ATLAS ENGINEERED PRODUCTS LT (AEP.CA) Stock Fundamental Analysis
TSX-V:AEP - TSX Venture Exchange - CA0493041085 - Common Stock - Currency: CAD
Taking everything into account, AEP scores 6 out of 10 in our fundamental rating. AEP was compared to 12 industry peers in the Paper & Forest Products industry. AEP has an excellent profitability rating, but there are some minor concerns on its financial health. AEP is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! This makes AEP very considerable for growth investing!
1. Profitability
1.1 Basic Checks
AEP had positive earnings in the past year.
In the past year AEP had a positive cash flow from operations.
AEP had positive earnings in 4 of the past 5 years.
In the past 5 years AEP always reported a positive cash flow from operatings.
1.2 Ratios
AEP has a Return On Assets of 1.60%. This is amongst the best in the industry. AEP outperforms 83.33% of its industry peers.
AEP's Return On Equity of 3.42% is amongst the best of the industry. AEP outperforms 83.33% of its industry peers.
The Return On Invested Capital of AEP (3.95%) is better than 83.33% of its industry peers.
AEP had an Average Return On Invested Capital over the past 3 years of 16.87%. This is significantly above the industry average of 5.18%.
The last Return On Invested Capital (3.95%) for AEP is well below the 3 year average (16.87%), which needs to be investigated, but indicates that AEP had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.6% | ||
| ROE | 3.42% | ||
| ROIC | 3.95% |
ROA(3y)13.63%
ROA(5y)7.78%
ROE(3y)24.94%
ROE(5y)13.48%
ROIC(3y)16.87%
ROIC(5y)11.04%
1.3 Margins
AEP has a Profit Margin of 2.09%. This is amongst the best in the industry. AEP outperforms 83.33% of its industry peers.
In the last couple of years the Profit Margin of AEP has grown nicely.
With a decent Operating Margin value of 6.32%, AEP is doing good in the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Operating Margin of AEP has grown nicely.
AEP's Gross Margin of 23.66% is fine compared to the rest of the industry. AEP outperforms 75.00% of its industry peers.
In the last couple of years the Gross Margin of AEP has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.32% | ||
| PM (TTM) | 2.09% | ||
| GM | 23.66% |
OM growth 3Y99.27%
OM growth 5Y48.48%
PM growth 3Y115.06%
PM growth 5YN/A
GM growth 3Y10.35%
GM growth 5Y2.07%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so AEP is creating value.
AEP has more shares outstanding than it did 1 year ago.
AEP has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, AEP has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.40 indicates that AEP is not a great score, but indicates only limited risk for bankruptcy at the moment.
With an excellent Altman-Z score value of 2.40, AEP belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
The Debt to FCF ratio of AEP is 10.92, which is on the high side as it means it would take AEP, 10.92 years of fcf income to pay off all of its debts.
AEP has a Debt to FCF ratio (10.92) which is in line with its industry peers.
A Debt/Equity ratio of 0.80 indicates that AEP is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.80, AEP is doing worse than 83.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 10.92 | ||
| Altman-Z | 2.4 |
ROIC/WACC0.58
WACC6.81%
2.3 Liquidity
A Current Ratio of 2.97 indicates that AEP has no problem at all paying its short term obligations.
AEP has a better Current ratio (2.97) than 91.67% of its industry peers.
A Quick Ratio of 2.01 indicates that AEP has no problem at all paying its short term obligations.
AEP has a Quick ratio of 2.01. This is amongst the best in the industry. AEP outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.97 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
AEP shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -85.71%.
Measured over the past years, AEP shows a very strong growth in Earnings Per Share. The EPS has been growing by 132.61% on average per year.
Looking at the last year, AEP shows a quite strong growth in Revenue. The Revenue has grown by 9.46% in the last year.
Measured over the past years, AEP shows a very strong growth in Revenue. The Revenue has been growing by 33.63% on average per year.
EPS 1Y (TTM)-85.71%
EPS 3Y132.61%
EPS 5YN/A
EPS Q2Q%-50%
Revenue 1Y (TTM)9.46%
Revenue growth 3Y11.41%
Revenue growth 5Y33.63%
Sales Q2Q%15.18%
3.2 Future
The Earnings Per Share is expected to grow by 35.21% on average over the next years. This is a very strong growth
AEP is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 26.90% yearly.
EPS Next Y-79.4%
EPS Next 2Y14.22%
EPS Next 3Y35.21%
EPS Next 5YN/A
Revenue Next Year10.65%
Revenue Next 2Y20.42%
Revenue Next 3Y26.9%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 90.00 indicates a quite expensive valuation of AEP.
Compared to the rest of the industry, the Price/Earnings ratio of AEP indicates a rather cheap valuation: AEP is cheaper than 83.33% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.35, AEP is valued quite expensively.
The Price/Forward Earnings ratio is 13.80, which indicates a correct valuation of AEP.
AEP's Price/Forward Earnings ratio is rather cheap when compared to the industry. AEP is cheaper than 83.33% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, AEP is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 90 | ||
| Fwd PE | 13.8 |
4.2 Price Multiples
AEP's Enterprise Value to EBITDA is on the same level as the industry average.
AEP's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 22.42 | ||
| EV/EBITDA | 10.16 |
4.3 Compensation for Growth
The excellent profitability rating of AEP may justify a higher PE ratio.
AEP's earnings are expected to grow with 35.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y14.22%
EPS Next 3Y35.21%
5. Dividend
5.1 Amount
No dividends for AEP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX-V:AEP (3/7/2025, 7:00:00 PM)
0.9
-0.01 (-1.1%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryPaper & Forest Products
Earnings (Last)
Earnings (Next)
Inst Owners3.82%
Inst Owner ChangeN/A
Ins Owners9.71%
Ins Owner ChangeN/A
Market Cap63.47M
Analysts86.15
Price Target2.33 (158.89%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)21.36%
Min EPS beat(2)-51.46%
Max EPS beat(2)94.17%
EPS beat(4)1
Avg EPS beat(4)-21.68%
Min EPS beat(4)-94.17%
Max EPS beat(4)94.17%
EPS beat(8)2
Avg EPS beat(8)-14.72%
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)3.49%
Min Revenue beat(2)2.35%
Max Revenue beat(2)4.63%
Revenue beat(4)2
Avg Revenue beat(4)-1.48%
Min Revenue beat(4)-10.21%
Max Revenue beat(4)4.63%
Revenue beat(8)3
Avg Revenue beat(8)-1.07%
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)0%
PT rev (3m)-2.56%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-50.07%
EPS NY rev (1m)0%
EPS NY rev (3m)-71.43%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.7%
Revenue NY rev (1m)-0.36%
Revenue NY rev (3m)-2.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 90 | ||
| Fwd PE | 13.8 | ||
| P/S | 1.15 | ||
| P/FCF | 22.42 | ||
| P/OCF | 16.11 | ||
| P/B | 1.89 | ||
| P/tB | 9.8 | ||
| EV/EBITDA | 10.16 |
EPS(TTM)0.01
EY1.11%
EPS(NY)0.07
Fwd EY7.25%
FCF(TTM)0.04
FCFY4.46%
OCF(TTM)0.06
OCFY6.21%
SpS0.78
BVpS0.48
TBVpS0.09
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.6% | ||
| ROE | 3.42% | ||
| ROCE | 5.47% | ||
| ROIC | 3.95% | ||
| ROICexc | 4.45% | ||
| ROICexgc | 8.58% | ||
| OM | 6.32% | ||
| PM (TTM) | 2.09% | ||
| GM | 23.66% | ||
| FCFM | 5.15% |
ROA(3y)13.63%
ROA(5y)7.78%
ROE(3y)24.94%
ROE(5y)13.48%
ROIC(3y)16.87%
ROIC(5y)11.04%
ROICexc(3y)25.02%
ROICexc(5y)16.03%
ROICexgc(3y)42.13%
ROICexgc(5y)27.64%
ROCE(3y)23.38%
ROCE(5y)15.39%
ROICexcg growth 3Y62.85%
ROICexcg growth 5Y29.85%
ROICexc growth 3Y56.8%
ROICexc growth 5Y18.96%
OM growth 3Y99.27%
OM growth 5Y48.48%
PM growth 3Y115.06%
PM growth 5YN/A
GM growth 3Y10.35%
GM growth 5Y2.07%
F-Score3
Asset Turnover0.77
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.8 | ||
| Debt/FCF | 10.92 | ||
| Debt/EBITDA | 3.12 | ||
| Cap/Depr | 21.74% | ||
| Cap/Sales | 2.02% | ||
| Interest Coverage | 1.47 | ||
| Cash Conversion | 45.94% | ||
| Profit Quality | 246.93% | ||
| Current Ratio | 2.97 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 2.4 |
F-Score3
WACC6.81%
ROIC/WACC0.58
Cap/Depr(3y)63.98%
Cap/Depr(5y)50.03%
Cap/Sales(3y)3.19%
Cap/Sales(5y)2.81%
Profit Quality(3y)109.27%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-85.71%
EPS 3Y132.61%
EPS 5YN/A
EPS Q2Q%-50%
EPS Next Y-79.4%
EPS Next 2Y14.22%
EPS Next 3Y35.21%
EPS Next 5YN/A
Revenue 1Y (TTM)9.46%
Revenue growth 3Y11.41%
Revenue growth 5Y33.63%
Sales Q2Q%15.18%
Revenue Next Year10.65%
Revenue Next 2Y20.42%
Revenue Next 3Y26.9%
Revenue Next 5YN/A
EBIT growth 1Y-50.23%
EBIT growth 3Y122%
EBIT growth 5Y98.42%
EBIT Next Year49.74%
EBIT Next 3Y64.34%
EBIT Next 5YN/A
FCF growth 1Y-61.32%
FCF growth 3Y157.94%
FCF growth 5YN/A
OCF growth 1Y-64.03%
OCF growth 3Y99.15%
OCF growth 5YN/A