NasdaqGM:ESTR

Stock Analysis Report

Executive Summary

Estre Ambiental, Inc., a waste management company, provides a range of waste-related and environmental services for municipal, commercial, and industrial customers in Brazil and Latin America.

Snowflake

Fundamentals

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-10.4%

ESTR

2.0%

US Commercial Services

3.4%

US Market


1 Year Return

-94.5%

ESTR

14.4%

US Commercial Services

5.4%

US Market

Return vs Industry: ESTR underperformed the US Commercial Services industry which returned 14.4% over the past year.

Return vs Market: ESTR underperformed the US Market which returned 5.4% over the past year.


Shareholder returns

ESTRIndustryMarket
7 Day-10.4%2.0%3.4%
30 Day-51.1%2.1%-1.0%
90 Day-66.5%0.5%-0.4%
1 Year-94.5%-94.5%18.8%14.4%7.7%5.4%
3 Yearn/a70.0%58.4%46.2%36.8%
5 Yearn/a103.0%82.7%65.6%47.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Estre Ambiental undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Estre Ambiental is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Estre Ambiental has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

Future Growth

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

17.7%

Forecasted Commercial Services 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 Estre Ambiental 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 Estre Ambiental performed over the past 5 years?

-1.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ESTR is unprofitable, and losses have increased over the past 5 years at a rate of -1.4% per year.

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

Earnings vs Industry: ESTR is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (-2.4%).


Return on Equity

High ROE: ESTR's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets

ROA vs Industry: ESTR is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ESTR is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Estre Ambiental's financial position?


Financial Position Analysis

Short Term Liabilities: ESTR has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: ESTR has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: ESTR has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: ESTR's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

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

Debt Coverage by Assets: ESTR has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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: Insufficient data to determine if ESTR has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if ESTR has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Next Steps

Management

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

1.8yrs

Average board tenure


CEO

Sérgio Pedreiro (54yo)

4.1yrs

Tenure

0

Mr. Sérgio Messias Pedreiro has been Chief Executive Officer at Estre Ambiental S.A. since September 2015 and has been its Director since 2011. He has been an Interim Chief Financial Officer of Estre Amb ...


Board Age and Tenure

1.8yrs

Average Tenure

60.5yo

Average Age

Experienced Board: ESTR's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Sérgio Pedreiro (54yo)

    CEO, Interim CFO & Director

    • Tenure: 4.1yrs
  • André Luis Meira (48yo)

    Chief Operating Officer of Collections & Cleaning Segment

    • Tenure: 0yrs
  • Alexandre Bueno (43yo)

    Chief Operating Officer of Landfill and C&I Business Unit

    • Tenure: 0yrs
  • Thiago Fernandes (36yo)

    Chief Operating Officer of the Collection Business Unit

    • Tenure: 0yrs
  • Julio de Sá Volotão (46yo)

    General Counsel & Head of Human Resources

    • Tenure: 0yrs

Board Members

  • Stephen Trevor (55yo)

    Independent Director

    • Tenure: 0yrs
  • Sérgio Pedreiro (54yo)

    CEO, Interim CFO & Director

    • Tenure: 4.1yrs
  • Klaus Pohle (82yo)

    Independent Director

    • Tenure: 1.8yrs
  • Fabio Pinheiro (59yo)

    Independent Director

    • Tenure: 1.8yrs
  • Gesner Oliveira (62yo)

    Independent Chairman of the Board

    • Tenure: 0.6yrs
  • Ricardo Pelúcio (62yo)

    Independent Director

    • Tenure: 1.8yrs

Company Information

Estre Ambiental, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Estre Ambiental, Inc.
  • Ticker: ESTR
  • Exchange: NasdaqGM
  • Founded: 1999
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$13.906m
  • Shares outstanding: 45.64m
  • Website: https://www.estre.com.br

Number of Employees


Location

  • Estre Ambiental, Inc.
  • 4509, Avenida Brigadeiro Faria Lima
  • 8th Floor
  • São Paulo
  • São Paulo
  • 04538-133
  • Brazil

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ESTRNasdaqGM (Nasdaq Global Market)YesOrdinary SharesUSUSDDec 2017

Biography

Estre Ambiental, Inc., a waste management company, provides a range of waste-related and environmental services for municipal, commercial, and industrial customers in Brazil and Latin America. The company  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 00:40
End of Day Share Price2019/10/15 00:00
Earnings2018/12/31
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.