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SEEK

ASX:SEK
Snowflake Description

Moderate growth potential second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SEK
ASX
A$8B
Market Cap
  1. Home
  2. AU
  3. Commercial Services
Company description

SEEK Limited, together with its subsidiaries, provides online employment marketplace services in Australia and internationally. The last earnings update was 92 days ago. More info.


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SEK Share Price and Events
7 Day Returns
1.9%
ASX:SEK
0.4%
AU Professional Services
-0.1%
AU Market
1 Year Returns
31.1%
ASX:SEK
20.6%
AU Professional Services
16.5%
AU Market
SEK Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
SEEK (SEK) 1.9% 6.1% 12.6% 31.1% 56.6% 32.9%
AU Professional Services 0.4% 3% 7.6% 20.6% 37.9% 39.2%
AU Market -0.1% 1.5% 3.5% 16.5% 21.9% 20.6%
1 Year Return vs Industry and Market
  • SEK outperformed the Professional Services industry which returned 20.6% over the past year.
  • SEK outperformed the Market in Australia which returned 16.5% over the past year.
Price Volatility
SEK
Industry
5yr Volatility vs Market
Related Companies

SEK Value

 Is SEEK 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 SEEK 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 SEEK.

ASX:SEK Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 10 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8%
Perpetual Growth Rate 10-Year AU Government Bond Rate 2.3%

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 ASX:SEK
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year AU Govt Bond Rate 2.3%
Equity Risk Premium S&P Global 6%
Professional Services Unlevered Beta Simply Wall St/ S&P Global 0.83
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.828 (1 + (1- 30%) (20.03%))
0.962
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.96
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.31% + (0.962 * 5.96%)
8.05%

Discounted Cash Flow Calculation for ASX:SEK using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for SEEK 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.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

ASX:SEK DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (AUD, Millions) Source Present Value
Discounted (@ 8.05%)
2020 229.50 Analyst x2 212.41
2021 274.00 Analyst x2 234.71
2022 345.00 Analyst x1 273.52
2023 423.00 Analyst x1 310.38
2024 460.00 Analyst x1 312.39
2025 487.96 Est @ 6.08% 306.71
2026 512.11 Est @ 4.95% 297.91
2027 533.41 Est @ 4.16% 287.19
2028 552.63 Est @ 3.6% 275.38
2029 570.41 Est @ 3.22% 263.07
Present value of next 10 years cash flows A$2,773.00
ASX:SEK DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= A$570.41 × (1 + 2.31%) ÷ (8.05% – 2.31%)
A$10,176.80
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= A$10,176.80 ÷ (1 + 8.05%)10
A$4,693.56
ASX:SEK Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= A$2,773.00 + A$4,693.56
A$7,466.56
Equity Value per Share
(AUD)
= Total value / Shares Outstanding
= A$7,466.56 / 350.73
A$21.29
ASX:SEK Discount to Share Price
Calculation Result
Value per share (AUD) From above. A$21.29
Current discount Discount to share price of A$23.17
= -1 x (A$23.17 - A$21.29) / A$21.29
-8.8%

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

  • The current share price of SEEK 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 SEEK's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are SEEK's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
ASX:SEK PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-06-30) in AUD A$0.51
ASX:SEK Share Price ** ASX (2019-11-19) in AUD A$23.17
Australia Professional Services Industry PE Ratio Median Figure of 10 Publicly-Listed Professional Services Companies 21.51x
Australia Market PE Ratio Median Figure of 519 Publicly-Listed Companies 18.7x

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

** Primary Listing of SEEK.

ASX:SEK PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= ASX:SEK Share Price ÷ EPS (both in AUD)

= 23.17 ÷ 0.51

45.13x

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

  • SEEK is overvalued based on earnings compared to the AU Professional Services industry average.
  • SEEK is overvalued based on earnings compared to the Australia market.
Price based on expected Growth
Does SEEK's expected growth come at a high price?
Raw Data
ASX:SEK PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 45.13x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts
13.5%per year
Australia Professional Services Industry PEG Ratio Median Figure of 7 Publicly-Listed Professional Services Companies 1.94x
Australia Market PEG Ratio Median Figure of 347 Publicly-Listed Companies 1.6x

*Line of best fit is calculated by linear regression .

ASX:SEK PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 45.13x ÷ 13.5%

3.34x

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

  • SEEK is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on SEEK's assets?
Raw Data
ASX:SEK PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-06-30) in AUD A$3.99
ASX:SEK Share Price * ASX (2019-11-19) in AUD A$23.17
Australia Professional Services Industry PB Ratio Median Figure of 21 Publicly-Listed Professional Services Companies 2.08x
Australia Market PB Ratio Median Figure of 1,584 Publicly-Listed Companies 1.75x
ASX:SEK PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= ASX:SEK Share Price ÷ Book Value per Share (both in AUD)

= 23.17 ÷ 3.99

5.81x

* Primary Listing of SEEK.

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

  • SEEK is overvalued based on assets compared to the AU Professional Services industry average.
X
Value checks
We assess SEEK'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 Professional Services 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 Professional Services industry average (and greater than 0)? (1 check)
  5. SEEK has a total score of 0/6, 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.

SEK Future Performance

 How is SEEK expected to perform in the next 1 to 3 years based on estimates from 10 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
13.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is SEEK expected to grow at an attractive rate?
  • SEEK's earnings growth is expected to exceed the low risk savings rate of 2.3%.
Growth vs Market Checks
  • SEEK's earnings growth is expected to exceed the Australia market average.
  • SEEK's revenue growth is expected to exceed the Australia market average.
Annual Growth Rates Comparison
Raw Data
ASX:SEK Future Growth Rates Data Sources
Data Point Source Value (per year)
ASX:SEK Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts 13.5%
ASX:SEK Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts 11.8%
Australia Professional Services Industry Earnings Growth Rate Market Cap Weighted Average 15.5%
Australia Professional Services Industry Revenue Growth Rate Market Cap Weighted Average 9.8%
Australia Market Earnings Growth Rate Market Cap Weighted Average 9.7%
Australia Market Revenue Growth Rate Market Cap Weighted Average 3.6%

*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
ASX:SEK Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
ASX:SEK Future Estimates Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-06-30 2,869 354 1
2023-06-30 2,565 456 300 2
2022-06-30 2,323 461 227 8
2021-06-30 2,061 421 188 10
2020-06-30 1,785 359 151 10
2019-11-19
ASX:SEK Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2019-06-30 1,557 373 180
2019-03-31 1,502 114
2018-12-31 1,442 395 48
2018-09-30 1,376 394 51
2018-06-30 1,315 393 52
2018-03-31 1,253 206
2017-12-31 1,192 348 361
2017-09-30 1,122 314 350
2017-06-30 1,052 280 340
2017-03-31 1,012 253
2016-12-31 972 258 166
2016-09-30 969 297 262

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • SEEK's earnings are expected to grow by 13.5% yearly, however this is not considered high growth (20% yearly).
  • SEEK's revenue is expected to grow by 11.8% 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
ASX:SEK Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below

All data from SEEK Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:SEK Future Estimates Data
Date (Data in AUD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-06-30 0.67 0.67 0.67 1.00
2023-06-30 0.85 0.97 0.73 2.00
2022-06-30 0.64 0.75 0.52 5.00
2021-06-30 0.53 0.60 0.46 6.00
2020-06-30 0.43 0.44 0.42 6.00
2019-11-19
ASX:SEK Past Financials Data
Date (Data in AUD Millions) EPS *
2019-06-30 0.51
2019-03-31 0.32
2018-12-31 0.14
2018-09-30 0.14
2018-06-30 0.15
2018-03-31 0.59
2017-12-31 1.03
2017-09-30 1.01
2017-06-30 0.98
2017-03-31 0.73
2016-12-31 0.48
2016-09-30 0.76

*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.
  • SEEK is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess SEEK'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 Australia market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Australia 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.
SEEK has a total score of 3/6, 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.

SEK Past Performance

  How has SEEK 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 SEEK's growth in the last year to its industry (Professional Services).
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.
  • SEEK's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • SEEK's 1-year earnings growth exceeds its 5-year average (245.4% vs -13.7%)
  • SEEK's earnings growth has exceeded the AU Professional Services industry average in the past year (245.4% vs 26.7%).
Earnings and Revenue History
SEEK'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 SEEK Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:SEK Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-06-30 1,557.30 180.30 298.10 37.70
2019-03-31 1,501.95 113.70 298.65 36.00
2018-12-31 1,441.60 48.10 299.20 34.30
2018-09-30 1,375.90 50.65 290.40 32.55
2018-06-30 1,315.20 52.20 281.60 30.80
2018-03-31 1,253.40 206.35 268.00 28.20
2017-12-31 1,191.60 360.50 254.40 25.60
2017-09-30 1,121.80 350.35 249.00 23.45
2017-06-30 1,052.00 340.20 243.60 21.30
2017-03-31 1,012.15 253.15 125.50 23.95
2016-12-31 972.30 166.10 7.40 26.60
2016-09-30 968.85 261.60 106.10 21.60
2016-06-30 965.40 357.10 204.80 16.60
2016-03-31 962.50 365.30 396.95 8.30
2015-12-31 959.60 373.50 589.10
2015-09-30 916.05 327.35 562.90
2015-06-30 872.50 281.20 536.70
2015-03-31 827.50 274.15 511.75
2014-12-31 782.50 267.10 486.80
2014-09-30 753.35 218.85 458.95
2014-06-30 724.20 170.60 431.10
2014-03-31 681.70 242.45 406.30
2013-12-31 639.20 314.30 381.50
2013-09-30 583.15 304.35 348.10
2013-06-30 527.10 294.40 314.70
2013-03-31 497.07 215.95 285.87
2012-12-31 467.05 137.49 257.03

*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.
  • SEEK has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • SEEK used its assets less efficiently than the AU Professional Services industry average last year based on Return on Assets.
  • SEEK's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess SEEK'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 Professional Services 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.
SEEK has a total score of 2/6, 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.

SEK Health

 How is SEEK'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 SEEK's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • SEEK's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • SEEK's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of SEEK'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 0.4x 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 SEEK Company Filings, last reported 4 months ago.

ASX:SEK Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-06-30 1,694.40 1,627.60 390.10
2019-03-31 1,694.40 1,627.60 390.10
2018-12-31 1,664.80 1,458.40 369.60
2018-09-30 1,664.80 1,458.40 369.60
2018-06-30 1,625.00 1,301.90 373.30
2018-03-31 1,625.00 1,301.90 373.30
2017-12-31 1,916.90 1,014.30 290.70
2017-09-30 1,916.90 1,014.30 290.70
2017-06-30 2,039.90 970.40 730.10
2017-03-31 2,039.90 970.40 730.10
2016-12-31 1,833.40 890.20 616.00
2016-09-30 1,833.40 890.20 616.00
2016-06-30 1,824.60 825.90 594.00
2016-03-31 1,824.60 825.90 594.00
2015-12-31 1,958.00 715.90 580.80
2015-09-30 1,958.00 715.90 580.80
2015-06-30 1,800.90 987.00 449.70
2015-03-31 1,800.90 987.00 449.70
2014-12-31 1,868.60 818.20 407.70
2014-09-30 1,868.60 818.20 407.70
2014-06-30 1,468.60 403.00 323.50
2014-03-31 1,468.60 403.00 323.50
2013-12-31 1,379.20 534.70 311.70
2013-09-30 1,379.20 534.70 311.70
2013-06-30 1,296.60 489.10 185.00
2013-03-31 1,296.60 489.10 185.00
2012-12-31 834.32 298.28 97.43
  • SEEK's level of debt (96.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (27.7% vs 96.1% today).
  • Debt is well covered by operating cash flow (22.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.7x coverage).
X
Financial health checks
We assess SEEK'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. SEEK has a total score of 2/6, 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.

SEK Dividends

 What is SEEK'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
1.99%
Current annual income from SEEK dividends. Estimated to be 1.71% next year.
If you bought A$2,000 of SEEK shares you are expected to receive A$40 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?
  • SEEK's pays a lower dividend yield than the bottom 25% of dividend payers in Australia (2.37%).
  • SEEK's dividend is below the markets top 25% of dividend payers in Australia (5.62%).
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
ASX:SEK 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 10 Analyst Estimates (S&P Global) See Below
Australia Professional Services Industry Average Dividend Yield Market Cap Weighted Average of 11 Stocks 2.6%
Australia Market Average Dividend Yield Market Cap Weighted Average of 390 Stocks 4.1%
Australia Minimum Threshold Dividend Yield 10th Percentile 1.5%
Australia Bottom 25% Dividend Yield 25th Percentile 2.4%
Australia Top 25% Dividend Yield 75th Percentile 5.6%

Industry and Market average data is calculated daily.

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

ASX:SEK Future Dividends Estimate Data
Date (Data in A$) Dividend per Share (annual) Avg. No. Analysts
2024-06-30
2023-06-30 0.56 1.00
2022-06-30 0.46 8.00
2021-06-30 0.38 10.00
2020-06-30 0.35 10.00
2019-11-19
ASX:SEK Past Annualized Dividends Data
Date (Data in A$) Dividend per share (annual) Avg. Yield (%)
2019-08-19 0.460 2.149
2019-02-26 0.460 2.343
2018-08-14 0.460 2.471
2018-02-19 0.450 2.197
2017-08-15 0.440 2.426
2017-02-20 0.420 2.519
2016-08-22 0.400 2.659
2015-08-18 0.360 2.501
2015-02-16 0.380 2.380
2014-08-19 0.320 1.890
2014-02-18 0.280 1.672
2013-08-20 0.240 1.956
2013-02-19 0.200 2.029
2012-08-21 0.180 2.545
2012-02-22 0.166 2.532
2011-08-22 0.150 2.678
2011-02-22 0.136 2.085
2011-02-21 0.136 2.052
2010-08-24 0.119 1.692
2010-08-23 0.134 1.785
2010-02-15 0.099 1.313
2009-08-25 0.092 1.499
2009-02-25 0.144 4.080

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 SEEK's earnings are paid to the shareholders as a dividend.
  • Dividends paid are covered by earnings (1.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.5x coverage).
X
Income/ dividend checks
We assess SEEK's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.5%) - 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 SEEK afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. SEEK has a total score of 3/6, see the detailed checks below.


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

SEK Management

 What is the CEO of SEEK'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
Andrew Bassat
COMPENSATION A$4,825,142
AGE 53
TENURE AS CEO 8.8 years
CEO Bio

Mr. Andrew R. Bassat co-founded Seek Limited in 1997 and has been its Chief Executive Officer since February 2011. Mr. Bassat also serves as Managing Director of Seek Limited. He served as a Joint Chief Executive Officer of Seek Limited from February 13, 2006 to February 2011. He leads Seek Limited's Strategy and Business development team. Mr. Bassat is also responsible for SEEK Learning. He served as Director of Business Development at Seek Limited. Mr. Bassat was a management consultant with Booz Allen & Hamilton where he was involved in a wide range of strategic assignments for major Australian and international corporations and prior to that worked as a solicitor at Corrs Chamber Westgarth. In July 2016 he was appointed as a director of St Kilda Football Club. He has been an Executive Director of Seek Limited since September 1997. He served as a Director of IDP Education Australia Limited and IDP Education Pty Ltd. Mr. Bassat holds a Bachelor of Science in Computer Science from the University of Melbourne, a Bachelor of Laws degree from Monash University and a Master of Business Administration degree from Melbourne Business School.

CEO Compensation
  • Andrew's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Andrew's remuneration is about average for companies of similar size in Australia.
Management Team Tenure

Average tenure of the SEEK management team in years:

3.7
Average Tenure
  • The tenure for the SEEK management team is about average.
Management Team

Andrew Bassat

TITLE
Co-Founder
COMPENSATION
A$5M
AGE
53
TENURE
8.8 yrs

Geoff Roberts

TITLE
Group Chief Financial Officer
COMPENSATION
A$2M
TENURE
4.1 yrs

Ian Narev

TITLE
Group COO and Asia Pacific & Americas CEO
COMPENSATION
A$899K
AGE
52
TENURE
0.6 yrs

Ronnie Fink

TITLE
Managing Director of Corporate Development
TENURE
4.7 yrs

Kathleen McCudden

TITLE
Group Human Resources Director
TENURE
3.5 yrs

Isar Mazer

TITLE
Chief Operating Officer of Investments
COMPENSATION
A$2M
TENURE
4.7 yrs

Simon Lusted

TITLE
Managing Director of Strategy & Platforms - AP&A
TENURE
1.8 yrs

Kendra Banks

TITLE
Managing Director of ANZ
TENURE
1.8 yrs

Tennealle O’Shannessy

TITLE
Managing Director of Americas - AP &A
TENURE
1.8 yrs

Lynne Jensen

TITLE
Company Secretary
TENURE
3.9 yrs
Board of Directors Tenure

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

2.7
Average Tenure
57.5
Average Age
  • The average tenure for the SEEK board of directors is less than 3 years, this suggests a new board.
Board of Directors

Graham Goldsmith

TITLE
Independent Chairman
COMPENSATION
A$309K
AGE
59
TENURE
0.8 yrs

Andrew Bassat

TITLE
Co-Founder
COMPENSATION
A$5M
AGE
53
TENURE
22.2 yrs

Michael Wachtel

TITLE
Independent Non-Executive Director
COMPENSATION
A$151K
AGE
64
TENURE
1.2 yrs

Jason Lenga

TITLE
Special Advisor of Seek International & Director of Zhaopin Ltd
AGE
45

Denise Bradley

TITLE
Independent Non-Executive Director
COMPENSATION
A$170K
AGE
77
TENURE
9.8 yrs

Julie Fahey

TITLE
Independent Non-Executive Director
COMPENSATION
A$174K
AGE
62
TENURE
5.3 yrs

Vanessa Wallace

TITLE
Independent Non-Executive Director
COMPENSATION
A$189K
AGE
56
TENURE
2.7 yrs

Leigh Jasper

TITLE
Independent Non-Executive Director
COMPENSATION
A$42K
AGE
45
TENURE
0.6 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by SEEK individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (A$) Value (A$)
30. Aug 19 Buy Leigh Jasper Individual 23. Aug 19 27. Aug 19 7,380 A$20.59 A$150,347
15. Jul 19 Sell Realindex Investments Pty Limited Company 15. Mar 19 03. Jul 19 -332,402 A$19.70 A$-6,548,127
15. Jul 19 Buy Realindex Investments Pty Limited Company 19. Mar 19 12. Jul 19 66,638 A$19.99 A$1,331,970
15. Jul 19 Sell ASB Group Investments Ltd. Company 31. May 19 31. May 19 -4,388 A$20.86 A$-91,524
15. Jul 19 Buy ASB Group Investments Ltd. Company 15. Mar 19 15. Mar 19 9,953 A$18.52 A$184,351
15. Jul 19 Sell First Sentier Investors (Australia) IM Ltd Company 15. Mar 19 12. Jul 19 -1,179,133 A$20.98 A$-24,447,208
15. Jul 19 Buy First Sentier Investors (Australia) IM Ltd Company 15. Mar 19 04. Jun 19 1,082,922 A$19.55 A$20,761,075
29. May 19 Buy Julie Fahey Individual 23. May 19 23. May 19 2,000 A$20.74 A$41,487
09. Apr 19 Sell FIL Limited Company 04. Apr 14 25. Feb 19 -7,772,360 A$21.79 A$0
15. Mar 19 Buy ASB Group Investments Ltd. Company 03. Jan 19 04. Feb 19 18,485 A$16.43 A$303,655
15. Mar 19 Buy Realindex Investments Pty Limited Company 15. Nov 18 08. Mar 19 164,884 A$17.64 A$2,907,825
15. Mar 19 Buy First Sentier Investors (Australia) IM Ltd Company 12. Nov 18 14. Mar 19 2,716,831 A$18.15 A$47,247,280
04. Mar 19 Sell First State Super Company 12. Feb 19 28. Feb 19 -5,259,735 A$17.81 A$-93,611,703
04. Mar 19 Sell Hyperion Asset Management Limited Company 12. Feb 19 28. Feb 19 -5,455,914 A$17.81 A$-96,956,120
14. Feb 19 Sell Hyperion Asset Management Limited Company 14. Mar 18 11. Feb 19 -6,205,374 A$18.62 A$-115,521,591
14. Feb 19 Buy Hyperion Asset Management Limited Company 09. Mar 18 18. Jan 19 3,771,521 A$19.44 A$73,307,139
30. Jan 19 Buy BlackRock, Inc. Company 01. Oct 18 29. Jan 19 1,371,743 A$20.66 A$57,440
17. Dec 18 Sell The Vanguard Group, Inc. Company 15. Aug 18 12. Dec 18 -191,638 A$22.21 A$-4,249,994
17. Dec 18 Buy The Vanguard Group, Inc. Company 13. Aug 18 13. Dec 18 1,126,786 A$22.52 A$25,228,728
X
Management checks
We assess SEEK'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. SEEK 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.

SEK News

Simply Wall St News

Leigh Jasper Is The Independent Non-Executive Director of SEEK Limited (ASX:SEK) And They Just Spent AU$150k On Shares

See our latest analysis for SEEK SEEK Insider Transactions Over The Last Year Notably, that recent purchase by Leigh Jasper is the biggest insider purchase of SEEK shares that we've seen in the last year. … While SEEK insiders bought shares last year, they didn't sell. … This kind of significant ownership by insiders does generally increase the chance that the company is run in the interest of all shareholders.

Simply Wall St -

How Do Analysts See SEEK Limited (ASX:SEK) Performing Over The Next Few Years?

Today I want to provide a brief commentary on how market analysts predict SEEK's earnings growth trajectory over the next couple of years and whether the future looks even brighter than the past. … See our latest analysis for SEEK Market analysts' consensus outlook for next year seems pessimistic, with earnings declining by a double-digit -17%. … ASX:SEK Past and Future Earnings, August 28th 2019 Even though it’s useful to be aware of the growth rate year by year relative to today’s value, it may be more valuable to analyze the rate at which the earnings are rising or falling every year, on average.

Simply Wall St -

What Should We Expect From SEEK Limited's (ASX:SEK) Earnings Over The Next Year?

Looking at SEEK Limited's (ASX:SEK) earnings update on 30 June 2019, it seems that analyst forecasts are fairly optimistic, with profits predicted to increase by 14% next year against the past 5-year average growth rate of -14%. … View our latest analysis for SEEK What can we expect from SEEK in the longer term? … ASX:SEK Past and Future Earnings, August 20th 2019 From the current net income level of AU$180m and the final forecast of AU$370m by 2022, the annual rate of growth for SEK’s earnings is 21%.

Simply Wall St -

Is SEEK Limited (ASX:SEK) Worth AU$18.89 Based On Its Intrinsic Value?

We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. … A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) estimate 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF (A$, Millions) A$216.5m A$324.0m A$394.0m A$370.0m A$356.3m A$349.5m A$347.3m A$348.1m A$351.2m A$355.7m Growth Rate Estimate Source Analyst x2 Analyst x1 Analyst x1 Analyst x1 Est @ -3.71% Est @ -1.9% Est @ -0.64% Est @ 0.25% Est @ 0.87% Est @ 1.3% Present Value (A$, Millions) Discounted @ 8.18% A$200.1 A$276.8 A$311.2 A$270.1 A$240.4 A$218.0 A$200.3 A$185.6 A$173.0 A$162.0 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= A$2.2b We now need to calculate the Terminal Value, which accounts for all the future cash flows after this ten year period. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = AU$356m × (1 + 2.3%) ÷ (8.2% – 2.3%) = AU$6.2b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = A$AU$6.2b ÷ ( 1 + 8.2%)10 = A$2.82b The total value is the sum of cash flows for the next ten years plus the discounted terminal value, which results in the Total Equity Value, which in this case is A$5.06b.

Simply Wall St -

Who Has Been Buying SEEK Limited (ASX:SEK) Shares?

View our latest analysis for SEEK The Last 12 Months Of Insider Transactions At SEEK Over the last year, we can see that the biggest insider purchase was by Non-Executive Director Michael Wachtel for AU$81k worth of shares, at about AU$20.37 per share. … In the last twelve months SEEK insiders were buying shares, but not selling. … ASX:SEK Recent Insider Trading, August 5th 2019 SEEK Insiders Bought Stock Recently Over the last three months, we've seen a bit of insider buying at SEEK.

Simply Wall St -

Here's Why SEEK (ASX:SEK) Can Manage Its Debt Responsibly

The first step when considering a company's debt levels is to consider its cash and debt together. … ASX:SEK Historical Debt, July 18th 2019 A Look At SEEK's Liabilities Zooming in on the latest balance sheet data, we can see that SEEK had liabilities of AU$842.3m due within 12 months and liabilities of AU$1.49b due beyond that. … Since SEEK does have net debt, we think it is worthwhile for shareholders to keep an eye on the balance sheet, over time.

Simply Wall St -

Is SEEK Limited's (ASX:SEK) CEO Paid At A Competitive Rate?

According to our data, SEEK Limited has a market capitalization of AU$7.6b, and pays its CEO total annual compensation worth AU$5.1m. … We looked at a group of companies with market capitalizations from AU$5.8b to AU$17b, and the median CEO total compensation was AU$4.1m. … I think that the total shareholder return of 56%, over three years, would leave most SEEK Limited shareholders smiling.

Simply Wall St -

Why SEEK Limited's (ASX:SEK) CEO Pay Matters To You

Andrew Bassat has been the CEO of SEEK Limited (ASX:SEK) since 2011. … View our latest analysis for SEEK How Does Andrew Bassat's Compensation Compare With Similar Sized Companies? … Over the last three years SEEK Limited has shrunk its earnings per share by an average of 40% per year (measured with a line of best fit).

Simply Wall St -

Is SEEK Limited (ASX:SEK) At Risk Of Cutting Its Dividend?

Could SEEK Limited (ASX:SEK) be an attractive dividend share to own for the long haul? … ASX:SEK Historical Dividend Yield, June 6th 2019 Payout ratios Companies (usually) pay dividends out of their earnings. If a company is paying more than it earns, the dividend might have to be cut. Comparing dividend payments to a company's net profit after tax is a simple way of reality-checking whether a dividend is sustainable. Looking at the data, we can see that 336% of SEEK's profits were paid out as dividends in the last 12 months. A payout ratio above 100% is definitely an item of concern, unless there are some other circumstances that would justify it. Another important check we do is to see if the free cash flow generated is sufficient to pay the dividend. SEEK paid out 58% of its free cash flow last year, which is acceptable, but is starting to limit the amount of earnings that can be reinvested into the business. It's disappointing to see that the dividend was not covered by profits, but cash is more important from a dividend sustainability perspective, and SEEK fortunately did generate enough cash to fund its dividend. Still, if the company repeatedly paid a dividend greater than its profits, we'd be concerned. Very few companies are able to sustainably pay dividends larger than their reported earnings. Is SEEK's Balance Sheet Risky? As SEEK's dividend was not well covered by earnings, we need to check its balance sheet for signs of financial distress. A rough way to check this is with these two simple ratios: a) net debt divided by EBITDA (earnings before interest, tax, depreciation and amortisation), and b) net interest cover. Net debt to EBITDA is a measure of a company's total debt. Net interest cover measures the ability to meet interest payments on debt. Essentially we check that a) a company does not have too much debt, and b) that it can afford to pay the interest. … Dividend Growth Potential Dividend payments have been consistent over the past few years, but we should always check if earnings per share (EPS) are growing, as this will help maintain the purchasing power of the dividend.

Simply Wall St -

Read This Before Judging SEEK Limited's (ASX:SEK) ROE

The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for SEEK: 5.3% = AU$48m ÷ AU$1.7b (Based on the trailing twelve months to December 2018.) Most know that net profit is the total earnings after all expenses, but the concept of shareholders' equity is a little more complicated. … How Does Debt Impact Return On Equity? … Conservative use of debt to boost returns is usually a good move for shareholders, though it does leave the company more exposed to interest rate rises.

Simply Wall St -

SEK Company Info

Description

SEEK Limited, together with its subsidiaries, provides online employment marketplace services in Australia and internationally. It operates through SEEK Asia Pacific & Americas, and SEEK Investments segments. The company matches hirers and candidates with career opportunities and related services; and distributes and provides higher education courses. It also provides advice in relation to career related education. The company was founded in 1997 and is headquartered in Melbourne, Australia.

Details
Name: SEEK Limited
SEK
Exchange: ASX
Founded: 1997
A$8,126,447,117
350,731,425
Website: http://www.seek.com.au
Address: SEEK Limited
541 St Kilda Road,
Level 6,
Melbourne,
Victoria, 3004,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX SEK Ordinary Shares Australian Securities Exchange AU AUD 18. Apr 2005
OTCPK SKLT.F Ordinary Shares Pink Sheets LLC US USD 18. Apr 2005
DB SLD Ordinary Shares Deutsche Boerse AG DE EUR 18. Apr 2005
CHIA SEK Ordinary Shares Chi-X Australia AU AUD 18. Apr 2005
OTCPK SKLT.Y UNSPONSORD ADR Pink Sheets LLC US USD 07. Apr 2010
Number of employees
Current staff
Staff numbers
0
SEEK employees.
Industry
Human Resource and Employment Services
Commercial Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/19 10:33
End of day share price update: 2019/11/19 00:00
Last estimates confirmation: 2019/10/31
Last earnings filing: 2019/08/19
Last earnings reported: 2019/06/30
Last annual earnings reported: 2019/06/30


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.