Announcement • Sep 03
LifeWorks Inc. Common Shares to Be Deleted from OTC Equity LifeWorks Inc. Common Shares will be deleted from OTC Equity Effective from September 06, 2022, due to Acquisition /Merger /Amalgamation. Announcement • Sep 02
TELUS Corporation (TSX:T) completed the acquisition of LifeWorks Inc. (TSX:LWRK) from senior officers of LifeWorks Inc. and others. TELUS Corporation (TSX:T) entered into a binding agreement to acquire LifeWorks Inc. (TSX:LWRK) from senior officers of LifeWorks Inc. and others for CAD 2.3 Billion on June 15, 2022. Pursuant to the transaction, LifeWorks shareholders will have the option to elect to receive CAD 33 per LifeWorks share in cash (“Cash Consideration”) or 1.0642 TELUS shares per LifeWorks share or CAD 16.50 in cash plus 0.5321 TELUS shares per LifeWorks share, representing 50% cash consideration and 50% Share consideration (“Combination Consideration”). The elections to receive the cash consideration or the share consideration will be subject to proration to ensure aggregate cash consideration and share consideration each represent 50% of the total transaction consideration. All those LifeWorks shareholders, who do not elect Cash Consideration or share consideration will receive the combination consideration. The total transaction value, including net debt, is approximately CAD 2.9 billion. The arrangement agreement provides for a termination fee of CAD 94 million, payable by LifeWorks under specified circumstances, as well as a reverse termination fee of CAD 140 million, payable by TELUS under other specified circumstances.
The transaction, which is not subject to a financing condition, will be implemented by way of a court-approved plan of arrangement under the Business Corporations Act (Ontario) and will require the approval of 66 2/3% of the votes cast by LifeWorks shareholders at the Special Meeting. In addition to approval by LifeWorks shareholders, the Transaction is also subject to the receipt of court approval, regulatory approvals including competition clearances, and other customary closing conditions for transactions of this nature. LifeWorks’ Board of Directors (the “Board”) unanimously approved the arrangement agreement following a unanimous recommendation of a special committee of independent directors (the “Special Committee”) of the Board. Both the Special Committee and the Board determined that the transaction is in the best interests of the Company and is fair to the shareholders of LifeWorks. Shareholders are encouraged to vote by proxy before the deadline of August 2, 2022. As of August 4, 2022, the transaction was approved by LifeWorks shareholders. As of Aug. 11, 2022, the Ontario Superior Court of Justice (Commercial List) has granted its final order approving the plan of arrangement. The Arrangement is expected to proceed to closing which is anticipated to be on or about the fourth quarter of 2022.
BMO Capital Markets and Goldman Sachs Canada Inc. acted as financial advisors and Emmanuel Pressman and Kai Sheffield of Osler, Hoskin & Harcourt LLP acted as legal counsel to LifeWorks. CIBC World Markets is acting as financial advisor to TELUS. Peter Castiel and Robert Carelli of Stikeman Elliott LLP is acting as legal counsels and Clifford Chance LLP is advising on foreign legal matters to TELUS. BMO Capital Markets, BMO Nesbitt Burns Inc. and Goldman Sachs Canada Inc. acted as financial advisor to LifeWorks. BMO Capital Markets, BMO Nesbitt Burns Inc. and Goldman Sachs Canada Inc. acted as fairness opinion providers to LifeWorks. Kingsdale Advisors acted as proxy solicitation agent to LifeWorks Inc. Computershare Investor Services Inc. acted as depositary to LifeWorks Inc. TELUS’ transfer agent and registrar is Computershare Trust Company of Canada. LifeWorks will pay fees of approximately CAD 200,000 to Kingsdale Advisors. TSX Trust Company acted as Transfer Agent to LifeWorks.
TELUS Corporation (TSX:T) completed the acquisition of LifeWorks Inc. (TSX:LWRK) from senior officers of LifeWorks Inc. and others on September 1, 2022. Shareholders representing 33,728,710 LifeWorks common shares elected to receive the per-share cash consideration; shareholders representing 5,400,669 LifeWorks common shares elected to receive the per-share share consideration; and shareholders representing 23,531,828 LifeWorks common shares elected or were deemed to have elected the per-share combination consideration. LifeWorks will operate as a wholly owned subsidiary of TELUS. Announcement • Aug 20
LifeWorks Inc. Announces Cash Dividend for the Month of August 2022, Payable on September 15, 2022 LifeWorks Inc. announced a cash dividend of $0.065 per share for the month of August 2022, to be paid on September 15, 2022 to holders of record of shares the company on August 31, 2022. Reported Earnings • Aug 12
Second quarter 2022 earnings: EPS and revenues miss analyst expectations Second quarter 2022 results: EPS: CA$0.071 (up from CA$0.58 loss in 2Q 2021). Revenue: CA$261.8m (up 1.6% from 2Q 2021). Net income: CA$5.04m (up CA$45.8m from 2Q 2021). Profit margin: 1.9% (up from net loss in 2Q 2021). Revenue missed analyst estimates by 2.2%. Earnings per share (EPS) also missed analyst estimates by 60%. Over the next year, revenue is forecast to grow 6.3%, compared to a 5.8% growth forecast for the industry in Canada. Over the last 3 years on average, earnings per share has fallen by 47% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Announcement • Aug 11
LifeWorks Inc. (TSX:LWRK) agreed to acquire Benestar Group Pty Ltd from Cover-More Group Limited. LifeWorks Inc. (TSX:LWRK) agreed to acquire Benestar Group Pty Ltd from Cover-More Group Limited on August 10, 2022. In addition to the agreement to acquire Benestar, LifeWorks will have the opportunity to provide certain EAP services for Zurich’s global clients on a non-exclusive basis. The acquisition is subject to review by the Australian Competition and Consumer Commission (ACCC). Upcoming Dividend • Jul 26
Upcoming dividend of CA$0.065 per share Eligible shareholders must have bought the stock before 02 August 2022. Payment date: 15 August 2022. The company is not currently making a profit and there are not enough cash flows to support it either. Trailing yield: 2.5%. Lower than top quartile of Canadian dividend payers (5.3%). Higher than average of industry peers (1.2%). Announcement • Jul 20
LifeWorks Inc. Declares Cash Dividend for July 2022, Payable on August 15, 2022 LifeWorks Inc. announced a cash dividend of $0.065 per share for the month of July 2022, to be paid on August 15, 2022 to holders of record of shares of LWRK on July 29, 2022. Announcement • Jul 08
LifeWorks Inc. to Report Q2, 2022 Results on Aug 11, 2022 LifeWorks Inc. announced that they will report Q2, 2022 results at 4:00 PM, US Eastern Standard Time on Aug 11, 2022 Announcement • Jun 21
LifeWorks Inc. Announces Cash Dividend for the Month of June 2022, Payable on July 15, 2022 LifeWorks Inc. announced a cash dividend of $0.065 per share for the month of June 2022, to be paid on July 15, 2022 to holders of record of shares of LWRK on June 30, 2022. Price Target Changed • Jun 17
Price target increased to CA$30.50 Up from CA$25.80, the current price target is an average from 5 analysts. New target price is approximately in line with last closing price of CA$31.02. The company is forecast to post earnings per share of CA$0.75 next year compared to a net loss per share of CA$0.34 last year. Announcement • Jun 17
TELUS Corporation (TSX:T) entered into a binding agreement to acquire LifeWorks Inc. (TSX:LWRK) from e directors and senior officers of LifeWorks Inc. and others for CAD 1.1 Billion. TELUS Corporation (TSX:T) entered into a binding agreement to acquire LifeWorks Inc. (TSX:LWRK) from e directors and senior officers of LifeWorks Inc. and others for CAD 1.1 Billion on June 16, 2022. Pursuant to the transaction, LifeWorks shareholders will have the option to elect to receive CAD 33 per LifeWorks share in cash (“Cash Consideration”); or 1.0642 TELUS shares per LifeWorks share or CAD 16.50 in cash plus 0.5321 TELUS shares per LifeWorks share, representing 50% cash consideration and 50% Share consideration (“Combination Consideration”); elections to receive the cash consideration or the share consideration will be subject to proration to ensure aggregate cash consideration and share consideration each represent 50% of the total transaction consideration. LifeWorks shareholders who do not elect Cash Consideration or share consideration will receive the combination consideration. The total transaction value, including net debt, is approximately CAD 2.9 billion. The arrangement agreement provides for a termination fee of CAD 94 million, payable by LifeWorks under specified circumstances, as well as a reverse termination fee of CAD 140 million, payable by TELUS under other specified circumstances.
The transaction, which is not subject to a financing condition, will be implemented by way of a court-approved plan of arrangement under the Business Corporations Act (Ontario) and will require the approval of 66 2/3% of the votes cast by LifeWorks shareholders at the Special Meeting. In addition to approval by LifeWorks shareholders, the Transaction is also subject to the receipt of court approval, regulatory approvals including competition clearances, and other customary closing conditions for transactions of this nature. LifeWorks’ Board of Directors (the “Board”) unanimously approved the arrangement agreement following a unanimous recommendation of a special committee of independent directors (the “Special Committee”) of the Board. Both the Special Committee and the Board determined that the transaction is in the best interests of the Company and is fair to the shareholders of LifeWorks.
BMO Capital Markets and Goldman Sachs Canada Inc. acted as financial advisors and Osler, Hoskin & Harcourt LLP acted as legal counsel to LifeWorks. CIBC World Markets is acting as financial advisor to TELUS. Stikeman Elliott LLP is acting as legal counsel and Clifford Chance LLP is advising on foreign legal matters to TELUS. BMO Capital Markets and Goldman Sachs Canada Inc. acted as fairness opinion provider to LifeWorks. Upcoming Dividend • May 23
Upcoming dividend of CA$0.065 per share Eligible shareholders must have bought the stock before 30 May 2022. Payment date: 15 June 2022. The company is not currently making a profit and there are not enough cash flows to support it either. Trailing yield: 4.8%. Lower than top quartile of Canadian dividend payers (4.9%). Higher than average of industry peers (1.3%). Announcement • May 19
Lifeworks Inc. Declares Cash Dividend for the Month of May 2022, Payable on June 15, 2022 LifeWorks Inc. declared cash dividend of $0.065 per share for the month of May 2022, to be paid on June 15, 2022 to holders of record of shares of LWRK on May 31, 2022. Announcement • May 04
LifeWorks Inc. Announces Management Changes LifeWorks Inc. at the annual general meeting held on May 3, 2022 announced Jill Denham, board member and outgoing chair of the board, Stephen Liptrap, president and chief executive officer, and Robert Courteau, incoming chair of the board, reviewed the growth and progress of the company in 2021. Reported Earnings • May 03
First quarter 2022 earnings: EPS exceeds analyst expectations while revenues lag behind First quarter 2022 results: EPS: CA$0.20 (up from CA$0.14 in 1Q 2021). Revenue: CA$259.0m (flat on 1Q 2021). Net income: CA$14.1m (up 38% from 1Q 2021). Profit margin: 5.4% (up from 4.0% in 1Q 2021). Revenue missed analyst estimates by 3.2%. Earnings per share (EPS) exceeded analyst estimates by 14%. Over the next year, revenue is forecast to grow 5.9%, compared to a 6.3% growth forecast for the industry in Canada. Over the last 3 years on average, earnings per share has fallen by 52% per year but the company’s share price has only fallen by 13% per year, which means it has not declined as severely as earnings. Announcement • Apr 20
LifeWorks Inc. Declares Cash Dividend for the Month of April 2022, Payable on May 16, 2022 LifeWorks Inc. announced a cash dividend of $0.065 per share for the month of April 2022, to be paid on May 16, 2022 to holders of record of shares of LWRK on April 29, 2022. Price Target Changed • Mar 11
Price target decreased to CA$29.70 Down from CA$34.10, the current price target is an average from 4 analysts. New target price is 54% above last closing price of CA$19.29. Stock is down 43% over the past year. The company is forecast to post earnings per share of CA$0.72 next year compared to a net loss per share of CA$0.34 last year. Reported Earnings • Mar 11
Full year 2021 earnings: EPS exceeds analyst expectations Full year 2021 results: CA$0.34 loss per share (down from CA$0.80 profit in FY 2020). Revenue: CA$1.02b (up 4.1% from FY 2020). Net loss: CA$24.1m (down 143% from profit in FY 2020). Revenue was in line with analyst estimates. Earnings per share (EPS) surpassed analyst estimates by 84%. Over the next year, revenue is forecast to grow 5.4%, compared to a 7.5% growth forecast for the industry in Canada. Over the last 3 years on average, earnings per share has fallen by 36% per year but the company’s share price has only fallen by 9% per year, which means it has not declined as severely as earnings. Announcement • Feb 19
LifeWorks Inc., Annual General Meeting, May 03, 2022 LifeWorks Inc., Annual General Meeting, May 03, 2022. Announcement • Feb 16
LifeWorks Inc. Declares February 2022 Cash Dividend, Payable on March 15, 2022 LifeWorks Inc. announced a cash dividend of $0.065 per share for the month of February 2022, to be paid on March 15, 2022 to holders of record of shares of the company on February 28, 2022. Buying Opportunity • Feb 12
Now 20% undervalued after recent price drop Over the last 90 days, the stock is down 1.2%. The fair value is estimated to be CA$34.60, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% per annum over the last 3 years. The company became loss making over the last year. Announcement • Feb 08
Lifeworks, Expands and Improves Its Telemedicine Offering in an Effort to Better Meet the Needs of Organizations and Their People LifeWorks, has expanded and improved its telemedicine offering in an effort to better meet the needs of organizations and their people. Research from the Canadian Medical Association noted that almost half (46%) of Canadians who used virtual care since the pandemic outbreak prefer this method as a first point of contact with a doctor. Recognizing this as the leading edge of a growing change in how healthcare is accessed in Canada, LifeWorks is proud to offer a virtual care solution that reduces wait times to obtain medical care and decreases barriers to access with on-demand service from licensed general practitioners across Canada. Key features: LifeWorks telemedicine connects employees and their family members to licensed general practitioners in Canada via audio, video, or instant messaging on a virtual platform. It is available 24/7 from web and mobile apps. Once connected, a general practitioner evaluates symptoms and makes appropriate recommendations. General practitioners can diagnose and treat, order necessary lab work and diagnostic imaging, prescribe medication, and make a specialist referral when medically necessary. On average, the service connects patients to a general practitioner within five minutes, a 75 per cent improvement in wait time. A survey of users of the platform showed that employees save an average of four hours per consultation, resulting in less time lost from work for medical appointments. Canadian employers can add LifeWorks telemedicine to their existing benefit plans. Announcement • Feb 02
LifeWorks Inc. to Report Q4, 2021 Results on Mar 09, 2022 LifeWorks Inc. announced that they will report Q4, 2021 results at 4:30 PM, US Eastern Standard Time on Mar 09, 2022 Buying Opportunity • Jan 26
Now 21% undervalued after recent price drop Over the last 90 days, the stock is down 14%. The fair value is estimated to be CA$34.48, however this is not to be taken as a buy recommendation but rather should be used as a guide only. Revenue has grown by 13% per annum over the last 3 years. The company became loss making over the last year. Announcement • Jan 25
LifeWorks Inc. (TSX:LWRK) acquired Breaking Free Online Limited. LifeWorks Inc. (TSX:LWRK) acquired Breaking Free Online Limited on January 24, 2022. Breaking Free’s team will join LifeWorks
LifeWorks Inc. (TSX:LWRK) completed the acquisition of Breaking Free Online Limited on January 24, 2022. Recent Insider Transactions Derivative • Dec 18
General Counsel & Corporate Secretary exercised options to buy CA$313k worth of stock. On the 13th of December, Susan Marsh exercised options to buy 13k shares at a strike price of around CA$25.23, costing a total of CA$319k. This transaction amounted to less than 1% of their direct individual holding at the time of the trade. Since December 2020, Susan's direct individual holding has increased from 486.00 shares to 1.87k. Company insiders have collectively sold CA$2.1m more than they bought, via options and on-market transactions in the last 12 months. Recent Insider Transactions • Dec 18
General Counsel & Corporate Secretary recently sold CA$172k worth of stock On the 14th of December, Susan Marsh sold around 7k shares on-market at roughly CA$25.32 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of CA$1.7m more than they bought in the last 12 months. Recent Insider Transactions • Dec 12
Insider recently sold CA$50k worth of stock On the 7th of December, Nigel Branker sold around 2k shares on-market at roughly CA$25.12 per share. This was the largest sale by an insider in the last 3 months. Insiders have been net sellers, collectively disposing of CA$1.5m more than they bought in the last 12 months. Upcoming Dividend • Nov 22
Upcoming dividend of CA$0.065 per share Eligible shareholders must have bought the stock before 29 November 2021. Payment date: 15 December 2021. Trailing yield: 2.9%. Lower than top quartile of Canadian dividend payers (4.5%). Higher than average of industry peers (0.9%). Recent Insider Transactions • Nov 20
Executive VP & President of LifeWorks recently bought CA$100k worth of stock On the 17th of November, Neil King bought around 4k shares on-market at roughly CA$26.79 per share. In the last 3 months, there was an even bigger purchase from another insider worth CA$918k. Despite this recent purchase, insiders have collectively sold CA$1.5m more in shares than they bought in the last 12 months. Reported Earnings • Nov 18
Third quarter 2021 earnings released: EPS CA$0.11 (vs CA$0.03 loss in 3Q 2020) The company reported a strong third quarter result with improved earnings, revenues and profit margins. Third quarter 2021 results: Revenue: CA$246.1m (up 2.4% from 3Q 2020). Net income: CA$7.98m (up CA$10.0m from 3Q 2020). Profit margin: 3.2% (up from net loss in 3Q 2020). Over the last 3 years on average, earnings per share has fallen by 15% per year but the company’s share price has remained flat, which means it is well ahead of earnings. Price Target Changed • Nov 14
Price target decreased to CA$36.20 Down from CA$40.00, the current price target is an average from 5 analysts. New target price is 29% above last closing price of CA$28.02. Stock is down 2.7% over the past year. The company is forecast to post a net loss per share of CA$0.19 compared to earnings per share of CA$0.80 last year. Recent Insider Transactions • Aug 29
President recently bought CA$918k worth of stock On the 27th of August, Stephen Liptrap bought around 26k shares on-market at roughly CA$35.30 per share. This was the largest purchase by an insider in the last 3 months. This was Stephen's only on-market trade for the last 12 months. Upcoming Dividend • Aug 23
Upcoming dividend of CA$0.065 per share Eligible shareholders must have bought the stock before 30 August 2021. Payment date: 15 September 2021. Trailing yield: 2.2%. Lower than top quartile of Canadian dividend payers (4.5%). Higher than average of industry peers (1.0%). Reported Earnings • Aug 12
Second quarter 2021 earnings released: CA$0.58 loss per share (vs CA$0.12 profit in 2Q 2020) The company reported a soft second quarter result with weaker earnings and weaker control over costs, although revenues improved. Second quarter 2021 results: Revenue: CA$257.7m (up 4.7% from 2Q 2020). Net loss: CA$40.8m (down CA$49.1m from profit in 2Q 2020). Over the last 3 years on average, earnings per share has fallen by 7% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Recent Insider Transactions • Jun 05
Insider recently sold CA$85k worth of stock On the 2nd of June, Nigel Branker sold around 3k shares on-market at roughly CA$32.60 per share. This was the largest sale by an insider in the last 3 months. Despite this recent sale, insiders have collectively bought CA$43k more than they sold in the last 12 months. Major Estimate Revision • May 20
Consensus forecasts updated The consensus outlook for 2021 has been updated. 2021 revenue forecast increased from CA$1.03b to CA$1.04b. EPS estimate fell from CA$0.76 to CA$0.68 per share. Net income forecast to grow 101% next year vs 28% growth forecast for Professional Services industry in Canada. Consensus price target up from CA$38.60 to CA$39.60. Share price rose 4.4% to CA$32.25 over the past week. Announcement • May 19
LifeWorks Inc. Declares April 2021 Cash Dividend, Payable June 15, 2021 LifeWorks Inc. announced a cash dividend of $0.065 per share for the month of May 2021, to be paid on June 15, 2021 to holders of record of shares of MSI on May 31, 2021. Price Target Changed • May 15
Price target increased to CA$38.80 Up from CA$36.20, the current price target is an average from 5 analysts. New target price is 23% above last closing price of CA$31.54. Stock is down 1.2% over the past year. Reported Earnings • May 15
First quarter 2021 earnings released: EPS CA$0.15 (vs CA$0.56 in 1Q 2020) The company reported a soft first quarter result with weaker earnings and profit margins, although revenues improved. First quarter 2021 results: Revenue: CA$257.1m (up 5.8% from 1Q 2020). Net income: CA$10.2m (down 74% from 1Q 2020). Profit margin: 4.0% (down from 16% in 1Q 2020). The decrease in margin was driven by higher expenses. Over the last 3 years on average, earnings per share has increased by 9% per year whereas the company’s share price has increased by 8% per year. Announcement • Mar 21
Morneau Shepell Declares March 2021 Cash Dividend, Payable on April 15, 2021 Morneau Shepell Inc. announced a cash dividend of $0.065 per share for the month of March 2021, to be paid on April 15, 2021 to holders of record of shares of MSI on March 31, 2021. Morneau Shepell designates this dividend to be an “eligible dividend” pursuant to subsection 89(14) of the Income Tax Act (Canada) and similar provincial and territorial legislation. Major Estimate Revision • Mar 17
Consensus EPS estimates increase to CA$0.76 The consensus outlook for earnings per share (EPS) in 2021 has improved. 2021 revenue forecast increased from CA$1.02b to CA$1.03b. EPS estimate increased from CA$0.59 to CA$0.76 per share. Net income forecast to shrink 2.9% next year vs 17% growth forecast for Professional Services industry in Canada . Consensus price target up from CA$36.20 to CA$38.60. Share price was steady at CA$33.32 over the past week. Reported Earnings • Mar 12
Full year 2020 earnings released The company reported a strong full year result with improved earnings, revenues and profit margins. Full year 2020 results: Revenue: CA$979.2m (up 10% from FY 2019). Net income: CA$55.9m (up 195% from FY 2019). Profit margin: 5.7% (up from 2.1% in FY 2019). Over the last 3 years on average, earnings per share has increased by 2% per year but the company’s share price has increased by 10% per year, which means it is tracking significantly ahead of earnings growth. Analyst Estimate Surprise Post Earnings • Mar 12
Revenue and earnings beat expectations Revenue exceeded analyst estimates by 0.08%. Earnings per share (EPS) also surpassed analyst estimates by 8.8%. Over the next year, revenue is forecast to grow 4.2%, compared to a 3.9% growth forecast for the Professional Services industry in Canada. Announcement • Feb 27
Morneau Shepell Inc., Annual General Meeting, May 14, 2021 Morneau Shepell Inc., Annual General Meeting, May 14, 2021. Is New 90 Day High Low • Feb 13
New 90-day high: CA$32.05 The company is up 11% from its price of CA$28.80 on 13 November 2020. The Canadian market is up 12% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Professional Services industry, which is flat over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$12.46 per share. Announcement • Feb 06
Morneau Shepell Inc. to Report Q4, 2020 Results on Mar 10, 2021 Morneau Shepell Inc. announced that they will report Q4, 2020 results at 4:30 PM, US Eastern Standard Time on Mar 10, 2021 Is New 90 Day High Low • Jan 12
New 90-day high: CA$32.00 The company is up 13% from its price of CA$28.29 on 13 October 2020. The Canadian market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Professional Services industry, which is down 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$12.52 per share. Upcoming Dividend • Dec 23
Upcoming Dividend of CA$0.065 Per Share Will be paid on the 15th of January to those who are registered shareholders by the 30th of December. The trailing yield of 2.6% is below the top quartile of Canadian dividend payers (5.2%), but it is higher than industry peers (1.1%). Is New 90 Day High Low • Dec 10
New 90-day high: CA$30.57 The company is up 8.0% from its price of CA$28.37 on 10 September 2020. The Canadian market is up 9.0% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Professional Services industry, which is up 2.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$10.95 per share. Is New 90 Day High Low • Nov 20
New 90-day high: CA$29.61 The company is up 3.0% from its price of CA$28.73 on 21 August 2020. The Canadian market is up 4.0% over the last 90 days, indicating the company underperformed over that time. However, its price trend is similar to the Professional Services industry, which is also up 3.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$11.05 per share. Recent Insider Transactions • Nov 19
Independent Director recently bought CA$113k worth of stock On the 13th of November, Luc Bachand bought around 4k shares on-market at roughly CA$28.23 per share. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought CA$550k more in shares than they have sold in the last 12 months. Announcement • Nov 17
GMS Health and Travel Insurance with Morneau Shepell to Add Total Wellbeing Program to Personal Health Coverage GMS Health and Travel Insurance (GMS) announced it is providing LifeWorks by Morneau Shepell, a total wellbeing solution, to all GMS Personal Health customers as part of their coverage. LifeWorks includes a confidential and secure assistance program and a wealth of resources and tools to help Personal Health customers improve their mental, physical, financial and social wellbeing. With LifeWorks by Morneau Shepell, GMS' Personal Health customers benefit from: 24/7 access to consultations with expert advisors for coping strategies, referrals to counselling, and connections to community agencies. The ability to connect with mental health professionals, wellbeing coaches and other specialists, such as financial and legal professionals. Savings on everyday purchases with exclusive offers, cashback and discounts on hundreds of brands. Convenient online access to a wealth of clinically verified wellbeing resources and content. Tools for positive health and lifestyle changes, including health assessments and challenges. Existing Personal Health customers will receive specific information about how they can access the assistance program and wellbeing features available through the LifeWorks platform. New Personal Health customers will also have LifeWorks as part of their policy. Major Estimate Revision • Nov 17
Analysts update estimates The 2020 consensus earning per share (EPS) estimate was lowered from CA$0.94 to CA$0.74. Revenue estimate was approximately flat at CA$978.3m. Net income is expected to shrink by 12% next year compared to 15% growth forecast for the Professional Services industry in Canada . The consensus price target increased from CA$35.75 to CA$36.00. Share price is up 1.2% to CA$28.18 over the past week. Reported Earnings • Nov 12
Third quarter 2020 earnings released: CA$0.03 loss per share The company reported a soft third quarter result with weaker earnings and control over expenses, although revenues were improved. Third quarter 2020 results: Revenue: CA$240.3m (up 7.3% from 3Q 2019). Net loss: CA$2.07m (down 255% from profit in 3Q 2019). Over the last 3 years on average, earnings per share has fallen by 2% per year but the company’s share price has increased by 9% per year, which means it is well ahead of earnings. Analyst Estimate Surprise Post Earnings • Nov 12
Revenue and earnings miss expectations Revenue missed analyst estimates by 1.2%. Earnings per share (EPS) were also behind analyst expectations. Over the next year, revenue is forecast to grow 2.7%, compared to a 3.7% growth forecast for the Professional Services industry in Canada. Announcement • Nov 10
Morneau Shepell Expands iCBT Programs to Continue Supporting Canadians' Declining Mental Health Morneau Shepell announced the expansion of programs for its therapist-guided internet-based cognitive behavioural therapy (iCBT) solution, AbilitiCBT. The new programs are designed to help people deal with trauma, grief and loss and obsessive-compulsive disorder (OCD), and round out the current AbilitiCBT programs: anxiety (expanding to better support panic disorder and social anxiety), anxiety related to a pandemic, depression, combined anxiety/depression, insomnia and pain management. The new AbilitiCBT programs were developed in response to increased need for therapist-assisted digital services as Canadians continue to struggle with mental health challenges exacerbated by the COVID-19 pandemic. Morneau Shepell's monthly Mental Health Index™ reports have continued to show a trend of declining mental health for Canadians, with findings showing that the strained mental health of Canadians may be here for the long term. AbilitiCBT therapists are well-versed in all aspects of cognitive behavioural therapy (CBT), which is one of the most effective forms of therapy. Morneau Shepell is a leading global provider of wellbeing services, with thousands of therapists in an extensive network, including crisis counsellors, who offer support to any AbilitiCBT user who needs help. The new trauma and grief and loss programs will be available by the end of 2020, while the OCD and the expanded anxiety programs will be on the AbilitiCBT platform in early 2021, in both English and French. Announcement • Nov 03
Morneau Shepell Expands Telemedicine Solution to the United States Morneau Shepell announced the launch of its first unified telemedicine solution in the United States. With this service, U.S. employees and their families have assured access to digital health care support for all their immediate and crucial wellbeing needs. Telemedicine is a simple and convenient solution that drives transformational development in reducing the costs of health care and improving access to regions that may lack resources. Offered in conjunction with an employee assistance program (EAP) and wellbeing services, Morneau Shepell's telemedicine solution will further support in the seamless continuum of quality care Americans deserve. The new unified telemedicine solution is available now via the company's award-winning LifeWorks platform and mobile app. It includes a comprehensive suite of services provided by board-certified doctors and other clinical professionals. Telemedicine patients will experience: Faster access to care wherever they are " anywhere; A simplified patient experience, including easy onboarding and ongoing follow-up; Access to multiple consultation approaches; Integration into a continuum of care that includes EAP counseling and multiple other mental health and wellbeing supports. Is New 90 Day High Low • Oct 27
New 90-day low: CA$27.73 The company is down 12% from its price of CA$31.59 on 29 July 2020. The Canadian market is flat over the last 90 days, indicating the company underperformed over that time. It also underperformed the Professional Services industry, which is up 12% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$20.44 per share. Announcement • Oct 20
Morneau Shepell Inc. Announces Board Changes Morneau Shepell Inc. announced the appointment of Robert Courteau to its Board of Directors, effective October 19, 2020. Mr. Courteau most recently served as the CEO of Altus Group. Mr. Courteau is a member of the Board of Directors of Kinaxis, and a past member of the Board of Real Matters. The company also announced that Michele Trogni has stepped down from the Board of Directors, effective September 30, 2020. Announcement • Oct 08
Morneau Shepell Launches Unified Telemedicine Solution to Enhance Canadians' Total Wellbeing Morneau Shepell has expanded into the rapidly growing telemedicine market to provide the employees of Canadian clients and their families with easier, more convenient access to digital health care services. Telemedicine is viewed as a transformational development in improving access and reducing the costs of health care. To access this market opportunity, the company is launching a unified telemedicine service through its LifeWorks' business to provide Canadians with quick access to medical practitioners such as doctors, nurse practitioners, and other clinical professionals across the wellbeing spectrum. The new unified telemedicine solution, which can be accessed via the company's award-winning LifeWorks' platform, will deliver a comprehensive set of telemedicine capabilities that provide: Faster access to care for patients wherever they are – anywhere. A simplified patient experience, including easy onboarding and ongoing follow-up. Access to multiple consultation approaches. Integration into a continuum of care spanning multiple health care modalities. Available in Canada now, telemedicine will be offered as an additional service within the LifeWorks' employee and family assistance programs, creating an integrated approach to total wellbeing. Announcement • Oct 07
Morneau Shepell Inc. to Report Q3, 2020 Results on Nov 10, 2020 Morneau Shepell Inc. announced that they will report Q3, 2020 results on Nov 10, 2020 Is New 90 Day High Low • Sep 18
New 90-day low: CA$28.00 The company is down 12% from its price of CA$31.66 on 19 June 2020. The Canadian market is up 7.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Professional Services industry, which is up 9.0% over the same period. According to the Simply Wall St valuation model, the estimated intrinsic value of the company is CA$20.24 per share.