TSX:BDI

Stock Analysis Report

Executive Summary

Black Diamond Group Limited rents and sells modular space and workforce accommodation solutions.


Snowflake Analysis

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Black Diamond Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

10.0%

BDI

-1.4%

CA Commercial Services

11.7%

CA Market


1 Year Return

-39.9%

BDI

-12.3%

CA Commercial Services

-26.0%

CA Market

Return vs Industry: BDI underperformed the Canadian Commercial Services industry which returned -12.3% over the past year.

Return vs Market: BDI underperformed the Canadian Market which returned -26% over the past year.


Shareholder returns

BDIIndustryMarket
7 Day10.0%-1.4%11.7%
30 Day-34.5%-29.1%-21.9%
90 Day-48.8%-28.3%-26.6%
1 Year-39.9%-39.9%-10.5%-12.3%-23.6%-26.0%
3 Year-70.8%-71.7%1.6%-5.0%-15.8%-23.6%
5 Year-91.1%-92.7%21.0%4.5%-3.5%-17.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Black Diamond Group undervalued compared to its fair value and its price relative to the market?

0.28x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: BDI (CA$1.1) is trading above our estimate of fair value (CA$0.04)

Significantly Below Fair Value: BDI is trading above our estimate of fair value.


Price To Earnings Ratio

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

PE vs Market: BDI 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 BDI's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: BDI is good value based on its PB Ratio (0.3x) compared to the CA Commercial Services industry average (0.9x).


Next Steps

Future Growth

How is Black Diamond Group forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

133.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BDI is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.4%).

Earnings vs Market: BDI is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: BDI's is expected to become profitable in the next 3 years.

Revenue vs Market: BDI's revenue (2.2% per year) is forecast to grow slower than the Canadian market (3.9% per year).

High Growth Revenue: BDI's revenue (2.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BDI is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Black Diamond Group performed over the past 5 years?

-30.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BDI is currently unprofitable.

Growing Profit Margin: BDI is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BDI is unprofitable, and losses have increased over the past 5 years at a rate of -30.1% per year.

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

Earnings vs Industry: BDI is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (-19.4%).


Return on Equity

High ROE: BDI has a negative Return on Equity (-3.27%), as it is currently unprofitable.


Next Steps

Financial Health

How is Black Diamond Group's financial position?


Financial Position Analysis

Short Term Liabilities: BDI's short term assets (CA$57.0M) exceed its short term liabilities (CA$44.4M).

Long Term Liabilities: BDI's short term assets (CA$57.0M) do not cover its long term liabilities (CA$162.9M).


Debt to Equity History and Analysis

Debt Level: BDI's debt to equity ratio (47.6%) is considered high.

Reducing Debt: BDI's debt to equity ratio has reduced from 52.8% to 47.6% over the past 5 years.


Balance Sheet

Inventory Level: BDI has a low level of unsold assets or inventory.

Debt Coverage by Assets: BDI's debt is not covered by short term assets (assets are 0.6x 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: Whilst unprofitable BDI has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: BDI is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -22.4% per year.


Next Steps

Dividend

What is Black Diamond Group's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate BDI'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 BDI's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: BDI is not paying a notable dividend for the Canadian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BDI'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?

4.0yrs

Average management tenure


CEO

Trevor Haynes (52yo)

10.25s

Tenure

CA$1,069,870

Compensation

Mr. Trevor Haynes has been the Chief Executive Officer and President at Black Diamond Group Limited since December 31, 2009 and has been its Chairman since May 7, 2015. Mr. Haynes is a Co-founder of CF Con ...


CEO Compensation Analysis

Compensation vs Market: Trevor's total compensation ($USD760.19K) is above average for companies of similar size in the Canadian market ($USD159.52K).

Compensation vs Earnings: Trevor's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Trevor Haynes
Chairman10.25yrsCA$1.07m6.69% CA$4.1m
Toby Labrie
Executive VP & CFO4yrsCA$496.67k0.22% CA$134.0k
Patrick Melanson
Executive VP of Shared Services & Chief Information Officer4.17yrsCA$475.67k0.16% CA$95.4k
Michael Ridley
Executive VP & COO of Workforce Solutions2.5yrsCA$543.59k0.090% CA$55.5k
Edward Redmond
Executive VP & COO - Modular Space Solutions1.17yrsno data0.24% CA$144.7k

4.0yrs

Average Tenure

56yo

Average Age

Experienced Management: BDI's management team is considered experienced (4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Trevor Haynes
Chairman10.25yrsCA$1.07m6.69% CA$4.1m
Robert Wagemakers
Lead Independent Director2.83yrsCA$74.94k1.15% CA$709.8k
Edward Kernaghan
Independent Director2yrsCA$59.77k1.78% CA$1.1m
Steven Stein
Director10.42yrsCA$141.26k1.82% CA$1.1m
Robert Herdman
Independent Director8yrsCA$75.94kno data
David Olsson
Independent Director6.17yrsCA$83.62kno data
Barbara Kelley
Independent Director3.83yrsCA$73.77kno data

4.8yrs

Average Tenure

57yo

Average Age

Experienced Board: BDI's board of directors are considered experienced (4.8 years average tenure).


Ownership

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


Insider Trading Volume

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


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Black Diamond Group Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Black Diamond Group Limited
  • Ticker: BDI
  • Exchange: TSX
  • Founded: 2003
  • Industry: Diversified Support Services
  • Sector: Commercial Services
  • Market Cap: CA$61.498m
  • Shares outstanding: 55.91m
  • Website: https://www.blackdiamondgroup.com

Number of Employees


Location

  • Black Diamond Group Limited
  • 440-2nd Avenue SW
  • Suite 1000
  • Calgary
  • Alberta
  • T2P 5E9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BDITSX (The Toronto Stock Exchange)YesCommon SharesCACADSep 2006
BDIM.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDSep 2006
8B8DB (Deutsche Boerse AG)YesCommon SharesDEEURSep 2006

Biography

Black Diamond Group Limited rents and sells modular space and workforce accommodation solutions. It operates through two segments, Modular Space Solutions and Workforce Solutions. The Modular Space Solutions segment provides modular space rentals to customers in the construction, real estate development, manufacturing, education, financial, and resource industries, as well as government agencies in North America. Its products include office units, lavatories, storage units, large multi-unit office complexes, classroom facilities, custom manufactured modular facilities, and blast resistant structures. This segment also sells new and used space rentals units; and provides delivery, installation, project management, and ancillary products and services. The Workforce Solutions segment provides workforce housing solutions, including rental of accommodations and surface equipment, and provision of turnkey lodging and travel management logistics in Canada, the United States, and Australia. This segment also provides associated services, such as installation, transportation, dismantlement, and sale of used fleet assets. This segment primarily serves the resource, infrastructure, construction, disaster recovery, and education sectors. The company also provides specialized field rentals to oil and gas industries. Black Diamond Group Limited markets its rental assets, custom sales, and ancillary products and services through in-house sales personnel, its website, social media, web campaigns, and its digital marketplace. The company was founded in 2003 and is headquartered in Calgary, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/30 03:28
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.