Market Cap
US$133.1m
Last Updated
2020/02/19 01:41 UTC
Data Sources
Company Financials +
Executive Summary
EROAD Limited provides electronic on-board units and software as a service to the heavy and light vehicle transport sectors in New Zealand and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Reasonable growth potential with worrying balance sheet.
Share Price & News
How has EROAD's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ERDL.F has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0%
ERDL.F
-2.3%
US Electronic
0.06%
US Market
1 Year Return
n/a
ERDL.F
7.7%
US Electronic
19.4%
US Market
Return vs Industry: Insufficient data to determine how ERDL.F performed against the US Electronic industry.
Return vs Market: Insufficient data to determine how ERDL.F performed against the US Market.
Shareholder returns
| ERDL.F | Industry | Market | |
|---|---|---|---|
| 7 Day | 0% | -2.3% | 0.06% |
| 30 Day | 0% | -6.2% | 1.1% |
| 90 Day | n/a | 1.1% | 8.9% |
| 1 Year | n/a | 8.8%7.7% | 21.9%19.4% |
| 3 Year | n/a | 34.4%30.8% | 48.9%39.3% |
| 5 Year | n/a | 66.6%58.5% | 71.9%53.1% |
Price Volatility Vs. Market
How volatile is EROAD's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is EROAD undervalued compared to its fair value and its price relative to the market?
4.06x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate ERDL.F's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate ERDL.F's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: ERDL.F is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.
PE vs Market: ERDL.F is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate ERDL.F's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ERDL.F is overvalued based on its PB Ratio (4.1x) compared to the US Electronic industry average (1.9x).
Next Steps
Future Growth
How is EROAD forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
114.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ERDL.F is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: ERDL.F is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: ERDL.F's is expected to become profitable in the next 3 years.
Revenue vs Market: ERDL.F's revenue (15.2% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: ERDL.F's revenue (15.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ERDL.F's Return on Equity is forecast to be low in 3 years time (15.8%).
Next Steps
Past Performance
How has EROAD performed over the past 5 years?
-34.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ERDL.F is currently unprofitable.
Growing Profit Margin: ERDL.F is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: ERDL.F is unprofitable, and losses have increased over the past 5 years at a rate of -34.9% per year.
Accelerating Growth: Unable to compare ERDL.F's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: ERDL.F is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (14.6%).
Return on Equity
High ROE: ERDL.F has a negative Return on Equity (-3.14%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is EROAD's financial position?
Financial Position Analysis
Short Term Liabilities: ERDL.F's short term assets (NZ$43.2M) do not cover its short term liabilities (NZ$51.7M).
Long Term Liabilities: ERDL.F's short term assets (NZ$43.2M) exceed its long term liabilities (NZ$28.4M).
Debt to Equity History and Analysis
Debt Level: ERDL.F's debt to equity ratio (73%) is considered high.
Reducing Debt: Insufficient data to determine if ERDL.F's debt to equity ratio has reduced over the past 5 years.
Balance Sheet
Inventory Level: ERDL.F has a high level of physical assets or inventory.
Debt Coverage by Assets: ERDL.F's debt is covered by short term assets (assets are 1.2x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: ERDL.F has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: ERDL.F has less than a year of cash runway if free cash flow continues to reduce at historical rates of -9.9% each year
Next Steps
Dividend
What is EROAD's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate ERDL.F's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate ERDL.F's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ERDL.F's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ERDL.F's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ERDL.F's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.3yrs
Average management tenure
CEO
Steven Newman 0
13.1yrs
Tenure
NZ$555,859
Compensation
Mr. Steven Newman has been the Chief Executive Officer at EROAD Limited since 2007. Mr. Newman has a wealth of experience to EROAD after a long and successful association with Navman, which he Co-Founded. ...
CEO Compensation Analysis
Compensation vs Market: Steven's total compensation ($USD0.00) is below average for companies of similar size in the US market ($USD519.76K).
Compensation vs Earnings: Steven's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 13.1yrs | NZ$555.86k | 0.19% NZ$249.7k | |
| Chief Financial Officer | 1yrs | no data | 0.0052% NZ$6.9k | |
| Chief Operating Officer | 3.6yrs | no data | 0.72% NZ$963.4k | |
| Executive VP | 0yrs | no data | no data | |
| Chief Marketing Officer | 1.3yrs | no data | no data | |
| Chief People Officer | 1.1yrs | no data | no data | |
| Executive Vice President of Strategy | 0yrs | no data | no data | |
| Executive Vice President of Operations | 0.9yrs | no data | no data | |
| President of North America | 3.1yrs | no data | no data |
1.3yrs
Average Tenure
Experienced Management: ERDL.F's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director | 13.1yrs | NZ$555.86k | 0.19% NZ$249.7k | |
| Independent Director | 0.9yrs | no data | no data | |
| Independent Director | 7.8yrs | NZ$85.09k | 0.20% NZ$271.9k | |
| Independent Chairman of the Board | 1.5yrs | NZ$18.75k | 0.059% NZ$79.0k | |
| Independent Director | 10.3yrs | NZ$54.55k | 0.84% NZ$1.1m | |
| Independent Director | 5.8yrs | NZ$50.55k | no data |
6.8yrs
Average Tenure
Experienced Board: ERDL.F's board of directors are considered experienced (6.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ERDL.F insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.7%.
Top Shareholders
Company Information
EROAD Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: EROAD Limited
- Ticker: ERDL.F
- Exchange: OTCPK
- Founded: 2000
- Industry: Electronic Equipment and Instruments
- Sector: Tech
- Market Cap: NZ$208.198m
- Listing Market Cap: NZ$133.060m
- Shares outstanding: 67.38m
- Website: https://www.eroad.co.nz
Number of Employees
Location
- EROAD Limited
- 260 Oteha Valley Road
- Albany
- Auckland
- 632
- New Zealand
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ERD | NZSE (New Zealand Stock Exchange) | Yes | Ordinary Shares | NZ | NZD | Aug 2014 |
| ERDL.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Aug 2014 |
Biography
EROAD Limited provides electronic on-board units and software as a service to the heavy and light vehicle transport sectors in New Zealand and internationally. It offers products to reduce the time and money spend on road user charges compliance; and manage obligations and risks associated with the Health and Safety at Work Act, as well as fleet management products. The company was founded in 2000 and is based in Auckland, New Zealand.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/19 01:41 |
| End of Day Share Price | 2019/12/20 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2019/03/31 |
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.