INNOVOTECH INC (IOT.CA) Stock Fundamental Analysis
Canada - TSX Venture Exchange - TSX-V:IOT - CA45772U1049 - Common Stock
0.25 CAD
-0.02 (-7.41%)
Taking everything into account, IOT scores 5 out of 10 in our fundamental rating. IOT was compared to 2 industry peers in the Life Sciences Tools & Services industry. IOT has an excellent financial health rating, but there are some minor concerns on its profitability. IOT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- IOT had positive earnings in the past year.
- In the past year IOT has reported a negative cash flow from operations.
- The reported net income has been mixed in the past 5 years: IOT reported negative net income in multiple years.
- In multiple years IOT reported negative operating cash flow during the last 5 years.
1.2 Ratios
- IOT has a Return On Assets of 11.32%. This is amongst the best in the industry. IOT outperforms 100.00% of its industry peers.
- IOT has a better Return On Equity (13.94%) than 100.00% of its industry peers.
- The Return On Invested Capital of IOT (3.10%) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.32% | ||
| ROE | 13.94% | ||
| ROIC | 3.1% |
ROA(3y)-5.71%
ROA(5y)4.28%
ROE(3y)-7.03%
ROE(5y)5.32%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of IOT (8.60%) is better than 100.00% of its industry peers.
- IOT's Profit Margin has declined in the last couple of years.
- The Operating Margin of IOT (2.82%) is better than 100.00% of its industry peers.
- In the last couple of years the Operating Margin of IOT has declined.
- With an excellent Gross Margin value of 47.12%, IOT belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- IOT's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.82% | ||
| PM (TTM) | 8.6% | ||
| GM | 47.12% |
OM growth 3Y-50.51%
OM growth 5YN/A
PM growth 3Y-25.51%
PM growth 5YN/A
GM growth 3Y-12.49%
GM growth 5Y-6.42%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so IOT is destroying value.
- The number of shares outstanding for IOT has been increased compared to 1 year ago.
- The number of shares outstanding for IOT has been increased compared to 5 years ago.
- IOT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- IOT has an Altman-Z score of 11.04. This indicates that IOT is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 11.04, IOT belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- IOT has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 11.04 |
ROIC/WACC0.3
WACC10.25%
2.3 Liquidity
- A Current Ratio of 4.77 indicates that IOT has no problem at all paying its short term obligations.
- The Current ratio of IOT (4.77) is better than 100.00% of its industry peers.
- A Quick Ratio of 4.45 indicates that IOT has no problem at all paying its short term obligations.
- The Quick ratio of IOT (4.45) is better than 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.77 | ||
| Quick Ratio | 4.45 |
3. Growth
3.1 Past
- IOT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 239.71%, which is quite impressive.
- IOT shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -16.66% yearly.
- The Revenue has grown by 199.10% in the past year. This is a very strong growth!
- The Revenue has been growing by 17.35% on average over the past years. This is quite good.
EPS 1Y (TTM)239.71%
EPS 3Y-16.65%
EPS 5YN/A
EPS Q2Q%460%
Revenue 1Y (TTM)199.1%
Revenue growth 3Y13.99%
Revenue growth 5Y17.35%
Sales Q2Q%190.69%
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.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 25.00, the valuation of IOT can be described as expensive.
- IOT's Price/Earnings ratio is rather cheap when compared to the industry. IOT is cheaper than 100.00% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.21. IOT is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25 | ||
| Fwd PE | N/A |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, IOT is valued cheaper than 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 49.2 |
4.3 Compensation for Growth
- The decent profitability rating of IOT may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
- IOT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
INNOVOTECH INC / IOT.CA FAQ
Can you provide the ChartMill fundamental rating for INNOVOTECH INC?
ChartMill assigns a fundamental rating of 5 / 10 to IOT.CA.
Can you provide the valuation status for INNOVOTECH INC?
ChartMill assigns a valuation rating of 2 / 10 to INNOVOTECH INC (IOT.CA). This can be considered as Overvalued.
How profitable is INNOVOTECH INC (IOT.CA) stock?
INNOVOTECH INC (IOT.CA) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for IOT stock?
The Price/Earnings (PE) ratio for INNOVOTECH INC (IOT.CA) is 25 and the Price/Book (PB) ratio is 4.78.