TSXV:CZO

Stock Analysis Report

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Executive Summary

Ceapro Inc., a biotechnology company, engages in developing and commercializing active ingredients in the United States, Germany, China, Canada, and internationally. More Details


Snowflake Analysis

Flawless balance sheet with high growth potential.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CZO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-15.4%

CZO

-4.0%

CA Chemicals

-2.3%

CA Market


1 Year Return

83.3%

CZO

-19.8%

CA Chemicals

-8.6%

CA Market

Return vs Industry: CZO exceeded the Canadian Chemicals industry which returned -19.8% over the past year.

Return vs Market: CZO exceeded the Canadian Market which returned -8.6% over the past year.


Shareholder returns

CZOIndustryMarket
7 Day-15.4%-4.0%-2.3%
30 Day-19.5%4.8%-4.5%
90 Day26.9%17.3%5.7%
1 Year83.3%83.3%-16.7%-19.8%-5.5%-8.6%
3 Year15.8%15.8%-40.4%-46.8%5.8%-4.4%
5 Year200.0%200.0%-19.2%-33.4%38.3%17.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ceapro undervalued compared to its fair value and its price relative to the market?

22.56x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CZO (CA$0.66) is trading above our estimate of fair value (CA$0.42)

Significantly Below Fair Value: CZO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CZO is good value based on its PE Ratio (22.6x) compared to the CA Chemicals industry average (27.7x).

PE vs Market: CZO is poor value based on its PE Ratio (22.6x) compared to the Canadian market (16.1x).


Price to Earnings Growth Ratio

PEG Ratio: CZO is good value based on its PEG Ratio (0.8x)


Price to Book Ratio

PB vs Industry: CZO is overvalued based on its PB Ratio (2.1x) compared to the CA Chemicals industry average (1.7x).


Next Steps

Future Growth

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

29.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CZO's forecast earnings growth (29.7% per year) is above the savings rate (1.7%).

Earnings vs Market: CZO's earnings (29.7% per year) are forecast to grow faster than the Canadian market (22.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CZO's revenue (25% per year) is forecast to grow faster than the Canadian market (5.2% per year).

High Growth Revenue: CZO's revenue (25% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Ceapro performed over the past 5 years?

-49.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CZO has high quality earnings.

Growing Profit Margin: CZO became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CZO's earnings have declined by 49% per year over the past 5 years.

Accelerating Growth: CZO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CZO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Chemicals industry (-17.5%).


Return on Equity

High ROE: CZO's Return on Equity (9.2%) is considered low.


Next Steps

Financial Health

How is Ceapro's financial position?


Financial Position Analysis

Short Term Liabilities: CZO's short term assets (CA$8.9M) exceed its short term liabilities (CA$1.2M).

Long Term Liabilities: CZO's short term assets (CA$8.9M) exceed its long term liabilities (CA$3.1M).


Debt to Equity History and Analysis

Debt Level: CZO's debt to equity ratio (0.7%) is considered satisfactory.

Reducing Debt: CZO's debt to equity ratio has reduced from 149.4% to 0.7% over the past 5 years.

Debt Coverage: CZO's debt is well covered by operating cash flow (1718.4%).

Interest Coverage: CZO's interest payments on its debt are well covered by EBIT (13.4x coverage).


Balance Sheet


Next Steps

Dividend

What is Ceapro current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

9.5yrs

Average board tenure


CEO

Gilles Gagnon (66 yo)

8.17yrs

Tenure

CA$518,004

Compensation

Mr. Gilles R. Gagnon, M.Sc., MBA, ICD.D, serves as Director at Aeterna Zentaris Inc. since January 1, 2020. He serves as the President of Spectrum Pharma Canada Inc. (Spectrum Canada). Mr. Gagnon has been ...


CEO Compensation Analysis

Compensation vs Market: Gilles's total compensation ($USD386.27K) is above average for companies of similar size in the Canadian market ($USD177.10K).

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


Board Members

NamePositionTenureCompensationOwnership
Gilles Gagnon
CEO, President & Director8.17yrsCA$518.00k1.73%
CA$ 883.7k
William Li
Independent Director5.83yrsCA$45.84k0.13%
CA$ 67.0k
John Zupancic
Independent Director22.67yrsCA$42.67k2.32%
CA$ 1.2m
Donald Oborowsky
Independent Director21.67yrsCA$37.67k1.34%
CA$ 688.8k
Glenn Rourke
Independent Chairman of the Board5.92yrsCA$47.67k1.48%
CA$ 756.8k
Ulrich Kosciessa
Independent Director5.42yrsCA$49.81k0.10%
CA$ 51.7k

9.5yrs

Average Tenure

Experienced Board: CZO's board of directors are considered experienced (9.5 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Ceapro Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ceapro Inc.
  • Ticker: CZO
  • Exchange: TSXV
  • Founded: 1997
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Market Cap: CA$51.223m
  • Shares outstanding: 77.61m
  • Website: https://www.ceapro.com

Location

  • Ceapro Inc.
  • 7824 – 51 Avenue NW
  • Edmonton
  • Alberta
  • T6E 6W2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CZOTSXV (TSX Venture Exchange)YesClass A Voting Common SharesCACADSep 1988
CRPO.FOTCPK (Pink Sheets LLC)YesClass A Voting Common SharesUSUSDSep 1988
385DB (Deutsche Boerse AG)YesClass A Voting Common SharesDEEURSep 1988

Biography

Ceapro Inc., a biotechnology company, engages in developing and commercializing active ingredients in the United States, Germany, China, Canada, and internationally. It operates through two segments, The A ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/26 06:13
End of Day Share Price2020/09/24 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.