VELAN INC (VLN.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:VLN - CA9229321083 - Common Stock
17.8 CAD
+0.3 (+1.71%)
We assign a fundamental rating of 4 out of 10 to VLN. VLN was compared to 22 industry peers in the Machinery industry. VLN has only an average score on both its financial health and profitability. VLN is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
VLN had positive earnings in the past year.
In the past year VLN has reported a negative cash flow from operations.
In the past 5 years VLN reported 4 times negative net income.
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 86.96% of its industry peers.
VLN has a better Return On Equity (0.14%) than 86.96% of its industry peers.
The Return On Invested Capital of VLN (5.10%) is better than 69.57% 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 86.96% of its industry peers.
VLN has a Operating Margin of 5.15%. This is in the better half of the industry: VLN outperforms 69.57% of its industry peers.
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
VLN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, VLN has about the same amount of shares outstanding.
VLN has about the same amout of shares outstanding than it did 5 years ago.
VLN has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.40 indicates that VLN is not in any danger for bankruptcy at the moment.
The Altman-Z score of VLN (3.40) is better than 86.96% of its industry peers.
VLN has a Debt/Equity ratio of 0.15. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of VLN (0.15) is better than 78.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.15 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.4 |
ROIC/WACC0.61
WACC8.36%
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.
VLN has a Current ratio of 2.37. This is in the better half of the industry: VLN outperforms 78.26% of its industry peers.
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.
Looking at the Quick ratio, with a value of 1.08, VLN is in line with its industry, outperforming 43.48% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.37 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 103.82% over the past year.
The Revenue for VLN has decreased by -28.56% in the past year. This is quite bad
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
The Price/Earnings ratio is 593.33, which means the current valuation is very expensive for VLN.
VLN's Price/Earnings ratio is in line with the industry average.
VLN is valuated expensively when we compare the Price/Earnings ratio to 25.47, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 593.33 | ||
| 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 86.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.04 |
4.3 Compensation for Growth
VLN has a very decent profitability rating, which 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
VLN has a Yearly Dividend Yield of 2.42%. Purely for dividend investing, there may be better candidates out there.
VLN's Dividend Yield is a higher than the industry average which is at 3.06.
VLN's Dividend Yield is comparable with the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.42% |
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 (11/21/2025, 7:00:00 PM)
17.8
+0.3 (+1.71%)
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 Cap384.30M
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 | 2.42% |
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 | 593.33 | ||
| Fwd PE | N/A | ||
| P/S | 0.92 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.58 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | 11.04 |
EPS(TTM)0.03
EY0.17%
EPS(NY)N/A
Fwd EYN/A
FCF(TTM)-11.44
FCFYN/A
OCF(TTM)-10.8
OCFYN/A
SpS19.34
BVpS11.3
TBVpS10.91
PEG (NY)N/A
PEG (5Y)N/A
Graham Number2.76
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 | 3.4 |
F-Score5
WACC8.36%
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%.