TSXV:AFCC

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Executive Summary

Automotive Finco Corp., a specialty finance company, focuses on the auto retail sector in Canada and internationally. More Details


Snowflake Analysis

Adequate balance sheet unattractive dividend payer.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.7%

AFCC

-1.5%

CA Diversified Financial

-1.2%

CA Market


1 Year Return

-12.4%

AFCC

6.8%

CA Diversified Financial

-4.5%

CA Market

Return vs Industry: AFCC underperformed the Canadian Diversified Financial industry which returned 6.3% over the past year.

Return vs Market: AFCC underperformed the Canadian Market which returned -3.8% over the past year.


Shareholder returns

AFCCIndustryMarket
7 Day-0.7%-1.5%-1.2%
30 Day0.7%3.4%-0.03%
90 Day12.9%20.5%0.9%
1 Year0.8%-12.4%8.9%6.8%-1.0%-4.5%
3 Year-7.4%-36.1%24.7%14.8%6.4%-4.0%
5 Year50.2%-0.7%-8.5%-34.5%34.5%13.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.84x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: AFCC (CA$1.49) is trading above our estimate of fair value (CA$1.42)

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


Price To Earnings Ratio

PE vs Industry: AFCC is unprofitable, so we can't compare its PE Ratio to the CA Diversified Financial industry average.

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


Price to Book Ratio

PB vs Industry: AFCC is good value based on its PB Ratio (0.8x) compared to the CA Diversified Financial industry average (0.9x).


Next Steps

Future Growth

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

34.8%

Forecasted Diversified Financials 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 Automotive Finco 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 Automotive Finco performed over the past 5 years?

43.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AFCC is currently unprofitable.

Growing Profit Margin: AFCC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AFCC is unprofitable, but has reduced losses over the past 5 years at a rate of 43.4% per year.

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

Earnings vs Industry: AFCC is unprofitable, making it difficult to compare its past year earnings growth to the Diversified Financial industry (5.8%).


Return on Equity

High ROE: AFCC has a negative Return on Equity (-5.93%), as it is currently unprofitable.


Next Steps

Financial Health

How is Automotive Finco's financial position?


Financial Position Analysis

Short Term Liabilities: AFCC's short term assets (CA$41.8M) exceed its short term liabilities (CA$563.5K).

Long Term Liabilities: AFCC has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: AFCC is debt free.

Reducing Debt: AFCC had no debt 5 years ago.


Balance Sheet


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: Insufficient data to determine if AFCC has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if AFCC has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Automotive Finco current dividend yield, its reliability and sustainability?

13.77%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: AFCC's dividend (13.77%) is higher than the bottom 25% of dividend payers in the Canadian market (1.69%).

High Dividend: AFCC's dividend (13.77%) is in the top 25% of dividend payers in the Canadian market (5.85%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, AFCC has been paying a dividend for less than 10 years.

Growing Dividend: AFCC's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: AFCC is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

8.0yrs

Average management tenure


CEO

Kuldeep Billan (40 yo)

6.5yrs

Tenure

CA$250,000

Compensation

Mr. Kuldeep Billan has been Chief Executive Officer at Automotive Finco Corp since April 11,2014 and served as its Director since August 29,2011 until August 24, 2017. Mr. Billan was an Associate at ONCAP. ...


CEO Compensation Analysis

Compensation vs Market: Kuldeep's total compensation ($USD189.98K) is about average for companies of similar size in the Canadian market ($USD170.66K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Kuldeep Billan
Chief Executive Officer6.5yrsCA$250.00k3.93%
CA$ 1.4m
Shannon Penney
Chief Financial Officer8yrsCA$100.00k0.029%
CA$ 9.9k
Abdelhay Belkabir
Consulting Geologist13.67yrsno datano data
Simon Britt
Independent Consultantno dataCA$122.70kno data
M. Lacroix
Independent Consultantno datano datano data

8.0yrs

Average Tenure

Experienced Management: AFCC's management team is seasoned and experienced (8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Curtis Johansson
Independent Director6.5yrsCA$18.60k0.49%
CA$ 168.3k
Farhad Abasov
Independent Chairman of the Board4.75yrsCA$20.60k0.25%
CA$ 84.4k
Kail Ross
Independent Director4.17yrsCA$18.60k0.40%
CA$ 138.4k

4.8yrs

Average Tenure

40yo

Average Age

Experienced Board: AFCC'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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

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


Top Shareholders

Company Information

Automotive Finco Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Automotive Finco Corp.
  • Ticker: AFCC
  • Exchange: TSXV
  • Founded: 1986
  • Industry: Specialized Finance
  • Sector: Diversified Financials
  • Market Cap: CA$34.454m
  • Shares outstanding: 23.12m
  • Website: https://www.autofincocorp.com

Location

  • Automotive Finco Corp.
  • 8 King Street East
  • Suite 1800
  • Toronto
  • Ontario
  • M5C 1B5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AFCCTSXV (TSX Venture Exchange)YesCommon SharesCACADAug 1988
2AYADB (Deutsche Boerse AG)YesCommon SharesDEEURAug 1988
RMIA.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 1988

Biography

Automotive Finco Corp., a specialty finance company, focuses on the auto retail sector in Canada and internationally. The company, through its investment in Automotive Finance LP, intends to provide long t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/20 00:38
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
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.