Acadian Timber Corp. (ADN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Acadian Timber Corp.

Atlas Engineered Products Ltd.

Stella-Jones, Inc.

Interfor Corp.

West Fraser Timber Co. Ltd.

G2 Energy Corp.

Western Forest Products, Inc.

Canfor Corp.

GreenFirst Forest Products, Inc.

Conifex Timber, Inc.

Maple Leaf Green World, Inc.

Why is Acadian Timber Corp. ?

With a fall in Net Profit of -27.11%, the company declared Very Negative results in Jun 25

OPERATING CASH FLOW(Y) Lowest at CAD 6.99 MM
ROCE(HY) Lowest at 4.24%
INTEREST COVERAGE RATIO(Q) Lowest at 213.19

Below par performance in long term as well as near term

Along with generating -2.27% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Acadian Timber Corp. should be less than 10%
Overall Portfolio exposure to Paper, Forest & Jute Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paper, Forest & Jute Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Acadian Timber Corp. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Acadian Timber Corp.

-100.0%

2.80

13.05%

S&P/TSX 60

21.87%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.91%

EBIT Growth (5y)

-8.55%

EBIT to Interest (avg)

6.24

Debt to EBITDA (avg)

5.09

Net Debt to Equity (avg)

0.33

Sales to Capital Employed (avg)

0.23

Tax Ratio

28.70%

Dividend Payout Ratio

43.01%

Pledged Shares

Institutional Holding

0.07%

ROCE (avg)

4.87%

ROE (avg)

4.60%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.87

EV to EBIT

31.33

EV to EBITDA

27.45

EV to Capital Employed

0.90

EV to Sales

4.80

PEG Ratio

Dividend Yield

2.20%

ROCE (Latest)

2.86%

ROE (Latest)

2.08%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

ROCE(HY)

Highest at 14.02%

RAW MATERIAL COST(Y)

Fallen by -6.97% (YoY

OPERATING PROFIT(Q)

Highest at CAD 4.75 MM

OPERATING PROFIT MARGIN(Q)

Highest at 21.63 %

PRE-TAX PROFIT(Q)

At CAD 3.56 MM has Grown at 56.21%

EPS(Q)

Highest at CAD 2.17

-17What is not working for the Company

NET PROFIT(9M)

At CAD 4.92 MM has Grown at -51.64%

INTEREST(HY)

At CAD 2.13 MM has Grown at 55.27%

OPERATING CASH FLOW(Y)

Lowest at CAD 6.82 MM

NET SALES(9M)

At CAD 62.12 MM has Grown at -28.9%

DIVIDEND PAYOUT RATIO(Y)

Lowest at 13.35%

DEBTORS TURNOVER RATIO(HY)

Lowest at 0 times

Here's what is working for Acadian Timber Corp.

Operating Profit

Highest at CAD 4.75 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CAD MM)

Operating Profit Margin

Highest at 21.63 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

At CAD 3.56 MM has Grown at 56.21%

over average net sales of the previous four periods of CAD 2.28 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CAD MM)

EPS

Highest at CAD 2.17

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CAD)

Raw Material Cost

Fallen by -6.97% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Acadian Timber Corp.

Interest

At CAD 2.13 MM has Grown at 55.27%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Net Profit

At CAD 4.92 MM has Grown at -51.64%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (CAD MM)

Net Sales

At CAD 62.12 MM has Grown at -28.9%

Year on Year (YoY)

MOJO Watch

Near term sales trend is negative

Net Sales (CAD MM)

Operating Cash Flow

Lowest at CAD 6.82 MM

in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (CAD MM)

Debtors Turnover Ratio

Lowest at 0 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Dividend Payout Ratio

Lowest at 13.35%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)