Vecima Networks Inc.
Vecima Networks Inc. Fundamental Analysis
Vecima Networks Inc. (VNWTF) shows weak financial fundamentals with a PE ratio of -26.92, profit margin of -4.22%, and ROE of -5.37%. The company generates $0.3B in annual revenue with weak year-over-year growth of -1.78%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 14.5/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze VNWTF's fundamental strength across five key dimensions:
Efficiency Score
WeakVNWTF struggles to generate sufficient returns from assets.
Valuation Score
ExcellentVNWTF trades at attractive valuation levels.
Growth Score
WeakVNWTF faces weak or negative growth trends.
Financial Health Score
ExcellentVNWTF maintains a strong and stable balance sheet.
Profitability Score
WeakVNWTF struggles to sustain strong margins.
Key Financial Metrics
Is VNWTF Expensive or Cheap?
P/E Ratio
VNWTF trades at -26.92 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, VNWTF's PEG of -0.49 indicates potential undervaluation.
Price to Book
The market values Vecima Networks Inc. at 1.49 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.44 times EBITDA. This signals the market has high growth expectations.
How Well Does VNWTF Make Money?
Net Profit Margin
For every $100 in sales, Vecima Networks Inc. keeps $-4.22 as profit after all expenses.
Operating Margin
Core operations generate -3.05 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-5.37 in profit for every $100 of shareholder equity.
ROA
Vecima Networks Inc. generates $-3.55 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Vecima Networks Inc. produces operating cash flow of $28.51M, showing steady but balanced cash generation.
Free Cash Flow
Vecima Networks Inc. produces free cash flow of $10.01M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.41 in free cash annually.
FCF Yield
VNWTF converts 3.18% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-26.92
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.49
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.49
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.14
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.35
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.54
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.05
vs 25 benchmark
ROA
Return on assets percentage
-0.04
vs 25 benchmark
ROCE
Return on capital employed
-0.04
vs 25 benchmark
How VNWTF Stacks Against Its Sector Peers
| Metric | VNWTF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -26.92 | 34.82 | Better (Cheaper) |
| ROE | -5.37% | 1059.00% | Weak |
| Net Margin | -4.22% | 5902863592.00% | Weak |
| Debt/Equity | 0.35 | 0.45 | Strong (Low Leverage) |
| Current Ratio | 1.54 | 4.99 | Neutral |
| ROA | -3.55% | -295249.00% (disorted) | Weak |
VNWTF outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Vecima Networks Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
173.30%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
-1006.56%
Industry Style: Growth, Innovation, High Beta
DecliningFCF CAGR
412.11%
Industry Style: Growth, Innovation, High Beta
High Growth