I have used the analysis tools on the website stockcalc.com to generate some of the content of this blog post. These tools and reports are available for free at www.stockcalc.com/TopPicks.aspx.
Trading at Less than Cash Value
Today we are looking at companies trading at less than cash value meaning companies whose current share price is less than the cash per share on the balance sheet. We also show the value of cash net debt per share to show how much cash per share would be left if the debt was paid off.
What this Means…
Companies can have more cash per share than the actual share price for a number of reasons including they just raised capital, are in industries that experience high burn rates and will eat through the cash quickly or if there is a lot of uncertainty about the future of the company. Companies earning a positive net income will have a P/E greater than 0 and are worth exploring in more detail.
Today’s Data on TSE
Today’s data is for companies listed on the Toronto Stock Exchange.
| Symbol | Name | Close Price | Shares Outstanding | P/E | P/B | Cash per Share | Net Cash per Share |
|---|---|---|---|---|---|---|---|
| GMP | GMP Capital Inc | 4.390000 | 89868671 | None | 1.7763 | 4.71 | 3.99 |
| TRZ | Transat A.T. Inc | 5.100000 | 36859165 | None | 0.4048 | 9.87 | 13.98 |
| LTS | Lightstream Resources Ltd | 0.115000 | 198992000 | None | None | 0.20 | -1.60 |
| ZAR | Zargon Oil & Gas Ltd | 0.700000 | 30607000 | None | 0.4132 | 0.90 | -1.92 |
| RMX | Rubicon Minerals Corp | 0.045000 | 394928246 | None | None | 0.06 | -0.15 |
| CZQ | Continental Precious Minerals Inc | 0.275000 | 11706896 | None | 0.5699 | 0.48 | None |
| GII.UN | Global Diversified Investment Grade Income Trust II | 0.210000 | 9778651 | 10.5000 | 0.7582 | 0.26 | None |
| LRT.UN | Lanesborough Real Estate Investment Trust | 0.055000 | 20557320 | None | 0.1848 | 0.06 | -11.73 |
| PNC.B | Postmedia Network Canada Corp | 0.600000 | 1874639 | None | None | 9.14 | -339.27 |
| PNC.A | Postmedia Network Canada Corp | 0.530000 | 1874639 | None | None | 9.14 | -339.27 |
| MNT | Royal Canadian Mint | 16.050000 | 4000 | 0.0017 | 0.0002 | 23651.75 | 11260.75 |
| MNS | Royal Canadian Mint | 12.850000 | 4000 | 0.0013 | 0.0002 | 23651.75 | 11260.75 |
| CSF | Cash Store Financial Services Inc | 0.135000 | 17571813 | None | None | 0.60 | -7.59 |
| STP | Southern Pacific Resources Corp | 0.005000 | 397959000 | None | None | 0.07 | -1.38 |
Let’s look at a few companies…
Lets look at a couple of the companies on this list to get a better understanding of them.
GMP:TSE GMP Capital
http://www.gmpcapitaltrust.com
GMP Capital has 313 employees and is headquartered in Canada.
GMP Capital Inc is a Canadian independent investment dealer serving corporate, institutional and individual clients. The Company’s integrated business segments include: Capital Markets and Wealth Management.
TRZ:TSE Transat A.T.
http://www.transat.com
Transat A.T. has 5000 employees and is headquartered in Canada.
Transat A.T. Inc is an integrated international tour operator in the Americas. It conducts its activities in the holiday travel industry and markets its products in the Americas and Europe.
Free Valuation
Run a valuation on any of the companies listed above at www.stockcalc.com/valureport.aspx.
The content presented here is in part from the website stockcalc.com and is provided on an as is or as available basis with all faults and may not be current in all cases. You should not rely on any of the information as authoritative or as a substitute for the exercise of your own skill and judgment in making an investment decision.