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CAN

Cann GroupASX:CAN Stock Report

Market Cap

AU$104.7m

7D

5.3%

1Y

-54.5%

Updated

04 Dec, 2021

Data

Company Financials +
CAN fundamental analysis
Snowflake Score
Valuation1/6
Future Growth2/6
Past Performance0/6
Financial Health4/6
Dividends0/6

CAN Stock Overview

Cann Group Limited operates in the medical cannabis industry in Australia.

Price History & Performance

Summary of all time highs, changes and price drops for Cann Group
Historical stock prices
Current Share PriceAU$0.30
52 Week HighAU$0.92
52 Week LowAU$0.28
Beta1.86
1 Month Change3.45%
3 Month Change0%
1 Year Change-54.55%
3 Year Change-84.85%
5 Year Changen/a
Change since IPO-53.49%

Recent News & Updates

Nov 03
Shareholders May Be A Bit More Conservative With Cann Group Limited's (ASX:CAN) CEO Compensation For Now

Shareholders May Be A Bit More Conservative With Cann Group Limited's (ASX:CAN) CEO Compensation For Now

The underwhelming share price performance of Cann Group Limited ( ASX:CAN ) in the past three years would have...

Shareholder Returns

CANAU PharmaceuticalsAU Market
7D5.3%0.4%-0.6%
1Y-54.5%-12.7%10.2%

Return vs Industry: CAN underperformed the Australian Pharmaceuticals industry which returned -12.7% over the past year.

Return vs Market: CAN underperformed the Australian Market which returned 10.2% over the past year.

Price Volatility

Is CAN's price volatile compared to industry and market?
CAN volatility
CAN Average Weekly Movement5.8%
Pharmaceuticals Industry Average Movement8.4%
Market Average Movement8.4%
10% most volatile stocks in AU Market15.7%
10% least volatile stocks in AU Market3.7%

Stable Share Price: CAN is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CAN's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2014n/aPeter Crockhttps://www.canngrouplimited.com

Cann Group Limited operates in the medical cannabis industry in Australia. It licenses to undertake research and to cultivate cannabis for human medicinal and research purposes. The company was founded in 2014 and is based in Bundoora, Australia.

Cann Group Fundamentals Summary

How do Cann Group's earnings and revenue compare to its market cap?
CAN fundamental statistics
Market CapAU$104.66m
Earnings (TTM)-AU$25.10m
Revenue (TTM)AU$8.53m

12.3x

P/S Ratio

-4.2x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CAN income statement (TTM)
RevenueAU$8.53m
Cost of RevenueAU$48.00k
Gross ProfitAU$8.48m
ExpensesAU$33.58m
Earnings-AU$25.10m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.072
Gross Margin99.44%
Net Profit Margin-294.39%
Debt/Equity Ratio0%

How did CAN perform over the long term?

See historical performance and comparison

Valuation

Is Cann Group undervalued compared to its fair value and its price relative to the market?

1.14x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CAN's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate CAN's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: CAN is unprofitable, so we can't compare its PE Ratio to the Global Pharmaceuticals industry average.

PE vs Market: CAN is unprofitable, so we can't compare its PE Ratio to the Australian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate CAN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: CAN is good value based on its PB Ratio (1.1x) compared to the AU Pharmaceuticals industry average (3.2x).


Future Growth

How is Cann Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

54.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CAN is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: CAN is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: CAN is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: CAN's revenue (84.3% per year) is forecast to grow faster than the Australian market (5.2% per year).

High Growth Revenue: CAN's revenue (84.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CAN is forecast to be unprofitable in 3 years.


Past Performance

How has Cann Group performed over the past 5 years?

-45.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CAN is currently unprofitable.

Growing Profit Margin: CAN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CAN is unprofitable, and losses have increased over the past 5 years at a rate of 45.5% per year.

Accelerating Growth: Unable to compare CAN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: CAN is unprofitable, making it difficult to compare its past year earnings growth to the Pharmaceuticals industry (15.4%).


Return on Equity

High ROE: CAN has a negative Return on Equity (-27.32%), as it is currently unprofitable.


Financial Health

How is Cann Group's financial position?


Financial Position Analysis

Short Term Liabilities: CAN's short term assets (A$22.1M) exceed its short term liabilities (A$9.6M).

Long Term Liabilities: CAN's short term assets (A$22.1M) exceed its long term liabilities (A$271.0K).


Debt to Equity History and Analysis

Debt Level: CAN is debt free.

Reducing Debt: CAN has no debt compared to 5 years ago when its debt to equity ratio was 0%.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: CAN has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: CAN has less than a year of cash runway if free cash flow continues to reduce at historical rates of 39.1% each year


Dividend

What is Cann Group current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate CAN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate CAN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if CAN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if CAN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CAN's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.5yrs

Average management tenure


CEO

Peter Crock

5.58yrs

Tenure

AU$364,969

Compensation

Mr. Peter Crock, B.Ag.Sci (Hons), MBA has been Chief Executive Officer at Cann Group Limited since May 23, 2016. Mr. Crock is an experienced public company senior manager with strong skills in marketing an...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD256.24K) is about average for companies of similar size in the Australian market ($USD290.68K).

Compensation vs Earnings: Peter's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CAN's management team is not considered experienced ( 1.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: CAN's board of directors are considered experienced (3.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CAN insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 29.2%.


Top Shareholders

Company Information

Cann Group Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Cann Group Limited
  • Ticker: CAN
  • Exchange: ASX
  • Founded: 2014
  • Industry: Pharmaceuticals
  • Sector: Pharmaceuticals & Biotech
  • Market Cap: AU$104.656m
  • Shares outstanding: 348.85m
  • Website: https://www.canngrouplimited.com

Location

  • Cann Group Limited
  • 4 Research Avenue
  • Bundoora
  • Victoria
  • 3083
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/04 07:02
End of Day Share Price2021/12/03 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.