DB:1DW

Stock Analysis Report

ZTEST Electronics

Executive Summary

ZTEST Electronics Inc., through its subsidiary, Permatech Electronics Corporation, designs, develops, and assembles printed circuit boards and other electronic equipment in Canada.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

How has ZTEST Electronics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1DW's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-5.4%

1DW

-2.4%

DE Electronic

-0.2%

DE Market


1 Year Return

-50.7%

1DW

8.1%

DE Electronic

13.7%

DE Market

Return vs Industry: 1DW underperformed the German Electronic industry which returned 8.1% over the past year.

Return vs Market: 1DW underperformed the German Market which returned 13.7% over the past year.


Shareholder returns

1DWIndustryMarket
7 Day-5.4%-2.4%-0.2%
30 Day12.8%9.1%0.3%
90 Day61.8%6.8%3.7%
1 Year-50.7%-50.7%10.5%8.1%17.2%13.7%
3 Yearn/a48.0%43.1%15.4%5.3%
5 Yearn/a113.5%98.2%21.3%4.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is ZTEST Electronics undervalued compared to its fair value and its price relative to the market?

2.66x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1DW's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1DW's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1DW is unprofitable, so we can't compare its PE Ratio to the Electronic industry average.

PE vs Market: 1DW is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1DW's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1DW is overvalued based on its PB Ratio (2.7x) compared to the DE Electronic industry average (1.9x).


Next Steps

Future Growth

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

16.5%

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 ZTEST Electronics 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 ZTEST Electronics performed over the past 5 years?

-55.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1DW is currently unprofitable.

Growing Profit Margin: 1DW is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1DW is unprofitable, and losses have increased over the past 5 years at a rate of -55.5% per year.

Accelerating Growth: Unable to compare 1DW's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1DW is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (-3.9%).


Return on Equity

High ROE: 1DW has a negative Return on Equity (-28.84%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is ZTEST Electronics's financial position?


Financial Position Analysis

Short Term Liabilities: 1DW's short term assets (CA$1.2M) exceed its short term liabilities (CA$1.1M).

Long Term Liabilities: 1DW's short term assets (CA$1.2M) exceed its long term liabilities (CA$54.2K).


Debt to Equity History and Analysis

Debt Level: 1DW's debt to equity ratio (6.2%) is considered satisfactory.

Reducing Debt: 1DW's debt to equity ratio has reduced from 148.6% to 6.2% over the past 5 years.


Balance Sheet

Inventory Level: 1DW has a high level of physical assets or inventory.

Debt Coverage by Assets: 1DW's debt is covered by short term assets (assets are 15.5x 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: 1DW has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 1DW has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -48.7% each year


Next Steps

Dividend

What is ZTEST Electronics's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 1DW's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1DW'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 1DW's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1DW'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 1DW's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

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

2.7yrs

Average board tenure


CEO

Steve Smith (62yo)

1.6yrs

Tenure

CA$171,269

Compensation

Mr. Stephen Smith, also known as Steve, has been President and Chief Executive Officer of ZTEST Electronics Inc. July 03, 2018 and has been its Director since December 19, 2017. He is Founder of Tangent Ma ...


Board Members

NamePositionTenureCompensationOwnership
Stephen Smith
President & CEO1.6yrsCA$171.27k1.93% CA$63.2k
K. Guerreiro
Independent Director23.7yrsCA$58.02k2.31% CA$75.5k
William Brown
Independent Director3.2yrsCA$70.02kno data
Zachery Dingsdale
Director0.3yrsno data0.21% CA$7.0k

2.7yrs

Average Tenure

Experienced Board: 1DW's board of directors are not considered experienced ( 2.7 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 been diluted in the past year, with total shares outstanding growing by 7.8%.


Top Shareholders

Company Information

ZTEST Electronics Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: ZTEST Electronics Inc.
  • Ticker: 1DW
  • Exchange: DB
  • Founded: 1960
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: €3.269m
  • Shares outstanding: 21.10m
  • Website: https://www.ztest.com

Location

  • ZTEST Electronics Inc.
  • 523 McNicoll Avenue
  • Toronto
  • Ontario
  • M2H 2C9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ZTECNSX (Canadian National Stock Exchange)YesCommon SharesCACADFeb 1998
1DWDB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 1998

Biography

ZTEST Electronics Inc., through its subsidiary, Permatech Electronics Corporation, designs, develops, and assembles printed circuit boards and other electronic equipment in Canada. The company was founded in 1960 and is based in Toronto, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/20 23:34
End of Day Share Price2020/02/20 00:00
Earnings2019/09/30
Annual Earnings2019/06/30


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.