TSXV:IRO

Stock Analysis Report

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Executive Summary

Inter-Rock Minerals Inc., together with its subsidiaries, produces and markets dolomite for the animal feed, glass, roofing, aglime, and automotive industries in the United States.


Snowflake Analysis

Undervalued with solid track record.

Share Price & News

How has Inter-Rock Minerals's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: IRO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-22.2%

IRO

1.0%

CA Food

2.4%

CA Market


1 Year Return

12.0%

IRO

-15.6%

CA Food

-12.4%

CA Market

Return vs Industry: IRO exceeded the Canadian Food industry which returned -15.5% over the past year.

Return vs Market: IRO exceeded the Canadian Market which returned -12.4% over the past year.


Shareholder returns

IROIndustryMarket
7 Day-22.2%1.0%2.4%
30 Day-12.5%-0.3%-0.9%
90 Dayn/a3.6%17.3%
1 Year12.0%12.0%-13.8%-15.6%-9.4%-12.4%
3 Yearn/a-17.3%-21.8%4.2%-5.7%
5 Yearn/a21.5%11.4%22.1%3.8%

Price Volatility Vs. Market

How volatile is Inter-Rock Minerals's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Inter-Rock Minerals undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IRO (CA$0.28) is trading below our estimate of fair value (CA$1.67)

Significantly Below Fair Value: IRO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: IRO is good value based on its PE Ratio (1.9x) compared to the Food industry average (14.2x).

PE vs Market: IRO is good value based on its PE Ratio (1.9x) compared to the Canadian market (13.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: IRO is good value based on its PB Ratio (0.7x) compared to the CA Food industry average (1.8x).


Next Steps

Future Growth

How is Inter-Rock Minerals forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

22.4%

Forecasted Food, Beverage & Tobacco 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 Inter-Rock Minerals 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 Inter-Rock Minerals performed over the past 5 years?

39.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IRO has high quality earnings.

Growing Profit Margin: IRO's current net profit margins (5%) are higher than last year (1.3%).


Past Earnings Growth Analysis

Earnings Trend: IRO has become profitable over the past 5 years, growing earnings by 39.6% per year.

Accelerating Growth: IRO's earnings growth over the past year (328.2%) exceeds its 5-year average (39.6% per year).

Earnings vs Industry: IRO earnings growth over the past year (328.2%) exceeded the Food industry -8.9%.


Return on Equity

High ROE: Whilst IRO's Return on Equity (39.49%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Inter-Rock Minerals's financial position?


Financial Position Analysis

Short Term Liabilities: IRO's short term assets ($9.3M) exceed its short term liabilities ($5.8M).

Long Term Liabilities: IRO's short term assets ($9.3M) exceed its long term liabilities ($7.9M).


Debt to Equity History and Analysis

Debt Level: IRO's debt to equity ratio (129%) is considered high.

Reducing Debt: IRO's debt to equity ratio has reduced from 838.7% to 129% over the past 5 years.

Debt Coverage: IRO's debt is well covered by operating cash flow (36.5%).

Interest Coverage: IRO's interest payments on its debt are well covered by EBIT (5.5x coverage).


Balance Sheet


Next Steps

Dividend

What is Inter-Rock Minerals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate IRO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IRO's dividends per share have been stable in the past.

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

10.9yrs

Average board tenure


CEO

Michael Crombie

no data

Tenure

US$324,091

Compensation

Mr. Michael B. Crombie, Ph.D. serves as Chief Executive Officer and President of Inter-Rock Minerals Inc. Mr. Crombie serves as President at MIN-AD Inc. He has been a Director of Inter-Rock Minerals Inc. s ...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD238.77K) is above average for companies of similar size in the Canadian market ($USD173.28K).

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


Board Members

NamePositionTenureCompensationOwnership
David Crombie
Chairman & Secretaryno dataUS$6.63kno data
Michael Crombie
CEO, President & Directorno dataUS$324.09k3.27% $205.5k
Keith Belingheri
VP of Operations & Director15.5yrsUS$229.25k0.056% $3.5k
Scott Kelly
Independent Director5.08yrsUS$5.00kno data
Frank van de Water
Independent Director6.33yrsUS$5.00kno data

10.9yrs

Average Tenure

66yo

Average Age

Experienced Board: IRO's board of directors are seasoned and experienced ( 10.9 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

Inter-Rock Minerals Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Inter-Rock Minerals Inc.
  • Ticker: IRO
  • Exchange: TSXV
  • Founded:
  • Industry: Agricultural Products
  • Sector: Food, Beverage & Tobacco
  • Market Cap: CA$6.283m
  • Shares outstanding: 22.44m
  • Website: https://www.interrockminerals.com

Location

  • Inter-Rock Minerals Inc.
  • 2 Toronto Street
  • Suite 500
  • Toronto
  • Ontario
  • M5C 2B6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IROTSXV (TSX Venture Exchange)YesCommon SharesCACADJan 2018
IRCK.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 2018

Biography

Inter-Rock Minerals Inc., together with its subsidiaries, produces and markets dolomite for the animal feed, glass, roofing, aglime, and automotive industries in the United States. It also markets and distributes dairy feed nutritional supplements. The company is based in Toronto, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/05 00:33
End of Day Share Price2020/06/30 00:00
Earnings2020/03/31
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.