Computershare Limited is an information technology services business based in Australia. Computershare shares (CPU) are listed on the Australian Securities Exchange (ASX) and all prices are listed in Australian Dollars. Its last market close was $12.1 – a decrease of 1.47% over the previous week. Computershare has a trailing 12-month revenue of around $2.3 billion.
How to buy shares in Computershare
- Compare share trading platforms. To buy shares listed in Australia, you'll need to sign up to a broker with access to the Australian Securities Exchange (ASX). Our table below can help you choose.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, PayPal or debit card.
- Search for Computershare. Find the share by name or ticker symbol: CPU. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Computershare reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. At today's price of $12.1, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs.
- Check in on your investment. Congratulations, you own a part of Computershare. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
- Computershare key stats
- Compare share trading platforms
- Is Computershare stock a buy or sell?
- Computershare performance over time
- Is Computershare suitable for ethical investing?
- Are Computershare shares over-valued?
- Computershare's financials
- How volatile are Computershare shares?
- Does Computershare pay a dividend?
- Have Computershare shares ever split?
- Other common questions
How has coronavirus impacted Computershare's share price?
Since the stock market crash in March caused by coronavirus, Computershare's share price has had significant negative movement.
Its last market close was $12.1, which is 29.53% down on its pre-crash value of $17.17 and 46.31% up on the lowest point reached during the March crash when the shares fell as low as $8.27.
If you had bought $1,000 worth of Computershare shares at the start of February 2020, those shares would have been worth $484.12 at the bottom of the March crash, and if you held on to them, then as of the last market close they'd be worth $674.09.
Computershare share priceUse our graph to track the performance of CPU stocks over time.
Computershare shares at a glance
|Latest market close||AUDA$12.1|
|52-week range||AUDA$8.535 - AUDA$18.32|
|50-day moving average||AUDA$13.1689|
|200-day moving average||AUDA$12.3188|
|Dividend yield||AUDA$0.46 (3.81%)|
|Earnings per share (TTM)||AUDA$0.43|
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Is it a good time to buy Computershare stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Computershare price performance over time
|1 week (2020-09-14)||-2.89%|
|1 month (2020-08-21)||-11.23%|
|3 months (2020-06-19)||-8.33%|
|6 months (2020-03-20)||30.39%|
|1 year (2019-09-20)||-24.61%|
|2 years (2018-09-21)||-39.13%|
|3 years (2017-09-21)||-17.29%|
|5 years (2015-09-21)||16.01%|
Is Computershare under- or over-valued?
Valuing Computershare stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Computershare's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Computershare's P/E ratio
Computershare's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 19x. In other words, Computershare shares trade at around 19x recent earnings.
That's relatively low compared to, say, the P/E ratio for the ASX over the 12 months to December 2019 (32.14). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.
Computershare's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $550.8 million (£0.0 million).
The EBITDA is a measure of a Computershare's overall financial performance and is widely used to measure a its profitability.
|Revenue TTM||$2.3 billion|
|Operating margin TTM||16.97%|
|Gross profit TTM||$423.1 million|
|Return on assets TTM||4.99%|
|Return on equity TTM||14.71%|
|Market capitalisation||$6.7 billion|
TTM: trailing 12 months
Computershare's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Computershare.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Computershare's total ESG risk score
Total ESG risk: 21.8
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Computershare's overall score of 21.8 (as at 07/31/2020) is pretty good – landing it in it in the 25th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Computershare is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Computershare's environmental score
Environmental score: 1.59/100
Computershare's environmental score of 1.59 puts it squarely in the 6th percentile of companies rated in the same sector. This could suggest that Computershare is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Computershare's social score
Social score: 14.57/100
Computershare's social score of 14.57 puts it squarely in the 6th percentile of companies rated in the same sector. This could suggest that Computershare is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Computershare's governance score
Governance score: 12.13/100
Computershare's governance score puts it squarely in the 6th percentile of companies rated in the same sector. That could suggest that Computershare is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Computershare's controversy score
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. Computershare scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Computershare has, for the most part, managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
|Total ESG score||21.8|
|Total ESG percentile||24.5|
|Environmental score percentile||6|
|Social score percentile||6|
|Governance score percentile||6|
|Level of controversy||2|
Computershare share dividends
Dividend payout ratio: 73.47% of net profits
Recently Computershare has paid out, on average, around 73.47% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 3.81% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Computershare shareholders could enjoy a 3.81% return on their shares, in the form of dividend payments. In Computershare's case, that would currently equate to about A$0.46 per share.
Computershare's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
The latest dividend was paid out to all shareholders who bought their shares by 17 August 2020 (the "ex-dividend date").
Have Computershare's shares ever split?
Computershare's shares were split on a 4:1 basis on 4 October 1999. So if you had owned 1 share the day before before the split, the next day you'd have owned 4 shares. This wouldn't directly have changed the overall worth of your Computershare shares – just the quantity. However, indirectly, the new 75% lower share price could have impacted the market appetite for Computershare shares which in turn could have impacted Computershare's share price.
Computershare share price volatility
Over the last 12 months, Computershare's shares have ranged in value from as little as $8.535 up to $18.32. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (AU average) beta is 1, while Computershare's is 1.0578. This would suggest that Computershare's shares are a little bit more volatile than the average for this exchange and represent, relatively-speaking, a slightly higher risk (but potentially also market-beating returns).
Computershare Limited provides issuer service, mortgage service, employee equity plans, communication, business, stakeholder relationship management, and technology services in Australia, the United States, the United Kingdom, Canada, Asia, and internationally. The company's issuer services comprise the provision of registry maintenance corporate actions, stakeholder relationship management, corporate governance, and related services; mortgage services and property rental, and tenant bond protection service; employee share plans and voucher services include administration and related services for employee share and option plans, and childcare voucher administration services; and business services comprise the provision of bankruptcy, class action, and corporate trust administration services. Its communication services and utilities operations consist of document composition and printing, intelligent mailing, inbound process automation, scanning, and electronic delivery; and technology services consist of the provision of software in share registry and financial services. The company was founded in 1978 and is based in Abbotsford, Australia.
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