ZEDCOR INC (ZDC.CA) Stock Fundamental Analysis
TSX-V:ZDC - TSX Venture Exchange - CA98923V1094 - Common Stock - Currency: CAD
ZDC gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 13 industry peers in the Trading Companies & Distributors industry. Both the profitability and the financial health of ZDC get a neutral evaluation. Nothing too spectacular is happening here. ZDC is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year ZDC was profitable.
ZDC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ZDC reported negative net income in multiple years.
In the past 5 years ZDC always reported a positive cash flow from operatings.
1.2 Ratios
ZDC has a Return On Assets (2.92%) which is in line with its industry peers.
ZDC's Return On Equity of 4.79% is on the low side compared to the rest of the industry. ZDC is outperformed by 69.23% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.08%, ZDC is doing worse than 76.92% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ZDC is in line with the industry average of 7.36%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 4.79% | ||
| ROIC | 4.08% |
ROA(3y)9%
ROA(5y)-1.42%
ROE(3y)32.55%
ROE(5y)-199.79%
ROIC(3y)6.99%
ROIC(5y)6.72%
1.3 Margins
With an excellent Profit Margin value of 7.10%, ZDC belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
Looking at the Operating Margin, with a value of 11.37%, ZDC belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
In the last couple of years the Operating Margin of ZDC has declined.
Looking at the Gross Margin, with a value of 61.90%, ZDC belongs to the top of the industry, outperforming 92.31% of the companies in the same industry.
In the last couple of years the Gross Margin of ZDC has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.37% | ||
| PM (TTM) | 7.1% | ||
| GM | 61.9% |
OM growth 3Y-11.22%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.76%
GM growth 5Y15.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ZDC is destroying value.
ZDC has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, ZDC has more shares outstanding
The debt/assets ratio for ZDC has been reduced compared to a year ago.
2.2 Solvency
ZDC has an Altman-Z score of 6.20. This indicates that ZDC is financially healthy and has little risk of bankruptcy at the moment.
ZDC's Altman-Z score of 6.20 is amongst the best of the industry. ZDC outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 0.36 indicates that ZDC is not too dependend on debt financing.
ZDC has a Debt to Equity ratio (0.36) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 6.2 |
ROIC/WACC0.45
WACC9.07%
2.3 Liquidity
A Current Ratio of 1.92 indicates that ZDC should not have too much problems paying its short term obligations.
ZDC has a Current ratio of 1.92. This is in the lower half of the industry: ZDC underperforms 69.23% of its industry peers.
ZDC has a Quick Ratio of 1.89. This is a normal value and indicates that ZDC is financially healthy and should not expect problems in meeting its short term obligations.
ZDC's Quick ratio of 1.89 is fine compared to the rest of the industry. ZDC outperforms 76.92% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.89 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 72.89% over the past year.
The Revenue has grown by 55.96% in the past year. This is a very strong growth!
The Revenue has been growing by 14.23% on average over the past years. This is quite good.
EPS 1Y (TTM)72.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%192.06%
Revenue 1Y (TTM)55.96%
Revenue growth 3Y34.53%
Revenue growth 5Y14.23%
Sales Q2Q%87.09%
3.2 Future
ZDC is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 94.82% yearly.
The Revenue is expected to grow by 44.78% on average over the next years. This is a very strong growth
EPS Next Y100%
EPS Next 2Y106.16%
EPS Next 3Y65.1%
EPS Next 5Y94.82%
Revenue Next Year78.82%
Revenue Next 2Y71.99%
Revenue Next 3Y62.48%
Revenue Next 5Y44.78%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 137.33, ZDC can be considered very expensive at the moment.
76.92% of the companies in the same industry are cheaper than ZDC, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ZDC to the average of the S&P500 Index (27.28), we can say ZDC is valued expensively.
A Price/Forward Earnings ratio of 47.06 indicates a quite expensive valuation of ZDC.
Based on the Price/Forward Earnings ratio, ZDC is valued a bit more expensive than the industry average as 61.54% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.76, ZDC is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 137.33 | ||
| Fwd PE | 47.06 |
4.2 Price Multiples
84.62% of the companies in the same industry are cheaper than ZDC, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 35.18 |
4.3 Compensation for Growth
The 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 ZDC's earnings are expected to grow with 65.10% in the coming years.
PEG (NY)1.37
PEG (5Y)N/A
EPS Next 2Y106.16%
EPS Next 3Y65.1%
5. Dividend
5.1 Amount
No dividends for ZDC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TSX-V:ZDC (7/2/2025, 7:00:00 PM)
4.12
+0.03 (+0.73%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners5.61%
Inst Owner ChangeN/A
Ins Owners24.29%
Ins Owner ChangeN/A
Market Cap427.99M
Analysts84.62
Price Target4.86 (17.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
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)1
Avg Revenue beat(2)0.63%
Min Revenue beat(2)-0.7%
Max Revenue beat(2)1.95%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
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)7.45%
PT rev (3m)7.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-75%
EPS NY rev (1m)0%
EPS NY rev (3m)-7.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.71%
Revenue NY rev (1m)0%
Revenue NY rev (3m)2.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 137.33 | ||
| Fwd PE | 47.06 | ||
| P/S | 11.16 | ||
| P/FCF | N/A | ||
| P/OCF | 35.59 | ||
| P/B | 7.53 | ||
| P/tB | 7.53 | ||
| EV/EBITDA | 35.18 |
EPS(TTM)0.03
EY0.73%
EPS(NY)0.09
Fwd EY2.13%
FCF(TTM)-0.18
FCFYN/A
OCF(TTM)0.12
OCFY2.81%
SpS0.37
BVpS0.55
TBVpS0.55
PEG (NY)1.37
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.92% | ||
| ROE | 4.79% | ||
| ROCE | 5.66% | ||
| ROIC | 4.08% | ||
| ROICexc | 5.54% | ||
| ROICexgc | 5.54% | ||
| OM | 11.37% | ||
| PM (TTM) | 7.1% | ||
| GM | 61.9% | ||
| FCFM | N/A |
ROA(3y)9%
ROA(5y)-1.42%
ROE(3y)32.55%
ROE(5y)-199.79%
ROIC(3y)6.99%
ROIC(5y)6.72%
ROICexc(3y)7.33%
ROICexc(5y)6.96%
ROICexgc(3y)7.33%
ROICexgc(5y)6.96%
ROCE(3y)9.7%
ROCE(5y)9.33%
ROICexcg growth 3Y-21.01%
ROICexcg growth 5YN/A
ROICexc growth 3Y-21.01%
ROICexc growth 5YN/A
OM growth 3Y-11.22%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y8.76%
GM growth 5Y15.42%
F-Score6
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.36 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.64 | ||
| Cap/Depr | 381.78% | ||
| Cap/Sales | 78.93% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.9% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.92 | ||
| Quick Ratio | 1.89 | ||
| Altman-Z | 6.2 |
F-Score6
WACC9.07%
ROIC/WACC0.45
Cap/Depr(3y)282.03%
Cap/Depr(5y)226.35%
Cap/Sales(3y)53.2%
Cap/Sales(5y)45.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)72.89%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%192.06%
EPS Next Y100%
EPS Next 2Y106.16%
EPS Next 3Y65.1%
EPS Next 5Y94.82%
Revenue 1Y (TTM)55.96%
Revenue growth 3Y34.53%
Revenue growth 5Y14.23%
Sales Q2Q%87.09%
Revenue Next Year78.82%
Revenue Next 2Y71.99%
Revenue Next 3Y62.48%
Revenue Next 5Y44.78%
EBIT growth 1Y259.36%
EBIT growth 3Y19.43%
EBIT growth 5YN/A
EBIT Next Year699.4%
EBIT Next 3Y175.65%
EBIT Next 5Y97.03%
FCF growth 1Y-466.32%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y103.56%
OCF growth 3Y34.36%
OCF growth 5Y21.28%