Loading...

Strad

TSX:SDY
Snowflake Description

Flawless balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SDY
TSX
CA$98M
Market Cap
  1. Home
  2. CA
  3. Energy
Company description

Strad Inc. provides rental equipment and matting solutions to the oil and gas, pipeline, power transmission, and mining sectors in Canada and the United States. The last earnings update was 75 days ago. More info.


Add to Portfolio Compare Print
SDY Share Price and Events
7 Day Returns
8.1%
TSX:SDY
-0.1%
CA Energy Services
-0%
CA Market
1 Year Returns
11.6%
TSX:SDY
-29.9%
CA Energy Services
-2.2%
CA Market
SDY Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Strad (SDY) 8.1% 8.1% 8.8% 11.6% 10.9% -63.7%
CA Energy Services -0.1% -3.6% -17.3% -29.9% -23.5% -71.5%
CA Market -0% -0.4% -2.6% -2.2% 8.1% -0.1%
1 Year Return vs Industry and Market
  • SDY outperformed the Energy Services industry which returned -29.9% over the past year.
  • SDY outperformed the Market in Canada which returned -2.2% over the past year.
Price Volatility
SDY
Industry
5yr Volatility vs Market

Value

 Is Strad undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Strad to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Strad.

TSX:SDY Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.9%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:SDY
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Energy Services Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.067 (1 + (1- 26.5%) (23.9%))
1.171
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.17
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.171 * 5.96%)
8.92%

Discounted Cash Flow Calculation for TSX:SDY using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Strad is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

TSX:SDY DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 8.92%)
2020 29.65 Analyst x2 27.22
2021 39.69 Est @ 33.86% 33.45
2022 49.33 Est @ 24.28% 38.17
2023 58.00 Est @ 17.58% 41.20
2024 65.48 Est @ 12.89% 42.70
2025 71.77 Est @ 9.61% 42.97
2026 77.02 Est @ 7.31% 42.34
2027 81.41 Est @ 5.7% 41.08
2028 85.13 Est @ 4.57% 39.44
2029 88.36 Est @ 3.79% 37.58
Present value of next 10 years cash flows CA$386.16
TSX:SDY DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$88.36 × (1 + 1.95%) ÷ (8.92% – 1.95%)
CA$1,290.92
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$1,290.92 ÷ (1 + 8.92%)10
CA$549.09
TSX:SDY Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$386.16 + CA$549.09
CA$935.24
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$935.24 / 56.70
CA$16.5
TSX:SDY Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$16.50
Current discount Discount to share price of CA$1.73
= -1 x (CA$1.73 - CA$16.50) / CA$16.50
89.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Strad is available for.
Intrinsic value
>50%
Share price is CA$1.73 vs Future cash flow value of CA$16.5
Current Discount Checks
For Strad to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Strad's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Strad's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Strad's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Strad's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:SDY PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in CAD CA$0.02
TSX:SDY Share Price ** TSX (2019-07-22) in CAD CA$1.73
Canada Energy Services Industry PE Ratio Median Figure of 18 Publicly-Listed Energy Services Companies 22.91x
Canada Market PE Ratio Median Figure of 539 Publicly-Listed Companies 15.49x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Strad.

TSX:SDY PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:SDY Share Price ÷ EPS (both in CAD)

= 1.73 ÷ 0.02

104.72x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Strad is overvalued based on earnings compared to the CA Energy Services industry average.
  • Strad is overvalued based on earnings compared to the Canada market.
Price based on expected Growth
Does Strad's expected growth come at a high price?
Raw Data
TSX:SDY PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 104.72x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
Not available
Canada Energy Services Industry PEG Ratio Median Figure of 13 Publicly-Listed Energy Services Companies 0.73x
Canada Market PEG Ratio Median Figure of 246 Publicly-Listed Companies 1.23x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Strad, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Strad's assets?
Raw Data
TSX:SDY PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in CAD CA$2.39
TSX:SDY Share Price * TSX (2019-07-22) in CAD CA$1.73
Canada Energy Services Industry PB Ratio Median Figure of 39 Publicly-Listed Energy Services Companies 1.02x
Canada Market PB Ratio Median Figure of 2,445 Publicly-Listed Companies 1.46x
TSX:SDY PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:SDY Share Price ÷ Book Value per Share (both in CAD)

= 1.73 ÷ 2.39

0.72x

* Primary Listing of Strad.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Strad is good value based on assets compared to the CA Energy Services industry average.
X
Value checks
We assess Strad's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Energy Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Energy Services industry average (and greater than 0)? (1 check)
  5. Strad has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Strad expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
13.5%
Expected annual growth in revenue.
Earnings growth vs Low Risk Savings
Is Strad expected to grow at an attractive rate?
  • Unable to compare Strad's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Strad's earnings growth to the Canada market average as no estimate data is available.
  • Strad's revenue growth is expected to exceed the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:SDY Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:SDY Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 13.5%
Canada Energy Services Industry Earnings Growth Rate Market Cap Weighted Average 46.5%
Canada Energy Services Industry Revenue Growth Rate Market Cap Weighted Average 7.5%
Canada Market Earnings Growth Rate Market Cap Weighted Average 14.3%
Canada Market Revenue Growth Rate Market Cap Weighted Average 5.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:SDY Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:SDY Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 153 47 4
2019-12-31 132 37 4
TSX:SDY Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-03-31 122 37 1
2018-12-31 120 30 -1
2018-09-30 115 43 1
2018-06-30 118 39 1
2018-03-31 118 33 -5
2017-12-31 118 30 -7
2017-09-30 117 12 -7
2017-06-30 104 6 -11
2017-03-31 85 7 -16
2016-12-31 72 9 -17
2016-09-30 67 21 -22
2016-06-30 72 27 -39

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Strad is high growth as no earnings estimate data is available.
  • Strad's revenue is expected to grow by 13.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:SDY Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Strad Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:SDY Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31
2019-12-31
TSX:SDY Past Financials Data
Date (Data in CAD Millions) EPS *
2019-03-31 0.02
2018-12-31 -0.02
2018-09-30 0.02
2018-06-30 0.01
2018-03-31 -0.09
2017-12-31 -0.12
2017-09-30 -0.13
2017-06-30 -0.22
2017-03-31 -0.36
2016-12-31 -0.41
2016-09-30 -0.58
2016-06-30 -1.05

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Strad will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Strad's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Strad has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Strad performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Strad's growth in the last year to its industry (Energy Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Strad's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Strad has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Strad has become profitable in the last year making it difficult to compare the CA Energy Services industry average.
Earnings and Revenue History
Strad's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Strad Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:SDY Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 122.44 0.95 18.20
2018-12-31 119.92 -1.02 22.48
2018-09-30 115.14 0.99 20.85
2018-06-30 117.84 0.70 22.54
2018-03-31 118.30 -5.33 22.45
2017-12-31 117.60 -7.28 21.62
2017-09-30 117.34 -7.02 35.01
2017-06-30 103.69 -11.36 20.00
2017-03-31 84.78 -16.16 29.38
2016-12-31 72.38 -16.80 23.84
2016-09-30 67.09 -22.01 20.94
2016-06-30 72.11 -38.63 19.42
2016-03-31 92.44 -33.56 18.38
2015-12-31 111.55 -30.36 21.65
2015-09-30 145.67 -15.92 26.69
2015-06-30 178.48 12.41 33.96
2015-03-31 202.27 19.06 36.53
2014-12-31 219.78 23.00 38.62
2014-09-30 211.55 18.80 35.47
2014-06-30 200.86 13.20 29.09
2014-03-31 196.74 8.45 26.71
2013-12-31 189.57 5.37 22.97
2013-09-30 183.19 -0.04 26.38
2013-06-30 186.86 0.52 28.97
2013-03-31 191.59 3.28 31.44
2012-12-31 203.16 7.34 34.52
2012-09-30 223.80 18.49 34.43

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Strad has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Strad used its assets less efficiently than the CA Energy Services industry average last year based on Return on Assets.
  • Strad has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Strad's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Energy Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Strad has a total score of 1/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Strad's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Strad's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Strad is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Strad's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Strad's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 3.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Strad Company Filings, last reported 3 months ago.

TSX:SDY Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 135.91 9.91 1.72
2018-12-31 135.94 13.70
2018-09-30 137.79 7.37
2018-06-30 137.99 6.37 0.57
2018-03-31 139.57 8.01 0.28
2017-12-31 139.92 10.78 1.86
2017-09-30 142.81 22.51
2017-06-30 144.33 20.95 1.28
2017-03-31 148.06 18.37 0.88
2016-12-31 132.08 27.98 0.37
2016-09-30 133.22 28.85
2016-06-30 118.83 9.52
2016-03-31 125.63 15.50 1.60
2015-12-31 134.31 18.37
2015-09-30 139.47 23.85
2015-06-30 155.39 26.81
2015-03-31 161.64 37.73
2014-12-31 154.99 36.83
2014-09-30 140.65 45.53
2014-06-30 133.38 45.39
2014-03-31 132.07 42.85
2013-12-31 128.85 40.38
2013-09-30 127.80 44.11
2013-06-30 127.83 53.30
2013-03-31 128.45 59.68
2012-12-31 128.66 59.48
2012-09-30 135.11 58.49
  • Strad's level of debt (7.3%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (34.1% vs 7.3% today).
  • Debt is well covered by operating cash flow (370.4%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 5.1x coverage).
X
Financial health checks
We assess Strad's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Strad has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Strad dividends.
If you bought CA$2,000 of Strad shares you are expected to receive CA$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Strad's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Strad's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:SDY Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
Canada Energy Services Industry Average Dividend Yield Market Cap Weighted Average of 12 Stocks 4.2%
Canada Market Average Dividend Yield Market Cap Weighted Average of 337 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.1%
Canada Bottom 25% Dividend Yield 25th Percentile 2.1%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:SDY Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31
TSX:SDY Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2017-08-09 0.000 0.000
2017-05-10 0.000 0.000
2017-03-01 0.000 0.000
2016-11-03 0.000 0.000
2016-08-09 0.000 0.000
2016-05-05 0.000 0.000
2016-02-24 0.000 0.000
2015-08-05 0.280 14.151
2015-05-14 0.280 9.713
2015-03-10 0.280 9.937
2014-11-07 0.280 8.120
2014-08-13 0.280 5.841
2014-05-07 0.280 6.043
2014-03-14 0.220 4.973
2013-11-26 0.220 5.750
2013-08-15 0.220 5.941
2013-05-21 0.220 6.351
2013-03-11 0.220 6.950
2012-11-12 0.220 6.156
2012-09-10 0.220 5.085
2012-03-02 0.220 4.531

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Strad has not reported any payouts.
  • Unable to verify if Strad's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Strad's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Strad has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Strad's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Strad afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Strad has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Strad's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Andy Pernal
COMPENSATION CA$875,742
TENURE AS CEO 7.1 years
CEO Bio

Mr. Andrew Robert C. Pernal, also known as Andy, CA, has been the President of Strad Energy Services Ltd. since March 31, 2009 and has been its Chief Executive Officer since June 2012. Mr. Pernal served as the Chief Financial Officer of Strad Energy Services Ltd. from May 1, 2006 to February 2010. He has over 14 years of senior financial experience in private and public companies. Mr. Pernal served as Vice President, Finance of MTS Communications (Manitoba Telecom's largest operating subsidiary). He served as Chief Financial Officer of Stone Creek Properties and Craig Media Inc. He spent 8 years with Moffat Communications in Winnipeg in various senior financial capacities including Chief Financial Officer prior to its sale to Shaw Communications in 2001. He spent 9 years in public accounting primarily with Deloitte & Touche in Winnipeg. He has been a Director of Strad Energy Services Ltd. since May 13, 2009. Mr. Pernal has been involved with various community and charitable organizations in both Calgary and Winnipeg including board positions with Clear Water Academy in Calgary, Christ the King School in Winnipeg, Western Canada Aviation Museum and the Cerebral Palsy Association of Manitoba. Mr. Pernal holds a Bachelor of Commerce (Honours) degree from the University of Manitoba and is a Chartered Accountant.

CEO Compensation
  • Andy's compensation has increased in line with Strad recently becoming profitable.
  • Andy's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure

Average tenure of the Strad management team in years:

5.4
Average Tenure
  • The average tenure for the Strad management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Andy Pernal

TITLE
President
COMPENSATION
CA$876K
TENURE
7.1 yrs

Michael Donovan

TITLE
Chief Financial Officer
COMPENSATION
CA$480K
TENURE
3.3 yrs

Shane Hopkie

TITLE
Chief Operating Officer
COMPENSATION
CA$556K
TENURE
5.4 yrs
Board of Directors Tenure

Average tenure of the Strad board of directors in years:

2.9
Average Tenure
  • The average tenure for the Strad board of directors is less than 3 years, this suggests a new board.
Board of Directors

Mick McNulty

TITLE
Chairman of the Board
COMPENSATION
CA$102K
TENURE
0.6 yrs

Andy Pernal

TITLE
President
COMPENSATION
CA$876K
TENURE
10.2 yrs

Jack Nodwell

TITLE
Director
COMPENSATION
CA$94K
TENURE
13.1 yrs

Craig Hruska

TITLE
Director
COMPENSATION
CA$113K
TENURE
3.1 yrs

Tom Alford

TITLE
Director
COMPENSATION
CA$116K
AGE
61
TENURE
2.9 yrs

Lyle Wood

TITLE
Director
COMPENSATION
CA$306K
TENURE
2.9 yrs

Kristi Cawthorn

TITLE
Director
COMPENSATION
CA$5K
TENURE
0.7 yrs

Lee Matheson

TITLE
Director
TENURE
0.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
X
Management checks
We assess Strad's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Strad has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

If You Had Bought Strad (TSE:SDY) Stock Five Years Ago, You'd Be Sitting On A 66% Loss, Today

If you are thinking of buying or selling Strad stock, you should check out this FREE detailed report on its balance sheet. … We've already covered Strad's share price action, but we should also mention its total shareholder return (TSR). … Before deciding if you like the current share price, check how Strad scores on these 3 valuation metrics.

Simply Wall St -

Shareholders Should Look Hard At Strad Energy Services Ltd.’s (TSE:SDY) 3.0% Return On Capital

Analysts use this formula to calculate return on capital employed: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Strad Energy Services: 0.03 = CA$4.9m ÷ (CA$180m - CA$17m) (Based on the trailing twelve months to March 2019.) Therefore, Strad Energy Services has an ROCE of 3.0%. … Strad Energy Services's Current Liabilities And Their Impact On Its ROCE Current liabilities are short term bills and invoices that need to be paid in 12 months or less. … Strad Energy Services has very few current liabilities, which have a minimal effect on its already low ROCE.

Simply Wall St -

What Type Of Shareholder Owns Strad Energy Services Ltd.'s (TSE:SDY)?

As Charlie Munger said 'Show me the incentive and I will show you the outcome.' Strad Energy Services is a smaller company with a market capitalization of CA$97m, so it may still be flying under the radar of many institutional investors. … View our latest analysis for Strad Energy Services TSX:SDY Ownership Summary, May 16th 2019 What Does The Institutional Ownership Tell Us About Strad Energy Services? … As you can see, institutional investors own 51% of Strad Energy Services.

Simply Wall St -

How Should Investors React To Strad Energy Services Ltd.'s (TSE:SDY) CEO Pay?

First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Andy Pernal's Compensation Compare With Similar Sized Companies. … We examined a group of similar sized companies, with market capitalizations of below CA$268m

Simply Wall St -

Those Who Purchased Strad Energy Services Shares Five Years Ago Have A 66% Loss To Show For It

Strad Energy Services isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). … Some companies are willing to postpone profitability to grow revenue faster, but in that case one does expect good top-line growth. … In the last five years Strad Energy Services saw its revenue shrink by 17% per year.

Simply Wall St -

How Much Of Strad Energy Services Ltd. (TSE:SDY) Do Insiders Own?

A look at the shareholders of Strad Energy Services Ltd. … Strad Energy Services is a smaller company with a market capitalization of CA$69m, so it may still be flying under the radar of many institutional investors. … Check out our latest analysis for Strad Energy Services

Simply Wall St -

Is Strad Energy Services Ltd's (TSE:SDY) CEO Paid At A Competitive Rate?

Andy Pernal has been the CEO of Strad Energy Services Ltd (TSE:SDY) since 2012. … According to our data, Strad Energy Services Ltd has a market capitalization of CA$92m, and pays its CEO total annual compensation worth CA$520k. … It would therefore appear that Strad Energy Services Ltd pays Andy Pernal more than the median CEO remuneration at companies of a similar size, in the same market

Simply Wall St -

Who Really Owns Strad Energy Services Ltd (TSE:SDY)?

I am going to take a deep dive into Strad Energy Services Ltd’s (TSE:SDY) most recent ownership structure, not a frequent subject of discussion among individual investors. … Therefore, it is beneficial for us to examine SDY's ownership structure in more detail. … TSX:SDY Ownership Summary August 7th 18

Simply Wall St -

What Investors Should Know About Strad Energy Services Ltd's (TSE:SDY) Financial Strength

Investors are always looking for growth in small-cap stocks like Strad Energy Services Ltd (TSE:SDY), with a market cap of CA$88.86m. … However, an important fact which most ignore is: how financially healthy is the business? … Companies operating in the Energy Services industry,

Simply Wall St -

What Does Strad Energy Services Ltd's (TSE:SDY) Share Price Indicate?

Strad Energy Services Ltd (TSX:SDY), an energy company based in Canada, saw a decent share price growth in the teens level on the TSX over the last few months. … I find that Strad Energy Services’s ratio of 0.66x is trading slightly below its industry peers’ ratio of 1.02x, which means if you buy Strad Energy Services today, you’d be paying a relatively fair price for it. … Furthermore, it seems like Strad Energy Services’s share price is quite stable, which means there may be less chances to buy low in the future now that it’s fairly valued.

Simply Wall St -

Company Info

Description

Strad Inc. provides rental equipment and matting solutions to the oil and gas, pipeline, power transmission, and mining sectors in Canada and the United States. The company operates in two segments, Industrial Matting and Equipment Rentals. It offers tank farms, BBL tanks, BBL single wall horizontal tanks, agitator and flare tanks, floc and premix tanks, potable water storage sheds, EcoPond composites, shale bins, pipe racks and tubs, and containment systems; generators and heaters; and centrifuges, mobile centrifuge dewatering units, and linear motion drying shakers. The company also provides light towers; submersible pumps, portable vacuum systems, transfer pumps, and enviro vac building products; wellsite shacks/trailers; drill pipes; road crossing/invert line crossing products; and wood mats, laminate mats, rig mats, timber mats, crane mats, sidewalk matting, and mobile mat washing units. In addition, it offers mat mobilization and demobilization, mobile mat washing, and servicing 24/7. The company was formerly known as Strad Energy Services Ltd. and changed its name to Strad Inc. in June 2019. Strad Inc. was founded in 2003 and is headquartered in Calgary, Canada.

Details
Name: Strad Inc.
SDY
Exchange: TSX
Founded: 2003
CA$98,083,687
56,695,773
Website: http://www.stradinc.com
Address: Strad Inc.
400 - 2nd Avenue SW,
Suite 1200,
Calgary,
Alberta, T2P 5E9,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX SDY Common Shares The Toronto Stock Exchange CA CAD 23. Nov 2010
OTCPK STRD.F Common Shares Pink Sheets LLC US USD 23. Nov 2010
DB 8SS Common Shares Deutsche Boerse AG DE EUR 23. Nov 2010
Number of employees
Current staff
Staff numbers
186
Strad employees.
Industry
Oil and Gas Equipment and Services
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/23 00:20
End of day share price update: 2019/07/22 00:00
Last estimates confirmation: 2019/06/18
Last earnings filing: 2019/05/09
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.