ECN CAPITAL CORP (ECN.CA) Stock Fundamental Analysis
Canada - TSX:ECN - CA26829L1076 - Common Stock
2.76 CAD
-0.01 (-0.36%)
ECN gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 27 industry peers in the Financial Services industry. ECN scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. ECN is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
ECN had positive earnings in the past year.
ECN had a positive operating cash flow in the past year.
In multiple years ECN reported negative net income over the last 5 years.
The reported operating cash flow has been mixed in the past 5 years: ECN reported negative operating cash flow in multiple years.
1.2 Ratios
ECN has a Return On Assets of 0.01%. This is in the lower half of the industry: ECN underperforms 74.07% of its industry peers.
ECN's Return On Equity of 0.03% is on the low side compared to the rest of the industry. ECN is outperformed by 74.07% of its industry peers.
ECN has a Return On Invested Capital (4.31%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ECN is below the industry average of 5.03%.
The 3 year average ROIC (2.48%) for ECN is below the current ROIC(4.31%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.01% | ||
| ROE | 0.03% | ||
| ROIC | 4.31% |
ROA(3y)-2.68%
ROA(5y)14.79%
ROE(3y)-16.1%
ROE(5y)77.16%
ROIC(3y)2.48%
ROIC(5y)1.63%
1.3 Margins
With a Profit Margin value of 0.03%, ECN is not doing good in the industry: 74.07% of the companies in the same industry are doing better.
ECN's Operating Margin of 33.30% is on the low side compared to the rest of the industry. ECN is outperformed by 62.96% of its industry peers.
In the last couple of years the Operating Margin of ECN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.3% | ||
| PM (TTM) | 0.03% | ||
| GM | N/A |
OM growth 3Y87.71%
OM growth 5Y15.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ECN is destroying value.
The number of shares outstanding for ECN has been increased compared to 1 year ago.
ECN has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ECN has been reduced compared to a year ago.
2.2 Solvency
ECN has an Altman-Z score of 0.03. This is a bad value and indicates that ECN is not financially healthy and even has some risk of bankruptcy.
ECN has a Altman-Z score of 0.03. This is amonst the worse of the industry: ECN underperforms 85.19% of its industry peers.
The Debt to FCF ratio of ECN is 3.27, which is a good value as it means it would take ECN, 3.27 years of fcf income to pay off all of its debts.
ECN's Debt to FCF ratio of 3.27 is amongst the best of the industry. ECN outperforms 88.89% of its industry peers.
ECN has a Debt/Equity ratio of 2.85. This is a high value indicating a heavy dependency on external financing.
ECN's Debt to Equity ratio of 2.85 is on the low side compared to the rest of the industry. ECN is outperformed by 70.37% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.85 | ||
| Debt/FCF | 3.27 | ||
| Altman-Z | 0.03 |
ROIC/WACC0.74
WACC5.79%
2.3 Liquidity
A Current Ratio of 1.05 indicates that ECN should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.05, ECN belongs to the top of the industry, outperforming 85.19% of the companies in the same industry.
A Quick Ratio of 1.05 indicates that ECN should not have too much problems paying its short term obligations.
With an excellent Quick ratio value of 1.05, ECN belongs to the best of the industry, outperforming 85.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 750.00% over the past year.
ECN shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -20.31% yearly.
The Revenue has grown by 33.31% in the past year. This is a very strong growth!
The Revenue has been decreasing by -1.56% on average over the past years.
EPS 1Y (TTM)750%
EPS 3Y-34.48%
EPS 5Y-20.31%
EPS Q2Q%33.33%
Revenue 1Y (TTM)33.31%
Revenue growth 3Y21.98%
Revenue growth 5Y-1.56%
Sales Q2Q%3.83%
3.2 Future
ECN is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 42.84% yearly.
ECN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.04% yearly.
EPS Next Y99.19%
EPS Next 2Y65.25%
EPS Next 3Y42.84%
EPS Next 5YN/A
Revenue Next Year11.92%
Revenue Next 2Y14.36%
Revenue Next 3Y12.04%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 15.33 indicates a correct valuation of ECN.
ECN's Price/Earnings ratio is a bit cheaper when compared to the industry. ECN is cheaper than 70.37% of the companies in the same industry.
ECN is valuated rather cheaply when we compare the Price/Earnings ratio to 26.13, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 7.98 indicates a rather cheap valuation of ECN.
ECN's Price/Forward Earnings ratio is rather cheap when compared to the industry. ECN is cheaper than 92.59% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of ECN to the average of the S&P500 Index (22.35), we can say ECN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.33 | ||
| Fwd PE | 7.98 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ECN is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
100.00% of the companies in the same industry are more expensive than ECN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.17 | ||
| EV/EBITDA | 11.28 |
4.3 Compensation for Growth
ECN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ECN's earnings are expected to grow with 42.84% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.15
PEG (5Y)N/A
EPS Next 2Y65.25%
EPS Next 3Y42.84%
5. Dividend
5.1 Amount
ECN has a Yearly Dividend Yield of 1.45%.
With a Dividend Yield of 1.45, ECN pays less dividend than the industry average, which is at 6.94. 85.19% of the companies listed in the same industry pay a better dividend than ECN!
ECN's Dividend Yield is slightly below the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
5.2 History
The dividend of ECN decreases each year by -5.51%.
ECN has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of ECN decreased in the last 3 years.
Dividend Growth(5Y)-5.51%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
ECN pays out 22763.77% of its income as dividend. This is not a sustainable payout ratio.
DP22763.77%
EPS Next 2Y65.25%
EPS Next 3Y42.84%
TSX:ECN (11/5/2025, 7:00:00 PM)
2.76
-0.01 (-0.36%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners47.31%
Inst Owner ChangeN/A
Ins Owners6.76%
Ins Owner ChangeN/A
Market Cap776.88M
Revenue(TTM)238.49M
Net Income(TTM)69.00K
Analysts75
Price Target3.67 (32.97%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.45% |
Yearly Dividend0.08
Dividend Growth(5Y)-5.51%
DP22763.77%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8.07%
Min EPS beat(2)-15.14%
Max EPS beat(2)-0.99%
EPS beat(4)0
Avg EPS beat(4)-22.53%
Min EPS beat(4)-64%
Max EPS beat(4)-0.99%
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)1
Avg Revenue beat(2)1.47%
Min Revenue beat(2)-7.2%
Max Revenue beat(2)10.15%
Revenue beat(4)2
Avg Revenue beat(4)1.46%
Min Revenue beat(4)-7.75%
Max Revenue beat(4)10.65%
Revenue beat(8)4
Avg Revenue beat(8)1.69%
Revenue beat(12)4
Avg Revenue beat(12)-4.29%
Revenue beat(16)4
Avg Revenue beat(16)-13.52%
PT rev (1m)-2.37%
PT rev (3m)-5.57%
EPS NQ rev (1m)-1.31%
EPS NQ rev (3m)4.17%
EPS NY rev (1m)0%
EPS NY rev (3m)-8.51%
Revenue NQ rev (1m)-1.1%
Revenue NQ rev (3m)-2.49%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.06%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.33 | ||
| Fwd PE | 7.98 | ||
| P/S | 2.31 | ||
| P/FCF | 3.17 | ||
| P/OCF | 3.15 | ||
| P/B | 2.76 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.28 |
EPS(TTM)0.18
EY6.52%
EPS(NY)0.35
Fwd EY12.54%
FCF(TTM)0.87
FCFY31.59%
OCF(TTM)0.88
OCFY31.72%
SpS1.19
BVpS1
TBVpS-0.29
PEG (NY)0.15
PEG (5Y)N/A
Graham Number2.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.01% | ||
| ROE | 0.03% | ||
| ROCE | 9.08% | ||
| ROIC | 4.31% | ||
| ROICexc | 4.38% | ||
| ROICexgc | 6.89% | ||
| OM | 33.3% | ||
| PM (TTM) | 0.03% | ||
| GM | N/A | ||
| FCFM | 73.1% |
ROA(3y)-2.68%
ROA(5y)14.79%
ROE(3y)-16.1%
ROE(5y)77.16%
ROIC(3y)2.48%
ROIC(5y)1.63%
ROICexc(3y)2.52%
ROICexc(5y)1.66%
ROICexgc(3y)3.6%
ROICexgc(5y)2.66%
ROCE(3y)5.23%
ROCE(5y)3.43%
ROICexgc growth 3Y47.97%
ROICexgc growth 5Y17.4%
ROICexc growth 3Y100.79%
ROICexc growth 5Y25.74%
OM growth 3Y87.71%
OM growth 5Y15.55%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.85 | ||
| Debt/FCF | 3.27 | ||
| Debt/EBITDA | 5.79 | ||
| Cap/Depr | 3.52% | ||
| Cap/Sales | 0.28% | ||
| Interest Coverage | 1.7 | ||
| Cash Conversion | 177.56% | ||
| Profit Quality | 252664% | ||
| Current Ratio | 1.05 | ||
| Quick Ratio | 1.05 | ||
| Altman-Z | 0.03 |
F-Score7
WACC5.79%
ROIC/WACC0.74
Cap/Depr(3y)114.58%
Cap/Depr(5y)86.26%
Cap/Sales(3y)8.73%
Cap/Sales(5y)6.74%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)750%
EPS 3Y-34.48%
EPS 5Y-20.31%
EPS Q2Q%33.33%
EPS Next Y99.19%
EPS Next 2Y65.25%
EPS Next 3Y42.84%
EPS Next 5YN/A
Revenue 1Y (TTM)33.31%
Revenue growth 3Y21.98%
Revenue growth 5Y-1.56%
Sales Q2Q%3.83%
Revenue Next Year11.92%
Revenue Next 2Y14.36%
Revenue Next 3Y12.04%
Revenue Next 5YN/A
EBIT growth 1Y178.05%
EBIT growth 3Y128.98%
EBIT growth 5Y13.75%
EBIT Next Year99.8%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y153.35%
FCF growth 3Y11.95%
FCF growth 5Y-6.78%
OCF growth 1Y156.44%
OCF growth 3Y10.19%
OCF growth 5Y-7.11%
ECN CAPITAL CORP / ECN.CA FAQ
What is the ChartMill fundamental rating of ECN CAPITAL CORP (ECN.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ECN.CA.
What is the valuation status of ECN CAPITAL CORP (ECN.CA) stock?
ChartMill assigns a valuation rating of 8 / 10 to ECN CAPITAL CORP (ECN.CA). This can be considered as Undervalued.
What is the profitability of ECN stock?
ECN CAPITAL CORP (ECN.CA) has a profitability rating of 2 / 10.
How financially healthy is ECN CAPITAL CORP?
The financial health rating of ECN CAPITAL CORP (ECN.CA) is 5 / 10.
What is the expected EPS growth for ECN CAPITAL CORP (ECN.CA) stock?
The Earnings per Share (EPS) of ECN CAPITAL CORP (ECN.CA) is expected to grow by 99.19% in the next year.