Flow Capital Corp. (FW) 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

Flow Capital Corp.

Builders Capital Mortgage Corp.

Enterprise Group, Inc.

Dominion Lending Centres, Inc.

Solution Financial, Inc.

Zedcor, Inc.

Mogo, Inc.

Red White & Bloom Brands, Inc.

Accord Financial Corp.

Terra Firma Capital Corp.

IOU Financial, Inc.

Why is Flow Capital Corp. ?

Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 18.06%

The company has declared Positive results for the last 3 consecutive quarters

NET PROFIT(Q) At CAD 0.82 MM has Grown at 246.6%
ROCE(HY) Highest at 3.55%
PRE-TAX PROFIT(Q) At CAD 1.03 MM has Grown at 165.35%

With ROE of -2.00%, it has a risky valuation with a 0.67 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -8.24%, its profits have fallen by -37%

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Flow Capital Corp. should be less than 10%
Overall Portfolio exposure to Finance should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Flow Capital Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Flow Capital Corp.

-8.24%

0.94

41.88%

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)

17.92%

EBIT Growth (5y)

-2.72%

EBIT to Interest (avg)

3.20

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

37.08%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

59.50%

ROE (avg)

18.06%

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

0.61

EV to EBIT

3.40

EV to EBITDA

3.40

EV to Capital Employed

0.59

EV to Sales

1.49

PEG Ratio

0.08

Dividend Yield

ROCE (Latest)

17.29%

ROE (Latest)

3.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

No Trend

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

19What is working for the Company

NET PROFIT(Q)

At CAD 0.82 MM has Grown at 246.6%

ROCE(HY)

Highest at 3.55%

PRE-TAX PROFIT(Q)

At CAD 1.03 MM has Grown at 165.35%

NET SALES(Q)

At CAD 4.01 MM has Grown at 25.04%

-10What is not working for the Company

INTEREST(HY)

At CAD 2.08 MM has Grown at 23.29%

DEBT-EQUITY RATIO (HY)

Highest at 129.85 %

RAW MATERIAL COST(Y)

Grown by 101.01% (YoY

CASH AND EQV(HY)

Lowest at CAD 14.24 MM

DEBTORS TURNOVER RATIO(HY)

Lowest at 0.39 times

Here's what is working for Flow Capital Corp.

Net Profit

At CAD 0.82 MM has Grown at 246.6%

over average net sales of the previous four periods of CAD 0.24 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Pre-Tax Profit

At CAD 1.03 MM has Grown at 165.35%

over average net sales of the previous four periods of CAD 0.39 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Net Sales

At CAD 4.01 MM has Grown at 25.04%

over average net sales of the previous four periods of CAD 3.21 MM

MOJO Watch

Near term sales trend is positive

Net Sales (CAD MM)

Here's what is not working for Flow Capital Corp.

Interest

At CAD 2.08 MM has Grown at 23.29%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Debt-Equity Ratio

Highest at 129.85 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Cash and Eqv

Lowest at CAD 14.24 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio

Lowest at 0.39 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost

Grown by 101.01% (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