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WestBond Enterprises

TSXV:WBE
Snowflake Description

Fair value with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WBE
TSXV
CA$6M
Market Cap
  1. Home
  2. CA
  3. Materials
Company description

WestBond Enterprises Corporation, together with its subsidiary, WestBond Industries Inc., manufactures and sells disposable paper products for medical, hygienic, and industrial uses primarily in Canada and the United States. The last earnings update was 21 days ago. More info.


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WBE Share Price and Events
7 Day Returns
9.7%
TSXV:WBE
-2.7%
CA Forestry
0.3%
CA Market
1 Year Returns
41.7%
TSXV:WBE
-29.1%
CA Forestry
0.7%
CA Market
WBE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
WestBond Enterprises (WBE) 9.7% 0% 0% 41.7% 61.9% 41.7%
CA Forestry -2.7% -5.6% 2.6% -29.1% 11.8% 4.7%
CA Market 0.3% 2% 13.2% 0.7% 16.6% 5.6%
1 Year Return vs Industry and Market
  • WBE outperformed the Forestry industry which returned -29.1% over the past year.
  • WBE outperformed the Market in Canada which returned 0.7% over the past year.
Price Volatility
WBE
Industry
5yr Volatility vs Market

WBE Value

 Is WestBond Enterprises 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 WestBond Enterprises 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 WestBond Enterprises.

TSXV:WBE 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 9.1%
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 TSXV:WBE
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Forestry Unlevered Beta Simply Wall St/ S&P Global 0.91
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.906 (1 + (1- 26.5%) (58.21%))
1.197
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.197 * 5.96%)
9.08%

Discounted Cash Flow Calculation for TSXV:WBE using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for WestBond Enterprises 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.

TSXV:WBE DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 9.08%)
2019 1.29 Est @ 9.59% 1.18
2020 1.38 Est @ 7.29% 1.16
2021 1.46 Est @ 5.69% 1.12
2022 1.52 Est @ 4.57% 1.08
2023 1.58 Est @ 3.78% 1.02
2024 1.63 Est @ 3.23% 0.97
2025 1.68 Est @ 2.85% 0.91
2026 1.72 Est @ 2.58% 0.86
2027 1.76 Est @ 2.39% 0.81
2028 1.80 Est @ 2.26% 0.76
Present value of next 10 years cash flows CA$9.87
TSXV:WBE DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= CA$1.80 × (1 + 1.95%) ÷ (9.08% – 1.95%)
CA$25.78
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$25.78 ÷ (1 + 9.08%)10
CA$10.81
TSXV:WBE Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$9.87 + CA$10.81
CA$20.68
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$20.68 / 33.82
CA$0.61
TSXV:WBE Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$0.61
Current discount Discount to share price of CA$0.17
= -1 x (CA$0.17 - CA$0.61) / CA$0.61
72.2%

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

Current Discount
Amount off the current price WestBond Enterprises is available for.
Intrinsic value
>50%
Share price is CA$0.17 vs Future cash flow value of CA$0.6116
Current Discount Checks
For WestBond Enterprises to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • WestBond Enterprises's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • WestBond Enterprises'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 WestBond Enterprises's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are WestBond Enterprises's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSXV:WBE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in CAD CA$0.01
TSXV:WBE Share Price ** TSXV (2019-03-20) in CAD CA$0.17
Canada Forestry Industry PE Ratio Median Figure of 10 Publicly-Listed Forestry Companies 8.06x
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 WestBond Enterprises.

TSXV:WBE PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSXV:WBE Share Price ÷ EPS (both in CAD)

= 0.17 ÷ 0.01

16.03x

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

  • WestBond Enterprises is overvalued based on earnings compared to the CA Forestry industry average.
  • WestBond Enterprises is overvalued based on earnings compared to the Canada market.
Price based on expected Growth
Does WestBond Enterprises's expected growth come at a high price?
Raw Data
TSXV:WBE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 16.03x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
16.4%per year
Canada Forestry Industry PEG Ratio Median Figure of 8 Publicly-Listed Forestry Companies -0.31x
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 WestBond Enterprises, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on WestBond Enterprises's assets?
Raw Data
TSXV:WBE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in CAD CA$0.16
TSXV:WBE Share Price * TSXV (2019-03-20) in CAD CA$0.17
Canada Forestry Industry PB Ratio Median Figure of 13 Publicly-Listed Forestry Companies 1.25x
Canada Market PB Ratio Median Figure of 2,349 Publicly-Listed Companies 1.58x
TSXV:WBE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSXV:WBE Share Price ÷ Book Value per Share (both in CAD)

= 0.17 ÷ 0.16

1.08x

* Primary Listing of WestBond Enterprises.

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

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

WBE Future Performance

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

  • No analysts cover WestBond Enterprises, 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
16.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is WestBond Enterprises expected to grow at an attractive rate?
  • WestBond Enterprises's earnings growth is expected to exceed the low risk savings rate of 1.9%.
Growth vs Market Checks
  • WestBond Enterprises's earnings growth is positive but not above the Canada market average.
  • Unable to compare WestBond Enterprises's revenue growth to the Canada market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
TSXV:WBE Future Growth Rates Data Sources
Data Point Source Value (per year)
TSXV:WBE Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts 16.4%
Canada Forestry Industry Earnings Growth Rate Market Cap Weighted Average -11.9%
Canada Forestry Industry Revenue Growth Rate Market Cap Weighted Average 0.3%
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
TSXV:WBE Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 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.
TSXV:WBE Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2018-12-31 11 1 0
2018-09-30 11 2 0
2018-06-30 10 1 0
2018-03-31 10 1 0
2017-12-31 10 1 0
2017-09-30 9 1 0
2017-06-30 9 1 0
2017-03-31 9 1 0
2016-12-31 9 1 0
2016-09-30 8 1 0
2016-06-30 8 1 0
2016-03-31 8 1 0

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • WestBond Enterprises's earnings are expected to grow by 16.4% yearly, however this is not considered high growth (20% yearly).
  • Unable to determine if WestBond Enterprises 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
TSXV:WBE 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 0 Analyst Estimates (S&P Global) See Below

All data from WestBond Enterprises Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSXV:WBE Past Financials Data
Date (Data in CAD Millions) EPS *
2018-12-31 0.01
2018-09-30 0.01
2018-06-30 0.01
2018-03-31 0.01
2017-12-31 0.01
2017-09-30 0.01
2017-06-30 0.01
2017-03-31 0.00
2016-12-31 0.00
2016-09-30 0.00
2016-06-30 0.00
2016-03-31 0.00

*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 WestBond Enterprises will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess WestBond Enterprises'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.
WestBond Enterprises 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.

WBE Past Performance

  How has WestBond Enterprises 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 WestBond Enterprises's growth in the last year to its industry (Forestry).
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.
  • WestBond Enterprises has delivered over 20% year on year earnings growth in the past 5 years.
  • WestBond Enterprises's 1-year earnings growth is less than its 5-year average (38.7% vs 58.7%)
  • WestBond Enterprises's earnings growth has exceeded the CA Forestry industry average in the past year (38.7% vs 8.9%).
Earnings and Revenue History
WestBond Enterprises'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 WestBond Enterprises Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSXV:WBE Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 10.78 0.36 1.56
2018-09-30 10.61 0.40 1.57
2018-06-30 10.19 0.41 1.55
2018-03-31 9.83 0.30 1.49
2017-12-31 9.55 0.26 1.44
2017-09-30 9.22 0.19 1.39
2017-06-30 9.24 0.22 1.38
2017-03-31 8.97 0.16 1.39
2016-12-31 8.81 0.09 1.37
2016-09-30 8.49 0.09 1.33
2016-06-30 8.15 0.05 1.30
2016-03-31 7.79 0.05 1.24
2015-12-31 7.76 0.10 1.16
2015-09-30 7.62 -0.11 1.26
2015-06-30 7.38 -0.42 1.26
2015-03-31 7.35 -0.43 1.27
2014-12-31 7.05 -0.45 1.35
2014-09-30 6.90 -0.28 1.25
2014-06-30 6.79 0.00 1.25
2014-03-31 6.60 0.05 1.22
2013-12-31 6.55 0.07 1.24
2013-09-30 6.49 0.15 1.23
2013-06-30 6.40 0.14 1.21
2013-03-31 6.32 0.12 1.19
2012-12-31 6.28 0.13 1.15
2012-09-30 6.17 0.08 1.13
2012-06-30 6.13 0.09 1.12
2012-03-31 6.08 0.12 1.11

*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.
  • WestBond Enterprises has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • WestBond Enterprises used its assets less efficiently than the CA Forestry industry average last year based on Return on Assets.
  • WestBond Enterprises has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess WestBond Enterprises'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 Forestry 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.
WestBond Enterprises has a total score of 3/6, 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.

WBE Health

 How is WestBond Enterprises'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 WestBond Enterprises's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • WestBond Enterprises is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • WestBond Enterprises's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of WestBond Enterprises'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 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 WestBond Enterprises Company Filings, last reported 2 months ago.

TSXV:WBE Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 5.32 3.35 0.49
2018-09-30 5.32 3.53 0.50
2018-06-30 5.34 3.70 0.62
2018-03-31 5.17 3.88 0.40
2017-12-31 5.13 4.05 0.44
2017-09-30 5.00 4.25 0.18
2017-06-30 4.93 4.40 0.35
2017-03-31 4.87 4.58 0.12
2016-12-31 4.87 4.76 0.27
2016-09-30 4.81 4.94 0.20
2016-06-30 4.71 5.09 0.03
2016-03-31 4.71 5.10 0.12
2015-12-31 4.78 5.03 0.05
2015-09-30 4.73 5.05 0.00
2015-06-30 4.66 4.55 0.02
2015-03-31 4.66 3.54 0.10
2014-12-31 4.85 0.39 0.05
2014-09-30 4.89 0.14 0.08
2014-06-30 4.95 0.03 0.22
2014-03-31 4.96 0.04 1.64
2013-12-31 4.67 0.06 1.33
2013-09-30 4.66 0.08 1.40
2013-06-30 3.20 0.31 0.03
2013-03-31 3.16 0.35 0.08
2012-12-31 3.17 0.45 0.15
2012-09-30 3.08 0.46 0.21
2012-06-30 3.07 0.51 0.26
2012-03-31 3.04 0.55 0.10
  • WestBond Enterprises's level of debt (62.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (1.3% vs 62.9% today).
  • Debt is well covered by operating cash flow (43.1%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.3x coverage).
X
Financial health checks
We assess WestBond Enterprises'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. WestBond Enterprises has a total score of 3/6, 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.

WBE Dividends

 What is WestBond Enterprises'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
5.88%
Current annual income from WestBond Enterprises dividends.
If you bought CA$2,000 of WestBond Enterprises shares you are expected to receive CA$118 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?
  • WestBond Enterprises's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.02%).
  • WestBond Enterprises's dividend is above 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
TSXV:WBE 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 Forestry Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 2.9%
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.

TSXV:WBE Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2019-02-27 0.010 6.036
2018-11-20 0.010 6.105
2018-08-27 0.010 6.427

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

  • It is too early to tell whether WestBond Enterprises has stable dividend payments.
  • WestBond Enterprises only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of WestBond Enterprises's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (2.1x coverage).
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 WestBond Enterprises'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 WestBond Enterprises afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. WestBond Enterprises 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.

WBE Management

 What is the CEO of WestBond Enterprises'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
Gennaro Magistrale
COMPENSATION CA$244,333
CEO Bio

Mr. Gennaro Magistrale serves as the President and Chief Executive Officer of Westbond Enterprises Corp and has been its Executive Director since October 24, 1989. Mr. Magistrale has over 25 years of experience managing the manufacturing, marketing and distribution of paper products. Mr. Magistrale is one of the original principals responsible for the successful start up and subsequent growth of WestBond. He served as a Director of Quinto Mining Corporation.

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

Gennaro Magistrale

TITLE
President
COMPENSATION
CA$244K

Owen Granger

TITLE
CFO, Corporate Secretary
COMPENSATION
CA$110K
Board of Directors Tenure

Average tenure of the WestBond Enterprises board of directors in years:

22.4
Average Tenure
  • The average tenure for the WestBond Enterprises board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Gennaro Magistrale

TITLE
President
COMPENSATION
CA$244K
TENURE
29.4 yrs

Owen Granger

TITLE
CFO, Corporate Secretary
COMPENSATION
CA$110K
TENURE
29.3 yrs

D. Dawson

TITLE
Independent Director
TENURE
15.8 yrs

J. Seppala

TITLE
Non-Independent Director
COMPENSATION
CA$15K
TENURE
22.4 yrs

Peter Toigo

TITLE
Independent Director
TENURE
5.8 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 WestBond Enterprises'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. WestBond Enterprises 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.

WBE News

Simply Wall St News

Despite Its High P/E Ratio, Is WestBond Enterprises Corporation (CVE:WBE) Still Undervalued?

We'll show how you can use WestBond Enterprises Corporation's (CVE:WBE) P/E ratio to inform your assessment of the investment opportunity. … WestBond Enterprises has a P/E ratio of 16.03, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

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Why We’re Not Keen On WestBond Enterprises Corporation’s (CVE:WBE) 8.3% Return On Capital

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is 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 -

Do Institutions Own WestBond Enterprises Corporation (CVE:WBE) Shares?

Every investor in WestBond Enterprises Corporation (CVE:WBE) should be aware of the most powerful shareholder groups. … So it's nice to see some insider ownership, because it may suggest that management is owner-oriented. … WestBond Enterprises is not a large company by global standards.

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Is WestBond Enterprises Corporation's (CVE:WBE) ROE Of 7.5% Concerning?

By way of learning-by-doing, we'll look at ROE to gain a better understanding of WestBond Enterprises Corporation (CVE:WBE). … Our data shows WestBond Enterprises has a return on equity of 7.5% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

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Are WestBond Enterprises Corporation's (CVE:WBE) Interest Costs Too High?

While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is. … Here are few basic financial health checks you should consider before taking the plunge.

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Will WestBond Enterprises Corporation (CVE:WBE) Continue To Underperform Its Industry?

WestBond Enterprises Corporation (CVE:WBE) generated a below-average return on equity of 5.77% in the past 12 months, while its industry returned 13.67%. … Knowing these components can change your views on WBE's below-average returns. … Metrics such as financial leverage can impact the level of ROE which in turn can affect the sustainability of WBE's returns.

Simply Wall St -

Is WestBond Enterprises Corporation (CVE:WBE) A Financially Sound Company?

WestBond Enterprises Corporation (CVE:WBE) is a small-cap stock with a market capitalization of CA$4.04m. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Assessing first and foremost the financial health is.

Simply Wall St -

Top Cheap Stocks To Buy

WestBond Enterprises Corporation (TSXV:WBE) WestBond Enterprises Corporation, together with its subsidiary, WestBond Industries Inc., manufactures and sells disposable paper products for medical, hygienic, and industrial uses primarily in Canada and the United States. … Furthermore, WBE’s PE ratio is around 13.55x relative to its index peer level of, 16.31x implying that relative to its comparable company group, WBE can be bought at a cheaper price right now. … What’s even more appeal is that TV’s PE ratio is currently around 10.1x compared to its Metals and Mining peer level of, 10.68x meaning that relative to its comparable set of companies, TV’s stock can be bought at a cheaper price.

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Is WestBond Enterprises Corporation's (CVE:WBE) PE Ratio A Signal To Sell For Investors?

This analysis is intended to introduce important early concepts to people who are starting to invest. … and want to better understand how you can grow your money by investing in WestBond Enterprises Corporation (CVE:WBE). … WestBond Enterprises Corporation (CVE:WBE) is trading with a trailing P/E of 16.4x, which is higher than the industry average of 10.6x.

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WBE Company Info

Description

WestBond Enterprises Corporation, together with its subsidiary, WestBond Industries Inc., manufactures and sells disposable paper products for medical, hygienic, and industrial uses primarily in Canada and the United States. The company offers personal hygiene products, such as jumbo roll and conventional bathroom tissues, center pull towels, kraft roll towels, and single fold towels; and long-term care products, including fold and roll air laid wipes, waterproof underlays, and mitts. It also provides clinical products, including sheets, drapes, examination table papers, gowns, aprons, chiropractor rolls, pillowcases, dental bibs, and dental head rest covers; and in-flight paper disposables consisting of pillowcases and lavatory hand towels. The company sells its products primarily to medical and industrial distributors, as well as to end-users on a direct basis. WestBond Enterprises Corporation is headquartered in Delta, Canada.

Details
Name: WestBond Enterprises Corporation
WBE
Exchange: TSXV
Founded:
CA$5,748,686
33,815,800
Website: http://www.westbond.ca
Address: WestBond Enterprises Corporation
7403 Progress Way,
Unit 101,
Delta,
British Columbia, V4G 1E7,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSXV WBE Common Shares TSX Venture Exchange CA CAD 11. Feb 1992
Number of employees
Current staff
Staff numbers
0
WestBond Enterprises employees.
Industry
Paper Products
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/20 23:48
End of day share price update: 2019/03/20 00:00
Last earnings filing: 2019/02/27
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


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.