TSX:UNS

Stock Analysis Report

Executive Summary

Uni-Select Inc. distributes automotive refinish, and industrial paint and related products in the United States, Canada, and the United Kingdom.

Snowflake

Fundamentals

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has Uni-Select's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

TSX:UNS

6.0%

CA Retail Distributors

1.3%

CA Market


1 Year Return

-43.6%

TSX:UNS

0.7%

CA Retail Distributors

-0.3%

CA Market

UNS underperformed the Retail Distributors industry which returned 0.3% over the past year.

UNS underperformed the Market in Canada which returned -0.1% over the past year.


Share holder returns

UNSIndustryMarket
7 Day1.5%6.0%1.3%
30 Day7.1%9.0%3.4%
90 Day-4.6%1.7%1.1%
1 Year-42.2%-43.6%2.3%0.7%3.2%-0.3%
3 Year-58.6%-60.7%-1.6%-5.4%19.1%8.4%
5 Year-9.9%-16.7%41.0%30.3%19.5%2.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Uni-Select undervalued based on future cash flows and its price relative to the stock market?

39%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Uni-Select's share price is below the future cash flow value, and at a moderate discount (> 20%).

Uni-Select's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Uni-Select is overvalued based on earnings compared to the North America Retail Distributors industry average.

Uni-Select is overvalued based on earnings compared to the Canada market.


Price Based on Expected Growth

Uni-Select is good value based on expected growth next year.


Price Based on Value of Assets

Uni-Select is good value based on assets compared to the North America Retail Distributors industry average.


Next Steps

Future Growth

How is Uni-Select expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

46.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Uni-Select's revenue is expected to grow by 1.6% yearly, however this is not considered high growth (20% yearly).

Uni-Select's earnings are expected to grow significantly at over 20% yearly.

Uni-Select's revenue growth is positive but not above the Canada market average.

Uni-Select's earnings growth is expected to exceed the Canada market average.

Uni-Select's earnings growth is expected to exceed the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Uni-Select will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Uni-Select performed over the past 5 years?

14.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Uni-Select's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

Uni-Select's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Uni-Select's 1-year earnings growth is negative, it can't be compared to the North America Retail Distributors industry average.


Return on Equity

Uni-Select has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Uni-Select used its assets less efficiently than the North America Retail Distributors industry average last year based on Return on Assets.


Return on Capital Employed

Uni-Select's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Uni-Select's financial position?


Financial Position Analysis

Uni-Select is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Uni-Select's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Uni-Select's level of debt (81.8%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (57.9% vs 81.8% today).

Debt is well covered by operating cash flow (26.8%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.8x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2x debt.


Next Steps

Dividend

What is Uni-Select's current dividend yield, its reliability and sustainability?

2.67%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Uni-Select before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Uni-Select's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (1.99%).

Uni-Select's dividend is below the markets top 25% of dividend payers in Canada (5.85%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are covered by earnings (1.1x 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.


Next Steps

Management

What is the CEO of Uni-Select's salary, the management and board of directors tenure and is there insider trading?

0.7yrs

Average management tenure


CEO

Anthony Windom 0

0.3yrs

Tenure

US$1,340,753

Compensation

Mr. Brent Windom, also known as Anthony, has been President and Chief Executive Officer at Uni-Select Inc. since May 1, 2019 and is its Director since May 2, 2019. Mr. Windom served as President and Chief  ...


CEO Compensation Analysis

Anthony's remuneration is about average for companies of similar size in Canada.

Anthony's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

0.7yrs

Average Tenure

60yo

Average Age

The average tenure for the Uni-Select management team is less than 2 years, this suggests a new team.


Board Age and Tenure

1.8yrs

Average Tenure

62yo

Average Age

The average tenure for the Uni-Select board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Peter Sephton (60yo)

    President & CEO of European Automotive Group

    • Tenure: 2.1yrs
    • Compensation: US$2.93m
  • Michel Ravacley (65yo)

    Senior Vice President of Supply Chain & Integration

    • Tenure: 0yrs
    • Compensation: US$482.34k
  • Michel Charbonneau

    Vice President of Sales & Marketing - PBE Division

    • Tenure: 0yrs
  • Me Juneau

    Chief Legal & Administrative Officer and Corporate Secretary

    • Tenure: 0.7yrs
    • Compensation: US$528.06k
  • Guy Archambault

    Vice President of Corporate Development

    • Tenure: 0yrs
  • Anthony Windom

    President

    • Tenure: 0.3yrs
    • Compensation: US$1.34m
  • Helene Baril

    Director of Investor Relations

    • Tenure: 0yrs
  • Chris Adams (51yo)

    President & COO of Finishmaster

    • Tenure: 0yrs
  • Neil Croxson

    President & COO of European Automotive Group

    • Tenure: 0.5yrs
  • Eric Bussieres

    Executive VP & CFO

    • Tenure: 3.8yrs
    • Compensation: US$674.35k

Board Members

  • Michelle Cormier (62yo)

    Chairman of the Board

    • Tenure: 1yrs
    • Compensation: US$185.96k
  • Pierre Raymond (64yo)

    Director

    • Tenure: 0.5yrs
  • Richard Roy (63yo)

    Non-Independent Non-Executive Director

    • Tenure: 11.3yrs
    • Compensation: US$133.26k
  • Mike Wright (65yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$121.00k
  • Anthony Windom

    President

    • Tenure: 0.3yrs
    • Compensation: US$1.34m
  • George Heath (53yo)

    Director

    • Tenure: 2.2yrs
    • Compensation: US$188.20k
  • David Bibby (48yo)

    Director

    • Tenure: 1.3yrs
    • Compensation: US$93.25k
  • Dennis Welvaert (70yo)

    Director

    • Tenure: 6.2yrs
    • Compensation: US$155.64k
  • Rob Molenaar (58yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: US$187.57k
  • Jeffrey Hall (61yo)

    Independent Non-Executive Director

    • Tenure: 4.4yrs
    • Compensation: US$161.94k

Company Information

Uni-Select Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Uni-Select Inc.
  • Ticker: UNS
  • Exchange: TSX
  • Founded: 1968
  • Industry: Distributors
  • Sector: Retail
  • Market Cap: CA$504.409m
  • Shares outstanding: 42.39m
  • Website: https://www.uniselect.com

Number of Employees


Location

  • Uni-Select Inc.
  • 170 Industriel Boulevard
  • Boucherville
  • Quebec
  • J4B 2X3
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UNSTSX (The Toronto Stock Exchange)YesCommon SharesCACADSep 1988
UNIE.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDSep 1988
U04DB (Deutsche Boerse AG)YesCommon SharesDEEURSep 1988

Biography

Uni-Select Inc. distributes automotive refinish, and industrial paint and related products in the United States, Canada, and the United Kingdom. It operates through FinishMaster US, Canadian Automotive Gro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 23:46
End of Day Share Price2019/09/13 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.