TSXV:YFI

Stock Analysis Report

Edgewater Wireless Systems

Executive Summary

Edgewater Wireless Systems Inc. develops and commercializes technologies and intellectual property for the wireless communications market in Asia, Europe, and North America.

Snowflake

Fundamentals

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

How has Edgewater Wireless Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.9%

YFI

0.4%

CA Communications

0.3%

CA Market


1 Year Return

-21.7%

YFI

-14.6%

CA Communications

0.1%

CA Market

Return vs Industry: YFI underperformed the Canadian Communications industry which returned -14.6% over the past year.

Return vs Market: YFI underperformed the Canadian Market which returned 0.1% over the past year.


Shareholder returns

YFIIndustryMarket
7 Day5.9%0.4%0.3%
30 Day-30.8%-2.7%-2.5%
90 Day20.0%-4.2%-1.4%
1 Year-21.7%-21.7%-14.1%-14.6%3.6%0.1%
3 Year-73.5%-73.5%2.6%0.5%14.3%4.1%
5 Year157.1%157.1%-19.7%-23.2%25.0%6.9%

Price Volatility Vs. Market

How volatile is Edgewater Wireless Systems's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Edgewater Wireless Systems undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Edgewater Wireless Systems is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Edgewater Wireless Systems 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 YFI’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 Edgewater Wireless Systems regulatory filings.
  • Explore potentially undervalued companies in the Tech industry.

Future Growth

How is Edgewater Wireless Systems forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

122.5%

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 Edgewater Wireless Systems 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 Edgewater Wireless Systems performed over the past 5 years?

-9.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: YFI is unprofitable, and losses have increased over the past 5 years at a rate of -9.6% per year.

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

Earnings vs Industry: YFI is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (22.8%).


Return on Equity

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


Return on Assets

ROA vs Industry: YFI is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: YFI is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Edgewater Wireless Systems's financial position?


Financial Position Analysis

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

Long Term Liabilities: YFI 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: YFI has negative shareholder equity, which is a more serious situation than a high debt level.

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


Balance Sheet

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

Debt Coverage by Assets: YFI has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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

Forecast Cash Runway: YFI has less than a year of cash runway if free cash flow continues to reduce at historical rates of -6.8% each year


Next Steps

Dividend

What is Edgewater Wireless Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%6.0%industryaverage2.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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

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


Next Steps

Management

What is the CEO of Edgewater Wireless Systems's salary, the management and board of directors tenure and is there insider trading?

5.5yrs

Average management tenure


CEO

Andrew Skafel 0

5.5yrs

Tenure

CA$180,000

Compensation

Mr. Andrew Skafel has been the President of Edgewater Wireless Systems, Inc., since October 13, 2011 and has been its Chief Executive Officer since April 30, 2014. Mr. Skafel has been a Director of Edgewat ...


CEO Compensation Analysis

Compensation vs. Market: Andrew's total compensation ($USD136.02K) is about average for companies of similar size in the Canadian market ($USD121.56K).

Compensation vs Earnings: Andrew's compensation has been consistent with company performance over the past year.


Management Age and Tenure

5.5yrs

Average Tenure

Experienced Management: YFI's management team is seasoned and experienced (5.5 years average tenure).


Board Age and Tenure

1.7yrs

Average Tenure

Experienced Board: YFI's board of directors are not considered experienced ( 1.7 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyCA$10,00028 Jun 19
Christopher McGillivray
EntityIndividual
Role
Member of the Board of Directors
Director
Shares100,000
Max PriceCA$0.10
BuyCA$10,00027 Jun 19
Andrew Skafel
EntityIndividual
Role
Chief Executive Officer
President
Shares100,000
Max PriceCA$0.10
BuyCA$15,00027 Jun 19
Stephen Andrews
EntityIndividual
Role
Member of the Board of Directors
Director
Shares150,000
Max PriceCA$0.10
BuyCA$25,00027 Jun 19
Brian Imrie
EntityIndividual
Role
Member of the Board of Directors
Director
Shares250,000
Max PriceCA$0.10
BuyCA$40001 Jan 19
Andrew Skafel
EntityIndividual
Role
Chief Executive Officer
President
Shares5,000
Max PriceCA$0.08
BuyCA$1,27521 Dec 18
Andrew Skafel
EntityIndividual
Role
Chief Executive Officer
President
Shares15,000
Max PriceCA$0.085
BuyCA$1,05018 Nov 18
Andrew Skafel
EntityIndividual
Role
Chief Executive Officer
President
Shares8,400
Max PriceCA$0.13
BuyCA$30010 Nov 18
Robert Harper
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares2,500
Max PriceCA$0.12

Ownership Breakdown


Management Team

  • Bob Harper

    Chief Financial Officer

    • Tenure: 4.5yrs
    • Compensation: CA$114.00k
  • Duane Anderson

    Founder & Chairman of Wireless Technology Advisory Panel

    • Tenure: 0yrs
  • Andrew Skafel

    President

    • Tenure: 5.5yrs
    • Compensation: CA$180.00k
  • Paul Morton

    Vice-President of Programs & Sales

    • Tenure: 15.5yrs
  • Matt Massey

    Vice President of Marketing

    • Tenure: 0yrs

Board Members

  • Bert Whyte (68yo)

    Independent Director

    • Tenure: 7.6yrs
  • Denis Cote

    Member of Advisory Board

    • Tenure: 0yrs
  • Rich Nottenburg (65yo)

    Director

    • Tenure: 0.5yrs
  • Jane Barratt

    Director

    • Tenure: 2.8yrs
  • Andrew Skafel

    President

    • Tenure: 5.5yrs
    • Compensation: CA$180.00k
  • Steve Andrews

    Director

    • Tenure: 1.7yrs
  • Brian Imrie

    Director

    • Tenure: 2.8yrs
  • Chris McGillivray

    Director

    • Tenure: 1.3yrs

Company Information

Edgewater Wireless Systems Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Edgewater Wireless Systems Inc.
  • Ticker: YFI
  • Exchange: TSXV
  • Founded: 1980
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: CA$15.276m
  • Shares outstanding: 169.74m
  • Website: https://www.edgewaterwireless.com

Location

  • Edgewater Wireless Systems Inc.
  • 408 Churchill Avenue North
  • Ottawa
  • Ontario
  • K1Z 5C6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
YFITSXV (TSX Venture Exchange)YesCommon SharesCACADOct 2011
KPIF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDOct 2011
E14DB (Deutsche Boerse AG)YesCommon SharesDEEUROct 2011

Biography

Edgewater Wireless Systems Inc. develops and commercializes technologies and intellectual property for the wireless communications market in Asia, Europe, and North America. It offers Wi-Fi spectrum slicin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 00:22
End of Day Share Price2019/10/15 00:00
Earnings2019/07/31
Annual Earnings2019/04/30


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.