KITS EYECARE LTD (KITS.CA) Stock Fundamental Analysis
TSX:KITS - Toronto Stock Exchange - CA49804N1042 - Common Stock - Currency: CAD
KITS gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 16 industry peers in the Specialty Retail industry. KITS has an average financial health and profitability rating. KITS is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
KITS had positive earnings in the past year.
In the past year KITS had a positive cash flow from operations.
KITS had negative earnings in 4 of the past 5 years.
KITS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
KITS's Return On Assets of 4.60% is fine compared to the rest of the industry. KITS outperforms 62.50% of its industry peers.
The Return On Equity of KITS (7.64%) is comparable to the rest of the industry.
KITS's Return On Invested Capital of 6.02% is in line compared to the rest of the industry. KITS outperforms 56.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 7.64% | ||
| ROIC | 6.02% |
ROA(3y)-1.45%
ROA(5y)-6.49%
ROE(3y)-2.46%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of KITS (2.72%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of KITS has grown nicely.
KITS's Operating Margin of 3.35% is in line compared to the rest of the industry. KITS outperforms 50.00% of its industry peers.
In the last couple of years the Operating Margin of KITS has declined.
KITS's Gross Margin of 34.81% is in line compared to the rest of the industry. KITS outperforms 43.75% of its industry peers.
In the last couple of years the Gross Margin of KITS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.35% | ||
| PM (TTM) | 2.72% | ||
| GM | 34.81% |
OM growth 3YN/A
OM growth 5Y-22.57%
PM growth 3YN/A
PM growth 5Y70.56%
GM growth 3Y9.92%
GM growth 5Y2.82%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KITS is destroying value.
KITS has more shares outstanding than it did 1 year ago.
The number of shares outstanding for KITS has been increased compared to 5 years ago.
The debt/assets ratio for KITS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 9.26 indicates that KITS is not in any danger for bankruptcy at the moment.
The Altman-Z score of KITS (9.26) is better than 93.75% of its industry peers.
KITS has a debt to FCF ratio of 1.52. This is a very positive value and a sign of high solvency as it would only need 1.52 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 1.52, KITS belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
KITS has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of KITS (0.09) is better than 93.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.52 | ||
| Altman-Z | 9.26 |
ROIC/WACC0.72
WACC8.41%
2.3 Liquidity
KITS has a Current Ratio of 1.28. This is a normal value and indicates that KITS is financially healthy and should not expect problems in meeting its short term obligations.
KITS's Current ratio of 1.28 is in line compared to the rest of the industry. KITS outperforms 50.00% of its industry peers.
KITS has a Quick Ratio of 1.28. This is a bad value and indicates that KITS is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of KITS (0.59) is worse than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 380.00% over the past year.
KITS shows a strong growth in Revenue. In the last year, the Revenue has grown by 34.10%.
Measured over the past years, KITS shows a very strong growth in Revenue. The Revenue has been growing by 33.99% on average per year.
EPS 1Y (TTM)380%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%2394.74%
Revenue 1Y (TTM)34.1%
Revenue growth 3Y24.58%
Revenue growth 5Y33.99%
Sales Q2Q%33.96%
3.2 Future
KITS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 98.49% yearly.
Based on estimates for the next years, KITS will show a very strong growth in Revenue. The Revenue will grow by 22.24% on average per year.
EPS Next Y94.93%
EPS Next 2Y94.56%
EPS Next 3Y98.49%
EPS Next 5YN/A
Revenue Next Year26.18%
Revenue Next 2Y22.03%
Revenue Next 3Y22.24%
Revenue Next 5YN/A
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
KITS is valuated quite expensively with a Price/Earnings ratio of 115.43.
Based on the Price/Earnings ratio, KITS is valued a bit more expensive than the industry average as 62.50% of the companies are valued more cheaply.
KITS's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.46.
Based on the Price/Forward Earnings ratio of 47.43, the valuation of KITS can be described as expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as KITS.
When comparing the Price/Forward Earnings ratio of KITS to the average of the S&P500 Index (36.44), we can say KITS is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 115.43 | ||
| Fwd PE | 47.43 |
4.2 Price Multiples
KITS's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. KITS is more expensive than 81.25% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, KITS is valued a bit more expensive than the industry average as 75.00% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 82.7 | ||
| EV/EBITDA | 60.54 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
KITS's earnings are expected to grow with 98.49% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.22
PEG (5Y)N/A
EPS Next 2Y94.56%
EPS Next 3Y98.49%
5. Dividend
5.1 Amount
No dividends for KITS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:KITS (7/21/2025, 7:00:00 PM)
16.16
+0.1 (+0.62%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners4.33%
Inst Owner ChangeN/A
Ins Owners30.75%
Ins Owner ChangeN/A
Market Cap517.28M
Analysts81.54
Price Target19.16 (18.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)1
Avg EPS beat(2)66.68%
Min EPS beat(2)-1.96%
Max EPS beat(2)135.32%
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)0
Avg Revenue beat(2)-1.25%
Min Revenue beat(2)-2.02%
Max Revenue beat(2)-0.48%
Revenue beat(4)1
Avg Revenue beat(4)-0.58%
Min Revenue beat(4)-2.02%
Max Revenue beat(4)0.3%
Revenue beat(8)3
Avg Revenue beat(8)1.33%
Revenue beat(12)6
Avg Revenue beat(12)0.61%
Revenue beat(16)6
Avg Revenue beat(16)-1.7%
PT rev (1m)7.35%
PT rev (3m)14.35%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-25%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 115.43 | ||
| Fwd PE | 47.43 | ||
| P/S | 3.02 | ||
| P/FCF | 82.7 | ||
| P/OCF | 55.13 | ||
| P/B | 8.49 | ||
| P/tB | 27.78 | ||
| EV/EBITDA | 60.54 |
EPS(TTM)0.14
EY0.87%
EPS(NY)0.34
Fwd EY2.11%
FCF(TTM)0.2
FCFY1.21%
OCF(TTM)0.29
OCFY1.81%
SpS5.35
BVpS1.9
TBVpS0.58
PEG (NY)1.22
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 7.64% | ||
| ROCE | 8.64% | ||
| ROIC | 6.02% | ||
| ROICexc | 8.2% | ||
| ROICexgc | 59.94% | ||
| OM | 3.35% | ||
| PM (TTM) | 2.72% | ||
| GM | 34.81% | ||
| FCFM | 3.65% |
ROA(3y)-1.45%
ROA(5y)-6.49%
ROE(3y)-2.46%
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
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5Y-13.22%
OM growth 3YN/A
OM growth 5Y-22.57%
PM growth 3YN/A
PM growth 5Y70.56%
GM growth 3Y9.92%
GM growth 5Y2.82%
F-Score8
Asset Turnover1.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.52 | ||
| Debt/EBITDA | 0.7 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 113.49% | ||
| Profit Quality | 134.37% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 9.26 |
F-Score8
WACC8.41%
ROIC/WACC0.72
Cap/Depr(3y)47.84%
Cap/Depr(5y)58.18%
Cap/Sales(3y)0.91%
Cap/Sales(5y)1.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)380%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%2394.74%
EPS Next Y94.93%
EPS Next 2Y94.56%
EPS Next 3Y98.49%
EPS Next 5YN/A
Revenue 1Y (TTM)34.1%
Revenue growth 3Y24.58%
Revenue growth 5Y33.99%
Sales Q2Q%33.96%
Revenue Next Year26.18%
Revenue Next 2Y22.03%
Revenue Next 3Y22.24%
Revenue Next 5YN/A
EBIT growth 1Y689.62%
EBIT growth 3YN/A
EBIT growth 5Y3.75%
EBIT Next Year288.78%
EBIT Next 3Y127.52%
EBIT Next 5YN/A
FCF growth 1Y-16.71%
FCF growth 3YN/A
FCF growth 5Y25.61%
OCF growth 1Y21.07%
OCF growth 3YN/A
OCF growth 5Y25.73%