A director at CAR Group Ltd maiden bought 5,382 shares at 37.160AUD and the significance rating of the trade was 75/100. 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 c...
Carsales aims to raise around US$835m (A$1.2bn) via a non-renounceable entitlement offer to part fund the purchase of remaining 51% of trader Interactive. While the acquisition is probably well flagged and will be earnings accretive, the last entitlement offering didn’t do well in the near term. In this note, we will talk about the deal dynamics and run the deal through our ECM framework. In this note, we take a closer look at valuations and where peers are trading in terms of A/H premium.
CARSALES.COM (AU), a company active in the Media Agencies industry, reduced its market risk and raised its general evaluation. The independent financial analyst theScreener awarded an improved star rating to the company, which now shows 1 out of 4 possible stars; its market behaviour has improved and can be considered as defensive. theScreener believes that this new assessment merits an overall rating upgrade to Slightly Positive. As of the analysis date March 4, 2022, the closing price was AUD ...
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....
We are pleased, but not particularly surprised, that narrow-moat Carsales.com has decided to sell its 50.1% shareholding in Stratton Finance. The company bought its Stratton shareholding in 2014 for AUD 60 million but the business has faced several challenges recently; including regulatory change, competition, and weak new cars sales caused by falling real estate prices and the associated wealth effect. The Stratton investment was impaired last December to about AUD 12 million, an immaterial val...
Carsales leverages its audiences to extract value for car manufacturers eager to inform potential car buyers of their products. Carsales not only attracts the largest audience of buyers and sellers of motor vehicles, but also offers a highly engaged audience to advertisers. This is a significant competitive advantage and is attractive to the vehicle industry because vendors can now target their advertising expenditure directly to potential customers, rather than the scatter-gun approach through ...
We are pleased, but not particularly surprised, that narrow-moat Carsales.com has decided to sell its 50.1% shareholding in Stratton Finance. The company bought its Stratton shareholding in 2014 for AUD 60 million but the business has faced several challenges recently; including regulatory change, competition, and weak new cars sales caused by falling real estate prices and the associated wealth effect. The Stratton investment was impaired last December to about AUD 12 million, an immaterial val...
We have maintained our fair value estimate for narrow-moat-rated Carsales.com at AUD 14.50 per share following its weak first-half result. At the current market price of AUD 11.52, we continue to believe the shares are undervalued and that the market is underestimating the potential of the international businesses and the resilience of the core Australian businesses. The market price implies a fiscal 2019 price/earnings ratio of 22, versus 27 at our fair value, and a dividend yield of 3.9%, or 5...
We have maintained our fair value estimate for narrow-moat-rated Carsales.com at AUD 14.50 per share following its weak first-half result. At the current market price of AUD 11.52, we continue to believe the shares are undervalued and that the market is underestimating the potential of the international businesses and the resilience of the core Australian businesses. The market price implies a fiscal 2019 price/earnings ratio of 22, versus 27 at our fair value, and a dividend yield of 3.9%, or 5...
We have maintained our fair value estimate for narrow-moat-rated Carsales.com at AUD 14.50 per share following its weak first-half result. At the current market price of AUD 11.52, we continue to believe the shares are undervalued and that the market is underestimating the potential of the international businesses and the resilience of the core Australian businesses. The market price implies a fiscal 2019 price/earnings ratio of 22, versus 27 at our fair value, and a dividend yield of 3.9%, or 5...
Narrow-moat-rated Carsales.com remains undervalued following three months of share price weakness. The stock has been impacted by several factors including a deterioration in technology stock investor sentiment, tighter lending standards following the Financial Services Royal Commission, and the negative wealth effect from falling real estate prices. However, despite the 30% share price fall since August, we maintain our fair value estimate at AUD 14.50 implying the market price of AUD 11.36 off...
Narrow-moat-rated Carsales.com looks undervalued following the recent global technology stock sell-off, with the current market price of AUD 12.30 meaningfully below our AUD 14.50 fair value estimate. Despite the share price weakness, the company continues to dominate the online automotive advertising market in Australia and is strengthening its business via domestic diversification and international expansion. The potential threat from companies like Facebook and Gumtree is not materialising in...
Narrow-moat-rated Carsales.com looks undervalued following the recent global technology stock sell-off, with the current market price of AUD 12.30 meaningfully below our AUD 14.50 fair value estimate. Despite the share price weakness, the company continues to dominate the online automotive advertising market in Australia and is strengthening its business via domestic diversification and international expansion. The potential threat from companies like Facebook and Gumtree is not materialising in...
Narrow-moat-rated Carsales.com looks undervalued following the recent global technology stock sell-off, with the current market price of AUD 12.30 meaningfully below our AUD 14.50 fair value estimate. Despite the share price weakness, the company continues to dominate the online automotive advertising market in Australia and is strengthening its business via domestic diversification and international expansion. The potential threat from companies like Facebook and Gumtree is not materialising in...
Narrow-moat-rated Carsales.com reported a good fiscal 2018 financial result but one which was broadly in line with our expectations. Although the 19% increase in revenue was higher than our 17% forecast, EBITDA growth of 16% was lower than the 20% we expected. The result was also distorted somewhat by the change in accounting policy for SK Encar following the increase in Carsales.com's ownership to 100% from 49% in January 2018. Although the result was good, we don't believe it warranted the 10%...
Narrow-moat-rated Carsales.com reported a good fiscal 2018 financial result but one which was broadly in line with our expectations. Although the 19% increase in revenue was higher than our 17% forecast, EBITDA growth of 16% was lower than the 20% we expected. The result was also distorted somewhat by the change in accounting policy for SK Encar following the increase in Carsales.com's ownership to 100% from 49% in January 2018. Although the result was good, we don't believe it warranted the 10%...
Narrow-moat-rated Carsales.com reported a good fiscal 2018 financial result but one which was broadly in line with our expectations. Although the 19% increase in revenue was higher than our 17% forecast, EBITDA growth of 16% was lower than the 20% we expected. The result was also distorted somewhat by the change in accounting policy for SK Encar following the increase in Carsales.com's ownership to 100% from 49% in January 2018. Although the result was good, we don't believe it warranted the 10%...
Narrow-moat-rated Carsales.com's share price has shaken off concerns about the retirement of its founder and chief executive, Greg Roebuck, and issues with Statton finance last year. The share price has risen by around 45% over the past 18 months to AUD 14.67 and we now believe the stock is slightly overvalued relative to our unchanged fair value estimate of AUD 13.90. Our fair value implies a fiscal 2019 price/earnings ratio of 24, versus a market price implied of 25, and we expect an EPS CAGR ...
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