CNSX:DHC

Stock Analysis Report

Deer Horn Capital

Executive Summary

Deer Horn Capital Inc. engages in the acquisition, exploration, and evaluation of mineral properties in Canada.


Snowflake Analysis

Weak fundamentals or lack of information.

Share Price & News

How has Deer Horn Capital's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

15.8%

DHC

4.7%

CA Metals and Mining

0.1%

CA Market


1 Year Return

-63.3%

DHC

5.4%

CA Metals and Mining

4.5%

CA Market

Return vs Industry: DHC underperformed the Canadian Metals and Mining industry which returned 5.4% over the past year.

Return vs Market: DHC underperformed the Canadian Market which returned 4.5% over the past year.


Shareholder returns

DHCIndustryMarket
7 Day15.8%4.7%0.1%
30 Day83.3%4.2%0.9%
90 Day57.1%14.1%3.7%
1 Year-63.3%-63.3%6.0%5.4%7.8%4.5%
3 Year10.0%10.0%0.2%-1.5%18.2%7.5%
5 Yearn/a26.6%22.9%33.7%14.2%

Price Volatility Vs. Market

How volatile is Deer Horn Capital's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Deer Horn Capital undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Deer Horn Capital is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Deer Horn Capital has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of DHC’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the potential returns from the core activities, the size of each contract's opportunity, and the capacity of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Deer Horn Capital regulatory filings.
  • Explore potentially undervalued companies in the Materials industry.

Future Growth

How is Deer Horn Capital forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.5%

Forecasted Materials 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 Deer Horn Capital 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 Deer Horn Capital performed over the past 5 years?

2.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DHC is currently unprofitable.

Growing Profit Margin: DHC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DHC is unprofitable, but has reduced losses over the past 5 years at a rate of 2.6% per year.

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

Earnings vs Industry: DHC is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.9%).


Return on Equity

High ROE: DHC's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Deer Horn Capital's financial position?


Financial Position Analysis

Short Term Liabilities: DHC has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: DHC has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: DHC has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: DHC's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

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

Debt Coverage by Assets: DHC has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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: DHC has less than a year of cash runway based on its current free cash flow.

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


Next Steps

Dividend

What is Deer Horn Capital's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.4%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

11.3yrs

Average management tenure


CEO

Tyrone Docherty (59yo)

11.3yrs

Tenure

CA$90,000

Compensation

Mr. Tyrone Mark Docherty has been the Chief Executive Officer and President of Deer Horn Metals Inc. since October 14, 2008. Mr. Docherty has many years of experience in the resource industry. Mr. Docherty ...


CEO Compensation Analysis

Compensation vs Market: Tyrone's total compensation ($USD68.11K) is below average for companies of similar size in the Canadian market ($USD154.65K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Tyrone Docherty
President11.3yrsCA$90.00k9.01% CA$218.9k
Pamela Saulnier
CFO & Corporate Secretary10.7yrsCA$30.00k3.55% CA$86.3k
Lee Lizotte
Vice President of Administration12.8yrsno datano data

11.3yrs

Average Tenure

Experienced Management: DHC's management team is seasoned and experienced (11.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Tyrone Docherty
President11.3yrsCA$90.00k9.01% CA$218.9k
Matthew Wayrynen
Independent Director10.6yrsno datano data
Josef Fogarassy
Chairman of the Board8.9yrsCA$30.00k6.27% CA$152.5k
Allen Schwabe
Independent Director3.6yrsno data0.027% CA$660.1

9.8yrs

Average Tenure

59yo

Average Age

Experienced Board: DHC's board of directors are considered experienced (9.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: DHC 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 46.9%.


Top Shareholders

Company Information

Deer Horn Capital Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Deer Horn Capital Inc.
  • Ticker: DHC
  • Exchange: CNSX
  • Founded: 2004
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Market Cap: CA$2.430m
  • Shares outstanding: 22.09m
  • Website: https://www.deerhorncapital.ca

Location

  • Deer Horn Capital Inc.
  • 1215C 56th Street
  • PO Box 18086
  • Delta
  • British Columbia
  • V4L 2M4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
G1J2DB (Deutsche Boerse AG)YesCommon SharesDEEURJan 2005
GODY.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 2005
DHCCNSX (Canadian National Stock Exchange)YesCommon SharesCACADJan 2005

Biography

Deer Horn Capital Inc. engages in the acquisition, exploration, and evaluation of mineral properties in Canada. It primarily explores for silver, tellurium, gold, copper, tungsten, copper porphyry, bismuth, lead, zinc, and molybdenum. The company principally holds a 50% interests in the Deer Horn Property covering 5,133 hectares located in north western British Columbia. The company was formerly known as Deer Horn Metals Inc. and changed its name to Deer Horn Capital Inc. in 2014. Deer Horn Capital Inc. was incorporated in 2004 and is headquartered in Delta, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 03:16
End of Day Share Price2020/02/21 00:00
Earnings2019/10/31
Annual Earnings2019/07/31


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.