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CML Group

ASX:CGR
Snowflake Description

High growth potential with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CGR
ASX
A$97M
Market Cap
  1. Home
  2. AU
  3. Diversified Financials
Company description

CML Group Limited provides financial management and payroll services in Australia. The last earnings update was 36 days ago. More info.


Add to Portfolio Compare Print
  • CML Group has significant price volatility in the past 3 months.
CGR Share Price and Events
7 Day Returns
11%
ASX:CGR
4%
AU Diversified Financial
1.1%
AU Market
1 Year Returns
-7.1%
ASX:CGR
-36.5%
AU Diversified Financial
-18.9%
AU Market
CGR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
CML Group (CGR) 11% -16.5% -20.2% -7.1% 71.7% 139.5%
AU Diversified Financial 4% -20.8% -30.8% -36.5% -70.2% -75.7%
AU Market 1.1% -20.8% -25% -18.9% -16% -16.4%
1 Year Return vs Industry and Market
  • CGR outperformed the Diversified Financial industry which returned -36.5% over the past year.
  • CGR outperformed the Market in Australia which returned -18.9% over the past year.
Price Volatility
CGR
Industry
5yr Volatility vs Market

CGR Value

 Is CML Group 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 CML Group 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 CML Group.

ASX:CGR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= A$0.21 * 9.3%
A$0.02
Book Value of Equity per Share Median Book Value from the past 5 years. A$0.21
Discount Rate (Cost of Equity) See below 5.8%
Perpetual Growth Rate 10-Year AU Government Bond Rate 1.1%

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:CGR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year AU Govt Bond Rate 1.1%
Equity Risk Premium S&P Global 5.4%
Diversified Financial Unlevered Beta Simply Wall St/ S&P Global 0.71
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.709 (1 + (1- 30%) (258.39%))
0.867
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.87
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.08% + (0.867 * 5.44%)
5.8%

Discounted Cash Flow Calculation for ASX:CGR using Excess Returns Model Model

The calculations below outline how an intrinsic value for CML Group is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

ASX:CGR Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (9.3% – 5.8%) * A$0.21)
A$0.01
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= A$0.01 / (5.8% - 1.08%)
A$0.15
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= A$0.21 + A$0.15
A$0.36
ASX:CGR Discount to Share Price
Calculation Result
Value per share (AUD) From above. A$0.36
Current discount Discount to share price of A$0.46
= -1 x (A$0.46 - A$0.36) / A$0.36
-26.3%

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

  • The current share price of CML Group 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 CML Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are CML Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
ASX:CGR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in AUD A$0.03
ASX:CGR Share Price ** ASX (2020-04-03) in AUD A$0.46
Global Diversified Financial Industry PE Ratio Median Figure of 307 Publicly-Listed Diversified Financial Companies 9.21x
Australia Market PE Ratio Median Figure of 515 Publicly-Listed Companies 13.28x

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

** Primary Listing of CML Group.

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

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

= 0.46 ÷ 0.03

15.51x

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

  • CML Group is overvalued based on earnings compared to the Global Diversified Financial industry average.
  • CML Group is overvalued based on earnings compared to the Australia market.
Price based on expected Growth
Does CML Group's expected growth come at a high price?
Raw Data
ASX:CGR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 15.51x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
37.5%per year
Global Diversified Financial Industry PEG Ratio Median Figure of 56 Publicly-Listed Diversified Financial Companies 0.42x
Australia Market PEG Ratio Median Figure of 337 Publicly-Listed Companies 1.04x

*Line of best fit is calculated by linear regression .

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

= PE Ratio ÷ Net Income Annual Growth Rate

= 15.51x ÷ 37.5%

0.41x

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

  • CML Group is good value based on expected growth next year.
Price based on value of assets
What value do investors place on CML Group's assets?
Raw Data
ASX:CGR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in AUD A$0.24
ASX:CGR Share Price * ASX (2020-04-03) in AUD A$0.46
Australia Diversified Financial Industry PB Ratio Median Figure of 13 Publicly-Listed Diversified Financial Companies 0.82x
Australia Market PB Ratio Median Figure of 1,614 Publicly-Listed Companies 1.23x
ASX:CGR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 0.46 ÷ 0.24

1.93x

* Primary Listing of CML Group.

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

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

CGR Future Performance

 How is CML Group expected to perform in the next 1 to 3 years based on estimates from 2 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
37.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is CML Group expected to grow at an attractive rate?
  • CML Group's earnings growth is expected to exceed the low risk savings rate of 1.1%.
Growth vs Market Checks
  • CML Group's earnings growth is expected to exceed the Australia market average.
  • CML Group's revenue growth is expected to exceed the Australia market average.
Annual Growth Rates Comparison
Raw Data
ASX:CGR Future Growth Rates Data Sources
Data Point Source Value (per year)
ASX:CGR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 37.5%
ASX:CGR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 10.6%
Australia Diversified Financial Industry Earnings Growth Rate Market Cap Weighted Average 99.1%
Australia Diversified Financial Industry Revenue Growth Rate Market Cap Weighted Average -87.1%
Australia Market Earnings Growth Rate Market Cap Weighted Average 10.1%
Australia Market Revenue Growth Rate Market Cap Weighted Average 4%

*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:CGR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in AUD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
ASX:CGR Future Estimates Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-06-30 62 -1 13 1
2021-06-30 58 5 14 2
2020-06-30 52 -39 6 1
2020-04-03
ASX:CGR Past Financials Data
Date (Data in AUD Millions) Revenue Cash Flow Net Income *
2019-12-31 47 5 6
2019-09-30 48 8 7
2019-06-30 48 11 8
2019-03-31 48 10 7
2018-12-31 47 9 5
2018-09-30 47 8 4
2018-06-30 47 6 3
2018-03-31 46 12 3
2017-12-31 46 17 3
2017-09-30 43 11 3
2017-06-30 40 5 2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • CML Group's earnings are expected to grow significantly at over 20% yearly.
  • CML Group's revenue is expected to grow by 10.6% 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:CGR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from CML Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:CGR Future Estimates Data
Date (Data in AUD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-06-30 0.06 0.06 0.06 1.00
2021-06-30 0.06 0.07 0.06 2.00
2020-06-30 0.03 0.03 0.03 1.00
2020-04-03
ASX:CGR Past Financials Data
Date (Data in AUD Millions) EPS *
2019-12-31 0.03
2019-09-30 0.04
2019-06-30 0.04
2019-03-31 0.03
2018-12-31 0.03
2018-09-30 0.02
2018-06-30 0.02
2018-03-31 0.02
2017-12-31 0.02
2017-09-30 0.02
2017-06-30 0.02

*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.
  • CML Group is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
X
Future performance checks
We assess CML Group'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.
CML Group has a total score of 5/6, 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.

CGR Past Performance

  How has CML Group 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 CML Group's growth in the last year to its industry (Diversified Financial).
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.
  • CML Group has delivered over 20% year on year earnings growth in the past 5 years.
  • CML Group's 1-year earnings growth is less than its 5-year average (8% vs 51.8%)
  • CML Group's earnings growth has exceeded the Global Diversified Financial industry average in the past year (8% vs 7.2%).
Earnings and Revenue History
CML Group'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 CML Group Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

ASX:CGR Past Revenue, Cash Flow and Net Income Data
Date (Data in AUD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 47.48 5.92 6.34
2019-09-30 47.58 7.16 6.64
2019-06-30 47.68 8.40 6.95
2019-03-31 47.58 6.73 7.99
2018-12-31 47.49 5.48 8.80
2018-09-30 47.12 4.33 8.22
2018-06-30 46.75 3.19 7.63
2018-03-31 46.29 3.29 7.16
2017-12-31 45.82 3.40 6.68
2017-09-30 42.91 2.94 5.85
2017-06-30 40.01 2.49 5.03
2016-12-31 33.48 1.28 2.27
2016-09-30 30.28 1.12 1.85
2016-06-30 27.09 0.95 1.44
2015-12-31 -10.47 -0.42 4.49
2015-09-30 6.41 -0.58 4.60
2015-06-30 23.30 -0.73 4.71
2015-03-31 123.41 0.34 73.66
2014-12-31 123.65 0.66 68.25
2014-09-30 131.51 0.88 67.71
2014-06-30 139.37 1.11 67.18
2014-03-31 126.03 0.96 44.75
2013-12-31 112.69 0.81 22.33
2013-09-30 106.75 0.79 22.43
2013-06-30 100.82 0.77 22.54

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

CGR Health

 How is CML Group'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 CML Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • CML Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • CML Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of CML Group'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 covered by short term assets, assets are 1.1x 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 CML Group Company Filings, last reported 3 months ago.

ASX:CGR Past Debt and Equity Data
Date (Data in AUD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 51.19 248.85 31.18
2019-09-30 51.19 248.85 31.18
2019-06-30 44.80 112.97 21.08
2019-03-31 44.80 112.97 21.08
2018-12-31 43.14 124.16 21.66
2018-09-30 43.14 124.16 21.66
2018-06-30 40.17 128.44 15.68
2018-03-31 40.17 128.44 15.68
2017-12-31 27.56 83.71 19.27
2017-09-30 27.56 83.71 19.27
2017-06-30 16.42 87.27 14.93
2016-12-31 15.89 87.54 19.56
2016-09-30 15.89 87.54 19.56
2016-06-30 14.54 84.17 14.74
2015-12-31 10.43 37.03 11.00
2015-09-30 10.43 37.03 11.00
2015-06-30 9.90 35.02 14.14
2015-03-31 9.90 35.02 14.14
2014-12-31 10.37 8.60 2.42
2014-09-30 10.37 8.60 2.42
2014-06-30 10.27 9.20 0.50
2014-03-31 10.27 9.20 0.50
2013-12-31 5.18 8.56 0.77
2013-09-30 5.18 8.56 0.77
2013-06-30 4.20 5.91 1.54
  • CML Group's level of debt (486.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (85.8% vs 486.1% today).
  • Debt is not well covered by operating cash flow (2%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 2.4x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess CML Group'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. CML Group 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.

CGR Dividends

 What is CML Group'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
0%
Current annual income from CML Group dividends. Estimated to be 6.43% next year.
If you bought A$2,000 of CML Group shares you are expected to receive A$0 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?
  • Unable to evaluate CML Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate CML Group's dividend against the top 25% market benchmark as the company has not reported any payouts.
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:CGR 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 2 Analyst Estimates (S&P Global) See Below
Global Diversified Financial Industry Average Dividend Yield Market Cap Weighted Average of 160 Stocks 4.7%
Australia Market Average Dividend Yield Market Cap Weighted Average of 370 Stocks 5.5%
Australia Minimum Threshold Dividend Yield 10th Percentile 1.7%
Australia Bottom 25% Dividend Yield 25th Percentile 3.2%
Australia Top 25% Dividend Yield 75th Percentile 8%

Industry and Market average data is calculated daily.

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

ASX:CGR Future Dividends Estimate Data
Date (Data in A$) Dividend per Share (annual) Avg. No. Analysts
2022-06-30 0.03 1.00
2021-06-30 0.03 2.00
2020-06-30 0.03 1.00
2020-04-03
ASX:CGR Past Annualized Dividends Data
Date (Data in A$) Dividend per share (annual) Avg. Yield (%)
2020-02-27 0.000 0.000
2019-09-18 0.028 5.598
2019-08-21 0.028 6.161
2019-02-20 0.020 4.214
2018-08-22 0.015 2.968
2018-02-21 0.015 2.733
2017-08-22 0.015 3.761
2016-08-25 0.010 3.851
2016-02-25 0.010 5.652
2015-09-29 0.000 0.000
2015-08-27 0.000 0.000
2015-02-26 0.001 0.623
2014-08-25 0.012 6.115
2014-02-25 0.010 4.040
2013-09-27 0.010 5.113
2013-08-30 0.010 8.272
2013-02-20 0.010 9.397
2012-09-03 0.010 9.546
2012-03-01 0.010 8.811
2011-09-08 0.010 8.728
2011-02-25 0.010 9.307
2010-06-11 0.017 12.202
2010-02-24 0.013 7.119

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

  • Unable to perform a dividend volatility check as CML Group has not reported any payouts.
  • Unable to verify if CML Group's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of CML Group's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as CML Group has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (2x coverage).
X
Income/ dividend checks
We assess CML Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.7%) - 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 CML Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. CML Group has a total score of 1/6, see the detailed checks below.


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

CGR Management

 What is the CEO of CML Group'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
Daniel Riley
COMPENSATION A$600,000
TENURE AS CEO 9.5 years
CEO Bio

Mr. Daniel Riley, B.Comm, CPA has been Managing Director and Chief Executive Officer of CML Group Limited since October 1, 2010. Mr. Riley serves as Managing Director at Zenith Management Services Group Pty Ltd. He served as Consultant of CML Group Limited (also known as CareersMultilist Limited) since October 8, 2014. He served as an Interim Company Secretary from August 2012 to October 1, 2012. Mr. Riley served as Company Secretary of CareersMultilist Limited until October 1, 2010. He has strong experience in finance and commercial roles during his tenure with CareersMultiList and other companies. He joined RG Capital in 2000 as Accountant before joining CareersMultiList in 2002 as Accountant. At CareersMultilist, he served as Financial Controller, Finance Director and Operations Director during the ensuing years. He has contributed to the earnings of CareersMultiList in 2009 and beyond, through a restructure of the franchise group and through identifying and managing the acquisition of synergisive businesses. He serves as an Executive Director at CML Group Limited. He served as an Executive Director of CareersMultilist Limited until to October 8, 2014. Since 2003, he served as a Director of Elkins Consultancy Pty Limited ACN 099 424 889 and Greenfield Labour Hire Pty Limited ACN 099 424 969. He is a Member of CPA Australia. He has a degree in Commerce from Wollongong University.

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

Daniel Riley

TITLE
CEO, MD & Executive Director
COMPENSATION
A$600K
TENURE
9.5 yrs

Steve Shin

TITLE
CFO & Company Secretary
COMPENSATION
A$265K
TENURE
5 yrs

Shannon Stelfox

TITLE
Chief Operating Officer

Mark Cleaver

TITLE
Managing Director
Board of Directors Tenure

Average tenure of the CML Group board of directors in years:

5.3
Average Tenure
  • The tenure for the CML Group board of directors is about average.
Board of Directors

Greg Riley

TITLE
Non-Executive Chairperson
COMPENSATION
A$85K
TENURE
5.4 yrs

Daniel Riley

TITLE
CEO, MD & Executive Director
COMPENSATION
A$600K

Sue Healy

TITLE
Independent Non-Executive Director
COMPENSATION
A$55K
TENURE
7.4 yrs

Geoff Sam

TITLE
Independent Non-Executive Director
COMPENSATION
A$55K
AGE
65
TENURE
5.1 yrs

Ilkka Tales

TITLE
Independent & Non-Executive Director
COMPENSATION
A$55K
TENURE
2.6 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (A$) Value (A$)
30. Mar 20 Buy First Samuel Limited Company 23. May 19 26. Mar 20 2,715,993 A$0.43 A$1,172,272
19. Mar 20 Sell Credit Suisse, Investment Banking and Securities Investments Company 11. Mar 20 17. Mar 20 -381,345 A$0.58 A$-190,534
17. Mar 20 Buy 31 May Pty Ltd Company 19. Dec 19 13. Mar 20 374,132 A$0.57 A$213,255
17. Mar 20 Buy Harvest Lane Asset Management Pty Ltd Company 19. Dec 19 13. Mar 20 10,689,771 A$0.57 A$6,093,175
27. Feb 20 Sell Credit Suisse, Investment Banking and Securities Investments Company 28. Oct 19 12. Feb 20 -1,215,664 A$0.47 A$-573,052
27. Feb 20 Buy Credit Suisse, Investment Banking and Securities Investments Company 06. Nov 19 25. Feb 20 11,735,993 A$0.55 A$6,490,448
31. Jan 20 Sell Moelis Australia Asset Management Ltd Company 30. Jan 20 30. Jan 20 -10,204,614 A$0.58 A$-5,918,663
30. Jan 20 Buy Consolidated Operations Group Limited, Asset Management Arm Company 28. Jan 20 29. Jan 20 37,770,423 A$0.58 A$21,871,218
22. Jan 20 Buy Moelis Australia Asset Management Ltd Company 10. Jan 20 20. Jan 20 2,660,555 A$0.55 A$1,457,956
13. Jan 20 Buy Moelis Australia Asset Management Ltd Company 13. Dec 18 09. Jan 20 3,197,768 A$0.51 A$1,623,407
13. Sep 19 Buy Geoffrey Sam Individual 11. Sep 19 11. Sep 19 100,000 A$0.53 A$52,562
23. May 19 Buy First Samuel Limited Company 16. Mar 19 22. May 19 2,176,367 A$0.47 A$1,019,154
X
Management checks
We assess CML Group'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. CML Group 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.

CGR News

Simply Wall St News

How Do Analysts See CML Group Limited (ASX:CGR) Performing Over The Next Few Years?

The latest earnings update CML Group Limited (ASX:CGR) released in August 2019 showed that the company experienced a significant tailwind, more than doubling its earnings from the prior year. … See our latest analysis for CML Group Analysts' expectations for this coming year seems buoyant, with earnings growing by a robust 17%. … ASX:CGR Past and Future Earnings, September 3rd 2019 Even though it is informative knowing the growth rate year by year relative to today’s value, it may be more insightful gauging the rate at which the company is growing every year, on average.

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Do Insiders Own Lots Of Shares In CML Group Limited (ASX:CGR)?

Our analysis of the ownership of the company, below, shows that institutional investors have bought into the company. … Check out our latest analysis for CML Group ASX:CGR Ownership Summary, August 22nd 2019 What Does The Institutional Ownership Tell Us About CML Group? … Insider Ownership Of CML Group While the precise definition of an insider can be subjective, almost everyone considers board members to be insiders.

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Who Has Been Selling CML Group Limited (ASX:CGR) Shares?

So before you buy or sell CML Group Limited (ASX:CGR), you may well want to know whether insiders have been buying or selling. … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.' View our latest analysis for CML Group CML Group Insider Transactions Over The Last Year The CEO, MD & Executive Director, Daniel Riley, made the biggest insider sale in the last 12 months. … ASX:CGR Recent Insider Trading, August 8th 2019 Insider Ownership of CML Group Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own.

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Does The Data Make CML Group Limited (ASX:CGR) An Attractive Investment?

In the case of CML Group Limited (ASX:CGR), there's has a a great track record of performance as well as a buoyant growth outlook going forward. … Not only did CGR outperformed its past performance, its growth also surpassed the Diversified Financial industry expansion, which generated a 9.1% earnings growth. … ASX:CGR Past and Future Earnings, July 19th 2019 Next Steps: For CML Group, I've put together three pertinent aspects you should further research: Financial Health: Does it have a healthy balance sheet?

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What Does CML Group Limited's (ASX:CGR) P/E Ratio Tell You?

We'll look at CML Group Limited's (ASX:CGR) P/E ratio and reflect on what it tells us about the company's share price. … CML Group has a price to earnings ratio of 14.14, based on the last twelve months. … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for CML Group: P/E of 14.14 = A$0.42 ÷ A$0.030 (Based on the trailing twelve months to December 2018.) Is A High P/E Ratio Good?

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Should We Worry About CML Group Limited's (ASX:CGR) P/E Ratio?

View our latest analysis for CML Group How Do I Calculate A Price To Earnings Ratio? … The formula for price to earnings is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for CML Group: P/E of 14.14 = A$0.42 ÷ A$0.030 (Based on the year to December 2018.) Is A High Price-to-Earnings Ratio Good? … If the reality for a company is not as bad as the P/E ratio indicates, then the share price should increase as the market realizes this.

Simply Wall St -

The CML Group (ASX:CGR) Share Price Is Up 142% And Shareholders Are Boasting About It

CML Group Limited (ASX:CGR) shareholders might be concerned after seeing the share price drop 16% in the last quarter. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … As well as measuring the share price return, investors should also consider the total shareholder return (TSR).

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Here's What You Should Know About CML Group Limited's (ASX:CGR) 4.2% Dividend Yield

Today we'll take a closer look at CML Group Limited (ASX:CGR) from a dividend investor's perspective. Owning a strong business and reinvesting the dividends is widely seen as an attractive way of growing your wealth. Unfortunately, it's common for investors to be enticed in by the seemingly attractive yield, and lose money when the company has to cut its dividend payments. With a nine-year payment history and a 4.2% yield, many investors probably find CML Group intriguing. It sure looks interesting on these metrics - but there's always more to the story . Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … CML Group's earnings per share have grown rapidly in recent years, although more than half of its profits are being paid out as dividends, which makes us wonder if the company has a limited number of reinvestment opportunities in its business. … CML Group has a number of positive attributes, but falls short of our ideal dividend company.

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Have Insiders Been Selling CML Group Limited (ASX:CGR) Shares This Year?

So we'll take a look at whether insiders have been buying or selling shares in CML Group Limited (ASX:CGR). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … That means that an insider was selling shares at around the current price of AU$0.48.

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Do Directors Own CML Group Limited (ASX:CGR) Shares?

Generally speaking, as a company grows, institutions will increase their ownership. … So it's nice to see some insider ownership, because it may suggest that management is owner-oriented. … Our analysis of the ownership of the company, below, shows that.

Simply Wall St -

CGR Company Info

Description

CML Group Limited provides financial management and payroll services in Australia. It operates through Finance, Equipment Finance, and Other Services segments. The Finance segment offers invoice financing or receivables finance services. The Equipment Finance segment provides equipment finance services for old and new equipment, such as sale back of owned or partially owned equipment, private sales, and mid-term financing. The Other Services segment offers employment solutions comprising labor sourcing and project management. It also offers trade finance services. The company was formerly known as Careers Multilist Limited and changed its name to CML Group Limited in May 2014. CML Group Limited was founded in 2002 and is based in North Sydney, Australia.

Details
Name: CML Group Limited
CGR
Exchange: ASX
Founded: 2002
A$96,819,565
217,572,057
Website: http://www.CML-Group.com.au
Address: CML Group Limited
201 Miller Street,
Level 11,
North Sydney,
New South Wales, 2060,
Australia
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
ASX CGR Ordinary Shares Australian Securities Exchange AU AUD 23. Feb 2010
CHIA CGR Ordinary Shares Chi-X Australia AU AUD 23. Feb 2010
Number of employees
Current staff
Staff numbers
0
CML Group employees.
Industry
Specialized Finance
Diversified Financials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/03 10:42
End of day share price update: 2020/04/03 00:00
Last estimates confirmation: 2020/03/31
Last earnings filing: 2020/02/27
Last earnings reported: 2019/12/31
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.