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EMERGE COMMERCE LTD (ECOM.CA) Stock Fundamental Analysis

Canada - TSX Venture Exchange - TSX-V:ECOM - CA29104G1081 - Common Stock

0.115 CAD
+0.02 (+15%)
Last: 12/12/2025, 7:00:00 PM
Fundamental Rating

3

We assign a fundamental rating of 3 out of 10 to ECOM. ECOM was compared to 12 industry peers in the IT Services industry. Both the profitability and financial health of ECOM have multiple concerns. ECOM is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

In the past year ECOM has reported negative net income.
In the past year ECOM had a positive cash flow from operations.
In the past 5 years ECOM always reported negative net income.
The reported operating cash flow has been mixed in the past 5 years: ECOM reported negative operating cash flow in multiple years.
ECOM.CA Yearly Net Income VS EBIT VS OCF VS FCFECOM.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2019 2020 2021 2022 2023 2024 0 -5M -10M -15M -20M

1.2 Ratios

ECOM's Return On Assets of 1.51% is fine compared to the rest of the industry. ECOM outperforms 66.67% of its industry peers.
ECOM has a Return On Invested Capital of 5.05%. This is in the better half of the industry: ECOM outperforms 75.00% of its industry peers.
Industry RankSector Rank
ROA 1.51%
ROE N/A
ROIC 5.05%
ROA(3y)-42.68%
ROA(5y)-29.28%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ECOM.CA Yearly ROA, ROE, ROICECOM.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2019 2020 2021 2022 2023 2024 0 100 -100 200

1.3 Margins

ECOM has a better Profit Margin (0.68%) than 75.00% of its industry peers.
Looking at the Operating Margin, with a value of 0.46%, ECOM is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
The Gross Margin of ECOM (37.99%) is better than 66.67% of its industry peers.
ECOM's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 0.46%
PM (TTM) 0.68%
GM 37.99%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-2.37%
GM growth 5Y-12.96%
ECOM.CA Yearly Profit, Operating, Gross MarginsECOM.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2019 2020 2021 2022 2023 2024 0 50 -50 -100

2

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ECOM is destroying value.
Compared to 1 year ago, ECOM has more shares outstanding
The number of shares outstanding for ECOM has been increased compared to 5 years ago.
The debt/assets ratio for ECOM is higher compared to a year ago.
ECOM.CA Yearly Shares OutstandingECOM.CA Yearly Shares OutstandingYearly Shares Outstanding 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
ECOM.CA Yearly Total Debt VS Total AssetsECOM.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M

2.2 Solvency

ECOM has an Altman-Z score of -4.67. This is a bad value and indicates that ECOM is not financially healthy and even has some risk of bankruptcy.
ECOM has a Altman-Z score (-4.67) which is in line with its industry peers.
ECOM has a debt to FCF ratio of 3.42. This is a good value and a sign of high solvency as ECOM would need 3.42 years to pay back of all of its debts.
ECOM has a Debt to FCF ratio of 3.42. This is in the better half of the industry: ECOM outperforms 75.00% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 3.42
Altman-Z -4.67
ROIC/WACC0.59
WACC8.5%
ECOM.CA Yearly LT Debt VS Equity VS FCFECOM.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2019 2020 2021 2022 2023 2024 0 10M 20M

2.3 Liquidity

A Current Ratio of 0.85 indicates that ECOM may have some problems paying its short term obligations.
The Current ratio of ECOM (0.85) is worse than 66.67% of its industry peers.
ECOM has a Quick Ratio of 0.85. This is a bad value and indicates that ECOM is not financially healthy enough and could expect problems in meeting its short term obligations.
ECOM's Quick ratio of 0.51 is on the low side compared to the rest of the industry. ECOM is outperformed by 75.00% of its industry peers.
Industry RankSector Rank
Current Ratio 0.85
Quick Ratio 0.51
ECOM.CA Yearly Current Assets VS Current LiabilitesECOM.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2019 2020 2021 2022 2023 2024 10M 20M 30M 40M

4

3. Growth

3.1 Past

ECOM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 98.62%, which is quite impressive.
Looking at the last year, ECOM shows a quite strong growth in Revenue. The Revenue has grown by 8.53% in the last year.
The Revenue has been growing by 37.47% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)98.62%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.45%
Revenue 1Y (TTM)8.53%
Revenue growth 3Y-16.3%
Revenue growth 5Y37.47%
Sales Q2Q%63.29%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
ECOM.CA Yearly Revenue VS EstimatesECOM.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2019 2020 2021 2022 2023 2024 10M 20M 30M 40M 50M
ECOM.CA Yearly EPS VS EstimatesECOM.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 -0.05 -0.1 -0.15

2

4. Valuation

4.1 Price/Earnings Ratio

Industry RankSector Rank
PE N/A
Fwd PE N/A
ECOM.CA Price Earnings VS Forward Price EarningsECOM.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 0 0 0 0

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ECOM indicates a somewhat cheap valuation: ECOM is cheaper than 66.67% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ECOM is valued cheaper than 91.67% of the companies in the same industry.
Industry RankSector Rank
P/FCF 7.93
EV/EBITDA 66.41
ECOM.CA Per share dataECOM.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 0.05 -0.05 0.1 0.15

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A

0

5. Dividend

5.1 Amount

ECOM does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

EMERGE COMMERCE LTD

TSX-V:ECOM (12/12/2025, 7:00:00 PM)

0.115

+0.02 (+15%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)04-28 2025-04-28
Earnings (Next)N/A N/A
Inst OwnersN/A
Inst Owner ChangeN/A
Ins Owners15%
Ins Owner ChangeN/A
Market Cap17.19M
Revenue(TTM)23.73M
Net Income(TTM)160.80K
Analysts80
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0%
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 0.72
P/FCF 7.93
P/OCF 7.92
P/B N/A
P/tB N/A
EV/EBITDA 66.41
EPS(TTM)0
EYN/A
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)0.01
FCFY12.62%
OCF(TTM)0.01
OCFY12.63%
SpS0.16
BVpS-0.05
TBVpS-0.07
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 1.51%
ROE N/A
ROCE 7.01%
ROIC 5.05%
ROICexc N/A
ROICexgc N/A
OM 0.46%
PM (TTM) 0.68%
GM 37.99%
FCFM 9.14%
ROA(3y)-42.68%
ROA(5y)-29.28%
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 3Y-2.37%
GM growth 5Y-12.96%
F-Score5
Asset Turnover2.23
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 3.42
Debt/EBITDA 22.66
Cap/Depr N/A
Cap/Sales N/A
Interest Coverage 0.13
Cash Conversion 682.74%
Profit Quality 1348.76%
Current Ratio 0.85
Quick Ratio 0.51
Altman-Z -4.67
F-Score5
WACC8.5%
ROIC/WACC0.59
Cap/Depr(3y)0.54%
Cap/Depr(5y)1.38%
Cap/Sales(3y)0.08%
Cap/Sales(5y)0.22%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)98.62%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%127.45%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)8.53%
Revenue growth 3Y-16.3%
Revenue growth 5Y37.47%
Sales Q2Q%63.29%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y108.37%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-41.68%
FCF growth 3YN/A
FCF growth 5Y-48.26%
OCF growth 1Y-42.08%
OCF growth 3YN/A
OCF growth 5Y-48.9%

EMERGE COMMERCE LTD / ECOM.CA FAQ

What is the fundamental rating for ECOM stock?

ChartMill assigns a fundamental rating of 3 / 10 to ECOM.CA.


Can you provide the valuation status for EMERGE COMMERCE LTD?

ChartMill assigns a valuation rating of 2 / 10 to EMERGE COMMERCE LTD (ECOM.CA). This can be considered as Overvalued.


What is the profitability of ECOM stock?

EMERGE COMMERCE LTD (ECOM.CA) has a profitability rating of 3 / 10.


Can you provide the financial health for ECOM stock?

The financial health rating of EMERGE COMMERCE LTD (ECOM.CA) is 2 / 10.