OTCPK:HZNO.F

Stock Analysis Report

Executive Summary

Horizon North Logistics Inc. provides industrial, commercial, and residential products and services in Canada.

Snowflake

Fundamentals

Excellent balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Horizon North Logistics's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-12.3%

OTCPK:HZNO.F

0.6%

US Commercial Services

1.2%

US Market


1 Year Return

-23.3%

OTCPK:HZNO.F

11.4%

US Commercial Services

2.3%

US Market

HZNO.F underperformed the Commercial Services industry which returned 11.4% over the past year.

HZNO.F underperformed the Market in United States of America which returned 1.2% over the past year.


Share holder returns

HZNO.FIndustryMarket
7 Day-12.3%0.6%1.2%
30 Day-12.3%3.6%2.0%
90 Dayn/a9.3%2.0%
1 Year-20.4%-23.3%13.1%11.4%4.6%2.3%
3 Year50.8%30.8%65.3%57.6%47.8%37.9%
5 Year-70.9%-78.8%91.1%75.5%57.3%39.8%

Price Volatility Vs. Market

How volatile is Horizon North Logistics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Horizon North Logistics undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Horizon North Logistics's share price is below the future cash flow value, and at a moderate discount (> 20%).

Horizon North Logistics's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Horizon North Logistics is overvalued based on earnings compared to the US Commercial Services industry average.

Horizon North Logistics is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Horizon North Logistics is poor value based on expected growth next year.


Price Based on Value of Assets

Horizon North Logistics is good value based on assets compared to the US Commercial Services industry average.


Next Steps

  • Explore potentially undervalued companies in the commercial services industry.

Future Growth

How is Horizon North Logistics expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

85.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Horizon North Logistics's revenue is expected to grow by 14.1% yearly, however this is not considered high growth (20% yearly).

Horizon North Logistics's earnings are expected to grow significantly at over 20% yearly.

Horizon North Logistics's revenue growth is expected to exceed the United States of America market average.

Horizon North Logistics's earnings growth is expected to exceed the United States of America market average.

Horizon North Logistics's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Horizon North Logistics will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Horizon North Logistics performed over the past 5 years?

-56.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Horizon North Logistics's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Horizon North Logistics has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

Horizon North Logistics has become profitable in the last year making it difficult to compare the US Commercial Services industry average.


Return on Equity

Horizon North Logistics has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Horizon North Logistics used its assets less efficiently than the US Commercial Services industry average last year based on Return on Assets.


Return on Capital Employed

Horizon North Logistics has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).


Next Steps

Financial Health

How is Horizon North Logistics's financial position?


Financial Position Analysis

Horizon North Logistics is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Horizon North Logistics's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Horizon North Logistics's level of debt (10.1%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (38.4% vs 10.1% today).

Debt is well covered by operating cash flow (142.6%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.2x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.7x debt.


Next Steps

Dividend

What is Horizon North Logistics's current dividend yield, its reliability and sustainability?

4.04%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase Horizon North Logistics before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Horizon North Logistics's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.46%).

Horizon North Logistics's dividend is above the markets top 25% of dividend payers in United States of America (3.72%).

Horizon North Logistics has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

Horizon North Logistics has only been paying a dividend for 8 years, and since then dividends per share have fallen.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.1x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

  • Explore strong dividend paying companies in the commercial services industry.

Management

What is the CEO of Horizon North Logistics's salary, the management and board of directors tenure and is there insider trading?

4.6yrs

Average management tenure


CEO

Rod Graham (50yo)

4.6yrs

Tenure

CA$1,285,811

Compensation

Mr. Roderick W. Graham, also known as Rod, CFA, MBA has been the Chief Executive Officer and President of Horizon North Logistics Inc. since November 4, 2014. Mr. Graham served as an Senior Vice President  ...


CEO Compensation Analysis

Rod's remuneration is lower than average for companies of similar size in United States of America.

Rod's compensation has increased in line with Horizon North Logistics recently becoming profitable.


Management Age and Tenure

4.6yrs

Average Tenure

The tenure for the Horizon North Logistics management team is about average.


Board Age and Tenure

4.4yrs

Average Tenure

60yo

Average Age

The tenure for the Horizon North Logistics board of directors is about average.


Insider Trading

More shares have been bought than sold by Horizon North Logistics insiders in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

BuyUS$26,95128 Mar 19
Roderick Graham
EntityIndividual
Role
President
Member of the Board of Directors
Shares20,000
Max PriceUS$1.35
BuyUS$21,15422 Mar 19
Russell Newmark
EntityIndividual
Role
Member of the Board of Directors
Shares15,000
Max PriceUS$1.41
BuyUS$123,02919 Feb 19
Kevin Nabholz
EntityIndividual
Role
Chairman of the Board
Shares100,000
Max PriceUS$1.23
BuyUS$72,73123 Jan 19
Dale Tremblay
EntityIndividual
Role
Member of the Board of Directors
Shares50,000
Max PriceUS$1.47
BuyUS$427,96622 Jan 19
Mark Becker
EntityIndividual
Role
President of Industrial Services
Shares319,300
Max PriceUS$1.39
BuyUS$5,75101 Jan 19
Mary Garden
EntityIndividual
Role
Member of the Board of Directors
Shares4,750
Max PriceUS$1.21
SellUS$423,29221 Dec 18
Mark Becker
EntityIndividual
Role
President of Industrial Services
Shares359,680
Max PriceUS$1.18
BuyUS$133,24921 Dec 18
Mark Becker
EntityIndividual
Role
President of Industrial Services
Shares59,635
Max PriceUS$2.23
BuyUS$28,72420 Dec 18
Russell Newmark
EntityIndividual
Role
Member of the Board of Directors
Shares25,000
Max PriceUS$1.15
BuyUS$3,73019 Dec 18
Ann Rooney
EntityIndividual
Role
Member of the Board of Directors
Shares3,200
Max PriceUS$1.17
BuyUS$1,54219 Dec 18
Mary Garden
EntityIndividual
Role
Member of the Board of Directors
Shares1,250
Max PriceUS$1.26
SellUS$89,69314 Dec 18
Dale Tremblay
EntityIndividual
Role
Member of the Board of Directors
Shares75,000
Max PriceUS$1.20
SellUS$123,45815 Oct 18
Russell Newmark
EntityIndividual
Role
Member of the Board of Directors
Shares50,000
Max PriceUS$2.47
SellUS$21,49521 Sep 18
Jan Campbell
EntityIndividual
Role
Corporate Secretary
Shares10,100
Max PriceUS$2.13
BuyUS$16,02818 Sep 18
Joseph Kiss
EntityIndividual
Role
President of Modular Solutions
Shares9,300
Max PriceUS$1.72

Ownership Breakdown


Management Team

  • Warren Murray

    Executive Vice President of Strategic Partnerships

    • Compensation: CA$413.11k
  • Marci Laurence

    Vice President of Human Resources

    • Tenure: 1.4yrs
  • Scott Matson

    Senior VP of Finance & CFO

    • Tenure: 9.4yrs
    • Compensation: CA$651.34k
  • Lyle Guard

    Vice President of Legal & General Counsel

    • Tenure: 4.7yrs
  • Joe Kiss

    President of Modular Solutions

    • Compensation: CA$500.29k
  • Rod Graham (50yo)

    President

    • Tenure: 4.6yrs
    • Compensation: CA$1.29m
  • Bill Anderson

    Executive Vice President of Quality

    • Tenure: 3.0yrs
    • Compensation: CA$230.00k
  • Mark Becker

    President of Industrial Services

    • Tenure: 0.8yrs
    • Compensation: CA$621.43k
  • Jan Campbell

    Corporate Secretary

    • Tenure: 13.0yrs

Board Members

  • Dale Tremblay (63yo)

    Independent Director

    • Tenure: 9.1yrs
    • Compensation: CA$133.59k
  • Brad Fedora (48yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: CA$131.92k
  • Kevin Nabholz (61yo)

    Chairman

    • Tenure: 2.3yrs
    • Compensation: CA$160.78k
  • Rod Graham (50yo)

    President

    • Tenure: 4.6yrs
    • Compensation: CA$1.29m
  • Rich Ballantyne (59yo)

    Independent Director

    • Tenure: 4.2yrs
    • Compensation: CA$131.92k
  • Russell Newmark (63yo)

    Independent Director

    • Tenure: 13.0yrs
    • Compensation: CA$136.92k
  • Ann Rooney (64yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: CA$139.42k
  • Mary Garden (59yo)

    Independent Director

    • Tenure: 3.1yrs
    • Compensation: CA$143.26k

Company Information

Horizon North Logistics Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Horizon North Logistics Inc.
  • Ticker: HZNO.F
  • Exchange: OTCPK
  • Founded:
  • Industry: diversified support services
  • Sector: commercial services
  • Market Cap: CA$326.799m
  • Listing Market Cap: CA$244.042m
  • Shares outstanding: 165.05m
  • Website: Click here

Number of Employees


Location

  • Horizon North Logistics Inc.
  • 240-4th Avenue SW
  • Suite 900
  • Calgary
  • Alberta
  • T2P 4H4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HNLTSX (The Toronto Stock Exchange)YesCommon SharesCACADJul 2006
HZNO.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJul 2006
13NDB (Deutsche Boerse AG)YesCommon SharesDEEURJul 2006

Biography

Horizon North Logistics Inc. provides industrial, commercial, and residential products and services in Canada. The company operates in two segments, Industrial Services and Modular Solutions. The Industria ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/06/19 00:28
End of Day Share Price2019/06/13 00:00
Earnings2019/03/31
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.