COVEO SOLUTIONS INC-SUB VTG (CVO.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CVO - CA22289D1078 - Common Stock
5.7 CAD
+0.08 (+1.42%)
We assign a fundamental rating of 4 out of 10 to CVO. CVO was compared to 63 industry peers in the Software industry. The financial health of CVO is average, but there are quite some concerns on its profitability. CVO is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
In the past year CVO was profitable.
In the past year CVO had a positive cash flow from operations.
CVO had negative earnings in 4 of the past 5 years.
In multiple years CVO reported negative operating cash flow during the last 5 years.
1.2 Ratios
CVO has a Return On Assets (-10.07%) which is comparable to the rest of the industry.
CVO has a Return On Equity of -19.18%. This is comparable to the rest of the industry: CVO outperforms 47.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.07% | ||
| ROE | -19.18% | ||
| ROIC | N/A |
ROA(3y)-9.13%
ROA(5y)-43.11%
ROE(3y)-14.08%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With an excellent Gross Margin value of 78.31%, CVO belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
CVO's Gross Margin has been stable in the last couple of years.
The Profit Margin and Operating Margin are not available for CVO so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 78.31% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.53%
GM growth 5Y0.5%
2. Health
2.1 Basic Checks
CVO does not have a ROIC to compare to the WACC, probably because it is not profitable.
CVO has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CVO has been reduced compared to 5 years ago.
CVO has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -1.55, we must say that CVO is in the distress zone and has some risk of bankruptcy.
CVO has a Altman-Z score of -1.55. This is in the lower half of the industry: CVO underperforms 66.67% of its industry peers.
CVO has a debt to FCF ratio of 7.42. This is a slightly negative value and a sign of low solvency as CVO would need 7.42 years to pay back of all of its debts.
CVO has a better Debt to FCF ratio (7.42) than 65.08% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that CVO is not too dependend on debt financing.
The Debt to Equity ratio of CVO (0.07) is better than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 7.42 | ||
| Altman-Z | -1.55 |
ROIC/WACCN/A
WACC10.12%
2.3 Liquidity
CVO has a Current Ratio of 1.69. This is a normal value and indicates that CVO is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of CVO (1.69) is better than 61.90% of its industry peers.
A Quick Ratio of 1.69 indicates that CVO should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.69, CVO is doing good in the industry, outperforming 61.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
CVO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 160.00%, which is quite impressive.
The Revenue has grown by 9.20% in the past year. This is quite good.
The Revenue has been growing by 19.16% on average over the past years. This is quite good.
EPS 1Y (TTM)160%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%16.12%
Revenue 1Y (TTM)9.2%
Revenue growth 3Y15.5%
Revenue growth 5Y19.16%
Sales Q2Q%14.04%
3.2 Future
CVO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 48.56% yearly.
Based on estimates for the next years, CVO will show a very strong growth in Revenue. The Revenue will grow by 32.53% on average per year.
EPS Next Y-185.46%
EPS Next 2Y57.68%
EPS Next 3Y48.56%
EPS Next 5YN/A
Revenue Next Year10.73%
Revenue Next 2Y12.66%
Revenue Next 3Y13.53%
Revenue Next 5Y32.53%
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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 142.50, the valuation of CVO can be described as expensive.
CVO's Price/Earnings ratio is a bit cheaper when compared to the industry. CVO is cheaper than 63.49% of the companies in the same industry.
When comparing the Price/Earnings ratio of CVO to the average of the S&P500 Index (25.45), we can say CVO is valued expensively.
A Price/Forward Earnings ratio of 62.70 indicates a quite expensive valuation of CVO.
Based on the Price/Forward Earnings ratio, CVO is valued a bit cheaper than 60.32% of the companies in the same industry.
CVO's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 34.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 142.5 | ||
| Fwd PE | 62.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CVO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 289.9 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
CVO's earnings are expected to grow with 48.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y57.68%
EPS Next 3Y48.56%
5. Dividend
5.1 Amount
No dividends for CVO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:CVO (11/21/2025, 7:00:00 PM)
5.7
+0.08 (+1.42%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners27.27%
Inst Owner ChangeN/A
Ins Owners0.42%
Ins Owner ChangeN/A
Market Cap567.32M
Revenue(TTM)141.20M
Net Income(TTM)-21.71M
Analysts73.33
Price Target10.76 (88.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
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)1
Avg Revenue beat(2)0.19%
Min Revenue beat(2)-0.03%
Max Revenue beat(2)0.4%
Revenue beat(4)1
Avg Revenue beat(4)-0.29%
Min Revenue beat(4)-1.06%
Max Revenue beat(4)0.4%
Revenue beat(8)3
Avg Revenue beat(8)-0.2%
Revenue beat(12)5
Avg Revenue beat(12)-0.14%
Revenue beat(16)9
Avg Revenue beat(16)0.93%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-25%
EPS NQ rev (3m)-40%
EPS NY rev (1m)21.43%
EPS NY rev (3m)-150%
Revenue NQ rev (1m)-1.77%
Revenue NQ rev (3m)-1.77%
Revenue NY rev (1m)-1.18%
Revenue NY rev (3m)-0.96%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 142.5 | ||
| Fwd PE | 62.7 | ||
| P/S | 2.86 | ||
| P/FCF | 289.9 | ||
| P/OCF | 138.33 | ||
| P/B | 3.56 | ||
| P/tB | 4.8 | ||
| EV/EBITDA | N/A |
EPS(TTM)0.04
EY0.7%
EPS(NY)0.09
Fwd EY1.59%
FCF(TTM)0.02
FCFY0.34%
OCF(TTM)0.04
OCFY0.72%
SpS2
BVpS1.6
TBVpS1.19
PEG (NY)N/A
PEG (5Y)N/A
Graham Number1.2
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -10.07% | ||
| ROE | -19.18% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 78.31% | ||
| FCFM | 0.99% |
ROA(3y)-9.13%
ROA(5y)-43.11%
ROE(3y)-14.08%
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 3Y1.53%
GM growth 5Y0.5%
F-Score4
Asset Turnover0.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 7.42 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 21.2% | ||
| Cap/Sales | 1.08% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.69 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | -1.55 |
F-Score4
WACC10.12%
ROIC/WACCN/A
Cap/Depr(3y)12.77%
Cap/Depr(5y)21.5%
Cap/Sales(3y)1.15%
Cap/Sales(5y)2.29%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)160%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%16.12%
EPS Next Y-185.46%
EPS Next 2Y57.68%
EPS Next 3Y48.56%
EPS Next 5YN/A
Revenue 1Y (TTM)9.2%
Revenue growth 3Y15.5%
Revenue growth 5Y19.16%
Sales Q2Q%14.04%
Revenue Next Year10.73%
Revenue Next 2Y12.66%
Revenue Next 3Y13.53%
Revenue Next 5Y32.53%
EBIT growth 1Y-12.72%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year102.22%
EBIT Next 3Y70.24%
EBIT Next 5Y120.7%
FCF growth 1Y127.65%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y183.12%
OCF growth 3YN/A
OCF growth 5YN/A
COVEO SOLUTIONS INC-SUB VTG / CVO.CA FAQ
What is the fundamental rating for CVO stock?
ChartMill assigns a fundamental rating of 4 / 10 to CVO.CA.
What is the valuation status for CVO stock?
ChartMill assigns a valuation rating of 2 / 10 to COVEO SOLUTIONS INC-SUB VTG (CVO.CA). This can be considered as Overvalued.
Can you provide the profitability details for COVEO SOLUTIONS INC-SUB VTG?
COVEO SOLUTIONS INC-SUB VTG (CVO.CA) has a profitability rating of 2 / 10.
What is the earnings growth outlook for COVEO SOLUTIONS INC-SUB VTG?
The Earnings per Share (EPS) of COVEO SOLUTIONS INC-SUB VTG (CVO.CA) is expected to decline by -185.46% in the next year.