Ecora Royalties PLC Fundamental Analysis (TSX: ECOR.TO)
Ecora Royalties PLC Fundamental Analysis (TSX: ECOR.TO)
Ecora Royalties PLC (TSX: ECOR.TO) shows moderate financial fundamentals with a PE ratio of 14.23, profit margin of 46.20%, and ROE of 9.00%. The company generates $0.1B in annual revenue with weak year-over-year growth of -4.25%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 47.0/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ECOR.TO's fundamental strength across five key dimensions:
Efficiency Score
WeakECOR.TO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentECOR.TO trades at attractive valuation levels.
Growth Score
WeakECOR.TO faces weak or negative growth trends.
Financial Health Score
ExcellentECOR.TO maintains a strong and stable balance sheet.
Profitability Score
ModerateECOR.TO maintains healthy but balanced margins.
Key Financial Metrics
Is ECOR.TO Expensive or Cheap?
P/E Ratio
ECOR.TO trades at 14.23 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, ECOR.TO's PEG of 0.20 indicates potential undervaluation.
Price to Book
The market values Ecora Royalties PLC at 1.18 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 8.09 times EBITDA. This is generally considered low.
How Well Does ECOR.TO Make Money?
Net Profit Margin
For every $100 in sales, Ecora Royalties PLC keeps $46.20 as profit after all expenses.
Operating Margin
Core operations generate 43.53 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.00 in profit for every $100 of shareholder equity.
ROA
Ecora Royalties PLC generates $6.90 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Ecora Royalties PLC generates strong operating cash flow of $47.30M, reflecting robust business health.
Free Cash Flow
Ecora Royalties PLC generates strong free cash flow of $43.76M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.18 in free cash annually.
FCF Yield
ECOR.TO converts 7.67% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
14.23
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.20
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.18
vs 25 benchmark
P/S Ratio
Price to sales ratio
6.48
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.18
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.77
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.07
vs 25 benchmark
How ECOR.TO Stacks Against Its Sector Peers
| Metric | ECOR.TO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 14.23 | 26.20 | Better (Cheaper) |
| ROE | 9.00% | 1241.00% | Weak |
| Net Margin | 46.20% | 441.00% | Weak |
| Debt/Equity | 0.18 | 0.72 | Strong (Low Leverage) |
| Current Ratio | 1.77 | 3.12 | Neutral |
| ROA | 6.90% | 2616.00% | Weak |
ECOR.TO outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Ecora Royalties PLC's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
21.59%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
188.23%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
19.91%
Industry Style: Cyclical, Commodity, Value
High Growth