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FAF

Fire & Flower Holdings TSX:FAF Stock Report

Last Price

CA$1.60

Market Cap

CA$72.5m

7D

-11.6%

1Y

-80.7%

Updated

28 Sep, 2022

Data

Company Financials +
FAF fundamental analysis
Snowflake Score
Valuation2/6
Future Growth1/6
Past Performance0/6
Financial Health2/6
Dividends0/6

FAF Stock Overview

Fire & Flower Holdings Corp. operates as an independent cannabis retailer in Canada and the United States.

Fire & Flower Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Fire & Flower Holdings
Historical stock prices
Current Share PriceCA$1.60
52 Week HighCA$8.60
52 Week LowCA$1.52
Beta2.47
1 Month Change-41.18%
3 Month Change-34.43%
1 Year Change-80.72%
3 Year Change-86.89%
5 Year Changen/a
Change since IPO-88.06%

Recent News & Updates

Shareholder Returns

FAFCA Specialty RetailCA Market
7D-11.6%0.04%-2.9%
1Y-80.7%-13.7%-5.6%

Return vs Industry: FAF underperformed the Canadian Specialty Retail industry which returned -15.5% over the past year.

Return vs Market: FAF underperformed the Canadian Market which returned -7.3% over the past year.

Price Volatility

Is FAF's price volatile compared to industry and market?
FAF volatility
FAF Average Weekly Movement13.8%
Specialty Retail Industry Average Movement6.6%
Market Average Movement9.8%
10% most volatile stocks in CA Market18.2%
10% least volatile stocks in CA Market3.8%

Stable Share Price: FAF is more volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: FAF's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of Canadian stocks.

About the Company

FoundedEmployeesCEOWebsite
n/a712Stephane Trudelhttps://fireandflower.com

Fire & Flower Holdings Corp. operates as an independent cannabis retailer in Canada and the United States. It sells and distributes cannabis products and accessories to the adult-use market through private retailers, as well as under the Fire & Flower, Friendly Stranger, Happy Dayz, and Hotbox retail banners. The company also operates Hifyre digital retail and analytics platform; Spark Perks customer loyalty program; cannabis websites and content platforms under the PotGuide and Wikileaf names; and Pineapple Express, a delivery platform.

Fire & Flower Holdings Fundamentals Summary

How do Fire & Flower Holdings's earnings and revenue compare to its market cap?
FAF fundamental statistics
Market CapCA$72.49m
Earnings (TTM)-CA$52.91m
Revenue (TTM)CA$169.80m

0.4x

P/S Ratio

-1.4x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
FAF income statement (TTM)
RevenueCA$169.80m
Cost of RevenueCA$118.53m
Gross ProfitCA$51.27m
Other ExpensesCA$104.18m
Earnings-CA$52.91m

Last Reported Earnings

Jul 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-1.17
Gross Margin30.19%
Net Profit Margin-31.16%
Debt/Equity Ratio1.6%

How did FAF perform over the long term?

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

Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

FAF 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/Revenue0.6x
Enterprise Value/EBITDA-4.7x
PEG Ration/a

Price to Sales Ratio vs Peers

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

FAF PS Ratio vs Peers
The above table shows the PS ratio for FAF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average0.8x
IDG Indigo Books & Music
0.05x-1.7%CA$52.8m
NOVC Nova Cannabis
0.3x16.2%CA$48.6m
PESO PesoRama
2.1xn/aCA$20.4m
SNYB Shiny Health & Wellness
0.8xn/aCA$19.2m
FAF Fire & Flower Holdings
0.4x18.6%CA$72.5m

Price-To-Sales vs Peers: FAF is good value based on its Price-To-Sales Ratio (0.4x) compared to the peer average (0.8x).


Price to Earnings Ratio vs Industry

How does FAF's PE Ratio compare vs other companies in the North American Specialty Retail Industry?

Price-To-Sales vs Industry: FAF is expensive based on its Price-To-Sales Ratio (0.4x) compared to the North American Specialty Retail industry average (0.4x)


Price to Sales Ratio vs Fair Ratio

What is FAF'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.

FAF PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.4x
Fair PS Ratio0.5x

Price-To-Sales vs Fair Ratio: FAF is good value based on its Price-To-Sales Ratio (0.4x) compared to the estimated Fair Price-To-Sales Ratio (0.5x).


Share Price vs Fair Value

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

Below Fair Value: Insufficient data to calculate FAF's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate FAF's fair value for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Fire & Flower Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 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


63.1%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: FAF's revenue (18.6% per year) is forecast to grow faster than the Canadian market (5.8% per year).

High Growth Revenue: FAF's revenue (18.6% 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 FAF's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Fire & Flower Holdings 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


-20.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: FAF is currently unprofitable.

Growing Profit Margin: FAF is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: FAF is unprofitable, and losses have increased over the past 5 years at a rate of 20.2% per year.

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

Earnings vs Industry: FAF is unprofitable, making it difficult to compare its past year earnings growth to the Specialty Retail industry (23.5%).


Return on Equity

High ROE: FAF has a negative Return on Equity (-42.4%), as it is currently unprofitable.


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Financial Health

How is Fire & Flower Holdings's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: FAF's short term assets (CA$47.0M) exceed its short term liabilities (CA$31.8M).

Long Term Liabilities: FAF's short term assets (CA$47.0M) do not cover its long term liabilities (CA$47.9M).


Debt to Equity History and Analysis

Debt Level: FAF has more cash than its total debt.

Reducing Debt: Insufficient data to determine if FAF's debt to equity ratio has reduced 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: FAF has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: FAF has less than a year of cash runway if free cash flow continues to grow at historical rates of 4.7% each year.


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Dividend

What is Fire & Flower Holdings's 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

  • Cash Flow Coverage

Dividend Yield vs Market

Fire & Flower Holdings Dividend Yield vs Market
How does Fire & Flower Holdings dividend yield compare to the market?
SegmentDividend Yield
Company (Fire & Flower Holdings)n/a
Market Bottom 25% (CA)2.0%
Market Top 25% (CA)6.0%
Industry Average (Specialty Retail)4.1%
Analyst forecast in 3 Years (Fire & Flower Holdings)n/a

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

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

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


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Management

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

3.3yrs

Average management tenure


CEO

Stephane Trudel (53 yo)

2.25yrs

Tenure

Mr. Stephane Trudel serves as Chief Executive Officer of Fire & Flower Holdings Corp. since June 01, 2022 and served as its Independent Director since June 8, 2020 until June 01, 2022. He serves as Directo...


Leadership Team

Experienced Management: FAF's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: FAF's board of directors are considered experienced (4 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.


Recent Insider Transactions

TSX:FAF Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
21 Jun 22SellCA$62,822Brian HannaschIndividual22,400CA$2.80
24 May 22SellCA$12,447Brian HannaschIndividual17,600CA$0.71
29 Dec 21BuyCA$52,418Trevor FencottIndividual10,000CA$5.29
20 Dec 21BuyCA$14,822Matthew AndersonIndividual2,895CA$5.12
17 Dec 21BuyCA$75,680Judy AdamIndividual14,900CA$5.20
15 Dec 21BuyCA$110,332Judy AdamIndividual19,200CA$5.79

Ownership Breakdown

What is the ownership structure of FAF?
Owner TypeNumber of SharesOwnership Percentage
Private Companies567,5541.3%
Individual Insiders1,799,0924.0%
Institutions2,358,6235.2%
Public Companies16,034,50135.4%
General Public24,544,43854.2%

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 29.5%.


Top Shareholders

Top 22 shareholders own 45.83% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
35.39%
Alimentation Couche-Tard Inc.
16,034,501CA$25.7m107.94%no data
2.9%
Mirae Asset Global Investments Co., Ltd
1,312,221CA$2.1m6.19%no data
2.07%
Merlin Capital LLC
936,632CA$1.5m8.05%2.34%
2.06%
Harvey Shapiro
932,095CA$1.5m0%no data
1.25%
Jnzs Consulting Inc.
567,554CA$908.1k0%no data
0.83%
Brian Hannasch
377,600CA$604.2k844%no data
0.56%
Matthew Hollingshead
251,807CA$402.9k0%no data
0.22%
Donald Wright
100,000CA$160.0k0%no data
0.096%
State Street Global Advisors, Inc.
43,602CA$69.8k2.69%no data
0.079%
Judy Adam
35,800CA$57.3k-6.28%no data
0.072%
Avininder Grewal
32,629CA$52.2k0%no data
0.069%
BlackRock, Inc.
31,369CA$50.2k1.45%no data
0.068%
Ninepoint Partners LP
30,899CA$49.4k-24.45%no data
0.057%
Sharon Ranson
25,961CA$41.5k0%no data
0.027%
Norman Inkster
12,147CA$19.4k0%no data
0.024%
Richard Fortin
10,900CA$17.4k0%no data
0.022%
Real Plourde
10,000CA$16.0k0%no data
0.014%
Stephane Trudel
6,240CA$10.0k0%no data
0.0084%
Matthew Anderson
3,813CA$6.1k0%no data
0.0084%
IFM Independent Fund Management AG
3,800CA$6.1k0%0.01%
0.0035%
Dimensional Fund Advisors LP
1,600CA$2.6k0%no data
0.00022%
Aaron Brooks
100CA$160.00%no data

Company Information

Fire & Flower Holdings Corp.'s employee growth, exchange listings and data sources


Key Information

  • Name: Fire & Flower Holdings Corp.
  • Ticker: FAF
  • Exchange: TSX
  • Founded: NaN
  • Industry: Specialty Stores
  • Sector: Retail
  • Implied Market Cap: CA$72.487m
  • Shares outstanding: 45.30m
  • Website: https://fireandflower.com

Number of Employees


Location

  • Fire & Flower Holdings Corp.
  • 130 King Street West
  • Suite 2500
  • Toronto
  • Ontario
  • M5X 1C8
  • Canada


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FAFTSX (The Toronto Stock Exchange)YesCommon SharesCACADFeb 2019
FFLW.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDFeb 2019
2QL0DB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 2019

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/28 00:00
End of Day Share Price2022/09/28 00:00
Earnings2022/07/30
Annual Earnings2022/01/29


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.