ACQ:CA:TSX-AutoCanada Inc (CAD)

COMMON STOCK | Auto & Truck Dealerships | TSX

Last Closing Price

CAD 5.16

Change

-0.17 (-3.19)%

Market Cap

CAD 0.15B

Volume

0.11M

Average Target Price

CAD 9.60 (+86.05%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

AutoCanada Inc., through its subsidiaries, operates franchised automobile dealerships in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, Nova Scotia, and New Brunswick. The company offers a range of automotive products and services, including new and used vehicles, vehicle leasing, vehicle parts, vehicle maintenance and collision repair services, extended service contracts, vehicle protection products, and other after-market products. It also arranges financing and insurance for vehicle purchases by its customers through third-party finance and insurance sources. The company sells its vehicles under the Chrysler, Dodge, Jeep, Ram, Alfa Romeo, Fiat, Chevrolet, GMC, Buick, Cadillac, Infiniti, Nissan, Hyundai, Subaru, Mitsubishi, Audi, Volkswagen, Kia, Mazda, Mercedes-Benz, BMW, MINI, and other brands. As of December 31, 2018, it operated 68 dealerships, representing 77 franchises in Canada, as well as in Illinois, the United States. AutoCanada Inc. has a strategic partnership with DealerMine Inc. AutoCanada Inc. was incorporated in 2009 and is headquartered in Edmonton, Canada.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2020-03-30 )

Largest Industry Peers for Auto & Truck Dealerships

ETFs Containing ACQ:CA

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Auto & Truck Dealerships)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -58.35% 100% A+ 8% F
Dividend Return N/A N/A N/A N/A N/A
Total Return -58.35% 100% A+ 8% F
Trailing 12 Months  
Capital Gain -51.64% 100% A+ 18% F
Dividend Return 2.81% 100% A+ 81% B-
Total Return -48.83% 100% A+ 19% F
Trailing 5 Years  
Capital Gain -83.71% 100% A+ 12% F
Dividend Return 8.21% 100% A+ 28% F
Total Return -75.50% 100% A+ 13% F
Average Annual (5 Year Horizon)  
Capital Gain -18.61% 100% A+ 5% F
Dividend Return 2.39% 100% A+ 56% F
Total Return -16.23% 100% A+ 6% F
Risk Return Profile  
Volatility (Standard Deviation) 25.31% 100% A+ 33% F
Risk Adjusted Return -64.12% 100% A+ 5% F
Market Capitalization 0.15B 100% A+ 51% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Auto & Truck Dealerships)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 5.40 100% A+ 84% B
Price/Book Ratio 0.41 100% A+ 75% C
Price / Cash Flow Ratio 1.37 100% A+ 73% C
EV/EBITDA 14.99 100% A+ 15% F
Management Effectiveness  
Return on Equity -6.71% 100% A+ 27% F
Return on Invested Capital 12.36% 100% A+ 81% B-
Return on Assets 2.79% 100% A+ 60% D-
Debt to Equity Ratio 62.07% 100% A+ 44% F
Technical Ratios  
Short Ratio 15.45 100% A+ 4% F
Short Percent N/A N/A N/A N/A N/A
Beta 2.41 100% A+ 6% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Superior risk adjusted returns

This stock has performed well, on a risk adjusted basis, compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

High dividend returns

The stock has outperformed its sector peers on average annual dividend returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile. This can be a good buy, especially if it is outperforming on total return basis , for investors seeking high income yields.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced on cashflow basis

The stock is trading low compared to its peers on a price to cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters then its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Low debt

The company is less leveraged than its peers ,, and is among the top quartile, which makes it more flexible. However, do check the news and look at its sector. Sometimes this is low because the company is not growing and has no growth potential.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

Superior Revenue Growth

This stock has shown top quartile revenue growth in the previous 5 years compared to its sector.

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.