A director at Reckon Ltd sold 1,000,000 shares at 0.517AUD and the significance rating of the trade was 53/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clearly sh...
Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked....
RECKON LTD. (AU), a company active in the Software industry, has received a double requalification by the independent financial analyst theScreener. Its fundamental valuation is now 3 out of 4 stars while its market behaviour can be considered as moderately risky. theScreener believes that the gain of a star(s) and an improvement in the market risk perception allows upgrading the general evaluation to Slightly Positive. As of the analysis date April 5, 2019, the closing price was AUD 0.69 and it...
We will cease research coverage of no-moat-rated Reckon on Jan. 1, 2018. Reckon’s share price has fallen 33% over the past five years as the company has struggled to compete with larger rivals such as MYOB and Xero, pointing to its lack of an economic moat. The transition of desktop accounting software to the cloud has also created challenges such as additional costs to upgrade legacy software and increased competition from overseas providers. The impending sale of the practice management divi...
We have increased our fair value estimate for no-moat-rated Reckon by 22% to AUD 1.46 per share following the announcement that it intends to sell its practice management division to MYOB for AUD 180 million. Reckon has achieved a good price for the business that exceeds our previous implied valuation and reflects MYOB’s ability to extract synergies by combining its practice management business with Reckon’s. We expect the transaction to be approved by the Australian Competition and Consumer...
We have cut our fair value estimate for Reckon by 8% to AUD 1.20 per share following a weaker-than-expected first-half result. Underlying EPS fell 16% versus the prior comparable period, whereas we previously assumed a 4% fall for the full year to December 2017. Our revised forecasts assume EPS will fall 13% in 2017 before rebounding in 2018, largely due to lower amortisation. The 2018 fair-value-implied price/earnings ratio of 11 reflects our forecast for short-term EPS weakness. We still belie...
We have adjusted our financial model for no-moat-rated Reckon to remove its Document Management division which is in the process of being divested. However, we maintain our fair value estimate at AUD 1.30 per share as the negative impact of the divestment, worth around AUD 0.10 per share or 7%, is offset by a combination of the positive time value of money and rounding. The Document Management division has been renamed GetBusy Plc and is expected to list on the Alternative Investment Market, or ...
We have adjusted our financial model for no-moat-rated Reckon to remove its Document Management division which is in the process of being divested. However, we maintain our fair value estimate at AUD 1.30 per share as the negative impact of the divestment, worth around AUD 0.10 per share or 7%, is offset by a combination of the positive time value of money and rounding. The Document Management division has been renamed GetBusy Plc and is expected to list on the Alternative Investment Market, or ...
We continue to believe no-moat-rated Reckon is overvalued with the current share price of AUD 1.63 some 25% above our AUD 1.30 fair value estimate. Reckon’s EPS fell by 27% in 2016 following a 20% fall in the prior year, reflecting structural challenges facing the business which we expect to continue. We forecast an 11% EPS decline in 2017 before a return to earnings growth in 2018, driven by new investments, but only expect an EPS CAGR of 4.4% over the next decade. Management haven’t provid...
We maintain our fair value estimate for Reckon at AUD 1.30 per share following the 25% fall in 2016 reported net profit after tax, or NPAT, to AUD 11 million, in line with our forecast and management guidance. Management didn't provide earnings guidance for 2017, but we expect underlying NPAT to fall a further 13% in 2017 to AUD 8.6 million, largely because of higher depreciation and amortisation costs, before earnings growth resumes in 2018. Over the next decade, we forecast an underlying EPS C...
We maintain our fair value estimate for Reckon at AUD 1.30 per share following the 25% fall in 2016 reported net profit after tax, or NPAT, to AUD 11 million, in line with our forecast and management guidance. Management didn't provide earnings guidance for 2017, but we expect underlying NPAT to fall a further 13% in 2017 to AUD 8.6 million, largely because of higher depreciation and amortisation costs, before earnings growth resumes in 2018. Over the next decade, we forecast an underlying EPS C...
We have cut our fair value estimate for no-moat-rated Reckon by 25% to AUD 1.30 per share due to more conservative long-term earnings growth forecasts. Our near-term earnings forecasts are largely unchanged aside from a reduction in the tax rate to 25% from 27% to better reflect the rising proportion of overseas-sourced earnings. The principal valuation impact comes from the assumption that software development costs are a long-term recurring expense rather than a short- to medium-term capital i...
Accounting and practice management software provider, Reckon reported a 34% decline in net profit after tax, or NPAT, to AUD 6.2 million for the first half of 2016; however, the result was in line with both management guidance and our expectations. We maintain our fair value estimate at AUD 1.75 and at the current market price of AUD 1.50, the shares are undervalued. First-half reported revenue and EBITDA of AUD 57 million and AUD 18.5 million, respectively, were in line with full-year revenue...
Ford Equity International Research Reports cover 60 countries with over 30,000 stocks traded on international exchanges. A proprietary quantitative system compares each company to its peers on proven measures of business value, growth characteristics, and investor behavior. Ford's three recommendation ratings buy, hold and sell, represent each stock’s return potential relative to its own country market.. The rating reports which are generated each week, include the fundamental details behind...
Accounting and practice management software provider, Reckon reported a 34% decline in net profit after tax, or NPAT, to AUD 6.2 million for the first half of 2016; however, the result was in line with both management guidance and our expectations. We maintain our fair value estimate at AUD 1.75 and at the current market price of AUD 1.50, the shares are undervalued. First-half reported revenue and EBITDA of AUD 57 million and AUD 18.5 million, respectively, were in line with full-year revenue...
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