TSXV:NXO

Stock Analysis Report

NexOptic Technology

Executive Summary

NexOptic Technology Corp., a technology company, develops and invests in optical and lens technologies.


Snowflake Analysis

Adequate balance sheet and overvalued.

Share Price & News

How has NexOptic Technology's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

17.0%

NXO

9.6%

CA Electronic

7.1%

CA Market


1 Year Return

-46.1%

NXO

-47.8%

CA Electronic

-25.3%

CA Market

Return vs Industry: NXO exceeded the Canadian Electronic industry which returned -47.8% over the past year.

Return vs Market: NXO underperformed the Canadian Market which returned -25.3% over the past year.


Shareholder returns

NXOIndustryMarket
7 Day17.0%9.6%7.1%
30 Day-29.5%-36.6%-24.1%
90 Day-27.6%-43.1%-26.7%
1 Year-46.1%-46.1%-45.9%-47.8%-22.9%-25.3%
3 Year-91.0%-91.0%-55.2%-57.4%-15.6%-23.4%
5 Year205.6%205.6%-42.8%-48.8%-3.2%-17.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.81x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate NXO's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate NXO's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: NXO is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.

PE vs Market: NXO 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 NXO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: NXO is good value based on its PB Ratio (0.8x) compared to the CA Electronic industry average (2.2x).


Next Steps

Future Growth

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

16.3%

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 NexOptic Technology 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

Past Performance

How has NexOptic Technology performed over the past 5 years?

-49.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NXO is currently unprofitable.

Growing Profit Margin: NXO is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NXO is unprofitable, and losses have increased over the past 5 years at a rate of -49.7% per year.

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

Earnings vs Industry: NXO is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-11.7%).


Return on Equity

High ROE: NXO has a negative Return on Equity (-29.34%), as it is currently unprofitable.


Next Steps

Financial Health

How is NexOptic Technology's financial position?


Financial Position Analysis

Short Term Liabilities: NXO's short term assets (CA$1.5M) exceed its short term liabilities (CA$870.8K).

Long Term Liabilities: NXO has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: NXO is debt free.

Reducing Debt: NXO had no debt 5 years ago.


Balance Sheet

Inventory Level: NXO has a low level of unsold assets or inventory.

Debt Coverage by Assets: NXO's debt is not covered by short term assets (assets are -273.9x debt).


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: NXO has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: NXO has less than a year of cash runway if free cash flow continues to reduce at historical rates of -47.3% each year


Next Steps

Dividend

What is NexOptic Technology's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate NXO's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if NXO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if NXO'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 NXO'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?

2.9yrs

Average board tenure


CEO

Paul McKenzie (56yo)

0.92

Tenure

CA$180,000

Compensation

Mr. Paul Tavis McKenzie has been the Chief Executive Officer of Nexoptic Technology Corp. since April 23, 2019 and serves as its President. Mr. McKenzie has been the Chief Business Officer of Nexoptic Tec ...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD127.90K) is about average for companies of similar size in the Canadian market ($USD157.44K).

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


Board Members

NamePositionTenureCompensationOwnership
Paul McKenzie
CEO, President0.92yrCA$180.00k1.14% CA$417.3k
Richard Geruson
Independent Chairman of the Board0.92yrno datano data
Melvin Klohn
Independent Director10yrsCA$10.00k0.073% CA$26.5k
Stephen Petranek
Independent Director3.17yrsCA$10.00k0.018% CA$6.6k
Arch Meredith
Independent Director2.42yrsCA$10.00k0.21% CA$78.2k
Page Tucker
Member of Advisory Board2.92yrsno datano data
Carey Wheeler
Member of Advisory Board2.92yrsno datano data

2.9yrs

Average Tenure

61yo

Average Age

Experienced Board: NXO's board of directors are not considered experienced ( 2.9 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.


Ownership Breakdown

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


Top Shareholders

Company Information

NexOptic Technology Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: NexOptic Technology Corp.
  • Ticker: NXO
  • Exchange: TSXV
  • Founded: 2007
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: CA$36.516m
  • Shares outstanding: 137.80m
  • Website: https://www.nexoptic.com

Location

  • NexOptic Technology Corp.
  • 666 Burrard Street
  • Suite 500
  • Vancouver
  • British Columbia
  • V6C 3P6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NXOTSXV (TSX Venture Exchange)YesCommon SharesCACADMar 2011
NXOP.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMar 2011
E3O1DB (Deutsche Boerse AG)YesCommon SharesDEEURMar 2011

Biography

NexOptic Technology Corp., a technology company, develops and invests in optical and lens technologies. It engages in developing a patent pending Blade Optics lens system that relates to an optical concept, including the use of flat lenses, as well as an artificial intelligence for image capture systems. The company was formerly known as Elissa Resources Ltd. and changed its name to NexOptic Technology Corp. in February 2016. NexOptic Technology Corp. was incorporated in 2007 and is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 02:46
End of Day Share Price2020/03/27 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.