OTCPK:RNWE.F

Stock Analysis Report

Executive Summary

REC Silicon ASA, together with its subsidiaries, produces and sells silicon materials for the solar and electronics industries worldwide.

Snowflake

Fundamentals

Mediocre balance sheet and overvalued.

Risks

  • REC Silicon has significant price volatility in the past 3 months.
  • REC Silicon is covered by less than 3 analysts.

Similar Companies

Share Price & News

How has REC Silicon's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.7%

RNWE.F

-2.5%

US Semiconductor

-0.6%

US Market


1 Year Return

499.8%

RNWE.F

7.5%

US Semiconductor

0.6%

US Market

RNWE.F outperformed the Semiconductor industry which returned 7.5% over the past year.

RNWE.F outperformed the Market in United States of America which returned 0.6% over the past year.


Share holder returns

RNWE.FIndustryMarket
7 Day-1.7%-2.5%-0.6%
30 Day-1.7%3.2%2.2%
90 Dayn/a10.1%1.1%
1 Year499.8%499.8%9.6%7.5%2.9%0.6%
3 Year282.6%282.6%79.9%69.3%44.6%35.2%
5 Year18.5%18.5%119.3%97.0%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is REC Silicon undervalued based on future cash flows and its price relative to the stock market?

2.16x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for REC Silicon to establish if it is available at moderate discount.

Unable to calculate intrinsic value for REC Silicon to establish if it is available at substantial discount.


Price Based on Earnings

REC Silicon is loss making, we can't compare its value to the US Semiconductor industry average.

REC Silicon is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for REC Silicon, we can't assess if its growth is good value.


Price Based on Value of Assets

REC Silicon is good value based on assets compared to the US Semiconductor industry average.


Next Steps

Future Growth

How is REC Silicon expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

77.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

REC Silicon's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

REC Silicon is not considered high growth as it is expected to be loss making for the next 1-3 years.

REC Silicon's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Unable to compare REC Silicon's earnings growth to the United States of America market average as it is expected to be loss making during the next 1-3 years.

Unable to compare REC Silicon's earnings growth to the low risk savings rate as it is expected to be loss making during the next 1-3 years.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if REC Silicon will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.


Next Steps

Past Performance

How has REC Silicon performed over the past 5 years?

-51.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

REC Silicon does not make a profit and their year on year earnings growth rate was negative over the past 5 years.

Unable to compare REC Silicon's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare REC Silicon's 1-year growth to the US Semiconductor industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if REC Silicon has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if REC Silicon has efficiently used its assets last year compared to the US Semiconductor industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if REC Silicon improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is REC Silicon's financial position?


Financial Position Analysis

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

REC Silicon's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

REC Silicon's level of debt (202.8%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (30.6% vs 202.8% today).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.2x 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.

REC Silicon has sufficient cash runway for 1.9 years based on current free cash flow.

REC Silicon has sufficient cash runway for 1.5 years if free cash flow continues to grow at historical rates of 21.4% each year.


Next Steps

Dividend

What is REC Silicon's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate REC Silicon's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate REC Silicon's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as REC Silicon has not reported any payouts.

Unable to verify if REC Silicon's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as REC Silicon has not reported any payouts.


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

Management

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

4.4yrs

Average management tenure


CEO

Tore Torvund (67yo)

5.8yrs

Tenure

US$950,018

Compensation

Mr. Tore Torvund has been the Chief Executive Officer and President at REC Silicon ASA since December 1, 2013. Mr. Torvund served as an Executive Vice President of REC Silicon at Renewable Energy Corporati ...


CEO Compensation Analysis

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

Tore's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.4yrs

Average Tenure

The tenure for the REC Silicon management team is about average.


Board Age and Tenure

5.8yrs

Average Tenure

57yo

Average Age

The tenure for the REC Silicon board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Tore Torvund (67yo)

    CEO & President

    • Tenure: 5.8yrs
    • Compensation: US$950.02k
  • Kurt Levens

    Senior Vice President of EG Polysilicon & Silicon Gases

    • Tenure: 3.1yrs
    • Compensation: US$45.14k
  • James May

    Chief Financial Officer

    • Tenure: 5.8yrs
    • Compensation: US$291.44k
  • Francine Sullivan

    Vice President Business Development

    • Tenure: 3.1yrs
    • Compensation: US$28.22k
  • DeeAnna Worley

    Vice President of Human Resources

    • Tenure: 0yrs

Board Members

  • Jens Ulltveit-Moe (77yo)

    Chairman of the Board

    • Tenure: 5.8yrs
    • Compensation: US$62.89k
  • Espen Klitzing (56yo)

    Director

    • Tenure: 5.8yrs
    • Compensation: US$44.03k
  • Ragnhild Wiborg (58yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: US$44.03k
  • Inger Ørstavik (45yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$44.03k

Company Information

REC Silicon ASA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: REC Silicon ASA
  • Ticker: RNWE.F
  • Exchange: OTCPK
  • Founded: 1996
  • Industry: Semiconductor Equipment
  • Sector: Semiconductors
  • Market Cap: kr1.270b
  • Listing Market Cap: kr140.378m
  • Shares outstanding: 279.82m
  • Website: https://www.recsilicon.com

Number of Employees


Location

  • REC Silicon ASA
  • Fornebuveien 84
  • PO Box 63
  • Lysaker
  • Akershus
  • 1324
  • Norway

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RECOB (Oslo Bors)YesOrdinary SharesNONOKMay 2006
R3QDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMay 2006
RNWE.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDMay 2006
0FS8LSE (London Stock Exchange)YesOrdinary SharesGBNOKMay 2006
RECOBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBNOKMay 2006
RNWE.YOTCPK (Pink Sheets LLC)UNSPONSORED ADSUSUSDOct 2008

Biography

REC Silicon ASA, together with its subsidiaries, produces and sells silicon materials for the solar and electronics industries worldwide. It offers various solar grade polysilicon for solar applications, i ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/21 23:56
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
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.