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XBC

Xebec Adsorption TSX:XBC Stock Report

Last Price

CA$0.82

Market Cap

CA$126.9m

7D

-9.9%

1Y

-79.7%

Updated

29 Jun, 2022

Data

Company Financials +
XBC fundamental analysis
Snowflake Score
Valuation5/6
Future Growth5/6
Past Performance0/6
Financial Health4/6
Dividends0/6

XBC Stock Overview

Xebec Adsorption Inc. designs, manufactures, and sells purification, separation, dehydration, and filtration equipment for gases and compressed air in Canada, the United States, China, Korea, Italy, France, and internationally.

Xebec Adsorption Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Xebec Adsorption
Historical stock prices
Current Share PriceCA$0.82
52 Week HighCA$4.68
52 Week LowCA$0.73
Beta0.91
1 Month Change-14.58%
3 Month Change-62.56%
1 Year Change-79.70%
3 Year Change-48.10%
5 Year Change95.24%
Change since IPO2.50%

Recent News & Updates

May 10
Is Xebec Adsorption (TSE:XBC) Using Too Much Debt?

Is Xebec Adsorption (TSE:XBC) Using Too Much Debt?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

XBCCA MachineryCA Market
7D-9.9%-0.3%0.3%
1Y-79.7%-49.3%-3.7%

Return vs Industry: XBC underperformed the Canadian Machinery industry which returned -48.2% over the past year.

Return vs Market: XBC underperformed the Canadian Market which returned -2.9% over the past year.

Price Volatility

Is XBC's price volatile compared to industry and market?
XBC volatility
XBC Average Weekly Movement17.3%
Machinery Industry Average Movement9.3%
Market Average Movement10.0%
10% most volatile stocks in CA Market17.2%
10% least volatile stocks in CA Market4.4%

Stable Share Price: XBC is more volatile than 90% of Canadian stocks over the past 3 months, typically moving +/- 17% a week.

Volatility Over Time: XBC's weekly volatility (17%) has been stable over the past year, but is still higher than 75% of Canadian stocks.

About the Company

FoundedEmployeesCEOWebsite
1967650Jim Vounassishttps://xebecinc.com

Xebec Adsorption Inc. designs, manufactures, and sells purification, separation, dehydration, and filtration equipment for gases and compressed air in Canada, the United States, China, Korea, Italy, France, and internationally. It operates through Systems and Support segments. The company offers on-site air dehydration under the ADX Solutions brand; biogas to renewable natural gas systems under the BGX Solutions brand; hydrogen purification systems under the H2X Solutions brand; natural gas dehydration units for refueling stations under the NGX Solutions brand; and products for the filtration and separation of air and gases under FSX Solutions brand.

Xebec Adsorption Fundamentals Summary

How do Xebec Adsorption's earnings and revenue compare to its market cap?
XBC fundamental statistics
Market CapCA$126.87m
Earnings (TTM)-CA$31.79m
Revenue (TTM)CA$143.60m

0.9x

P/S Ratio

-4.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
XBC income statement (TTM)
RevenueCA$143.60m
Cost of RevenueCA$116.57m
Gross ProfitCA$27.03m
Other ExpensesCA$58.82m
Earnings-CA$31.79m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.21
Gross Margin18.82%
Net Profit Margin-22.14%
Debt/Equity Ratio28.6%

How did XBC perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is XBC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for XBC?

Other financial metrics that can be useful for relative valuation.

XBC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.3x
Enterprise Value/EBITDA-9.1x
PEG Ration/a

Price to Sales Ratio vs Peers

How does XBC's PS Ratio compare to its peers?

XBC PS Ratio vs Peers
The above table shows the PS ratio for XBC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average1.3x
HEO H2O Innovation
1x8.0%CA$161.1m
VLN Velan
0.3xn/aCA$180.5m
ENW EnWave
2.6x30.9%CA$70.6m
SIS Savaria
1.1x7.0%CA$836.9m
XBC Xebec Adsorption
0.9x20.4%CA$126.9m

Price-To-Sales vs Peers: XBC is good value based on its Price-To-Sales Ratio (0.9x) compared to the peer average (1.3x).


Price to Earnings Ratio vs Industry

How does XBC's PE Ratio compare vs other companies in the CA Machinery Industry?

Price-To-Sales vs Industry: XBC is good value based on its Price-To-Sales Ratio (0.9x) compared to the Canadian Machinery industry average (1.6x)


Price to Sales Ratio vs Fair Ratio

What is XBC's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

XBC PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.9x
Fair PS Ratio1.4x

Price-To-Sales vs Fair Ratio: XBC is good value based on its Price-To-Sales Ratio (0.9x) compared to the estimated Fair Price-To-Sales Ratio (1.4x).


Share Price vs Fair Value

What is the Fair Price of XBC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: XBC (CA$0.82) is trading below our estimate of fair value (CA$8.06)

Significantly Below Fair Value: XBC is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

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


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Future Growth

How is Xebec Adsorption forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


84.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XBC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.6%).

Earnings vs Market: XBC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: XBC is expected to become profitable in the next 3 years.

Revenue vs Market: XBC's revenue (20.4% per year) is forecast to grow faster than the Canadian market (6.6% per year).

High Growth Revenue: XBC's revenue (20.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if XBC's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Xebec Adsorption performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-72.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: XBC is currently unprofitable.

Growing Profit Margin: XBC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: XBC is unprofitable, and losses have increased over the past 5 years at a rate of 72.2% per year.

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

Earnings vs Industry: XBC is unprofitable, making it difficult to compare its past year earnings growth to the Machinery industry (25.7%).


Return on Equity

High ROE: XBC has a negative Return on Equity (-10.97%), as it is currently unprofitable.


Discover strong past performing companies

Financial Health

How is Xebec Adsorption's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: XBC's short term assets (CA$147.2M) exceed its short term liabilities (CA$82.4M).

Long Term Liabilities: XBC's short term assets (CA$147.2M) exceed its long term liabilities (CA$91.9M).


Debt to Equity History and Analysis

Debt Level: XBC's net debt to equity ratio (20.2%) is considered satisfactory.

Reducing Debt: XBC had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


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: XBC has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: XBC has less than a year of cash runway if free cash flow continues to reduce at historical rates of 58.6% each year


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Dividend

What is Xebec Adsorption current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

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

High Dividend: Unable to evaluate XBC'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 XBC's dividends per share have been stable in the past.

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as XBC has not reported any payouts.


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Management

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

1.7yrs

Average management tenure


CEO

Jim Vounassis

0.25

Tenure

CA$940,263

Compensation

Mr. Dimitrios Vounassis, also known as Jim, serves as President, Director & Chief Executive Officer at Xebec Adsorption Inc. from March 17, 2022 and served as Chief Operating Officer since June 2021 until...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD729.23K) is above average for companies of similar size in the Canadian market ($USD174.83K).

Compensation vs Earnings: Insufficient data to compare Jim's compensation with company performance.


Leadership Team

Experienced Management: XBC's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Members

Experienced Board: XBC's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Xebec Adsorption Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Xebec Adsorption Inc.
  • Ticker: XBC
  • Exchange: TSX
  • Founded: 1967
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Implied Market Cap: CA$126.873m
  • Shares outstanding: 154.72m
  • Website: https://xebecinc.com

Number of Employees


Location

  • Xebec Adsorption Inc.
  • 730 Industriel Boulevard
  • Blainville
  • Quebec
  • J7C 3V4
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/29 00:00
End of Day Share Price2022/06/29 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.