MUN:0MLA

Stock Analysis Report

Executive Summary

Torrent Capital Ltd., an investment company, focuses on investments in private and public company securities.

Risk Analysis

Does not have a meaningful market cap (€12M)

Highly volatile share price over past 3 months

Profit margins (21%) are lower than last year (86.5%)

Does not have meaningful revenue (CA$1M)



Snowflake Analysis

Questionable track record and overvalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 0MLA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.1%

0MLA

3.3%

DE Capital Markets

1.7%

DE Market


1 Year Return

35.4%

0MLA

34.0%

DE Capital Markets

15.0%

DE Market

Return vs Industry: 0MLA exceeded the German Capital Markets industry which returned 34% over the past year.

Return vs Market: 0MLA exceeded the German Market which returned 15% over the past year.


Shareholder returns

0MLAIndustryMarket
7 Day-1.1%3.3%1.7%
30 Day1.8%15.7%1.4%
90 Day39.8%26.1%3.3%
1 Year35.4%35.4%36.8%34.0%18.5%15.0%
3 Year70.3%70.3%8.5%-4.4%17.1%6.9%
5 Yearn/a-17.6%-30.5%24.3%7.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Torrent Capital undervalued compared to its fair value and its price relative to the market?

40.08x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 0MLA (€0.34) is trading above our estimate of fair value (€0.21)

Significantly Below Fair Value: 0MLA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 0MLA is poor value based on its PE Ratio (40.1x) compared to the Capital Markets industry average (28.9x).

PE vs Market: 0MLA is poor value based on its PE Ratio (40.1x) compared to the German market (21.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 0MLA's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 0MLA is good value based on its PB Ratio (0.9x) compared to the DE Capital Markets industry average (1.8x).


Next Steps

Future Growth

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

53.8%

Forecasted Diversified Financials 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 Torrent Capital 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 Torrent Capital performed over the past 5 years?

52.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 0MLA has high quality earnings.

Growing Profit Margin: 0MLA's current net profit margins (21%) are lower than last year (86.5%).


Past Earnings Growth Analysis

Earnings Trend: 0MLA has become profitable over the past 5 years, growing earnings by 52.2% per year.

Accelerating Growth: 0MLA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 0MLA had negative earnings growth (-95%) over the past year, making it difficult to compare to the Capital Markets industry average (-2.7%).


Return on Equity

High ROE: 0MLA's Return on Equity (2.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Torrent Capital's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: 0MLA has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 0MLA's debt is covered by short term assets.


Financial Institutions Analysis

Asset Level: 0MLA's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if 0MLA has a sufficient allowance for bad loans.

Low Risk Liabilities: 0MLA reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if 0MLA has an acceptable proportion of non-loan assets held.

Low Risk Deposits: 0MLA has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if 0MLA has an appropriate level of bad loans.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 0MLA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 0MLA'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 0MLA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 0MLA'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 0MLA'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?

3.5yrs

Average management tenure


CEO

Wade Dawe (49yo)

3.8yrs

Tenure

CA$358,827

Compensation

Mr. Wade K. Dawe has been Chief Executive Officer of Metallum Resources Inc. since April 15, 2016. Mr. Dawe is the Founding Partner of Southbound. He Co-Founded Antler Gold Inc. & served as its Advisor. He ...


CEO Compensation Analysis

Compensation vs Market: Wade's total compensation ($USD270.77K) is below average for companies of similar size in the German market ($USD412.37K).

Compensation vs Earnings: Wade's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Wade Dawe
CEO & Director3.8yrsCA$358.83k9.46% CA$757.8k
Robert William Randall
CFO & Corporate Secretary3.5yrsCA$83.22k0.083% CA$6.7k
Scott Gardner
Chief Investment Officer3yrsCA$328.77kno data

3.5yrs

Average Tenure

49yo

Average Age

Experienced Management: 0MLA's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Wade Dawe
CEO & Director3.8yrsCA$358.83k9.46% CA$757.8k
Philip Armstrong
Independent Chairman2.8yrsCA$40.89k0.52% CA$41.8k
Carl Hansen
Independent Director11.3yrsCA$27.63k2.06% CA$164.7k
Harold Megann
Director6.5yrsCA$27.13k3.99% CA$319.4k

6.5yrs

Average Tenure

55.5yo

Average Age

Experienced Board: 0MLA's board of directors are considered experienced (6.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: 0MLA 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

Torrent Capital Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Torrent Capital Ltd.
  • Ticker: 0MLA
  • Exchange: MUN
  • Founded:
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: CA$11.511m
  • Listing Market Cap: CA$8.011m
  • Shares outstanding: 23.98m
  • Website: https://torrentcapital.ca

Location

  • Torrent Capital Ltd.
  • Purdy’s Wharf II
  • Suite 2001
  • Halifax
  • Nova Scotia
  • B3J 3R7
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
A2DLLDDB (Deutsche Boerse AG)COM NPVDECADNo data
TORRTSXV (TSX Venture Exchange)YesCommon SharesCACADMar 1990
TRRP.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMar 1990
0MLAMUN (Boerse Muenchen)YesCommon SharesDEEURMar 1990

Biography

Torrent Capital Ltd., an investment company, focuses on investments in private and public company securities. The company was formerly known as Metallum Resources Inc. and changed its name to Torrent Capital Ltd. in February 2017. Torrent Capital Ltd. is based in Halifax, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/15 22:12
End of Day Share Price2020/02/14 00:00
Earnings2019/09/30
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.