Covalon Technologies Ltd. (COV) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Covalon Technologies Ltd.

Profound Medical Corp.

Perimeter Medical Imaging AI, Inc.

Nanalysis Scientific Corp.

Spectral Medical, Inc.

Theralase Technologies, Inc.

MedMira, Inc.

Ocumetics Technology Corp.

VentriPoint Diagnostics Ltd.

FuelPositive Corp.

Opsens, Inc.

Why is Covalon Technologies Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of 5.76% and Operating profit at 15.64% over the last 5 years

With a growth in Net Profit of 772.13%, the company declared Very Positive results in Mar 26

OPERATING CASH FLOW(Y) Highest at CAD 6.09 MM
RAW MATERIAL COST(Y) Fallen by -13.87% (YoY)
DEBTORS TURNOVER RATIO(HY) Highest at 6.73 times

With ROE of 3.90%, it has a expensive valuation with a 1.87 Price to Book Value

Over the past year, while the stock has generated a return of -8.51%, its profits have fallen by -78.9%

Underperformed the market in the last 1 year

Even though the market (S&P/TSX 60) has generated returns of 28.43% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -8.51% returns

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Covalon Technologies Ltd. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Covalon Technologies Ltd.

-11.84%

0.91

47.86%

S&P/TSX 60

29.6%

2.24

12.72%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.24%

EBIT Growth (5y)

17.84%

EBIT to Interest (avg)

-2.65

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

1.17

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

5.49%

ROE (avg)

2.47%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.14

EV to EBIT

38.35

EV to EBITDA

20.90

EV to Capital Employed

3.71

EV to Sales

1.34

PEG Ratio

Dividend Yield

ROCE (Latest)

9.67%

ROE (Latest)

5.68%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bearish

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

17What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CAD 6.09 MM

RAW MATERIAL COST(Y)

Fallen by -13.87% (YoY

DEBTORS TURNOVER RATIO(HY)

Highest at 6.73 times

NET SALES(Q)

Highest at CAD 8.73 MM

OPERATING PROFIT(Q)

Highest at CAD 1.16 MM

OPERATING PROFIT MARGIN(Q)

Highest at 13.34 %

PRE-TAX PROFIT(Q)

Highest at CAD 0.99 MM

NET PROFIT(Q)

Highest at CAD 0.99 MM

EPS(Q)

Highest at CAD 0.04

-4What is not working for the Company

NET PROFIT(HY)

At CAD 1.17 MM has Grown at -34.45%

Here's what is working for Covalon Technologies Ltd.

Pre-Tax Profit

At CAD 0.99 MM has Grown at 286.75%

over average net sales of the previous four periods of CAD 0.26 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Net Profit

At CAD 0.99 MM has Grown at 286.75%

over average net sales of the previous four periods of CAD 0.26 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Operating Cash Flow

Highest at CAD 6.09 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CAD MM)

Net Sales

Highest at CAD 8.73 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (CAD MM)

Operating Profit

Highest at CAD 1.16 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CAD MM)

Operating Profit Margin

Highest at 13.34 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at CAD 0.99 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (CAD MM)

Net Profit

Highest at CAD 0.99 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

EPS

Highest at CAD 0.04

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CAD)

Debtors Turnover Ratio

Highest at 6.73 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Raw Material Cost

Fallen by -13.87% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales