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Foraco International

Market Cap

CA$71.7m

Last Updated

2021/04/10 23:22 UTC

Data Sources

Company Financials

Executive Summary

Foraco International SA, together with its subsidiaries, provides drilling services worldwide. More Details


Snowflake Analysis

Solid track record and good value.


Similar Companies

Share Price & News

How has Foraco International's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FAR is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: FAR's weekly volatility (11%) has been stable over the past year.


Market Performance


7 Day Return

3.9%

FAR

4.4%

CA Metals and Mining

1.0%

CA Market


1 Year Return

166.7%

FAR

39.0%

CA Metals and Mining

39.2%

CA Market

Return vs Industry: FAR exceeded the Canadian Metals and Mining industry which returned 39% over the past year.

Return vs Market: FAR exceeded the Canadian Market which returned 39.2% over the past year.


Shareholder returns

FARIndustryMarket
7 Day3.9%4.4%1.0%
30 Day27.0%4.1%1.4%
90 Day45.5%-3.5%7.5%
1 Year166.7%166.7%40.4%39.0%44.0%39.2%
3 Year113.3%113.3%52.4%49.0%32.2%19.6%
5 Year116.2%116.2%70.7%65.4%59.4%35.3%

Long-Term Price Volatility Vs. Market

How volatile is Foraco International's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Foraco International 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: FAR (CA$0.8) is trading below our estimate of fair value (CA$6.86)

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


Price To Earnings Ratio

PE vs Industry: FAR is good value based on its PE Ratio (13.5x) compared to the CA Metals and Mining industry average (18.4x).

PE vs Market: FAR is good value based on its PE Ratio (13.5x) compared to the Canadian market (17.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FAR is overvalued based on its PB Ratio (4.4x) compared to the CA Metals and Mining industry average (2.9x).


Future Growth

How is Foraco International forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.8%

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 Foraco International 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.


Past Performance

How has Foraco International performed over the past 5 years?

40.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FAR has high quality earnings.

Growing Profit Margin: FAR's current net profit margins (2%) are higher than last year (0.5%).


Past Earnings Growth Analysis

Earnings Trend: FAR has become profitable over the past 5 years, growing earnings by 40.1% per year.

Accelerating Growth: FAR's earnings growth over the past year (282.9%) exceeds its 5-year average (40.1% per year).

Earnings vs Industry: FAR earnings growth over the past year (282.9%) exceeded the Metals and Mining industry 74.3%.


Return on Equity

High ROE: Whilst FAR's Return on Equity (42.24%) is outstanding, this metric is skewed due to their high level of debt.


Financial Health

How is Foraco International's financial position?


Financial Position Analysis

Short Term Liabilities: FAR's short term assets ($91.4M) exceed its short term liabilities ($48.0M).

Long Term Liabilities: FAR's short term assets ($91.4M) do not cover its long term liabilities ($162.0M).


Debt to Equity History and Analysis

Debt Level: FAR's debt to equity ratio (880.9%) is considered high.

Reducing Debt: FAR's debt to equity ratio has increased from 106.4% to 880.9% over the past 5 years.

Debt Coverage: FAR's debt is not well covered by operating cash flow (19.5%).

Interest Coverage: FAR's interest payments on its debt are not well covered by EBIT (1.8x coverage).


Balance Sheet


Dividend

What is Foraco International current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if FAR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: FAR is not paying a notable dividend for the Canadian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of FAR'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?

18.2yrs

Average management tenure


CEO

Daniel Simoncini (62 yo)

23.83yrs

Tenure

US$941,379

Compensation

Mr. Daniel Simoncini has been the Chief Executive Officer of Foraco International SA since June 1997. Mr. Simoncini held various senior management positions with other entities. From 1994 to 1997, he serve...


CEO Compensation Analysis

Compensation vs Market: Daniel's total compensation ($USD941.38K) is above average for companies of similar size in the Canadian market ($USD152.27K).

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


Leadership Team

Experienced Management: FAR's management team is seasoned and experienced (18.2 years average tenure).


Board Members

Experienced Board: FAR's board of directors are seasoned and experienced ( 13.7 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

Foraco International SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Foraco International SA
  • Ticker: FAR
  • Exchange: TSX
  • Founded: 1997
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$71.723m
  • Shares outstanding: 89.65m
  • Website: https://www.foraco.com

Number of Employees


Location

  • Foraco International SA
  • 26 Plage de l’Estaque
  • Marseille
  • Provence-Alpes-Côte d'Azur
  • 13016
  • France

Listings


Biography

Foraco International SA, together with its subsidiaries, provides drilling services worldwide. It operates through Mining and Water segments. The company offers its drilling services to the mining and ener...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/10 23:22
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.