HAIVISION SYSTEMS INC (HAI.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:HAI - CA40531F1009 - Common Stock
8.73 CAD
+0.33 (+3.93%)
Overall HAI gets a fundamental rating of 6 out of 10. We evaluated HAI against 11 industry peers in the Communications Equipment industry. HAI has an excellent financial health rating, but there are some minor concerns on its profitability. HAI is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
- In the past year HAI was profitable.
- HAI had a positive operating cash flow in the past year.
- The reported net income has been mixed in the past 5 years: HAI reported negative net income in multiple years.
- Of the past 5 years HAI 4 years had a positive operating cash flow.
1.2 Ratios
- HAI's Return On Assets of 0.08% is amongst the best of the industry. HAI outperforms 81.82% of its industry peers.
- Looking at the Return On Equity, with a value of 0.12%, HAI belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
- HAI has a Return On Invested Capital of 0.24%. This is amongst the best in the industry. HAI outperforms 81.82% of its industry peers.
- HAI had an Average Return On Invested Capital over the past 3 years of 1.94%. This is significantly below the industry average of 9.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.08% | ||
| ROE | 0.12% | ||
| ROIC | 0.24% |
ROA(3y)0.84%
ROA(5y)-1.76%
ROE(3y)1.21%
ROE(5y)-2.62%
ROIC(3y)1.94%
ROIC(5y)N/A
1.3 Margins
- Looking at the Profit Margin, with a value of 0.08%, HAI belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
- In the last couple of years the Profit Margin of HAI has declined.
- HAI's Operating Margin of 0.26% is amongst the best of the industry. HAI outperforms 81.82% of its industry peers.
- HAI's Operating Margin has declined in the last couple of years.
- With an excellent Gross Margin value of 72.51%, HAI belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- In the last couple of years the Gross Margin of HAI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.26% | ||
| PM (TTM) | 0.08% | ||
| GM | 72.51% |
OM growth 3YN/A
OM growth 5Y-47.67%
PM growth 3YN/A
PM growth 5Y-58.76%
GM growth 3Y1.83%
GM growth 5Y-1.12%
2. Health
2.1 Basic Checks
- HAI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- Compared to 1 year ago, HAI has less shares outstanding
- HAI has more shares outstanding than it did 5 years ago.
- HAI has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 4.06 indicates that HAI is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 4.06, HAI is doing good in the industry, outperforming 63.64% of the companies in the same industry.
- The Debt to FCF ratio of HAI is 1.43, which is an excellent value as it means it would take HAI, only 1.43 years of fcf income to pay off all of its debts.
- HAI's Debt to FCF ratio of 1.43 is amongst the best of the industry. HAI outperforms 81.82% of its industry peers.
- A Debt/Equity ratio of 0.08 indicates that HAI is not too dependend on debt financing.
- HAI's Debt to Equity ratio of 0.08 is in line compared to the rest of the industry. HAI outperforms 54.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 1.43 | ||
| Altman-Z | 4.06 |
ROIC/WACC0.03
WACC9%
2.3 Liquidity
- HAI has a Current Ratio of 1.64. This is a normal value and indicates that HAI is financially healthy and should not expect problems in meeting its short term obligations.
- HAI has a Current ratio of 1.64. This is in the better half of the industry: HAI outperforms 63.64% of its industry peers.
- A Quick Ratio of 1.30 indicates that HAI should not have too much problems paying its short term obligations.
- With a decent Quick ratio value of 1.30, HAI is doing good in the industry, outperforming 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.64 | ||
| Quick Ratio | 1.3 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 850.00% over the past year.
- The Earnings Per Share has been growing slightly by 2.25% on average over the past years.
- The Revenue has been growing slightly by 6.25% in the past year.
- The Revenue has been growing by 11.82% on average over the past years. This is quite good.
EPS 1Y (TTM)850%
EPS 3Y-16.75%
EPS 5Y2.25%
EPS Q2Q%35.84%
Revenue 1Y (TTM)6.25%
Revenue growth 3Y11.84%
Revenue growth 5Y11.82%
Sales Q2Q%33.25%
3.2 Future
- HAI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.71% yearly.
- The Revenue is expected to grow by 6.27% on average over the next years.
EPS Next Y-148.82%
EPS Next 2Y21.02%
EPS Next 3Y28.71%
EPS Next 5YN/A
Revenue Next Year-1.32%
Revenue Next 2Y5.26%
Revenue Next 3Y6.27%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- HAI is valuated quite expensively with a Price/Earnings ratio of 58.20.
- Based on the Price/Earnings ratio, HAI is valued cheaply inside the industry as 81.82% of the companies are valued more expensively.
- When comparing the Price/Earnings ratio of HAI to the average of the S&P500 Index (28.39), we can say HAI is valued expensively.
- HAI is valuated quite expensively with a Price/Forward Earnings ratio of 39.74.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of HAI indicates a rather cheap valuation: HAI is cheaper than 81.82% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.72. HAI is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 58.2 | ||
| Fwd PE | 39.74 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, HAI is valued a bit cheaper than the industry average as 63.64% of the companies are valued more expensively.
- 72.73% of the companies in the same industry are more expensive than HAI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.1 | ||
| EV/EBITDA | 23.79 |
4.3 Compensation for Growth
- The decent profitability rating of HAI may justify a higher PE ratio.
- A more expensive valuation may be justified as HAI's earnings are expected to grow with 28.71% in the coming years.
PEG (NY)N/A
PEG (5Y)25.83
EPS Next 2Y21.02%
EPS Next 3Y28.71%
5. Dividend
5.1 Amount
- HAI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
HAIVISION SYSTEMS INC / HAI.CA FAQ
What is the fundamental rating for HAI stock?
ChartMill assigns a fundamental rating of 6 / 10 to HAI.CA.
What is the valuation status of HAIVISION SYSTEMS INC (HAI.CA) stock?
ChartMill assigns a valuation rating of 4 / 10 to HAIVISION SYSTEMS INC (HAI.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for HAIVISION SYSTEMS INC?
HAIVISION SYSTEMS INC (HAI.CA) has a profitability rating of 6 / 10.
What is the valuation of HAIVISION SYSTEMS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for HAIVISION SYSTEMS INC (HAI.CA) is 58.2 and the Price/Book (PB) ratio is 2.43.
How sustainable is the dividend of HAIVISION SYSTEMS INC (HAI.CA) stock?
The dividend rating of HAIVISION SYSTEMS INC (HAI.CA) is 0 / 10 and the dividend payout ratio is 0%.