goeasy Ltd.
goeasy Ltd. Fundamental Analysis
goeasy Ltd. (EHMEF) shows strong financial fundamentals with a PE ratio of 1.89, profit margin of 14.06%, and ROE of 19.41%. The company generates $2.2B in annual revenue with strong year-over-year growth of 21.86%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 34.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze EHMEF's fundamental strength across five key dimensions:
Efficiency Score
WeakEHMEF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentEHMEF trades at attractive valuation levels.
Growth Score
ExcellentEHMEF delivers strong and consistent growth momentum.
Financial Health Score
ModerateEHMEF shows balanced financial health with some risks.
Profitability Score
WeakEHMEF struggles to sustain strong margins.
Key Financial Metrics
Is EHMEF Expensive or Cheap?
P/E Ratio
EHMEF trades at 1.89 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, EHMEF's PEG of -0.08 indicates potential undervaluation.
Price to Book
The market values goeasy Ltd. at 0.36 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -4.28 times EBITDA. This is generally considered low.
How Well Does EHMEF Make Money?
Net Profit Margin
For every $100 in sales, goeasy Ltd. keeps $14.06 as profit after all expenses.
Operating Margin
Core operations generate 35.78 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $19.41 in profit for every $100 of shareholder equity.
ROA
goeasy Ltd. generates $3.75 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
goeasy Ltd. generates limited operating cash flow of $-236.65M, signaling weaker underlying cash strength.
Free Cash Flow
goeasy Ltd. generates weak or negative free cash flow of $-269.47M, restricting financial flexibility.
FCF Per Share
Each share generates $-16.81 in free cash annually.
FCF Yield
EHMEF converts -33.44% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
1.89
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.08
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.36
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.36
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
3.88
vs 25 benchmark
Current Ratio
Current assets to current liabilities
42.75
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.19
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.10
vs 25 benchmark
How EHMEF Stacks Against Its Sector Peers
| Metric | EHMEF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 1.89 | 18.66 | Better (Cheaper) |
| ROE | 19.41% | 804.00% | Weak |
| Net Margin | 14.06% | 2258.00% | Weak |
| Debt/Equity | 3.88 | 1.03 | Weak (High Leverage) |
| Current Ratio | 42.75 | 662.03 | Strong Liquidity |
| ROA | 3.75% | -24049.00% (disorted) | Weak |
EHMEF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews goeasy Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
114.01%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
276.67%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-157.85%
Industry Style: Value, Dividend, Cyclical
Declining