OTCPK:TCII.F

Stock Analysis Report

Executive Summary

Tracsis plc, together with its subsidiaries, provides software development and consultancy services for the rail industry.


Snowflake Analysis

Flawless balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

TCII.F

1.4%

US Software

0.06%

US Market


1 Year Return

n/a

TCII.F

43.7%

US Software

19.4%

US Market

Return vs Industry: Insufficient data to determine how TCII.F performed against the US Software industry.

Return vs Market: Insufficient data to determine how TCII.F performed against the US Market.


Shareholder returns

TCII.FIndustryMarket
7 Day0%1.4%0.06%
30 Dayn/a8.2%1.1%
90 Dayn/a19.0%8.9%
1 Yearn/a45.2%43.7%21.9%19.4%
3 Yearn/a154.0%143.2%48.9%39.3%
5 Yearn/a224.9%201.4%71.9%53.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

44.43x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TCII.F ($10.17) is trading above our estimate of fair value ($5.32)

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


Price To Earnings Ratio

PE vs Industry: TCII.F is good value based on its PE Ratio (44.4x) compared to the Software industry average (49.8x).

PE vs Market: TCII.F is poor value based on its PE Ratio (44.4x) compared to the US market (18.3x).


Price to Earnings Growth Ratio

PEG Ratio: TCII.F is poor value based on its PEG Ratio (11.1x)


Price to Book Ratio

PB vs Industry: TCII.F is good value based on its PB Ratio (4.7x) compared to the US Software industry average (6x).


Next Steps

Future Growth

How is Tracsis forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

4.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TCII.F's forecast earnings growth (4% per year) is above the savings rate (1.7%).

Earnings vs Market: TCII.F's earnings (4% per year) are forecast to grow slower than the US market (14.2% per year).

High Growth Earnings: TCII.F's earnings are forecast to grow, but not significantly.

Revenue vs Market: TCII.F's revenue (5.9% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: TCII.F's revenue (5.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TCII.F's Return on Equity is forecast to be low in 3 years time (13.8%).


Next Steps

Past Performance

How has Tracsis performed over the past 5 years?

16.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TCII.F has high quality earnings.

Growing Profit Margin: TCII.F's current net profit margins (10.3%) are lower than last year (18.2%).


Past Earnings Growth Analysis

Earnings Trend: TCII.F's earnings have grown by 16.1% per year over the past 5 years.

Accelerating Growth: TCII.F's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TCII.F had negative earnings growth (-30%) over the past year, making it difficult to compare to the Software industry average (18.4%).


Return on Equity

High ROE: TCII.F's Return on Equity (10.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Tracsis's financial position?


Financial Position Analysis

Short Term Liabilities: TCII.F's short term assets (£34.2M) exceed its short term liabilities (£18.6M).

Long Term Liabilities: TCII.F's short term assets (£34.2M) exceed its long term liabilities (£11.5M).


Debt to Equity History and Analysis

Debt Level: TCII.F is debt free.

Reducing Debt: TCII.F has not had any debt for past 5 years.

Debt Coverage: TCII.F has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: TCII.F has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if TCII.F's debt is covered by short term assets.


Next Steps

Dividend

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

0.23%

Current Dividend Yield


Dividend Yield vs Market

company0.2%marketbottom25%1.4%markettop25%3.7%industryaverage1.1%forecastin3Years0.3%

Current dividend yield vs market & industry

Notable Dividend: TCII.F's dividend (0.23%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: TCII.F's dividend (0.23%) is low compared to the top 25% of dividend payers in the US market (3.7%).


Stability and Growth of Payments

Stable Dividend: TCII.F is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: TCII.F is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: TCII.F is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TCII.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?

3.4yrs

Average management tenure


CEO

Chris Barnes (44yo)

0.8yrs

Tenure

UK£150,000

Compensation

Mr. Christopher Matthew Barnes, also known as Chris, serves as Chief Executive Officer and Director at Tracsis plc since May 1, 2019. He is the Managing Director of Ricardo UK Limited's automotive consulti ...


CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD195.39K) is below average for companies of similar size in the US market ($USD1.11M).

Compensation vs Earnings: Insufficient data to compare Chris's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Christopher Barnes
CEO & Executive Director0.8yrsUK£150.00kno data
Maxwell Cawthra
CFO, Company Secretary & Executive Director8.5yrsUK£229.00k0.58% £1.7m
Raymond Kwan
Founder & Chief Technical Officer0yrsUK£21.00kno data
Andrew Whawell
Managing Director of Condition Monitoring0yrsno datano data
Alan Wilson
Member of Advisory Board & Divisional MD6.9yrsno datano data
Alexander Johnson
Managing Director of Traffic & Data Services3.4yrsno datano data
Alex Sarginson
Managing Director of Operations & Planning Systems3.3yrsno datano data

3.4yrs

Average Tenure

52yo

Average Age

Experienced Management: TCII.F's management team is considered experienced (3.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Christopher Barnes
CEO & Executive Director0.8yrsUK£150.00kno data
Maxwell Cawthra
CFO, Company Secretary & Executive Director8.5yrsUK£229.00k0.58% £1.7m
Alan Wilson
Member of Advisory Board & Divisional MD6.9yrsno datano data
Christopher Cole
Independent Non-Executive Chairman5.8yrsUK£50.00k0.024% £72.0k
Elizabeth Richards
Independent Non-Executive Director3.4yrsUK£28.00kno data
Robert Watson
Member of Advisory Board6.9yrsUK£44.00kno data
Nigel Pennington
Member of Advisory Board6.9yrsno datano data
Lisa Charles-Jones
Independent Non-Executive Director3.5yrsUK£28.00kno data
Macdonald Andrade
Independent Non-Executive Director1.3yrsUK£19.00k0.014% £42.4k

5.8yrs

Average Tenure

53.5yo

Average Age

Experienced Board: TCII.F's board of directors are considered experienced (5.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: TCII.F 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

Tracsis plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tracsis plc
  • Ticker: TCII.F
  • Exchange: OTCPK
  • Founded: 2004
  • Industry: Application Software
  • Sector: Software
  • Market Cap: UK£227.683m
  • Listing Market Cap: UK£296.583m
  • Shares outstanding: 28.82m
  • Website: https://www.tracsis.com

Number of Employees


Location

  • Tracsis plc
  • Nexus
  • Discovery Way
  • Leeds
  • West Yorkshire
  • LS2 3AA
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TRCSAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPNov 2007
TCII.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDNov 2007

Biography

Tracsis plc, together with its subsidiaries, provides software development and consultancy services for the rail industry. It operates in two segments, Rail Technology and Services, and Traffic & Data Services. The Rail Technology & Services segment provides operational software products covering timetabling, resource and rolling stock planning and optimization, real time performance and control, service recovery, retail services, delay attribution, and delay repay; and infrastructure software products that are used to collect, manage, visualize, and analyze rail asset information. This segment also offers rail approved data loggers and sensors to monitor asset performance and predict failure modes; and rail operations consultancy and training covering operational planning and modeling, franchise and concession support, data capture and evaluation, and bespoke software tool development, as well as hosting services. The Traffic & Data Services segment provides transport data collection for various travel modes using ANPR, video and mobile network data, manual survey methods, big data sources, and AI technology; transport related advisory services and transport solutions; software-delivered passenger research and statistical analysis for transport operators; and location analytics. This segment also offers event transport management covering planning, control, consultancy, signage, CSAS/PATO, and car parking. The company serves transport operators, transport authorities, and infrastructure operators, as well as event organizers in the United Kingdom, North America, and internationally. Tracsis plc was founded in 2004 and is headquartered in Leeds, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 01:33
End of Day Share Price2020/02/07 00:00
Earnings2019/07/31
Annual Earnings2019/07/31


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.