| Snowflake Score | |
|---|---|
| Valuation | 1/6 |
| Future Growth | 0/6 |
| Past Performance | 0/6 |
| Financial Health | 4/6 |
| Dividends | 1/6 |
RE Overview
RE Royalties Ltd. provides royalty financing solutions to renewable energy generation and development companies.
Share Price & News
How has RE Royalties's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RE is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: RE's weekly volatility (8%) has been stable over the past year.
Market Performance
7 Day Return
-9.8%
RE
-0.8%
CA Renewable Energy
-0.6%
CA Market
1 Year Return
-26.7%
RE
19.2%
CA Renewable Energy
29.0%
CA Market
Return vs Industry: RE underperformed the Canadian Renewable Energy industry which returned 18.7% over the past year.
Return vs Market: RE underperformed the Canadian Market which returned 29.1% over the past year.
Shareholder returns
| RE | Industry | Market | |
|---|---|---|---|
| 7 Day | -9.8% | -0.8% | -0.6% |
| 30 Day | 6.8% | 3.3% | 1.5% |
| 90 Day | -6.0% | 3.9% | 2.3% |
| 1 Year | -24.3%-26.7% | 22.9%19.2% | 32.9%29.0% |
| 3 Year | n/a | 123.7%95.6% | 32.4%19.9% |
| 5 Year | n/a | 140.1%89.0% | 52.2%29.7% |
Long-Term Price Volatility Vs. Market
How volatile is RE Royalties's share price compared to the market and industry in the last 5 years?
Simply Wall St News
9 months ago | Simply Wall St
RE Royalties Ltd.'s (CVE:RE) On An Uptrend But Financial Prospects Look Pretty Weak: Is The Stock Overpriced?RE Royalties Fundamentals Summary
| RE fundamental statistics | |
|---|---|
| Market Cap | CA$36.62m |
| Earnings (TTM) | -CA$2.02m |
| Revenue (TTM) | CA$1.50m |
24.4x
P/S Ratio-18.2x
P/E RatioIs RE overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| RE income statement (TTM) | |
|---|---|
| Revenue | CA$1.50m |
| Cost of Revenue | CA$320.08k |
| Gross Profit | CA$1.18m |
| Expenses | CA$3.20m |
| Earnings | -CA$2.02m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | -0.061 |
| Gross Margin | 78.69% |
| Net Profit Margin | -134.30% |
| Debt/Equity Ratio | 71.3% |
How did RE perform over the long term?
See historical performance and comparisonDividends
3.6%
Current Dividend Yield-66%
Payout RatioValuation
Is RE Royalties undervalued compared to its fair value and its price relative to the market?
2.37x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: RE (CA$1.1) is trading above our estimate of fair value (CA$0.26)
Significantly Below Fair Value: RE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: RE is unprofitable, so we can't compare its PE Ratio to the Canadian Renewable Energy industry average.
PE vs Market: RE 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 RE's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: RE is good value based on its PB Ratio (2.4x) compared to the CA Renewable Energy industry average (2.5x).
Future Growth
How is RE Royalties forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
60.2%
Forecasted Utilities 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 RE Royalties 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.
Past Performance
How has RE Royalties performed over the past 5 years?
-2.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RE is currently unprofitable.
Growing Profit Margin: RE is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: RE is unprofitable, and losses have increased over the past 5 years at a rate of 2.3% per year.
Accelerating Growth: Unable to compare RE's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: RE is unprofitable, making it difficult to compare its past year earnings growth to the Renewable Energy industry (-25.1%).
Return on Equity
High ROE: RE has a negative Return on Equity (-13.05%), as it is currently unprofitable.
Financial Health
How is RE Royalties's financial position?
Financial Position Analysis
Short Term Liabilities: RE's short term assets (CA$26.6M) exceed its short term liabilities (CA$9.5M).
Long Term Liabilities: RE's short term assets (CA$26.6M) exceed its long term liabilities (CA$1.8M).
Debt to Equity History and Analysis
Debt Level: RE's debt to equity ratio (71.3%) is considered high.
Reducing Debt: Insufficient data to determine if RE's debt to equity ratio has reduced over the past 5 years.
Balance Sheet
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 RE has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: RE is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 29.3% per year.
Dividend
What is RE Royalties's current dividend yield, its reliability and sustainability?
3.64%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RE's dividend (3.64%) is higher than the bottom 25% of dividend payers in the Canadian market (1.63%).
High Dividend: RE's dividend (3.64%) is low compared to the top 25% of dividend payers in the Canadian market (4.46%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, RE has been paying a dividend for less than 10 years.
Growing Dividend: RE has only been paying a dividend for 2 years, and since then payments have not increased.
Current Payout to Shareholders
Dividend Coverage: RE is paying a dividend but the company is unprofitable.
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?
2.8yrs
Average management tenure
CEO
Bernard Tan (45 yo)
2.83yrs
Tenure
CA$75,000
Compensation
Mr. Bernard Tan MBA, B.Comm, CA served as Chief Financial Officer at Hunter Dickinson Inc. until December 2015. Mr. Tan manages accounting, regulatory and securities compliance, reporting, treasury and tax...
CEO Compensation Analysis
Compensation vs Market: Bernard's total compensation ($USD58.83K) is below average for companies of similar size in the Canadian market ($USD161.56K).
Compensation vs Earnings: Bernard's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: RE's management team is considered experienced (2.8 years average tenure).
Board Members
Experienced Board: RE's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.
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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
RE Royalties Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: RE Royalties Ltd.
- Ticker: RE
- Exchange: TSXV
- Founded: NaN
- Industry: Renewable Electricity
- Sector: Utilities
- Market Cap: CA$36.619m
- Shares outstanding: 33.29m
- Website: https://www.reroyalties.com
Number of Employees
Location
- RE Royalties Ltd.
- 1040 West Georgia Street
- 14th Floor
- Vancouver
- British Columbia
- V6E 4H1
- Canada
Listings
Biography
RE Royalties Ltd. provides royalty financing solutions to renewable energy generation and development companies. As of March 31, 2021, it owned a portfolio of 83 royalties from solar, wind, and hydro proje...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/18 00:54 |
| End of Day Share Price | 2021/09/17 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.