Why is EMERGE Commerce Ltd. ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Operating profit has grown by an annual rate -2.30% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at times
2
Risky -
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 150.00%, its profits have risen by 90.7%
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 E-Retail/ E-Commerce)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is EMERGE Commerce Ltd. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
EMERGE Commerce Ltd.
162.5%
0.83
120.36%
S&P/TSX 60
19.1%
1.23
15.27%
Quality key factors
Factor
Value
Sales Growth (5y)
89.95%
EBIT Growth (5y)
-2.30%
EBIT to Interest (avg)
1.26
Debt to EBITDA (avg)
12.66
Net Debt to Equity (avg)
-0.51
Sales to Capital Employed (avg)
-7.63
Tax Ratio
100.00%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
0
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
-1.41
EV to EBIT
-14.53
EV to EBITDA
14.53
EV to Capital Employed
-3.23
EV to Sales
0.61
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
Bullish
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
No Trend
OBV
Bullish
Bullish
Technical Movement
12What is working for the Company
PRE-TAX PROFIT(Q)
At CAD 0.07 MM has Grown at 220.46%
NET PROFIT(HY)
Higher at CAD 0.34 MM
DEBTORS TURNOVER RATIO(HY)
Highest at 26.69%
-4What is not working for the Company
NET PROFIT(Q)
At CAD -0.03 MM has Fallen at -123.79%
RAW MATERIAL COST(Y)
Grown by 8.63% (YoY
Here's what is working for EMERGE Commerce Ltd.
Pre-Tax Profit
At CAD 0.07 MM has Grown at 220.46%
Year on Year (YoY)MOJO Watch
Near term Pre-Tax Profit trend is very positive
Pre-Tax Profit (CAD MM)
Debtors Turnover Ratio
Highest at 26.69%
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Here's what is not working for EMERGE Commerce Ltd.
Net Profit
At CAD -0.03 MM has Fallen at -123.79%
Year on Year (YoY)MOJO Watch
Near term Net Profit trend is very negative
Net Profit (CAD MM)
Raw Material Cost
Grown by 8.63% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales






