TSXV:DYA

Stock Analysis Report

Executive Summary

dynaCERT Inc. engages in the design, engineering, manufacture, testing, distribution, and installation of transportable hydrogen generator aftermarket products in North America and internationally.


Snowflake Analysis

Adequate balance sheet and slightly overvalued.

Share Price & News

How has dynaCERT's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DYA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-15.0%

DYA

15.2%

CA Machinery

3.7%

CA Market


1 Year Return

54.5%

DYA

-39.5%

CA Machinery

-23.7%

CA Market

Return vs Industry: DYA exceeded the Canadian Machinery industry which returned -39.5% over the past year.

Return vs Market: DYA exceeded the Canadian Market which returned -23.7% over the past year.


Shareholder returns

DYAIndustryMarket
7 Day-15.0%15.2%3.7%
30 Day-45.2%-31.6%-19.7%
90 Day-34.6%-36.8%-24.3%
1 Year54.5%54.5%-37.6%-39.5%-21.2%-23.7%
3 Year-36.3%-36.3%-39.5%-44.0%-13.3%-21.4%
5 Year277.8%277.8%-17.0%-24.3%-0.8%-15.5%

Price Volatility Vs. Market

How volatile is dynaCERT's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is dynaCERT undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DYA (CA$0.51) is trading below our estimate of fair value (CA$3.23)

Significantly Below Fair Value: DYA is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: DYA is unprofitable, so we can't compare its PE Ratio to the Machinery industry average.

PE vs Market: DYA is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate DYA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: DYA is overvalued based on its PB Ratio (92.3x) compared to the CA Machinery industry average (1.4x).


Next Steps

Future Growth

How is dynaCERT forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

134.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if DYA's forecast earnings growth is above the savings rate (1.4%).

Earnings vs Market: Insufficient data to determine if DYA's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: DYA's revenue (134% per year) is forecast to grow faster than the Canadian market (3.7% per year).

High Growth Revenue: DYA's revenue (134% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if DYA's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has dynaCERT performed over the past 5 years?

-43.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DYA is currently unprofitable.

Growing Profit Margin: DYA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DYA is unprofitable, and losses have increased over the past 5 years at a rate of -43.5% per year.

Accelerating Growth: Unable to compare DYA's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: DYA is unprofitable, making it difficult to compare its past year earnings growth to the Machinery industry (-16.9%).


Return on Equity

High ROE: DYA has a negative Return on Equity (-758.44%), as it is currently unprofitable.


Next Steps

Financial Health

How is dynaCERT's financial position?


Financial Position Analysis

Short Term Liabilities: DYA's short term assets (CA$3.3M) exceed its short term liabilities (CA$2.7M).

Long Term Liabilities: DYA's short term assets (CA$3.3M) exceed its long term liabilities (CA$144.1K).


Debt to Equity History and Analysis

Debt Level: DYA's debt to equity ratio (13.3%) is considered satisfactory.

Reducing Debt: DYA had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet

Inventory Level: DYA has a high level of physical assets or inventory.

Debt Coverage by Assets: DYA's debt is covered by short term assets (assets are 15.1x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: DYA has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: DYA has less than a year of cash runway if free cash flow continues to reduce at historical rates of -39.3% each year


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate DYA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate DYA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DYA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DYA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of DYA's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.8yrs

Average management tenure


CEO

Jim Payne

7.92s

Tenure

CA$229,420

Compensation

Mr. Murray Ernest James Payne, also known as Jim, serves as the Director of Saturn Oil & Gas Inc. since March 2020. He has been the Chief Executive Officer of dynaCERT Inc. (also known as Dynamic Fuel Syst ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD161.86K) is about average for companies of similar size in the Canadian market ($USD158.74K).

Compensation vs Earnings: Jim's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Murray Ernest Payne
CEO, President & Director7.92yrsCA$229.42k0.90% CA$1.5m
Robert Maier
Director & COO5.17yrsCA$187.91k0.16% CA$261.5k
Jean-Pierre Colin
Corporate Secretary & Director3.33yrsCA$92.80k0.010% CA$17.0k
Carmelo Marrelli
Chief Financial Officer1.25yrsno datano data
Enrico Schlaepfer
Vice President of Global Sales2.83yrsno datano data
Juergen Hoer
Managing Director of dynaCERT Gmbh1.92yrsno datano data
Sidney Harkema
Advisor 9.92yrsCA$14.70kno data
David Bridge
Technical Advisorno datano datano data

2.8yrs

Average Tenure

Experienced Management: DYA's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Murray Ernest Payne
CEO, President & Director7.92yrsCA$229.42k0.90% CA$1.5m
Robert Maier
Director & COO5.17yrsCA$187.91k0.16% CA$261.5k
Jean-Pierre Colin
Corporate Secretary & Director3.33yrsCA$92.80k0.010% CA$17.0k
Marc Bertrand
Member of Advisory Board2.75yrsno datano data
Elliot Strashin
Independent Director6.25yrsCA$14.40k2.11% CA$3.4m
Richard
Independent Director6.25yrsCA$12.00k0.056% CA$92.0k
Raymond Hoffman
Independent Chairman of the Board6.08yrsCA$24.90k2.18% CA$3.5m
Michael Christodoulou
Member of Advisory Boardno datano datano data
Shmuel Farhi
Member of Advisory Board2.67yrsno datano data
Frank Klees
Member of Advisory Board1.25yrsno datano data

5.2yrs

Average Tenure

Experienced Board: DYA's board of directors are considered experienced (5.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: DYA insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.9%.


Top Shareholders

Company Information

dynaCERT Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: dynaCERT Inc.
  • Ticker: DYA
  • Exchange: TSXV
  • Founded: 2004
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: CA$163.048m
  • Shares outstanding: 343.26m
  • Website: https://dynacert.com

Location

  • dynaCERT Inc.
  • 501 Alliance Avenue
  • Suite 101
  • Toronto
  • Ontario
  • M6N 2J1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DYATSXV (TSX Venture Exchange)YesCommon SharesCACADDec 2000
DYFS.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDDec 2000
DMJDB (Deutsche Boerse AG)YesCommon SharesDEEURDec 2000

Biography

dynaCERT Inc. engages in the design, engineering, manufacture, testing, distribution, and installation of transportable hydrogen generator aftermarket products in North America and internationally. Its patented and patent-pending retrofit product provides performance enhancements by injecting hydrogen and oxygen into the air intake manifold resulting in fuel efficiency and reduced carbon emissions. The company offers HydraGen, an aftermarket unit that produces hydrogen and oxygen on demand and is designed for on-road applications with class 6-8 engines. It serves on-road vehicles, reefer trailers, mining and forestry equipment, marine vessels, and railroad locomotives, as well as off-road construction and power generation sectors. The company was formerly known as Dynamic Fuel Systems, Inc. and changed its name to DynaCERT Inc. in January 2013. DynaCERT Inc. was founded in 2004 and is headquartered in Toronto, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 07:50
End of Day Share Price2020/03/31 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.