NasdaqCM:JCTC.F

Stock Analysis Report

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Executive Summary

Jewett-Cameron Trading Company Ltd., through its subsidiaries, manufactures and distributes specialty metal products; and distributes wood products to home centers and other retailers primarily in the United States.


Snowflake Analysis

Undervalued with excellent balance sheet.

Share Price & News

How has Jewett-Cameron Trading's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: JCTC.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.0%

JCTC.F

4.2%

US Building

-0.04%

US Market


1 Year Return

-11.6%

JCTC.F

14.6%

US Building

17.1%

US Market

Return vs Industry: JCTC.F underperformed the US Building industry which returned 12.6% over the past year.

Return vs Market: JCTC.F underperformed the US Market which returned 16.8% over the past year.


Shareholder returns

JCTC.FIndustryMarket
7 Day1.0%4.2%-0.04%
30 Day9.0%19.3%5.1%
90 Day25.4%48.1%19.5%
1 Year-11.6%-11.6%23.1%14.6%19.6%17.1%
3 Year8.3%8.3%42.8%29.7%42.5%33.3%
5 Year53.8%53.8%73.7%46.5%75.1%56.2%

Price Volatility Vs. Market

How volatile is Jewett-Cameron Trading's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Jewett-Cameron Trading 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: JCTC.F ($7.3) is trading below our estimate of fair value ($28.23)

Significantly Below Fair Value: JCTC.F is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: JCTC.F is good value based on its PE Ratio (15.6x) compared to the US Building industry average (24.6x).

PE vs Market: JCTC.F is good value based on its PE Ratio (15.6x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: JCTC.F is good value based on its PB Ratio (1.4x) compared to the US Building industry average (2.9x).


Next Steps

Future Growth

How is Jewett-Cameron Trading forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

29.7%

Forecasted Capital Goods 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 Jewett-Cameron Trading 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 Jewett-Cameron Trading performed over the past 5 years?

2.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JCTC.F has high quality earnings.

Growing Profit Margin: JCTC.F's current net profit margins (4.1%) are lower than last year (5.1%).


Past Earnings Growth Analysis

Earnings Trend: JCTC.F's earnings have grown by 2% per year over the past 5 years.

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

Earnings vs Industry: JCTC.F had negative earnings growth (-22.8%) over the past year, making it difficult to compare to the Building industry average (-9%).


Return on Equity

High ROE: JCTC.F's Return on Equity (9.8%) is considered low.


Next Steps

Financial Health

How is Jewett-Cameron Trading's financial position?


Financial Position Analysis

Short Term Liabilities: JCTC.F's short term assets ($19.0M) exceed its short term liabilities ($3.5M).

Long Term Liabilities: JCTC.F's short term assets ($19.0M) exceed its long term liabilities ($479.0K).


Debt to Equity History and Analysis

Debt Level: JCTC.F's debt to equity ratio (3.8%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if JCTC.F's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: JCTC.F's debt is well covered by operating cash flow (533.2%).

Interest Coverage: JCTC.F earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Jewett-Cameron Trading current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate JCTC.F's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if JCTC.F's dividends per share have been stable in the past.

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


Next Steps

Management

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

1.5yrs

Average board tenure


CEO

Charlie Hopewell (64 yo)

3.5yrs

Tenure

US$219,000

Compensation

Mr. Charles E. Hopewell, also known as Charlie, has been Chairman of the Board at Jewett-Cameron Trading Company Ltd. since May 28, 2019, its Chief Executive Officer, President and Director since February ...


CEO Compensation Analysis

Compensation vs Market: Charlie's total compensation ($USD219.00K) is below average for companies of similar size in the US market ($USD589.17K).

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


Board Members

NamePositionTenureCompensationOwnership
Charles Hopewell
Chairman of the Board3.5yrsUS$219.00k0.35%
$ 89.7k
Michael Nasser
Director & Corporate Secretary1.25yrsUS$256.00k0.92%
$ 232.8k
Frank Magdlen
Independent Director7.58yrsUS$10.60kno data
Geoffrey Guilfoy
Independent Director1yrUS$3.60kno data
Chris Karlin
Independent Director1.67yrsUS$8.80kno data
Sarah Johnson
Independent Director3.08yrsUS$10.60kno data

1.5yrs

Average Tenure

67yo

Average Age

Experienced Board: JCTC.F's board of directors are not considered experienced ( 1.5 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

Jewett-Cameron Trading Company Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Jewett-Cameron Trading Company Ltd.
  • Ticker: JCTC.F
  • Exchange: NasdaqCM
  • Founded: 1953
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: US$25.412m
  • Shares outstanding: 3.48m
  • Website: https://www.jewettcameron.com

Number of Employees


Location

  • Jewett-Cameron Trading Company Ltd.
  • 32275 NW Hillcrest Street
  • North Plains
  • Oregon
  • 97133
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JCTC.FNasdaqCM (Nasdaq Capital Market)YesCommon SharesUSUSDNov 1989

Biography

Jewett-Cameron Trading Company Ltd., through its subsidiaries, manufactures and distributes specialty metal products; and distributes wood products to home centers and other retailers primarily in the Unit ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/11 23:59
End of Day Share Price2020/08/11 00:00
Earnings2020/05/31
Annual Earnings2019/08/31


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.