Postmedia Network Canada Corp.
Postmedia Network Canada Corp. Fundamental Analysis
Postmedia Network Canada Corp. (PCDAF) shows moderate financial fundamentals with a PE ratio of -4.99, profit margin of -16.89%, and ROE of 19.06%. The company generates $0.4B in annual revenue with weak year-over-year growth of -11.72%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 28.8/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze PCDAF's fundamental strength across five key dimensions:
Efficiency Score
WeakPCDAF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentPCDAF trades at attractive valuation levels.
Growth Score
ModeratePCDAF shows steady but slowing expansion.
Financial Health Score
ModeratePCDAF shows balanced financial health with some risks.
Profitability Score
ModeratePCDAF maintains healthy but balanced margins.
Key Financial Metrics
Is PCDAF Expensive or Cheap?
P/E Ratio
PCDAF trades at -4.99 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PCDAF's PEG of -0.70 indicates potential undervaluation.
Price to Book
The market values Postmedia Network Canada Corp. at -0.87 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.20 times EBITDA. This is generally considered low.
How Well Does PCDAF Make Money?
Net Profit Margin
For every $100 in sales, Postmedia Network Canada Corp. keeps $-16.89 as profit after all expenses.
Operating Margin
Core operations generate -6.93 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $19.06 in profit for every $100 of shareholder equity.
ROA
Postmedia Network Canada Corp. generates $-54.52 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Postmedia Network Canada Corp. generates limited operating cash flow of $6.98M, signaling weaker underlying cash strength.
Free Cash Flow
Postmedia Network Canada Corp. generates weak or negative free cash flow of $4.32M, restricting financial flexibility.
FCF Per Share
Each share generates $0.04 in free cash annually.
FCF Yield
PCDAF converts 1.19% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-4.99
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.70
vs 25 benchmark
P/B Ratio
Price to book value ratio
-0.87
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.84
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-1.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.82
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.19
vs 25 benchmark
ROA
Return on assets percentage
-0.55
vs 25 benchmark
ROCE
Return on capital employed
-0.82
vs 25 benchmark
How PCDAF Stacks Against Its Sector Peers
| Metric | PCDAF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -4.99 | 22.91 | Better (Cheaper) |
| ROE | 19.06% | 1005.00% | Weak |
| Net Margin | -16.89% | -60132.00% (disorted) | Weak |
| Debt/Equity | -1.00 | 1.28 | Strong (Low Leverage) |
| Current Ratio | 0.82 | 1.65 | Weak Liquidity |
| ROA | -54.52% | -581836.00% (disorted) | Weak |
PCDAF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Postmedia Network Canada Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-39.46%
Industry Style: Growth, Technology, Streaming
DecliningEPS CAGR
-35.35%
Industry Style: Growth, Technology, Streaming
DecliningFCF CAGR
-287.08%
Industry Style: Growth, Technology, Streaming
Declining