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CRRX

CareRx TSX:CRRX Stock Report

Last Price

CA$4.59

Market Cap

CA$211.5m

7D

-11.9%

1Y

-22.7%

Updated

17 May, 2022

Data

Company Financials +
CRRX fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance0/6
Financial Health3/6
Dividends0/6

CRRX Stock Overview

CareRx Corporation, together with its subsidiaries, provides specialty pharmacy services to seniors in Canada.

CareRx Competitors

Price History & Performance

Summary of all time highs, changes and price drops for CareRx
Historical stock prices
Current Share PriceCA$4.59
52 Week HighCA$6.94
52 Week LowCA$4.45
Beta0.77
1 Month Change-16.09%
3 Month Change-8.93%
1 Year Change-22.73%
3 Year Change6.74%
5 Year Change-68.99%
Change since IPO48.07%

Recent News & Updates

May 14
These 4 Measures Indicate That CareRx (TSE:CRRX) Is Using Debt Extensively

These 4 Measures Indicate That CareRx (TSE:CRRX) Is Using Debt Extensively

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Shareholder Returns

CRRXCA Consumer RetailingCA Market
7D-11.9%1.8%2.8%
1Y-22.7%32.7%5.9%

Return vs Industry: CRRX underperformed the Canadian Consumer Retailing industry which returned 35.1% over the past year.

Return vs Market: CRRX underperformed the Canadian Market which returned 4.3% over the past year.

Price Volatility

Is CRRX's price volatile compared to industry and market?
CRRX volatility
CRRX Average Weekly Movement5.1%
Consumer Retailing Industry Average Movement4.4%
Market Average Movement9.8%
10% most volatile stocks in CA Market16.7%
10% least volatile stocks in CA Market4.2%

Stable Share Price: CRRX is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: CRRX's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20011,479David Murphyhttps://www.carerx.ca

CareRx Corporation, together with its subsidiaries, provides specialty pharmacy services to seniors in Canada. The company operates a network of pharmacy fulfilment centers that provide chronic medication and other specialty clinical pharmacy services. It serves approximately 50,000 residents in approximately 900 seniors and other communities, including long-term care homes, retirement homes, assisted living facilities, and group homes.

CareRx Fundamentals Summary

How do CareRx's earnings and revenue compare to its market cap?
CRRX fundamental statistics
Market CapCA$211.52m
Earnings (TTM)-CA$19.63m
Revenue (TTM)CA$310.95m

0.7x

P/S Ratio

-11.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CRRX income statement (TTM)
RevenueCA$310.95m
Cost of RevenueCA$221.10m
Gross ProfitCA$89.85m
Other ExpensesCA$109.48m
Earnings-CA$19.63m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.42
Gross Margin28.90%
Net Profit Margin-6.31%
Debt/Equity Ratio136.7%

How did CRRX perform over the long term?

See historical performance and comparison

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • PE vs Industry

  • PE vs Market

  • PEG Ratio

  • PB vs Industry


>50%

Undervalued compared to fair value

Share Price vs. Fair Value

Below Fair Value: CRRX (CA$4.59) is trading below our estimate of fair value (CA$22.11)

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


Price To Earnings Ratio

PE vs Industry: CRRX is unprofitable, so we can't compare its PE Ratio to the Canadian Consumer Retailing industry average.

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CRRX's PB Ratio (2.6x) is in line with the CA Consumer Retailing industry average.


Future Growth

How is CareRx forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


91.2%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: CRRX's revenue (8.4% per year) is forecast to grow faster than the Canadian market (6.3% per year).

High Growth Revenue: CRRX's revenue (8.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

How has CareRx 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


-17.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CRRX is currently unprofitable.

Growing Profit Margin: CRRX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CRRX is unprofitable, and losses have increased over the past 5 years at a rate of 17% per year.

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

Earnings vs Industry: CRRX is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Retailing industry (10.7%).


Return on Equity

High ROE: CRRX has a negative Return on Equity (-23.99%), as it is currently unprofitable.


Financial Health

How is CareRx's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: CRRX's short term assets (CA$90.2M) exceed its short term liabilities (CA$48.8M).

Long Term Liabilities: CRRX's short term assets (CA$90.2M) do not cover its long term liabilities (CA$154.4M).


Debt to Equity History and Analysis

Debt Level: CRRX's net debt to equity ratio (101.8%) is considered high.

Reducing Debt: CRRX's debt to equity ratio has reduced from 635.1% to 136.7% over the past 5 years.


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: CRRX has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if CRRX has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is CareRx 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 CRRX's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

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

Growing Dividend: Insufficient data to determine if CRRX'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 CRRX has not reported any payouts.


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

David Murphy

4yrs

Tenure

CA$1,743,956

Compensation

Mr. David Murphy has been the President and Chief Executive Officer at CareRx Corporation (formerly known as Centric Health Corporation) since May 1, 2018 and has been its Director since May 09, 2018. He j...


CEO Compensation Analysis

Compensation vs Market: David's total compensation ($USD1.36M) is above average for companies of similar size in the Canadian market ($USD644.63K).

Compensation vs Earnings: David's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: CRRX's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: CRRX's board of directors are not considered experienced ( 2.5 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 been substantially diluted in the past year, with total shares outstanding growing by 55.3%.


Top Shareholders

Company Information

CareRx Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: CareRx Corporation
  • Ticker: CRRX
  • Exchange: TSX
  • Founded: 2001
  • Industry: Drug Retail
  • Sector: Consumer Retailing
  • Implied Market Cap: CA$211.524m
  • Shares outstanding: 46.90m
  • Website: https://www.carerx.ca

Number of Employees


Location

  • CareRx Corporation
  • 20 Eglinton Avenue West
  • Suite 2100
  • Toronto
  • Ontario
  • M4R 1K8
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/05/17 00:00
End of Day Share Price2022/05/17 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.