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Cardinal Energy

TSX:CJ
Snowflake Description

Mediocre balance sheet with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CJ
TSX
CA$48M
Market Cap
  1. Home
  2. CA
  3. Energy
Company description

Cardinal Energy Ltd. engages in the acquisition, exploration, and production of petroleum and natural gas in the provinces of Alberta and Saskatchewan, Canada. The last earnings update was 11 days ago. More info.


Add to Portfolio Compare Print
  • Cardinal Energy has significant price volatility in the past 3 months.
CJ Share Price and Events
7 Day Returns
15.3%
TSX:CJ
15.2%
CA Oil and Gas
11.4%
CA Market
1 Year Returns
-84.6%
TSX:CJ
-41.5%
CA Oil and Gas
-22%
CA Market
CJ Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Cardinal Energy (CJ) 15.3% -78% -83.7% -84.6% -94.3% -97.2%
CA Oil and Gas 15.2% -37.6% -42.4% -41.5% -49.8% -53.6%
CA Market 11.4% -22.2% -23.5% -22% -19.8% -13.3%
1 Year Return vs Industry and Market
  • CJ underperformed the Oil and Gas industry which returned -41.5% over the past year.
  • CJ underperformed the Market in Canada which returned -22% over the past year.
Price Volatility
CJ
Industry
5yr Volatility vs Market

Value

 Is Cardinal Energy undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Cardinal Energy to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Cardinal Energy.

TSX:CJ Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Dividend Discount Model
Dividend Per Share Company Filings (2019-12-31) in CAD CA$ 0.048
Payout Ratio Company Filings (2019-12-31) -4828.4%
Discount Rate (Cost of Equity) See below 8.1%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSX:CJ
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.4%
Equity Risk Premium S&P Global 5.4%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.83
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.825 (1 + (1- 26.5%) (465.39%))
1.216
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.22
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.44% + (1.216 * 5.44%)
8.05%

Discounted Cash Flow Calculation for TSX:CJ using Dividend Discount Model Model

The calculations below outline how an intrinsic value for Cardinal Energy is arrived at by discounting future dividends to their present value. This approach is used for finance firms where free cash flow is difficult to estimate (e.g. Banks/ Insurance firms).

If the firm does not pay the majority of its earnings out as a dividend this method will often arrive at a value significantly lower than the share price.

See our documentation to learn about this calculation.

TSX:CJ Gordon Growth Model
Calculation Result
Value per share = Expected dividends per share / (Discount Rate - Perpetual growth rate)
= CA$0.05 / (8.05% - 1.44%)
CA$0.32
TSX:CJ Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$0.32
Current discount Discount to share price of CA$0.42
= -1 x (CA$0.42 - CA$0.32) / CA$0.32
-30.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Cardinal Energy is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Cardinal Energy's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Cardinal Energy's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:CJ PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in CAD CA$-0.30
TSX:CJ Share Price ** TSX (2020-03-27) in CAD CA$0.42
Canada Oil and Gas Industry PE Ratio Median Figure of 55 Publicly-Listed Oil and Gas Companies 6.35x
Canada Market PE Ratio Median Figure of 499 Publicly-Listed Companies 10.74x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Cardinal Energy.

TSX:CJ PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:CJ Share Price ÷ EPS (both in CAD)

= 0.42 ÷ -0.30

-1.39x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cardinal Energy is loss making, we can't compare its value to the CA Oil and Gas industry average.
  • Cardinal Energy is loss making, we can't compare the value of its earnings to the Canada market.
Price based on expected Growth
Does Cardinal Energy's expected growth come at a high price?
Raw Data
TSX:CJ PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -1.39x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
Not available
Canada Oil and Gas Industry PEG Ratio Median Figure of 29 Publicly-Listed Oil and Gas Companies -0.04x
Canada Market PEG Ratio Median Figure of 234 Publicly-Listed Companies 0.69x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Cardinal Energy, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Cardinal Energy's assets?
Raw Data
TSX:CJ PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in CAD CA$6.49
TSX:CJ Share Price * TSX (2020-03-27) in CAD CA$0.42
Canada Oil and Gas Industry PB Ratio Median Figure of 198 Publicly-Listed Oil and Gas Companies 0.38x
Canada Market PB Ratio Median Figure of 2,352 Publicly-Listed Companies 1x
TSX:CJ PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:CJ Share Price ÷ Book Value per Share (both in CAD)

= 0.42 ÷ 6.49

0.06x

* Primary Listing of Cardinal Energy.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cardinal Energy is good value based on assets compared to the CA Oil and Gas industry average.
X
Value checks
We assess Cardinal Energy's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Cardinal Energy has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Cardinal Energy expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
65.5%
Expected annual growth in earnings per share.
Earnings growth vs Low Risk Savings
Is Cardinal Energy expected to grow at an attractive rate?
  • Cardinal Energy's earnings growth is expected to exceed the low risk savings rate of 1.4%.
Growth vs Market Checks
  • Cardinal Energy's earnings growth is expected to exceed the Canada market average.
  • Cardinal Energy's revenues are expected to decrease over the next 1-3 years, this is below the Canada market average.
Annual Growth Rates Comparison
Raw Data
TSX:CJ Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:CJ Future Earnings per Share Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 65.5%
TSX:CJ Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts -12%
Canada Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average -3.9%
Canada Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 1%
Canada Market Earnings Growth Rate Market Cap Weighted Average 7.7%
Canada Market Revenue Growth Rate Market Cap Weighted Average 3.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSX:CJ Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSX:CJ Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-12-31 169
2021-12-31 264 61 2
2020-12-31 249 56 2
2020-03-28
TSX:CJ Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-12-31 326 120 -34
2019-09-30 301 95 66
2019-06-30 317 98 74
2019-03-31 320 84 57
2018-12-31 319 89 61
2018-09-30 353 106 -79
2018-06-30 333 102 -100
2018-03-31 297 93 -78
2017-12-31 271 77 -58
2017-09-30 237 62 -35
2017-06-30 210 60 -28
2017-03-31 196 58 -64

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Cardinal Energy's earnings are expected to grow significantly at over 20% yearly.
  • Cardinal Energy's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSX:CJ Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Cardinal Energy Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:CJ Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-12-31
2021-12-31 -0.07 0.44 -0.57 2.00
2020-12-31 -0.17 0.27 -0.61 2.00
2020-03-28
TSX:CJ Past Financials Data
Date (Data in CAD Millions) EPS *
2019-12-31 -0.30
2019-09-30 0.57
2019-06-30 0.64
2019-03-31 0.50
2018-12-31 0.53
2018-09-30 -0.69
2018-06-30 -0.89
2018-03-31 -0.76
2017-12-31 -0.61
2017-09-30 -0.42
2017-06-30 -0.36
2017-03-31 -0.88

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Cardinal Energy will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
X
Future performance checks
We assess Cardinal Energy's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Cardinal Energy has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Cardinal Energy performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Cardinal Energy's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Cardinal Energy does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare Cardinal Energy's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Cardinal Energy's 1-year growth to the CA Oil and Gas industry average as it is not currently profitable.
Earnings and Revenue History
Cardinal Energy's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Cardinal Energy Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:CJ Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 325.84 -34.34 25.45
2019-09-30 301.01 65.51 25.72
2019-06-30 316.54 74.22 26.56
2019-03-31 320.48 57.35 26.75
2018-12-31 318.87 60.54 27.35
2018-09-30 353.25 -78.52 30.61
2018-06-30 332.94 -99.66 30.19
2018-03-31 297.05 -78.47 29.11
2017-12-31 271.45 -57.60 28.34
2017-09-30 236.73 -35.29 23.75
2017-06-30 210.12 -27.58 22.39
2017-03-31 196.35 -64.12 21.95
2016-12-31 171.30 -87.32 20.98
2016-09-30 158.05 -54.39 20.29
2016-06-30 148.56 -155.70 20.10
2016-03-31 150.89 -98.70 19.95
2015-12-31 155.67 -95.90 20.09
2015-09-30 172.00 -69.96 22.12
2015-06-30 181.38 57.97 20.93
2015-03-31 176.21 40.06 19.76
2014-12-31 179.29 53.81 18.31
2014-09-30 135.44 63.36 14.73
2014-06-30 97.05 40.46 12.22
2014-03-31 62.29 36.58 9.62
2013-12-31 31.38 35.20 6.95
2013-09-30 24.23 -2.09 5.19

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Cardinal Energy has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if Cardinal Energy has efficiently used its assets last year compared to the CA Oil and Gas industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if Cardinal Energy improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Cardinal Energy's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Cardinal Energy has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Cardinal Energy's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Cardinal Energy's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Cardinal Energy's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Cardinal Energy's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Cardinal Energy's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.2x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Cardinal Energy Company Filings, last reported 2 months ago.

TSX:CJ Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 737.90 217.47 2.79
2019-09-30 758.26 236.38 5.36
2019-06-30 763.66 239.21 4.91
2019-03-31 771.67 249.69 2.08
2018-12-31 792.62 259.59 2.69
2018-09-30 715.26 232.44 6.01
2018-06-30 707.16 248.34 5.43
2018-03-31 737.20 248.30 2.23
2017-12-31 749.96 266.15 3.32
2017-09-30 813.41 286.44 6.69
2017-06-30 834.53 280.03 7.75
2017-03-31 675.51 129.56 1.96
2016-12-31 651.08 107.63 1.27
2016-09-30 681.25 69.23 4.13
2016-06-30 689.99 70.94 3.88
2016-03-31 661.46 132.50 1.04
2015-12-31 680.45 137.31 1.27
2015-09-30 634.61 56.72 2.47
2015-06-30 743.03 53.23 1.96
2015-03-31 727.09 40.10 1.62
2014-12-31 747.93 47.74 1.33
2014-09-30 729.32 62.28 3.31
2014-06-30 363.94 0.00 5.54
2014-03-31 362.87 4.00 1.22
2013-12-31 336.86 9.32 1.39
2013-09-30 63.27 36.27 0.50
  • Cardinal Energy's level of debt (29.5%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (6.4% vs 29.5% today).
CASH RUNWAY ANALYSIS

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

  • Whilst loss making Cardinal Energy has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
  • Whilst loss making Cardinal Energy has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -13.8% per year.
X
Financial health checks
We assess Cardinal Energy's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Cardinal Energy has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Cardinal Energy's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
38.55%
Current annual income from Cardinal Energy dividends. Estimated to be 11.57% next year.
If you bought CA$2,000 of Cardinal Energy shares you are expected to receive CA$771 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Cardinal Energy's pays a higher dividend yield than the bottom 25% of dividend payers in Canada (2.7%).
  • Cardinal Energy's dividend is above the markets top 25% of dividend payers in Canada (8.48%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSX:CJ Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
Canada Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 37 Stocks 8%
Canada Market Average Dividend Yield Market Cap Weighted Average of 327 Stocks 4.7%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.3%
Canada Bottom 25% Dividend Yield 25th Percentile 2.7%
Canada Top 25% Dividend Yield 75th Percentile 8.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSX:CJ Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2022-12-31
2021-12-31 0.06 6.00
2020-12-31 0.03 4.00
2020-03-28
TSX:CJ Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2020-02-11 0.160 19.967
2020-01-13 0.180 7.169
2019-12-09 0.180 7.127
2019-10-09 0.180 8.572
2019-09-10 0.180 7.161
2019-08-12 0.180 8.080
2019-06-10 0.180 7.637
2019-04-15 0.120 4.170
2019-03-12 0.120 4.472
2019-02-11 0.120 5.317
2019-01-11 0.120 5.435
2018-12-06 0.120 5.337
2018-11-13 0.420 14.434
2018-10-12 0.420 10.855
2018-09-13 0.420 8.246
2018-08-09 0.420 8.114
2018-07-16 0.420 7.744
2018-06-12 0.420 7.776
2018-05-10 0.420 7.776
2018-04-16 0.420 8.069
2018-03-15 0.420 9.419
2018-02-12 0.420 9.931
2018-01-09 0.420 9.018
2017-12-12 0.420 8.631
2017-11-08 0.420 8.659
2017-10-11 0.420 9.256
2017-09-11 0.420 9.331
2017-08-10 0.420 10.168
2017-07-12 0.420 9.280
2017-06-14 0.420 9.122
2017-05-04 0.420 7.191
2017-04-06 0.420 6.214
2017-03-13 0.420 5.932
2017-02-14 0.420 5.119
2017-01-17 0.420 4.778
2016-12-02 0.420 4.165
2016-11-10 0.420 4.603
2016-10-12 0.420 4.539
2016-09-12 0.420 5.141
2016-08-10 0.420 4.667
2016-07-12 0.420 4.525
2016-06-09 0.420 4.302
2016-05-10 0.420 4.409
2016-04-07 0.420 4.686
2016-03-16 0.420 4.878
2016-02-11 0.420 5.779
2016-01-15 0.420 6.677
2015-12-08 0.840 10.224
2015-11-10 0.840 8.112
2015-10-14 0.840 7.713
2015-08-13 0.840 8.547
2015-07-15 0.840 6.918
2015-06-10 0.840 5.879
2015-05-12 0.840 5.593
2015-04-13 0.840 5.304
2015-03-11 0.840 5.705
2015-02-10 0.840 5.985
2015-01-13 0.840 6.351
2014-12-10 0.840 6.490
2014-11-13 0.840 5.650
2014-10-14 0.840 4.991
2014-09-11 0.840 4.566
2014-08-20 0.650 3.257
2014-07-14 0.650 3.459
2014-06-11 0.650 3.618
2014-05-12 0.650 3.998
2014-04-10 0.650 4.178
2014-01-08 0.650 4.864

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Whilst dividend payments have been stable, Cardinal Energy has been paying a dividend for less than 10 years.
  • Cardinal Energy has only been paying a dividend for 6 years, and since then dividends per share have fallen.
Current Payout to shareholders
What portion of Cardinal Energy's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
Future Payout to shareholders
  • The company is expected to pay a dividend in 3 years whilst incurring a loss, therefore the dividend is not expected to be well covered.
X
Income/ dividend checks
We assess Cardinal Energy's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Cardinal Energy afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Cardinal Energy has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Cardinal Energy's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
M. Ratushny
COMPENSATION CA$1,419,165
AGE 54
TENURE AS CEO 7.7 years
CEO Bio

Mr. M. Scott Ratushny has been the Chief Executive Officer of Cardinal Energy Ltd, since May 11, 2015 and served as its President since November 9, 2017 until February 2019. Mr. Ratushny served as the Chief Executive Officer of Midway Energy Ltd. from July 2009 to May 2012. Mr. Ratushny has over 15 years of diverse oil and gas experience and has been involved in the creation, financing and growth of 9 successful private and public oil and gas companies. Mr. Ratushny has also been involved as director of two public oil and gas service companies. He has had a track record of creating value for his shareholders in each of the predecessor companies. Mr. Ratushny has been an Independent Businessman and President of Eagle Equities Ltd., a private Alberta corporation since September 2002 and served as its Chief Executive Officer of EET since March 6, 2008. He served as the Chief Executive Officer of Trafalgar Energy Ltd. He served as the President and Chief Executive Officer of Campion Resources Ltd., a public oil and gas company from October 1998 to June 2002. He served as Chief Executive Officer of E4 Energy Inc. (Formerly Southpoint Resources Ltd.) from December 15, 2004 to August 23, 2005 and served as its President from February 25, 2003 to December 2004. Mr. Ratushny has been the Chairman of Cardinal Energy Ltd since May 3, 2011. He serves as the Chairman at Enseco Energy Services Corp. He served as the Chairman of Midway Energy Ltd. from July 2009 to May 2012. He served as the Chairman of E4 Energy Inc. (Formerly Southpoint Resources Ltd.) from December 15, 2004 to August 23, 2005. Mr. Ratushny served as the Managing Director and Chief Operating Officer of Southpoint Resources Ltd. He served as the Chairman and Chief Executive Officer of Pilot Energy Ltd. from April 2004 to January 2008. He served as the Chairman of Alegria Capital, Inc. He has been a Director at Enseco Energy Services Corp. since October 2006. He served as a Director of Divestco Inc. from September 23, 2003 to May 13, 2010. He served as an Independent Director of Pilot Energy Ltd. since April 2004. He served as a Director of Ultrasonix Medical Corporation, Trafalgar Energy Ltd. and Broadcast Capital Corp. He served as a Director of E4 Energy Inc., from January 2004 to June 2007 and EET since March 6, 2008. Mr. Ratushny served as a Director of International Datashare Corp. and Alegria Capital, Inc. since April 2004.

CEO Compensation
  • M.'s compensation has been consistent with company performance over the past year, both up more than 20%.
  • M.'s remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure

Average tenure and age of the Cardinal Energy management team in years:

2.3
Average Tenure
50
Average Age
  • The tenure for the Cardinal Energy management team is about average.
Management Team

M. Ratushny

TITLE
Chairman & CEO
COMPENSATION
CA$1M
AGE
54
TENURE
7.7 yrs

Shawn Van Spankeren

TITLE
Chief Financial Officer
COMPENSATION
CA$1M
AGE
46
TENURE
2.2 yrs

Dale Orton

TITLE
Chief Operating Officer
COMPENSATION
CA$751K
AGE
46
TENURE
2.3 yrs

Rob Wollmann

TITLE
Senior Vice President of Exploration
COMPENSATION
CA$320K
TENURE
2.3 yrs

Shannon Gangl

TITLE
Corporate Secretary
AGE
56
Board of Directors Tenure

Average tenure and age of the Cardinal Energy board of directors in years:

7.7
Average Tenure
54
Average Age
  • The tenure for the Cardinal Energy board of directors is about average.
Board of Directors

M. Ratushny

TITLE
Chairman & CEO
COMPENSATION
CA$1M
AGE
54
TENURE
7.7 yrs

John Brussa

TITLE
Independent Director
COMPENSATION
CA$149K
AGE
62
TENURE
7.7 yrs

Greg Tisdale

TITLE
Independent Director
COMPENSATION
CA$151K
AGE
49
TENURE
6.2 yrs

Dave Johnson

TITLE
Independent Director
COMPENSATION
CA$149K
AGE
68
TENURE
7.7 yrs

Stephanie Sterling

TITLE
Independent Director
COMPENSATION
CA$162K
AGE
51
TENURE
2.6 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Cardinal Energy individual insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
03. Jan 20 Buy M. Ratushny Individual 02. Jan 20 02. Jan 20 6,000 CA$2.63 CA$15,665
18. Nov 19 Buy M. Ratushny Individual 18. Nov 19 18. Nov 19 1,000 CA$2.00 CA$2,000
15. Nov 19 Buy John Brussa Individual 14. Nov 19 14. Nov 19 19,000 CA$2.02 CA$38,280
01. Nov 19 Buy John Brussa Individual 31. Oct 19 31. Oct 19 20,000 CA$1.95 CA$39,000
02. Aug 19 Buy M. Ratushny Individual 02. Aug 19 02. Aug 19 7,000 CA$2.39 CA$16,730
08. Apr 19 Sell Dale Orton Individual 08. Apr 19 08. Apr 19 -8,660 CA$3.06 CA$-26,500
08. Apr 19 Buy Dale Orton Individual 08. Apr 19 08. Apr 19 8,660 CA$3.06 CA$26,500
X
Management checks
We assess Cardinal Energy's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Cardinal Energy has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Do Institutions Own Shares In Cardinal Energy Ltd. (TSE:CJ)?

With a market capitalization of CA$260m, Cardinal Energy is a small cap stock, so it might not be well known by many institutional investors. … See our latest analysis for Cardinal Energy TSX:CJ Ownership Summary, September 4th 2019 What Does The Institutional Ownership Tell Us About Cardinal Energy? … General Public Ownership The general public, mostly retail investors, hold a substantial 79% stake in CJ, suggesting it is a fairly popular stock.

Simply Wall St -

Is Cardinal Energy Ltd. (TSE:CJ) Excessively Paying Its CEO?

First, this article will compare CEO compensation with compensation at similar sized companies. … Ratushny's Compensation Compare With Similar Sized Companies? … Whatever your view on compensation, you might want to check if insiders are buying or selling Cardinal Energy shares (free trial).

Simply Wall St -

Here's Why Cardinal Energy (TSE:CJ) Has A Meaningful Debt Burden

TSX:CJ Historical Debt, August 5th 2019 How Strong Is Cardinal Energy's Balance Sheet? … Looking at the most recent year, Cardinal Energy recorded free cash flow of 30% of its EBIT, which is weaker than we'd expect. … Looking at the balance sheet and taking into account all these factors, we do believe that debt is making Cardinal Energy stock a bit risky.

Simply Wall St -

An Intrinsic Calculation For Cardinal Energy Ltd. (TSE:CJ) Suggests It's 32% Undervalued

Generally we assume that a dollar today is more valuable than a dollar in the future, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) estimate 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 Levered FCF (CA$, Millions) CA$42.0m CA$38.2m CA$35.9m CA$34.7m CA$34.0m CA$33.8m CA$33.8m CA$34.0m CA$34.4m CA$34.8m Growth Rate Estimate Source Analyst x3 Est @ -9.16% Est @ -5.83% Est @ -3.5% Est @ -1.86% Est @ -0.72% Est @ 0.08% Est @ 0.64% Est @ 1.03% Est @ 1.31% Present Value (CA$, Millions) Discounted @ 10.24% CA$38.1 CA$31.4 CA$26.8 CA$23.5 CA$20.9 CA$18.8 CA$17.1 CA$15.6 CA$14.3 CA$13.1 ("Est" = FCF growth rate estimated by Simply Wall St) Present Value of 10-year Cash Flow (PVCF)= CA$219.6m After calculating the present value of future cash flows in the intial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = CA$35m × (1 + 1.9%) ÷ (10.2% – 1.9%) = CA$428m Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = CA$CA$428m ÷ ( 1 + 10.2%)10 = CA$161.38m The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is CA$380.96m. … TSX:CJ Intrinsic value, July 19th 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.

Simply Wall St -

Why It Might Not Make Sense To Buy Cardinal Energy Ltd. (TSE:CJ) For Its Next Dividend

So we need to investigate whether Cardinal Energy can afford its dividend, and if the dividend could grow. … See our latest analysis for Cardinal Energy Dividends are typically paid out of company income, so if a company pays out more than it earned, its dividend is usually at a higher risk of being cut. … Cardinal Energy paid out less in dividends than it reported in profits, but unfortunately it didn't generate enough cash to cover the dividend.

Simply Wall St -

Did Changing Sentiment Drive Cardinal Energy's (TSE:CJ) Share Price Down A Painful 86%?

During five years of share price growth, Cardinal Energy moved from a loss to profitability. … As it happens, Cardinal Energy's TSR for the last 5 years was -80%, which exceeds the share price return mentioned earlier. … Cardinal Energy is not the only stock insiders are buying.

Simply Wall St -

What Can We Make Of Cardinal Energy Ltd.’s (TSE:CJ) High Return On Capital?

The formula for calculating the return on capital employed is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) Or for Cardinal Energy: 0.084 = CA$97m ÷ (CA$1.2b - CA$75m) (Based on the trailing twelve months to March 2019.) Therefore, Cardinal Energy has an ROCE of 8.4%. … Do Cardinal Energy's Current Liabilities Skew Its ROCE? … Cardinal Energy has a low level of current liabilities, which have a minimal impact on its uninspiring ROCE.

Simply Wall St -

What Kind Of Shareholder Appears On The Cardinal Energy Ltd.'s (TSE:CJ) Shareholder Register?

Our analysis of the ownership of the company, below, shows that institutional investors have bought into the company. … See our latest analysis for Cardinal Energy TSX:CJ Ownership Summary, May 17th 2019 What Does The Institutional Ownership Tell Us About Cardinal Energy? … General Public Ownership The general public, who are mostly retail investors, collectively hold 77% of Cardinal Energy shares.

Simply Wall St -

Is Cardinal Energy Ltd. (TSE:CJ) Potentially Underrated?

In the case of Cardinal Energy Ltd. … is a company that has been able to sustain great financial health, trading at an attractive share price. … report on Cardinal Energy here

Simply Wall St -

Is Cardinal Energy Ltd. (TSE:CJ) A Smart Choice For Dividend Investors?

A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Let's take a look at Cardinal Energy in more detail. … View our latest analysis for Cardinal Energy

Simply Wall St -

Company Info

Description

Cardinal Energy Ltd. engages in the acquisition, exploration, and production of petroleum and natural gas in the provinces of Alberta and Saskatchewan, Canada. It holds interests in the Midale, Wainwright, Mitsue, Bantry, and Grande Prairie properties. The company was incorporated in 2010 and is headquartered in Calgary, Canada.

Details
Name: Cardinal Energy Ltd.
CJ
Exchange: TSX
Founded: 2010
CA$47,894,472
112,692,876
Website: http://www.cardinalenergy.ca
Address: Cardinal Energy Ltd.
400-3rd Avenue SW,
Suite 600,
Calgary,
Alberta, T2P 4H2,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX CJ Common Shares The Toronto Stock Exchange CA CAD 17. Dec 2013
OTCPK CRLF.F Common Shares Pink Sheets LLC US USD 17. Dec 2013
DB C0Y Common Shares Deutsche Boerse AG DE EUR 17. Dec 2013
Number of employees
Current staff
Staff numbers
180
Cardinal Energy employees.
Industry
Oil and Gas Exploration and Production
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/03/28 03:01
End of day share price update: 2020/03/27 00:00
Last estimates confirmation: 2020/03/25
Last earnings filing: 2020/03/17
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.