CNSX:BLK

Stock Analysis Report

BLOK Technologies

Executive Summary

BLOK Technologies Inc., through its subsidiary, Greenstream Networks Inc., develops blockchain-enabled supply chain integrity platform for the legalized cannabis industry.

Snowflake

Fundamentals

Imperfect balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

50.0%

BLK

-3.6%

CA Software

0.2%

CA Market


1 Year Return

-66.7%

BLK

17.3%

CA Software

3.5%

CA Market

Return vs Industry: BLK underperformed the Canadian Software industry which returned 17.3% over the past year.

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


Shareholder returns

BLKIndustryMarket
7 Day50.0%-3.6%0.2%
30 Day50.0%-4.4%-3.3%
90 Day0%-4.1%-1.9%
1 Year-66.7%-66.7%19.3%17.3%7.3%3.5%
3 Year-87.0%-87.0%70.9%66.8%14.7%4.4%
5 Yearn/a149.5%142.0%26.2%7.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether BLOK Technologies is trading at an attractive price based on the cash flow it is expected to produce in the future. But as BLOK Technologies has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of BLK’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through BLOK Technologies regulatory filings.
  • Explore potentially undervalued companies in the Software industry.

Future Growth

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

10.4%

Forecasted Software 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 BLOK Technologies 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.


Next Steps

Past Performance

How has BLOK Technologies performed over the past 5 years?

-59.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BLK is unprofitable, and losses have increased over the past 5 years at a rate of -59.5% per year.

Accelerating Growth: Unable to compare BLK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BLK is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (19.4%).


Return on Equity

High ROE: BLK's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets

ROA vs Industry: BLK is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: BLK is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is BLOK Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: BLK has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: BLK has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: BLK has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: BLK's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: BLK has a low level of unsold assets or inventory.

Debt Coverage by Assets: BLK has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable BLK has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: BLK is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -14.8% per year.


Next Steps

Dividend

What is BLOK Technologies's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.9%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Growing Dividend: Insufficient data to determine if BLK'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 BLK'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 BLOK Technologies's salary, the management and board of directors tenure and is there insider trading?

1.7yrs

Average board tenure


CEO

Jamie Hyland (54yo)

1.9yrs

Tenure

CA$68,000

Compensation

Mr. James Hyland, also known as Jamie, B.Comm., serves as President and Chief Executive Officer at BLOK Technologies Inc. He served as Interim President of BLOK Technologies Inc. since January 7, 2019. He  ...


CEO Compensation Analysis

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

Compensation vs Earnings: Jamie's compensation has increased whilst the company is unprofitable.


Board Age and Tenure

1.7yrs

Average Tenure

42yo

Average Age

Experienced Board: BLK's board of directors are not considered experienced ( 1.7 years average tenure), which suggests a new board.


Insider Trading

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


Recent Insider Transactions

BuyCA$129,99924 Sep 19
Yari Nieken
EntityIndividual
Role
Member of the Board of Directors
CFO & Director
Shares6,500,000
Max PriceCA$0.02
BuyCA$20,00003 Sep 19
James Hyland
EntityIndividual
Role
Chief Executive Officer
President
Shares1,000,000
Max PriceCA$0.02
BuyCA$199,62701 Aug 19
James Hyland
EntityIndividual
Role
Chief Executive Officer
President
Shares233,000
Max PriceCA$0.92
BuyCA$189,99823 Jul 19
David Greenway?
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Independent Director
Shares9,500,000
Max PriceCA$0.02

Ownership Breakdown


Management Team

  • Jamie Hyland (54yo)

    President

    • Tenure: 1.9yrs
    • Compensation: CA$68.00k
  • Yari Nieken (35yo)

    CFO & Director

    • Tenure: 1yrs
    • Compensation: CA$75.00k

Board Members

  • David Greenway? (42yo)

    Non-Executive Independent Director

    • Tenure: 0.8yrs
  • Jamie Hyland (54yo)

    President

    • Tenure: 1.9yrs
    • Compensation: CA$68.00k
  • Yari Nieken (35yo)

    CFO & Director

    • Tenure: 1yrs
    • Compensation: CA$75.00k
  • Sashko Despotovski

    Member of Advisory Board

    • Tenure: 2yrs
  • Andreas Schleich

    Member of Advisory Board

    • Tenure: 2yrs
  • Richard Sharp

    Member of Advisory Board

    • Tenure: 1.7yrs

Company Information

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


Key Information

  • Name: BLOK Technologies Inc.
  • Ticker: BLK
  • Exchange: CNSX
  • Founded: 2013
  • Industry: Application Software
  • Sector: Software
  • Market Cap: CA$1.791m
  • Shares outstanding: 119.38m
  • Website: https://www.bloktechinc.com

Location

  • BLOK Technologies Inc.
  • 221 West Esplanade Avenue
  • Suite 310
  • North Vancouver
  • British Columbia
  • V7M 3J3
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BLKCNSX (Canadian National Stock Exchange)YesCommon SharesCACADJan 2016
2ADDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 2016
BLPF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 2016

Biography

BLOK Technologies Inc., through its subsidiary, Greenstream Networks Inc., develops blockchain-enabled supply chain integrity platform for the legalized cannabis industry. It is involved in the design, pro ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:41
End of Day Share Price2019/10/22 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.