Kits Eyecare Ltd.
Kits Eyecare Ltd. Fundamental Analysis
Kits Eyecare Ltd. (KTYCF) shows weak financial fundamentals with a PE ratio of 115.55, profit margin of 2.82%, and ROE of 8.39%. The company generates $0.2B in annual revenue with strong year-over-year growth of 32.22%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.7/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze KTYCF's fundamental strength across five key dimensions:
Efficiency Score
WeakKTYCF struggles to generate sufficient returns from assets.
Valuation Score
WeakKTYCF trades at a premium to fair value.
Growth Score
ModerateKTYCF shows steady but slowing expansion.
Financial Health Score
ExcellentKTYCF maintains a strong and stable balance sheet.
Profitability Score
WeakKTYCF struggles to sustain strong margins.
Key Financial Metrics
Is KTYCF Expensive or Cheap?
P/E Ratio
KTYCF trades at 115.55 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, KTYCF's PEG of 2.53 indicates potential overvaluation.
Price to Book
The market values Kits Eyecare Ltd. at 9.38 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 55.02 times EBITDA. This signals the market has high growth expectations.
How Well Does KTYCF Make Money?
Net Profit Margin
For every $100 in sales, Kits Eyecare Ltd. keeps $2.82 as profit after all expenses.
Operating Margin
Core operations generate 4.37 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.39 in profit for every $100 of shareholder equity.
ROA
Kits Eyecare Ltd. generates $5.09 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kits Eyecare Ltd. generates limited operating cash flow of $8.81M, signaling weaker underlying cash strength.
Free Cash Flow
Kits Eyecare Ltd. produces free cash flow of $7.57M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.24 in free cash annually.
FCF Yield
KTYCF converts 1.30% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
115.55
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.53
vs 25 benchmark
P/B Ratio
Price to book value ratio
9.38
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.26
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.12
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.41
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How KTYCF Stacks Against Its Sector Peers
| Metric | KTYCF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 115.55 | 24.85 | Worse (Expensive) |
| ROE | 8.39% | 1165.00% | Weak |
| Net Margin | 2.82% | 752.00% | Weak |
| Debt/Equity | 0.12 | 0.76 | Strong (Low Leverage) |
| Current Ratio | 1.41 | 9.23 | Neutral |
| ROA | 5.09% | 1280.00% | Weak |
KTYCF outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kits Eyecare Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-11.34%
Industry Style: Cyclical, Growth, Discretionary
DecliningEPS CAGR
1107.09%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
-35.44%
Industry Style: Cyclical, Growth, Discretionary
Declining