Sangoma Technologies Corp. (STC) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

AirIQ, Inc.

Total Telcom, Inc.

Sangoma Technologies Corp.

Blackline Safety Corp.

C-COM Satellite Systems, Inc.

Gatekeeper Systems, Inc.

Novra Technologies, Inc.

NuRAN Wireless, Inc.

Wi2Wi Corp.

Edgewater Wireless Systems, Inc.

Critical Infrastructure Technologies Ltd.

Why is Sangoma Technologies Corp. ?

Poor Management Efficiency with a low ROCE of 0.51%

The company has been able to generate a Return on Capital Employed (avg) of 0.51% signifying low profitability per unit of total capital (equity and debt)

With a growth in Net Profit of 19.82%, the company declared Very Positive results in Mar 25

OPERATING CASH FLOW(Y) Highest at CAD 64.46 MM
ROCE(HY) Highest at -2.67%
INTEREST COVERAGE RATIO(Q) Highest at 1,147.93

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 -8.00%, its profits have fallen by -18.9%

High Institutional Holdings at 24.85%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Below par performance in long term as well as near term

Along with generating -8.00% returns in the last 1 year, the stock has also underperformed S&P/TSX 60 in the last 3 years, 1 year and 3 months

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 Telecom - Equipment & Accessories)

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

Is Sangoma Technologies Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Sangoma Technologies Corp.

-14.58%

-0.22

42.92%

S&P/TSX 60

19.1%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.23%

EBIT Growth (5y)

-170.54%

EBIT to Interest (avg)

0.54

Debt to EBITDA (avg)

2.13

Net Debt to Equity (avg)

0.15

Sales to Capital Employed (avg)

0.72

Tax Ratio

7.51%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

23.74%

ROCE (avg)

0.51%

ROE (avg)

0.43%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

0.66

EV to EBIT

-155.64

EV to EBITDA

4.54

EV to Capital Employed

0.70

EV to Sales

0.84

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.45%

ROE (Latest)

-1.63%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

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

14What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CAD 64.46 MM

ROCE(HY)

Highest at -2.67%

INTEREST COVERAGE RATIO(Q)

Highest at 1,147.93

DEBT-EQUITY RATIO (HY)

Lowest at 17.63 %

INVENTORY TURNOVER RATIO(HY)

Highest at 8.88%

DEBTORS TURNOVER RATIO(HY)

Highest at 14.13%

NET PROFIT(Q)

Highest at CAD -1.66 MM

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for Sangoma Technologies Corp.

Operating Cash Flow

Highest at CAD 64.46 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)

Interest Coverage Ratio

Highest at 1,147.93

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Profit

Highest at CAD -1.66 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

Debt-Equity Ratio

Lowest at 17.63 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Inventory Turnover Ratio

Highest at 8.88%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 14.13%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at CAD 16.34 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (CAD MM)