Cascades
Cascades Inc. produces, converts, and markets packaging and tissue products in Canada, the United States, and internationally. The last earnings update was 19 days ago. More info.
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- Cascades has significant price volatility in the past 3 months.
CAS Share Price and Events
7 Day Returns
1 Year Returns
CAS Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Cascades (CAS) | -1.2% | -15.3% | -26.4% | -41.6% | -4.2% | 13.3% |
| CA Packaging | -0.5% | -10.1% | 0.7% | -18.4% | 6.6% | 113.3% |
| CA Market | 0.9% | 2.3% | 12.4% | 1.2% | 16.1% | 5.9% |
1 Year Return vs Industry and Market
- CAS underperformed the Packaging industry which returned -18.4% over the past year.
- CAS underperformed the Market in Canada which returned 1.2% over the past year.
Value
Is Cascades 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
Cascades
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.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Cascades.
| 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 | 13.5% |
| 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.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year CA Govt Bond Rate | 1.9% |
| Equity Risk Premium | S&P Global | 6% |
| Packaging Unlevered Beta | Simply Wall St/ S&P Global | 0.87 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.871 (1 + (1- 26.5%) (238.32%)) |
1.936 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.94 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.936 * 5.96%) |
13.49% |
Discounted Cash Flow Calculation for TSX:CAS using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Cascades 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.
| Levered FCF (CAD, Millions) | Source |
Present Value Discounted (@ 13.49%) |
|
|---|---|---|---|
| 2019 | 55.67 | Analyst x3 | 49.05 |
| 2020 | 132.00 | Analyst x2 | 102.49 |
| 2021 | 148.84 | Est @ 12.76% | 101.84 |
| 2022 | 163.01 | Est @ 9.52% | 98.28 |
| 2023 | 174.82 | Est @ 7.25% | 92.87 |
| 2024 | 184.71 | Est @ 5.66% | 86.46 |
| 2025 | 193.10 | Est @ 4.54% | 79.65 |
| 2026 | 200.37 | Est @ 3.76% | 72.83 |
| 2027 | 206.82 | Est @ 3.22% | 66.24 |
| 2028 | 212.68 | Est @ 2.84% | 60.02 |
| Present value of next 10 years cash flows | CA$809.73 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= CA$212.68 × (1 + 1.95%) ÷ (13.49% – 1.95%) |
CA$1,879.13 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= CA$1,879.13 ÷ (1 + 13.49%)10 |
CA$530.34 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= CA$809.73 + CA$530.34 |
CA$1,340.07 |
| Equity Value per Share (CAD) |
= Total value / Shares Outstanding
= CA$1,340.07 / 94.17 |
CA$14.23 |
| Calculation | Result | |
|---|---|---|
| Value per share (CAD) | From above. | CA$14.23 |
| Current discount | Discount to share price of
CA$8.43
= -1 x (CA$8.43 - CA$14.23) / CA$14.23 |
40.8% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Cascades's share price is below the future cash flow value, and at a moderate discount (> 20%).
- Cascades'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 Cascades's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Cascades's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in CAD | CA$0.62 |
| TSX:CAS Share Price ** | TSX (2019-03-19) in CAD | CA$8.43 |
| Canada Packaging Industry PE Ratio | Median Figure of 6 Publicly-Listed Packaging Companies | 17.76x |
| Canada Market PE Ratio | Median Figure of 542 Publicly-Listed Companies | 14.83x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Cascades.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = TSX:CAS Share Price ÷ EPS (both in CAD) = 8.43 ÷ 0.62 |
13.51x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Cascades is good value based on earnings compared to the CA Packaging industry average.
- Cascades is good value based on earnings compared to the Canada market.
Price based on expected Growth
Does
Cascades's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 13.51x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts |
13.4%per year |
| North America Packaging Industry PEG Ratio | Median Figure of 18 Publicly-Listed Packaging Companies | 1.83x |
| Canada Market PEG Ratio | Median Figure of 252 Publicly-Listed Companies | 1.21x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 13.51x ÷ 13.4% |
1.01x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Cascades is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on
Cascades's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in CAD | CA$16.01 |
| TSX:CAS Share Price * | TSX (2019-03-19) in CAD | CA$8.43 |
| Canada Packaging Industry PB Ratio | Median Figure of 7 Publicly-Listed Packaging Companies | 1.94x |
| Canada Market PB Ratio | Median Figure of 2,347 Publicly-Listed Companies | 1.56x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = TSX:CAS Share Price ÷ Book Value per Share (both in CAD) = 8.43 ÷ 16.01 |
0.53x |
* Primary Listing of Cascades.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Cascades is good value based on assets compared to the CA Packaging industry average.
Value checks
We assess Cascades's value by looking at:- 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. )
- Is the PE ratio less than the market average, and/ or less than the Packaging industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Packaging industry average (and greater than 0)? (1 check) Cascades has a total score of 5/6, 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 Cascades 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!
Earnings growth vs Low Risk Savings
- Cascades's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
- Cascades's earnings growth is positive but not above the Canada market average.
- Cascades's revenue growth is positive but not above the Canada market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| TSX:CAS Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts | 13.4% |
| TSX:CAS Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts | 3.4% |
| Canada Packaging Industry Earnings Growth Rate | Market Cap Weighted Average | 12.4% |
| Canada Packaging Industry Revenue Growth Rate | Market Cap Weighted Average | 4.1% |
| Canada Market Earnings Growth Rate | Market Cap Weighted Average | 17.9% |
| Canada Market Revenue Growth Rate | Market Cap Weighted Average | 6.8% |
*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
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 4 Analyst Estimates (S&P Global) | See Below |
| Date (Data in CAD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2020-12-31 | 4,975 | 419 | 78 | 4 |
| 2019-12-31 | 4,948 | 405 | 70 | 4 |
| Date (Data in CAD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 4,649 | 373 | 59 |
| 2018-09-30 | 4,531 | 383 | 181 |
| 2018-06-30 | 4,462 | 267 | 178 |
| 2018-03-31 | 4,413 | 217 | 407 |
| 2017-12-31 | 4,321 | 173 | 507 |
| 2017-09-30 | 4,218 | 256 | 454 |
| 2017-06-30 | 4,136 | 328 | 441 |
| 2017-03-31 | 4,004 | 343 | 221 |
| 2016-12-31 | 4,001 | 372 | 135 |
| 2016-09-30 | 3,997 | 328 | 54 |
| 2016-06-30 | 4,002 | 324 | 56 |
| 2016-03-31 | 3,954 | 287 | 46 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (2 months ago) | See Below |
| Future Estimates | Average of up to 4 Analyst Estimates (S&P Global) | See Below |
All data from Cascades Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in CAD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2020-12-31 | 0.80 | 0.80 | 0.80 | 1.00 |
| 2019-12-31 | 0.73 | 0.73 | 0.73 | 1.00 |
| Date (Data in CAD Millions) | EPS * |
|---|---|
| 2018-12-31 | 0.62 |
| 2018-09-30 | 1.91 |
| 2018-06-30 | 1.88 |
| 2018-03-31 | 4.29 |
| 2017-12-31 | 5.35 |
| 2017-09-30 | 4.80 |
| 2017-06-30 | 4.66 |
| 2017-03-31 | 2.34 |
| 2016-12-31 | 1.43 |
| 2016-09-30 | 0.57 |
| 2016-06-30 | 0.59 |
| 2016-03-31 | 0.49 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Cascades's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Cascades 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 Cascades 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
Past Earnings growth analysis
- Cascades has delivered over 20% year on year earnings growth in the past 5 years.
- Cascades's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Cascades's 1-year earnings growth is negative, it can't be compared to the CA Packaging industry average.
Earnings and Revenue History
All data from Cascades Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in CAD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 4,649.00 | 59.00 | 425.00 | |
| 2018-09-30 | 4,531.00 | 181.00 | 462.00 | |
| 2018-06-30 | 4,462.00 | 178.00 | 457.00 | |
| 2018-03-31 | 4,413.00 | 407.00 | 452.00 | |
| 2017-12-31 | 4,321.00 | 507.00 | 445.00 | |
| 2017-09-30 | 4,218.00 | 454.00 | 395.00 | |
| 2017-06-30 | 4,136.00 | 441.00 | 409.00 | |
| 2017-03-31 | 4,004.00 | 221.00 | 410.00 | |
| 2016-12-31 | 4,001.00 | 135.00 | 407.00 | |
| 2016-09-30 | 3,997.00 | 54.00 | 399.00 | |
| 2016-06-30 | 4,002.00 | 56.00 | 383.00 | |
| 2016-03-31 | 3,954.00 | 46.00 | 372.00 | |
| 2015-12-31 | 3,861.00 | -66.00 | 366.00 | |
| 2015-09-30 | 3,765.00 | -10.00 | 353.00 | |
| 2015-06-30 | 3,648.00 | -51.00 | 345.00 | |
| 2015-03-31 | 3,608.00 | -99.00 | 341.00 | |
| 2014-12-31 | 3,561.00 | -64.00 | 340.00 | |
| 2014-09-30 | 3,359.00 | -24.00 | 334.00 | |
| 2014-06-30 | 3,382.00 | 22.00 | 335.00 | |
| 2014-03-31 | 3,371.00 | 47.00 | 341.00 | |
| 2013-12-31 | 3,370.00 | 41.00 | 343.00 | |
| 2013-09-30 | 3,597.00 | -7.00 | 362.00 | |
| 2013-06-30 | 3,571.00 | -32.00 | 374.00 | |
| 2013-03-31 | 3,616.00 | -30.00 | 386.00 | |
| 2012-12-31 | 3,645.00 | -17.00 | 394.00 | |
| 2012-09-30 | 3,654.00 | 16.00 | 391.00 | |
| 2012-06-30 | 3,695.00 | -4.00 | 387.00 | |
| 2012-03-31 | 3,742.00 | 4.00 | 382.00 |
*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.
- Cascades has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Cascades used its assets less efficiently than the CA Packaging industry average last year based on Return on Assets.
- Cascades's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Cascades's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Packaging industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Cascades 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 Cascades'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 Cascades's finances.
The net worth of a company is the difference between its assets and liabilities.
- Cascades is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Cascades's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.7x 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.
All data from Cascades Company Filings, last reported 2 months ago.
| Date (Data in CAD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 1,688.00 | 1,892.00 | 123.00 |
| 2018-09-30 | 1,742.00 | 1,712.00 | 139.00 |
| 2018-06-30 | 1,715.00 | 1,683.00 | 71.00 |
| 2018-03-31 | 1,685.00 | 1,671.00 | 112.00 |
| 2017-12-31 | 1,601.00 | 1,615.00 | 89.00 |
| 2017-09-30 | 1,573.00 | 1,661.00 | 192.00 |
| 2017-06-30 | 1,624.00 | 1,847.00 | 67.00 |
| 2017-03-31 | 1,254.00 | 1,685.00 | 68.00 |
| 2016-12-31 | 1,074.00 | 1,594.00 | 62.00 |
| 2016-09-30 | 1,041.00 | 1,662.00 | 37.00 |
| 2016-06-30 | 1,017.00 | 1,693.00 | 29.00 |
| 2016-03-31 | 1,000.00 | 1,752.00 | 68.00 |
| 2015-12-31 | 963.00 | 1,782.00 | 60.00 |
| 2015-09-30 | 1,047.00 | 1,775.00 | 34.00 |
| 2015-06-30 | 1,011.00 | 1,717.00 | 24.00 |
| 2015-03-31 | 975.00 | 1,719.00 | 28.00 |
| 2014-12-31 | 1,003.00 | 1,642.00 | 29.00 |
| 2014-09-30 | 1,074.00 | 1,670.00 | 32.00 |
| 2014-06-30 | 1,093.00 | 1,743.00 | 100.00 |
| 2014-03-31 | 1,192.00 | 1,735.00 | 30.00 |
| 2013-12-31 | 1,194.00 | 1,636.00 | 23.00 |
| 2013-09-30 | 1,161.00 | 1,626.00 | 27.00 |
| 2013-06-30 | 1,120.00 | 1,682.00 | 9.00 |
| 2013-03-31 | 1,081.00 | 1,589.00 | 11.00 |
| 2012-12-31 | 1,094.00 | 1,560.00 | 35.00 |
| 2012-09-30 | 1,111.00 | 1,558.00 | 44.00 |
| 2012-06-30 | 1,144.00 | 1,614.00 | 54.00 |
| 2012-03-31 | 1,158.00 | 1,549.00 | 41.00 |
- Cascades's level of debt (112.1%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (137.1% vs 112.1% today).
- Debt is not well covered by operating cash flow (19.7%, less than 20% of total debt).
- Interest payments on debt are not well covered by earnings (EBIT is 2.7x annual interest expense, ideally 3x coverage).
Financial health checks
We assess Cascades's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Cascades has a total score of 2/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- 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 Cascades'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
If you bought
CA$2,000 of
Cascades
shares you are expected to receive
CA$38
in your first year as a dividend.
Dividend Amount
- Cascades's pays a lower dividend yield than the bottom 25% of dividend payers in Canada (2.09%).
- Cascades's dividend is below the markets top 25% of dividend payers in Canada (5.67%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 4 Analyst Estimates (S&P Global) | See Below |
| North America Packaging Industry Average Dividend Yield | Market Cap Weighted Average of 17 Stocks | 2.5% |
| Canada Market Average Dividend Yield | Market Cap Weighted Average of 330 Stocks | 3.5% |
| Canada Minimum Threshold Dividend Yield | 10th Percentile | 1.1% |
| Canada Bottom 25% Dividend Yield | 25th Percentile | 2.1% |
| Canada Top 25% Dividend Yield | 75th Percentile | 5.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in CA$) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2020-12-31 | 0.16 | 2.00 |
| 2019-12-31 | 0.16 | 3.00 |
| Date (Data in CA$) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-02-28 | 0.160 | 1.901 |
| 2018-11-08 | 0.160 | 1.496 |
| 2018-08-09 | 0.160 | 1.328 |
| 2018-03-01 | 0.160 | 1.247 |
| 2017-11-09 | 0.160 | 1.135 |
| 2017-08-10 | 0.160 | 1.054 |
| 2017-05-12 | 0.160 | 0.972 |
| 2017-05-10 | 0.160 | 1.022 |
| 2017-03-30 | 0.160 | 1.042 |
| 2017-03-02 | 0.160 | 1.216 |
| 2016-11-14 | 0.160 | 1.311 |
| 2016-11-11 | 0.160 | 1.391 |
| 2016-05-05 | 0.160 | 1.537 |
| 2016-03-11 | 0.160 | 1.849 |
| 2015-11-11 | 0.160 | 1.449 |
| 2015-05-07 | 0.160 | 1.978 |
| 2015-03-13 | 0.160 | 2.245 |
| 2014-11-06 | 0.160 | 2.218 |
| 2014-08-12 | 0.160 | 2.606 |
| 2014-05-08 | 0.160 | 2.493 |
| 2014-03-13 | 0.160 | 2.312 |
| 2013-11-07 | 0.160 | 2.404 |
| 2013-08-08 | 0.160 | 2.775 |
| 2013-05-09 | 0.160 | 2.905 |
| 2013-02-21 | 0.160 | 3.563 |
| 2012-11-08 | 0.160 | 3.728 |
| 2012-08-09 | 0.160 | 3.262 |
| 2012-05-10 | 0.160 | 3.561 |
| 2012-02-23 | 0.160 | 3.861 |
| 2011-11-10 | 0.160 | 3.624 |
| 2011-08-10 | 0.160 | 3.522 |
| 2011-05-12 | 0.160 | 2.589 |
| 2011-02-24 | 0.160 | 2.243 |
| 2010-11-12 | 0.160 | 2.468 |
| 2010-08-11 | 0.160 | 2.449 |
| 2010-05-13 | 0.160 | 2.426 |
| 2010-02-26 | 0.160 | 2.005 |
| 2009-11-05 | 0.160 | 1.845 |
| 2009-08-11 | 0.160 | 2.162 |
| 2009-05-14 | 0.160 | 3.429 |
| 2009-03-20 | 0.160 | 5.560 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- No dividend growth in 10 years.
Income/ dividend checks
We assess Cascades's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1.1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Cascades afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Cascades has a total score of 3/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | CA$3,044,712 |
| AGE | 57 |
| TENURE AS CEO | 5.8 years |
CEO Bio
Mr. Mario Plourde has been the Chief Executive Officer and President of Cascades, Inc., since May 9, 2013. Mr. Plourde has been Director at Cascades Inc. since November 06, 2014. Mr. Plourde served as the Chief Operating Officer of Cascades, Inc. of Cascades Boxboard Group, Inc. from February 23, 2011 to May 9, 2013. He serves as the President of Cascade Diamond, Inc. He works in close collaboration with Cascades's President in the recovery, packaging and tissue paper sectors, in the pursuit of operational and business objectives. Since 2000, he served as the President of scades Inc. He served as the President of Specialty Products Group at Cascades Inc. until February 23, 2011 and served as its Chief Operating Officer, Specialty Products Group from 1997 to February 2011. Mr. Plourde served as the President and Chief Executive Officer of Cascades Fine Paper Group Inc. of Cascades Inc., until February 23, 2011. In 1985, he joined Cascades as Controller. He served as Plant Manager of Plastiques Cascades Inc. since 1986 and General Manager of Groupe Plastiques and Papiers Kingsey Falls division of Cascades Inc. and Cascades Joliette Inc. since 1989. Since 1997, he served as Vice President of Specialty Products Group of Cascades Inc. He serves as a Director of ABZAC Canada Inc. He has been a Non-Independent Director of Cascades, Inc. since November 6, 2014. Mr. Plourde has been an Independent Director of Transcontinental Inc. since March 17, 2015. He is a Member of several associations, including the Association canadienne des pâtes et papiers and the Société de l'Industrie et du Plastique in Québec. He sits on the Board of Directors of the Fondation Centre de Cancérologie Charles-Bruneau. Mr. Plourde is the Recipient of two prestigious awards; Artista 1990, honoured as a Junior Executive in a large company and the Lauréats 2001 award from the Univerisité de Quebec à Montreal (UQAM). He was awarded in 2012, the Prix bâtisseur - Tour CIBC Charles Bruneau. He completed his primary studies in Danville and Asbestos. In 1981, he enrolled at Victoriaville CEGEP in the Business Administration program with a major in Finance. Mr. Plourde has a Bachelor's degree of Administration with a major in Finance from Université du Québec in Montréal.
CEO Compensation
- Mario's compensation has been consistent with company performance over the past year.
- Mario's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure
Average tenure and age of the Cascades management team in years:
- The average tenure for the Cascades management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Alain Lemaire
Co-Founder & Executive Chairman
CA$2M
71
Mario Plourde
President
CA$3M
57
5.8 yrs
Allan Hogg
VP & CFO
CA$1M
8.8 yrs
Robert Hall
Chief Legal Officer & Corporate Secretary
CA$1M
61
3.2 yrs
Luc Langevin
President & COO of the Cascades Specialty Products Group
CA$1M
7.8 yrs
Laurent Lemaire
Co-Founder
79
Bernard Lemaire
Co-Founder
CA$512K
81
Dominic Doré
Chief Supply Chain & Information Officer
9.2 yrs
Jennifer Aitken
Director of Investor Relations
Hugo D'Amours
Vice-President of Communications & Public Affairs
6.2 yrs
Board of Directors Tenure
Average tenure and age of the Cascades board of directors in years:
- The tenure for the Cascades board of directors is about average.
Board of Directors
Mario Plourde
President
CA$3M
57
4.3 yrs
Sylvie Lemaire
Non-Independent Director
CA$104K
55
20.2 yrs
Alain Lemaire
Co-Founder & Executive Chairman
CA$2M
71
5.8 yrs
David McAusland
Independent Director
CA$104K
64
16.2 yrs
Georges Kobrynsky
Lead Director
CA$127K
71
Laurence Sellyn
Independent Director
CA$105K
68
5.8 yrs
Louis Garneau
Independent Director
CA$84K
59
23.2 yrs
Élise Pelletier
Independent Director
CA$97K
57
8.2 yrs
Sylvie Vachon
Independent Director
CA$99K
58
5.8 yrs
Martin Couture
Independent Director
CA$99K
49
2.7 yrs
Who owns this company?
Recent Insider Trading
- More shares have been bought than sold by Cascades insiders in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (CA$) | Value (CA$) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 15. Mar 19 | Buy | Sylvie Vachon | Individual | 15. Mar 19 | 15. Mar 19 | 2,000 | CA$8.23 | CA$16,467 | ||
| 08. Mar 19 | Buy | Alain Lemaire | Individual | 07. Mar 19 | 07. Mar 19 | 10,000 | CA$8.24 | CA$82,160 | ||
| 08. Mar 19 | Buy | Laurence Sellyn | Individual | 07. Mar 19 | 07. Mar 19 | 5,000 | CA$8.09 | CA$40,454 | ||
| 07. Mar 19 | Buy | Alain Lemaire | Individual | 06. Mar 19 | 06. Mar 19 | 10,000 | CA$8.34 | CA$83,400 | ||
| 04. Mar 19 | Buy | Alain Lemaire | Individual | 01. Mar 19 | 01. Mar 19 | 20,000 | CA$8.75 | CA$174,220 | ||
| 01. Mar 19 | Buy | Michelle Cormier | Individual | 01. Mar 19 | 01. Mar 19 | 2,000 | CA$8.78 | CA$17,552 | ||
| 19. Dec 18 | Buy | Laurence Sellyn | Individual | 19. Dec 18 | 19. Dec 18 | 2,000 | CA$11.63 | CA$23,254 | ||
| 15. Nov 18 | Buy | Martin Couture | Individual | 14. Nov 18 | 14. Nov 18 | 9,090 | CA$10.00 | CA$90,925 | ||
| 07. Dec 18 | Buy | Laurent Lemaire | Individual | 06. Dec 18 | 06. Dec 18 | 3,010 | CA$12.34 | CA$36,984 | ||
| 20. Nov 18 | Buy | Laurent Lemaire | Individual | 12. Nov 18 | 16. Nov 18 | 17,151 | CA$11.25 | CA$191,866 | ||
| 19. Nov 18 | Buy | Laurent Lemaire | Individual | 14. Nov 18 | 16. Nov 18 | 29,486 | CA$11.06 | CA$325,219 | ||
| 15. Nov 18 | Buy | Laurent Lemaire | Individual | 12. Nov 18 | 14. Nov 18 | 62,560 | CA$10.83 | CA$669,372 | ||
| 09. Nov 18 | Buy | Laurent Lemaire | Individual | 09. Nov 18 | 09. Nov 18 | 73 | CA$10.90 | CA$796 | ||
| 14. Sep 18 | Buy | Laurent Lemaire | Individual | 11. Sep 18 | 12. Sep 18 | 2,615 | CA$13.06 | CA$33,883 | ||
| 13. Aug 18 | Sell | Sylvie Lemaire | Individual | 10. Aug 18 | 10. Aug 18 | -50,000 | CA$13.44 | CA$-661,681 | ||
| 21. Jun 18 | Buy | Allan Hogg | Individual | 19. Jun 18 | 19. Jun 18 | 40,000 | CA$12.20 | CA$488,000 | ||
| 21. Jun 18 | Buy | Robert Hall | Individual | 19. Jun 18 | 19. Jun 18 | 60,000 | CA$12.20 | CA$732,000 | ||
| 21. Jun 18 | Buy | Mario Plourde | Individual | 19. Jun 18 | 19. Jun 18 | 50,000 | CA$12.20 | CA$610,000 | ||
| 11. Jun 18 | Buy | Laurent Lemaire | Individual | 08. Jun 18 | 08. Jun 18 | 2,670 | CA$12.52 | CA$33,411 | ||
| 14. May 18 | Buy | Laurent Lemaire | Individual | 11. May 18 | 11. May 18 | 2,590 | CA$12.65 | CA$32,757 | ||
Management checks
We assess Cascades's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Cascades 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
What Kind Of Shareholders Own Cascades Inc. (TSE:CAS)?
Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … Cascades is not a large company by global standards. … institutional investors have bought into the company.
Simply Wall St - – Full articleAre Cascades Inc.'s (TSE:CAS) Interest Costs Too High?
Help shape the future of investing tools and receive a $20 prize! … (TSE:CAS) with its market cap of CA$950m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Evaluating financial health as part of your investment thesis is
Simply Wall St - – Full articleDoes Cascades Inc.'s (TSE:CAS) P/E Ratio Signal A Buying Opportunity?
This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … That corresponds to an earnings yield of approximately 19%. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleWhy You Should Care About Cascades Inc.’s (TSE:CAS) Low Return On Capital
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Understanding Return On Capital Employed (ROCE). … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.
Simply Wall St - – Full articleWhat To Know Before Buying Cascades Inc. (TSE:CAS) For Its Dividend
A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … (TSE:CAS) has been paying a dividend to shareholders. … Here's how I find good dividend stocks
Simply Wall St - – Full articleCalculating The Fair Value Of Cascades Inc. (TSE:CAS)
by estimating the company's future cash flows and discounting them to their present value. … discounted cash flows (DCF). … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model
Simply Wall St - – Full articleDo Directors Own Cascades Inc (TSE:CAS) Shares?
So it's nice to see some insider ownership, because it may suggest that management is owner-oriented. … Our analysis of the ownership of the company, below, shows that. … We can zoom in on the different ownership groups, to learn more about CAS
Simply Wall St - – Full articleWhat Should Investors Know About Cascades Inc's (TSE:CAS) Return On Capital?
and want to better understand how you can grow your money by investing in Cascades Inc (TSE:CAS). … Thus, to understand how your money can grow by investing in Cascades, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE) … Calculating Return On Capital Employed for CAS
Simply Wall St - – Full articleIs Cascades Inc's (TSE:CAS) PE Ratio A Signal To Buy For Investors?
This analysis is intended to introduce important early concepts to people who are starting to invest. … and want to start learning about core concepts of fundamental analysis on practical examples from today's market. … While CAS might seem like an attractive stock to buy, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions.
Simply Wall St - – Full articleShould You Be Concerned About Cascades Inc's (TSE:CAS) Shareholders?
In this article, I will take a quick look at Cascades Inc’s (TSE:CAS) recent ownership structure – an unconventional investing subject, but an important one. … The impact of a company's ownership structure affects both its short- and long-term performance. … If an activist institution invests the same amount of capital in a stock as a passive long-term pension fund, the implications are potentially different for key corporate financing decisions such as the use of excess cash or the source of financing.
Simply Wall St - – Full articleCompany Info
Description
Cascades Inc. produces, converts, and markets packaging and tissue products in Canada, the United States, and internationally. The company operates through four segments: Containerboard, Boxboard Europe, Specialty Products, and Tissue Papers. It offers containerboards, and coated recycled and virgin boxboards, as well as converts corrugated products. The company also provides roll headers; wrappers; packaging reams; laminated paperboards for food packaging and furniture backing industries; specialty containers; honeycomb paperboards; uncoated paperboard partitions for the beer, wine, and spirits industry; uncoated recycled paperboards for use in packaging converters and industrial users of headers and wrappers for the paper industry, as well as partitions used as protective packaging; and backing for vinyl flooring. In addition, it provides egg filler flats for egg processors and four-cup carriers for the quick-service restaurant industry; polystyrene foam trays under the EVOK brand for processors and retailers in the food industry, as well as plate and bowls; rigid plastic packaging products under the Ultratill and Poultray brands for food processors and retailers; and flexible films for frozen foods, bakery, and ice industries. Further, the company offers services to recover and process discarded materials for the municipal, industrial, commercial, and institutional sectors. Additionally, it offers bathroom and facial tissues, paper towels, paper hand towels and napkins, parent rolls, industrial wipes, and other products under the Decor, North River, Cascades, Cascades Moka, Tandem, Tandem+, Cascades Elite, Wiping Solutions, Cascades PRO Signature, Cascades PRO Perform, Cascades PRO Select, Cascades Pro Tandem, Cascades PRO Tuff-Job, Cascades Fluff, Cascades Tuff, April Soft, and Nature’s Choice labels. The company sells its products through sales force and external representatives. Cascades Inc. was founded in 1964 and is headquartered in Kingsey Falls, Canada.
Details
| Name: | Cascades Inc. |
| CAS | |
| Exchange: | TSX |
| Founded: | 1964 |
| CA$793,882,605 | |
| 94,173,500 | |
| Website: | http://www.cascades.com |
| Address: |
Cascades Inc. 404 Marie-Victorin Boulevard, Kingsey Falls, Quebec, J0A 1B0, Canada |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| TSX | CAS | Common Shares | The Toronto Stock Exchange | CA | CAD | 17. Oct 1984 | |
| OTCPK | CADN.F | Common Shares | Pink Sheets LLC | US | USD | 17. Oct 1984 | |
| DB | CS6 | Common Shares | Deutsche Boerse AG | DE | EUR | 17. Oct 1984 |
Number of employees
Current staff
Industry
| Paper Packaging | |
| Materials |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/03/19 23:34 |
| End of day share price update: | 2019/03/19 00:00 |
| Last estimates confirmation: | 2019/03/15 |
| Last earnings filing: | 2019/02/28 |
| Last earnings reported: | 2018/12/31 |
| 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.
