VLN Fundamental Analysis - VELAN INC

Fundamental Rating

Taking everything into account, VLN scores 3 out of 10 in our fundamental rating. VLN was compared to 21 industry peers in the Machinery industry. While VLN seems to be doing ok healthwise, there are quite some concerns on its profitability. VLN is valued expensive and it does not seem to be growing.

Quickly go to:

1. Profitability

1.1 Basic Checks

VLN had negative earnings in the past year.

In the past year VLN had a positive cash flow from operations.

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

Looking at the Return On Assets, with a value of -15.26%, VLN is doing worse than 66.67% of the companies in the same industry.

VLN has a Return On Equity of -78.28%. This is in the lower half of the industry: VLN underperforms 76.19% of its industry peers.

VLN has a Return On Invested Capital of 10.72%. This is amongst the best in the industry. VLN outperforms 95.24% of its industry peers.

		Industry Rank	Sector Rank
ROA	-15.26%
ROE	-78.28%
ROIC	10.72%

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's Operating Margin of 5.20% is fine compared to the rest of the industry. VLN outperforms 66.67% of its industry peers.

VLN's Operating Margin has improved in the last couple of years.

VLN has a Gross Margin of 29.17%. This is comparable to the rest of the industry: VLN outperforms 47.62% of its industry peers.

VLN's Gross Margin has improved in the last couple of years.

		Industry Rank	Sector Rank
OM	5.2%
PM (TTM)	N/A
GM	29.17%

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%

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

2. Health

2.1 Basic Checks

VLN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.

The number of shares outstanding for VLN remains at a similar level compared to 1 year ago.

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

VLN has an Altman-Z score of 1.51. This is a bad value and indicates that VLN is not financially healthy and even has some risk of bankruptcy.

Looking at the Altman-Z score, with a value of 1.51, VLN is in line with its industry, outperforming 42.86% of the companies in the same industry.

The Debt to FCF ratio of VLN is 1.57, which is an excellent value as it means it would take VLN, only 1.57 years of fcf income to pay off all of its debts.

VLN's Debt to FCF ratio of 1.57 is amongst the best of the industry. VLN outperforms 100.00% of its industry peers.

A Debt/Equity ratio of 0.22 indicates that VLN is not too dependend on debt financing.

Looking at the Debt to Equity ratio, with a value of 0.22, VLN is in the better half of the industry, outperforming 71.43% of the companies in the same industry.

		Industry Rank	Sector Rank
Debt/Equity	0.22
Debt/FCF	1.57
Altman-Z	1.51

ROIC/WACC1.27

WACC8.42%

2.3 Liquidity

A Current Ratio of 1.12 indicates that VLN should not have too much problems paying its short term obligations.

VLN has a Current ratio of 1.12. This is in the lower half of the industry: VLN underperforms 76.19% of its industry peers.

VLN has a Quick Ratio of 1.12. This is a bad value and indicates that VLN is not financially healthy enough and could expect problems in meeting its short term obligations.

The Quick ratio of VLN (0.76) is worse than 61.90% of its industry peers.

		Industry Rank	Sector Rank
Current Ratio	1.12
Quick Ratio	0.76

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

The earnings per share for VLN have decreased strongly by -286.18% in the last year.

VLN shows a small growth in Revenue. In the last year, the Revenue has grown by 7.46%.

Measured over the past years, VLN shows a decrease in Revenue. The Revenue has been decreasing by -4.50% on average per year.

EPS 1Y (TTM)-286.18%

EPS 3YN/A

EPS 5YN/A

EPS Q2Q%-490.67%

Revenue 1Y (TTM)7.46%

Revenue growth 3Y-10.46%

Revenue growth 5Y-4.5%

Sales Q2Q%-29.43%

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.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

VLN reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.

		Industry Rank	Sector Rank
PE	N/A
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 95.24% of the companies in the same industry.

Based on the Price/Free Cash Flow ratio, VLN is valued cheaper than 90.48% of the companies in the same industry.

		Industry Rank	Sector Rank
P/FCF	14.66
EV/EBITDA	7.72

4.3 Compensation for Growth

PEG (NY)N/A

PEG (5Y)N/A

EPS Next 2YN/A

EPS Next 3YN/A

More info and screens

Show best valued peers

5. Dividend

5.1 Amount

With a yearly dividend of 0.80%, VLN is not a good candidate for dividend investing.

Compared to an average industry Dividend Yield of 21.76, VLN pays a bit more dividend than its industry peers.

Compared to an average S&P500 Dividend Yield of 2.38, VLN's dividend is way lower than the S&P500 average.

		Industry Rank	Sector Rank
Dividend Yield	0.8%

5.2 History

The dividend of VLN decreases each year by -25.09%.

VLN has paid a dividend for at least 10 years, which is a reliable track record.

Dividend Growth(5Y)-25.09%

Div Incr Years0

Div Non Decr Years0

5.3 Sustainability

VLN has negative earnings and hence a negative payout ratio. The dividend may be in danger.

DP-0.6%

EPS Next 2YN/A

EPS Next 3YN/A

More info and screens

Find the best dividend stocks

Show peers with best dividend

VELAN INC

TSX:VLN (6/4/2025, 7:00:00 PM)

14.75

-0.2 (-1.34%)

Chartmill FA Rating

GICS SectorIndustrials

GICS IndustryGroupCapital Goods

GICS IndustryMachinery

Earnings (Last)05-22 2025-05-22

Earnings (Next)07-09 2025-07-09

Inst Owners13.02%

Inst Owner ChangeN/A

Ins Owners0.44%

Ins Owner ChangeN/A

Market Cap318.45M

Analysts0

Price TargetN/A

Short Float %N/A

Short RatioN/A

Dividend

		Industry Rank	Sector Rank
Dividend Yield	0.8%

Yearly Dividend0.03

Dividend Growth(5Y)-25.09%

DP-0.6%

Div Incr Years0

Div Non Decr Years0

Ex-Date06-16 2025-06-16 (0.03)

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	N/A
Fwd PE	N/A
P/S	0.62
P/FCF	14.66
P/OCF	8.76
P/B	2.37
P/tB	2.53
EV/EBITDA	7.72

EPS(TTM)-4.84

EYN/A

EPS(NY)N/A

Fwd EYN/A

FCF(TTM)1.01

FCFY6.82%

OCF(TTM)1.68

OCFY11.41%

SpS23.66

BVpS6.21

TBVpS5.84

PEG (NY)N/A

PEG (5Y)N/A

Profitability

		Industry Rank	Sector Rank
ROA	-15.26%
ROE	-78.28%
ROCE	15.18%
ROIC	10.72%
ROICexc	14.69%
ROICexgc	15.66%
OM	5.2%
PM (TTM)	N/A
GM	29.17%
FCFM	4.25%

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

ROICexcg growth 3Y11.55%

ROICexcg 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-Score4

Asset Turnover0.74

Health

		Industry Rank	Sector Rank
Debt/Equity	0.22
Debt/FCF	1.57
Debt/EBITDA	0.75
Cap/Depr	118.67%
Cap/Sales	2.86%
Interest Coverage	250
Cash Conversion	93.49%
Profit Quality	N/A
Current Ratio	1.12
Quick Ratio	0.76
Altman-Z	1.51

F-Score4

WACC8.42%

ROIC/WACC1.27

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)-286.18%

EPS 3YN/A

EPS 5YN/A

EPS Q2Q%-490.67%

EPS Next YN/A

EPS Next 2YN/A

EPS Next 3YN/A

EPS Next 5YN/A

Revenue 1Y (TTM)7.46%

Revenue growth 3Y-10.46%

Revenue growth 5Y-4.5%

Sales Q2Q%-29.43%

Revenue Next YearN/A

Revenue Next 2YN/A

Revenue Next 3YN/A

Revenue Next 5YN/A

EBIT growth 1Y423.74%

EBIT growth 3Y-23.38%

EBIT growth 5Y44.31%

EBIT Next YearN/A

EBIT Next 3YN/A

EBIT Next 5YN/A

FCF growth 1Y277.51%

FCF growth 3Y19.67%

FCF growth 5YN/A

OCF growth 1Y111.84%

OCF growth 3Y14.08%

OCF growth 5Y22.44%

VELAN INC (VLN.CA) Stock Fundamental Analysis

1. Profitability

1.1 Basic Checks

1.2 Ratios

1.3 Margins

More info and screens

2. Health

2.1 Basic Checks

2.2 Solvency

2.3 Liquidity

More info and screens

3. Growth

3.1 Past

3.2 Future

3.3 Evolution

More info and screens

4. Valuation

4.1 Price/Earnings Ratio

4.2 Price Multiples

4.3 Compensation for Growth

More info and screens

5. Dividend

5.1 Amount

5.2 History

5.3 Sustainability

More info and screens