PAYFARE INC (PAY.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:PAY - CA70437C1095 - Common Stock
4 CAD
0 (0%)
PAY gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 28 industry peers in the Financial Services industry. The financial health of PAY is average, but there are quite some concerns on its profitability. PAY has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year PAY was profitable.
PAY had a positive operating cash flow in the past year.
PAY had negative earnings in 4 of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: PAY reported negative operating cash flow in multiple years.
1.2 Ratios
PAY has a better Return On Assets (5.26%) than 65.63% of its industry peers.
PAY has a better Return On Equity (22.19%) than 87.50% of its industry peers.
PAY's Return On Invested Capital of 13.92% is amongst the best of the industry. PAY outperforms 93.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 22.19% | ||
| ROIC | 13.92% |
ROA(3y)-2.18%
ROA(5y)-31.17%
ROE(3y)-10.76%
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 8.94%, PAY is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
With a Operating Margin value of 7.79%, PAY is not doing good in the industry: 90.63% of the companies in the same industry are doing better.
PAY has a Gross Margin (25.74%) which is comparable to the rest of the industry.
PAY's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.79% | ||
| PM (TTM) | 8.94% | ||
| GM | 25.74% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y202.43%
GM growth 5Y-5.73%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), PAY is destroying value.
The number of shares outstanding for PAY has been increased compared to 1 year ago.
PAY has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
PAY has an Altman-Z score of 1.14. This is a bad value and indicates that PAY is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.14, PAY is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
PAY has a debt to FCF ratio of 0.00. This is a very positive value and a sign of high solvency as it would only need 0.00 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.00, PAY belongs to the best of the industry, outperforming 96.88% of the companies in the same industry.
PAY has a Debt/Equity ratio of 0.00. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.00, PAY belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 1.14 |
ROIC/WACC0.94
WACC14.89%
2.3 Liquidity
PAY has a Current Ratio of 1.24. This is a normal value and indicates that PAY is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.24, PAY is doing good in the industry, outperforming 71.88% of the companies in the same industry.
A Quick Ratio of 1.24 indicates that PAY should not have too much problems paying its short term obligations.
PAY has a Quick ratio of 1.24. This is in the better half of the industry: PAY outperforms 71.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.24 | ||
| Quick Ratio | 1.24 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 73.91% over the past year.
PAY shows a strong growth in Revenue. In the last year, the Revenue has grown by 26.40%.
The Revenue has been growing by 120.24% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)73.91%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-10%
Revenue 1Y (TTM)26.4%
Revenue growth 3Y140.05%
Revenue growth 5Y120.24%
Sales Q2Q%24.92%
3.2 Future
PAY is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -67.14% yearly.
PAY is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -39.64% yearly.
EPS Next Y-13.43%
EPS Next 2Y-67.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year6.2%
Revenue Next 2Y-39.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
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
Based on the Price/Earnings ratio of 10.00, the valuation of PAY can be described as reasonable.
PAY's Price/Earnings ratio is rather cheap when compared to the industry. PAY is cheaper than 81.25% of the companies in the same industry.
When comparing the Price/Earnings ratio of PAY to the average of the S&P500 Index (27.30), we can say PAY is valued rather cheaply.
PAY is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PAY indicates a rather cheap valuation: PAY is cheaper than 100.00% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, PAY is valued cheaply inside the industry as 87.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.05 | ||
| EV/EBITDA | 4.67 |
4.3 Compensation for Growth
PAY's earnings are expected to decrease with -67.14% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-67.14%
EPS Next 3YN/A
5. Dividend
5.1 Amount
PAY does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:PAY (3/4/2025, 7:00:00 PM)
4
0 (0%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners13.25%
Inst Owner ChangeN/A
Ins Owners11.36%
Ins Owner ChangeN/A
Market Cap193.16M
Revenue(TTM)216.87M
Net Income(TTM)19.38M
Analysts48.89
Price Target5.51 (37.75%)
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)0
Avg EPS beat(2)-24.27%
Min EPS beat(2)-27.75%
Max EPS beat(2)-20.79%
EPS beat(4)1
Avg EPS beat(4)-12.33%
Min EPS beat(4)-27.75%
Max EPS beat(4)2.42%
EPS beat(8)3
Avg EPS beat(8)29.48%
EPS beat(12)6
Avg EPS beat(12)23.46%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-4.44%
Min Revenue beat(2)-5.1%
Max Revenue beat(2)-3.79%
Revenue beat(4)0
Avg Revenue beat(4)-3.63%
Min Revenue beat(4)-5.1%
Max Revenue beat(4)-1.5%
Revenue beat(8)1
Avg Revenue beat(8)-3.5%
Revenue beat(12)4
Avg Revenue beat(12)0.37%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)8%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.7%
Revenue NY rev (1m)-1.03%
Revenue NY rev (3m)0.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10 | ||
| Fwd PE | N/A | ||
| P/S | 0.89 | ||
| P/FCF | 7.05 | ||
| P/OCF | 5.61 | ||
| P/B | 2.21 | ||
| P/tB | 2.4 | ||
| EV/EBITDA | 4.67 |
EPS(TTM)0.4
EY10%
EPS(NY)-0.22
Fwd EYN/A
FCF(TTM)0.57
FCFY14.19%
OCF(TTM)0.71
OCFY17.83%
SpS4.49
BVpS1.81
TBVpS1.66
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.26% | ||
| ROE | 22.19% | ||
| ROCE | 19.34% | ||
| ROIC | 13.92% | ||
| ROICexc | 95.72% | ||
| ROICexgc | 210.94% | ||
| OM | 7.79% | ||
| PM (TTM) | 8.94% | ||
| GM | 25.74% | ||
| FCFM | 12.64% |
ROA(3y)-2.18%
ROA(5y)-31.17%
ROE(3y)-10.76%
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 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y202.43%
GM growth 5Y-5.73%
F-Score5
Asset Turnover0.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 133.85% | ||
| Cap/Sales | 3.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 155.55% | ||
| Profit Quality | 141.48% | ||
| Current Ratio | 1.24 | ||
| Quick Ratio | 1.24 | ||
| Altman-Z | 1.14 |
F-Score5
WACC14.89%
ROIC/WACC0.94
Cap/Depr(3y)179.14%
Cap/Depr(5y)141.17%
Cap/Sales(3y)2.72%
Cap/Sales(5y)6.14%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)73.91%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-10%
EPS Next Y-13.43%
EPS Next 2Y-67.14%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)26.4%
Revenue growth 3Y140.05%
Revenue growth 5Y120.24%
Sales Q2Q%24.92%
Revenue Next Year6.2%
Revenue Next 2Y-39.64%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y91.6%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year92.71%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y567.15%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y1339.99%
OCF growth 3YN/A
OCF growth 5YN/A
PAYFARE INC / PAY.CA FAQ
What is the ChartMill fundamental rating of PAYFARE INC (PAY.CA) stock?
ChartMill assigns a fundamental rating of 4 / 10 to PAY.CA.
Can you provide the valuation status for PAYFARE INC?
ChartMill assigns a valuation rating of 5 / 10 to PAYFARE INC (PAY.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for PAYFARE INC?
PAYFARE INC (PAY.CA) has a profitability rating of 3 / 10.
What are the PE and PB ratios of PAYFARE INC (PAY.CA) stock?
The Price/Earnings (PE) ratio for PAYFARE INC (PAY.CA) is 10 and the Price/Book (PB) ratio is 2.21.