MEDICAL FACILITIES CORP (DR.CA) Stock Fundamental Analysis
TSX:DR - Toronto Stock Exchange - CA58457V5036 - Common Stock - Currency: CAD
We assign a fundamental rating of 6 out of 10 to DR. DR was compared to 15 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.
In the past year DR had a positive cash flow from operations.
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 Return On Assets of 25.68%. This is amongst the best in the industry. DR outperforms 93.33% of its industry peers.
DR has a better Return On Equity (93.69%) than 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 18.38%, DR belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DR is significantly above the industry average of 8.15%.
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
Looking at the Profit Margin, with a value of 24.74%, DR belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Profit Margin of DR has grown nicely.
The Operating Margin of DR (15.59%) is better than 100.00% of its industry peers.
In the last couple of years the Operating Margin of DR has remained more or less at the same level.
With an excellent Gross Margin value of 65.80%, DR belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
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
DR has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
DR has less shares outstanding than it did 1 year ago.
DR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, DR has an improved debt to assets ratio.
2.2 Solvency
DR has an Altman-Z score of 1.43. This is a bad value and indicates that DR is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of DR (1.43) is comparable to the rest of the industry.
DR has a debt to FCF ratio of 1.65. This is a very positive value and a sign of high solvency as it would only need 1.65 years to pay back of 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.
The Debt to Equity ratio of DR (1.17) is comparable to the rest of the industry.
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 | 1.43 |
ROIC/WACC2.38
WACC7.73%
2.3 Liquidity
DR has a Current Ratio of 1.45. This is a normal value and indicates that DR is financially healthy and should not expect problems in meeting 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.
DR has a Quick ratio of 1.37. This is amongst the best in the industry. DR outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.45 | ||
| Quick Ratio | 1.37 |
3. Growth
3.1 Past
DR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 79.31%, which is quite impressive.
The Revenue for DR has decreased by -31.41% in the past year. This is quite bad
The Revenue has been decreasing by -3.59% on average over the past years.
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
DR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.63% yearly.
Based on estimates for the next years, DR will show a decrease in Revenue. The Revenue will decrease by -7.10% on average per year.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
A Price/Earnings ratio of 11.24 indicates a reasonable valuation of DR.
Based on the Price/Earnings ratio, DR is valued cheaper than 93.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.32. DR is valued rather cheaply when compared to this.
DR is valuated correctly with a Price/Forward Earnings ratio of 13.75.
Based on the Price/Forward Earnings ratio, DR is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
DR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.19, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.24 | ||
| Fwd PE | 13.75 |
4.2 Price Multiples
100.00% of the companies in the same industry are more expensive than DR, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, DR is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.28 | ||
| EV/EBITDA | 4.12 |
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 2.27%, DR has a reasonable but not impressive dividend return.
DR's Dividend Yield is a higher than the industry average which is at 3.21.
Compared to an average S&P500 Dividend Yield of 2.40, DR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
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 (6/17/2025, 7:00:00 PM)
15.85
-0.02 (-0.13%)
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 Cap304.80M
Analysts42.22
Price Target16.58 (4.61%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
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)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)36.44%
Revenue NQ rev (1m)-0.67%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.24 | ||
| Fwd PE | 13.75 | ||
| P/S | 0.74 | ||
| P/FCF | 3.28 | ||
| P/OCF | 3.01 | ||
| P/B | 2.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.12 |
EPS(TTM)1.41
EY8.9%
EPS(NY)1.15
Fwd EY7.27%
FCF(TTM)4.83
FCFY30.46%
OCF(TTM)5.26
OCFY33.17%
SpS21.52
BVpS5.68
TBVpS-1.21
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 | 1.43 |
F-Score6
WACC7.73%
ROIC/WACC2.38
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-1.93%
EBIT Next 3Y2.69%
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%