TSX:ETX

Stock Analysis Report

Executive Summary

Etrion Corporation, an independent power producer, develops, builds, owns, and operates solar power generation plants.

Snowflake

Fundamentals

Mediocre balance sheet with weak fundamentals.

Risks

  • Etrion has significant price volatility in the past 3 months.
  • Etrion is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-5.9%

ETX

2.0%

CA Renewable Energy

1.3%

CA Market


1 Year Return

-12.7%

ETX

12.5%

CA Renewable Energy

-0.1%

CA Market

ETX underperformed the Renewable Energy industry which returned 12.3% over the past year.

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


Share holder returns

ETXIndustryMarket
7 Day-5.9%2.0%1.3%
30 Day0%1.7%4.7%
90 Day23.1%0.5%1.6%
1 Year-12.7%-12.7%18.3%12.5%3.4%-0.1%
3 Year-28.4%-28.4%28.2%10.6%19.1%8.4%
5 Year-54.7%-54.7%52.3%18.3%23.2%5.7%

Price Volatility Vs. Market

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


Simply Wall St News

2 months ago | Simply Wall St

Etrion (TSE:ETX) Takes On Some Risk With Its Use Of Debt

Valuation

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

1691.28x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Etrion to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Etrion to establish if it is available at substantial discount.


Price Based on Earnings

Etrion is loss making, we can't compare its value to the CA Renewable Energy industry average.

Etrion is loss making, we can't compare the value of its earnings to the Canada market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Etrion, we can't assess if its growth is good value.


Price Based on Value of Assets

Etrion is overvalued based on assets compared to the CA Renewable Energy industry average.


Next Steps

Future Growth

How is Etrion expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

-27.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Etrion's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).

Etrion is not considered high growth as it is expected to be loss making for the next 1-3 years.

Etrion's revenue growth is positive but not above the Canada market average.

Unable to compare Etrion's earnings growth to the Canada market average as it is expected to be loss making during the next 1-3 years.

Unable to compare Etrion's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Etrion performed over the past 5 years?

15.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Etrion does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Etrion's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Etrion's 1-year growth to the CA Renewable Energy industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Etrion has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

Etrion used its assets less efficiently than the CA Renewable Energy industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if Etrion improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Etrion's financial position?


Financial Position Analysis

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

Etrion's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Etrion's level of debt (28836.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (1142.9% vs 28836.4% today).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.6x 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.

Whilst loss making Etrion has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making Etrion has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -43.5% per year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Etrion's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Etrion's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Etrion has not reported any payouts.

Unable to verify if Etrion's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Etrion has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Etrion's dividends in 3 years as they are not expected to pay a notable one for Canada.


Next Steps

Management

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

7.2yrs

Average management tenure


CEO

Marco Northland (60yo)

10yrs

Tenure

US$691,126

Compensation

Mr. Marco Antonio Northland has been the Chief Executive Officer at Etrion Corporation since September 11, 2009. Mr. Northland served as the Chief Executive Officer at Etrion SA from October 2008 to Septem ...


CEO Compensation Analysis

Marco's remuneration is higher than average for companies of similar size in Canada.

Marco's compensation has increased whilst company is loss making.


Management Age and Tenure

7.2yrs

Average Tenure

The average tenure for the Etrion management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.8yrs

Average Tenure

52yo

Average Age

The tenure for the Etrion board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Marco Northland (60yo)

    CEO & Director

    • Tenure: 10yrs
    • Compensation: US$691.13k
  • Giora Salita

    Executive Vice President of Business Development and Mergers & Acquisitions

    • Tenure: 7.2yrs
    • Compensation: US$440.41k
  • David Knight

    Corporate Secretary

    • Tenure: 11.4yrs
  • Christian Lacueva Canut

    Chief Financial Officer

    • Tenure: 1.7yrs
    • Compensation: US$393.96k
  • Martin Oravec

    Chief Investment Officer

    • Tenure: 1.7yrs
    • Compensation: US$355.47k

Board Members

  • Garrett Soden (45yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$37.50k
  • Marco Northland (60yo)

    CEO & Director

    • Tenure: 10yrs
    • Compensation: US$691.13k
  • Ian Lundin (59yo)

    Independent Director

    • Tenure: 10yrs
    • Compensation: US$37.50k
  • Aksel Azrac

    Chairman of the Board

    • Tenure: 0.7yrs
    • Compensation: US$37.50k
  • Henrika Frykman (42yo)

    Independent Director

    • Tenure: 0.7yrs

Company Information

Etrion Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Etrion Corporation
  • Ticker: ETX
  • Exchange: TSX
  • Founded: 1993
  • Industry: Renewable Electricity
  • Sector: Utilities
  • Market Cap: CA$80.241m
  • Shares outstanding: 334.34m
  • Website: https://www.etrion.com

Number of Employees


Location

  • Etrion Corporation
  • Rue du Commerce 4
  • Geneva
  • Geneva
  • 1204
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ETXTSX (The Toronto Stock Exchange)YesCommon SharesCACADJan 1997
4QPDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1997
ETXOM (OMX Nordic Exchange Stockholm)YesCommon SharesSESEKJan 1997
ETRX.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 1997
ETXSBATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBSEKJan 1997

Biography

Etrion Corporation, an independent power producer, develops, builds, owns, and operates solar power generation plants. The company owns 57 megawatts of installed solar capacity in Japan. It sells its elect ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 23:45
End of Day Share Price2019/09/20 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.