Viemed Healthcare Inc (VMD.CA) Stock Fundamental Analysis
TSX:VMD - Toronto Stock Exchange - CA92663R1055 - Common Stock - Currency: CAD
Overall VMD gets a fundamental rating of 7 out of 10. We evaluated VMD against 17 industry peers in the Health Care Providers & Services industry. Both the health and profitability get an excellent rating, making VMD a very profitable company, without any liquidiy or solvency issues. VMD is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! This makes VMD very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year VMD was profitable.
In the past year VMD had a positive cash flow from operations.
In the past 5 years VMD has always been profitable.
Each year in the past 5 years VMD had a positive operating cash flow.
1.2 Ratios
VMD has a better Return On Assets (6.16%) than 95.24% of its industry peers.
Looking at the Return On Equity, with a value of 8.47%, VMD is in the better half of the industry, outperforming 76.19% of the companies in the same industry.
VMD has a Return On Invested Capital of 7.90%. This is amongst the best in the industry. VMD outperforms 90.48% of its industry peers.
VMD had an Average Return On Invested Capital over the past 3 years of 11.36%. This is above the industry average of 8.02%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.16% | ||
| ROE | 8.47% | ||
| ROIC | 7.9% |
ROA(3y)13.66%
ROA(5y)13.79%
ROE(3y)18.18%
ROE(5y)20.63%
ROIC(3y)11.36%
ROIC(5y)13.33%
1.3 Margins
The Profit Margin of VMD (5.42%) is better than 90.48% of its industry peers.
VMD's Profit Margin has declined in the last couple of years.
The Operating Margin of VMD (7.73%) is better than 90.48% of its industry peers.
VMD's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 61.00%, VMD belongs to the top of the industry, outperforming 90.48% of the companies in the same industry.
VMD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.73% | ||
| PM (TTM) | 5.42% | ||
| GM | 61% |
OM growth 3Y-18.23%
OM growth 5Y-20.06%
PM growth 3Y-24.99%
PM growth 5Y-23.88%
GM growth 3Y-4.35%
GM growth 5Y-3.72%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so VMD is still creating some value.
The number of shares outstanding for VMD has been reduced compared to 1 year ago.
VMD has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 6.66 indicates that VMD is not in any danger for bankruptcy at the moment.
VMD's Altman-Z score of 6.66 is amongst the best of the industry. VMD outperforms 90.48% of its industry peers.
VMD has a debt to FCF ratio of 0.65. This is a very positive value and a sign of high solvency as it would only need 0.65 years to pay back of all of its debts.
VMD has a Debt to FCF ratio of 0.65. This is amongst the best in the industry. VMD outperforms 100.00% of its industry peers.
VMD has a Debt/Equity ratio of 0.08. This is a healthy value indicating a solid balance between debt and equity.
VMD has a better Debt to Equity ratio (0.08) than 95.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 0.65 | ||
| Altman-Z | 6.66 |
ROIC/WACC0.94
WACC8.43%
2.3 Liquidity
A Current Ratio of 1.14 indicates that VMD should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.14, VMD is in line with its industry, outperforming 52.38% of the companies in the same industry.
A Quick Ratio of 0.99 indicates that VMD may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.99, VMD is in line with its industry, outperforming 52.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 21.05% over the past year.
Measured over the past years, VMD shows a decrease in Earnings Per Share. The EPS has been decreasing by -6.17% on average per year.
Looking at the last year, VMD shows a very strong growth in Revenue. The Revenue has grown by 27.38%.
The Revenue has been growing by 24.23% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)21.05%
EPS 3Y-13.28%
EPS 5Y-6.17%
EPS Q2Q%133.33%
Revenue 1Y (TTM)27.38%
Revenue growth 3Y20.01%
Revenue growth 5Y24.23%
Sales Q2Q%38.14%
3.2 Future
VMD is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 54.71% yearly.
Based on estimates for the next years, VMD will show a very strong growth in Revenue. The Revenue will grow by 21.44% on average per year.
EPS Next Y75.07%
EPS Next 2Y65.14%
EPS Next 3Y54.71%
EPS Next 5YN/A
Revenue Next Year31.41%
Revenue Next 2Y25.78%
Revenue Next 3Y21.44%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 34.83, the valuation of VMD can be described as expensive.
Based on the Price/Earnings ratio, VMD is valued cheaply inside the industry as 80.95% of the companies are valued more expensively.
VMD is valuated rather expensively when we compare the Price/Earnings ratio to 28.87, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 19.28, the valuation of VMD can be described as rather expensive.
85.71% of the companies in the same industry are more expensive than VMD, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of VMD to the average of the S&P500 Index (21.38), we can say VMD is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.83 | ||
| Fwd PE | 19.28 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, VMD is valued a bit cheaper than the industry average as 76.19% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of VMD is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.11 | ||
| EV/EBITDA | 9.09 |
4.3 Compensation for Growth
VMD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of VMD may justify a higher PE ratio.
A more expensive valuation may be justified as VMD's earnings are expected to grow with 54.71% in the coming years.
PEG (NY)0.46
PEG (5Y)N/A
EPS Next 2Y65.14%
EPS Next 3Y54.71%
5. Dividend
5.1 Amount
VMD does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX:VMD (12/21/2023, 7:00:00 PM)
10.45
+0.29 (+2.85%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Providers & Services
Earnings (Last)
Earnings (Next)
Inst Owners31.13%
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap402.32M
Analysts80
Price Target19.25 (84.21%)
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)0.17%
Min EPS beat(2)-18.46%
Max EPS beat(2)18.81%
EPS beat(4)2
Avg EPS beat(4)8.43%
Min EPS beat(4)-18.46%
Max EPS beat(4)48.51%
EPS beat(8)3
Avg EPS beat(8)-0.69%
EPS beat(12)5
Avg EPS beat(12)22.7%
EPS beat(16)7
Avg EPS beat(16)24.4%
Revenue beat(2)1
Avg Revenue beat(2)1.01%
Min Revenue beat(2)-1.19%
Max Revenue beat(2)3.2%
Revenue beat(4)2
Avg Revenue beat(4)0.6%
Min Revenue beat(4)-1.49%
Max Revenue beat(4)3.2%
Revenue beat(8)6
Avg Revenue beat(8)1.73%
Revenue beat(12)8
Avg Revenue beat(12)1.84%
Revenue beat(16)10
Avg Revenue beat(16)-1.12%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-18.18%
EPS NY rev (1m)-5.45%
EPS NY rev (3m)-5.45%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)96920.2%
Revenue NY rev (1m)-1.27%
Revenue NY rev (3m)-1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.83 | ||
| Fwd PE | 19.28 | ||
| P/S | 1.79 | ||
| P/FCF | 19.11 | ||
| P/OCF | 7.66 | ||
| P/B | 2.79 | ||
| P/tB | 3.87 | ||
| EV/EBITDA | 9.09 |
EPS(TTM)0.3
EY2.87%
EPS(NY)0.54
Fwd EY5.19%
FCF(TTM)0.55
FCFY5.23%
OCF(TTM)1.36
OCFY13.05%
SpS5.84
BVpS3.74
TBVpS2.7
PEG (NY)0.46
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.16% | ||
| ROE | 8.47% | ||
| ROCE | 11.15% | ||
| ROIC | 7.9% | ||
| ROICexc | 8.64% | ||
| ROICexgc | 12.03% | ||
| OM | 7.73% | ||
| PM (TTM) | 5.42% | ||
| GM | 61% | ||
| FCFM | 9.36% |
ROA(3y)13.66%
ROA(5y)13.79%
ROE(3y)18.18%
ROE(5y)20.63%
ROIC(3y)11.36%
ROIC(5y)13.33%
ROICexc(3y)16.33%
ROICexc(5y)18.87%
ROICexgc(3y)16.33%
ROICexgc(5y)18.87%
ROCE(3y)16.03%
ROCE(5y)18.81%
ROICexcg growth 3Y-20.42%
ROICexcg growth 5Y-25.33%
ROICexc growth 3Y-20.42%
ROICexc growth 5Y-25.33%
OM growth 3Y-18.23%
OM growth 5Y-20.06%
PM growth 3Y-24.99%
PM growth 5Y-23.88%
GM growth 3Y-4.35%
GM growth 5Y-3.72%
F-Score4
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.08 | ||
| Debt/FCF | 0.65 | ||
| Debt/EBITDA | 0.25 | ||
| Cap/Depr | 116.84% | ||
| Cap/Sales | 13.98% | ||
| Interest Coverage | 24.31 | ||
| Cash Conversion | 118.48% | ||
| Profit Quality | 172.53% | ||
| Current Ratio | 1.14 | ||
| Quick Ratio | 0.99 | ||
| Altman-Z | 6.66 |
F-Score4
WACC8.43%
ROIC/WACC0.94
Cap/Depr(3y)152.39%
Cap/Depr(5y)165.61%
Cap/Sales(3y)14.43%
Cap/Sales(5y)13.89%
Profit Quality(3y)59.5%
Profit Quality(5y)83.35%
High Growth Momentum
Growth
EPS 1Y (TTM)21.05%
EPS 3Y-13.28%
EPS 5Y-6.17%
EPS Q2Q%133.33%
EPS Next Y75.07%
EPS Next 2Y65.14%
EPS Next 3Y54.71%
EPS Next 5YN/A
Revenue 1Y (TTM)27.38%
Revenue growth 3Y20.01%
Revenue growth 5Y24.23%
Sales Q2Q%38.14%
Revenue Next Year31.41%
Revenue Next 2Y25.78%
Revenue Next 3Y21.44%
Revenue Next 5YN/A
EBIT growth 1Y35.22%
EBIT growth 3Y-1.87%
EBIT growth 5Y-0.68%
EBIT Next Year275.8%
EBIT Next 3Y76.08%
EBIT Next 5YN/A
FCF growth 1Y829.24%
FCF growth 3Y-5.24%
FCF growth 5Y-9.57%
OCF growth 1Y101.83%
OCF growth 3Y13.28%
OCF growth 5Y18.21%