TSX:PHO

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Photon Control

Executive Summary

Photon Control Inc. designs, manufactures, and distributes a range of optical sensors and systems to measure temperature and position. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

How has Photon Control's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PHO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.7%

PHO

-3.3%

CA Electronic

1.0%

CA Market


1 Year Return

53.8%

PHO

0.3%

CA Electronic

-5.7%

CA Market

Return vs Industry: PHO exceeded the Canadian Electronic industry which returned -5.2% over the past year.

Return vs Market: PHO exceeded the Canadian Market which returned -8% over the past year.


Shareholder returns

PHOIndustryMarket
7 Day-2.7%-3.3%1.0%
30 Day-16.4%-10.6%-2.6%
90 Day-19.7%-0.3%5.5%
1 Year53.8%53.8%0.3%0.3%-2.4%-5.7%
3 Year-1.4%-1.4%-32.7%-32.7%7.3%-3.0%
5 Year107.2%107.2%-35.2%-35.2%37.4%16.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

34.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PHO (CA$1.43) is trading below our estimate of fair value (CA$2.19)

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


Price To Earnings Ratio

PE vs Industry: PHO is good value based on its PE Ratio (13x) compared to the CA Electronic industry average (29.6x).

PE vs Market: PHO is good value based on its PE Ratio (13x) compared to the Canadian market (16x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PHO is good value based on its PB Ratio (2.5x) compared to the CA Electronic industry average (5.4x).


Next Steps

Future Growth

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

10.1%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if PHO's forecast earnings growth is above the savings rate (1.7%).

Earnings vs Market: Insufficient data to determine if PHO's earnings are forecast to grow faster than the Canadian market

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

Revenue vs Market: PHO's revenue (10.1% per year) is forecast to grow faster than the Canadian market (5.2% per year).

High Growth Revenue: PHO's revenue (10.1% 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 PHO's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Photon Control performed over the past 5 years?

-0.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PHO has high quality earnings.

Growing Profit Margin: PHO's current net profit margins (22.6%) are higher than last year (12.4%).


Past Earnings Growth Analysis

Earnings Trend: PHO's earnings have declined by 0.4% per year over the past 5 years.

Accelerating Growth: PHO's earnings growth over the past year (178.6%) exceeds its 5-year average (-0.4% per year).

Earnings vs Industry: PHO earnings growth over the past year (178.6%) exceeded the Electronic industry -20.5%.


Return on Equity

High ROE: PHO's Return on Equity (19.5%) is considered low.


Next Steps

Financial Health

How is Photon Control's financial position?


Financial Position Analysis

Short Term Liabilities: PHO's short term assets (CA$59.8M) exceed its short term liabilities (CA$13.2M).

Long Term Liabilities: PHO's short term assets (CA$59.8M) exceed its long term liabilities (CA$2.3M).


Debt to Equity History and Analysis

Debt Level: PHO is debt free.

Reducing Debt: PHO has not had any debt for past 5 years.

Debt Coverage: PHO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: PHO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Photon Control current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if PHO'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 PHO's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

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

1.3yrs

Average management tenure


CEO

Nigel Hunton (59 yo)

1.33yrs

Tenure

CA$1,256,455

Compensation

Mr. Nigel Hunton had been President and Chief Operating Officer at Ferrotec (USA) Corporation since April 2017 to April 2019. Mr. Hunton was an independent consultant from January 2016 to March 2017. He s ...


CEO Compensation Analysis

Compensation vs Market: Nigel's total compensation ($USD938.88K) is above average for companies of similar size in the Canadian market ($USD174.80K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Nigel Hunton
President1.33yrsCA$1.26m0.11%
CA$ 171.6k
Damian Towns
CFO & Corporate Secretary0.33yrno datano data
Philippe Schick
Vice President of Technology & Operations0.25yrno datano data
Yuri Sikorski
Senior Vice President of Engineering2.75yrsCA$413.12kno data
Michael Weston
Special Advisor10.92yrsno datano data

1.3yrs

Average Tenure

Experienced Management: PHO's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Nigel Hunton
President1.33yrsCA$1.26m0.11%
CA$ 171.6k
Ronan McGrath
Independent Director4.17yrsCA$43.60k0.30%
CA$ 451.9k
Charles Cargile
Independent Director3.5yrsCA$40.60k0.14%
CA$ 213.1k
Michele Klein
Independent Director2.92yrsCA$84.88k0.15%
CA$ 227.4k
David McDonnell
Independent Chairman of the Board3.67yrsCA$639.60k0.20%
CA$ 303.0k

3.5yrs

Average Tenure

61yo

Average Age

Experienced Board: PHO'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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Photon Control Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Photon Control Inc.
  • Ticker: PHO
  • Exchange: TSX
  • Founded: 1988
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: CA$149.564m
  • Shares outstanding: 104.59m
  • Website: https://www.photoncontrol.com

Number of Employees


Location

  • Photon Control Inc.
  • 13500 Verdun Place
  • Suite 130
  • Richmond
  • British Columbia
  • V6V 1V2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PHOTSX (The Toronto Stock Exchange)YesCommon SharesCACADAug 2000
POCE.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 2000
0DB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2000

Biography

Photon Control Inc. designs, manufactures, and distributes a range of optical sensors and systems to measure temperature and position. The company offers fiber optic temperature probes that measure tempera ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/29 00:29
End of Day Share Price2020/09/28 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.