CHW:CA:TSX-Chesswood Group Limited (CAD)

COMMON STOCK | Credit Services | TSX

Last Closing Price

CAD 12.53

Change

-0.05 (-0.40)%

Market Cap

CAD 0.20B

Volume

0.02M

Average Target Price

CAD 12.33 (-1.57%)
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict

About

Chesswood Group Limited, a financial services company, operates primarily in the specialty finance industry. The company offers micro and small-ticket commercial equipment financing to small and medium-sized businesses through a network of approximately 600 independent equipment finance broker firms and equipment vendors in the United States; and commercial equipment financing to small and medium businesses through a network of approximately 50 independent equipment finance broker firms in Canada. The company was formerly known as Chesswood Income Fund and changed its name to Chesswood Group Limited in January 2011. Chesswood Group Limited was founded in 1982 and is headquartered in Toronto, Canada.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-05-05 )

Largest Industry Peers for Credit Services

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
GSY:CA goeasy Ltd

+4.71 (+3.20%)

CAD2.18B 16.81 10.12
ECN:CA ECN Capital Corp

-0.14 (-1.65%)

CAD2.07B 44.23 30.49
ECN-PC:CA ECN Capital Corp

+0.10 (+0.40%)

CAD1.24B N/A N/A
ACD:CA Accord Financial Corp

+0.23 (+2.98%)

CAD0.07B 157.55 24.50
CRWN:CA Crown Capital Partners Inc

N/A

CAD0.05B 15.77 N/A

ETFs Containing CHW:CA

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Credit Services)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain 37.54% 80% B- 89% B+
Dividend Return 0.88% 100% A+ 52% F
Total Return 38.42% 80% B- 89% B+
Trailing 12 Months  
Capital Gain 140.96% 80% B- 90% A-
Dividend Return 2.31% 25% F 41% F
Total Return 143.27% 80% B- 90% A-
Trailing 5 Years  
Capital Gain 25.43% 67% D+ 53% F
Dividend Return 33.48% 100% A+ 93% A
Total Return 58.91% 67% D+ 66% D
Average Annual (5 Year Horizon)  
Capital Gain -7.39% 40% F 12% F
Dividend Return 6.47% 100% A+ 96% A
Total Return -0.93% 60% D- 18% F
Risk Return Profile  
Volatility (Standard Deviation) 36.96% 40% F 24% F
Risk Adjusted Return -2.52% 60% D- 21% F
Market Capitalization 0.20B 50% F 43% F
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-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
(Credit Services)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 6.27 100% A+ 80% B-
Price/Book Ratio 1.57 60% D- 57% F
Price / Cash Flow Ratio 2.56 67% D+ 74% C
EV/EBITDA 24.79 50% F 22% F
Management Effectiveness  
Return on Equity -5.73% 17% F 30% F
Return on Invested Capital -0.65% 17% F 40% F
Return on Assets -0.97% 17% F 30% F
Debt to Equity Ratio 495.26% 17% F 2% F
Technical Ratios  
Short Ratio 10.46 20% F 8% F
Short Percent N/A N/A N/A N/A N/A
Beta 2.73 17% F 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:
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.

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.

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.

What to not like:
Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

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.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Dividend Growth

This stock has shown below median dividend growth in the previous 5 years compared to its sector.