Why is Route1, Inc. ?
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 -161.78% 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 114.29%, its profits have fallen by -38%
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 Software Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Route1, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Route1, Inc.
-100.0%
-0.50
146.62%
S&P/TSX 60
19.1%
1.23
15.27%
Quality key factors
Factor
Value
Sales Growth (5y)
-14.94%
EBIT Growth (5y)
-161.78%
EBIT to Interest (avg)
-0.14
Debt to EBITDA (avg)
2.64
Net Debt to Equity (avg)
-3.65
Sales to Capital Employed (avg)
4.41
Tax Ratio
2.56%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
5.40%
ROE (avg)
0.98%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
-3.40
EV to EBIT
-6.85
EV to EBITDA
6.85
EV to Capital Employed
2.41
EV to Sales
0.51
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-17.21%
ROE (Latest)
Negative BV
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Movement
5What is working for the Company
NET PROFIT(HY)
Higher at CAD -0.77 MM
ROCE(HY)
Highest at 0%
RAW MATERIAL COST(Y)
Fallen by -19.84% (YoY
-28What is not working for the Company
INVENTORY TURNOVER RATIO(HY)
Lowest at 14.97%
NET SALES(Q)
Lowest at CAD 2.23 MM
OPERATING PROFIT(Q)
Lowest at CAD -0.19 MM
OPERATING PROFIT MARGIN(Q)
Lowest at -8.51 %
PRE-TAX PROFIT(Q)
Lowest at CAD -0.47 MM
NET PROFIT(Q)
Lowest at CAD -0.47 MM
Here's what is working for Route1, Inc.
Raw Material Cost
Fallen by -19.84% (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
Here's what is not working for Route1, Inc.
Net Sales
At CAD 2.23 MM has Fallen at -41.03%
over average net sales of the previous four periods of CAD 3.79 MMMOJO Watch
Near term sales trend is extremely negative
Net Sales (CAD MM)
Pre-Tax Profit
At CAD -0.47 MM has Fallen at -89.84%
over average net sales of the previous four periods of CAD -0.25 MMMOJO Watch
Near term Pre-Tax Profit trend is very negative
Pre-Tax Profit (CAD MM)
Net Profit
At CAD -0.47 MM has Fallen at -77.72%
over average net sales of the previous four periods of CAD -0.27 MMMOJO Watch
Near term Net Profit trend is very negative
Net Profit (CAD MM)
Net Sales
Lowest at CAD 2.23 MM
in the last five periodsMOJO Watch
Near term sales trend is negative
Net Sales (CAD MM)
Operating Profit
Lowest at CAD -0.19 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (CAD MM)
Operating Profit Margin
Lowest at -8.51 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Pre-Tax Profit
Lowest at CAD -0.47 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is negative
Pre-Tax Profit (CAD MM)
Net Profit
Lowest at CAD -0.47 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is negative
Net Profit (CAD MM)
Inventory Turnover Ratio
Lowest at 14.97%
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio






