TSX:CMG

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Computer Modelling Group

Executive Summary

Computer Modelling Group Ltd., a computer software technology company, develops and licenses reservoir simulation software in Canada. More Details


Snowflake Analysis

Flawless balance sheet with questionable track record.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CMG is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: CMG's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

0.2%

CMG

-0.9%

CA Energy Services

-0.2%

CA Market


1 Year Return

-33.8%

CMG

-32.9%

CA Energy Services

1.5%

CA Market

Return vs Industry: CMG underperformed the Canadian Energy Services industry which returned -32.4% over the past year.

Return vs Market: CMG underperformed the Canadian Market which returned 2.1% over the past year.


Shareholder returns

CMGIndustryMarket
7 Day0.2%-0.9%-0.2%
30 Day7.4%14.2%4.0%
90 Day-1.8%45.3%12.9%
1 Year-30.9%-33.8%-30.4%-32.9%5.2%1.5%
3 Year-36.8%-45.6%-61.8%-65.3%14.2%3.4%
5 Year-20.9%-37.3%-49.7%-56.7%63.2%38.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Computer Modelling Group undervalued compared to its fair value and its price relative to the market?

19.38x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CMG (CA$5.36) is trading above our estimate of fair value (CA$3.98)

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


Price To Earnings Ratio

PE vs Industry: CMG is poor value based on its PE Ratio (19.4x) compared to the CA Energy Services industry average (14.7x).

PE vs Market: CMG is poor value based on its PE Ratio (19.4x) compared to the Canadian market (16.9x).


Price to Earnings Growth Ratio

PEG Ratio: CMG is poor value based on its PEG Ratio (16.8x)


Price to Book Ratio

PB vs Industry: CMG is overvalued based on its PB Ratio (10.5x) compared to the CA Energy Services industry average (0.5x).


Next Steps

Future Growth

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

1.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CMG's forecast earnings growth (1.2% per year) is below the savings rate (1.5%).

Earnings vs Market: CMG's earnings (1.2% per year) are forecast to grow slower than the Canadian market (27.6% per year).

High Growth Earnings: CMG's earnings are forecast to grow, but not significantly.

Revenue vs Market: CMG's revenue (1% per year) is forecast to grow slower than the Canadian market (8% per year).

High Growth Revenue: CMG's revenue (1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Computer Modelling Group performed over the past 5 years?

-4.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CMG has high quality earnings.

Growing Profit Margin: CMG's current net profit margins (30.7%) are lower than last year (30.8%).


Past Earnings Growth Analysis

Earnings Trend: CMG's earnings have declined by 4.7% per year over the past 5 years.

Accelerating Growth: CMG's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CMG had negative earnings growth (-7.9%) over the past year, making it difficult to compare to the Energy Services industry average (-56.7%).


Return on Equity

High ROE: CMG's Return on Equity (54.3%) is considered outstanding.


Next Steps

Financial Health

How is Computer Modelling Group's financial position?


Financial Position Analysis

Short Term Liabilities: CMG's short term assets (CA$56.2M) exceed its short term liabilities (CA$25.9M).

Long Term Liabilities: CMG's short term assets (CA$56.2M) exceed its long term liabilities (CA$40.4M).


Debt to Equity History and Analysis

Debt Level: CMG is debt free.

Reducing Debt: CMG has not had any debt for past 5 years.

Debt Coverage: CMG has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: CMG has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Computer Modelling Group current dividend yield, its reliability and sustainability?

3.73%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CMG's dividend (3.73%) is higher than the bottom 25% of dividend payers in the Canadian market (1.53%).

High Dividend: CMG's dividend (3.73%) is low compared to the top 25% of dividend payers in the Canadian market (4.96%).


Stability and Growth of Payments

Stable Dividend: CMG's dividend payments have been volatile in the past 10 years.

Growing Dividend: CMG's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (108.5%), CMG's dividend payments are not well covered by earnings.


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?

1.1yrs

Average management tenure


CEO

Ryan Schneider (43 yo)

2.5yrs

Tenure

CA$900,953

Compensation

Mr. Ryan N. Schneider has been President, Chief Executive Officer of Computer Modelling Group Ltd., since July 12, 2018 and serves its Director since July 12, 2018. Mr. Schneider servesd as the Chief Opera...


CEO Compensation Analysis

Compensation vs Market: Ryan's total compensation ($USD713.82K) is about average for companies of similar size in the Canadian market ($USD769.99K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Ryan Schneider
President2.5yrsCA$900.95k0.042%
CA$ 172.8k
Long Nghiem
CTO and VP of Research & Development1.92yrsCA$604.97k0.95%
CA$ 3.9m
Sandra Balic
VP of Finance & CFO (Leave of Absence)0.33yrCA$494.65k0.081%
CA$ 334.8k
Kelly Tomyn
Interim VP of Finance & CFO0.33yrno datano data
Kristin Mason
Manager of Administration & Complianceno datano datano data

1.1yrs

Average Tenure

Experienced Management: CMG's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Ryan Schneider
President2.5yrsCA$900.95k0.042%
CA$ 172.8k
John Zaozirny
Independent Chairman of the Board3.5yrsCA$144.60k0.13%
CA$ 537.1k
Peter Kinash
Independent Director16.58yrsCA$119.76k0.070%
CA$ 287.8k
Kenneth Dedeluk
Vice Chairman of the Board2.5yrsCA$84.76k2.03%
CA$ 8.4m
Mark Miller
Independent Director1.25yrsCA$80.23kno data
Patrick Jamieson
Independent Director13.67yrsCA$113.76k0.015%
CA$ 61.1k
John Billowits
Directorno datano datano data
Judith Athaide
Independent Director3.5yrsCA$101.76k0.017%
CA$ 71.6k
Christopher Fong
Independent Director8.92yrsCA$116.76k0.024%
CA$ 97.7k

3.5yrs

Average Tenure

64yo

Average Age

Experienced Board: CMG's board of directors are considered experienced (3.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: CMG insiders have only sold shares 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

Computer Modelling Group Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Computer Modelling Group Ltd.
  • Ticker: CMG
  • Exchange: TSX
  • Founded: 1978
  • Industry: Oil and Gas Equipment and Services
  • Sector: Energy
  • Market Cap: CA$412.671m
  • Shares outstanding: 80.29m
  • Website: https://www.cmgl.ca

Number of Employees


Location

  • Computer Modelling Group Ltd.
  • 3710 33 Street NW
  • Calgary
  • Alberta
  • T2L 2M1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CMGTSX (The Toronto Stock Exchange)YesCommon SharesCACADApr 1997
5TJDB (Deutsche Boerse AG)YesCommon SharesDEEURApr 1997
CMDX.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 1997

Biography

Computer Modelling Group Ltd., a computer software technology company, develops and licenses reservoir simulation software in Canada. The company offers CMOST AI, an intelligent optimization and analysis t...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/21 23:32
End of Day Share Price2021/01/21 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.