Boss Energy Limited Fundamental Analysis (ASX: BOE.AX)
Boss Energy Limited (ASX: BOE.AX) shows weak financial fundamentals with a PE ratio of 266.39, profit margin of 1.68%, and ROE of 0.54%. The company generates $0.2B in annual revenue with weak year-over-year growth of 0.00%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 32.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BOE.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakBOE.AX struggles to generate sufficient returns from assets.
Valuation Score
WeakBOE.AX trades at a premium to fair value.
Growth Score
WeakBOE.AX faces weak or negative growth trends.
Financial Health Score
ExcellentBOE.AX maintains a strong and stable balance sheet.
Profitability Score
ModerateBOE.AX maintains healthy but balanced margins.
Key Financial Metrics
Is BOE.AX Expensive or Cheap?
P/E Ratio
BOE.AX trades at 266.39 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, BOE.AX's PEG of 2.26 indicates potential overvaluation.
Price to Book
The market values Boss Energy Limited at 1.41 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 17.64 times EBITDA. This signals the market has high growth expectations.
How Well Does BOE.AX Make Money?
Net Profit Margin
For every $100 in sales, Boss Energy Limited keeps $1.68 as profit after all expenses.
Operating Margin
Core operations generate 7.64 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $0.54 in profit for every $100 of shareholder equity.
ROA
Boss Energy Limited generates $0.46 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Boss Energy Limited generates strong operating cash flow of $73.64M, reflecting robust business health.
Free Cash Flow
Boss Energy Limited generates strong free cash flow of $73.55M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.18 in free cash annually.
FCF Yield
BOE.AX converts 10.90% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
266.39
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.26
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.41
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.47
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.001
vs 25 benchmark
Current Ratio
Current assets to current liabilities
4.21
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.005
vs 25 benchmark
ROA
Return on assets percentage
0.005
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How BOE.AX Stacks Against Its Sector Peers
| Metric | BOE.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 266.39 | 20.77 | Worse (Expensive) |
| ROE | 0.54% | 1282.00% | Weak |
| Net Margin | 1.68% | 1331.00% | Weak |
| Debt/Equity | 0.00 | -1.72 (disorted) | Distorted |
| Current Ratio | 4.21 | 2.22 | Strong Liquidity |
| ROA | 0.46% | 4316.00% | Weak |
BOE.AX outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Boss Energy Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
0.00%
Industry Style: Cyclical, Value, Commodity
DecliningEPS CAGR
-365.48%
Industry Style: Cyclical, Value, Commodity
DecliningFCF CAGR
550.96%
Industry Style: Cyclical, Value, Commodity
High Growth