Guru Shares: Price, Dividends and Performance
Guru is an attractive growth stock in the Canadian market that deserves its place in your stock portfolio with good prospects.
How much can you make with Guru stock?
Get up-to-date and precise information on Guru stock with its current price, dividend yield, analysis and our opinion.
This page is for information purposes only and does not constitute investment advice. Remember that investing can be risky.
Want to buy shares in Guru: Our key take-aways
Stock exchange: TSX
- Stock Index: S&P/TSX 60
- Dividend 2021: $0
- Dividend forecast 2022: $0
- 1 year performance: -39.01%
Should I buy Guru stock?
While Guru Organic Energy does not offer a dividend to its shareholders, it is an attractive long-term growth stock.
The stock, which was recently introduced to the stock market, appears to have a bright future ahead of it, based on analysts' forecasts and current fundamental and technical indicators.
By reinvesting its current profits into its growth, this company could allow its shareholders to realize an interesting capital gain within the framework of a long-term holding strategy.
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How can I buy shares in Guru ?
To buy Guru on the stock market:
- Find an online broker offering stock investments.
- Open your trading account by filling out a simple form.
- Deposit funds into your account.
- Search for the stock
- Place a buy order to add Guru to your stock portfolio.
How much are Guru shares?
See price chart below to follow Guru stock price in real time.
Why Guru shares could go up:
Currently and in view of the economic situation of Guru Organic Energy, several elements lean in favour of a probable rise in the price of this stock and here are the main ones:
- A large market: First of all, the market that Guru is addressing is a large market. The U.S. energy drink market is currently valued at over $15 billion and could reach $20 billion in a few years.
- An attractive product: on the other hand, Guru is approaching this market with a different approach by offering a healthy and organic product unlike the products marketed by most of its major competitors which are considered toxic and unhealthy by the general public.
- An organic approach: the fact that Guru offers organic energy drinks is a very differentiating element that allows it to ride the current wave of organic and natural products and could allow it to attract many new customers.
- High growth rate: Guru Organic Energy's current growth rate is significant and has averaged 28% over the last three years, which is a sign of a significant growth potential for its stock.
- High margins: Similarly, Guru's margins are among the highest in the market at 65% compared to 55-60% for the rest of the industry.
- Strong position in Quebec: Guru Organic Energy currently enjoys a strong and dominant position in Quebec where it holds a 13% market share and is positioned just behind Red Bull and Monster.
- International growth potential: Finally, the group could strongly increase its growth in the coming years by tackling the international market.
Why Guru shares could go down:
Of course, the factors favouring an increase in Guru's stock price must be balanced by a few factors favouring a decrease in the stock's value, the main ones being
- High valuation: the initial price set at the time of the IPO of Guru Organic Energy stock was high and represented 7 times fiscal year 2020 sales. This price does not really seem justified, according to analysts, considering the current financial ratios.
- Industry consolidation: The energy drink industry is currently undergoing consolidation and Guru Group could be a takeover target for the major groups in this sector.
- Intense competition: the competition in this sector is particularly intense and Guru has to face big players like PepsiCo and Coca-Cola.
- No profit for the next two or three years: the group does not expect to make a profit during the next two or three years.
- High marketing expenses: Guru Group is currently spending a lot of money on marketing, which will significantly reduce its margins and profits.
- No dividend: Finally, this newly listed stock does not pay dividends to its shareholders. It is therefore primarily a growth stock, not a yield stock.
Can I buy Guru stock online?
Yes! You can buy Guru shares online. For many buyers this is the best way to do it. Here's why:
- The commissions are lower
- You can choose your own investments
- You benefit from analysis and decision support tools
- You can invest in stocks directly or through derivatives like ETFs.
How can I sell my Guru shares?
If you are investing through a traditional Canadian investment vehicle, you cannot short Guru shares. However, you can resell the company's stock you own by placing a sell order from your brokerage platform.
You can also speculate on the decline of the stock by using a short selling margin account or derivative products such as CFDs or options.
What investment vehicles in Canada can hold Guru stock?
Guru shares can be placed in several different savings vehicles including"
- RRSPs: these registered retirement savings plans offer funds that are accessible at the time of retirement and offer an income tax deferral.
- TFSAs: tax-free savings accounts is an incredibly popular short-and long-term tax-free investment vehicle.
- Margin accounts: This account offers leverage and allows you to borrow against the value of the securities you hold to make other investments. It allows you to sell short.
- Cash accounts: This account allows you to trade stocks on North American markets only.
There are several ways to buy Guru shares in Canada:
- Buy Guru shares for cash by placing a buy order from a stock brokerage platform.
- Invest in a fund that includes this stock along with other stocks in the same sector or market index with mutual funds or ETFs.
Guru share price history over 10 years:
Guru dividends and payment dates
In 2021, the Guru Group did not pay any dividends to shareholders.
Indeed, Guru Organic Energy's stock is not yet a yield stock and this lack of dividend can easily be explained by the fact that it was recently listed on the stock exchange.
In its current communication, the company does indeed indicate that it wants to make strong investments in various areas such as marketing, which will require the use of its cash flow in order to boost its growth.
Guru has not indicated whether it will pay a dividend in 2022 or in subsequent years, but this stock can be bought as a growth stock by betting on a rise in its share price.
What is the dividend yield for Guru over the last 10 years?
The yield on Guru shares is obtained by dividing the annual dividend by the annual average price.
A stock's yield provides key information about a company's dividend policy and its evolution over time and performance.
Good to know
Annual gross shareholder return = Total dividend for the year ÷ average share price for the same year
Good to know
The 10-year average return = Sum of annual returns ÷ 10
What analysts are saying about Guru stock:
A critical analysis of Guru stock:
Fundamental analysis of Guru Organic Energy stock shows interesting buy signals in the long-term but not very interesting in the short-term with the following indicators:
- Positive analysts' expectations: analysts are currently anticipating a significant increase in the group's business volume with a strong growth rate for the coming years.
- Excellent financial situation: the company's financial situation appears to be excellent with a strong investment capacity.
- Buy recommendations: most of the analysts working on this file issue buy recommendations on this stock or overweight recommendations on it.
- Attractive price target: The average price target of the analysts is quite far from the current price, which suggests that Guru's share price could rise significantly.
- Good visibility on future business: Visibility on the company's business is excellent, with analysts' opinions on future revenue very close to each other, suggesting good revenue predictability for the current year and beyond.
- Low profitability levels: the company currently has profitability levels that are considered insufficient.
- A highly valued company: in view of current prices, the group appears to be particularly valued in terms of enterprise value and given the size of its balance sheet.
- Disappointing earnings reports: In the past, Guru Group's earnings reports have often disappointed investors by falling short of expectations.
A technical analysis of Guru stock:
The medium and long-term technical analysis of Guru Organic Energy's share price are much more mixed with the following indicators:
- The RSI is currently at 41.55 and therefore does not give any particular signal for this stock.
- The stochastics are also giving a neutral signal on this stock, whatever the period.
- The MACD is the only indicator of the ocsimmator type that sends a buy signal on the Guru share.
- The simple and exponetial moving averages send a short, medium or long-term sell signal.
- Finally, the next technical supports for this stock are located at 10.92 and 5.77 and the next resistances are located at 22.65 and 28.63.
Who is Guru?
Guru Organic Energy Corp is a Canadian company specialized in the beverage industry.
More specifically, the group produces, markets and distributes energy drinks. It is also involved in the development, marketing, sales and distribution of organic and natural plant-based energy drinks under the GURU brand.
Guru currently markets its energy drinks in Canada and the United States. It relies on a distribution network of more than 21,000 outlets and its own website.
The ingredients used by Guru in the manufacture of its drinks are green tea, matcha, guarana, ginseng, echinacea, monk fruit and stevia. The group already markets several types of products including Guru Organic Energy, Guru Organic Energy - Yerba Mate, Guru Organic Energy - Lite, Guru Organic Energy - Matcha, Guru Energy Water - Grapefruit, Guru Energy Water - Lime, and Guru Energy Water - Pomegranate.
The company currently employs only 70 people.
The geographic breakdown of Guru Group's revenue is as follows:
- 85.8% of its revenue are generated in Canada
- The remaining 14.2% is generated in the United States
Who are Guru’s competitors?
The Guru group is a new entrant in the energy drinks sector and therefore has to face a tough competition from other major players, the main ones being:
- Red Bull GmbH: this company is the one that markets the energy drink Red Bull Energy Drink, based on taurine. It is an Austrian company which was created in Thailand.
- Hansen Natural: this company is specialized in the marketing and sale of several energy drinks including Monster Energy, one of the main competitors of Guru.
- The Coca-Cola Company: the Coca-Cola group is of course also present on the energy drinks market with the Burn brand. It is an American group specialized in non-alcoholic beverages and one of the largest market capitalizations.
- PepsiCo: The PepsiCo group is also a direct competitor of Guru as the company has recently started to produce and distribute energy drinks. It is an American multinational company specialized in the food industry.
- Celsius Holding: this company specializes in the development, sale and distribution of functional fitness drinks that burn calories and under the Celsius brand. The products it offers are sweetened with sucralose and other natural ingredients and dietary supplements.
Who are Guru’s partners?
Relatively new to its market, Guru Organic Energy has not yet developed many strategic partnerships with other companies, but it does have some strategic allies, including
- Racoon: the company has partnered with Racoon Ski in Quebec, offering its customers the opportunity to win a pair of Racoon skis handcrafted in Quebec with a simple online registration. This contest, and therefore partnership, ended in 2019.
- PepsiCo Canada Beverages: Most recently, the group signed a partnership with its competitor in Canada to become the exclusive national distributor of Guru's organic energy drinks starting in late 2021. This partnership is a long-term agreement that significantly accelerates the group's Canadian growth plans.
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