ECORA ROYALTIES PLC (ECOR.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:ECOR - GB0006449366 - Common Stock
2.83 CAD
+0.01 (+0.35%)
Taking everything into account, ECOR scores 4 out of 10 in our fundamental rating. ECOR was compared to 820 industry peers in the Metals & Mining industry. ECOR has an average financial health and profitability rating. ECOR has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year ECOR has reported negative net income.
- ECOR had a positive operating cash flow in the past year.
- In multiple years ECOR reported negative net income over the last 5 years.
- In the past 5 years ECOR always reported a positive cash flow from operatings.
1.2 Ratios
- ECOR has a Return On Assets of -5.14%. This is in the better half of the industry: ECOR outperforms 70.49% of its industry peers.
- ECOR's Return On Equity of -7.06% is fine compared to the rest of the industry. ECOR outperforms 70.37% of its industry peers.
- With an excellent Return On Invested Capital value of 0.37%, ECOR belongs to the best of the industry, outperforming 88.54% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for ECOR is below the industry average of 12.04%.
- The last Return On Invested Capital (0.37%) for ECOR is well below the 3 year average (8.03%), which needs to be investigated, but indicates that ECOR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -5.14% | ||
| ROE | -7.06% | ||
| ROIC | 0.37% |
ROA(3y)4.1%
ROA(5y)2.68%
ROE(3y)5.57%
ROE(5y)3.81%
ROIC(3y)8.03%
ROIC(5y)7.45%
1.3 Margins
- ECOR has a Operating Margin of 11.34%. This is amongst the best in the industry. ECOR outperforms 90.00% of its industry peers.
- ECOR's Operating Margin has declined in the last couple of years.
- ECOR has a better Gross Margin (92.13%) than 99.88% of its industry peers.
- In the last couple of years the Gross Margin of ECOR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.34% | ||
| PM (TTM) | N/A | ||
| GM | 92.13% |
OM growth 3Y0.53%
OM growth 5Y-3.78%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y3.49%
GM growth 5Y1.24%
2. Health
2.1 Basic Checks
- ECOR has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- ECOR has less shares outstanding than it did 1 year ago.
- The number of shares outstanding for ECOR has been increased compared to 5 years ago.
- The debt/assets ratio for ECOR is higher compared to a year ago.
2.2 Solvency
- ECOR has an Altman-Z score of 2.62. This is not the best score and indicates that ECOR is in the grey zone with still only limited risk for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 2.62, ECOR is in line with its industry, outperforming 46.10% of the companies in the same industry.
- ECOR has a Debt/Equity ratio of 0.31. This is a healthy value indicating a solid balance between debt and equity.
- With a Debt to Equity ratio value of 0.31, ECOR is not doing good in the industry: 68.90% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.31 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.62 |
ROIC/WACC0.03
WACC10.87%
2.3 Liquidity
- ECOR has a Current Ratio of 2.49. This indicates that ECOR is financially healthy and has no problem in meeting its short term obligations.
- ECOR has a Current ratio (2.49) which is in line with its industry peers.
- ECOR has a Quick Ratio of 2.49. This indicates that ECOR is financially healthy and has no problem in meeting its short term obligations.
- ECOR has a Quick ratio of 2.49. This is comparable to the rest of the industry: ECOR outperforms 59.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.49 | ||
| Quick Ratio | 2.49 |
3. Growth
3.1 Past
- ECOR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -258.98%.
- Looking at the last year, ECOR shows a very negative growth in Revenue. The Revenue has decreased by -62.13% in the last year.
- The Revenue has been decreasing by -3.46% on average over the past years.
EPS 1Y (TTM)-258.98%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-181.21%
Revenue 1Y (TTM)-62.13%
Revenue growth 3Y-11.26%
Revenue growth 5Y-3.46%
Sales Q2Q%-67.98%
3.2 Future
- ECOR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.88% yearly.
- ECOR is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.50% yearly.
EPS Next Y-24.47%
EPS Next 2Y4.01%
EPS Next 3Y-2.89%
EPS Next 5Y13.88%
Revenue Next Year-7.32%
Revenue Next 2Y2.83%
Revenue Next 3Y-0.94%
Revenue Next 5Y10.5%
3.3 Evolution
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- ECOR reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
- A Price/Forward Earnings ratio of 18.85 indicates a rather expensive valuation of ECOR.
- Based on the Price/Forward Earnings ratio, ECOR is valued cheaper than 90.98% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.96. ECOR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 18.85 |
4.2 Price Multiples
- ECOR's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ECOR is cheaper than 89.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 49.39 |
4.3 Compensation for Growth
- The decent profitability rating of ECOR may justify a higher PE ratio.
- ECOR's earnings are expected to decrease with -2.89% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y4.01%
EPS Next 3Y-2.89%
5. Dividend
5.1 Amount
- ECOR has a yearly dividend return of 0.89%, which is pretty low.
- ECOR's Dividend Yield is rather good when compared to the industry average which is at 0.56. ECOR pays more dividend than 97.20% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, ECOR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.89% |
5.2 History
- The dividend of ECOR decreases each year by -15.84%.
- ECOR has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)-15.84%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- The earnings of ECOR are negative and hence is the payout ratio. ECOR will probably not be able to sustain this dividend level.
DP-13.94%
EPS Next 2Y4.01%
EPS Next 3Y-2.89%
ECORA ROYALTIES PLC / ECOR.CA FAQ
What is the fundamental rating for ECOR stock?
ChartMill assigns a fundamental rating of 4 / 10 to ECOR.CA.
Can you provide the valuation status for ECORA ROYALTIES PLC?
ChartMill assigns a valuation rating of 3 / 10 to ECORA ROYALTIES PLC (ECOR.CA). This can be considered as Overvalued.
Can you provide the profitability details for ECORA ROYALTIES PLC?
ECORA ROYALTIES PLC (ECOR.CA) has a profitability rating of 6 / 10.
What is the financial health of ECORA ROYALTIES PLC (ECOR.CA) stock?
The financial health rating of ECORA ROYALTIES PLC (ECOR.CA) is 4 / 10.
Can you provide the expected EPS growth for ECOR stock?
The Earnings per Share (EPS) of ECORA ROYALTIES PLC (ECOR.CA) is expected to decline by -24.47% in the next year.