COVALON TECHNOLOGIES LTD (COV.CA) Stock Fundamental Analysis
TSX-V:COV • CA22282D3022
1.6 CAD
0 (0%)
Last: Feb 18, 2026, 07:00 PM
Taking everything into account, COV scores 6 out of 10 in our fundamental rating. COV was compared to 23 industry peers in the Biotechnology industry. COV is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. COV scores decently on growth, while it is valued quite cheap. This could make an interesting combination. These ratings would make COV suitable for value investing!
1. Profitability
1.1 Basic Checks
- In the past year COV was profitable.
- In the past year COV had a positive cash flow from operations.
- The reported net income has been mixed in the past 5 years: COV reported negative net income in multiple years.
- The reported operating cash flow has been mixed in the past 5 years: COV reported negative operating cash flow in multiple years.
1.2 Ratios
- COV has a Return On Assets of 5.70%. This is amongst the best in the industry. COV outperforms 95.65% of its industry peers.
- Looking at the Return On Equity, with a value of 6.70%, COV belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.
- COV's Return On Invested Capital of 3.92% is amongst the best of the industry. COV outperforms 95.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.7% | ||
| ROE | 6.7% | ||
| ROIC | 3.92% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 6.27%, COV belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.
- COV has a better Operating Margin (5.37%) than 95.65% of its industry peers.
- Looking at the Gross Margin, with a value of 53.24%, COV belongs to the top of the industry, outperforming 86.96% of the companies in the same industry.
- COV's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.37% | ||
| PM (TTM) | 6.27% | ||
| GM | 53.24% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.84%
GM growth 5Y9.13%
2. Health
2.1 Basic Checks
- COV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- There is no outstanding debt for COV. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- An Altman-Z score of 5.60 indicates that COV is not in any danger for bankruptcy at the moment.
- The Altman-Z score of COV (5.60) is better than 86.96% of its industry peers.
- The Debt to FCF ratio of COV is 1.56, which is an excellent value as it means it would take COV, only 1.56 years of fcf income to pay off all of its debts.
- With an excellent Debt to FCF ratio value of 1.56, COV belongs to the best of the industry, outperforming 91.30% of the companies in the same industry.
- A Debt/Equity ratio of 0.05 indicates that COV is not too dependend on debt financing.
- COV has a better Debt to Equity ratio (0.05) than 65.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 1.56 | ||
| Altman-Z | 5.6 |
ROIC/WACC0.49
WACC7.98%
2.3 Liquidity
- A Current Ratio of 8.36 indicates that COV has no problem at all paying its short term obligations.
- The Current ratio of COV (8.36) is better than 86.96% of its industry peers.
- A Quick Ratio of 6.40 indicates that COV has no problem at all paying its short term obligations.
- COV's Quick ratio of 6.40 is amongst the best of the industry. COV outperforms 91.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.36 | ||
| Quick Ratio | 6.4 |
3. Growth
3.1 Past
- COV shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -29.70%.
- The Revenue has been growing slightly by 5.29% in the past year.
- Measured over the past years, COV shows a quite strong growth in Revenue. The Revenue has been growing by 19.43% on average per year.
EPS 1Y (TTM)-29.7%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-50%
Revenue 1Y (TTM)5.29%
Revenue growth 3Y21.83%
Revenue growth 5Y19.43%
Sales Q2Q%-1.98%
3.2 Future
- COV is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.23% yearly.
- The Revenue is expected to grow by 6.47% on average over the next years.
EPS Next Y76.57%
EPS Next 2Y43.53%
EPS Next 3Y35.75%
EPS Next 5Y27.23%
Revenue Next Year6.67%
Revenue Next 2Y6.81%
Revenue Next 3Y6.78%
Revenue Next 5Y6.47%
3.3 Evolution
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 22.86 indicates a rather expensive valuation of COV.
- Based on the Price/Earnings ratio, COV is valued cheaply inside the industry as 95.65% of the companies are valued more expensively.
- COV's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.27.
- With a Price/Forward Earnings ratio of 12.94, COV is valued correctly.
- Based on the Price/Forward Earnings ratio, COV is valued cheaply inside the industry as 91.30% of the companies are valued more expensively.
- Compared to an average S&P500 Price/Forward Earnings ratio of 28.16, COV is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.86 | ||
| Fwd PE | 12.94 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, COV is valued cheaply inside the industry as 95.65% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, COV is valued cheaper than 91.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.64 | ||
| EV/EBITDA | 10.7 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of COV may justify a higher PE ratio.
- A more expensive valuation may be justified as COV's earnings are expected to grow with 35.75% in the coming years.
PEG (NY)0.3
PEG (5Y)N/A
EPS Next 2Y43.53%
EPS Next 3Y35.75%
5. Dividend
5.1 Amount
- COV has a Yearly Dividend Yield of 9.26%, which is a nice return.
- Compared to an average industry Dividend Yield of 0.50, COV pays a better dividend. On top of this COV pays more dividend than 100.00% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.84, COV pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.26% |
5.2 History
- COV is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y43.53%
EPS Next 3Y35.75%
TSX-V:COV (2/18/2026, 7:00:00 PM)
1.6
0 (0%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupPharmaceuticals, Biotechnology & Life Sciences
GICS IndustryBiotechnology
Earnings (Last)01-22 2026-01-22
Earnings (Next)03-03 2026-03-03
Inst OwnersN/A
Inst Owner ChangeN/A
Ins Owners5.08%
Ins Owner ChangeN/A
Market Cap44.19M
Revenue(TTM)32.82M
Net Income(TTM)2.06M
Analysts84.44
Price Target2.96 (85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 9.26% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)12.14%
Min EPS beat(2)-100%
Max EPS beat(2)124.27%
EPS beat(4)3
Avg EPS beat(4)86.97%
Min EPS beat(4)-100%
Max EPS beat(4)229.45%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-16.25%
Min Revenue beat(2)-19.53%
Max Revenue beat(2)-12.98%
Revenue beat(4)1
Avg Revenue beat(4)-1.09%
Min Revenue beat(4)-19.53%
Max Revenue beat(4)32.12%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-22.67%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.86 | ||
| Fwd PE | 12.94 | ||
| P/S | 1.35 | ||
| P/FCF | 30.64 | ||
| P/OCF | 19.3 | ||
| P/B | 1.44 | ||
| P/tB | 1.5 | ||
| EV/EBITDA | 10.7 |
EPS(TTM)0.07
EY4.38%
EPS(NY)0.12
Fwd EY7.73%
FCF(TTM)0.05
FCFY3.26%
OCF(TTM)0.08
OCFY5.18%
SpS1.19
BVpS1.11
TBVpS1.06
PEG (NY)0.3
PEG (5Y)N/A
Graham Number1.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.7% | ||
| ROE | 6.7% | ||
| ROCE | 5.45% | ||
| ROIC | 3.92% | ||
| ROICexc | 8.47% | ||
| ROICexgc | 9.31% | ||
| OM | 5.37% | ||
| PM (TTM) | 6.27% | ||
| GM | 53.24% | ||
| FCFM | 4.39% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.84%
GM growth 5Y9.13%
F-Score4
Asset Turnover0.91
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 1.56 | ||
| Debt/EBITDA | 0.6 | ||
| Cap/Depr | 88.69% | ||
| Cap/Sales | 2.58% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.21% | ||
| Profit Quality | 70.07% | ||
| Current Ratio | 8.36 | ||
| Quick Ratio | 6.4 | ||
| Altman-Z | 5.6 |
F-Score4
WACC7.98%
ROIC/WACC0.49
Cap/Depr(3y)88.92%
Cap/Depr(5y)79.37%
Cap/Sales(3y)2.96%
Cap/Sales(5y)3.15%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-29.7%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-50%
EPS Next Y76.57%
EPS Next 2Y43.53%
EPS Next 3Y35.75%
EPS Next 5Y27.23%
Revenue 1Y (TTM)5.29%
Revenue growth 3Y21.83%
Revenue growth 5Y19.43%
Sales Q2Q%-1.98%
Revenue Next Year6.67%
Revenue Next 2Y6.81%
Revenue Next 3Y6.78%
Revenue Next 5Y6.47%
EBIT growth 1Y-18.02%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year924.16%
EBIT Next 3Y139.18%
EBIT Next 5Y77.12%
FCF growth 1Y-52.81%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-34.09%
OCF growth 3YN/A
OCF growth 5YN/A
COVALON TECHNOLOGIES LTD / COV.CA FAQ
Can you provide the ChartMill fundamental rating for COVALON TECHNOLOGIES LTD?
ChartMill assigns a fundamental rating of 6 / 10 to COV.CA.
What is the valuation status for COV stock?
ChartMill assigns a valuation rating of 8 / 10 to COVALON TECHNOLOGIES LTD (COV.CA). This can be considered as Undervalued.
Can you provide the profitability details for COVALON TECHNOLOGIES LTD?
COVALON TECHNOLOGIES LTD (COV.CA) has a profitability rating of 6 / 10.
What is the financial health of COVALON TECHNOLOGIES LTD (COV.CA) stock?
The financial health rating of COVALON TECHNOLOGIES LTD (COV.CA) is 8 / 10.