ALL share price in focus
Founded by Len Ainsworth in 1953, Aristocrat Leisure is an Australian gambling machine operator that is headquartered in Sydney.
Currently, Aristocrat is the largest manufacturer of gambling machines in Australia and one of the world’s leading producers of slot machines. However, the company’s business extends beyond just physical machines; Aristocrat also develops online games, which have grown to contribute nearly half of its total revenue.
Aristocrat’s gaming machines can either be sold outright to venues or gaming operators or installed with a revenue-sharing model, where a portion of the earnings generated is paid back to Aristocrat on a recurring basis.
CAR shares
Since the 1990s, CAR Group has been a leading operator of online marketplaces focused on cars, motorcycles, and other vehicles.
As a marketplace provider, CAR Group aims to simplify the buying and selling process, offering added security and convenience for both buyers and sellers. Through a blend of technology and advertising solutions, the company ensures peace of mind for users when making significant purchases.
Over the years, CAR Group has experienced steady growth and now operates globally, with a presence in markets such as Australia (carsales), South Korea (Encar), the United States (Trader Interactive), and Chile (chileautos).
ALL & CAR share price valuation
As a growth company, some of the trends we might investigate from ALL include revenue growth, profit growth, and return on equity (ROE). These measures can indicate the growth rates and prospects of the company, as well as their ability to generate returns from their assets.
Since 2021, ALL has grown revenue at a rate of 11.7% per year to reach $6,604m in FY24. Over the same stretch of time, net profit has increased from $820m to $1,303m. ALL last reported a ROE of 20.0%.
Over the last 3 years, CAR has increased revenue at a rate of 37.0% per year to hit $1,099m in FY24. Meanwhile, net profit has increased from $131m to $250m. CAR’s last reported ROE was 8.6%.
Please keep in mind that context is important. These metrics give us some indication of company performance, but it’s just the start of valuing ALL or CAR shares. To learn more about valuation, check out one of our free online investing courses.
