Recipe Unlimited Corporation (RECP.CA) Stock Fundamental Analysis
TSX:RECP - Toronto Stock Exchange - CA75622P1045 - Common Stock - Currency: CAD
Taking everything into account, RECP scores 2 out of 10 in our fundamental rating. RECP was compared to 19 industry peers in the Hotels, Restaurants & Leisure industry. RECP may be in some trouble as it scores bad on both profitability and health. While showing a medium growth rate, RECP is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
RECP had positive earnings in the past year.
RECP had a positive operating cash flow in the past year.
1.2 Ratios
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.41% | ||
| ROE | 12.18% | ||
| ROIC | 5.05% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
In the last couple of years the Profit Margin of RECP has declined.
RECP's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.68% | ||
| PM (TTM) | 3.95% | ||
| GM | N/A |
OM growth 3Y-9.66%
OM growth 5Y-16.52%
PM growth 3Y-11.91%
PM growth 5Y-21.83%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
RECP has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
RECP has more shares outstanding than it did 1 year ago.
RECP has a better debt/assets ratio than last year.
2.2 Solvency
RECP has an Altman-Z score of 0.99. This is a bad value and indicates that RECP is not financially healthy and even has some risk of bankruptcy.
RECP has a debt to FCF ratio of 5.81. This is a neutral value as RECP would need 5.81 years to pay back of all of its debts.
RECP has a Debt/Equity ratio of 2.13. This is a high value indicating a heavy dependency on external financing.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 5.81 | ||
| Altman-Z | 0.99 |
ROIC/WACC0.66
WACC7.59%
2.3 Liquidity
A Current Ratio of 0.71 indicates that RECP may have some problems paying its short term obligations.
RECP has a Quick Ratio of 0.71. This is a bad value and indicates that RECP is not financially healthy enough and could expect problems in meeting its short term obligations.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
RECP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 94.59%, which is quite impressive.
Measured over the past years, RECP shows a decrease in Earnings Per Share. The EPS has been decreasing by -9.42% on average per year.
The Revenue has grown by 42.14% in the past year. This is a very strong growth!
RECP shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.85% yearly.
EPS 1Y (TTM)94.59%
EPS 3Y-19.81%
EPS 5Y-9.42%
EPS Q2Q%125%
Revenue 1Y (TTM)42.14%
Revenue growth 3Y-5.4%
Revenue growth 5Y16.85%
Sales Q2Q%62.1%
3.2 Future
The Earnings Per Share is expected to grow by 23.62% on average over the next years. This is a very strong growth
Based on estimates for the next years, RECP will show a small growth in Revenue. The Revenue will grow by 6.79% on average per year.
EPS Next Y25.35%
EPS Next 2Y28.99%
EPS Next 3Y24.21%
EPS Next 5Y23.62%
Revenue Next Year28.4%
Revenue Next 2Y16.79%
Revenue Next 3Y11.46%
Revenue Next 5Y6.79%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
RECP is valuated correctly with a Price/Earnings ratio of 14.40.
The average S&P500 Price/Earnings ratio is at 26.34. RECP is valued slightly cheaper when compared to this.
RECP is valuated correctly with a Price/Forward Earnings ratio of 12.59.
RECP's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 21.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.4 | ||
| Fwd PE | 12.59 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.47 | ||
| EV/EBITDA | 10.56 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RECP's earnings are expected to grow with 24.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.57
PEG (5Y)N/A
EPS Next 2Y28.99%
EPS Next 3Y24.21%
5. Dividend
5.1 Amount
RECP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:RECP (11/1/2022, 7:00:00 PM)
20.74
+0.02 (+0.1%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners8.8%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap1.22B
Analysts44
Price Target21.54 (3.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)30.25%
Min EPS beat(2)-15.97%
Max EPS beat(2)76.47%
EPS beat(4)2
Avg EPS beat(4)26.11%
Min EPS beat(4)-20.63%
Max EPS beat(4)76.47%
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)2
Avg Revenue beat(2)7.98%
Min Revenue beat(2)5.23%
Max Revenue beat(2)10.73%
Revenue beat(4)4
Avg Revenue beat(4)6.86%
Min Revenue beat(4)2.4%
Max Revenue beat(4)10.73%
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)N/A
PT rev (3m)N/A
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 Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.4 | ||
| Fwd PE | 12.59 | ||
| P/S | 1 | ||
| P/FCF | 7.47 | ||
| P/OCF | 6.2 | ||
| P/B | 3.09 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.56 |
EPS(TTM)1.44
EY6.94%
EPS(NY)1.65
Fwd EY7.94%
FCF(TTM)2.78
FCFY13.39%
OCF(TTM)3.34
OCFY16.12%
SpS20.68
BVpS6.71
TBVpS-7.06
PEG (NY)0.57
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.41% | ||
| ROE | 12.18% | ||
| ROCE | N/A | ||
| ROIC | 5.05% | ||
| ROICexc | N/A | ||
| ROICexgc | 10.21% | ||
| OM | 8.68% | ||
| PM (TTM) | 3.95% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
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
ROICexcg growth 3Y-36.88%
ROICexcg growth 5Y-16.38%
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-9.66%
OM growth 5Y-16.52%
PM growth 3Y-11.91%
PM growth 5Y-21.83%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.13 | ||
| Debt/FCF | 5.81 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 35.04% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 339.7% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 0.99 |
F-Score7
WACC7.59%
ROIC/WACC0.66
Cap/Depr(3y)33.32%
Cap/Depr(5y)56.73%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)94.59%
EPS 3Y-19.81%
EPS 5Y-9.42%
EPS Q2Q%125%
EPS Next Y25.35%
EPS Next 2Y28.99%
EPS Next 3Y24.21%
EPS Next 5Y23.62%
Revenue 1Y (TTM)42.14%
Revenue growth 3Y-5.4%
Revenue growth 5Y16.85%
Sales Q2Q%62.1%
Revenue Next Year28.4%
Revenue Next 2Y16.79%
Revenue Next 3Y11.46%
Revenue Next 5Y6.79%
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y20.1%
FCF growth 3Y1.13%
FCF growth 5Y15.81%
OCF growth 1Y9.61%
OCF growth 3Y-1.46%
OCF growth 5Y9.82%