| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 0/6 |
| Past Performance | 4/6 |
| Financial Health | 3/6 |
| Dividends | 5/6 |
ALC Overview
Algoma Central Corporation owns and operates a fleet of dry and liquid bulk carriers on the Great Lakes - St.
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | CA$18.08 |
| 52 Week High | CA$10.50 |
| 52 Week Low | CA$18.93 |
| Beta | 1.15 |
| 1 Month Change | 5.98% |
| 3 Month Change | 16.65% |
| 1 Year Change | 68.97% |
| 3 Year Change | 50.79% |
| 5 Year Change | 59.29% |
| Change since IPO | 1,146.90% |
Recent News & Updates
Algoma Central (TSE:ALC) Has A Somewhat Strained Balance Sheet
Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...
Shareholder Returns
| ALC | CA Shipping | CA Market | |
|---|---|---|---|
| 7D | 0.2% | 2.3% | 1.7% |
| 1Y | 69.0% | 111.9% | 36.5% |
Return vs Industry: ALC underperformed the Canadian Shipping industry which returned 103.1% over the past year.
Return vs Market: ALC exceeded the Canadian Market which returned 33.6% over the past year.
Price Volatility
| ALC volatility | |
|---|---|
| ALC Beta | 1.15 |
| Industry Beta | 1.33 |
| Market Beta | 1 |
Stable Share Price: ALC is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: ALC's weekly volatility (4%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1899 | 1,600 | Gregg Ruhl | https://www.algonet.com |
Algoma Central Corporation owns and operates a fleet of dry and liquid bulk carriers on the Great Lakes - St. Lawrence Waterway in Canada. The company operates in six segments: Domestic Dry-Bulk, Product Tankers, Ocean Self-Unloaders, Global Short Sea Shipping, Investment Properties, and Corporate. It operates 12 self-unloading bulk carriers and 8 gearless bulk carriers; and owns and manages eight double-hull product tankers for the transportation of liquid petroleum products throughout the Great Lakes, the St. Lawrence waterway, and the Atlantic Canada regions.
Algoma Central Fundamentals Summary
| ALC fundamental statistics | |
|---|---|
| Market Cap | CA$683.44m |
| Earnings (TTM) | CA$61.63m |
| Revenue (TTM) | CA$554.58m |
11.1x
P/E Ratio1.2x
P/S RatioIs ALC overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| ALC income statement (TTM) | |
|---|---|
| Revenue | CA$554.58m |
| Cost of Revenue | CA$367.32m |
| Gross Profit | CA$187.26m |
| Expenses | CA$125.63m |
| Earnings | CA$61.63m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Nov 03, 2021
| Earnings per share (EPS) | 1.63 |
| Gross Margin | 33.77% |
| Net Profit Margin | 11.11% |
| Debt/Equity Ratio | 78.6% |
How did ALC perform over the long term?
See historical performance and comparisonDividends
18.4%
Current Dividend Yield37%
Payout RatioValuation
Is Algoma Central undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ALC (CA$18.08) is trading below our estimate of fair value (CA$54)
Significantly Below Fair Value: ALC is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ALC is poor value based on its PE Ratio (11.1x) compared to the North American Shipping industry average (10.6x).
PE vs Market: ALC is good value based on its PE Ratio (11.1x) compared to the Canadian market (13.5x).
Price to Earnings Growth Ratio
PEG Ratio: ALC is poor value based on its PEG Ratio (10.8x)
Price to Book Ratio
PB vs Industry: ALC is overvalued based on its PB Ratio (1.2x) compared to the XN Shipping industry average (1x).
Future Growth
How is Algoma Central forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
1.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ALC's forecast earnings growth (1% per year) is below the savings rate (1.6%).
Earnings vs Market: ALC's earnings (1% per year) are forecast to grow slower than the Canadian market (12.1% per year).
High Growth Earnings: ALC's earnings are forecast to grow, but not significantly.
Revenue vs Market: ALC's revenue (2.9% per year) is forecast to grow slower than the Canadian market (6.7% per year).
High Growth Revenue: ALC's revenue (2.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if ALC's Return on Equity is forecast to be high in 3 years time
Past Performance
How has Algoma Central performed over the past 5 years?
16.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ALC has high quality earnings.
Growing Profit Margin: ALC's current net profit margins (11.1%) are higher than last year (3.3%).
Past Earnings Growth Analysis
Earnings Trend: ALC's earnings have grown by 16.8% per year over the past 5 years.
Accelerating Growth: ALC's earnings growth over the past year (225%) exceeds its 5-year average (16.8% per year).
Earnings vs Industry: ALC earnings growth over the past year (225%) underperformed the Shipping industry 305.6%.
Return on Equity
High ROE: ALC's Return on Equity (10.9%) is considered low.
Financial Health
How is Algoma Central's financial position?
Financial Position Analysis
Short Term Liabilities: ALC's short term assets (CA$143.7M) exceed its short term liabilities (CA$73.7M).
Long Term Liabilities: ALC's short term assets (CA$143.7M) do not cover its long term liabilities (CA$524.8M).
Debt to Equity History and Analysis
Debt Level: ALC's debt to equity ratio (78.6%) is considered high.
Reducing Debt: ALC's debt to equity ratio has increased from 40.5% to 78.6% over the past 5 years.
Debt Coverage: ALC's debt is well covered by operating cash flow (32.9%).
Interest Coverage: ALC's interest payments on its debt are well covered by EBIT (4.2x coverage).
Balance Sheet
Dividend
What is Algoma Central current dividend yield, its reliability and sustainability?
18.42%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ALC's dividend (18.42%) is higher than the bottom 25% of dividend payers in the Canadian market (1.55%).
High Dividend: ALC's dividend (18.42%) is in the top 25% of dividend payers in the Canadian market (4.5%)
Stability and Growth of Payments
Stable Dividend: ALC's dividends per share have been stable in the past 10 years.
Growing Dividend: ALC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (36.8%), ALC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average management tenure
CEO
Gregg Ruhl
2.67yrs
Tenure
CA$1,367,948
Compensation
Mr. Gregg A. Ruhl has been President and Chief Executive Officer of Algoma Central Corporation since February 7, 2019 and served as its Chief Operating Officer since September 25, 2017 until February 7, 20...
CEO Compensation Analysis
Compensation vs Market: Gregg's total compensation ($USD1.11M) is above average for companies of similar size in the Canadian market ($USD827.18K).
Compensation vs Earnings: Gregg's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: ALC's management team is considered experienced (3.8 years average tenure).
Board Members
Experienced Board: ALC's board of directors are seasoned and experienced ( 11.1 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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Algoma Central Corporation's employee growth, exchange listings and data sources
Key Information
- Name: Algoma Central Corporation
- Ticker: ALC
- Exchange: TSX
- Founded: 1899
- Industry: Marine
- Sector: Transportation
- Market Cap: CA$683.441m
- Shares outstanding: 37.80m
- Website: https://www.algonet.com
Number of Employees
Location
- Algoma Central Corporation
- 63 Church Street
- Suite 600
- Saint Catharines
- Ontario
- L2R 3C4
- Canada
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/10/25 23:14 |
| End of Day Share Price | 2021/10/25 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.