ASX Limited (ASX)



Welcome to InvestSMART

You are currently viewing our site as a guest, which gives you limited access to our site features. By signing up for a free membership, you will receive our Investment Opportunity newsletters and have access to additional features for finding and comparing managed funds and shares. Registration is fast and simple, so please:

Sign Up Today Ľ it's FREE! Already a member? Login now!


General Information
Company Name: ASX Limited
Stock Code: ASX
Website: www.asx.com.au
GICS Sub-Industry: Specialized Finance
Market Cap ($M): 6,880
Equiv. Shares (M): 194

Current Price Data+
Current Price Open High Low Last Close Volume Price Movement
$ 35.540 $ 35.200 $ 35.920 $ 35.200 $ 35.540 672,697 0%

Current Broker Consensus Recommendation more
Recommendation: Hold (3)
Recommendation Date: 17th Dec 2014
Brokers Surveyed: 4

Company Overview

Business Description:
ASX Limited (ASX) operates Australia's primary national securities exchanges. These include the provision of securities exchange services, derivatives exchange services, central counterparty clearing services, and registry, settlement, and delivery-versus-payment clearing financial products and associated ancillary services. It also provides market data services and investor education courses.

Strategy Analysis:
ASX is a strong cashflow generator given its strong operating leverage. With relatively low capital expenditure demands, ASX has been able to sustain a high dividend payout ratio of around 90%. We expect this to continue. ASX lacks an appetite for acquisitions--not a bad thing. The company seeks to drive growth organically through product innovation and cost efficiencies. We do not expect this strategy to change. ASX reported NPAT down 2.5% to $171.1m for the half-year ended 31 December 2012. Earnings were impacted by lower revenues resulting from reduced market activity, particularly in equity markets. Revenues from ordinary activities were $387.6m, down 5.6% from the same period last year. Basic and Diluted EPS was 97.7 cents compared to 100.2 cents last year. Net operating cash flow was $206.2m compared to $184.0m last year. The interim dividend declared was 87.9 cents compared with 92.8 cents last year.


Financial Summary
Year to Jun NPAT EPS EPS chg (%) PER DPS Yield (%) Franking (%)
2016  F 430.8 222.5 7.5 16.0 200.0 5.6 100.0
2015  F 400.9 207.1 4.3 17.2 190.0 5.3 100.0
2014  A 383.2 198.5 1.5 18.0 178.1 5.0 100.0
Source: Morningstar analyst estimates.

Peer Comparison
EPS Growth (%) P/E (%) Dividend Yield (%)
Company Mkt Cap 2014 A 2015 F 2016 F 2014 A 2015 F 2016 F 2014 A 2015 F 2016 F
ASX (ASX) $6,784 M NaN 0.0182 0.0492 17.6497 17.3337 16.5205 5.08 5.19 5.44

Market Comparison
Earnings P/E Ratio P/B Ratio P/E Growth P/S Ratio
ASX 1.20 17.7 1.87 5.28 10.36
Market 0.88 14.7 1.18 1.88 1.45
Sector 1.16 13.5 1.03 1.78 7.24

Directors
Name Position Start Date
Mr Elmer Funke Kupper Chief Executive Officer,Managing Director 06 October 2011
Mr Peter Hastings Warne Non-Executive Director 25 July 2006
Ms Jillian Shirley Segal Non-Executive Director 29 July 2003
Mr Dominic John Stevens Non-Executive Director 19 December 2013
Mr Peter Ralph Marriott Non-Executive Director 01 July 2009
Ms Heather M Ridout Non-Executive Director 29 August 2012
Dr Kenneth Ross Henry Non-Executive Director 22 January 2013
Mr Damian Roche Non-Executive Director 01 August 2014
Mr Roderic (Rick) Holliday-Smith Non-Executive Director,Non-Executive Chairman 25 July 2006

Management
Name Position
Kevin A Lewis Chief Compliance Officer
Ramy Aziz Chief Financial Officer
Tim Thurman Chief Information Officer
Alan J Bardwell Chief Risk Officer
Marcin Firek Company Secretary
Amanda Harkness Company Secretary,Group General Counsel
Peter Hiom Deputy Chief Executive Officer
Tim J Hogben Executive General Manager Operations
Daniel Csillag Senior Legal Counsel,Company Secretary

Calendar of Events
Date Event
20 August 2015 Report (Annual)
20 August 2015 Report (Prelim)
09 March 2015 Report (Interim)
12 February 2015 Report (Interim)
© 2011 Morningstar, Inc. All rights reserved. The data and content contained herein are not guaranteed to be accurate, complete or timely. Neither Morningstar, nor its affiliates nor their content providers will have any liability for use or distribution of any of this information. To the extent that any of the content above constitutes advice, it is general advice that has been prepared by Morningstar Australasia Pty Ltd ABN: 95 090 665 544, AFSL: 240892 (a subsidiary of Morningstar, Inc.), without reference to your objectives, financial situation or needs. Before acting on any advice, you should consider the appropriateness of the advice and we recommend you obtain financial, legal and taxation advice before making any financial investment decision. If applicable investors should obtain the relevant product disclosure statement and consider it before making any decision to invest. Some material is copyright and published under licence from ASX Operations Pty Limited ACN 004 523 782 ("ASXO"). DISCLOSURE: Employees may have an interest in the securities discussed in this report. Please refer to our Financial Services Guide (FSG) for more information at www.morningstar.com.au/fsg.asp.

Advertisement

Trade Shares Online from $19.95^
Free Guides

The SMH Guide to Optimising Your Portfolio

An educational booklet that will point out what you need to know to use options effectively for additional income and risk management.

More details...

News

Aussie Investors take their foot off the accelerator

By Betty Lam (Sales Trader, CMC Markets) 18/12/2014 | Lead by the Fed-fervour offshore, Australians shares jumped on the Yellen cheer wagon. The material and energy stocks were back in vogue as both sectors gained over 3% in morning trade.

Fed Feeds Frenzy

By Michael McCarthy (chief market strategist, CMC Markets) 18/12/2014 | In spite of a frenzied pre-mortem, a benign statement from the US Federal Reserve‚Äôs Open Market Committee and steadying commodity markets drove investors back into share markets overnight. A calmer, stronger ruble helped offset European growth fears, highlighted in the overnight session by further declines in inflation.

Household brands Woolworths and Telstra Heavy Lifting

By Betty Lam (Sales Trader, CMC Markets) 11/12/2014 | Offshore jitters sent ripples through to Australian stocks. The open saw the local equities take 65 points off the index, catalysed by a mass-exit in energy stocks, yet again.

Steady open as Woodside investors wait on details of possible Wheatstone acquisition

By Ric Spooner (Chief Market Analyst, CMC Markets) 10/12/2014 | Yesterday‚Äôs news on Greek politics and China‚Äôs bond market came at a time when US and European stock markets have extended rallies and pushed valuations higher. This makes those markets vulnerable to downward corrections as profit takers act to avoid missing out.

MYEFO and Lima - December could be nasty.

BR Securities Australia Pty Ltd 2/12/2014 | December 2014 could go down as a nasty moment in Australian finance. MYEFO will reveal a deteriorating budget deficit and the UNFCCC meeting in Lima, Peru will provide the agreement, to be ratified in Paris in 2015, on how much (or little) CO2 is to be allowed into the atmosphere from 2020.

Australian Share Market - Close Up

CMC Markets 11/11/2014 | The Australian share market is in a decision zone - and trading from here may set the direction for the rest of the year.

More...


Sponsored Links