EVERTZ TECHNOLOGIES LTD (ET.CA) Stock Fundamental Analysis
Canada - TSX:ET - CA30041N1078 - Common Stock
12.66 CAD
-0.16 (-1.25%)
Overall ET gets a fundamental rating of 7 out of 10. We evaluated ET against 13 industry peers in the Communications Equipment industry. ET gets an excellent profitability rating and is at the same time showing great financial health properties. ET has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ET was profitable.
In the past year ET had a positive cash flow from operations.
Each year in the past 5 years ET has been profitable.
ET had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 12.61%, ET belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
With an excellent Return On Equity value of 23.49%, ET belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
ET has a better Return On Invested Capital (21.64%) than 100.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ET is significantly above the industry average of 12.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.61% | ||
| ROE | 23.49% | ||
| ROIC | 21.64% |
ROA(3y)13.93%
ROA(5y)13.62%
ROE(3y)25.05%
ROE(5y)24.1%
ROIC(3y)23.85%
ROIC(5y)23.04%
1.3 Margins
ET has a better Profit Margin (12.26%) than 92.31% of its industry peers.
In the last couple of years the Profit Margin of ET has declined.
ET's Operating Margin of 16.52% is amongst the best of the industry. ET outperforms 100.00% of its industry peers.
In the last couple of years the Operating Margin of ET has declined.
The Gross Margin of ET (59.96%) is better than 84.62% of its industry peers.
In the last couple of years the Gross Margin of ET has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.52% | ||
| PM (TTM) | 12.26% | ||
| GM | 59.96% |
OM growth 3Y-8.97%
OM growth 5Y-4.55%
PM growth 3Y-10.05%
PM growth 5Y-5.5%
GM growth 3Y0.92%
GM growth 5Y0.9%
2. Health
2.1 Basic Checks
ET has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
ET has less shares outstanding than it did 1 year ago.
ET has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ET has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 4.90 indicates that ET is not in any danger for bankruptcy at the moment.
ET's Altman-Z score of 4.90 is fine compared to the rest of the industry. ET outperforms 76.92% of its industry peers.
ET has a debt to FCF ratio of 0.21. This is a very positive value and a sign of high solvency as it would only need 0.21 years to pay back of all of its debts.
ET has a Debt to FCF ratio of 0.21. This is amongst the best in the industry. ET outperforms 100.00% of its industry peers.
ET has a Debt/Equity ratio of 0.05. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.05, ET is doing good in the industry, outperforming 76.92% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.21 | ||
| Altman-Z | 4.9 |
ROIC/WACC2.64
WACC8.18%
2.3 Liquidity
A Current Ratio of 1.98 indicates that ET should not have too much problems paying its short term obligations.
ET has a better Current ratio (1.98) than 76.92% of its industry peers.
A Quick Ratio of 1.11 indicates that ET should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.11, ET is doing good in the industry, outperforming 69.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.11 |
3. Growth
3.1 Past
ET shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.76%.
ET shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -2.82% yearly.
ET shows a small growth in Revenue. In the last year, the Revenue has grown by 0.34%.
Measured over the past years, ET shows a small growth in Revenue. The Revenue has been growing by 2.82% on average per year.
EPS 1Y (TTM)-4.76%
EPS 3Y-5.86%
EPS 5Y-2.82%
EPS Q2Q%15.38%
Revenue 1Y (TTM)0.34%
Revenue growth 3Y4.39%
Revenue growth 5Y2.82%
Sales Q2Q%0.45%
3.2 Future
ET is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.60% yearly.
ET is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.29% yearly.
EPS Next Y0.8%
EPS Next 2Y5.11%
EPS Next 3Y2.6%
EPS Next 5YN/A
Revenue Next Year2.12%
Revenue Next 2Y3.55%
Revenue Next 3Y5.29%
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 accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.82, the valuation of ET can be described as correct.
Based on the Price/Earnings ratio, ET is valued cheaply inside the industry as 92.31% of the companies are valued more expensively.
ET's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.51.
The Price/Forward Earnings ratio is 14.69, which indicates a correct valuation of ET.
92.31% of the companies in the same industry are more expensive than ET, based on the Price/Forward Earnings ratio.
ET is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.53, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.83 | ||
| Fwd PE | 14.69 |
4.2 Price Multiples
ET's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ET is cheaper than 92.31% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ET is valued cheaply inside the industry as 92.31% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.22 | ||
| EV/EBITDA | 8.75 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ET does not grow enough to justify the current Price/Earnings ratio.
ET has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)19.81
PEG (5Y)N/A
EPS Next 2Y5.11%
EPS Next 3Y2.6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.36%, ET is a good candidate for dividend investing.
ET's Dividend Yield is rather good when compared to the industry average which is at 4.29. ET pays more dividend than 100.00% of the companies in the same industry.
ET's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.36% |
5.2 History
The dividend of ET decreases each year by -13.43%.
ET has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of ET decreased in the last 3 years.
Dividend Growth(5Y)-13.43%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
ET pays out 97.93% of its income as dividend. This is not a sustainable payout ratio.
DP97.93%
EPS Next 2Y5.11%
EPS Next 3Y2.6%
TSX:ET (11/3/2025, 7:00:00 PM)
12.66
-0.16 (-1.25%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners4.76%
Inst Owner ChangeN/A
Ins Owners65.01%
Ins Owner ChangeN/A
Market Cap954.94M
Revenue(TTM)502.13M
Net Income(TTM)61.57M
Analysts81.67
Price Target13.83 (9.24%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.36% |
Yearly Dividend0.79
Dividend Growth(5Y)-13.43%
DP97.93%
Div Incr Years2
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.03%
Min EPS beat(2)10.03%
Max EPS beat(2)12.02%
EPS beat(4)4
Avg EPS beat(4)16.13%
Min EPS beat(4)10.03%
Max EPS beat(4)24.83%
EPS beat(8)6
Avg EPS beat(8)7.45%
EPS beat(12)8
Avg EPS beat(12)6.77%
EPS beat(16)12
Avg EPS beat(16)11.09%
Revenue beat(2)0
Avg Revenue beat(2)-5.3%
Min Revenue beat(2)-7.78%
Max Revenue beat(2)-2.82%
Revenue beat(4)2
Avg Revenue beat(4)-1.58%
Min Revenue beat(4)-7.78%
Max Revenue beat(4)3.29%
Revenue beat(8)4
Avg Revenue beat(8)-2.77%
Revenue beat(12)7
Avg Revenue beat(12)-1.01%
Revenue beat(16)9
Avg Revenue beat(16)-0.05%
PT rev (1m)-3.7%
PT rev (3m)-2.55%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.39%
EPS NY rev (1m)0%
EPS NY rev (3m)17.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.83%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.83 | ||
| Fwd PE | 14.69 | ||
| P/S | 1.9 | ||
| P/FCF | 9.22 | ||
| P/OCF | 8.62 | ||
| P/B | 3.64 | ||
| P/tB | 3.95 | ||
| EV/EBITDA | 8.75 |
EPS(TTM)0.8
EY6.32%
EPS(NY)0.86
Fwd EY6.81%
FCF(TTM)1.37
FCFY10.85%
OCF(TTM)1.47
OCFY11.61%
SpS6.66
BVpS3.47
TBVpS3.21
PEG (NY)19.81
PEG (5Y)N/A
Graham Number7.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.61% | ||
| ROE | 23.49% | ||
| ROCE | 29.65% | ||
| ROIC | 21.64% | ||
| ROICexc | 38.94% | ||
| ROICexgc | 44.74% | ||
| OM | 16.52% | ||
| PM (TTM) | 12.26% | ||
| GM | 59.96% | ||
| FCFM | 20.63% |
ROA(3y)13.93%
ROA(5y)13.62%
ROE(3y)25.05%
ROE(5y)24.1%
ROIC(3y)23.85%
ROIC(5y)23.04%
ROICexc(3y)32.37%
ROICexc(5y)30.7%
ROICexgc(3y)36.3%
ROICexgc(5y)34.53%
ROCE(3y)32.95%
ROCE(5y)31.73%
ROICexgc growth 3Y3.29%
ROICexgc growth 5Y5.88%
ROICexc growth 3Y3.02%
ROICexc growth 5Y5.26%
OM growth 3Y-8.97%
OM growth 5Y-4.55%
PM growth 3Y-10.05%
PM growth 5Y-5.5%
GM growth 3Y0.92%
GM growth 5Y0.9%
F-Score6
Asset Turnover1.03
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.05 | ||
| Debt/FCF | 0.21 | ||
| Debt/EBITDA | 0.13 | ||
| Cap/Depr | 46.05% | ||
| Cap/Sales | 1.45% | ||
| Interest Coverage | 84.47 | ||
| Cash Conversion | 112.28% | ||
| Profit Quality | 168.25% | ||
| Current Ratio | 1.98 | ||
| Quick Ratio | 1.11 | ||
| Altman-Z | 4.9 |
F-Score6
WACC8.18%
ROIC/WACC2.64
Cap/Depr(3y)50.18%
Cap/Depr(5y)47.25%
Cap/Sales(3y)1.63%
Cap/Sales(5y)1.79%
Profit Quality(3y)140.23%
Profit Quality(5y)145.49%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.76%
EPS 3Y-5.86%
EPS 5Y-2.82%
EPS Q2Q%15.38%
EPS Next Y0.8%
EPS Next 2Y5.11%
EPS Next 3Y2.6%
EPS Next 5YN/A
Revenue 1Y (TTM)0.34%
Revenue growth 3Y4.39%
Revenue growth 5Y2.82%
Sales Q2Q%0.45%
Revenue Next Year2.12%
Revenue Next 2Y3.55%
Revenue Next 3Y5.29%
Revenue Next 5YN/A
EBIT growth 1Y-6.24%
EBIT growth 3Y-4.97%
EBIT growth 5Y-1.86%
EBIT Next Year19.54%
EBIT Next 3Y6.59%
EBIT Next 5YN/A
FCF growth 1Y19.57%
FCF growth 3Y13.2%
FCF growth 5Y-1.56%
OCF growth 1Y17.24%
OCF growth 3Y13.2%
OCF growth 5Y-1.84%
EVERTZ TECHNOLOGIES LTD / ET.CA FAQ
What is the ChartMill fundamental rating of EVERTZ TECHNOLOGIES LTD (ET.CA) stock?
ChartMill assigns a fundamental rating of 7 / 10 to ET.CA.
What is the valuation status of EVERTZ TECHNOLOGIES LTD (ET.CA) stock?
ChartMill assigns a valuation rating of 6 / 10 to EVERTZ TECHNOLOGIES LTD (ET.CA). This can be considered as Fairly Valued.
How profitable is EVERTZ TECHNOLOGIES LTD (ET.CA) stock?
EVERTZ TECHNOLOGIES LTD (ET.CA) has a profitability rating of 8 / 10.
What is the financial health of EVERTZ TECHNOLOGIES LTD (ET.CA) stock?
The financial health rating of EVERTZ TECHNOLOGIES LTD (ET.CA) is 8 / 10.
How sustainable is the dividend of EVERTZ TECHNOLOGIES LTD (ET.CA) stock?
The dividend rating of EVERTZ TECHNOLOGIES LTD (ET.CA) is 5 / 10 and the dividend payout ratio is 97.93%.