Jewett Cameron Trading Co Ltd (NASDAQ: JCTC)

Sector: Basic Materials Industry: Lumber & Wood Production CIK: 0000885307
Market Cap 6.50 Mn
P/B 0.39
P/E -0.88
P/S 0.16
ROIC (Qtr) -30.62
Div Yield % 0.00
Rev 1y % (Qtr) -6.62
Total Debt (Qtr) 4.23 Mn
Debt/Equity (Qtr) 0.25
Add ratio to table...

About

Jewett-Cameron Trading Company Ltd., or JCTCF, operates in various sectors such as industrial wood products, pet and fencing, seed processing and sales, and corporate and administration. The company's shares are publicly listed on the NASDAQ Capital Market under the ticker JCTCF. It is based in North Plains, Oregon, and is a key player in the industrial wood products, pet, fencing, and seed processing industries. JCTCF's main business activities include the processing and distribution of industrial wood products, pet products, fencing and containment...

Read more

Investment thesis

Bull case

  • Strong tangible asset base of 23.13M provides 5.46x coverage of total debt 4.23M, indicating robust asset backing and low credit risk.
  • Tangible assets of 23.13M provide robust 23.83x coverage of other current liabilities 970973, indicating strong asset backing.
  • Retained earnings of 15.15M provide strong 15.61x coverage of other current liabilities 970973, indicating earnings quality.
  • Retained earnings of 15.15M provide strong 136.30x coverage of intangibles 111181, indicating quality earnings retention.
  • Retained earnings of 15.15M represent substantial 0.90x of equity 16.84M, indicating strong internal capital generation.

Bear case

  • With cash reserves of 1.04M against inventory of 13.53M, the 0.08 cash-to-inventory ratio suggests potential liquidity risks if inventory turnover slows, particularly concerning given current supply chain volatilities.
  • The company's operating cash flow of (6.16M) shows concerning coverage of stock compensation expenses of 59926, with a -102.77 ratio indicating potential earnings quality issues.
  • Free cash flow of (6.24M) provides weak coverage of capital expenditures of 77712, with a -80.25 ratio suggesting additional external financing needs for growth initiatives.
  • Operating cash flow of (6.16M) provides minimal -13.65x coverage of tax expenses of 451073, suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating earnings of (6.67M) show weak coverage of depreciation charges of 319075, with a -20.90 ratio indicating high capital intensity and potential reinvestment needs.

Peer comparison

Companies in the Lumber & Wood Production
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 SSD Simpson Manufacturing Co., Inc. 9.01 Bn 48.59 7.29 445.81 Mn
2 UFPI Ufp Industries Inc 6.70 Bn 110.74 2.45 369.26 Mn
3 WFG West Fraser Timber Co., Ltd 5.72 Bn -6.10 1.05 300.00 Mn
4 BCC BOISE CASCADE Co 3.42 Bn -573.80 0.74 512.44 Mn
5 NWGL CL Workshop Group Ltd 0.02 Bn -2.32 1.10 -
6 JCTC Jewett Cameron Trading Co Ltd 0.01 Bn -0.88 0.16 4.23 Mn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.33 1.42
EV to Cash from Ops. EV/CFO -1.25 40.00
EV to Debt EV to Debt 1.82 11.71
EV to EBIT EV/EBIT -1.16 44.23
EV to EBITDA EV/EBITDA -1.21 14.04
EV to Free Cash Flow [EV/FCF] EV/FCF -1.24 62.95
EV to Market Cap EV to Market Cap 1.19 1.23
EV to Revenue EV/Rev 0.19 2.34
Price to Book Value [P/B] P/B 0.39 3.83
Price to Earnings [P/E] P/E -0.88 -70.63
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 1.24
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 8.42
Dividend per Basic Share Div per Share (Qtr) 0.00 0.67
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -3.42
Interest Coverage Int. cover (Qtr) -22.47 -63.26
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 43.71 4.39
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -65.91 -40.26
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -21.79
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -464.24 -3,191.72
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -322.94 -97.93
EBIT Growth (1y) % EBIT 1y % (Qtr) -271.16 -582.35
EBT Growth (1y) % EBT 1y % (Qtr) -297.07 -587.17
EPS Growth (1y) % EPS 1y % (Qtr) -500.00 -3,370.25
FCF Growth (1y) % FCF 1y % (Qtr) -1,102.14 -231.19
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -59.65 -7.21
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.75 1.25
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.08
Cash Ratio Cash Ratio (Qtr) 0.16 0.67
Current Ratio Curr Ratio (Qtr) 3.13 2.96
Debt to Equity Ratio Debt/Equity (Qtr) 0.25 -0.01
Interest Cover Ratio Int Coverage (Qtr) -22.47 -63.26
Times Interest Earned Times Interest Earned (Qtr) -22.47 -63.26
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -15.60 2.25
EBIT Margin % EBIT Margin % (Qtr) -16.39 -8.33
EBT Margin % EBT Margin % (Qtr) -17.12 -9.24
Gross Margin % Gross Margin % (Qtr) 8.60 19.48
Net Profit Margin % Net Margin % (Qtr) -18.20 -9.98