KITS EYECARE LTD (KITS.CA) Stock Fundamental Analysis
TSX:KITS - Toronto Stock Exchange - CA49804N1042 - Common Stock - Currency: CAD
Taking everything into account, KITS scores 5 out of 10 in our fundamental rating. KITS was compared to 21 industry peers in the Specialty Retail industry. KITS has an average financial health and profitability rating. KITS is valued quite expensive, but it does show an excellent growth.
1. Profitability
1.1 Basic Checks
KITS had positive earnings in the past year.
KITS had a positive operating cash flow in the past year.
In the past 5 years KITS reported 4 times negative net income.
KITS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
KITS's Return On Assets of 4.60% is fine compared to the rest of the industry. KITS outperforms 64.71% of its industry peers.
KITS's Return On Equity of 7.64% is fine compared to the rest of the industry. KITS outperforms 64.71% of its industry peers.
The Return On Invested Capital of KITS (6.02%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 7.64% | ||
| ROIC | 6.02% |
ROA(3y)-1.45%
ROA(5y)-6.49%
ROE(3y)-2.46%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
KITS's Profit Margin of 2.72% is in line compared to the rest of the industry. KITS outperforms 52.94% of its industry peers.
In the last couple of years the Profit Margin of KITS has grown nicely.
Looking at the Operating Margin, with a value of 3.35%, KITS is in line with its industry, outperforming 52.94% of the companies in the same industry.
In the last couple of years the Operating Margin of KITS has declined.
KITS has a Gross Margin of 34.81%. This is in the lower half of the industry: KITS underperforms 64.71% of its industry peers.
In the last couple of years the Gross Margin of KITS has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.35% | ||
| PM (TTM) | 2.72% | ||
| GM | 34.81% |
OM growth 3YN/A
OM growth 5Y-22.57%
PM growth 3YN/A
PM growth 5Y70.56%
GM growth 3Y9.92%
GM growth 5Y2.82%
2. Health
2.1 Basic Checks
KITS has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for KITS has been increased compared to 1 year ago.
KITS has more shares outstanding than it did 5 years ago.
KITS has a better debt/assets ratio than last year.
2.2 Solvency
KITS has an Altman-Z score of 8.93. This indicates that KITS is financially healthy and has little risk of bankruptcy at the moment.
KITS has a better Altman-Z score (8.93) than 94.12% of its industry peers.
The Debt to FCF ratio of KITS is 1.52, which is an excellent value as it means it would take KITS, only 1.52 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of KITS (1.52) is better than 88.24% of its industry peers.
KITS has a Debt/Equity ratio of 0.09. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.09, KITS belongs to the top of the industry, outperforming 88.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.52 | ||
| Altman-Z | 8.93 |
ROIC/WACC0.72
WACC8.37%
2.3 Liquidity
A Current Ratio of 1.28 indicates that KITS should not have too much problems paying its short term obligations.
KITS has a Current ratio (1.28) which is in line with its industry peers.
A Quick Ratio of 0.59 indicates that KITS may have some problems paying its short term obligations.
With a Quick ratio value of 0.59, KITS is not doing good in the industry: 64.71% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.59 |
3. Growth
3.1 Past
KITS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 380.00%, which is quite impressive.
The Revenue has grown by 34.10% in the past year. This is a very strong growth!
The Revenue has been growing by 33.99% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)380%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%2394.74%
Revenue 1Y (TTM)34.1%
Revenue growth 3Y24.58%
Revenue growth 5Y33.99%
Sales Q2Q%33.96%
3.2 Future
KITS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 98.49% yearly.
The Revenue is expected to grow by 22.24% on average over the next years. This is a very strong growth
EPS Next Y94.93%
EPS Next 2Y94.56%
EPS Next 3Y98.49%
EPS Next 5YN/A
Revenue Next Year26.18%
Revenue Next 2Y22.03%
Revenue Next 3Y22.24%
Revenue Next 5YN/A
3.3 Evolution
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 108.64 indicates a quite expensive valuation of KITS.
Compared to the rest of the industry, the Price/Earnings ratio of KITS is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 27.15, KITS is valued quite expensively.
A Price/Forward Earnings ratio of 44.65 indicates a quite expensive valuation of KITS.
KITS's Price/Forward Earnings ratio is in line with the industry average.
KITS's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 21.60.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 108.64 | ||
| Fwd PE | 44.65 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KITS indicates a rather expensive valuation: KITS more expensive than 82.35% of the companies listed in the same industry.
70.59% of the companies in the same industry are cheaper than KITS, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 77.84 | ||
| EV/EBITDA | 57.87 |
4.3 Compensation for Growth
KITS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
A more expensive valuation may be justified as KITS's earnings are expected to grow with 98.49% in the coming years.
PEG (NY)1.14
PEG (5Y)N/A
EPS Next 2Y94.56%
EPS Next 3Y98.49%
5. Dividend
5.1 Amount
No dividends for KITS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:KITS (6/30/2025, 7:00:00 PM)
15.21
+0.67 (+4.61%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners4.33%
Inst Owner ChangeN/A
Ins Owners30.75%
Ins Owner ChangeN/A
Market Cap486.87M
Analysts81.54
Price Target17.85 (17.36%)
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)1
Avg EPS beat(2)66.68%
Min EPS beat(2)-1.96%
Max EPS beat(2)135.32%
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)-1.25%
Min Revenue beat(2)-2.02%
Max Revenue beat(2)-0.48%
Revenue beat(4)1
Avg Revenue beat(4)-0.58%
Min Revenue beat(4)-2.02%
Max Revenue beat(4)0.3%
Revenue beat(8)3
Avg Revenue beat(8)1.33%
Revenue beat(12)6
Avg Revenue beat(12)0.61%
Revenue beat(16)6
Avg Revenue beat(16)-1.7%
PT rev (1m)4.7%
PT rev (3m)6.52%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-25%
EPS NY rev (1m)0%
EPS NY rev (3m)2.38%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.13%
Revenue NY rev (1m)0%
Revenue NY rev (3m)3.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 108.64 | ||
| Fwd PE | 44.65 | ||
| P/S | 2.84 | ||
| P/FCF | 77.84 | ||
| P/OCF | 51.89 | ||
| P/B | 7.99 | ||
| P/tB | 26.14 | ||
| EV/EBITDA | 57.87 |
EPS(TTM)0.14
EY0.92%
EPS(NY)0.34
Fwd EY2.24%
FCF(TTM)0.2
FCFY1.28%
OCF(TTM)0.29
OCFY1.93%
SpS5.35
BVpS1.9
TBVpS0.58
PEG (NY)1.14
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.6% | ||
| ROE | 7.64% | ||
| ROCE | 8.64% | ||
| ROIC | 6.02% | ||
| ROICexc | 8.2% | ||
| ROICexgc | 59.94% | ||
| OM | 3.35% | ||
| PM (TTM) | 2.72% | ||
| GM | 34.81% | ||
| FCFM | 3.65% |
ROA(3y)-1.45%
ROA(5y)-6.49%
ROE(3y)-2.46%
ROE(5y)N/A
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 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5Y-13.22%
OM growth 3YN/A
OM growth 5Y-22.57%
PM growth 3YN/A
PM growth 5Y70.56%
GM growth 3Y9.92%
GM growth 5Y2.82%
F-Score8
Asset Turnover1.69
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.09 | ||
| Debt/FCF | 1.52 | ||
| Debt/EBITDA | 0.7 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 113.49% | ||
| Profit Quality | 134.37% | ||
| Current Ratio | 1.28 | ||
| Quick Ratio | 0.59 | ||
| Altman-Z | 8.93 |
F-Score8
WACC8.37%
ROIC/WACC0.72
Cap/Depr(3y)47.84%
Cap/Depr(5y)58.18%
Cap/Sales(3y)0.91%
Cap/Sales(5y)1.49%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)380%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%2394.74%
EPS Next Y94.93%
EPS Next 2Y94.56%
EPS Next 3Y98.49%
EPS Next 5YN/A
Revenue 1Y (TTM)34.1%
Revenue growth 3Y24.58%
Revenue growth 5Y33.99%
Sales Q2Q%33.96%
Revenue Next Year26.18%
Revenue Next 2Y22.03%
Revenue Next 3Y22.24%
Revenue Next 5YN/A
EBIT growth 1Y689.62%
EBIT growth 3YN/A
EBIT growth 5Y3.75%
EBIT Next Year288.78%
EBIT Next 3Y127.52%
EBIT Next 5YN/A
FCF growth 1Y-16.71%
FCF growth 3YN/A
FCF growth 5Y25.61%
OCF growth 1Y21.07%
OCF growth 3YN/A
OCF growth 5Y25.73%