Loop Industries, Inc. Fundamental Analysis
Loop Industries, Inc. (LOOP) shows moderate financial fundamentals with a PE ratio of -4.64, profit margin of -23.93%, and ROE of 1.96%. The company generates $0.0B in annual revenue with strong year-over-year growth of 70.17%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -1725.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze LOOP's fundamental strength across five key dimensions:
Efficiency Score
WeakLOOP struggles to generate sufficient returns from assets.
Valuation Score
ExcellentLOOP trades at attractive valuation levels.
Growth Score
ExcellentLOOP delivers strong and consistent growth momentum.
Financial Health Score
ExcellentLOOP maintains a strong and stable balance sheet.
Profitability Score
WeakLOOP struggles to sustain strong margins.
Key Financial Metrics
Is LOOP Expensive or Cheap?
P/E Ratio
LOOP trades at -4.64 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, LOOP's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Loop Industries, Inc. at -5.96 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -5.74 times EBITDA. This is generally considered low.
How Well Does LOOP Make Money?
Net Profit Margin
For every $100 in sales, Loop Industries, Inc. keeps $-23.93 as profit after all expenses.
Operating Margin
Core operations generate -19.71 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.96 in profit for every $100 of shareholder equity.
ROA
Loop Industries, Inc. generates $-1.44 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Loop Industries, Inc. generates limited operating cash flow of $-10.20M, signaling weaker underlying cash strength.
Free Cash Flow
Loop Industries, Inc. generates weak or negative free cash flow of $-10.31M, restricting financial flexibility.
FCF Per Share
Each share generates $-0.21 in free cash annually.
FCF Yield
LOOP converts -17.91% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-4.64
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.007
vs 25 benchmark
P/B Ratio
Price to book value ratio
-5.96
vs 25 benchmark
P/S Ratio
Price to sales ratio
112.009
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-0.32
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.31
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
1.96
vs 25 benchmark
ROA
Return on assets percentage
-1.44
vs 25 benchmark
ROCE
Return on capital employed
-1.75
vs 25 benchmark
How LOOP Stacks Against Its Sector Peers
| Metric | LOOP Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -4.64 | 25.01 | Better (Cheaper) |
| ROE | 196.02% | 1002.00% | Weak |
| Net Margin | -2392.61% | -107149.00% (disorted) | Weak |
| Debt/Equity | -0.32 | 0.38 | Strong (Low Leverage) |
| Current Ratio | 1.31 | 6.20 | Neutral |
| ROA | -143.69% | -5669.00% (disorted) | Weak |
LOOP outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Loop Industries, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
290.44%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
28.25%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
81.40%
Industry Style: Cyclical, Commodity, Value
High Growth