BQE WATER INC (BQE.CA) Stock Fundamental Analysis
TSX-V:BQE - TSX Venture Exchange - CA0556402059 - Common Stock - Currency: CAD
Taking everything into account, BQE scores 6 out of 10 in our fundamental rating. BQE was compared to 24 industry peers in the Commercial Services & Supplies industry. BQE has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. BQE has a decent growth rate and is not valued too expensively. These ratings would make BQE suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year BQE was profitable.
In the past year BQE had a positive cash flow from operations.
BQE had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: BQE reported negative operating cash flow in multiple years.
1.2 Ratios
The Return On Assets of BQE (12.56%) is better than 95.83% of its industry peers.
Looking at the Return On Equity, with a value of 15.96%, BQE belongs to the top of the industry, outperforming 95.83% of the companies in the same industry.
BQE has a better Return On Invested Capital (6.01%) than 75.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.56% | ||
| ROE | 15.96% | ||
| ROIC | 6.01% |
ROA(3y)13.46%
ROA(5y)10.88%
ROE(3y)16.8%
ROE(5y)13.72%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 14.26%, BQE belongs to the top of the industry, outperforming 95.83% of the companies in the same industry.
In the last couple of years the Profit Margin of BQE has grown nicely.
Looking at the Operating Margin, with a value of 7.06%, BQE is in the better half of the industry, outperforming 70.83% of the companies in the same industry.
In the last couple of years the Operating Margin of BQE has grown nicely.
BQE has a better Gross Margin (50.93%) than 87.50% of its industry peers.
BQE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.06% | ||
| PM (TTM) | 14.26% | ||
| GM | 50.93% |
OM growth 3Y104.4%
OM growth 5YN/A
PM growth 3Y-1.19%
PM growth 5Y32.95%
GM growth 3Y5.6%
GM growth 5Y-0.98%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so BQE is destroying value.
The number of shares outstanding for BQE has been reduced compared to 1 year ago.
BQE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for BQE is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.08 indicates that BQE is not in any danger for bankruptcy at the moment.
BQE has a Altman-Z score of 8.08. This is amongst the best in the industry. BQE outperforms 100.00% of its industry peers.
The Debt to FCF ratio of BQE is 1.65, which is an excellent value as it means it would take BQE, only 1.65 years of fcf income to pay off all of its debts.
BQE's Debt to FCF ratio of 1.65 is amongst the best of the industry. BQE outperforms 95.83% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that BQE is not too dependend on debt financing.
BQE's Debt to Equity ratio of 0.12 is amongst the best of the industry. BQE outperforms 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.65 | ||
| Altman-Z | 8.08 |
ROIC/WACC0.78
WACC7.7%
2.3 Liquidity
BQE has a Current Ratio of 5.62. This indicates that BQE is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 5.62, BQE belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
A Quick Ratio of 5.62 indicates that BQE has no problem at all paying its short term obligations.
The Quick ratio of BQE (5.62) is better than 95.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.62 | ||
| Quick Ratio | 5.62 |
3. Growth
3.1 Past
BQE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 84.29%, which is quite impressive.
BQE shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 67.50% yearly.
BQE shows a small growth in Revenue. In the last year, the Revenue has grown by 7.03%.
BQE shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 33.54% yearly.
EPS 1Y (TTM)84.29%
EPS 3Y30.03%
EPS 5Y67.5%
EPS Q2Q%71.38%
Revenue 1Y (TTM)7.03%
Revenue growth 3Y33.07%
Revenue growth 5Y33.54%
Sales Q2Q%9.15%
3.2 Future
The Earnings Per Share is expected to grow by 44.10% on average over the next years. This is a very strong growth
The Revenue is expected to decrease by -1.64% on average over the next years.
EPS Next Y51.35%
EPS Next 2Y44.1%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-16.74%
Revenue Next 2Y-1.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
BQE is valuated rather expensively with a Price/Earnings ratio of 17.63.
Based on the Price/Earnings ratio, BQE is valued cheaply inside the industry as 87.50% of the companies are valued more expensively.
BQE is valuated rather cheaply when we compare the Price/Earnings ratio to 29.63, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.59, which indicates a very decent valuation of BQE.
BQE's Price/Forward Earnings ratio is rather cheap when compared to the industry. BQE is cheaper than 83.33% of the companies in the same industry.
BQE's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.63 | ||
| Fwd PE | 11.59 |
4.2 Price Multiples
62.50% of the companies in the same industry are cheaper than BQE, based on the Enterprise Value to EBITDA ratio.
BQE's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 58.68 | ||
| EV/EBITDA | 39.38 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of BQE may justify a higher PE ratio.
A more expensive valuation may be justified as BQE's earnings are expected to grow with 44.10% in the coming years.
PEG (NY)0.34
PEG (5Y)0.26
EPS Next 2Y44.1%
EPS Next 3YN/A
5. Dividend
5.1 Amount
BQE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX-V:BQE (2/21/2025, 7:00:00 PM)
55.01
-3.49 (-5.97%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners0.04%
Inst Owner ChangeN/A
Ins Owners53.13%
Ins Owner ChangeN/A
Market Cap70.96M
Analysts86.67
Price Target81.6 (48.34%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
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)-144.33%
Min EPS beat(2)-236.64%
Max EPS beat(2)-52.01%
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)0
Avg Revenue beat(2)-17.56%
Min Revenue beat(2)-19.09%
Max Revenue beat(2)-16.04%
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)0%
PT rev (3m)3.9%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)28.24%
EPS NY rev (3m)28.24%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.63 | ||
| Fwd PE | 11.59 | ||
| P/S | 4.13 | ||
| P/FCF | 58.68 | ||
| P/OCF | 55.18 | ||
| P/B | 4.62 | ||
| P/tB | 4.68 | ||
| EV/EBITDA | 39.38 |
EPS(TTM)3.12
EY5.67%
EPS(NY)4.75
Fwd EY8.63%
FCF(TTM)0.94
FCFY1.7%
OCF(TTM)1
OCFY1.81%
SpS13.32
BVpS11.91
TBVpS11.76
PEG (NY)0.34
PEG (5Y)0.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.56% | ||
| ROE | 15.96% | ||
| ROCE | 6.98% | ||
| ROIC | 6.01% | ||
| ROICexc | 10.9% | ||
| ROICexgc | 11.11% | ||
| OM | 7.06% | ||
| PM (TTM) | 14.26% | ||
| GM | 50.93% | ||
| FCFM | 7.04% |
ROA(3y)13.46%
ROA(5y)10.88%
ROE(3y)16.8%
ROE(5y)13.72%
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 3Y137.49%
ROICexcg growth 5YN/A
ROICexc growth 3Y135.38%
ROICexc growth 5YN/A
OM growth 3Y104.4%
OM growth 5YN/A
PM growth 3Y-1.19%
PM growth 5Y32.95%
GM growth 3Y5.6%
GM growth 5Y-0.98%
F-Score6
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.65 | ||
| Debt/EBITDA | 1.12 | ||
| Cap/Depr | 17.35% | ||
| Cap/Sales | 0.45% | ||
| Interest Coverage | -50.06 | ||
| Cash Conversion | 77.72% | ||
| Profit Quality | 49.33% | ||
| Current Ratio | 5.62 | ||
| Quick Ratio | 5.62 | ||
| Altman-Z | 8.08 |
F-Score6
WACC7.7%
ROIC/WACC0.78
Cap/Depr(3y)75.57%
Cap/Depr(5y)49.59%
Cap/Sales(3y)1.69%
Cap/Sales(5y)1.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)84.29%
EPS 3Y30.03%
EPS 5Y67.5%
EPS Q2Q%71.38%
EPS Next Y51.35%
EPS Next 2Y44.1%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.03%
Revenue growth 3Y33.07%
Revenue growth 5Y33.54%
Sales Q2Q%9.15%
Revenue Next Year-16.74%
Revenue Next 2Y-1.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y208.68%
EBIT growth 3Y172%
EBIT growth 5YN/A
EBIT Next Year65.63%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y330.07%
FCF growth 3Y76.63%
FCF growth 5YN/A
OCF growth 1Y559.62%
OCF growth 3Y81.55%
OCF growth 5YN/A