Latest news with #HeadwaterExploration
Business Insider
6 days ago
- Business
- Business Insider
Headwater Exploration (CDDRF) Receives a Hold from RBC Capital
In a report released on July 14, Michael Harvey from RBC Capital maintained a Hold rating on Headwater Exploration, with a price target of C$9.00. The company's shares closed yesterday at $5.06. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. According to TipRanks, Harvey is a 5-star analyst with an average return of 17.0% and a 56.85% success rate. Harvey covers the Energy sector, focusing on stocks such as Peyto Exploration & Dev, ARC Resources, and Advantage Energy. The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Headwater Exploration with a $6.28 average price target. CDDRF market cap is currently $1.21B and has a P/E ratio of 8.44. Based on the recent corporate insider activity of 14 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of CDDRF in relation to earlier this year.
Yahoo
05-07-2025
- Business
- Yahoo
Investors in Headwater Exploration (TSE:HWX) have seen massive returns of 531% over the past five years
Long term investing can be life changing when you buy and hold the truly great businesses. And we've seen some truly amazing gains over the years. Don't believe it? Then look at the Headwater Exploration Inc. (TSE:HWX) share price. It's 433% higher than it was five years ago. If that doesn't get you thinking about long term investing, we don't know what will. It's also good to see the share price up 28% over the last quarter. But this could be related to the strong market, which is up 16% in the last three months. So let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. During the five years of share price growth, Headwater Exploration moved from a loss to profitability. That kind of transition can be an inflection point that justifies a strong share price gain, just as we have seen here. Given that the company made a profit three years ago, but not five years ago, it is worth looking at the share price returns over the last three years, too. We can see that the Headwater Exploration share price is up 22% in the last three years. During the same period, EPS grew by 20% each year. This EPS growth is higher than the 7% average annual increase in the share price over the same three years. Therefore, it seems the market has moderated its expectations for growth, somewhat. This unenthusiastic sentiment is reflected in the stock's reasonably modest P/E ratio of 7.96. The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image). We consider it positive that insiders have made significant purchases in the last year. Even so, future earnings will be far more important to whether current shareholders make money. Dive deeper into the earnings by checking this interactive graph of Headwater Exploration's earnings, revenue and cash flow. When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for Headwater Exploration the TSR over the last 5 years was 531%, which is better than the share price return mentioned above. This is largely a result of its dividend payments! Investors in Headwater Exploration had a tough year, with a total loss of 1.7% (including dividends), against a market gain of about 24%. However, keep in mind that even the best stocks will sometimes underperform the market over a twelve month period. Longer term investors wouldn't be so upset, since they would have made 45%, each year, over five years. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. It's always interesting to track share price performance over the longer term. But to understand Headwater Exploration better, we need to consider many other factors. Case in point: We've spotted 2 warning signs for Headwater Exploration you should be aware of, and 1 of them can't be ignored. Headwater Exploration is not the only stock insiders are buying. So take a peek at this free list of small cap companies at attractive valuations which insiders have been buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Canadian exchanges. — Investing narratives with Fair Values Suncorp's Next Chapter: Insurance-Only and Ready to Grow By Robbo – Community Contributor Fair Value Estimated: A$22.83 · 0.1% Overvalued Thyssenkrupp Nucera Will Achieve Double-Digit Profits by 2030 Boosted by Hydrogen Growth By Chris1 – Community Contributor Fair Value Estimated: €14.40 · 0.3% Overvalued Tesla's Nvidia Moment – The AI & Robotics Inflection Point By BlackGoat – Community Contributor Fair Value Estimated: $359.72 · 0.1% Overvalued View more featured narratives — Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. 登入存取你的投資組合
Yahoo
14-06-2025
- Business
- Yahoo
Why The 30% Return On Capital At Headwater Exploration (TSE:HWX) Should Have Your Attention
If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an eye out for. In a perfect world, we'd like to see a company investing more capital into its business and ideally the returns earned from that capital are also increasing. Basically this means that a company has profitable initiatives that it can continue to reinvest in, which is a trait of a compounding machine. So when we looked at the ROCE trend of Headwater Exploration (TSE:HWX) we really liked what we saw. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. The formula for this calculation on Headwater Exploration is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.30 = CA$257m ÷ (CA$967m - CA$115m) (Based on the trailing twelve months to March 2025). Thus, Headwater Exploration has an ROCE of 30%. That's a fantastic return and not only that, it outpaces the average of 9.8% earned by companies in a similar industry. View our latest analysis for Headwater Exploration Above you can see how the current ROCE for Headwater Exploration compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like, you can check out the forecasts from the analysts covering Headwater Exploration for free. The fact that Headwater Exploration is now generating some pre-tax profits from its prior investments is very encouraging. Shareholders would no doubt be pleased with this because the business was loss-making five years ago but is is now generating 30% on its capital. In addition to that, Headwater Exploration is employing 407% more capital than previously which is expected of a company that's trying to break into profitability. This can indicate that there's plenty of opportunities to invest capital internally and at ever higher rates, both common traits of a multi-bagger. For the record though, there was a noticeable increase in the company's current liabilities over the period, so we would attribute some of the ROCE growth to that. Essentially the business now has suppliers or short-term creditors funding about 12% of its operations, which isn't ideal. It's worth keeping an eye on this because as the percentage of current liabilities to total assets increases, some aspects of risk also increase. Long story short, we're delighted to see that Headwater Exploration's reinvestment activities have paid off and the company is now profitable. And a remarkable 572% total return over the last five years tells us that investors are expecting more good things to come in the future. With that being said, we still think the promising fundamentals mean the company deserves some further due diligence. If you'd like to know more about Headwater Exploration, we've spotted 2 warning signs, and 1 of them is concerning. If you'd like to see other companies earning high returns, check out our free list of companies earning high returns with solid balance sheets here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-05-2025
- Business
- Yahoo
Headwater Exploration First Quarter 2025 Earnings: Revenues Beat Expectations, EPS Lags
Headwater Exploration (TSE:HWX) First Quarter 2025 Results Key Financial Results Revenue: CA$141.5m (up 26% from 1Q 2024). Net income: CA$50.0m (up 33% from 1Q 2024). Profit margin: 35% (up from 34% in 1Q 2024). The increase in margin was driven by higher revenue. EPS: CA$0.21 (up from CA$0.16 in 1Q 2024). Our free stock report includes 2 warning signs investors should be aware of before investing in Headwater Exploration. Read for free now. TSX:HWX Earnings and Revenue History May 6th 2025 All figures shown in the chart above are for the trailing 12 month (TTM) period Headwater Exploration Revenues Beat Expectations, EPS Falls Short Revenue exceeded analyst estimates by 1.2%. Earnings per share (EPS) missed analyst estimates by 4.5%. Looking ahead, revenue is forecast to grow 1.5% p.a. on average during the next 3 years, compared to a 3.1% growth forecast for the Oil and Gas industry in Canada. Performance of the Canadian Oil and Gas industry. The company's shares are down 2.4% from a week ago. Risk Analysis Before you take the next step you should know about the 2 warning signs for Headwater Exploration (1 makes us a bit uncomfortable!) that we have uncovered. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
05-05-2025
- Business
- Yahoo
Headwater Exploration (TSE:HWX) Has Affirmed Its Dividend Of CA$0.11
The board of Headwater Exploration Inc. (TSE:HWX) has announced that it will pay a dividend of CA$0.11 per share on the 15th of July. Based on this payment, the dividend yield on the company's stock will be 7.5%, which is an attractive boost to shareholder returns. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. While it is great to have a strong dividend yield, we should also consider whether the payment is sustainable. Headwater Exploration was earning enough to cover the previous dividend, but it was paying out quite a large proportion of its free cash flows. The business is earning enough to make the dividend feasible, but the cash payout ratio of 94% indicates it is more focused on returning cash to shareholders than growing the business. EPS is set to fall by 39.1% over the next 12 months. However, if the dividend continues along recent trends, we estimate the payout ratio could reach 82%, meaning that most of the company's earnings are being paid out to shareholders. See our latest analysis for Headwater Exploration The dividend has been pretty stable looking back, but the company hasn't been paying one for very long. This makes it tough to judge how it would fare through a full economic cycle. Since 2022, the annual payment back then was CA$0.40, compared to the most recent full-year payment of CA$0.44. This means that it has been growing its distributions at 3.2% per annum over that time. Modest dividend growth is good to see, especially with the payments being relatively stable. However, the payment history is relatively short and we wouldn't want to rely on this dividend too much. The company's investors will be pleased to have been receiving dividend income for some time. It's encouraging to see that Headwater Exploration has been growing its earnings per share at 44% a year over the past five years. The company's earnings per share has grown rapidly in recent years, and it has a good balance between reinvesting and paying dividends to shareholders, so we think that Headwater Exploration could prove to be a strong dividend payer. Overall, it's nice to see a consistent dividend payment, but we think that longer term, the current level of payment might be unsustainable. The company hasn't been paying a very consistent dividend over time, despite only paying out a small portion of earnings. We don't think Headwater Exploration is a great stock to add to your portfolio if income is your focus. It's important to note that companies having a consistent dividend policy will generate greater investor confidence than those having an erratic one. At the same time, there are other factors our readers should be conscious of before pouring capital into a stock. For example, we've identified 2 warning signs for Headwater Exploration (1 is a bit unpleasant!) that you should be aware of before investing. If you are a dividend investor, you might also want to look at our curated list of high yield dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
