NEXTDC Limited (NXT.AX)

Technology · ASX · Australia

AUD13.70+2.09% today

Fundamentals

Market capAUD6.94B
Revenue growth (YoY)+12.8%
Profit margin-12.6%
Return on equity-1.4%
52-week rangeAUD10.91 to AUD18.22

Valuation and ratings

DCF fair valueAUD6.47
Upside to fair value-52.8%
Analyst target (mean)AUD20.12
Analyst rangeAUD15.50 to AUD32.29
Analysts covering14
Consensus viewstrong buy
Moat score50/100
Overall rating29/100, Sell

Fair value: AUD6.47 (-52.8%), see how we got there

NEXTDC Limited trades at AUD13.70, which is 53% above the AUD6.47 our discounted cash flow model puts on the business. On that measure it screens as expensive, which is not the same as saying it will fall.

Our moat model scores it 50 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.

NXT.AX earnings and analyst estimates

EPS estimate, next year-AUD0.40
Expected EPS growth-111.8%
Expected revenue growth+47.8%

Recommendation mix, 14 analyst ratings

14 buy0 hold0 sell

Estimates are the published analyst consensus and move often. An earnings date is scheduled, not certain, and a share tends to reprice most violently on the day itself.

About NEXTDC Limited

NEXTDC Limited develops and operates data centers in Australia and the Asia-Pacific region. The company offers data center colocation solutions, such as rack spaces, private suites and cages, high performance computing, remote hands, and amenities; mission critical spaces; data center migration and relocation solutions; e-waste recycling, IT asset disposal and destruction, and carbon neutral solutions; build-to-suit and wholesale data center solutions; disaster recovery and business continuity solutions; liquid cooling; security and compliance solutions; and edge data centers. It also provides self-service portals comprising ONEDC, a data center infrastructure management solution; AXON, an interconnectivity platform; and NEXTGOV, a sustainable solution for government and defense system. NEXTDC Limited was incorporated in 2010 and is headquartered in Brisbane, Australia.

Industry: Information Technology ServicesHQ: Australia

NXT.AX passes 1 of our 30 screens today

Each screen prints the exact criteria it used, and the circumstances in which it is wrong.

Common questions

Is NEXTDC Limited (NXT.AX) undervalued?

Against our discounted cash flow estimate of AUD6.47, NXT.AX at AUD13.70 is 53% above fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.

The full research page for NXT.AX, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.

Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.