OTCPK:PVVT.F

Stock Analysis Report

Pivot Technology Solutions

Executive Summary

Pivot Technology Solutions, Inc. provides IT services and solutions in North America and Europe.


Snowflake Analysis

Mediocre balance sheet unattractive dividend payer.


Similar Companies

Share Price & News

How has Pivot Technology Solutions's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.2%

PVVT.F

-4.6%

US IT

-4.2%

US Market


1 Year Return

58.9%

PVVT.F

29.5%

US IT

14.0%

US Market

Return vs Industry: PVVT.F exceeded the US IT industry which returned 34.7% over the past year.

Return vs Market: PVVT.F exceeded the US Market which returned 17.8% over the past year.


Shareholder returns

PVVT.FIndustryMarket
7 Day-0.2%-4.6%-4.2%
30 Day-1.1%-0.4%-1.8%
90 Day10.3%7.4%2.6%
1 Year72.3%58.9%30.9%29.5%16.3%14.0%
3 Year48.7%11.0%101.3%92.6%43.2%34.0%
5 Year132.0%32.8%137.9%116.7%65.9%47.6%

Price Volatility Vs. Market

How volatile is Pivot Technology Solutions's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Pivot Technology Solutions undervalued compared to its fair value and its price relative to the market?


Share Price vs. Fair Value

Below Fair Value: PVVT.F ($1.42) is trading above our estimate of fair value ($0.21)

Significantly Below Fair Value: PVVT.F is trading above our estimate of fair value.


Price To Earnings Ratio

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

PE vs Market: PVVT.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 PVVT.F's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: PVVT.F has negative assets, so we can't compare its PB Ratio to the US IT industry average.


Next Steps

Future Growth

How is Pivot Technology Solutions forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

1.5%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if PVVT.F's forecast earnings growth is above the savings rate (1.7%).

Earnings vs Market: Insufficient data to determine if PVVT.F's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PVVT.F's revenue (1.5% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: PVVT.F's revenue (1.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if PVVT.F's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Pivot Technology Solutions performed over the past 5 years?

-44.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PVVT.F is currently unprofitable.

Growing Profit Margin: PVVT.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PVVT.F is unprofitable, and losses have increased over the past 5 years at a rate of -44.2% per year.

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

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


Return on Equity

High ROE: PVVT.F has a negative Return on Equity (-198.33%), as it is currently unprofitable.


Next Steps

Financial Health

How is Pivot Technology Solutions's financial position?


Financial Position Analysis

Short Term Liabilities: PVVT.F's short term assets ($326.4M) do not cover its short term liabilities ($403.7M).

Long Term Liabilities: PVVT.F's short term assets ($326.4M) exceed its long term liabilities ($28.8M).


Debt to Equity History and Analysis

Debt Level: PVVT.F's debt to equity ratio (10378.1%) is considered high.

Reducing Debt: PVVT.F's debt to equity ratio has increased from 466% to 10378.1% over the past 5 years.


Balance Sheet

Inventory Level: PVVT.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: PVVT.F's debt is covered by short term assets (assets are 2.4x 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: PVVT.F has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: PVVT.F has sufficient cash runway for 1.7 years if free cash flow continues to grow at historical rates of 23.4% each year.


Next Steps

Dividend

What is Pivot Technology Solutions's current dividend yield, its reliability and sustainability?

8.89%

Current Dividend Yield


Upcoming Dividend Payment

TodayFeb 25 2020Ex Dividend DateFeb 27 2020Dividend Pay DateMar 16 202018 days from Ex DividendBuy in the next 2 days to receive upcoming dividend

Dividend Yield vs Market

Notable Dividend: PVVT.F's dividend (8.44%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: PVVT.F's dividend (8.44%) is in the top 25% of dividend payers in the US market (3.73%)


Stability and Growth of Payments

Stable Dividend: PVVT.F has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: PVVT.F's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: PVVT.F is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

2.7yrs

Average management tenure


CEO

Kevin Shank 0

3.8yrs

Tenure

US$641,661

Compensation

Mr. Kevin A. Shank has been the Chief Executive Officer of Pivot Technology Solutions, Inc. since May 1, 2016 and has also been its President since January 12, 2016. Mr. Shank joined Services at CompuCom S ...


CEO Compensation Analysis

Compensation vs Market: Kevin's total compensation ($USD641.66K) is about average for companies of similar size in the US market ($USD521.92K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Kevin Shank
President3.8yrsUS$641.66k0.48% $267.6k
David Toews
Chief Financial Officer2.7yrsUS$322.85k0.19% $106.5k
Matt Olson
Chief Operating Officer1.3yrsUS$394.29k0.062% $34.6k
Matthew Girardot
Chief Legal Officer2.7yrsUS$367.86k0.057% $31.9k
Scott Ward
Chief Revenue Officer2.3yrsUS$553.12kno data
Mike Flanagan
CIO & CTO2.1yrsno data0.059% $33.4k
Bill Mitoulas
Head of Investor Relations0yrsno datano data
Wendy Coticchia
Chief Compliance Officer0yrsno data0.018% $10.3k
John Flores
Vice President of Marketing5.5yrsno datano data
Mary Tullao
Vice President and Corporate Controller0yrsno data0.11% $63.5k

2.7yrs

Average Tenure

Experienced Management: PVVT.F's management team is considered experienced (2.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Kevin Shank
President3.8yrsUS$641.66k0.48% $267.6k
Matthew Girardot
Chief Legal Officer2.7yrsUS$367.86k0.057% $31.9k
M. Smith
Independent Director2.7yrsUS$130.61k0.14% $78.3k
Christopher Formant
Independent Director0.8yrsno datano data
Stephen Moore
Independent Director8.1yrsUS$122.35k0.039% $22.0k
Wade Dawe
Chairman of the Board4.1yrsUS$135.27k0.33% $187.0k
Vic Bhagat
Director0.7yrsno datano data

2.7yrs

Average Tenure

64.5yo

Average Age

Experienced Board: PVVT.F's board of directors are not considered experienced ( 2.7 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Pivot Technology Solutions, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pivot Technology Solutions, Inc.
  • Ticker: PVVT.F
  • Exchange: OTCPK
  • Founded: 2010
  • Industry: IT Consulting and Other Services
  • Sector: Software
  • Market Cap: CA$74.558m
  • Listing Market Cap: CA$56.173m
  • Shares outstanding: 39.45m
  • Website: https://www.pivotts.com

Number of Employees


Location

  • Pivot Technology Solutions, Inc.
  • 55 Renfrew Drive
  • Suite 200
  • Markham
  • Ontario
  • L3R 8H3
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PTGTSX (The Toronto Stock Exchange)YesCommon SharesCACADApr 2013
PVVT.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 2013
PV9NDB (Deutsche Boerse AG)YesCommon SharesDEEURApr 2013
PTGTSXV (TSX Venture Exchange)YesCommon SharesCACADApr 2013

Biography

Pivot Technology Solutions, Inc. provides IT services and solutions in North America and Europe. The company operates through ACS, ARC, ProSys, Sigma, and TeraMach segments. The ACS segment provides IT solutions and system integration services that include IT solutions focused on enterprise infrastructures, such as systems, storage, security, networking, and compliance; and IT services that enable businesses to optimize their IT infrastructure and enhance mission-critical processes. The ARC segment offers analysis, planning, design, procurement, installation, and consultation services to end users, as well as to suppliers of the State of Texas Department of Information Resources program. The ProSys segment provides IT hardware, software, and professional services to enterprise, public sector, and educational customers. The Sigma segment offers advisory, implementation, and maintenance services of enterprise data centres; centered on private cloud; and mobility and managed services. The TeraMach segment provides technical solutions and various other related services, as well as staffing and cloud expertise services to governments, the public sector, and commercial enterprises. Pivot Technology Solutions, Inc. was founded in 2010 and is headquartered in Markham, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 01:21
End of Day Share Price2020/02/24 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.