Discounted Cash Flow Calculation for NasdaqCM:TDAC using Excess Returns Model Model
The calculations below outline how an intrinsic value for Trident Acquisitions is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.
In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.
The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.
The current share price of
is above its future cash flow value.
Often investors are willing to pay a
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
is considered below, and whether this is a fair price.
Price based on past earnings
Trident Acquisitions's earnings available for a low price, and how does
this compare to other companies in the same industry?
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Trident Acquisitions has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
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
Expected Capital Markets industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare Trident Acquisitions's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Trident Acquisitions's earnings growth to the United States of America market average as no estimate data is available.
Unable to compare Trident Acquisitions's revenue growth to the United States of America market average as no estimate data is available.
Unable to determine if Trident Acquisitions is high growth as no earnings estimate data is available.
Unable to determine if Trident Acquisitions is high growth as no revenue estimate data is available.
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.
Trident Acquisitions's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
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.
has a total score of
1/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Trident Acquisitions's finances.
The net worth of a company is the difference between its assets and liabilities.
Trident Acquisitions's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Trident Acquisitions's long term commitments exceed its cash and other short term assets.
This treemap shows a more detailed breakdown of
Trident Acquisitions'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
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Low level of unsold assets.
Debt is covered by short term assets, assets are 1.6x debt.
Nearly all companies have debt. Debt in itself isn’t
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.
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.
TENURE AS CEO
Mr. Ilya Ponomarev has been Chief Executive Officer of Trident Acquisitions Corp. since February 15, 2018 and also has been its Director since March 17, 2016. From December 2007 to the present, Mr. Ponomarev served an opposition member of Russian Parliament — State Duma representing Novosibirsk — the capital of Siberia, and is chairing Innovations and Venture Capital (formerly Hi-Tech development) subcommittee. Although he was a member of parliament until 2016, after his lone vote against the war between Russia and Ukraine, he was not permitted to return to Russia after traveling to the United States. In April 2015, the Russian parliament lifted Mr. Ponomarev’s diplomatic immunity and allowed a prosecutor to bring charges of misappropriation of funds belonging to Skolkovo Foundation against Mr. Ponomarev, in what was widely reported as a politically motivated prosecution. The case remains open and Mr. Ponomarev would be subject to arrest if he returned to Russia. Earlier he held various positions in government offices and private companies, including Vice president of Yukos Oil Company, a large Russian oil and gas company, and prior to that Director for CIS Business Development and Marketing for Schlumberger Oilfield Services. He is an author of a number of research papers and magazine articles about new economy development, energy, regional policies, education and international relations. Mr. Ponomarev is qualified to serve as a member of Board of Directors because his understanding of new technologies in oil & gas field and his international network of political and business leaders. Mr. Ponomarev holds BSc in Physics from Moscow State University and Master of Public Administration from Russian State Social University.
Insufficient data for Ilya to compare compensation growth.
Insufficient data for Ilya to establish whether their remuneration is reasonable compared to companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Trident Acquisitions management team is about average.
CEO & Director
Chief Operating Officer
Secretary & Treasurer
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Trident Acquisitions board of directors is about average.
Board of Directors
CEO & Director
Who owns this company?
Recent Insider Trading
No 3 month open market individual insider trading information.
Trident Acquisitions Corp. (NASDAQ:TDAC) Insiders Increased Their Holdings
For example, a Harvard University study found that 'insider purchases earn abnormal returns of more than 6% per year.' View our latest analysis for Trident Acquisitions Trident Acquisitions Insider Transactions Over The Last Year Director Gennadii Butkevych made the biggest insider purchase in the last 12 months. … Insider Ownership of Trident Acquisitions Many investors like to check how much of a company is owned by insiders. … It would be great to see more insider buying, but overall it seems like Trident Acquisitions insiders are reasonably well aligned (owning significant chunk of the company's shares) and optimistic for the future.
Trident Acquisitions Corp. does not have significant operations. It intends to enter into a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization or other similar business combination with one or more target businesses primarily in the oil and gas or other natural resource sector. The company was founded in 2016 and is headquartered in New York, New York.
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