VELAN INC (VLN.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:VLN - CA9229321083 - Common Stock
18.41 CAD
+0.08 (+0.44%)
Taking everything into account, VLN scores 4 out of 10 in our fundamental rating. VLN was compared to 22 industry peers in the Machinery industry. VLN has an average financial health and profitability rating. VLN has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
VLN had positive earnings in the past year.
VLN had a negative operating cash flow in the past year.
VLN had negative earnings in 4 of the past 5 years.
VLN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
VLN's Return On Assets of 0.08% is amongst the best of the industry. VLN outperforms 90.91% of its industry peers.
With an excellent Return On Equity value of 0.14%, VLN belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
The Return On Invested Capital of VLN (5.10%) is better than 72.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.08% | ||
| ROE | 0.14% | ||
| ROIC | 5.1% |
ROA(3y)-10.25%
ROA(5y)-6.88%
ROE(3y)-38.58%
ROE(5y)-24.55%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
VLN has a Profit Margin of 0.08%. This is amongst the best in the industry. VLN outperforms 90.91% of its industry peers.
Looking at the Operating Margin, with a value of 5.15%, VLN is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
VLN's Operating Margin has improved in the last couple of years.
VLN has a Gross Margin (28.48%) which is in line with its industry peers.
VLN's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.15% | ||
| PM (TTM) | 0.08% | ||
| GM | 28.48% |
OM growth 3Y-14.43%
OM growth 5Y51.1%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.03%
GM growth 5Y3.94%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), VLN is destroying value.
Compared to 1 year ago, VLN has about the same amount of shares outstanding.
The number of shares outstanding for VLN remains at a similar level compared to 5 years ago.
The debt/assets ratio for VLN has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.47 indicates that VLN is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 3.47, VLN belongs to the best of the industry, outperforming 86.36% of the companies in the same industry.
VLN has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.15, VLN is doing good in the industry, outperforming 77.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.47 |
ROIC/WACC0.61
WACC8.42%
2.3 Liquidity
VLN has a Current Ratio of 2.37. This indicates that VLN is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.37, VLN is in the better half of the industry, outperforming 72.73% of the companies in the same industry.
VLN has a Quick Ratio of 1.08. This is a normal value and indicates that VLN is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of VLN (1.08) is worse than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.37 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
VLN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 103.82%, which is quite impressive.
VLN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -28.56%.
The Revenue has been decreasing by -4.50% on average over the past years.
EPS 1Y (TTM)103.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-175%
Revenue 1Y (TTM)-28.56%
Revenue growth 3Y-10.46%
Revenue growth 5Y-4.5%
Sales Q2Q%-51.22%
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
VLN is valuated quite expensively with a Price/Earnings ratio of 613.67.
Compared to the rest of the industry, the Price/Earnings ratio of VLN is on the same level as its industry peers.
VLN is valuated expensively when we compare the Price/Earnings ratio to 26.77, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 613.67 | ||
| Fwd PE | N/A |
4.2 Price Multiples
VLN's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. VLN is cheaper than 86.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.78 |
4.3 Compensation for Growth
The decent profitability rating of VLN 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
With a Yearly Dividend Yield of 2.19%, VLN has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 0.96, VLN pays a bit more dividend than its industry peers.
VLN's Dividend Yield is comparable with the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
5.2 History
The dividend of VLN decreases each year by -25.09%.
VLN has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-25.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
VLN pays out 2898.39% of its income as dividend. This is not a sustainable payout ratio.
DP2898.39%
EPS Next 2YN/A
EPS Next 3YN/A
TSX:VLN (12/30/2025, 7:00:00 PM)
18.41
+0.08 (+0.44%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners13.75%
Inst Owner ChangeN/A
Ins Owners0.13%
Ins Owner ChangeN/A
Market Cap397.47M
Revenue(TTM)296.44M
Net Income(TTM)249.00K
Analysts0
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.19% |
Yearly Dividend0.03
Dividend Growth(5Y)-25.09%
DP2898.39%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
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)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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 | 613.67 | ||
| Fwd PE | N/A | ||
| P/S | 0.98 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.68 | ||
| P/tB | 1.74 | ||
| EV/EBITDA | 11.78 |
EPS(TTM)0.03
EY0.16%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)-11.13
FCFYN/A
OCF(TTM)-10.5
OCFYN/A
SpS18.81
BVpS10.98
TBVpS10.61
PEG (NY)N/A
PEG (5Y)N/A
Graham Number2.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.08% | ||
| ROE | 0.14% | ||
| ROCE | 7.3% | ||
| ROIC | 5.1% | ||
| ROICexc | 6.13% | ||
| ROICexgc | 6.34% | ||
| OM | 5.15% | ||
| PM (TTM) | 0.08% | ||
| GM | 28.48% | ||
| FCFM | N/A |
ROA(3y)-10.25%
ROA(5y)-6.88%
ROE(3y)-38.58%
ROE(5y)-24.55%
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 3Y11.55%
ROICexgc growth 5Y80.85%
ROICexc growth 3Y11.36%
ROICexc growth 5Y80.71%
OM growth 3Y-14.43%
OM growth 5Y51.1%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.03%
GM growth 5Y3.94%
F-Score5
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.09 | ||
| Cap/Depr | 121.69% | ||
| Cap/Sales | 3.32% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.37 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 3.47 |
F-Score5
WACC8.42%
ROIC/WACC0.61
Cap/Depr(3y)90.27%
Cap/Depr(5y)86.44%
Cap/Sales(3y)2.87%
Cap/Sales(5y)2.86%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)103.82%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-175%
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-28.56%
Revenue growth 3Y-10.46%
Revenue growth 5Y-4.5%
Sales Q2Q%-51.22%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y120.69%
EBIT growth 3Y-23.38%
EBIT growth 5Y44.31%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-6428.62%
FCF growth 3Y19.67%
FCF growth 5YN/A
OCF growth 1Y-3664.65%
OCF growth 3Y14.08%
OCF growth 5Y22.44%
VELAN INC / VLN.CA FAQ
Can you provide the ChartMill fundamental rating for VELAN INC?
ChartMill assigns a fundamental rating of 4 / 10 to VLN.CA.
What is the valuation status of VELAN INC (VLN.CA) stock?
ChartMill assigns a valuation rating of 2 / 10 to VELAN INC (VLN.CA). This can be considered as Overvalued.
Can you provide the profitability details for VELAN INC?
VELAN INC (VLN.CA) has a profitability rating of 6 / 10.
Can you provide the dividend sustainability for VLN stock?
The dividend rating of VELAN INC (VLN.CA) is 3 / 10 and the dividend payout ratio is 2898.39%.