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Cervus Equipment Corporation

CERV.TOTSX
Industrials
Agricultural - Machinery
$19.49
$-0.01(-0.05%)
Canadian Market opens in 61h 47m

Cervus Equipment Corporation Fundamental Analysis

Cervus Equipment Corporation (CERV.TO) shows moderate financial fundamentals with a PE ratio of 12.48, profit margin of 2.04%, and ROE of 10.54%. The company generates N/A in annual revenue with N/A year-over-year growth of N/A.

Key Strengths

PEG Ratio0.12
Current Ratio1.75

Areas of Concern

Operating Margin3.43%
We analyze CERV.TO's fundamental strength across five key dimensions.

The stock receives a Fundamental Health Score of 50.2/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.

Fundamental Health Score

C
50.2/100

We analyze CERV.TO's fundamental strength across five key dimensions:

Efficiency Score

Weak

CERV.TO struggles to generate sufficient returns from assets.

ROA > 10%
4.86%

Valuation Score

Excellent

CERV.TO trades at attractive valuation levels.

PE < 25
12.48
PEG Ratio < 2
0.12

Growth Score

Moderate

CERV.TO shows steady but slowing expansion.

Revenue Growth > 5%
N/A
EPS Growth > 10%
N/A

Financial Health Score

Excellent

CERV.TO maintains a strong and stable balance sheet.

Debt/Equity < 1
0.71
Current Ratio > 1
1.75

Profitability Score

Weak

CERV.TO struggles to sustain strong margins.

ROE > 15%
10.54%
Net Margin ≥ 15%
2.04%
Positive Free Cash Flow
N/A

Key Financial Metrics

Is CERV.TO Expensive or Cheap?

P/E Ratio

CERV.TO trades at 12.48 times earnings. This suggests potential undervaluation.

12.48

PEG Ratio

When adjusting for growth, CERV.TO's PEG of 0.12 indicates potential undervaluation.

0.12

Price to Book

The market values Cervus Equipment Corporation at 1.26 times its book value. This may indicate undervaluation.

1.26

EV/EBITDA

Enterprise value stands at -2.25 times EBITDA. This is generally considered low.

-2.25

How Well Does CERV.TO Make Money?

Net Profit Margin

For every $100 in sales, Cervus Equipment Corporation keeps $2.04 as profit after all expenses.

2.04%

Operating Margin

Core operations generate 3.43 in profit for every $100 in revenue, before interest and taxes.

3.43%

ROE

Management delivers $10.54 in profit for every $100 of shareholder equity.

10.54%

ROA

Cervus Equipment Corporation generates $4.86 in profit for every $100 in assets, demonstrating efficient asset deployment.

4.86%

Following the Money - Real Cash Generation

FCF Per Share

Each share generates $4.33 in free cash annually.

$4.33

Financial Ratios Analysis

Valuation Ratios

P/E Ratio

Price to earnings ratio

12.48

vs 25 benchmark

PEG Ratio

Price/earnings to growth ratio

0.12

vs 25 benchmark

P/B Ratio

Price to book value ratio

1.26

vs 25 benchmark

P/S Ratio

Price to sales ratio

0.00

vs 25 benchmark

Financial Health

Debt/Equity

Total debt to shareholders' equity

0.71

vs 25 benchmark

Current Ratio

Current assets to current liabilities

1.75

vs 25 benchmark

Efficiency Ratios

ROE

Return on equity percentage

0.11

vs 25 benchmark

ROA

Return on assets percentage

0.05

vs 25 benchmark

ROCE

Return on capital employed

0.12

vs 25 benchmark

How CERV.TO Stacks Against Its Sector Peers

MetricCERV.TO ValueSector AveragePerformance
P/E Ratio12.4825.96 Better (Cheaper)
ROE10.54%1263.00% Weak
Net Margin2.04%-41828.00% (disorted) Weak
Debt/Equity0.710.79 Neutral
Current Ratio1.7510.05 Neutral
ROA4.86%-1497917.00% (disorted) Weak

CERV.TO outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.

Historical Growth Performance

5-Year Growth Trajectory

This section reviews Cervus Equipment Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.

Revenue CAGR

N/A

Industry Style: Cyclical, Value, Infrastructure

EPS CAGR

N/A

Industry Style: Cyclical, Value, Infrastructure

FCF CAGR

N/A

Industry Style: Cyclical, Value, Infrastructure

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