Why is Vecima Networks, Inc. ?
1
Poor Management Efficiency with a low ROCE of 6.58%
- The company has been able to generate a Return on Capital Employed (avg) of 6.58% signifying low profitability per unit of total capital (equity and debt)
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 33.33%, its profits have fallen by -190.3%
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 Electronics & Appliances)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Vecima Networks, Inc. for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Vecima Networks, Inc.
33.33%
2.86
29.77%
S&P/TSX 60
29.6%
2.31
12.81%
Quality key factors
Factor
Value
Sales Growth (5y)
19.10%
EBIT Growth (5y)
6.37%
EBIT to Interest (avg)
5.97
Debt to EBITDA (avg)
0.80
Net Debt to Equity (avg)
0.27
Sales to Capital Employed (avg)
1.01
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
6.58%
ROE (avg)
5.36%
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
Price to Book Value
1.50
EV to EBIT
-99.25
EV to EBITDA
15.41
EV to Capital Employed
1.40
EV to Sales
1.35
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-1.41%
ROE (Latest)
-2.92%
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bullish
Technical Movement
12What is working for the Company
INVENTORY TURNOVER RATIO(HY)
Highest at 1.61 times
DEBTORS TURNOVER RATIO(HY)
Highest at 8.02 times
PRE-TAX PROFIT(Q)
At CAD -0.52 MM has Grown at 80.59%
NET PROFIT(Q)
At CAD -0.25 MM has Grown at 79.34%
-3What is not working for the Company
DIVIDEND PAYOUT RATIO(Y)
Lowest at 0%
RAW MATERIAL COST(Y)
Grown by 5.16% (YoY
Here's what is working for Vecima Networks, Inc.
Pre-Tax Profit
At CAD -0.52 MM has Grown at 80.59%
over average net sales of the previous four periods of CAD -2.68 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (CAD MM)
Net Profit
At CAD -0.25 MM has Grown at 79.34%
over average net sales of the previous four periods of CAD -1.19 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (CAD MM)
Inventory Turnover Ratio
Highest at 1.61 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Debtors Turnover Ratio
Highest at 8.02 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its Debtors faster
Debtors Turnover Ratio
Depreciation
Highest at CAD 7.29 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (CAD MM)
Here's what is not working for Vecima Networks, Inc.
Dividend Payout Ratio
Lowest at 0%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Grown by 5.16% (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






