SOMNOMED LIMITED (SOM) Stock Report Internet tracker
12 August, 2008 (16:00:00 AEST)
SOMNOMED LIMITED PRICE 4.0% ABOVE VOLUME WEIGHTED PRICE BUT AT 23.8% DISCOUNT TO 52-WEEK HIGH August 12, 2008 16:00:00 AEST
Somnomed Limited (SOM), Australia's 22nd largest Healthcare Equipment company by market capitalisation, closed unchanged at 3.20c. The price is at a premium of 4.0% to the 1-month volume weighted average price of 3.08c. Given that this premium has exceeded 4.0% eighty-nine times and been under 4.0% thirty-one times in the last year, the upside:downside probability is estimated at 89:31 or 2.9:1. Compared with the All Ordinaries Index which rose 21.1 points (or 0.4%) on the day, this represented a relative price change of -0.4%.
PRICE VOLUME DYNAMICS Moving Average Price (MAP): The price to 200-day MAP ratio is 1.48, a bullish indicator. In the past 200 days this ratio has exceeded 1.48 21 times suggesting further upside. The stock is trading above both its MAPs and the 50-day MAP of 3.05c is higher than the 200-day MAP of 2.16c, another bullish indicator. Relativities: Since open its percentile rank in the Australian market was 68. In the Australian market of 2,115 stocks, the stock has a 6-month relative strength of 98 which means it is beating 98% of the market. Volume and Turnover Period: There were 376,875 shares worth $12,060 traded. The volume was 0.2 times average trading of 1,707,786 shares. The turnover rate in the 12 months to date was 55.7% (or a turnover period of 1 year 9 months). This average length of ownership of the stock at 1.8 times the average holding period of 1 year 6 days for stocks in the S&P/ASX 200 Index suggests a larger number of core investors, making a long-term investment safer. % Discount to High: The last price is at a discount of 23.8% to the 12-month high of 4.20c two months ago on 20 Jun, 2008.
PRICE PERFORMANCE RANK IN INDEX AND SECTORS The stock is in 1 index and 5 sectors. The following index and sectors rose (rank by percentage price change of stock for 1 day;6 months in sector/index in brackets): Biotechnology Sector (rank 28;2 out of 73) which was up 158.4 points or 1.8% to 8,859.4, S&P/ASX 200 Health Care Index (rank 36;3 out of 140) which was up 108.6 points or 1.2% to 9,177.5, Industrials Sector (rank 258;9 out of 993) which was up 28.7 points or 0.6% to 4,805.2, Total Australian Market (rank 406;29 out of 2136) which was up 18.2 points or 0.3% to 5,360.6 The following sectors fell: Total Australian Market -x- All Ordinaries Sector (rank 178;22 out of 1274) which was down 36.0 points or 0.7% to 5,208.3, Healthcare Equipment Sector (rank 17;2 out of 63) which was down 14.1 points or 0.2% to 8,067.0
SHAREHOLDER RETURNS Trailing One Week: The stock rose twice (40% of the time), was unchanged once (20% of the time), fell once (20% of the time) and was untraded once (20% of the time). The volume was 0.2 times average trading of 8,538,930 shares. Trailing One Month: The stock fell eight times (36% of the time), rose seven times (32% of the time), was unchanged five times (23% of the time) and was untraded twice (9% of the time). The volume was 0.5 times average trading of 37,571,292 shares. The value of $1,000 [vs $1,005 for the All Ordinaries Index] invested a month ago is unchanged. Trailing One Year: The value of $1,000 invested one year ago is $1,684 [vs $876 for the All Ordinaries Index], for a capital gain of $684. The total return to shareholders for 1 year is 68.4%.
FINANCIALS Annual Report for the year ended June 30, 2007 (year-on-year comparisons with previous corresponding period)- Favourable Changes: sales revenue up 27.3% to $A2.3m ($US1.8m); total debt to net tangible assets down from 5.6% to 2.6%; debt to equity down 51.1% to 0.02; total liabilities to total assets down 17.8% to 0.2; current ratio up 28.1% to 4.6. Unfavourable Changes: loss of $A3.3m ($US2.6m); EPS reduced 59.1% to $A-0.0 (-0.7c); EBIT loss of $A3.3m ($US2.6m); EBIT Margin of -143.3%; NTA per share down 34.8% to $A0.0 (0.8c); operating cash flow is negative; total number of shares outstanding up 91.1% to 358,140,571. Major Common Size Ratios: total current assets to total assets up from 65.0% to 77.2%; cash to total assets up from 56.8% to 68.8%; fixed assets to total assets down from 24.2% to 15.4%; intangibles to total assets down from 10.8% to 8.3%; depreciation to sales up from 8.0% to 15.3%; interest expenses to sales down from 1.7% to 0.7%; EBITD to Sales up from -224.9% to -128.1%; EBIT to Sales up from -232.8% to -143.3%.
FUNDAMENTALS P/S: The price/sales ratio is 5.0. Price to NTA: The price to net tangible asset backing per share is 3.3.
ISSUED CAPITAL Based on 767,652,767 issued shares the market capitalisation is $25 million.
ACTIVITIES Commercialisation of SomnoMed MAS (mandibular advancement splint) in Australia and major international markets for obstructive sleep apnoea and snoring.
TOP MANAGEMENT The Chief Executive Officer is Ralf Barschow.
REPORTED BUYING Reported Buying: June 03: SOMNOMED SUBSTANTIAL SHAREHOLDER BUYS Somnomed (SOM) substantial shareholder Golden Words bought 29,851,790 shares worth approximately $597,036 between September 04, 2007 and June 02, 2008. Golden Words previously held 40,400,000 shares (or 8.1%) and now holds 70,251,790 shares (or 9.2%). The last price was 2.0c.
BUSINESS NEWS ROUND UP The last 5 snippets from News Bites were: June 03: Golden Words buys 30m Somnomed shares Golden Words bought 29,851,790 Somnomed shares between September 4 and June 2, increasing from 40,400,000 shares (8.1%) to 70,251,790 shares (9.15%).
January 30: SomnoMed clears FDA for dental material SomnoMed Ltd has cleared US FDA approval for the SMH BFlex soft material, providing the opportunity to market the material broadly in the US to other dental and medical device developers. Konrad Hoffman and SMH Biomaterial AG, a 50 percent Swiss joint venture of SomnoMed, developed the new polymer.
September 26: Golden Words sells 15m Somnomed shares Golden Words sold 15,000,000 Somnomed shares for $165,000 on February 22, increasing from 55,400,000 shares (11.09%) to 40,400,000 shares (8.1%).
August 01: SOMNOMED TAKES 50% IN NEW SOFT POLYMER FOR DENTAL DEVICES, FOR OWN PRODUCTS AND GLOBAL MARKET Somnomed Ltd announced it has acquired a 50 percent stake in Swiss SMH Biomaterial AG, the owner of SMH Biomaterial, a new soft polymer that has been developed, tested and exclusively used by its German inventor Konrad Hofmann over the last six years, in conjunction with established plastic manufacturers in Germany.
July 14: SOMNOMED TRADING RESULTS UP OVER 50%, US SALES EXCEED AUSTRALIAN FOR FIRST TIME SomnoMed Ltd announced it has just completed the six month trading period to June 30 2007, with unit sales in Australia up 59 percent, unit sales in USA up 127 percent, sales revenue in Australia up over 50 percent and sales revenues in the US up 191 percent, exceeding Australian sales for the first time.
Currency Conversion: Australian Dollar AUD 1 = US$ 0.9347 [or US$1=AUD 1.07]; Against the US$ the AUD slumped 130.93 basis points (or 1.3%) for the day; slumped 2.7% for the week; fell 2.2% for the month; soared 22.7% in the past year.
SOM Price at posting:
0.0¢ Sentiment: None Disclosure: Held
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