average (and greater than 0)? (1 check)
  5. Freightways 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.

Future Performance

 How is Freightways expected to perform in the next 1 to 3 years based on estimates from 6 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
8.1%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Freightways expected to grow at an attractive rate?
  • Freightways's earnings growth is expected to exceed the low risk savings rate of 2.4%.
Growth vs Market Checks
  • Freightways's earnings growth is expected to exceed the New Zealand market average.
  • Freightways's revenue growth is expected to exceed the New Zealand market average.
Annual Growth Rates Comparison
Raw Data
NZSE:FRE Future Growth Rates Data Sources
Data Point Source Value (per year)
NZSE:FRE Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 8.1%
NZSE:FRE Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 5.6%
Oceania Logistics Industry Earnings Growth Rate Market Cap Weighted Average 12.5%
Global Logistics Industry Revenue Growth Rate Market Cap Weighted Average 5.4%
New Zealand Market Earnings Growth Rate Market Cap Weighted Average 5.7%
New Zealand Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*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:FRE Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in NZD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NZSE:FRE Future Estimates Data
Date (Data in NZD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-06-30 694 89 75 6
2020-06-30 658 84 68 6
2019-06-30 622 80 63 6
NZSE:FRE Past Financials Data
Date (Data in NZD Millions) Revenue Cash Flow Net Income *
2018-12-31 604 73 64
2018-09-30 592 74 63
2018-06-30 581 76 62
2018-03-31 573 74 60
2017-12-31 565 72 58
2017-09-30 555 68 60
2017-06-30 545 65 61
2017-03-31 534 62 58
2016-12-31 523 58 56
2016-09-30 514 60 53
2016-06-30 505 62 50
2016-03-31 499 65 48

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Freightways's earnings are expected to grow by 8.1% yearly, however this is not considered high growth (20% yearly).
  • Freightways's revenue is expected to grow by 5.6% 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:FRE Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from Freightways Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NZSE:FRE Future Estimates Data
Date (Data in NZD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-06-30 0.48 0.50 0.45 4.00
2020-06-30 0.44 0.44 0.43 4.00
2019-06-30 0.40 0.41 0.40 4.00
NZSE:FRE Past Financials Data
Date (Data in NZD Millions) EPS *
2018-12-31 0.41
2018-09-30 0.41
2018-06-30 0.40
2018-03-31 0.39
2017-12-31 0.38
2017-09-30 0.38
2017-06-30 0.39
2017-03-31 0.38
2016-12-31 0.36
2016-09-30 0.34
2016-06-30 0.32
2016-03-31 0.31

*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.
  • Freightways is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess Freightways'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 Oceania market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Global 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.
Freightways has a total score of 4/6, 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.

Past Performance

  How has Freightways 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 Freightways's growth in the last year to its industry (Logistics).
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.
  • Freightways's year on year earnings growth rate has been positive over the past 5 years.
  • Freightways's 1-year earnings growth exceeds its 5-year average (10.1% vs 9.9%)
  • Freightways's earnings growth has not exceeded the Oceania Logistics industry average in the past year (10.1% vs 22.2%).
Earnings and Revenue History
Freightways'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 Freightways Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NZSE:FRE Past Revenue, Cash Flow and Net Income Data
Date (Data in NZD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 603.52 64.15 89.15
2018-09-30 592.20 63.16 86.66
2018-06-30 580.89 62.16 84.18
2018-03-31 572.75 60.22 83.14
2017-12-31 564.61 58.28 82.10
2017-09-30 554.94 59.57 80.29
2017-06-30 545.26 60.86 78.49
2017-03-31 534.25 58.43 76.50
2016-12-31 523.24 56.01 74.51
2016-09-30 514.30 52.89 73.74
2016-06-30 505.36 49.77 72.97
2016-03-31 498.98 47.53 71.91
2015-12-31 492.60 45.28 70.85
2015-09-30 486.03 44.56 69.24
2015-06-30 479.46 43.84 67.64
2015-03-31 467.61 45.05 65.83
2014-12-31 455.76 46.27 64.03
2014-09-30 444.02 43.98 61.82
2014-06-30 432.28 41.70 59.61
2014-03-31 424.98 41.38 57.20
2013-12-31 417.69 41.06 54.79
2013-09-30 411.90 40.70 53.72
2013-06-30 406.12 40.35 52.65
2013-03-31 401.55 39.71 53.41
2012-12-31 396.98 39.07 54.16
2012-09-30 389.72 38.04 53.70
2012-06-30 382.46 37.01 53.24
2012-03-31 375.50 35.04 51.00

*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.
  • Freightways has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
  • Freightways used its assets more efficiently than the Oceania Logistics industry average last year based on Return on Assets.
  • Freightways's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Freightways'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 Logistics 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.
Freightways 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.

Health

 How is Freightways'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 Freightways's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Freightways is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Freightways's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Freightways'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.
  • Debt is not covered by short term assets, assets are 0.6x debt.
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 Freightways Company Filings, last reported 2 months ago.

NZSE:FRE Past Debt and Equity Data
Date (Data in NZD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 267.17 166.81 3.44
2018-09-30 267.17 166.81 3.44
2018-06-30 258.22 167.60 7.41
2018-03-31 258.22 167.60 7.41
2017-12-31 249.06 182.35 10.45
2017-09-30 249.06 182.35 10.45
2017-06-30 236.57 173.65 8.42
2017-03-31 236.57 173.65 8.42
2016-12-31 229.14 176.82 10.69
2016-09-30 229.14 176.82 10.69
2016-06-30 214.86 170.10 7.07
2016-03-31 214.86 170.10 7.07
2015-12-31 215.93 179.83 12.38
2015-09-30 215.93 179.83 12.38
2015-06-30 208.39 186.20 13.95
2015-03-31 208.39 186.20 13.95
2014-12-31 206.45 178.51 3.78
2014-09-30 206.45 178.51 3.78
2014-06-30 199.44 166.31 3.88
2014-03-31 199.44 166.31 3.88
2013-12-31 194.68 173.71 1.12
2013-09-30 194.68 173.71 1.12
2013-06-30 187.30 171.46 3.48
2013-03-31 187.30 171.46 3.48
2012-12-31 180.87 193.14 4.02
2012-09-30 180.87 193.14 4.02
2012-06-30 173.30 194.64 9.13
2012-03-31 173.30 194.64 9.13
  • Freightways's level of debt (62.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (89.2% vs 62.4% today).
  • Debt is well covered by operating cash flow (43.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 9.9x coverage).
X
Financial health checks
We assess Freightways'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. Freightways has a total score of 4/6, 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.

Dividends

 What is Freightways'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
3.74%
Current annual income from Freightways dividends. Estimated to be 4.39% next year.
If you bought NZ$2,000 of Freightways shares you are expected to receive NZ$75 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?
  • Freightways's pays a higher dividend yield than the bottom 25% of dividend payers in New Zealand (3.37%).
  • Freightways's dividend is below the markets top 25% of dividend payers in New Zealand (5.8%).
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:FRE 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 6 Analyst Estimates (S&P Global) See Below
Global Logistics Industry Average Dividend Yield Market Cap Weighted Average of 43 Stocks 3%
New Zealand Market Average Dividend Yield Market Cap Weighted Average of 75 Stocks 3.9%
New Zealand Minimum Threshold Dividend Yield 10th Percentile 1.9%
New Zealand Bottom 25% Dividend Yield 25th Percentile 3.4%
New Zealand Top 25% Dividend Yield 75th Percentile 5.8%

Industry and Market average data is calculated daily.

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

NZSE:FRE Future Dividends Estimate Data
Date (Data in NZ$) Dividend per Share (annual) Avg. No. Analysts
2021-06-30 0.38 6.00
2020-06-30 0.35 6.00
2019-06-30 0.31 5.00
NZSE:FRE Past Annualized Dividends Data
Date (Data in NZ$) Dividend per share (annual) Avg. Yield (%)
2018-09-25 0.298 4.007
2018-08-13 0.298 3.883
2017-09-27 0.278 3.601
2017-08-14 0.278 3.562
2016-09-23 0.290 4.070
2016-08-15 0.290 4.268
2016-03-16 0.255 3.882
2016-02-22 0.255 4.176
2015-09-18 0.250 4.178
2015-08-17 0.250 4.604
2015-03-16 0.240 3.987
2015-02-23 0.240 3.824
2014-09-26 0.225 4.033
2014-08-18 0.225 4.393
2013-09-27 0.188 3.971
2013-08-12 0.188 4.462
2013-03-07 0.185 4.231
2012-10-25 0.190 4.341
2012-02-13 0.170 4.303
2011-09-27 0.145 4.190
2011-08-15 0.145 4.471
2011-03-17 0.143 4.277
2010-08-16 0.140 4.551
2010-03-08 0.155 5.243
2009-08-17 0.165 5.229
2009-03-26 0.173 5.891

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

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Freightways's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.4x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.3x coverage).
X
Income/ dividend checks
We assess Freightways's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.9%) - 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 Freightways afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Freightways has a total score of 4/6, see the detailed checks below.


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

Management

 What is the CEO of Freightways'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
Mark Troughear
COMPENSATION NZ$0
TENURE AS CEO 1.2 years
CEO Bio

Mr. Mark Troughear has been CEO at Freightways Ltd since January 1, 2018 and served as its serves as General Manager of Information Management Division.

CEO Compensation
  • Insufficient data for Mark to compare compensation growth.
  • Mark's remuneration is lower than average for companies of similar size in New Zealand.
Management Team

Mark Troughear

TITLE
Chief Executive Officer
TENURE
1.2 yrs

Mark Royle

TITLE
CFO & Company Secretary

Matthew Cocker

TITLE
Chief Information Officer
TENURE
2.8 yrs
Board of Directors Tenure

Average tenure and age of the Freightways board of directors in years:

1.7
Average Tenure
56.5
Average Age
  • The average tenure for the Freightways board of directors is less than 3 years, this suggests a new board.
Board of Directors

Mark Verbiest

TITLE
Chairman
AGE
60
TENURE
0.4 yrs

Kim Ellis

TITLE
Independent Director
AGE
67
TENURE
9.6 yrs

Mark Rushworth

TITLE
Independent Director
AGE
47
TENURE
3.5 yrs

Peter Kean

TITLE
Independent Director
TENURE
2.7 yrs

Abby Foote

TITLE
Independent Director
TENURE
0.8 yrs

Andrea Joy Staines

TITLE
Independent Non-Executive Director
AGE
53
TENURE
0.6 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 Freightways'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. Freightways 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.

News

Simply Wall St News

How Much Of Freightways Limited (NZSE:FRE) Do Institutions Own?

A look at the shareholders of Freightways Limited (NZSE:FRE) can tell us which group is most powerful. … Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … Companies that used to be publicly owned tend to have lower insider ownership.

Simply Wall St -

Only 3 Days Left Until Freightways Limited (NZSE:FRE) Trades Ex-Dividend

Investors who want to cash in on Freightways Limited's (NZSE:FRE) upcoming dividend of NZ$0.18 per share have only 3 days left to buy the shares before its ex-dividend date, 14 March 2019, in time for dividends payable on the 01 April 2019. … When assessing a stock as a potential addition to my dividend Portfolio, I look at these five areas:? … Will the company be able to keep paying dividend based on the future earnings growth

Simply Wall St -

Is Freightways Limited's (NZSE:FRE) P/E Ratio Really That Good?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … To keep it practical, we'll show how Freightways Limited's (NZSE:FRE) P/E ratio could help you assess the value on offer. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

How Freightways Limited (NZSE:FRE) Could Add Value To Your Portfolio

Help shape the future of investing tools and you could win a $250 gift card! … In the case of Freightways Limited (NZSE:FRE), there's … that has been able to sustain great financial health over the past.

Simply Wall St -

What Should Investors Know About The Future Of Freightways Limited's (NZSE:FRE)?

Help shape the future of investing tools and you could win a $250 gift card! … In June 2018, Freightways Limited (NZSE:FRE) announced its earnings update. … the higher past 5-year average growth rate of 9.7%.

Simply Wall St -

Freightways Limited (NZSE:FRE): Has Recent Earnings Growth Beaten Long-Term Trend?

When Freightways Limited (NZSE:FRE) released its most recent earnings update (30 June 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … FRE's trailing twelve-month earnings (from 30 June 2018) of NZ$62m has … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 9.7%, indicating the rate at which FRE is growing has slowed down.

Simply Wall St -

Freightways Limited (NZSE:FRE) Earns Among The Best Returns In Its Industry

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

Freightways Limited (NZSE:FRE): What's The Analyst Consensus Outlook?

In June 2018, Freightways Limited (NZSE:FRE) announced its latest earnings update, whicha … showed

Simply Wall St -

What You Must Know About Freightways Limited's (NZSE:FRE) Financial Strength

While small-cap stocks, such as Freightways Limited (NZSE:FRE) with its market cap of NZ$1.1b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Evaluating financial health as part of your investment thesis is. … Here are few basic financial health checks you should consider before taking the plunge.

Simply Wall St -

Freightways Limited (NZSE:FRE): How Much Money Comes Back To Investors?

I’ve analysed below, the health and outlook of Freightways’s cash flow, which will help you understand the stock from a cash standpoint. … Freightways’s free cash flow (FCF) is the level of cash flow the business generates from its operational activities, after it reinvests in the company as capital expenditure. … I will be analysing Freightways’s FCF by looking at its FCF yield and its operating cash flow growth.

Simply Wall St -

Company Info

Description

Freightways Limited, together with its subsidiaries, provides express package and business mail services primarily in New Zealand, Australia, and internationally. It operates through Express Package & Business Mail, Information Management, and Corporate and Other segments. The company provides network courier services under the New Zealand Couriers, Post Haste Couriers, Castle Parcels, and NOW Couriers brands; and point-to-point courier services under the SUB60, Kiwi Express, Stuck, Pass The Parcel, and Security Express brands. It also provides various physical and digital postal services, including mail delivery services under the DX Mail brand; and mailhouse-print services, as well as various homegrown digital mail presentation platforms under the Dataprint brand. The company offers its services through its network, as well as through international alliances. In addition, it provides a range of physical storage and information management, and digital information processing services, such as digitization, business process outsourcing, online back-up, and eDiscovery services, as well as document destruction and medical waste services primarily under the Archive Security, FileSaver, DataBank, Shred-X, and Med-X brands, as well as operates line-haul on the arterial roads under the Parceline Express name. Further, the company provides information technology and advisory services to the businesses; general and aviation engineering services; and aviation-related, IT infrastructure support, treasury management, and financing and property management services. Freightways Limited was founded in 1964 and is based in Penrose, New Zealand.

Details
Name: Freightways Limited
FRE
Exchange: NZSE
Founded: 1964
NZ$1,236,812,358
155,378,437
Website: http://www.freightways.co.nz
Address: Freightways Limited
32 Botha Road,
Penrose,
DX CX10120,
New Zealand
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NZSE FRE Ordinary Shares New Zealand Stock Exchange NZ NZD 29. Sep 2003
OTCPK FTWY.F Ordinary Shares Pink Sheets LLC US USD 29. Sep 2003
Number of employees
Current staff
Staff numbers
0
Freightways employees.
Industry
Air Freight and Logistics
Transportation
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/25 10:32
End of day share price update: 2019/03/25 00:00
Last estimates confirmation: 2019/03/20
Last earnings filing: 2019/02/25
Last earnings reported: 2018/12/31
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.