Titan Medical Inc. Fundamental Analysis (TSX: TMD.TO)
Titan Medical Inc. (TSX: TMD.TO) shows moderate financial fundamentals with a PE ratio of 13.62, profit margin of 39.43%, and ROE of 8.58%. The company generates $0.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 63.6/100 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 TMD.TO's fundamental strength across five key dimensions:
Efficiency Score
ExcellentTMD.TO demonstrates superior asset utilization.
Valuation Score
ExcellentTMD.TO trades at attractive valuation levels.
Growth Score
WeakTMD.TO faces weak or negative growth trends.
Financial Health Score
ExcellentTMD.TO maintains a strong and stable balance sheet.
Profitability Score
ModerateTMD.TO maintains healthy but balanced margins.
Key Financial Metrics
Is TMD.TO Expensive or Cheap?
P/E Ratio
TMD.TO trades at 13.62 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TMD.TO's PEG of -0.03 indicates potential undervaluation.
Price to Book
The market values Titan Medical Inc. at 19.32 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 13.47 times EBITDA. This signals the market has high growth expectations.
How Well Does TMD.TO Make Money?
Net Profit Margin
For every $100 in sales, Titan Medical Inc. keeps $39.43 as profit after all expenses.
Operating Margin
Core operations generate 27.44 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.58 in profit for every $100 of shareholder equity.
ROA
Titan Medical Inc. generates $79.35 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Titan Medical Inc. generates strong operating cash flow of $4.72M, reflecting robust business health.
Free Cash Flow
Titan Medical Inc. generates strong free cash flow of $4.51M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.04 in free cash annually.
FCF Yield
TMD.TO converts 4.79% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
13.62
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.03
vs 25 benchmark
P/B Ratio
Price to book value ratio
19.32
vs 25 benchmark
P/S Ratio
Price to sales ratio
5.29
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.28
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.78
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
8.58
vs 25 benchmark
ROA
Return on assets percentage
0.79
vs 25 benchmark
ROCE
Return on capital employed
0.86
vs 25 benchmark
How TMD.TO Stacks Against Its Sector Peers
| Metric | TMD.TO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 13.62 | 31.61 | Better (Cheaper) |
| ROE | 857.87% | 541.00% | Excellent |
| Net Margin | 39.43% | 30180.00% | Weak |
| Debt/Equity | 0.28 | 0.54 | Strong (Low Leverage) |
| Current Ratio | 2.78 | 5.70 | Strong Liquidity |
| ROA | 79.35% | -8.00% (disorted) | Strong |
TMD.TO outperforms its industry in 5 out of 6 key metrics, particularly excelling in ROE, but lagging in Net Margin.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Titan Medical Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Defensive, Growth, Innovation
EPS CAGR
N/A
Industry Style: Defensive, Growth, Innovation
FCF CAGR
N/A
Industry Style: Defensive, Growth, Innovation