MEDICAL FACILITIES CORP (DR.CA) Stock Fundamental Analysis
TSX:DR - Toronto Stock Exchange - CA58457V5036 - Common Stock - Currency: CAD
Taking everything into account, DR scores 6 out of 10 in our fundamental rating. DR was compared to 14 industry peers in the Health Care Providers & Services industry. Both the health and profitability get an excellent rating, making DR a very profitable company, without any liquidiy or solvency issues. DR is valued quite cheap, but it does not seem to be growing. These ratings would make DR suitable for value investing!
1. Profitability
1.1 Basic Checks
In the past year DR was profitable.
DR had a positive operating cash flow in the past year.
Of the past 5 years DR 4 years were profitable.
In the past 5 years DR always reported a positive cash flow from operatings.
1.2 Ratios
DR has a better Return On Assets (25.68%) than 92.86% of its industry peers.
DR has a better Return On Equity (93.69%) than 100.00% of its industry peers.
DR has a Return On Invested Capital of 18.38%. This is amongst the best in the industry. DR outperforms 92.86% of its industry peers.
DR had an Average Return On Invested Capital over the past 3 years of 16.37%. This is significantly above the industry average of 8.13%.
The 3 year average ROIC (16.37%) for DR is below the current ROIC(18.38%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.68% | ||
| ROE | 93.69% | ||
| ROIC | 18.38% |
ROA(3y)8.42%
ROA(5y)6.13%
ROE(3y)25.39%
ROE(5y)18.93%
ROIC(3y)16.37%
ROIC(5y)14.6%
1.3 Margins
DR has a better Profit Margin (24.74%) than 92.86% of its industry peers.
DR's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 15.59%, DR belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of DR has remained more or less at the same level.
The Gross Margin of DR (65.80%) is better than 92.86% of its industry peers.
In the last couple of years the Gross Margin of DR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.59% | ||
| PM (TTM) | 24.74% | ||
| GM | 65.8% |
OM growth 3Y-0.97%
OM growth 5Y-1.3%
PM growth 3Y78.64%
PM growth 5Y55.2%
GM growth 3Y-0.53%
GM growth 5Y-0.42%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DR is creating value.
Compared to 1 year ago, DR has less shares outstanding
The number of shares outstanding for DR has been reduced compared to 5 years ago.
The debt/assets ratio for DR has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that DR is in the distress zone and has some risk of bankruptcy.
DR has a Altman-Z score of 1.41. This is comparable to the rest of the industry: DR outperforms 57.14% of its industry peers.
The Debt to FCF ratio of DR is 1.65, which is an excellent value as it means it would take DR, only 1.65 years of fcf income to pay off all of its debts.
DR has a Debt to FCF ratio of 1.65. This is amongst the best in the industry. DR outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 1.17 is on the high side and indicates that DR has dependencies on debt financing.
DR has a Debt to Equity ratio of 1.17. This is comparable to the rest of the industry: DR outperforms 50.00% of its industry peers.
Although DR does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 1.65 | ||
| Altman-Z | 1.41 |
ROIC/WACC2.34
WACC7.84%
2.3 Liquidity
A Current Ratio of 1.45 indicates that DR should not have too much problems paying its short term obligations.
DR has a better Current ratio (1.45) than 100.00% of its industry peers.
DR has a Quick Ratio of 1.37. This is a normal value and indicates that DR is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 1.37, DR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 79.31% over the past year.
DR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -31.41%.
Measured over the past years, DR shows a decrease in Revenue. The Revenue has been decreasing by -3.59% on average per year.
EPS 1Y (TTM)79.31%
EPS 3Y10.86%
EPS 5Y0%
EPS Q2Q%142.86%
Revenue 1Y (TTM)-31.41%
Revenue growth 3Y-5.96%
Revenue growth 5Y-3.59%
Sales Q2Q%-24.52%
3.2 Future
Based on estimates for the next years, DR will show a small growth in Earnings Per Share. The EPS will grow by 0.63% on average per year.
DR is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -7.10% yearly.
EPS Next Y-11.79%
EPS Next 2Y-4.92%
EPS Next 3Y0.63%
EPS Next 5YN/A
Revenue Next Year-21.55%
Revenue Next 2Y-11.23%
Revenue Next 3Y-7.1%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 10.97, which indicates a very decent valuation of DR.
Compared to the rest of the industry, the Price/Earnings ratio of DR indicates a rather cheap valuation: DR is cheaper than 92.86% of the companies listed in the same industry.
DR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.51.
Based on the Price/Forward Earnings ratio of 13.41, the valuation of DR can be described as correct.
Based on the Price/Forward Earnings ratio, DR is valued cheaper than 100.00% of the companies in the same industry.
DR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 35.58.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 13.41 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DR is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, DR is valued cheaper than 92.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.17 | ||
| EV/EBITDA | 3.99 |
4.3 Compensation for Growth
The excellent profitability rating of DR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.92%
EPS Next 3Y0.63%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.25%, DR has a reasonable but not impressive dividend return.
DR's Dividend Yield is a higher than the industry average which is at 3.25.
Compared to an average S&P500 Dividend Yield of 2.35, DR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.25% |
5.2 History
The dividend of DR decreases each year by -19.91%.
DR has been paying a dividend for at least 10 years, so it has a reliable track record.
DR has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-19.91%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
DR pays out 8.01% of its income as dividend. This is a sustainable payout ratio.
DP8.01%
EPS Next 2Y-4.92%
EPS Next 3Y0.63%
TSX:DR (7/14/2025, 7:00:00 PM)
15.58
-0.09 (-0.57%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners12.28%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap296.80M
Analysts42.22
Price Target16.58 (6.42%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.25% |
Yearly Dividend0.35
Dividend Growth(5Y)-19.91%
DP8.01%
Div Incr Years1
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)7.37%
Min EPS beat(2)-24.98%
Max EPS beat(2)39.71%
EPS beat(4)1
Avg EPS beat(4)-33.37%
Min EPS beat(4)-106.47%
Max EPS beat(4)39.71%
EPS beat(8)2
Avg EPS beat(8)-44.37%
EPS beat(12)5
Avg EPS beat(12)6.68%
EPS beat(16)7
Avg EPS beat(16)-95.19%
Revenue beat(2)0
Avg Revenue beat(2)-11.48%
Min Revenue beat(2)-18.84%
Max Revenue beat(2)-4.13%
Revenue beat(4)0
Avg Revenue beat(4)-7.57%
Min Revenue beat(4)-18.84%
Max Revenue beat(4)-2.75%
Revenue beat(8)2
Avg Revenue beat(8)-3.55%
Revenue beat(12)3
Avg Revenue beat(12)-2.59%
Revenue beat(16)4
Avg Revenue beat(16)-2.53%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-19.23%
EPS NQ rev (3m)-19.23%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.67%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 13.41 | ||
| P/S | 0.71 | ||
| P/FCF | 3.17 | ||
| P/OCF | 2.91 | ||
| P/B | 2.7 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.99 |
EPS(TTM)1.42
EY9.11%
EPS(NY)1.16
Fwd EY7.46%
FCF(TTM)4.91
FCFY31.53%
OCF(TTM)5.35
OCFY34.33%
SpS21.89
BVpS5.78
TBVpS-1.23
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.68% | ||
| ROE | 93.69% | ||
| ROCE | 22.24% | ||
| ROIC | 18.38% | ||
| ROICexc | 26.53% | ||
| ROICexgc | 78% | ||
| OM | 15.59% | ||
| PM (TTM) | 24.74% | ||
| GM | 65.8% | ||
| FCFM | 22.44% |
ROA(3y)8.42%
ROA(5y)6.13%
ROE(3y)25.39%
ROE(5y)18.93%
ROIC(3y)16.37%
ROIC(5y)14.6%
ROICexc(3y)21.7%
ROICexc(5y)18.79%
ROICexgc(3y)53.59%
ROICexgc(5y)43.79%
ROCE(3y)19.81%
ROCE(5y)17.76%
ROICexcg growth 3Y35.06%
ROICexcg growth 5Y23.36%
ROICexc growth 3Y18.42%
ROICexc growth 5Y13.1%
OM growth 3Y-0.97%
OM growth 5Y-1.3%
PM growth 3Y78.64%
PM growth 5Y55.2%
GM growth 3Y-0.53%
GM growth 5Y-0.42%
F-Score6
Asset Turnover1.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 1.65 | ||
| Debt/EBITDA | 1.42 | ||
| Cap/Depr | 32.41% | ||
| Cap/Sales | 1.99% | ||
| Interest Coverage | 6.03 | ||
| Cash Conversion | 112.39% | ||
| Profit Quality | 90.72% | ||
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 | ||
| Altman-Z | 1.41 |
F-Score6
WACC7.84%
ROIC/WACC2.34
Cap/Depr(3y)47.79%
Cap/Depr(5y)40.36%
Cap/Sales(3y)2.81%
Cap/Sales(5y)2.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)79.31%
EPS 3Y10.86%
EPS 5Y0%
EPS Q2Q%142.86%
EPS Next Y-11.79%
EPS Next 2Y-4.92%
EPS Next 3Y0.63%
EPS Next 5YN/A
Revenue 1Y (TTM)-31.41%
Revenue growth 3Y-5.96%
Revenue growth 5Y-3.59%
Sales Q2Q%-24.52%
Revenue Next Year-21.55%
Revenue Next 2Y-11.23%
Revenue Next 3Y-7.1%
Revenue Next 5YN/A
EBIT growth 1Y-33.05%
EBIT growth 3Y-6.86%
EBIT growth 5Y-4.85%
EBIT Next Year-2.7%
EBIT Next 3Y2.42%
EBIT Next 5YN/A
FCF growth 1Y22.31%
FCF growth 3Y4.28%
FCF growth 5Y3.38%
OCF growth 1Y15.56%
OCF growth 3Y3.26%
OCF growth 5Y1.55%