DB:9CW1

Stock Analysis Report

Executive Summary

Organic Garage Ltd. owns and operates grocery stores that sell natural and organic products to consumers in Canada.

Risk Analysis

Earnings have declined by -46.16% per year over past 5 years

Has less than 1 year of cash runway

Does not have a meaningful market cap (€4M)

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

+ 2 more risks


Snowflake Analysis

Overvalued with worrying balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 9CW1's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

1.8%

9CW1

1.4%

DE Consumer Retailing

1.7%

DE Market


1 Year Return

-57.5%

9CW1

1.3%

DE Consumer Retailing

15.0%

DE Market

Return vs Industry: 9CW1 underperformed the German Consumer Retailing industry which returned 1.3% over the past year.

Return vs Market: 9CW1 underperformed the German Market which returned 15% over the past year.


Shareholder returns

9CW1IndustryMarket
7 Day1.8%1.4%1.7%
30 Day-2.0%1.5%0.8%
90 Day-6.1%0.7%3.7%
1 Year-57.5%-57.5%5.3%1.3%18.5%15.0%
3 Year-62.2%-62.2%5.5%-5.0%17.1%6.9%
5 Yearn/a9.4%-7.3%24.3%7.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Organic Garage undervalued compared to its fair value and its price relative to the market?

0.63x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 9CW1's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 9CW1's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 9CW1 is unprofitable, so we can't compare its PE Ratio to the Consumer Retailing industry average.

PE vs Market: 9CW1 is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 9CW1's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 9CW1 is good value based on its PB Ratio (0.6x) compared to the XE Consumer Retailing industry average (1.6x).


Next Steps

Future Growth

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

17.5%

Forecasted Consumer Retailing 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 Organic Garage 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 Organic Garage performed over the past 5 years?

-46.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 9CW1 is currently unprofitable.

Growing Profit Margin: 9CW1 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 9CW1 is unprofitable, and losses have increased over the past 5 years at a rate of -46.2% per year.

Accelerating Growth: Unable to compare 9CW1's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 9CW1 is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Retailing industry (-0.7%).


Return on Equity

High ROE: 9CW1 has a negative Return on Equity (-45.51%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Organic Garage's financial position?


Financial Position Analysis

Short Term Liabilities: 9CW1's short term assets (CA$2.3M) do not cover its short term liabilities (CA$2.7M).

Long Term Liabilities: 9CW1's short term assets (CA$2.3M) do not cover its long term liabilities (CA$11.4M).


Debt to Equity History and Analysis

Debt Level: 9CW1's debt to equity ratio (43.3%) is considered high.

Reducing Debt: 9CW1's debt to equity ratio has reduced from 71.2% to 43.3% over the past 5 years.


Balance Sheet

Inventory Level: 9CW1 has a high level of physical assets or inventory.

Debt Coverage by Assets: 9CW1's debt is not covered by short term assets (assets are 0.9x 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: 9CW1 has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: 9CW1 has less than a year of cash runway if free cash flow continues to reduce at historical rates of -23.5% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage3.7%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 9CW1's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 9CW1'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 9CW1's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 9CW1'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 9CW1's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.2yrs

Average board tenure


CEO

Matt Lurie (38yo)

CA$148,085

Compensation

Mr. Matt Lurie serves as the Chairman, Chief Executive Officer and President at Organic Garage Ltd. 


CEO Compensation Analysis

Compensation vs Market: Matt's total compensation ($USD111.74K) is below average for companies of similar size in the German market ($USD412.37K).

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


Board Members

NamePositionTenureCompensationOwnership
Matt Lurie
Chairman0yrsCA$148.09k21.93% CA$567.2k
Keith Stein
Independent Director3.3yrsno data0.13% CA$3.5k
Kevin Williams
Independent Director2.6yrsno data2.15% CA$55.7k
Dennis Hancock
Member of Advisory Board3.2yrsno datano data
Evan Clifford
Independent Director3.3yrsCA$31.50k1.48% CA$38.3k
Ken Villazor
Independent Director3.3yrsno data0.67% CA$17.4k
Micheal Lovsin
Independent Director0.8yrsno data0.13% CA$3.5k

3.2yrs

Average Tenure

44yo

Average Age

Experienced Board: 9CW1's board of directors are considered experienced (3.2 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 been diluted in the past year, with total shares outstanding growing by 5.5%.


Top Shareholders

Company Information

Organic Garage Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Organic Garage Ltd.
  • Ticker: 9CW1
  • Exchange: DB
  • Founded: 2005
  • Industry: Food Retail
  • Sector: Consumer Retailing
  • Market Cap: CA$3.716m
  • Listing Market Cap: CA$2.586m
  • Shares outstanding: 37.16m
  • Website: https://www.organicgarage.com

Location

  • Organic Garage Ltd.
  • 50 Akron Road
  • Unit B
  • Toronto
  • Ontario
  • M8W 1T2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
9CW1DB (Deutsche Boerse AG)YesCommon SharesDEEUROct 2016
OGTSXV (TSX Venture Exchange)YesCommon SharesCACADOct 2016

Biography

Organic Garage Ltd. owns and operates grocery stores that sell natural and organic products to consumers in Canada. The company offers produce, dairy, bakery, bulk, grocery, meat, frozen, and prepared foods; and health and beauty, as well as vitamins and supplements. It operates four stores in the Greater Toronto Area. The company was founded in 2005 and is headquartered in Toronto, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 22:26
End of Day Share Price2020/02/14 00:00
Earnings2019/10/31
Annual Earnings2019/01/31


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.