Loading...

You're on the old version of Simply Wall St. We will no longer be supporting this site, so we recommend you switch to our brand new platform.

Gear Energy

TSX:GXE
Snowflake Description

Mediocre balance sheet and overvalued.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
GXE
TSX
CA$21M
Market Cap
  1. Home
  2. CA
  3. Energy
Company description

Gear Energy Ltd. Operates as a junior Canadian crude oil and natural gas exploration and production company in Canada. The last earnings update was 37 days ago. More info.


Add to Portfolio Compare Print
  • Gear Energy has significant price volatility in the past 3 months.
GXE Share Price and Events
7 Day Returns
-10%
TSX:GXE
15.2%
CA Oil and Gas
11.4%
CA Market
1 Year Returns
-85.2%
TSX:GXE
-41.5%
CA Oil and Gas
-22%
CA Market
GXE Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Gear Energy (GXE) -10% -67.3% -79.8% -85.2% -90.1% -95.3%
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
  • GXE underperformed the Oil and Gas industry which returned -41.5% over the past year.
  • GXE underperformed the Market in Canada which returned -22% over the past year.
Price Volatility
GXE
Industry
5yr Volatility vs Market

Value

 Is Gear 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 Gear 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 Gear Energy.

TSX:GXE Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 2 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 12.3%
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:GXE
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%) (372.27%))
2.396
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
2
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.44% + (2 * 5.44%)
12.32%

Discounted Cash Flow Calculation for TSX:GXE using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Gear Energy is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

TSX:GXE DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 12.32%)
2020 12.50 Analyst x2 11.13
2021 5.00 Analyst x1 3.96
2022 2.26 Est @ -54.8% 1.59
2023 1.40 Est @ -37.93% 0.88
2024 1.04 Est @ -26.12% 0.58
2025 0.85 Est @ -17.85% 0.42
2026 0.75 Est @ -12.06% 0.33
2027 0.69 Est @ -8.01% 0.27
2028 0.65 Est @ -5.18% 0.23
2029 0.63 Est @ -3.19% 0.20
Present value of next 10 years cash flows CA$19.00
TSX:GXE DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$0.63 × (1 + 1.44%) ÷ (12.32% – 1.44%)
CA$5.89
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$5.89 ÷ (1 + 12.32%)10
CA$1.84
TSX:GXE Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$19.00 + CA$1.84
CA$20.84
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$20.84 / 217.61
CA$0.1
TSX:GXE Discount to Share Price
Calculation Result
Value per share (CAD) From above. CA$0.10
Current discount Discount to share price of CA$0.09
= -1 x (CA$0.09 - CA$0.10) / CA$0.10
6%

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

Current Discount
Amount off the current price Gear Energy is available for.
Intrinsic value
6%
Share price is CA$0.09 vs Future cash flow value of CA$0.09579
Current Discount Checks
For Gear Energy to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Gear Energy's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Gear Energy's share price is below the future cash flow value, but not at a substantial discount (< 40%).
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 Gear Energy's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Gear Energy's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSX:GXE PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in CAD CA$-0.03
TSX:GXE Share Price ** TSX (2020-03-27) in CAD CA$0.09
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 Gear Energy.

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

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

= 0.09 ÷ -0.03

-3.47x

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

  • Gear Energy is loss making, we can't compare its value to the CA Oil and Gas industry average.
  • Gear Energy is loss making, we can't compare the value of its earnings to the Canada market.
Price based on expected Growth
Does Gear Energy's expected growth come at a high price?
Raw Data
TSX:GXE PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -3.47x
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 Gear Energy, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Gear Energy's assets?
Raw Data
TSX:GXE PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in CAD CA$0.84
TSX:GXE Share Price * TSX (2020-03-27) in CAD CA$0.09
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:GXE PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

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

= 0.09 ÷ 0.84

0.11x

* Primary Listing of Gear Energy.

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

  • Gear Energy is good value based on assets compared to the CA Oil and Gas industry average.
X
Value checks
We assess Gear 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. Gear 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 Gear 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
-58.9%
Expected annual growth in earnings per share.
Earnings growth vs Low Risk Savings
Is Gear Energy expected to grow at an attractive rate?
  • Gear Energy's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.4%.
Growth vs Market Checks
  • Gear Energy's earnings are expected to decrease over the next 1-3 years, this is below the Canada market average.
  • Gear 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:GXE Future Growth Rates Data Sources
Data Point Source Value (per year)
TSX:GXE Future Earnings per Share Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts -58.9%
TSX:GXE Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts -12.9%
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:GXE 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:GXE Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 93 24 2
2020-12-31 77 29 2
2020-03-28
TSX:GXE Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-12-31 117 50 -6
2019-09-30 106 40 13
2019-06-30 106 43 10
2019-03-31 104 33 3
2018-12-31 96 42 5
2018-09-30 109 50 1
2018-06-30 101 43 -2
2018-03-31 94 39 3
2017-12-31 92 37 10
2017-09-30 85 34 -9
2017-06-30 80 34 -9
2017-03-31 71 34 -19

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Gear Energy's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Gear 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:GXE 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 Gear Energy Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:GXE Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 -0.13 -0.13 -0.13 1.00
2020-12-31 -0.12 -0.12 -0.12 1.00
2020-03-28
TSX:GXE Past Financials Data
Date (Data in CAD Millions) EPS *
2019-12-31 -0.03
2019-09-30 0.06
2019-06-30 0.05
2019-03-31 0.01
2018-12-31 0.03
2018-09-30 0.01
2018-06-30 -0.01
2018-03-31 0.02
2017-12-31 0.05
2017-09-30 -0.05
2017-06-30 -0.05
2017-03-31 -0.12

*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 Gear 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 Gear 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.
Gear Energy has a total score of 0/6, 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 Gear 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 Gear 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.
  • Gear 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 Gear Energy's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Gear Energy's 1-year growth to the CA Oil and Gas industry average as it is not currently profitable.
Earnings and Revenue History
Gear 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 Gear Energy Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSX:GXE Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 117.48 -5.68 6.28
2019-09-30 105.82 12.92 5.65
2019-06-30 106.01 10.13 5.71
2019-03-31 103.62 2.58 5.77
2018-12-31 96.46 5.09 6.24
2018-09-30 108.56 1.49 6.94
2018-06-30 101.33 -1.92 7.17
2018-03-31 93.88 2.95 6.98
2017-12-31 92.10 10.23 7.11
2017-09-30 85.27 -8.91 7.41
2017-06-30 79.71 -8.67 7.20
2017-03-31 71.08 -18.98 7.21
2016-12-31 58.39 -23.69 6.79
2016-09-30 49.98 -38.00 6.26
2016-06-30 51.01 -98.89 6.68
2016-03-31 59.13 -93.88 7.51
2015-12-31 68.96 -96.52 8.08
2015-09-30 89.36 -100.02 8.47
2015-06-30 111.49 -27.75 9.05
2015-03-31 127.28 -19.03 9.21
2014-12-31 134.01 -13.08 8.96
2014-09-30 120.83 16.38 9.37
2014-06-30 104.93 9.92 8.75
2014-03-31 85.38 4.14 7.80
2013-12-31 74.85 -1.06 8.43
2013-09-30 72.88 0.56 8.33
2013-06-30 64.16 -3.43 8.06
2013-03-31 58.77 -2.97 7.90

*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 Gear 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 Gear 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 Gear 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 Gear 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.
Gear 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 Gear 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 Gear Energy's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Gear Energy's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Gear Energy's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Gear 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 0.3x 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 Gear Energy Company Filings, last reported 2 months ago.

TSX:GXE Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 182.26 76.96
2019-09-30 190.70 75.56
2019-06-30 187.25 78.79
2019-03-31 181.36 92.25
2018-12-31 187.93 90.76
2018-09-30 177.10 78.33 0.69
2018-06-30 150.48 45.98
2018-03-31 151.93 48.50
2017-12-31 155.93 53.50
2017-09-30 148.56 51.45
2017-06-30 149.41 49.24
2017-03-31 145.96 42.79
2016-12-31 142.23 43.14
2016-09-30 152.38 46.10
2016-06-30 107.61 40.84
2016-03-31 92.59 64.49
2015-12-31 94.16 67.96
2015-09-30 109.68 79.56
2015-06-30 172.49 81.92
2015-03-31 174.23 93.13
2014-12-31 178.02 98.90
2014-09-30 207.38 86.66
2014-06-30 197.79 85.03
2014-03-31 189.01 64.90 50.25
2013-12-31 126.16 64.92 0.84
2013-09-30 126.30 52.67
2013-06-30 123.36 51.34
2013-03-31 122.32 54.62
  • Gear Energy's level of debt (42.2%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (55.5% vs 42.2% 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 Gear Energy has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.
  • Whilst loss making Gear Energy has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -16.7% per year.
X
Financial health checks
We assess Gear 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. Gear 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 Gear 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
0%
Current annual income from Gear Energy dividends.
If you bought CA$2,000 of Gear Energy shares you are expected to receive CA$0 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?
  • Unable to evaluate Gear Energy's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Gear Energy's dividend against the top 25% market benchmark as the company has not reported any payouts.
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:GXE 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:GXE Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2021-12-31
2020-12-31
2020-03-28

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

  • Unable to perform a dividend volatility check as Gear Energy has not reported any payouts.
  • Unable to verify if Gear Energy's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Gear Energy's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Gear Energy has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Gear 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 Gear Energy afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Gear Energy has a total score of 0/6, 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 Gear 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
Ingram Gillmore
COMPENSATION CA$332,717
TENURE AS CEO 9.8 years
CEO Bio

Mr. Ingram B. Gillmore, P.Eng has been the Chief Executive Officer and President of Gear Energy Ltd. since May 15, 2010. Mr. Gillmore has 20 years of industry experience. His varied experience includes working on and directing multifunctional teams growing both development and exploration oriented production across western Canada. He previously served as Vice President of Engineering at ARC Energy Trust. He served as Vice President of Engineering of ARC Resources Ltd at ARC Energy Trust since January 2007 and served as its Manager since 2005. Mr. Gillmore was responsible for all engineering, geophysical, geological and joint venture related activities of ARC Energy Trust. He served with ARC Energy Trust since 2002. Prior to joining ARC Energy Trust, he held positions with several major oil and gas companies. Mr. Gillmore held positions with Talisman Energy and Gulf Canada Resources. He has been a Director of Gear Energy Ltd. since June 2010. Mr. Gillmore holds a B.Sc. in Chemical Engineering from the University of Waterloo in 1991 and has a Bachelor of Fine Arts.

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

Average tenure of the Gear Energy management team in years:

8.8
Average Tenure
  • The average tenure for the Gear Energy management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Ingram Gillmore

TITLE
CEO, President & Director
COMPENSATION
CA$333K
TENURE
9.8 yrs

David Hwang

TITLE
CFO & VP of Finance
COMPENSATION
CA$278K
TENURE
8.8 yrs

Jason Kaluski

TITLE
Vice President of Operations
COMPENSATION
CA$264K
TENURE
9 yrs

Yvan Chretien

TITLE
Vice President of Land
COMPENSATION
CA$244K
TENURE
9.5 yrs

Bryan Dozzi

TITLE
Vice President of Engineering
COMPENSATION
CA$244K
TENURE
4.8 yrs

Dustin Ressler

TITLE
Vice President of Exploration
TENURE
3.3 yrs

Ted Brown

TITLE
Corporate Secretary
TENURE
4.6 yrs
Board of Directors Tenure

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

1.8
Average Tenure
59
Average Age
  • The average tenure for the Gear Energy board of directors is less than 3 years, this suggests a new board.
Board of Directors

Don Gray

TITLE
Independent Chairman of the Board
COMPENSATION
CA$49K
AGE
53
TENURE
10.2 yrs

Ingram Gillmore

TITLE
CEO, President & Director
COMPENSATION
CA$333K
TENURE
9.8 yrs

Harry English

TITLE
Independent Director
COMPENSATION
CA$37K
TENURE
5.8 yrs

Greg Bay

TITLE
Independent Director
COMPENSATION
CA$30K
AGE
60
TENURE
0.6 yrs

Bindu Wyma

TITLE
Independent Director
COMPENSATION
CA$56K
TENURE
1.8 yrs

Scott Robinson

TITLE
Director
AGE
59
TENURE
0.7 yrs

Wilson Wang

TITLE
Independent Director
TENURE
0.6 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Gear 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$) Value (CA$)
23. Mar 20 Buy Twin Peaks Capital Llc Company 23. Mar 20 23. Mar 20 45,000 CA$0.10 CA$4,275
20. Mar 20 Buy Twin Peaks Capital Llc Company 20. Mar 20 20. Mar 20 229,500 CA$0.10 CA$22,950
19. Mar 20 Buy Twin Peaks Capital Llc Company 19. Mar 20 19. Mar 20 100,000 CA$0.10 CA$9,500
18. Mar 20 Buy Twin Peaks Capital Llc Company 18. Mar 20 18. Mar 20 70,000 CA$0.10 CA$7,000
17. Mar 20 Buy Twin Peaks Capital Llc Company 17. Mar 20 17. Mar 20 215,000 CA$0.11 CA$23,650
16. Mar 20 Buy Twin Peaks Capital Llc Company 16. Mar 20 16. Mar 20 61,000 CA$0.12 CA$7,015
13. Mar 20 Buy Twin Peaks Capital Llc Company 12. Mar 20 12. Mar 20 54,000 CA$0.13 CA$6,750
13. Mar 20 Buy Wilson Wang Individual 13. Mar 20 13. Mar 20 25,000 CA$0.13 CA$3,250
10. Mar 20 Buy Ingram Gillmore Individual 10. Mar 20 10. Mar 20 41,500 CA$0.15 CA$6,018
11. Mar 20 Buy Twin Peaks Capital Llc Company 11. Mar 20 11. Mar 20 323,000 CA$0.12 CA$34,300
11. Mar 20 Buy Wilson Wang Individual 11. Mar 20 11. Mar 20 112,900 CA$0.12 CA$13,490
11. Mar 20 Buy Ingram Gillmore Individual 11. Mar 20 11. Mar 20 27,800 CA$0.11 CA$3,058
09. Mar 20 Buy Twin Peaks Capital Llc Company 09. Mar 20 09. Mar 20 215,100 CA$0.16 CA$32,685
06. Mar 20 Buy Wilson Wang Individual 06. Mar 20 06. Mar 20 42,600 CA$0.23 CA$9,798
05. Mar 20 Buy Twin Peaks Capital Llc Company 05. Mar 20 05. Mar 20 43,700 CA$0.27 CA$11,799
02. Mar 20 Buy Twin Peaks Capital Llc Company 02. Mar 20 02. Mar 20 42,500 CA$0.31 CA$13,090
28. Feb 20 Buy Twin Peaks Capital Llc Company 28. Feb 20 28. Feb 20 48,000 CA$0.25 CA$12,000
25. Feb 20 Buy Wilson Wang Individual 24. Feb 20 24. Feb 20 40,800 CA$0.33 CA$13,260
15. Jan 19 Sell Twin Peaks Capital Llc Company 03. Jan 20 07. Jan 20 -10,211 CA$0.48 CA$-4,816
06. Jan 20 Sell Twin Peaks Capital Llc Company 24. Dec 19 24. Dec 19 -500 CA$0.44 CA$-220
20. Nov 19 Buy Twin Peaks Capital Llc Company 20. Nov 19 20. Nov 19 68,500 CA$0.39 CA$26,555
19. Nov 19 Buy Twin Peaks Capital Llc Company 19. Nov 19 19. Nov 19 50,000 CA$0.39 CA$19,500
18. Nov 19 Buy Wilson Wang Individual 18. Nov 19 18. Nov 19 18,000 CA$0.39 CA$7,020
16. Sep 19 Buy Scott Robinson Individual 16. Sep 19 16. Sep 19 20,000 CA$0.52 CA$10,400
22. Aug 19 Buy Donald Gray Individual 22. Aug 19 22. Aug 19 2,550,000 CA$0.49 CA$1,249,500
16. Aug 19 Buy Wilson Wang Individual 16. Aug 19 16. Aug 19 76,998 CA$0.43 CA$33,109
16. Aug 19 Buy Ingram Gillmore Individual 16. Aug 19 16. Aug 19 9,356 CA$0.43 CA$3,976
14. Aug 19 Buy Scott Robinson Individual 14. Aug 19 14. Aug 19 5,000 CA$0.47 CA$2,350
16. Jul 19 Buy Scott Robinson Individual 15. Jul 19 15. Jul 19 5,000 CA$0.54 CA$2,700
15. Jul 19 Buy Ingram Gillmore Individual 12. Jul 19 12. Jul 19 20,000 CA$0.55 CA$11,000
15. Jul 19 Buy Scott Robinson Individual 12. Jul 19 12. Jul 19 39,000 CA$0.55 CA$21,356
28. Jun 19 Sell Davis-Rea Ltd Company 27. Jun 19 27. Jun 19 -38,632 CA$0.56 CA$-21,634
27. Jun 19 Sell Davis-Rea Ltd Company 03. May 19 26. Jun 19 -144,690 CA$0.70 CA$-98,845
30. May 19 Buy Donald Gray Individual 29. May 19 29. May 19 107,000 CA$0.61 CA$65,270
12. Apr 19 Sell Davis-Rea Ltd Company 12. Apr 19 12. Apr 19 -1,000,000 CA$0.79 CA$-786,600
10. Apr 19 Sell John O’Connell Individual 10. Apr 19 10. Apr 19 -125,000 CA$0.78 CA$-97,500
X
Management checks
We assess Gear 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. Gear 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

Should You Worry About Gear Energy Ltd.'s (TSE:GXE) CEO Pay Cheque?

First, this article will compare CEO compensation with compensation at similar sized companies. … View our latest analysis for Gear Energy How Does Ingram Gillmore's Compensation Compare With Similar Sized Companies? … We compared the total CEO remuneration paid by Gear Energy Ltd., and compared it to remuneration at a group of similar sized companies.

Simply Wall St -

Is Gear Energy Ltd.'s (TSE:GXE) High P/E Ratio A Problem For Investors?

We'll apply a basic P/E ratio analysis to Gear Energy Ltd.'s (TSE:GXE), to help you decide if the stock is worth further research. … The formula for price to earnings is: Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS) Or for Gear Energy: P/E of 41.19 = CA$0.51 ÷ CA$0.012 (Based on the year to March 2019.) Is A High P/E Ratio Good? … Gear Energy's earnings per share fell by 19% in the last twelve months.

Simply Wall St -

Is Gear Energy (TSE:GXE) Using Too Much Debt?

TSX:GXE Historical Debt, July 3rd 2019 How Strong Is Gear Energy's Balance Sheet? … Because it carries more debt than cash, we think it's worth watching Gear Energy's balance sheet over time. … Our View On the face of it, Gear Energy's level of total liabilities left us tentative about the stock, and its conversion of EBIT to free cash flow was no more enticing than the one empty restaurant on the busiest night of the year.

Simply Wall St -

Read This Before Buying Gear Energy Ltd. (TSE:GXE) Shares

So shareholders might well want to know whether insiders have been buying or selling shares in Gear Energy Ltd. … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.' View our latest analysis for Gear Energy The Last 12 Months Of Insider Transactions At Gear Energy In the last twelve months, the biggest single sale by an insider was when the Director, John O’Connell, sold CA$98k worth of shares at a price of CA$0.78 per share. … Gear Energy Insiders Are Selling The Stock We have seen a bit of insider selling at Gear Energy, over the last three months.

Simply Wall St -

Does Gear Energy Ltd.'s (TSE:GXE) CEO Pay Compare Well With Peers?

Check out our latest analysis for Gear Energy How Does Ingram Gillmore's Compensation Compare With Similar Sized Companies? … Thus we can conclude that Ingram Gillmore receives more in total compensation than the median of a group of companies in the same market, and of similar size to Gear Energy Ltd.. … We compared the total CEO remuneration paid by Gear Energy Ltd., and compared it to remuneration at a group of similar sized companies.

Simply Wall St -

How Do Gear Energy Ltd.’s (TSE:GXE) Returns Compare To Its Industry?

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 Gear Energy: 0.021 = CA$7.8m ÷ (CA$380m - CA$14m) (Based on the trailing twelve months to December 2018.) So, Gear Energy has an ROCE of 2.1%. … How Gear Energy's Current Liabilities Impact Its ROCE Liabilities, such as supplier bills and bank overdrafts, are referred to as current liabilities if they need to be paid within 12 months. … The ROCE equation subtracts current liabilities from capital employed, so a company with a lot of current liabilities appears to have less capital employed, and a higher ROCE than otherwise.

Simply Wall St -

What Kind Of Shareholders Own Gear Energy Ltd. (TSE:GXE)?

With a market capitalization of CA$173m, Gear Energy is a small cap stock, so it might not be well known by many institutional investors. … Our analysis of the ownership of the company, below, shows that. … View our latest analysis for Gear Energy

Simply Wall St -

Is Gear Energy Ltd. (TSE:GXE) Struggling With Its 2.1% Return On Capital Employed?

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Return On Capital Employed (ROCE): What is it? … The formula for calculating the return on capital employed is:

Simply Wall St -

Is Gear Energy Ltd.'s (TSE:GXE) High P/E Ratio A Problem For Investors?

This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … We'll look at Gear Energy Ltd.'s (TSE:GXE) P/E ratio and reflect on what it tells us about the company's share price. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Easy Come, Easy Go: How Gear Energy Shareholders Got Unlucky And Saw 85% Of Their Cash Evaporate

(TSE:GXE) during the five years that saw its share price drop a whopping 85%. … We also note that the stock has performed poorly over the last year, with the share price down 22%. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

Simply Wall St -

Company Info

Description

Gear Energy Ltd. Operates as a junior Canadian crude oil and natural gas exploration and production company in Canada. Its oil-focused operations are located in three core areas, including Lloydminster heavy oil, Central Alberta light/medium oil, and Southeast Saskatchewan light oil. The company was incorporated in 2007 and is headquartered in Calgary, Canada.

Details
Name: Gear Energy Ltd.
GXE
Exchange: TSX
Founded: 2007
CA$20,672,978
217,610,302
Website: http://www.gearenergy.com
Address: Gear Energy Ltd.
205 – 5th Avenue SW,
Suite 800,
Calgary,
Alberta, T2P 2V7,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX GXE Common Shares The Toronto Stock Exchange CA CAD 18. Nov 2013
OTCPK GENG.F Common Shares Pink Sheets LLC US USD 18. Nov 2013
DB 0GY Common Shares Deutsche Boerse AG DE EUR 18. Nov 2013
Number of employees
Current staff
Staff numbers
33
Gear 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 02:50
End of day share price update: 2020/03/27 00:00
Last estimates confirmation: 2020/03/27
Last earnings filing: 2020/02/20
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.