TSXV:ECT

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Ellipsiz Communications

Executive Summary

Ellipsiz Communications Ltd. provides communications services and solutions in Taiwan, China, and Canada.


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.

Share Price & News

How has Ellipsiz Communications's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

ECT

1.9%

CA Communications

1.6%

CA Market


1 Year Return

-83.3%

ECT

-16.8%

CA Communications

-14.5%

CA Market

Return vs Industry: ECT underperformed the Canadian Communications industry which returned -13.9% over the past year.

Return vs Market: ECT underperformed the Canadian Market which returned -14.9% over the past year.


Shareholder returns

ECTIndustryMarket
7 Day0%1.9%1.6%
30 Day0%4.8%3.6%
90 Dayn/a-11.4%-15.0%
1 Year-83.3%-83.3%-13.2%-16.8%-11.5%-14.5%
3 Year-91.7%-91.7%-26.0%-30.7%-2.2%-11.3%
5 Yearn/a-17.1%-26.5%11.8%-4.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether Ellipsiz Communications is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Ellipsiz Communications has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of ECT’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Ellipsiz Communications regulatory filings.
  • Explore potentially undervalued companies in the Tech industry.

Future Growth

How is Ellipsiz Communications forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

44.5%

Forecasted Tech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Ellipsiz Communications has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

  • Take a look at our analysis of ECT’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • Ellipsiz Communications competitive advantages and company strategy can generally be found in its financial reports archived here.
  • Explore growth companies in the Tech industry.

Past Performance

How has Ellipsiz Communications performed over the past 5 years?

-35.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ECT is currently unprofitable.

Growing Profit Margin: ECT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ECT is unprofitable, and losses have increased over the past 5 years at a rate of -35.5% per year.

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

Earnings vs Industry: ECT is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (5.6%).


Return on Equity

High ROE: ECT's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Ellipsiz Communications's financial position?


Financial Position Analysis

Short Term Liabilities: ECT has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: ECT has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: ECT has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: ECT's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


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: ECT has sufficient cash runway for 1 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: ECT is forecast to have sufficient cash runway for 1 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

What is Ellipsiz Communications's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Current Payout to Shareholders

Dividend Coverage: ECT is not paying a notable dividend for the Canadian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ECT'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?

2.3yrs

Average management tenure


CEO

Sam Tan (54yo)

3.33yrs

Tenure

US$114,874

Compensation

Mr. Chong Gin Tan, also known as Sam, has been the Chief Executive Officer and President of Ellipsiz Communications (Taiwan) Ltd. since January 27, 2017 and July 2014 respectively. Mr. Tan is the Chairman  ...


CEO Compensation Analysis

Compensation vs Market: Sam's total compensation ($USD114.87K) is about average for companies of similar size in the Canadian market ($USD155.86K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Chong Tan
Chairman3.33yrsUS$114.87k13.86% $107.4k
Kwok-Hung Chan
CFO & Corporate Secretary3yrsUS$69.49k0.27% $2.1k
Wen-Kai Hsieh
Chief Operating Officer1.5yrsUS$109.92k0.36% $2.8k
Wen-Hua Fu
Chief Technical Officer1.33yrsno data0.36% $2.8k

2.3yrs

Average Tenure

48yo

Average Age

Experienced Management: ECT's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Chong Tan
Chairman3.33yrsUS$114.87k13.86% $107.4k
Grant Walsh
Director0.67yrno datano data
Shuen Chan
Independent Director2.5yrsUS$7.72k0.11% $875.0
Mei Ling Liu
Independent Director2.75yrsUS$7.72k0.12% $950.0
Gregory Wade
Member of Advisory Board1.92yrsno datano data
Mark Korol
Independent Director4yrsUS$7.72k0.23% $1.8k
Sini Stojicic.
Member of Advisory Boardno datano datano data

2.5yrs

Average Tenure

57yo

Average Age

Experienced Board: ECT'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 diluted in the past year, with total shares outstanding growing by 35.8%.


Top Shareholders

Company Information

Ellipsiz Communications Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ellipsiz Communications Ltd.
  • Ticker: ECT
  • Exchange: TSXV
  • Founded: 2007
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: CA$774.991k
  • Shares outstanding: 31.00m
  • Website: https://www.ellipsiz-comms.com

Number of Employees


Location

  • Ellipsiz Communications Ltd.
  • 340 Ferrier Street
  • Suite 208
  • Markham
  • Ontario
  • L3R 2Z5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ECTTSXV (TSX Venture Exchange)YesCommon StockCACADSep 2009
NXIF.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDSep 2009

Biography

Ellipsiz Communications Ltd. provides communications services and solutions in Taiwan, China, and Canada. The company offers operational support system and big data solutions for mobile network providers, fixed-line telephone operators, cable operators, and Internet service providers. It also offers network and service management, and network and service probe management systems; communications security and audit systems; and factory and process monitoring management systems to collect, integrate, and analyze real-time manufacturing data from the database. In addition, the company supplies various hardware and software products; professional services, such as business consulting, investigation, solution design, deployment, integration, utilization, and post project review; managed services; and operational assurance support services. Further, it provides maintenance services for software engineering and machinery. The company was incorporated in 2007 and is headquartered in Markham, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/26 02:23
End of Day Share Price2020/05/13 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.