OTCPK:HYHD.F

Stock Analysis Report

Executive Summary

Hydro66 Holdings Corp. operates as a datacenter company in the United Kingdom, the United States, Canada, and rest of Europe.


Snowflake Analysis

Imperfect balance sheet and overvalued.

Share Price & News

How has Hydro66 Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

11.3%

HYHD.F

-12.1%

US IT

-10.6%

US Market


1 Year Return

-53.6%

HYHD.F

16.7%

US IT

5.2%

US Market

Return vs Industry: HYHD.F underperformed the US IT industry which returned 16.7% over the past year.

Return vs Market: HYHD.F underperformed the US Market which returned 5.2% over the past year.


Shareholder returns

HYHD.FIndustryMarket
7 Day11.3%-12.1%-10.6%
30 Day-6.8%-9.0%-8.5%
90 Day-7.3%-2.0%-4.6%
1 Year-53.6%-53.6%17.9%16.7%7.4%5.2%
3 Yearn/a82.2%74.4%31.7%23.2%
5 Yearn/a119.6%100.4%56.4%39.3%

Price Volatility Vs. Market

How volatile is Hydro66 Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Hydro66 Holdings undervalued compared to its fair value and its price relative to the market?

2x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate HYHD.F's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate HYHD.F's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: HYHD.F is unprofitable, so we can't compare its PE Ratio to the IT industry average.

PE vs Market: HYHD.F is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: HYHD.F is good value based on its PB Ratio (2x) compared to the US IT industry average (3.9x).


Next Steps

Future Growth

How is Hydro66 Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.8%

Forecasted Software 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 Hydro66 Holdings 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

  • Take a look at our analysis of HYHD.F’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Hydro66 Holdings's filings and announcements here.
  • Explore growth companies in the Software industry.

Past Performance

How has Hydro66 Holdings performed over the past 5 years?

-80.5%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: HYHD.F is currently unprofitable.

Growing Profit Margin: HYHD.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if HYHD.F's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: HYHD.F is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (12%).


Return on Equity

High ROE: HYHD.F has a negative Return on Equity (-50.49%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Hydro66 Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: HYHD.F's short term assets (CA$1.7M) exceed its short term liabilities (CA$1.6M).

Long Term Liabilities: HYHD.F's short term assets (CA$1.7M) do not cover its long term liabilities (CA$4.5M).


Debt to Equity History and Analysis

Debt Level: HYHD.F's debt to equity ratio (22.6%) is considered satisfactory.

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


Balance Sheet

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

Debt Coverage by Assets: HYHD.F's debt is not covered by short term assets (assets are 0.6x 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.

Stable Cash Runway: HYHD.F has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: HYHD.F has less than a year of cash runway if free cash flow continues to reduce at historical rates of -21.6% each year


Next Steps

Dividend

What is Hydro66 Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.6%markettop25%4.1%industryaverage1.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if HYHD.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 HYHD.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?

0.5yrs

Average management tenure


CEO

David Rowe (61yo)

0.4yrs

Tenure

CA$131,000

Compensation

Mr. David Stanley Rowe serves as Chief Executive Officer of Hydro66 Holdings Corp. since September 2019. Mr. Rowe serves as the Chief Executive Officer and Managing Partner at Black Green Capital. Mr. Rowe ...


Leadership Team

NamePositionTenureCompensationOwnership
David Rowe
CEO & Chairman0.4yrsCA$131.00k39.21% CA$7.1m
Alex Johnstone
Chief Financial Officer0.7yrsno datano data
Madelene Ridefors
Accounting Manager0yrsno datano data
Eddy Löving
Group Accounting Manager0.4yrsno datano data
Christiaan Keet
Technology Director0yrsno datano data
Jason Atkinson
Director of Corporate Development0yrsno datano data
Magnus Nilsson
Director of Sales0.7yrsno datano data
Klas Dagertun
Head of Finance0yrsno datano data
Nick DeMare
Corporate Secretary0yrsno datano data
Linus Styrman
Financial Controller0yrsno datano data

0.5yrs

Average Tenure

Experienced Management: HYHD.F's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
David Rowe
CEO & Chairman0.4yrsCA$131.00k39.21% CA$7.1m
Richard Croft
Independent Director1.7yrsCA$196.00k1.75% CA$316.8k
Michael Hudson
Independent Director1.7yrsno datano data
Richard Patricio
Independent Director1.7yrsno data0.014% CA$2.6k

1.7yrs

Average Tenure

52.5yo

Average Age

Experienced Board: HYHD.F's board of directors are not considered experienced ( 1.7 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 been substantially diluted in the past year, with total shares outstanding growing by 72.2%.


Top Shareholders

Company Information

Hydro66 Holdings Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hydro66 Holdings Corp.
  • Ticker: HYHD.F
  • Exchange: OTCPK
  • Founded:
  • Industry: Internet Services and Infrastructure
  • Sector: Software
  • Market Cap: CA$24.170m
  • Listing Market Cap: CA$18.089m
  • Shares outstanding: 130.65m
  • Website: https://www.hydro66.com

Number of Employees


Location

  • Hydro66 Holdings Corp.
  • 15 Percy Street
  • London
  • Greater London
  • W1T 1DS
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SIXCNSX (Canadian National Stock Exchange)YesCommon StockCACADJun 2018
5CRDB (Deutsche Boerse AG)YesCommon StockDEEURJun 2018
HYHD.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJun 2018

Biography

Hydro66 Holdings Corp. operates as a datacenter company in the United Kingdom, the United States, Canada, and rest of Europe. It provides colocation and digital currency transaction verification services to system integrators, enterprise business, and cloud hosting and HPC Blockchain companies. The company is headquartered in London, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 02:16
End of Day Share Price2020/02/27 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.