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ADF Group

TSX:DRX
Snowflake Description

Adequate balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DRX
TSX
CA$38M
Market Cap
  1. Home
  2. CA
  3. Materials
Company description

ADF Group Inc. engages in the design and engineering of connections; and fabrication and installation of complex steel superstructures and heavy steel built-ups, as well as miscellaneous and architectural metalwork primarily in North America. The last earnings update was 105 days ago. More info.


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DRX Share Price and Events
7 Day Returns
0%
TSX:DRX
-2.1%
CA Metals and Mining
0.3%
CA Market
1 Year Returns
-37.8%
TSX:DRX
-5.9%
CA Metals and Mining
0.7%
CA Market
DRX Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
ADF Group (DRX) 0% 0% 15% -37.8% -62.3% -62.4%
CA Metals and Mining -2.1% 1.4% 13.1% -5.9% 8.9% -22%
CA Market 0.3% 2% 13.2% 0.7% 16.6% 5.6%
1 Year Return vs Industry and Market
  • DRX underperformed the Metals and Mining industry which returned -5.9% over the past year.
  • DRX underperformed the Market in Canada which returned 0.7% over the past year.
Price Volatility
DRX
Industry
5yr Volatility vs Market

DRX Value

 Is ADF Group 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 ADF Group 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 ADF Group.

TSX:DRX Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 11.8%
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:DRX
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Metals and Mining Unlevered Beta Simply Wall St/ S&P Global 1.18
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.181 (1 + (1- 26.5%) (92.13%))
1.657
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.66
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.657 * 5.96%)
11.82%

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

The calculations below outline how an intrinsic value for ADF Group 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:DRX DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 11.82%)
2019 8.01 Est @ 56.07% 7.17
2020 11.21 Est @ 39.83% 8.96
2021 14.40 Est @ 28.47% 10.30
2022 17.35 Est @ 20.51% 11.10
2023 19.94 Est @ 14.94% 11.41
2024 22.15 Est @ 11.04% 11.33
2025 23.99 Est @ 8.31% 10.97
2026 25.52 Est @ 6.4% 10.44
2027 26.82 Est @ 5.07% 9.81
2028 27.92 Est @ 4.13% 9.14
Present value of next 10 years cash flows CA$100.62
TSX:DRX DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= CA$27.92 × (1 + 1.95%) ÷ (11.82% – 1.95%)
CA$288.32
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$288.32 ÷ (1 + 11.82%)10
CA$94.33
TSX:DRX Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$100.62 + CA$94.33
CA$194.95
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$194.95 / 32.64
CA$5.97
TSX:DRX Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$5.97
Current discount Discount to share price of CA$1.15
= -1 x (CA$1.15 - CA$5.97) / CA$5.97
80.7%

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

Current Discount
Amount off the current price ADF Group is available for.
Intrinsic value
>50%
Share price is CA$1.15 vs Future cash flow value of CA$5.97
Current Discount Checks
For ADF Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • ADF Group's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • ADF Group'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 ADF Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are ADF Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:DRX PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-10-31) in CAD CA$-0.26
TSX:DRX Share Price ** TSX (2019-03-20) in CAD CA$1.15
Canada Metals and Mining Industry PE Ratio Median Figure of 115 Publicly-Listed Metals and Mining Companies 12.49x
Canada Market PE Ratio Median Figure of 542 Publicly-Listed Companies 14.78x

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

** Primary Listing of ADF Group.

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

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

= 1.15 ÷ -0.26

-4.5x

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

  • ADF Group is loss making, we can't compare its value to the CA Metals and Mining industry average.
  • ADF Group is loss making, we can't compare the value of its earnings to the Canada market.
Price based on expected Growth
Does ADF Group's expected growth come at a high price?
Raw Data
TSX:DRX PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -4.5x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
46.5%per year
Canada Metals and Mining Industry PEG Ratio Median Figure of 35 Publicly-Listed Metals and Mining Companies 0.7x
Canada Market PEG Ratio Median Figure of 253 Publicly-Listed Companies 1.2x

*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 ADF Group, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on ADF Group's assets?
Raw Data
TSX:DRX PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-10-31) in CAD CA$2.99
TSX:DRX Share Price * TSX (2019-03-20) in CAD CA$1.15
Canada Metals and Mining Industry PB Ratio Median Figure of 1,080 Publicly-Listed Metals and Mining Companies 1.44x
Canada Market PB Ratio Median Figure of 2,349 Publicly-Listed Companies 1.58x
TSX:DRX PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 1.15 ÷ 2.99

0.38x

* Primary Listing of ADF Group.

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

  • ADF Group is good value based on assets compared to the CA Metals and Mining industry average.
X
Value checks
We assess ADF Group'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 Metals and Mining 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 Metals and Mining industry average (and greater than 0)? (1 check)
  5. ADF Group 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.

DRX Future Performance

 How is ADF Group expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

  • No analysts cover ADF Group, future earnings growth has been estimated based on fundamentals.
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
46.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is ADF Group expected to grow at an attractive rate?
  • ADF Group's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
  • ADF Group's earnings growth is expected to exceed the Canada market average.
  • Unable to compare ADF Group's revenue growth to the Canada market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
TSX:DRX Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:DRX Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 46.5%
Canada Metals and Mining Industry Earnings Growth Rate Market Cap Weighted Average 33.3%
Canada Metals and Mining Industry Revenue Growth Rate Market Cap Weighted Average 7%
Canada Market Earnings Growth Rate Market Cap Weighted Average 17.8%
Canada Market Revenue Growth Rate Market Cap Weighted Average 6.9%

*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:DRX Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:DRX Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2018-10-31 156 12 -8
2018-07-31 147 -3 -11
2018-04-30 160 2 -8
2018-01-31 180 4 -7
2017-10-31 168 -3 2
2017-07-31 151 -2 3
2017-04-30 126 -11 1
2017-01-31 103 -11 1
2016-10-31 95 -2 2
2016-07-31 96 0 3
2016-04-30 95 -1 3
2016-01-31 98 -1 2

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • ADF Group's earnings are expected to grow significantly at over 20% yearly.
  • Unable to determine if ADF Group is high growth as no revenue estimate data is available.
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:DRX Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from ADF Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:DRX Past Financials Data
Date (Data in CAD Millions) EPS *
2018-10-31 -0.26
2018-07-31 -0.34
2018-04-30 -0.26
2018-01-31 -0.22
2017-10-31 0.06
2017-07-31 0.08
2017-04-30 0.03
2017-01-31 0.05
2016-10-31 0.07
2016-07-31 0.10
2016-04-30 0.08
2016-01-31 0.05

*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 ADF Group will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess ADF Group'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.
ADF Group has a total score of 3/6, 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.

DRX Past Performance

  How has ADF Group 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 ADF Group's growth in the last year to its industry (Metals and Mining).
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.
  • ADF Group does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare ADF Group's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare ADF Group's 1-year growth to the CA Metals and Mining industry average as it is not currently profitable.
Earnings and Revenue History
ADF Group'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 ADF Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:DRX Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-10-31 155.61 -8.34 10.87
2018-07-31 147.26 -10.94 10.74
2018-04-30 160.31 -8.48 10.94
2018-01-31 180.47 -7.21 11.09
2017-10-31 167.58 1.84 12.22
2017-07-31 151.46 2.57 12.14
2017-04-30 126.04 0.89 11.36
2017-01-31 102.85 1.50 12.38
2016-10-31 95.47 2.38 11.92
2016-07-31 95.65 3.39 11.78
2016-04-30 94.85 2.61 11.83
2016-01-31 98.09 1.70 10.45
2015-10-31 87.76 0.01 9.60
2015-07-31 78.97 -2.17 9.32
2015-04-30 80.34 -1.98 9.40
2015-01-31 76.06 -1.57 9.04
2014-10-31 86.60 1.34 9.15
2014-07-31 107.91 6.86 9.53
2014-04-30 105.12 8.42 9.51
2014-01-31 93.00 7.68 8.90
2013-10-31 74.37 4.82 8.39
2013-07-31 48.32 -0.72 7.08
2013-04-30 41.22 -1.91 6.44
2013-01-31 41.41 -1.55 6.41
2012-10-31 41.62 -1.49 6.39
2012-07-31 45.11 0.08 6.46
2012-04-30 47.67 0.82 6.06

*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.
  • It is difficult to establish if ADF Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if ADF Group has efficiently used its assets last year compared to the CA Metals and Mining industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if ADF Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess ADF Group'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 Metals and Mining 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.
ADF Group has a total score of 0/6, 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.

DRX Health

 How is ADF Group'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 ADF Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • ADF Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • ADF Group's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of ADF Group'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 2.1x 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 ADF Group Company Filings, last reported 4 months ago.

TSX:DRX Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-10-31 97.71 34.58 7.55
2018-07-31 95.79 44.71 5.15
2018-04-30 95.90 43.10 1.99
2018-01-31 95.78 40.26 4.91
2017-10-31 106.21 38.00 5.34
2017-07-31 106.11 39.47 10.60
2017-04-30 107.62 35.40 0.19
2017-01-31 105.65 32.05 0.33
2016-10-31 106.49 23.91 0.59
2016-07-31 105.76 24.65 3.79
2016-04-30 104.07 18.96 0.80
2016-01-31 107.53 15.22 2.38
2015-10-31 103.73 14.73 5.38
2015-07-31 103.14 10.04 1.57
2015-04-30 100.67 9.44 4.49
2015-01-31 103.96 10.14 8.74
2014-10-31 100.57 9.09 5.12
2014-07-31 101.00 8.95 6.48
2014-04-30 101.49 9.77 19.45
2014-01-31 101.83 6.02 19.47
2013-10-31 97.48 2.88 15.97
2013-07-31 92.90 2.49 12.80
2013-04-30 91.12 3.09 23.00
2013-01-31 91.43 3.68 27.14
2012-10-31 91.99 4.33 17.63
2012-07-31 93.56 4.97 19.42
2012-04-30 93.18 5.54 23.72
  • ADF Group's level of debt (35.4%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (3% vs 35.4% today).
  • Debt is well covered by operating cash flow (35.7%, greater than 20% of total debt).
  • ADF Group is making a loss, therefore interest payments are not well covered by earnings.
X
Financial health checks
We assess ADF Group'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. ADF Group has a total score of 4/6, 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.

DRX Dividends

 What is ADF Group'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
1.74%
Current annual income from ADF Group dividends.
If you bought CA$2,000 of ADF Group shares you are expected to receive CA$35 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?
  • ADF Group's pays a lower dividend yield than the bottom 25% of dividend payers in Canada (2.02%).
  • ADF Group's dividend is below the markets top 25% of dividend payers in Canada (5.61%).
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:DRX 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 0 Analyst Estimates (S&P Global) See Below
Canada Metals and Mining Industry Average Dividend Yield Market Cap Weighted Average of 28 Stocks 1.2%
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%
Canada Top 25% Dividend Yield 75th Percentile 5.6%

Industry and Market average data is calculated daily.

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

TSX:DRX Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2018-12-05 0.020 1.840
2018-09-14 0.020 1.497
2018-04-12 0.020 1.217
2017-09-14 0.020 0.910
2017-06-13 0.020 0.748
2017-04-28 0.020 0.698
2017-04-13 0.020 0.750
2016-09-14 0.020 0.699
2016-06-14 0.020 0.736
2016-04-29 0.020 0.660
2016-04-14 0.020 0.656
2015-09-11 0.020 0.713
2015-06-10 0.020 0.886
2015-05-01 0.020 0.882
2015-04-09 0.020 0.866
2014-09-11 0.020 0.890
2014-04-10 0.020 0.741
2013-09-05 0.020 0.745
2013-04-11 0.020 1.333
2012-09-06 0.020 1.531
2012-04-12 0.020 1.563
2011-09-07 0.020 1.478
2011-04-14 0.020 1.207

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

  • Whilst dividend payments have been stable, ADF Group has been paying a dividend for less than 10 years.
  • ADF Group has only been paying a dividend for 8 years, and since then there has been no growth.
Current Payout to shareholders
What portion of ADF Group's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
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 ADF Group'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 ADF Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. ADF Group 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.

DRX Management

 What is the CEO of ADF Group'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
Jean Paschini
COMPENSATION CA$533,854
CEO Bio

Mr. Jean Paschini serves as the Chief Executive Officer of ADF Group Inc. and has been its Co-Chairman since September 2013. Mr. Paschini serves as the Chairman of LBL Skysystems Corporation. Mr. Paschini served as Chairman of ADF Group Inc. until September 2013 and has been its Non-Independent Director since October 1979. Mr. Paschini served as a Director of LBL Skysystems Company from August 7, 1997 to February 15, 2002. Mr. Jean Paschini has over 35 years of experience in the steel industry. He is a member of the American Institute of Steel Construction (AISC), the Canadian Welding Bureau (CWB), the American Welding Society (AWS) and the Institute of Corporate Directors (ICD).

CEO Compensation
  • Jean's compensation has been consistent with company performance over the past year.
  • Jean's remuneration is higher than average for companies of similar size in Canada.
Management Team

Jean Paschini

TITLE
Co-Chairman & CEO
COMPENSATION
CA$534K

Pierre Paschini

TITLE
President
COMPENSATION
CA$535K

Jean-François Boursier

TITLE
Chief Financial Officer
COMPENSATION
CA$332K
TENURE
8.5 yrs

Marise Paschini

TITLE
Executive VP
COMPENSATION
CA$357K
Board of Directors Tenure

Average tenure and age of the ADF Group board of directors in years:

7.4
Average Tenure
63
Average Age
  • The tenure for the ADF Group board of directors is about average.
Board of Directors

Jean Paschini

TITLE
Co-Chairman & CEO
COMPENSATION
CA$534K
TENURE
5.5 yrs

Tony Meti

TITLE
Co-Chairman of the Board & Independent Board Leader
COMPENSATION
CA$182K
AGE
63
TENURE
5.5 yrs

Pierre Paschini

TITLE
President
COMPENSATION
CA$535K
TENURE
39.4 yrs

Marise Paschini

TITLE
Executive VP
COMPENSATION
CA$357K
TENURE
39.4 yrs

Michèle Desjardins

TITLE
Independent Director
COMPENSATION
CA$81K
AGE
58
TENURE
3.8 yrs

Frank Di Tomaso

TITLE
Corporate Director
COMPENSATION
CA$82K
AGE
71
TENURE
3.8 yrs

Marc Belcourt

TITLE
Independent Director
COMPENSATION
CA$80K
TENURE
18.8 yrs

Robert Paré

TITLE
Independent Director
COMPENSATION
CA$73K
AGE
63
TENURE
9.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
X
Management checks
We assess ADF Group'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. ADF Group 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.

DRX News

Simply Wall St News

What Kind Of Investor Owns Most Of ADF Group Inc. (TSE:DRX)?

ADF Group is not a large company by global standards. … Our analysis of the ownership of the company, below, shows that. … institutional investors have bought into the company.

Simply Wall St -

Something To Consider Before Buying ADF Group Inc. (TSE:DRX) For The 1.8% Dividend

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Let's dig deeper into whether ADF Group should have a place in your portfolio. … See our latest analysis for ADF Group

Simply Wall St -

What You Must Know About ADF Group Inc's (TSE:DRX) Financial Strength

While small-cap stocks, such as ADF Group Inc (TSE:DRX) with its market cap of CA$39m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … the current state of its operations and pathway to profitability.

Simply Wall St -

Is ADF Group Inc (TSE:DRX) A Top Dividend Stock?

A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … Historically, ADF Group Inc (TSE:DRX) has paid a dividend to shareholders. … Does ADF Group tick all the boxes of a great dividend stock?

Simply Wall St -

Is ADF Group Inc's (TSE:DRX) Balance Sheet Strong Enough To Weather A Storm?

Investors are always looking for growth in small-cap stocks like ADF Group Inc (TSE:DRX), with a market cap of CA$47.32m. … However, an important fact which most ignore is: how financially healthy is the business? … the current state of its operations and pathway to profitability.

Simply Wall St -

Is ADF Group Inc (TSE:DRX) A Smart Pick For Income Investors?

A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … ADF Group Inc (TSE:DRX) has returned to shareholders over the past 7 years, an average dividend yield of 1.00% annually. … Let's dig deeper into whether ADF Group should have a place in your portfolio.

Simply Wall St -

Should You Be Concerned About ADF Group Inc's (TSE:DRX) Shareholders?

I am going to take a deep dive into ADF Group Inc’s (TSE:DRX) most recent ownership structure, not a frequent subject of discussion among individual investors. … Different types of investors can have varying degrees of influence on a company’s management team. … The implications of these institutions’ actions can either benefit or hinder individual investors, so it is important to understand the ownership composition of your stock investment.

Simply Wall St -

Is ADF Group Inc's (TSE:DRX) Balance Sheet A Threat To Its Future?

Additionally, DRX has produced cash from operations of CA$3.66M during the same period of time, leading to an operating cash to total debt ratio of 9.10%, meaning that DRX’s current level of operating cash is not high enough to cover debt. … Running high debt, while not yet making money, can be risky in unexpected downturns as liquidity may dry up, making it hard to operate.Next Steps: DRX’s debt and cash flow levels indicate room for improvement. … Its cash flow coverage of less than a quarter of debt means that operating efficiency could be an issue.

Simply Wall St -

DRX Company Info

Description

ADF Group Inc. engages in the design and engineering of connections; and fabrication and installation of complex steel superstructures and heavy steel built-ups, as well as miscellaneous and architectural metalwork primarily in North America. The company offers products and services for various segments of the non-residential construction market, including office towers and high-rises, commercial and recreational buildings, airport facilities, industrial complexes, and transport infrastructures. It serves general contractors, project owners, engineering firms and project architects, structural steel erectors, and other steel structure fabricators. The company was formerly known as Les Entreprises El Drago Ltée and changed its name to ADF Group Inc. in August 1998. ADF Group Inc. was founded in 1956 and is headquartered in Terrebonne, Canada.

Details
Name: ADF Group Inc.
DRX
Exchange: TSX
Founded: 1956
CA$37,530,486
32,635,206
Website: http://www.adfgroup.com
Address: ADF Group Inc.
300 Henry-Bessemer Street,
Terrebonne,
Quebec, J6Y 1T3,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX DRX Subordinate Voting Shares The Toronto Stock Exchange CA CAD 21. Jul 1999
OTCPK ADFJ.F Subordinate Voting Shares Pink Sheets LLC US USD 21. Jul 1999
DB 4QM Subordinate Voting Shares Deutsche Boerse AG DE EUR 21. Jul 1999
Number of employees
Current staff
Staff numbers
545
ADF Group employees.
Industry
Steel
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/20 23:31
End of day share price update: 2019/03/20 00:00
Last earnings filing: 2018/12/05
Last earnings reported: 2018/10/31
Last annual earnings reported: 2018/01/31


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.