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AVL

Advanced HealthJSE:AVL Stock Report

Market Cap

R194.5m

7D

-2.5%

1Y

30.0%

Updated

21 Oct, 2021

Data

Company Financials
AVL fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance0/6
Financial Health3/6
Dividends0/6

AVL Overview

Advanced Health Limited, together with its subsidiaries, provides short-procedure surgical services and diagnostic procedures through a network of day hospitals.

Price History & Performance

Summary of all time highs, changes and price drops for Advanced Health
Historical stock prices
Current Share PriceR0.39
52 Week HighR0.22
52 Week LowR0.51
Beta-0.86
1 Month Change-2.50%
3 Month Change-4.88%
1 Year Change30.00%
3 Year Change-9.30%
5 Year Change-74.68%
Change since IPO-71.74%

Recent News & Updates

Sep 02
Advanced Health's (JSE:AVL) Returns On Capital Are Heading Higher

Advanced Health's (JSE:AVL) Returns On Capital Are Heading Higher

What are the early trends we should look for to identify a stock that could multiply in value over the long term? One...

Jun 26
Does Advanced Health (JSE:AVL) Have A Healthy Balance Sheet?

Does Advanced Health (JSE:AVL) Have A Healthy Balance Sheet?

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Apr 28
Here's What To Make Of Advanced Health's (JSE:AVL) Decelerating Rates Of Return

Here's What To Make Of Advanced Health's (JSE:AVL) Decelerating Rates Of Return

If you're looking for a multi-bagger, there's a few things to keep an eye out for. Firstly, we'll want to see a proven...

Feb 28
Read This Before Selling Advanced Health Limited (JSE:AVL) Shares

Read This Before Selling Advanced Health Limited (JSE:AVL) Shares

It is not uncommon to see companies perform well in the years after insiders buy shares. The flip side of that is that...

Shareholder Returns

AVLZA HealthcareZA Market
7D-2.5%4.9%-0.7%
1Y30.0%26.1%19.0%

Return vs Industry: AVL exceeded the ZA Healthcare industry which returned 25.8% over the past year.

Return vs Market: AVL exceeded the ZA Market which returned 19.9% over the past year.

Price Volatility

Is AVL's price volatile compared to industry and market?
AVL volatility
AVL Beta-0.86
Industry Beta0.39
Market Beta1

Stable Share Price: AVL is more volatile than 75% of ZA stocks over the past 3 months, typically moving +/- 10% a week.

Volatility Over Time: AVL's weekly volatility (10%) has been stable over the past year, but is still higher than 75% of ZA stocks.

About the Company

FoundedEmployeesCEOWebsite
2013152Gerhard van Emmenishttps://www.advancedhealth.co.za

Advanced Health Limited, together with its subsidiaries, provides short-procedure surgical services and diagnostic procedures through a network of day hospitals. It offers plastic surgery, such as blepharoplasty, breast augmentation, facelift, labiaplasty, liposuction, mastopexy, rhinoplasty, and otoplasty; dermatological services, including cauterization nevus, lipoma, mole and wart removal, and scar excision/ revision surgery; urology services, such as circumcision, cystoscopy and ureteral dilation, inguinal hernia repair, prostate biopsy, renal calcultus removal and stent insertion, scope and pyelogram, vasectomy, and vasostomy; and ophthalmology services, including cataract, corneal, laser surgery, intraocular injection, posterior and anterior vitrectomy, tear ducts repair, and pterygium and removal; and gynecological services, such as cauterization, cervical cerclage and lletz, dilatation and curetation, drainage of bartholin cyst, endometrial ablation, hysteroscopy, insertion intrauterine device, labiaplasty, laparoscopic sterilization, and cyst removal. The company also provides orthopedic services, including arthroscopy, bunionectomy, carpal tunnel release, ganglionectomy, insertion/removal of k wires, toenail resection, achille tendon release, pins and plates removal, peripheral nerve neuroplasty, trigger finger release, fracture reduction, and pain management; ENT services, such as adenoidectomy, antrostomy, bone anchor external hearing device, cochlear implant, diagnostic proof puncture, endoscopy, electro cauterization, myringotomy, nose fracture reduction, rhinoplasty, septoplasty, tonsillectomy, turbinectomy, and tympanoplasty; and maxillofacial and dental services, including apisectomy, extraction, frenectomie, gingival graft, orthodontic attachment, sinus augmentation, and teeth removal.

Advanced Health Fundamentals Summary

How do Advanced Health's earnings and revenue compare to its market cap?
AVL fundamental statistics
Market CapR194.53m
Earnings (TTM)-R17.75m
Revenue (TTM)R680.68m

0.3x

P/S Ratio

-11.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AVL income statement (TTM)
RevenueR680.68m
Cost of RevenueR348.41m
Gross ProfitR332.27m
ExpensesR350.02m
Earnings-R17.75m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.036
Gross Margin48.81%
Net Profit Margin-2.61%
Debt/Equity Ratio113.5%

How did AVL perform over the long term?

See historical performance and comparison

Valuation

Is Advanced Health undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: AVL (ZAR0.39) is trading below our estimate of fair value (ZAR2.15)

Significantly Below Fair Value: AVL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: AVL is unprofitable, so we can't compare its PE Ratio to the African Healthcare industry average.

PE vs Market: AVL is unprofitable, so we can't compare its PE Ratio to the ZA market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AVL's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AVL is overvalued based on its PB Ratio (3.6x) compared to the XF Healthcare industry average (2.8x).


Future Growth

How is Advanced Health forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.7%

Forecasted Healthcare industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Advanced Health has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Past Performance

How has Advanced Health performed over the past 5 years?

-23.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AVL is currently unprofitable.

Growing Profit Margin: AVL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AVL is unprofitable, and losses have increased over the past 5 years at a rate of 23.3% per year.

Accelerating Growth: Unable to compare AVL's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AVL is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (4.5%).


Return on Equity

High ROE: AVL has a negative Return on Equity (0.32%), as it is currently unprofitable.


Financial Health

How is Advanced Health's financial position?


Financial Position Analysis

Short Term Liabilities: AVL's short term assets (ZAR214.4M) exceed its short term liabilities (ZAR184.4M).

Long Term Liabilities: AVL's short term assets (ZAR214.4M) do not cover its long term liabilities (ZAR562.1M).


Debt to Equity History and Analysis

Debt Level: AVL's debt to equity ratio (113.5%) is considered high.

Reducing Debt: AVL's debt to equity ratio has increased from 33.3% to 113.5% over the past 5 years.


Balance Sheet


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: Whilst unprofitable AVL has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AVL is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 37.5% per year.


Dividend

What is Advanced Health current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AVL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate AVL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if AVL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AVL'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 AVL's dividend in 3 years as they are not forecast to pay a notable one for the ZA market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.5yrs

Average board tenure


CEO

Gerhard van Emmenis (59 yo)

2.17yrs

Tenure

R2,868,000

Compensation

Mr. Gerhard Jacobus van Emmenis serves as Chief Executive Officer and Director at Advanced Health Limited since August 1, 2019. Mr Van Emmenis joins the day-hospital group from Bonitas, where he served as...


CEO Compensation Analysis

Compensation vs Market: Gerhard's total compensation ($USD196.73K) is below average for companies of similar size in the ZA market ($USD283.52K).

Compensation vs Earnings: Gerhard's compensation has been consistent with company performance over the past year.


Board Members

Experienced Board: AVL's board of directors are considered experienced (7.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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 substantially diluted in the past year, with total shares outstanding growing by 73.2%.


Top Shareholders

Company Information

Advanced Health Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Advanced Health Limited
  • Ticker: AVL
  • Exchange: JSE
  • Founded: 2013
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: R194.526m
  • Shares outstanding: 498.78m
  • Website: https://www.advancedhealth.co.za

Number of Employees


Location

  • Advanced Health Limited
  • Building 3
  • 2nd Floor
  • Pretoria
  • Gauteng
  • 181
  • South Africa

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/21 21:04
End of Day Share Price2021/10/21 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.