Nido Education Limited
Nido Education Limited Fundamental Analysis
Nido Education Limited (NDO.AX) shows moderate financial fundamentals with a PE ratio of 13.98, profit margin of 3.82%, and ROE of 5.78%. The company generates $0.2B in annual revenue with strong year-over-year growth of 75.25%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 31.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze NDO.AX's fundamental strength across five key dimensions:
Efficiency Score
WeakNDO.AX struggles to generate sufficient returns from assets.
Valuation Score
ExcellentNDO.AX trades at attractive valuation levels.
Growth Score
ModerateNDO.AX shows steady but slowing expansion.
Financial Health Score
WeakNDO.AX carries high financial risk with limited liquidity.
Profitability Score
WeakNDO.AX struggles to sustain strong margins.
Key Financial Metrics
Is NDO.AX Expensive or Cheap?
P/E Ratio
NDO.AX trades at 13.98 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NDO.AX's PEG of -0.27 indicates potential undervaluation.
Price to Book
The market values Nido Education Limited at 0.81 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -3.08 times EBITDA. This is generally considered low.
How Well Does NDO.AX Make Money?
Net Profit Margin
For every $100 in sales, Nido Education Limited keeps $3.82 as profit after all expenses.
Operating Margin
Core operations generate 14.25 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $5.78 in profit for every $100 of shareholder equity.
ROA
Nido Education Limited generates $1.89 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Nido Education Limited produces operating cash flow of $20.57M, showing steady but balanced cash generation.
Free Cash Flow
Nido Education Limited produces free cash flow of $15.48M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.07 in free cash annually.
FCF Yield
NDO.AX converts 17.05% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.98
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.81
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.53
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.90
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.26
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.06
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How NDO.AX Stacks Against Its Sector Peers
| Metric | NDO.AX Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.98 | 22.36 | Better (Cheaper) |
| ROE | 5.78% | 1238.00% | Weak |
| Net Margin | 3.82% | -5096.00% (disorted) | Weak |
| Debt/Equity | 1.90 | 1.23 | Weak (High Leverage) |
| Current Ratio | 0.26 | 2.47 | Weak Liquidity |
| ROA | 1.89% | -191998.00% (disorted) | Weak |
NDO.AX outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Nido Education Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
1930.52%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
961.30%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
0.00%
Industry Style: Defensive, Dividend, Low Volatility
Declining