TSXV:BLN

Stock Analysis Report

Blackline Safety

Executive Summary

Blackline Safety Corp., a global connected safety technology company, develops, manufactures, and markets products and services for worker safety monitoring in Canada, the United States, Europe, Australia, New Zealand, and internationally.

Rewards

Revenue is forecast to grow 60.04% per year

Risk Analysis

Earnings have declined by -19.01% per year over past 5 years

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year



Snowflake Analysis

Flawless balance sheet with limited growth.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: BLN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.0%

BLN

-1.5%

CA Communications

0.1%

CA Market


1 Year Return

15.4%

BLN

2.1%

CA Communications

12.2%

CA Market

Return vs Industry: BLN exceeded the Canadian Communications industry which returned 2.1% over the past year.

Return vs Market: BLN exceeded the Canadian Market which returned 12.2% over the past year.


Shareholder returns

BLNIndustryMarket
7 Day-3.0%-1.5%0.1%
30 Day0.3%4.3%0.2%
90 Day-4.0%-1.2%0.4%
1 Year15.4%15.4%2.7%2.1%15.9%12.2%
3 Year92.3%92.3%-5.4%-7.3%16.0%5.4%
5 Year145.5%145.5%-37.0%-39.0%33.5%13.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

6.65x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate BLN's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate BLN's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: BLN is unprofitable, so we can't compare its PE Ratio to the Communications industry average.

PE vs Market: BLN is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BLN is overvalued based on its PB Ratio (6.6x) compared to the CA Communications industry average (1.3x).


Next Steps

Future Growth

How is Blackline Safety forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

60.0%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if BLN's forecast earnings growth is above the savings rate (1.4%).

Earnings vs Market: Insufficient data to determine if BLN's earnings are forecast to grow faster than the Canadian market

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

Revenue vs Market: BLN's revenue (60% per year) is forecast to grow faster than the Canadian market (5% per year).

High Growth Revenue: BLN's revenue (60% 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 BLN's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Blackline Safety performed over the past 5 years?

-19.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BLN is currently unprofitable.

Growing Profit Margin: BLN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: BLN is unprofitable, and losses have increased over the past 5 years at a rate of -19% per year.

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

Earnings vs Industry: BLN is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (17.3%).


Return on Equity

High ROE: BLN has a negative Return on Equity (-22.86%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Blackline Safety's financial position?


Financial Position Analysis

Short Term Liabilities: BLN's short term assets (CA$47.9M) exceed its short term liabilities (CA$12.8M).

Long Term Liabilities: BLN's short term assets (CA$47.9M) exceed its long term liabilities (CA$3.9M).


Debt to Equity History and Analysis

Debt Level: BLN's debt to equity ratio (0.9%) is considered satisfactory.

Reducing Debt: BLN's debt to equity ratio has reduced from 15.3% to 0.9% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: BLN's debt is covered by short term assets (assets are 123.2x debt).


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: BLN has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: BLN has sufficient cash runway for 2.7 years if free cash flow continues to reduce at historical rates of -25.2% each year.


Next Steps

Dividend

What is Blackline Safety's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.6%industryaverage3.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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

5.6yrs

Average management tenure


CEO

Cody Slater (55yo)

8.9yrs

Tenure

CA$214,824

Compensation

Mr. Cody Z. Slater has been the Chief Executive Officer of Blackline Safety Corp. since January 10, 2011 and serves as its Chairman of the Board. Mr. Slater has served as the President and Chief Executive  ...


CEO Compensation Analysis

Compensation vs Market: Cody's total compensation ($USD162.73K) is below average for companies of similar size in the Canadian market ($USD682.77K).

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


Management Age and Tenure

5.6yrs

Average Tenure

Experienced Management: BLN's management team is seasoned and experienced (5.6 years average tenure).


Board Age and Tenure

8.8yrs

Average Tenure

66yo

Average Age

Experienced Board: BLN's board of directors are considered experienced (8.8 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.


Recent Insider Transactions

BuyCA$22,82222 Aug 19
Cody Slater
EntityIndividual
Role
Chief Executive Officer
Chairman of the Board & CEO
Shares4,000
Max PriceCA$5.71
BuyCA$7,44028 May 19
John Finbow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,200
Max PriceCA$6.20
BuyCA$19,84021 May 19
John Finbow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,200
Max PriceCA$6.20
SellCA$30,50024 Apr 19
Kevin Meyers
EntityIndividual
Role
Chief Operating Officer
Chief Operating Officer
Shares5,000
Max PriceCA$6.10
BuyCA$9,97518 Apr 19
John Finbow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,750
Max PriceCA$5.70
BuyCA$9,86017 Apr 19
John Finbow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,700
Max PriceCA$5.80
BuyCA$9,77504 Apr 19
John Finbow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,700
Max PriceCA$5.75
SellCA$39,20026 Mar 19
Kevin Meyers
EntityIndividual
Role
Chief Operating Officer
Chief Operating Officer
Shares7,000
Max PriceCA$5.60
BuyCA$10,92017 Jan 19
Shane Grennan
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares2,100
Max PriceCA$5.20
BuyCA$5,50014 Jan 19
DAK Capital Inc
EntityCompany
Shares1,100
Max PriceCA$5.00
BuyCA$17,29910 Jan 19
John Finbow
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,370
Max PriceCA$5.15
BuyCA$12,09709 Jan 19
DAK Capital Inc
EntityCompany
Shares2,400
Max PriceCA$5.09
BuyCA$105,99207 Jan 19
DAK Capital Inc
EntityCompany
Shares21,200
Max PriceCA$5.00
BuyCA$31,44101 Jan 19
DAK Capital Inc
EntityCompany
Shares6,300
Max PriceCA$5.04
BuyCA$91,83121 Dec 18
DAK Capital Inc
EntityCompany
Shares18,400
Max PriceCA$5.00

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 21.8%.


Management Team

  • Cody Slater (55yo)

    Chairman of the Board & CEO

    • Tenure: 8.9yrs
    • Compensation: CA$214.82k
  • Kevin Meyers

    Chief Operating Officer

    • Tenure: 10.8yrs
    • Compensation: CA$267.84k
  • Barry Moore

    Vice President of Product Development

    • Tenure: 0yrs
    • Compensation: CA$250.52k
  • Brendon Cook

    Co-Founder & CTO

    • Tenure: 0yrs
  • Gavin Boorman

    Managing Director of Blackline GPS Europe

    • Tenure: 5.6yrs
  • Sean Stinson

    Vice President of Sales & Product Management

    • Tenure: 4.3yrs
    • Compensation: CA$251.56k
  • Shane Grennan

    Chief Financial Officer

    • Tenure: 3.8yrs
    • Compensation: CA$252.85k

Board Members

  • Cody Slater (55yo)

    Chairman of the Board & CEO

    • Tenure: 8.9yrs
    • Compensation: CA$214.82k
  • John Finbow

    Independent Director

    • Tenure: 8.9yrs
    • Compensation: CA$117.07k
  • Michael Hayduk (66yo)

    Independent Director

    • Tenure: 10.8yrs
    • Compensation: CA$111.07k
  • Bob Herdman (68yo)

    Independent Director

    • Tenure: 8.7yrs
    • Compensation: CA$111.07k
  • Brad Gilewich

    Independent Director

    • Tenure: 3.5yrs
    • Compensation: CA$111.07k

Company Information

Blackline Safety Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Blackline Safety Corp.
  • Ticker: BLN
  • Exchange: TSXV
  • Founded: 2004
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: CA$275.907m
  • Shares outstanding: 47.82m
  • Website: https://www.blacklinesafety.com

Location

  • Blackline Safety Corp.
  • 803 24 Avenue SE
  • Unit 100
  • Calgary
  • Alberta
  • T2G 1P5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BLNTSXV (TSX Venture Exchange)YesCommon SharesCACADFeb 2009
BLKL.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDFeb 2009
76QBST (Boerse-Stuttgart)YesCommon SharesDEEURFeb 2009

Biography

Blackline Safety Corp., a global connected safety technology company, develops, manufactures, and markets products and services for worker safety monitoring in Canada, the United States, Europe, Australia, ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/15 00:55
End of Day Share Price2019/12/13 00:00
Earnings2019/07/31
Annual Earnings2018/10/31


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.