TSXV:BQE

Stock Analysis Report

Executive Summary

BQE Water Inc., a water treatment company, provides wastewater treatment services to the mining and metallurgical industry in Canada, the United States, Mexico, Chile, China, and internationally.


Snowflake Analysis

Adequate balance sheet with acceptable track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BQE has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.3%

BQE

-3.9%

CA Commercial Services

-3.8%

CA Market


1 Year Return

28.6%

BQE

26.1%

CA Commercial Services

0.5%

CA Market

Return vs Industry: BQE exceeded the Canadian Commercial Services industry which returned 26.1% over the past year.

Return vs Market: BQE exceeded the Canadian Market which returned 0.5% over the past year.


Shareholder returns

BQEIndustryMarket
7 Day2.3%-3.9%-3.8%
30 Day2.3%1.4%-2.0%
90 Day9.8%8.0%-0.3%
1 Year28.6%28.6%28.9%26.1%3.7%0.5%
3 Year50.0%50.0%50.8%42.1%13.6%3.4%
5 Year157.1%157.1%83.9%58.7%30.2%11.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

16.93x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: BQE (CA$9) is trading above our estimate of fair value (CA$7.23)

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


Price To Earnings Ratio

PE vs Industry: BQE is good value based on its PE Ratio (16.9x) compared to the Commercial Services industry average (22.7x).

PE vs Market: BQE is poor value based on its PE Ratio (16.9x) compared to the Canadian market (15.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BQE is overvalued based on its PB Ratio (1.6x) compared to the CA Commercial Services industry average (1x).


Next Steps

Future Growth

How is BQE Water forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

23.4%

Forecasted Commercial Services industry annual growth in earnings


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 BQE Water 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 SimplyWall St do have past financial data.


Next Steps

Past Performance

How has BQE Water performed over the past 5 years?

44.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BQE has high quality earnings.

Growing Profit Margin: BQE became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: BQE has become profitable over the past 5 years, growing earnings by 44.7% per year.

Accelerating Growth: BQE has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: BQE has become profitable in the last year, making it difficult to compare its past year earnings growth to the Commercial Services industry (2.1%).


Return on Equity

High ROE: BQE's Return on Equity (8.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is BQE Water's financial position?


Financial Position Analysis

Short Term Liabilities: BQE's short term assets (CA$3.0M) exceed its short term liabilities (CA$1.9M).

Long Term Liabilities: BQE's short term assets (CA$3.0M) exceed its long term liabilities (CA$325.5K).


Debt to Equity History and Analysis

Debt Level: BQE's debt to equity ratio (2.1%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if BQE's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: BQE's debt is covered by short term assets (assets are 20.3x 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: BQE is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: BQE is profitable, therefore cash runway is not a concern.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.7%industryaverage1.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if BQE'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 BQE'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?

5.8yrs

Average board tenure


CEO

David Kratochvil 0

5.9yrs

Tenure

CA$282,844

Compensation

Dr. David Kratochvil, P.Eng., Ph.D., has been Chief Executive Officer of BioteQ Environmental Technologies Inc. since March 1, 2014 and has been its President since April 2011. Dr. Kratochvil served as the ...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD212.85K) is above average for companies of similar size in the Canadian market ($USD155.12K).

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


Board Members

NamePositionTenureCompensationOwnership
Peter Gleeson
Executive Chairman6yrsCA$144.45k3.66% CA$391.2k
David Kratochvil
President5.9yrsCA$282.84k1.09% CA$116.4k
Sara Elford
Director0.08yrsno datano data
Robert Henderson
Independent Director1.5yrsCA$3.95k0.27% CA$29.3k
Christopher Fleming
Independent Director9.8yrsCA$20.90k1.37% CA$146.1k

5.8yrs

Average Tenure

Experienced Board: BQE's board of directors are considered experienced (5.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: BQE 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 22.9%.


Top Shareholders

Company Information

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


Key Information

  • Name: BQE Water Inc.
  • Ticker: BQE
  • Exchange: TSXV
  • Founded: 1997
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: CA$10.678m
  • Shares outstanding: 1.21m
  • Website: https://www.bqewater.com

Number of Employees


Location

  • BQE Water Inc.
  • 900 Howe Street
  • Suite 250
  • Vancouver
  • British Columbia
  • V6Z 2M4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BQETSXV (TSX Venture Exchange)YesCommon SharesCACADDec 2000
BTQN.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDDec 2000
UL5ABST (Boerse-Stuttgart)YesCommon SharesDEEURDec 2000

Biography

BQE Water Inc., a water treatment company, provides wastewater treatment services to the mining and metallurgical industry in Canada, the United States, Mexico, Chile, China, and internationally. It offers water treatment solutions for mine drainage, run-off, waste rock seepage, tailings water, groundwater, and lime plant influent and/or effluent streams for treating metals, sulphate, selenium, nitrate, ammonia, and cyanide in the mining sector; smelting and refining services for treating metals and sulphate; and hydrometallurgy services for the treatment of metals, cyanide, and acids. The company’s metal recovery and removal technologies include BioSulphide and ChemSulphide technologies, which use biological or chemical sources of sulphide to precipitate dissolved metals from mining wastewater; and Met-IX technology that treats wastewater. It also offers sulphate technologies, such as Sulf-IX and Sulf-IXC, which removes sulphate and hardness from wastewater; selenium removal technology, including Selen-IX that removes selenium from mining wastewater; and cyanide treatment technologies, such as SART, a process technology to remove the metallurgical interference of cyanide-soluble metals in gold cyanidation. The company was formerly known as BioteQ Environmental Technologies Inc. and changed its name to BQE Water Inc. in March 2017. BQE Water Inc. was founded in 1997 and is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 00:00
End of Day Share Price2020/02/25 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.