NTG CLARITY NETWORKS INC (NCI.CA) Stock Fundamental Analysis
Canada - TSX Venture Exchange - TSX-V:NCI - CA62940V2030 - Common Stock
1.21 CAD
-0.04 (-2.81%)
NCI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 68 industry peers in the Software industry. NCI has an average financial health and profitability rating. NCI is evaluated to be cheap and growing strongly. This does not happen too often! This makes NCI very considerable for value and growth investing!
1. Profitability
1.1 Basic Checks
- In the past year NCI was profitable.
- In the past year NCI has reported a negative cash flow from operations.
- Of the past 5 years NCI 4 years were profitable.
- NCI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- NCI has a Return On Assets of 17.08%. This is amongst the best in the industry. NCI outperforms 94.12% of its industry peers.
- With an excellent Return On Equity value of 28.01%, NCI belongs to the best of the industry, outperforming 92.65% of the companies in the same industry.
- NCI has a better Return On Invested Capital (23.79%) than 95.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.08% | ||
| ROE | 28.01% | ||
| ROIC | 23.79% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of NCI (9.85%) is better than 79.41% of its industry peers.
- In the last couple of years the Profit Margin of NCI has grown nicely.
- NCI has a better Operating Margin (13.86%) than 79.41% of its industry peers.
- NCI's Operating Margin has declined in the last couple of years.
- NCI's Gross Margin of 35.76% is on the low side compared to the rest of the industry. NCI is outperformed by 60.29% of its industry peers.
- In the last couple of years the Gross Margin of NCI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.86% | ||
| PM (TTM) | 9.85% | ||
| GM | 35.76% |
OM growth 3Y-3.27%
OM growth 5YN/A
PM growth 3Y14.92%
PM growth 5YN/A
GM growth 3Y-12.47%
GM growth 5Y7.3%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so NCI is creating value.
- Compared to 1 year ago, NCI has more shares outstanding
- Compared to 5 years ago, NCI has more shares outstanding
- The debt/assets ratio for NCI has been reduced compared to a year ago.
2.2 Solvency
- NCI has an Altman-Z score of 5.07. This indicates that NCI is financially healthy and has little risk of bankruptcy at the moment.
- NCI has a better Altman-Z score (5.07) than 77.94% of its industry peers.
- NCI has a Debt/Equity ratio of 0.19. This is a healthy value indicating a solid balance between debt and equity.
- NCI has a Debt to Equity ratio (0.19) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 5.07 |
ROIC/WACC2.34
WACC10.15%
2.3 Liquidity
- NCI has a Current Ratio of 3.13. This indicates that NCI is financially healthy and has no problem in meeting its short term obligations.
- NCI has a better Current ratio (3.13) than 76.47% of its industry peers.
- NCI has a Quick Ratio of 3.13. This indicates that NCI is financially healthy and has no problem in meeting its short term obligations.
- NCI's Quick ratio of 3.13 is fine compared to the rest of the industry. NCI outperforms 77.94% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.13 | ||
| Quick Ratio | 3.13 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 15.26% over the past year.
- The Earnings Per Share has been growing by 68.04% on average over the past years. This is a very strong growth
- NCI shows a strong growth in Revenue. In the last year, the Revenue has grown by 62.61%.
- NCI shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 45.43% yearly.
EPS 1Y (TTM)15.26%
EPS 3Y68.04%
EPS 5YN/A
EPS Q2Q%-15.85%
Revenue 1Y (TTM)62.61%
Revenue growth 3Y67.72%
Revenue growth 5Y45.43%
Sales Q2Q%42.22%
3.2 Future
- NCI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 22.46% yearly.
- Based on estimates for the next years, NCI will show a very strong growth in Revenue. The Revenue will grow by 31.35% on average per year.
EPS Next Y8.4%
EPS Next 2Y22.46%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year46.65%
Revenue Next 2Y31.35%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 8.64, the valuation of NCI can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of NCI indicates a rather cheap valuation: NCI is cheaper than 88.24% of the companies listed in the same industry.
- NCI is valuated cheaply when we compare the Price/Earnings ratio to 26.94, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 4.25, the valuation of NCI can be described as very cheap.
- 89.71% of the companies in the same industry are more expensive than NCI, based on the Price/Forward Earnings ratio.
- When comparing the Price/Forward Earnings ratio of NCI to the average of the S&P500 Index (23.94), we can say NCI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.64 | ||
| Fwd PE | 4.25 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, NCI is valued cheaply inside the industry as 86.76% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.66 |
4.3 Compensation for Growth
- NCI's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- NCI has a very decent profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as NCI's earnings are expected to grow with 22.46% in the coming years.
PEG (NY)1.03
PEG (5Y)N/A
EPS Next 2Y22.46%
EPS Next 3YN/A
5. Dividend
5.1 Amount
- No dividends for NCI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
TSX-V:NCI (1/20/2026, 7:00:00 PM)
1.21
-0.04 (-2.81%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)11-12 2025-11-12/amc
Earnings (Next)N/A N/A
Inst Owners0.35%
Inst Owner ChangeN/A
Ins Owners24.52%
Ins Owner ChangeN/A
Market Cap57.28M
Revenue(TTM)76.65M
Net Income(TTM)7.55M
Analysts83.64
Price Target4.05 (234.71%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)0
Avg EPS beat(2)-59.73%
Min EPS beat(2)-85.29%
Max EPS beat(2)-34.18%
EPS beat(4)1
Avg EPS beat(4)-14.44%
Min EPS beat(4)-85.29%
Max EPS beat(4)94.17%
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)-2.48%
Min Revenue beat(2)-5.69%
Max Revenue beat(2)0.73%
Revenue beat(4)3
Avg Revenue beat(4)1.13%
Min Revenue beat(4)-5.69%
Max Revenue beat(4)8.23%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-4.8%
EPS NQ rev (1m)-33.33%
EPS NQ rev (3m)-42.86%
EPS NY rev (1m)0%
EPS NY rev (3m)-4.76%
Revenue NQ rev (1m)0.15%
Revenue NQ rev (3m)0.33%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.64 | ||
| Fwd PE | 4.25 | ||
| P/S | 0.75 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 2.12 | ||
| P/tB | 2.44 | ||
| EV/EBITDA | 4.66 |
EPS(TTM)0.14
EY11.57%
EPS(NY)0.28
Fwd EY23.55%
FCF(TTM)-0.13
FCFYN/A
OCF(TTM)-0.1
OCFYN/A
SpS1.62
BVpS0.57
TBVpS0.5
PEG (NY)1.03
PEG (5Y)N/A
Graham Number1.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 17.08% | ||
| ROE | 28.01% | ||
| ROCE | 33.04% | ||
| ROIC | 23.79% | ||
| ROICexc | 29.91% | ||
| ROICexgc | 34.7% | ||
| OM | 13.86% | ||
| PM (TTM) | 9.85% | ||
| GM | 35.76% | ||
| 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
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-3.27%
OM growth 5YN/A
PM growth 3Y14.92%
PM growth 5YN/A
GM growth 3Y-12.47%
GM growth 5Y7.3%
F-Score5
Asset Turnover1.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0.43 | ||
| Cap/Depr | 101.9% | ||
| Cap/Sales | 1.94% | ||
| Interest Coverage | 31.2 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.13 | ||
| Quick Ratio | 3.13 | ||
| Altman-Z | 5.07 |
F-Score5
WACC10.15%
ROIC/WACC2.34
Cap/Depr(3y)274.99%
Cap/Depr(5y)720.23%
Cap/Sales(3y)6.12%
Cap/Sales(5y)8.5%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.26%
EPS 3Y68.04%
EPS 5YN/A
EPS Q2Q%-15.85%
EPS Next Y8.4%
EPS Next 2Y22.46%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)62.61%
Revenue growth 3Y67.72%
Revenue growth 5Y45.43%
Sales Q2Q%42.22%
Revenue Next Year46.65%
Revenue Next 2Y31.35%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y53.89%
EBIT growth 3Y62.24%
EBIT growth 5YN/A
EBIT Next Year20.38%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-1129.52%
FCF growth 3Y85.08%
FCF growth 5YN/A
OCF growth 1Y-287.68%
OCF growth 3Y12.61%
OCF growth 5Y234.98%
NTG CLARITY NETWORKS INC / NCI.CA FAQ
What is the fundamental rating for NCI stock?
ChartMill assigns a fundamental rating of 6 / 10 to NCI.CA.
What is the valuation status for NCI stock?
ChartMill assigns a valuation rating of 7 / 10 to NTG CLARITY NETWORKS INC (NCI.CA). This can be considered as Undervalued.
Can you provide the profitability details for NTG CLARITY NETWORKS INC?
NTG CLARITY NETWORKS INC (NCI.CA) has a profitability rating of 6 / 10.
What is the expected EPS growth for NTG CLARITY NETWORKS INC (NCI.CA) stock?
The Earnings per Share (EPS) of NTG CLARITY NETWORKS INC (NCI.CA) is expected to grow by 8.4% in the next year.