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Medical Facilities

Market Cap

CA$226.1m

Last Updated

2021/05/09 22:41 UTC

Data Sources

Company Financials +

Executive Summary

Medical Facilities Corporation, through its subsidiaries, owns and operates specialty surgical hospitals and an ambulatory surgery center in the United States. More Details


Snowflake Analysis

Undervalued with moderate growth potential.

Share Price & News

How has Medical Facilities's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: DR is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: DR's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-0.5%

DR

-0.2%

CA Healthcare

2.3%

CA Market


1 Year Return

79.5%

DR

37.6%

CA Healthcare

36.9%

CA Market

Return vs Industry: DR exceeded the Canadian Healthcare industry which returned 37.7% over the past year.

Return vs Market: DR exceeded the Canadian Market which returned 36.9% over the past year.


Shareholder returns

DRIndustryMarket
7 Day-0.5%-0.2%2.3%
30 Day-3.7%-2.8%2.1%
90 Day4.5%-0.7%7.5%
1 Year89.0%79.5%42.2%37.6%41.4%36.9%
3 Year-30.6%-44.1%39.5%21.7%30.2%17.7%
5 Year-39.5%-57.5%9.9%-13.9%60.3%36.3%

Long-Term Price Volatility Vs. Market

How volatile is Medical Facilities's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: DR (CA$7.27) is trading below our estimate of fair value (CA$59.02)

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


Price To Earnings Ratio

PE vs Industry: DR is good value based on its PE Ratio (17.6x) compared to the CA Healthcare industry average (22.5x).

PE vs Market: DR is poor value based on its PE Ratio (17.6x) compared to the Canadian market (15.9x).


Price to Earnings Growth Ratio

PEG Ratio: DR is good value based on its PEG Ratio (0.7x)


Price to Book Ratio

PB vs Industry: DR is good value based on its PB Ratio (1.5x) compared to the CA Healthcare industry average (4.5x).


Future Growth

How is Medical Facilities forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

23.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DR's forecast earnings growth (23.8% per year) is above the savings rate (1.5%).

Earnings vs Market: DR's earnings (23.8% per year) are forecast to grow faster than the Canadian market (16.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: DR's revenue (2.5% per year) is forecast to grow slower than the Canadian market (6.8% per year).

High Growth Revenue: DR's revenue (2.5% 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 DR's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Medical Facilities performed over the past 5 years?

21.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DR has a large one-off gain of $24.4M impacting its December 31 2020 financial results.

Growing Profit Margin: DR's current net profit margins (2.9%) are lower than last year (11.1%).


Past Earnings Growth Analysis

Earnings Trend: DR's earnings have grown significantly by 21.7% per year over the past 5 years.

Accelerating Growth: DR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: DR had negative earnings growth (-76.2%) over the past year, making it difficult to compare to the Healthcare industry average (97.3%).


Return on Equity

High ROE: DR's Return on Equity (21.4%) is considered high.


Financial Health

How is Medical Facilities's financial position?


Financial Position Analysis

Short Term Liabilities: DR's short term assets ($146.6M) exceed its short term liabilities ($101.6M).

Long Term Liabilities: DR's short term assets ($146.6M) do not cover its long term liabilities ($180.2M).


Debt to Equity History and Analysis

Debt Level: DR's debt to equity ratio (55.8%) is considered high.

Reducing Debt: DR's debt to equity ratio has increased from 30.9% to 55.8% over the past 5 years.

Debt Coverage: DR's debt is well covered by operating cash flow (89.2%).

Interest Coverage: DR's interest payments on its debt are well covered by EBIT (3.7x coverage).


Balance Sheet


Dividend

What is Medical Facilities's current dividend yield, its reliability and sustainability?

3.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: DR's dividend (3.7%) is higher than the bottom 25% of dividend payers in the Canadian market (1.51%).

High Dividend: DR's dividend (3.7%) is low compared to the top 25% of dividend payers in the Canadian market (4.54%).


Stability and Growth of Payments

Stable Dividend: DR's dividend payments have been volatile in the past 10 years.

Growing Dividend: DR's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (64.8%), DR's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: DR's dividends in 3 years are forecast to be well covered by earnings (24.7% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Rob Horrar (54 yo)

3.58yrs

Tenure

US$1,351,132

Compensation

Mr. Robert Oreon Horrar, also known as Rob, has been President and Chief Executive Officer of Medical Facilities Corporation since October 25, 2017. Mr. Horrar has been Executive Director of Medical Facili...


CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD1.35M) is above average for companies of similar size in the Canadian market ($USD439.05K).

Compensation vs Earnings: Rob's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: DR's management team is considered experienced (4.1 years average tenure).


Board Members

Experienced Board: DR'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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

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


Top Shareholders

Company Information

Medical Facilities Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Medical Facilities Corporation
  • Ticker: DR
  • Exchange: TSX
  • Founded: 2004
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: CA$226.143m
  • Shares outstanding: 31.11m
  • Website: https://www.medicalfacilitiescorp.ca

Number of Employees


Location

  • Medical Facilities Corporation
  • 4576 Yonge Street
  • Suite 701
  • Toronto
  • Ontario
  • M2N 6N4
  • Canada

Listings


Biography

Medical Facilities Corporation, through its subsidiaries, owns and operates specialty surgical hospitals and an ambulatory surgery center in the United States. The company’s specialty surgical hospitals pr...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/09 22:41
End of Day Share Price2021/05/07 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.