SANGOMA TECHNOLOGIES CORP (STC.CA) Stock Fundamental Analysis
TSX:STC • CA80100R4089
6.31 CAD
-0.08 (-1.25%)
Last: Feb 26, 2026, 07:00 PM
We assign a fundamental rating of 3 out of 10 to STC. STC was compared to 12 industry peers in the Communications Equipment industry. While STC seems to be doing ok healthwise, there are quite some concerns on its profitability. STC has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year STC has reported negative net income.
- In the past year STC had a positive cash flow from operations.
- In the past 5 years STC reported 4 times negative net income.
- Each year in the past 5 years STC had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of -1.71%, STC is doing good in the industry, outperforming 66.67% of the companies in the same industry.
- STC has a better Return On Equity (-2.22%) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.71% | ||
| ROE | -2.22% | ||
| ROIC | N/A |
ROA(3y)-3.39%
ROA(5y)-6.47%
ROE(3y)-5.4%
ROE(5y)-10.77%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- STC has a better Gross Margin (70.61%) than 91.67% of its industry peers.
- STC's Gross Margin has been stable in the last couple of years.
- STC does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 70.61% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.76%
GM growth 5Y1.11%
2. Health
2.1 Basic Checks
- STC does not have a ROIC to compare to the WACC, probably because it is not profitable.
- Compared to 1 year ago, STC has less shares outstanding
- Compared to 5 years ago, STC has more shares outstanding
- The debt/assets ratio for STC has been reduced compared to a year ago.
2.2 Solvency
- STC has an Altman-Z score of 1.20. This is a bad value and indicates that STC is not financially healthy and even has some risk of bankruptcy.
- With a Altman-Z score value of 1.20, STC perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
- STC has a debt to FCF ratio of 1.85. This is a very positive value and a sign of high solvency as it would only need 1.85 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 1.85, STC is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- STC has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
- STC has a Debt to Equity ratio (0.09) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.85 | ||
| Altman-Z | 1.2 |
ROIC/WACCN/A
WACC8.69%
2.3 Liquidity
- A Current Ratio of 0.87 indicates that STC may have some problems paying its short term obligations.
- STC has a Current ratio of 0.87. This is comparable to the rest of the industry: STC outperforms 41.67% of its industry peers.
- A Quick Ratio of 0.71 indicates that STC may have some problems paying its short term obligations.
- STC has a Quick ratio (0.71) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 23.81% over the past year.
- The Revenue has decreased by -8.93% in the past year.
- Measured over the past years, STC shows a quite strong growth in Revenue. The Revenue has been growing by 19.31% on average per year.
EPS 1Y (TTM)23.81%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)-8.93%
Revenue growth 3Y1.79%
Revenue growth 5Y19.31%
Sales Q2Q%-12.96%
3.2 Future
- The Earnings Per Share is expected to grow by 53.23% on average over the next years. This is a very strong growth
- STC is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -3.96% yearly.
EPS Next Y-21.2%
EPS Next 2Y53.23%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-12.23%
Revenue Next 2Y-3.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- 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
- The Price/Earnings Ratio is negative for STC. In the last year negative earnings were reported.
- STC is valuated quite expensively with a Price/Forward Earnings ratio of 88.32.
- 75.00% of the companies in the same industry are more expensive than STC, based on the Price/Forward Earnings ratio.
- STC's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 88.32 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, STC is valued cheaper than 100.00% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of STC indicates a rather cheap valuation: STC is cheaper than 91.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.25 | ||
| EV/EBITDA | 4.43 |
4.3 Compensation for Growth
- A more expensive valuation may be justified as STC's earnings are expected to grow with 53.23% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y53.23%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- No dividends for STC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TSX:STC (2/26/2026, 7:00:00 PM)
6.31
-0.08 (-1.25%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)02-04 2026-02-04/amc
Earnings (Next)05-06 2026-05-06
Inst Owners35.19%
Inst Owner ChangeN/A
Ins Owners27.37%
Ins Owner ChangeN/A
Market Cap209.05M
Revenue(TTM)219.70M
Net Income(TTM)-5.55M
Analysts82
Price Target11.22 (77.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector 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)0
Avg EPS beat(2)-53.27%
Min EPS beat(2)-82.79%
Max EPS beat(2)-23.76%
EPS beat(4)1
Avg EPS beat(4)114.12%
Min EPS beat(4)-82.79%
Max EPS beat(4)595.05%
EPS beat(8)2
Avg EPS beat(8)24.93%
EPS beat(12)4
Avg EPS beat(12)-1.39%
EPS beat(16)5
Avg EPS beat(16)-265.1%
Revenue beat(2)0
Avg Revenue beat(2)-0.44%
Min Revenue beat(2)-0.46%
Max Revenue beat(2)-0.42%
Revenue beat(4)1
Avg Revenue beat(4)-0.74%
Min Revenue beat(4)-2.42%
Max Revenue beat(4)0.34%
Revenue beat(8)1
Avg Revenue beat(8)-2.01%
Revenue beat(12)3
Avg Revenue beat(12)-1.68%
Revenue beat(16)5
Avg Revenue beat(16)-0.76%
PT rev (1m)0%
PT rev (3m)1.85%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)-1101.2%
EPS NY rev (1m)0%
EPS NY rev (3m)-50%
Revenue NQ rev (1m)-0.33%
Revenue NQ rev (3m)0.04%
Revenue NY rev (1m)0.28%
Revenue NY rev (3m)0.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 88.32 | ||
| P/S | 0.7 | ||
| P/FCF | 6.25 | ||
| P/OCF | 4.65 | ||
| P/B | 0.61 | ||
| P/tB | N/A | ||
| EV/EBITDA | 4.43 |
EPS(TTM)-0.22
EYN/A
EPS(NY)0.07
Fwd EY1.13%
FCF(TTM)1.01
FCFY15.99%
OCF(TTM)1.36
OCFY21.49%
SpS9.08
BVpS10.33
TBVpS-0.84
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.71% | ||
| ROE | -2.22% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 70.61% | ||
| FCFM | 11.11% |
ROA(3y)-3.39%
ROA(5y)-6.47%
ROE(3y)-5.4%
ROE(5y)-10.77%
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-0.76%
GM growth 5Y1.11%
F-Score7
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.85 | ||
| Debt/EBITDA | 0.56 | ||
| Cap/Depr | 19.07% | ||
| Cap/Sales | 3.82% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 79.63% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.87 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 1.2 |
F-Score7
WACC8.69%
ROIC/WACCN/A
Cap/Depr(3y)22.92%
Cap/Depr(5y)19.53%
Cap/Sales(3y)4.2%
Cap/Sales(5y)3.39%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)23.81%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y-21.2%
EPS Next 2Y53.23%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-8.93%
Revenue growth 3Y1.79%
Revenue growth 5Y19.31%
Sales Q2Q%-12.96%
Revenue Next Year-12.23%
Revenue Next 2Y-3.96%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-131.04%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year2299.66%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-1.25%
FCF growth 3Y27.36%
FCF growth 5Y36.51%
OCF growth 1Y-5.99%
OCF growth 3Y25.66%
OCF growth 5Y36.31%
SANGOMA TECHNOLOGIES CORP / STC.CA FAQ
What is the ChartMill fundamental rating of SANGOMA TECHNOLOGIES CORP (STC.CA) stock?
ChartMill assigns a fundamental rating of 3 / 10 to STC.CA.
What is the valuation status for STC stock?
ChartMill assigns a valuation rating of 4 / 10 to SANGOMA TECHNOLOGIES CORP (STC.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for SANGOMA TECHNOLOGIES CORP?
SANGOMA TECHNOLOGIES CORP (STC.CA) has a profitability rating of 3 / 10.
What is the financial health of SANGOMA TECHNOLOGIES CORP (STC.CA) stock?
The financial health rating of SANGOMA TECHNOLOGIES CORP (STC.CA) is 4 / 10.
What is the expected EPS growth for SANGOMA TECHNOLOGIES CORP (STC.CA) stock?
The Earnings per Share (EPS) of SANGOMA TECHNOLOGIES CORP (STC.CA) is expected to decline by -21.2% in the next year.