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KWESST MICRO SYSTEMS INC (KWE) Stock Fundamental Analysis

NASDAQ:KWE - Nasdaq - CA5015067039 - Common Stock - Currency: USD

0.5718  -0.02 (-3.66%)

After market: 0.5605 -0.01 (-1.98%)

Fundamental Rating

1

Overall KWE gets a fundamental rating of 1 out of 10. We evaluated KWE against 65 industry peers in the Aerospace & Defense industry. Both the profitability and financial health of KWE have multiple concerns. KWE is valued expensive and it does not seem to be growing.


Dividend Valuation Growth Profitability Health

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1

1. Profitability

1.1 Basic Checks

In the past year KWE has reported negative net income.
In the past year KWE has reported a negative cash flow from operations.
KWE had negative earnings in each of the past 5 years.
KWE had a negative operating cash flow in each of the past 5 years.
KWE Yearly Net Income VS EBIT VS OCF VS FCFKWE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2020 2021 2022 2023 2024 -5M -10M -15M

1.2 Ratios

With a Return On Assets value of -132.41%, KWE is not doing good in the industry: 93.75% of the companies in the same industry are doing better.
Looking at the Return On Equity, with a value of -543.58%, KWE is doing worse than 84.38% of the companies in the same industry.
Industry RankSector Rank
ROA -132.41%
ROE -543.58%
ROIC N/A
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
KWE Yearly ROA, ROE, ROICKWE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2020 2021 2022 2023 2024 0 1K -1K -2K

1.3 Margins

Looking at the Gross Margin, with a value of 32.34%, KWE is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
KWE's Gross Margin has declined in the last couple of years.
The Profit Margin and Operating Margin are not available for KWE so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) N/A
GM 32.34%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.81%
GM growth 5YN/A
KWE Yearly Profit, Operating, Gross MarginsKWE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2020 2021 2022 2023 2024 0 -500 -1K

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2. Health

2.1 Basic Checks

KWE does not have a ROIC to compare to the WACC, probably because it is not profitable.
KWE has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
KWE Yearly Shares OutstandingKWE Yearly Shares OutstandingYearly Shares Outstanding 2020 2021 2022 200K 400K 600K
KWE Yearly Total Debt VS Total AssetsKWE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2020 2021 2022 2M 4M 6M 8M

2.2 Solvency

KWE has an Altman-Z score of -13.73. This is a bad value and indicates that KWE is not financially healthy and even has some risk of bankruptcy.
KWE has a worse Altman-Z score (-13.73) than 92.19% of its industry peers.
A Debt/Equity ratio of 0.11 indicates that KWE is not too dependend on debt financing.
KWE's Debt to Equity ratio of 0.11 is amongst the best of the industry. KWE outperforms 84.38% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF N/A
Altman-Z -13.73
ROIC/WACCN/A
WACC8%
KWE Yearly LT Debt VS Equity VS FCFKWE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2020 2021 2022 2023 2024 0 5M -5M -10M -15M

2.3 Liquidity

KWE has a Current Ratio of 0.62. This is a bad value and indicates that KWE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of KWE (0.62) is worse than 95.31% of its industry peers.
A Quick Ratio of 0.44 indicates that KWE may have some problems paying its short term obligations.
KWE has a Quick ratio of 0.44. This is amonst the worse of the industry: KWE underperforms 90.63% of its industry peers.
Industry RankSector Rank
Current Ratio 0.62
Quick Ratio 0.44
KWE Yearly Current Assets VS Current LiabilitesKWE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2020 2021 2022 2M 4M 6M

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3. Growth

3.1 Past

KWE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -245.06%.
Looking at the last year, KWE shows a very strong growth in Revenue. The Revenue has grown by 21.76%.
The Revenue has been growing slightly by 5.53% on average over the past years.
EPS 1Y (TTM)-245.06%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-351.2%
Revenue 1Y (TTM)21.76%
Revenue growth 3Y5.53%
Revenue growth 5YN/A
Sales Q2Q%-7.52%

3.2 Future

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y71.91%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
KWE Yearly Revenue VS EstimatesKWE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2020 2021 2022 2023 2024 2025 2M 4M 6M 8M 10M
KWE Yearly EPS VS EstimatesKWE Yearly EPS VS EstimatesYearly EPS VS Estimates 2020 2021 2022 2023 2024 2025 -50 -100

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4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings Ratio is negative for KWE. In the last year negative earnings were reported.
Besides the negative Price/Earnings Ratio, also the Forward Price/Earnings Ratio is negative for KWE. No positive earnings are expected for the next year.
Industry RankSector Rank
PE N/A
Fwd PE N/A
KWE Price Earnings VS Forward Price EarningsKWE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 0 10 20 30 40 50

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
KWE Per share dataKWE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 -2 -4 -6

4.3 Compensation for Growth

PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2YN/A
EPS Next 3YN/A

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0

5. Dividend

5.1 Amount

No dividends for KWE!.
Industry RankSector Rank
Dividend Yield N/A

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KWESST MICRO SYSTEMS INC

NASDAQ:KWE (2/21/2025, 8:00:02 PM)

After market: 0.5605 -0.01 (-1.98%)

0.5718

-0.02 (-3.66%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryAerospace & Defense
Earnings (Last)05-14 2024-05-14/bmo
Earnings (Next)N/A N/A
Inst Owners8.38%
Inst Owner Change-50.76%
Ins Owners1.05%
Ins Owner ChangeN/A
Market Cap5.15M
Analysts84.44
Price TargetN/A
Short Float %2.28%
Short Ratio0.06
Dividend
Industry RankSector 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)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
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)-89.23%
Min Revenue beat(2)-89.34%
Max Revenue beat(2)-89.13%
Revenue beat(4)0
Avg Revenue beat(4)-85.53%
Min Revenue beat(4)-89.34%
Max Revenue beat(4)-76.18%
Revenue beat(8)1
Avg Revenue beat(8)-60.42%
Revenue beat(12)2
Avg Revenue beat(12)-52.31%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
Industry RankSector Rank
PE N/A
Fwd PE N/A
P/S 4.87
P/FCF N/A
P/OCF N/A
P/B 5.35
P/tB N/A
EV/EBITDA N/A
EPS(TTM)-6.94
EYN/A
EPS(NY)-0.36
Fwd EYN/A
FCF(TTM)-0.72
FCFYN/A
OCF(TTM)-0.71
OCFYN/A
SpS0.12
BVpS0.11
TBVpS-0.14
PEG (NY)N/A
PEG (5Y)N/A
Profitability
Industry RankSector Rank
ROA -132.41%
ROE -543.58%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) N/A
GM 32.34%
FCFM N/A
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
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 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-4.81%
GM growth 5YN/A
F-Score2
Asset Turnover0.27
Health
Industry RankSector Rank
Debt/Equity 0.11
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr 8.7%
Cap/Sales 7.39%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio 0.62
Quick Ratio 0.44
Altman-Z -13.73
F-Score2
WACC8%
ROIC/WACCN/A
Cap/Depr(3y)185.77%
Cap/Depr(5y)242.61%
Cap/Sales(3y)100.53%
Cap/Sales(5y)75.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-245.06%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-351.2%
EPS Next Y71.91%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)21.76%
Revenue growth 3Y5.53%
Revenue growth 5YN/A
Sales Q2Q%-7.52%
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y19.02%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y40.36%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y35.64%
OCF growth 3YN/A
OCF growth 5YN/A