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
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
AssetCo. This is due to cash flow or dividend data being
unavailable. The share price is
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
is considered below, and whether this is a fair price.
Price based on past earnings
AssetCo's earnings available for a low price, and how does
this compare to other companies in the same industry?
AssetCo's earnings are expected to grow by 16.6% yearly, however this is not considered high growth (20% yearly).
Unable to determine if AssetCo is high growth as no revenue estimate data is available.
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.
AssetCo's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
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.
Why AssetCo plc's (LON:ASTO) High P/E Ratio Isn't Necessarily A Bad Thing
The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for AssetCo: P/E of 28.74 = £3.1 ÷ £0.11 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good? … A higher P/E ratio implies that investors pay a higher price for the earning power of the business. … All else being equal, it's better to pay a low price -- but as Warren Buffett said, 'It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price.' Does AssetCo Have A Relatively High Or Low P/E For Its Industry?
Did You Manage To Avoid AssetCo's (LON:ASTO) 19% Share Price Drop?
For example, the AssetCo plc (LON:ASTO) share price is down 19% in the last year. … Check out our latest analysis for AssetCo To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. … During the unfortunate twelve months during which the AssetCo share price fell, it actually saw its earnings per share (EPS) improve by 38%.
Read This Before Judging AssetCo plc's (LON:ASTO) ROE
The formula for ROE is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for AssetCo: 4.4% = UK£1.3m ÷ UK£30m (Based on the trailing twelve months to March 2019.) Most readers would understand what net profit is, but it’s worth explaining the concept of shareholders’ equity. … Combining AssetCo's Debt And Its 4.4% Return On Equity Shareholders will be pleased to learn that AssetCo has not one iota of net debt! … A company that can achieve a high return on equity without debt could be considered a high quality business.
How Do AssetCo plc’s (LON:ASTO) Returns Compare To Its Industry?
The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for AssetCo: 0.05 = UK£1.5m ÷ (UK£35m - UK£5.0m) (Based on the trailing twelve months to September 2018.) Therefore, AssetCo has an ROCE of 5.0%. … What Are Current Liabilities, And How Do They Affect AssetCo's ROCE? … Due to the way the ROCE equation works, having large bills due in the near term can make it look as though a company has less capital employed, and thus a higher ROCE than usual.
Should We Worry About AssetCo plc's (LON:ASTO) P/E Ratio?
This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … We'll look at AssetCo plc's (LON:ASTO) P/E ratio and reflect on what it tells us about the company's share price. … How Do I Calculate A Price To Earnings Ratio
Should AssetCo plc (LON:ASTO) Focus On Improving This Fundamental Metric?
Our data shows AssetCo has a return on equity of 4.7% for the last year. … That means that for every £1 worth of shareholders' equity, it generated £0.047 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
To wit, the AssetCo plc (LON:ASTO) share price is 34% higher than it was a year ago, much better than the market return of around -1.2% (not including dividends) in the same period. … 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. … So the fundamental metrics don't provide an obvious explanation for the share price gain.
AssetCo plc (LON:ASTO): What Are Investors Earning On Their Capital?
As a result, your investment is being put to work to fund operations and if you want to earn an attractive return on your investment, the business needs to be making an adequate amount of money from the funds you provide. … Therefore, looking at how efficiently AssetCo is able to use capital to create earnings will help us understand your potential return. … Investors use many different metrics but the analysis below focuses on return on capital employed (ROCE).
Should We Be Cautious About AssetCo plc's (LON:ASTO) ROE Of 3.5%?
AssetCo has a ROE of 3.5%, based on the last twelve months. … That means that for every £1 worth of shareholders' equity, it generated £0.035 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Should You Be Tempted To Sell AssetCo plc (LON:ASTO) Because Of Its PE Ratio?
The content of this article will benefit those of you who are starting to educate yourself about investing in the stock market. … and want to learn about the link between company’s fundamentals and stock market performance. … While this might not seem positive, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions.
AssetCo plc engages in the provision of management and resources to the fire and rescue emergency services in the Middle East and internationally. The company offers outsourced fire and rescue services. Its solutions include recruitment, training, and provision of personnel; development of internationally accredited operating standards; operational asset procurement; and asset and facilities management services. The company also provides an operational capability to meet military, civil, airside, and oil and gas incident response, support, and management. It serves the UAE Armed Forces. AssetCo plc was incorporated in 2003 and is headquartered in Monmouth, the United Kingdom.
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