Weekly Summary - QIS Blog - September 14, 2018 - September 14th 2018
Weekly Summary - QIS Blog - September 14, 2018
As we hit the midway point of September and close in on the end of the third quarter of the calendar year, we will continue to monitor the small-cap markets as we anticipate a pickup in news and trading activity. Any pertinent information will be passed along in the weekly blog or in future QIS Updates.
We are always looking for new investment ideas and are open to researching any promising companies discussed in this forum or presented to us via email or phone call. As always, we have a preference for those stocks which are fundamentally sound, undervalued and underfollowed.
The most recent email update issued by QIS Capital was sent out to subscribers on September 4, 2018. QIS Update #14 included the most recent news from Deer Horn Capital (DHC:CSE) as well as financial results from both Newlox Gold Ventures (LUX:CSE) and NTG Clarity Networks (NCI:TSX-V).
To receive QIS Capital’s email updates directly in your inbox as they are issued, please sign up at: http://www.smallcaps.ca/investor_signup. We typically send out 10-15 email updates per year.
While the two Canadian indices we track showed little volatility this past week, the Dow Jones reached a 7-month high. The S&P TSX Venture Composite Index posted a small gain this week, adding a combined 3.10 points to close on Friday at 715.16. Canada's most well-known index, the S&P TSX Composite Index, posted a loss this week. The TSX Composite shed a total of 76.78 points during the week and closed on Friday at 16,013.49 points. Down in the United States, the Dow Jones Industrial Average traded as high as 26,211.11 points on Friday, a level not reached since Feb. 1, 2018. In all for the week, the Dow Jones added 238.13 points and closed on Friday at 26,154.67.
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Collapse of Lehman Brothers 10 years ago still looms over Canada's economy
Canadian company to keep exploring after gold discovery worth $15M
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The Week Ahead: iPhone XS goes on sale; housing, retail sales data
Company to Watch
Questor Technology Inc. (QST:TSX-V) Questor is an international environmental cleantech company founded in 1994 and headquartered in Calgary, Alta., with field offices located in Grande Prairie, Alta.; Brighton, Colo.; and Brooksville, Fla. The company is active in Canada, the United States, Europe and Asia, and is focused on clean air technologies that safely and cost-effectively improves air quality, support energy efficiency and greenhouse gas emission reductions.
For the six months ended June 30, 2018, Questor had revenues of $11.7 million, up 69% from the prior year. EBITDA for the first half of 2018 was $6.5 million compared to $2.4 million the prior year and net income was $3.9 million or $0.15 per share compared to $1.4 million or $0.05 per share in 2017. Also as at June 30, 2018, Questor had cash on hand of $4.9 million, positive working capital of $8.6 million, and no long term debt. The company has 26,465,370 shares issued and outstanding.
Questor’s shares have declined significantly since the end of June falling from $4.50 to $2.00. At $2.00 the company is trading at just 6.7 times annualized earnings and at just 5.6 times earnings adjusted for working capital. Third quarter results should be announced in mid-to-late November.