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Spectra

TSXV:SSA
Snowflake Description

Good value with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SSA
TSXV
CA$4M
Market Cap
  1. Home
  2. CA
  3. Automobiles
Company description

Spectra Inc., through its subsidiary Spectra Products Inc., manufactures and markets bus and truck transportation safety equipment in Canada, China, and the United States. The last earnings update was 73 days ago. More info.


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SSA Share Price and Events
7 Day Returns
-9.1%
TSXV:SSA
1.2%
North America Auto Components
-0.4%
CA Market
1 Year Returns
11.1%
TSXV:SSA
-26.8%
North America Auto Components
-2.8%
CA Market
SSA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Spectra (SSA) -9.1% 0% -9.1% 11.1% 233.3% 150%
North America Auto Components 1.2% 0.7% -16.3% -26.8% 1.8% -9.9%
CA Market -0.4% 0.3% -2.4% -2.8% 7.7% 0.1%
1 Year Return vs Industry and Market
  • SSA outperformed the Auto Components industry which returned -26.8% over the past year.
  • SSA outperformed the Market in Canada which returned -2.8% over the past year.
Price Volatility
SSA
Industry
5yr Volatility vs Market

SSA Value

 Is Spectra undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Spectra to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Spectra.

TSXV:SSA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 9.8%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSXV:SSA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Auto Components Unlevered Beta Simply Wall St/ S&P Global 1.27
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.265 (1 + (1- 26.5%) (22.94%))
1.321
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.32
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.321 * 5.96%)
9.82%

Discounted Cash Flow Calculation for TSXV:SSA using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Spectra is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

TSXV:SSA DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 9.82%)
2020 0.71 Est @ 36.42% 0.64
2021 0.89 Est @ 26.08% 0.74
2022 1.06 Est @ 18.84% 0.80
2023 1.20 Est @ 13.77% 0.83
2024 1.33 Est @ 10.22% 0.83
2025 1.43 Est @ 7.74% 0.82
2026 1.52 Est @ 6% 0.79
2027 1.59 Est @ 4.79% 0.75
2028 1.65 Est @ 3.93% 0.71
2029 1.71 Est @ 3.34% 0.67
Present value of next 10 years cash flows CA$7.58
TSXV:SSA DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$1.71 × (1 + 1.95%) ÷ (9.82% – 1.95%)
CA$22.11
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$22.11 ÷ (1 + 9.82%)10
CA$8.67
TSXV:SSA Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$7.58 + CA$8.67
CA$16.24
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$16.24 / 77.11
CA$0.21
TSXV:SSA Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$0.21
Current discount Discount to share price of CA$0.05
= -1 x (CA$0.05 - CA$0.21) / CA$0.21
76.3%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Spectra is available for.
Intrinsic value
>50%
Share price is CA$0.05 vs Future cash flow value of CA$0.21062
Current Discount Checks
For Spectra to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Spectra's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Spectra's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Spectra's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Spectra's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSXV:SSA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in CAD CA$0.00
TSXV:SSA Share Price ** TSXV (2019-07-18) in CAD CA$0.05
North America Auto Components Industry PE Ratio Median Figure of 26 Publicly-Listed Auto Components Companies 14.21x
Canada Market PE Ratio Median Figure of 538 Publicly-Listed Companies 15.04x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Spectra.

TSXV:SSA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSXV:SSA Share Price ÷ EPS (both in CAD)

= 0.05 ÷ 0.00

11.23x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Spectra is good value based on earnings compared to the North America Auto Components industry average.
  • Spectra is good value based on earnings compared to the Canada market.
Price based on expected Growth
Does Spectra's expected growth come at a high price?
Raw Data
TSXV:SSA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 11.23x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
North America Auto Components Industry PEG Ratio Median Figure of 24 Publicly-Listed Auto Components Companies 0.98x
Canada Market PEG Ratio Median Figure of 247 Publicly-Listed Companies 1.17x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Spectra, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Spectra's assets?
Raw Data
TSXV:SSA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in CAD CA$0.00
TSXV:SSA Share Price * TSXV (2019-07-18) in CAD CA$0.05
North America Auto Components Industry PB Ratio Median Figure of 44 Publicly-Listed Auto Components Companies 1.26x
Canada Market PB Ratio Median Figure of 2,441 Publicly-Listed Companies 1.44x
TSXV:SSA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSXV:SSA Share Price ÷ Book Value per Share (both in CAD)

= 0.05 ÷ 0.00

-18.76x

* Primary Listing of Spectra.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Spectra has negative assets, we can't compare the value of its assets to the North America Auto Components industry average.
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Value checks
We assess Spectra's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Auto Components industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Auto Components industry average (and greater than 0)? (1 check)
  5. Spectra has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

SSA Future Performance

 How is Spectra expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Spectra has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
12.3%
Expected Auto Components industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Spectra expected to grow at an attractive rate?
  • Unable to compare Spectra's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Spectra's earnings growth to the Canada market average as no estimate data is available.
  • Unable to compare Spectra's revenue growth to the Canada market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
TSXV:SSA Future Growth Rates Data Sources
Data Point Source Value (per year)
North America Auto Components Industry Earnings Growth Rate Market Cap Weighted Average 12.3%
North America Auto Components Industry Revenue Growth Rate Market Cap Weighted Average 5%
Canada Market Earnings Growth Rate Market Cap Weighted Average 14%
Canada Market Revenue Growth Rate Market Cap Weighted Average 5.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSXV:SSA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSXV:SSA Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-03-31 2 1 0
2018-12-31 2 0 0
2018-09-30 2 0 0
2018-06-30 2 0 0
2018-03-31 2 0 0
2017-12-31 2 0 0
2017-09-30 2 0 0
2017-06-30 2 0 0
2017-03-31 2 0 0
2016-12-31 2 0 0
2016-09-30 2 0 0
2016-06-30 2 0 0

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Spectra is high growth as no earnings estimate data is available.
  • Unable to determine if Spectra is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSXV:SSA Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Spectra Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSXV:SSA Past Financials Data
Date (Data in CAD Millions) EPS *
2019-03-31 0.00
2018-12-31 0.01
2018-09-30 0.00
2018-06-30 0.00
2018-03-31 0.00
2017-12-31 0.00
2017-09-30 0.00
2017-06-30 0.00
2017-03-31 0.00
2016-12-31 0.00
2016-09-30 0.00
2016-06-30 0.00

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Spectra will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether Spectra is trading at Spectra'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. Spectra's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Automobiles companies here
  3. Spectra's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Spectra's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the North America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the North America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Spectra has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

SSA Past Performance

  How has Spectra performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Spectra's growth in the last year to its industry (Auto Components).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Spectra has delivered over 20% year on year earnings growth in the past 5 years.
  • Spectra's 1-year earnings growth is less than its 5-year average (40.9% vs 46%)
  • Spectra's earnings growth has exceeded the North America Auto Components industry average in the past year (40.9% vs 5.3%).
Earnings and Revenue History
Spectra's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Spectra Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSXV:SSA Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 1.97 0.27 0.62
2018-12-31 2.05 0.30 0.62
2018-09-30 2.05 0.25 0.67
2018-06-30 1.92 0.20 0.67
2018-03-31 1.91 0.19 0.69
2017-12-31 1.78 0.13 0.72
2017-09-30 1.68 0.15 0.69
2017-06-30 1.58 0.12 0.69
2017-03-31 1.56 0.08 0.70
2016-12-31 1.55 0.08 0.69
2016-09-30 1.66 0.05 0.74
2016-06-30 1.80 0.09 0.75
2016-03-31 1.90 0.15 0.73
2015-12-31 1.82 0.12 0.71
2015-09-30 1.72 0.13 0.66
2015-06-30 1.62 0.08 0.64
2015-03-31 1.43 0.03 0.61
2014-12-31 1.43 0.02 0.59
2014-09-30 1.36 -0.02 0.59
2014-06-30 1.36 -0.01 0.60
2014-03-31 1.34 -0.05 0.62
2013-12-31 1.28 -0.07 0.62
2013-09-30 1.27 -0.17 0.67
2013-06-30 1.16 -0.23 0.68
2013-03-31 1.16 -0.24 0.70
2012-12-31 1.17 -0.26 0.72
2012-09-30 1.21 -0.25 0.71

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Spectra has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.
  • Spectra used its assets more efficiently than the North America Auto Components industry average last year based on Return on Assets.
  • It is difficult to establish if Spectra improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to its liabilities exceeding its assets.
X
Past performance checks
We assess Spectra's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Auto Components industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Spectra has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

SSA Health

 How is Spectra's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Spectra's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Spectra's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Spectra's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Spectra's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Spectra has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Spectra Company Filings, last reported 3 months ago.

TSXV:SSA Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 -0.24 0.88 0.33
2018-12-31 -0.35 0.98 0.30
2018-09-30 -0.46 1.09 0.35
2018-06-30 -0.60 1.08 0.18
2018-03-31 -0.70 1.20 0.17
2017-12-31 -0.85 1.19 0.05
2017-09-30 -0.88 1.28 0.15
2017-06-30 -0.94 1.33 0.12
2017-03-31 -1.01 1.38 0.13
2016-12-31 -1.07 1.42 0.08
2016-09-30 -1.45 1.82 0.11
2016-06-30 -1.49 1.82 0.17
2016-03-31 -1.52 1.86 0.10
2015-12-31 -1.39 1.70 0.04
2015-09-30 -1.62 1.95 0.12
2015-06-30 -1.72 1.95 0.07
2015-03-31 -1.83 1.94 0.02
2014-12-31 -1.86 1.94 0.05
2014-09-30 -1.89 1.95 0.03
2014-06-30 -1.93 1.96 0.01
2014-03-31 -1.96 1.96 0.01
2013-12-31 -1.98 1.97 0.02
2013-09-30 -1.97 1.96 0.01
2013-06-30 -2.00 1.98 0.01
2013-03-31 -1.99 2.00 0.02
2012-12-31 -1.99 1.94 0.01
2012-09-30 -1.84 1.93 0.01
  • Spectra has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.
  • Irrelevant to check if Spectra's debt level has increased considering it has negative shareholder equity.
  • Debt is well covered by operating cash flow (58.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 7.8x coverage).
X
Financial health checks
We assess Spectra's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Spectra has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

SSA Dividends

 What is Spectra's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Spectra dividends.
If you bought CA$2,000 of Spectra shares you are expected to receive CA$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Spectra's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Spectra's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSXV:SSA Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
North America Auto Components Industry Average Dividend Yield Market Cap Weighted Average of 18 Stocks 2.3%
Canada Market Average Dividend Yield Market Cap Weighted Average of 336 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.1%
Canada Bottom 25% Dividend Yield 25th Percentile 2.1%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Spectra has not reported any payouts.
  • Unable to verify if Spectra's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Spectra's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Spectra has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Spectra's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Spectra afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Spectra has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

SSA Management

 What is the CEO of Spectra's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Andrew Malion
COMPENSATION CA$95,248
CEO Bio

Mr. Andrew J. Malion serves as Chief Executive Officer and President of Spectra Inc. and is its Chairman since July 2019. Mr. Malion has been the President of Spectra Products, Inc., since July 25, 2017 and is its Chairman since July 2019. He serves as Chairman and Chief Executive Officer of Sales Management for Spectra Products Inc. He served as Vice-President of Sales at Spectra Products, Inc., until July 25, 2017. He served as the President of Spectra Inc. He served as the President of Spectra Products, Inc. and was its Director since October 23, 2014 until January 7, 2019. He worked as an entrepreneur primarily in the area of international real estate development. For 12 years he worked with J.J. Barnicke Ltd. representing some of the most prestigious developers in the Toronto area. His experience provides access to a significant network of industrial/commercial accounts. He served as the Chairman of the Board of Spectra Products, Inc. from October 23, 2014 until May 2017. He had been Chairman of Spectra Inc., since October 24, 2018 until January 7, 2019 and has been its Director since October 4, 1994.

CEO Compensation
  • Andrew's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Andrew's remuneration is lower than average for companies of similar size in Canada.
Management Team

Andrew Malion

TITLE
Chairman
COMPENSATION
CA$95K

Glen Campbell

TITLE
CFO, Secretary & Treasurer
COMPENSATION
CA$84K
AGE
72
TENURE
2.3 yrs
Board of Directors

Andrew Malion

TITLE
Chairman
COMPENSATION
CA$95K

Kam Patel

TITLE
Independent Director
COMPENSATION
CA$3K
TENURE
8.8 yrs

Kevin Haney

TITLE
Member of the Board of Director
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
08. Jan 19 Buy Glen Campbell Individual 03. Jan 19 03. Jan 19 1,000 CA$0.04 CA$35
31. Aug 18 Sell Glen Campbell Individual 29. Aug 18 30. Aug 18 -300,000 CA$0.04 CA$-10,502
29. Aug 18 Sell Glen Campbell Individual 29. Aug 18 29. Aug 18 -100,000 CA$0.04 CA$-3,500
22. Aug 18 Sell Glen Campbell Individual 21. Aug 18 21. Aug 18 -100,000 CA$0.03 CA$-3,500
20. Aug 18 Sell Glen Campbell Individual 17. Aug 18 17. Aug 18 -500,000 CA$0.03 CA$-17,500
X
Management checks
We assess Spectra's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Spectra has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

SSA News

Simply Wall St News

What Should You Know About Spectra Inc's (CVE:SSA) Capital Returns?

Your equity share is granted in return for the capital provided to the business to operate, and in order for an investment to be successful the business has to create earnings from the funds that make up this capital. … You need to pay attention to this because your return on investment is linked to dividends and internal investments to improve the business, which can only occur if the company is expected to produce adequate earnings with the capital that has been provided. … Therefore, looking at how efficiently Spectra is able to use capital to create earnings will help us understand your potential return.

Simply Wall St -

What Should You Know About Spectra Inc's (CVE:SSA) Capital Returns?

SSA’s ROCE is calculated below: ROCE Calculation for SSA Return on Capital Employed (ROCE) = Earnings Before Tax (EBT) ÷ (Capital Employed) Capital Employed = (Total Assets - Current Liabilities) ∴ ROCE = CA$287.26K ÷ (CA$684.18K - CA$184.99K) = 57.55% SSA’s 57.55% ROCE means that for every CA$100 you invest, the company creates CA$57.5. … This shows Spectra provides a great return on capital employed that is well above the 15% ROCE that is typically considered to be a strong benchmark. … Next Steps SSA's investors have enjoyed an upward trend in ROCE and it is currently at a level that makes the company an attractive candidate that is capable of producing solid capital returns, and hence, an attractive return on investment.

Simply Wall St -

How Does Spectra Inc's (CVE:SSA) Earnings Growth Stack Up Against Industry Performance?

When Spectra Inc (TSXV:SSA) released its most recent earnings update (31 March 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … I look at data from the most recent 12 months, which annualizes the most recent half-year data, or in some cases, the latest annual report is already the most recent financial year data. … For Spectra, its most recent earnings (trailing twelve month) is CA$191.20K, which compared to the previous year's figure, has rocketed up by more than double.

Simply Wall St -

Does Spectra Inc's (CVE:SSA) PE Ratio Warrant A Buy?

It compares a stock’s price per share to the stock’s earnings per share. … Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for SSA Price per share = CA$0.03 Earnings per share = CA$0.002 ∴ Price-Earnings Ratio = CA$0.03 ÷ CA$0.002 = 14.3x The P/E ratio isn’t a metric you view in isolation and only becomes useful when you compare it against other similar companies. … Ultimately, our goal is to compare the stock’s P/E ratio to the average of companies that have similar attributes to SSA, such as company lifetime and products sold.

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Why Spectra Inc's (CVE:SSA) Investor Composition Impacts Your Returns

In this analysis, my focus will be on developing a perspective on Spectra Inc’s (TSXV:SSA) latest ownership structure, a less discussed, but important factor. … Insider Ownership Another important group of shareholders are company insiders. … Next Steps: The company's high institutional ownership makes margin of safety a very important consideration to existing investors since long bull and bear trends often emerge when these big-ticket investors see a change in long-term potential of the company.

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Does Spectra Inc's (CVE:SSA) CEO Salary Compare Well With Others?

View our latest analysis for Spectra What has SSA's performance been like? … TSXV:SSA Past Future Earnings Mar 14th 18 Is SSA's CEO overpaid relative to the market? … Allowing for SSA's size and performance, in terms of market cap and earnings, it appears that Malion is compensated similar to other Canadian CEOs of small-caps, on average.

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Is Spectra Inc (CVE:SSA) Thriving Or Barely Surviving In The Automobile Sector?

Automobile analysts are forecasting for the entire industry, a strong double-digit growth of 14.88% in the upcoming year. … In the past year, the industry delivered growth in the teens, though still underperforming the wider Canadian stock market. … On the stock-level, Spectra is trading at a lower PE ratio of 9.96x, making it cheaper than the average automobile stock.

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Should You Be Tempted To Buy Spectra Inc (CVE:SSA) Because Of Its PE Ratio?

It compares a stock’s price per share to the stock’s earnings per share. … Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for SSA Price per share = CA$0.03 Earnings per share = CA$0.003 ∴ Price-Earnings Ratio = CA$0.03 ÷ CA$0.003 = 11.9x The P/E ratio itself doesn’t tell you a lot; however, it becomes very insightful when you compare it with other similar companies. … Ultimately, our goal is to compare the stock’s P/E ratio to the average of companies that have similar attributes to SSA, such as company lifetime and products sold.

Simply Wall St -

Why Spectra Inc's (TSXV:SSA) Ownership Structure Is Important

In this article, I will take a quick look at Spectra Inc’s (TSXV:SSA) recent ownership structure – an unconventional investing subject, but an important one. … Check out our latest analysis for Spectra TSXV:SSA Ownership Summary Nov 20th 17 Institutional Ownership With an institutional ownership of 29.97%, SSA can face volatile stock price movements if institutions execute block trades on the open market, more so, when there are relatively small amounts of shares available on the market to trade However, as not all institutions are alike, such high volatility events, especially in the short-term, have been more frequently linked to active market participants like hedge funds. … General Public Ownership The general public holds a substantial 58.70% stake in SSA, making it a highly popular stock among retail investors.

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Is Spectra Inc (TSXV:SSA) On The Right Side Of Disruption?

New opportunities driving future growth in the auto sector is connected and intelligent cars, in particular, web networking, sensors and software, which is not the traditional focus for most automobile companies. … This rate is more than double the growth rate of the Canadian stock market as a whole. … Below, I will examine the sector growth prospects, and also determine whether SSA is a laggard or leader relative to its automobile sector peers.

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SSA Company Info

Description

Spectra Inc., through its subsidiary Spectra Products Inc., manufactures and markets bus and truck transportation safety equipment in Canada, China, and the United States. It offers brake and wheel-end monitoring equipment as an after-market product. The company also provides Brake Safe, a visual brake stroke indicator system that permits vehicle drivers and maintenance personnel to visually determine the brake adjustment condition of a truck, trailer, or bus equipped with an air activated brake system; and Brake Inspector, an electronic version of Brake Safe, which offers an in-cab display of air brake status and permits diagnosis of various existing and potential brake problems. In addition, it provides Termin-8R, an anti-corrosion lubricant; Zafety Lug Lock that prevents wheel-end lug nuts from loosening leading to wheel damage or loss; Hub Alert, a heat sensitive label, which offers an early warning of critical temperature threshold levels; and Arrow Logger, a system that works in conjunction with the Brake Safe product for enhanced brake monitoring. The company markets its products through transportation dealers, truck/trailer distributors, and direct sales to fleet operators. Spectra Inc. was incorporated in 1994 and is headquartered in Toronto, Canada.

Details
Name: Spectra Inc.
SSA
Exchange: TSXV
Founded: 1994
CA$3,855,498
77,109,971
Website: http://www.spectrainc.ca
Address: Spectra Inc.
41 Horner Avenue,
Unit 2,
Toronto,
Ontario, M8Z 4X4,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSXV SSA Common Shares TSX Venture Exchange CA CAD 15. Feb 1995
Number of employees
Current staff
Staff numbers
0
Spectra employees.
Industry
Auto Parts and Equipment
Automobiles
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/18 23:47
End of day share price update: 2019/07/18 00:00
Last earnings filing: 2019/05/06
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.