TSXV:CSO

Stock Analysis Report

Executive Summary

Corsa Coal Corp. engages in mining, processing, and selling metallurgical coal; and exploring, acquiring, and developing resource properties.

Snowflake

Fundamentals

Undervalued with mediocre balance sheet.


Similar Companies

Share Price & News

How has Corsa Coal's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-5.7%

CSO

0.5%

CA Metals and Mining

0.2%

CA Market


1 Year Return

-64.1%

CSO

15.0%

CA Metals and Mining

3.5%

CA Market

Return vs Industry: CSO underperformed the Canadian Metals and Mining industry which returned 15% over the past year.

Return vs Market: CSO underperformed the Canadian Market which returned 3.5% over the past year.


Shareholder returns

CSOIndustryMarket
7 Day-5.7%0.5%0.2%
30 Day-25.0%-8.9%-3.3%
90 Day-50.0%-8.0%-1.9%
1 Year-64.1%-64.1%15.9%15.0%7.3%3.5%
3 Year-86.3%-86.3%-11.6%-13.2%14.7%4.4%
5 Year-92.5%-92.5%15.4%11.6%26.2%7.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Corsa Coal 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: CSO (CA$0.33) is trading below our estimate of fair value (CA$0.87)

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


Price To Earnings Ratio

PE vs Industry: CSO is good value based on its PE Ratio (2.1x) compared to the Metals and Mining industry average (13.4x).

PE vs Market: CSO is good value based on its PE Ratio (2.1x) compared to the Canadian market (13.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CSO is good value based on its PB Ratio (0.2x) compared to the CA Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Corsa Coal forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

6.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CSO's forecast earnings growth (6.1% per year) is above the savings rate (1.9%).

Earnings vs Market: CSO's earnings (6.1% per year) are forecast to grow slower than the Canadian market (13% per year).

High Growth Earnings: CSO's earnings are forecast to grow, but not significantly.

Revenue vs Market: CSO's revenue (19.9% per year) is forecast to grow faster than the Canadian market (5.5% per year).

High Growth Revenue: CSO's revenue (19.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CSO's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Corsa Coal performed over the past 5 years?

39.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: CSO's earnings have grown significantly by 39.1% per year over the past 5 years.

Accelerating Growth: CSO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: CSO had negative earnings growth (-85.6%) over the past year, making it difficult to compare to the Metals and Mining industry average (-11.9%).


Return on Equity

High ROE: CSO's Return on Equity (9.7%) is considered low.


Return on Assets

ROA vs Industry: CSO has a higher Return on Assets than the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: CSO's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Corsa Coal's financial position?


Financial Position Analysis

Short Term Liabilities: CSO's short term assets ($56.7M) exceeds its short term liabilities ($49.5M)

Long Term Liabilities: CSO's short term assets (56.7M) do not cover its long term liabilities (74.9M)


Debt to Equity History and Analysis

Debt Level: CSO's debt to equity ratio (17.7%) is considered satisfactory

Reducing Debt: CSO's debt to equity ratio has increased from 3.8% to 17.7% over the past 5 years.

Debt Coverage: CSO's debt is well covered by operating cash flow (95.1%).

Interest Coverage: CSO's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet

Inventory Level: CSO has a high level of physical assets or inventory.

Debt Coverage by Assets: CSO's debt is covered by short term assets (assets are 2x debt).


Next Steps

Dividend

What is Corsa Coal's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.9%industryaverage1.3%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

Growing Dividend: Insufficient data to determine if CSO'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 CSO's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

What is the CEO of Corsa Coal's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average management tenure


CEO

Pete Merritts 0

0.3yrs

Tenure

US$427,865

Compensation

Mr. Peter V. Merritts, also known as Pete, serves as Chief Executive Officer and Director of Corsa Coal Corp. since July 12, 2019. He had been President of Northern Appalachia (Napp) Division at Corsa Coal ...


CEO Compensation Analysis

Compensation vs. Market: Pete has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Canadian market.

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


Management Age and Tenure

1.3yrs

Average Tenure

Experienced Management: CSO's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Age and Tenure

6.3yrs

Average Tenure

72yo

Average Age

Experienced Board: CSO's board of directors are considered experienced (6.3 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Kevin Harrigan (41yo)

    CFO & Corporate Secretary

    • Tenure: 4.3yrs
    • Compensation: US$437.61k
  • Pete Merritts

    CEO & Director

    • Tenure: 0.3yrs
    • Compensation: US$427.87k
  • Fred Cushmore

    VP & Head of International Sales

    • Tenure: 1.3yrs
    • Compensation: US$365.96k

Board Members

  • John Craig (72yo)

    Independent Director

    • Tenure: 8.8yrs
    • Compensation: US$41.74k
  • Alan De'Ath (65yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: US$66.74k
  • Ronald Stovash (70yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: US$69.24k
  • Robert Scott (73yo)

    Independent Director

    • Tenure: 10.2yrs
    • Compensation: US$69.24k
  • Bo Sturdivant (73yo)

    Chairman of the Board

    • Tenure: 2.4yrs
  • Kai Xia

    Director

    • Tenure: 2.6yrs
  • Pete Merritts

    CEO & Director

    • Tenure: 0.3yrs
    • Compensation: US$427.87k

Company Information

Corsa Coal Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Corsa Coal Corp.
  • Ticker: CSO
  • Exchange: TSXV
  • Founded: 2007
  • Industry: Steel
  • Sector: Materials
  • Market Cap: CA$31.271m
  • Shares outstanding: 94.76m
  • Website: https://www.corsacoal.com

Number of Employees


Location

  • Corsa Coal Corp.
  • 4600 J. Barry Court
  • Suite 220
  • Canonsburg
  • Pennsylvania
  • 15317
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CSOTSXV (TSX Venture Exchange)YesCommon SharesCACADAug 2013
4RC1DB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2013
CRSX.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 2013

Biography

Corsa Coal Corp. engages in mining, processing, and selling metallurgical coal; and exploring, acquiring, and developing resource properties. The company produces and sells a metallurgical coal used for th ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/24 00:13
End of Day Share Price2019/10/21 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.