NasdaqCM:EFOI

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Energy Focus, Inc., together with its subsidiaries, designs, develops, manufactures, markets, and sells energy-efficient lighting systems in the United States and internationally. More Details


Snowflake Analysis

Mediocre balance sheet with limited growth.


Similar Companies

Share Price & News

How has Energy Focus's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-11.7%

EFOI

-0.2%

US Electrical

-1.5%

US Market


1 Year Return

202.1%

EFOI

22.1%

US Electrical

12.9%

US Market

Return vs Industry: EFOI exceeded the US Electrical industry which returned 22.1% over the past year.

Return vs Market: EFOI exceeded the US Market which returned 12.9% over the past year.


Shareholder returns

EFOIIndustryMarket
7 Day-11.7%-0.2%-1.5%
30 Day-14.3%1.2%-1.8%
90 Day18.3%20.0%6.6%
1 Year202.1%202.1%24.6%22.1%15.4%12.9%
3 Year-47.6%-47.6%38.4%30.3%39.6%30.2%
5 Year-86.9%-86.9%62.2%50.0%93.4%71.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Energy Focus undervalued compared to its fair value and its price relative to the market?

13.32x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: EFOI ($7.1) is trading above our estimate of fair value ($0.59)

Significantly Below Fair Value: EFOI is trading above our estimate of fair value.


Price To Earnings Ratio

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

PE vs Market: EFOI is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: EFOI is overvalued based on its PB Ratio (13.3x) compared to the US Electrical industry average (2.9x).


Next Steps

Future Growth

How is Energy Focus forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

51.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EFOI is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: EFOI is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: EFOI is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: EFOI's revenue (24.3% per year) is forecast to grow faster than the US market (9.8% per year).

High Growth Revenue: EFOI's revenue (24.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if EFOI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Energy Focus performed over the past 5 years?

-24.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EFOI is currently unprofitable.

Growing Profit Margin: EFOI is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EFOI is unprofitable, and losses have increased over the past 5 years at a rate of 24.1% per year.

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

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


Return on Equity

High ROE: EFOI has a negative Return on Equity (-416.28%), as it is currently unprofitable.


Next Steps

Financial Health

How is Energy Focus's financial position?


Financial Position Analysis

Short Term Liabilities: EFOI's short term assets ($11.8M) exceed its short term liabilities ($11.0M).

Long Term Liabilities: EFOI's short term assets ($11.8M) exceed its long term liabilities ($1.2M).


Debt to Equity History and Analysis

Debt Level: EFOI's debt to equity ratio (159.2%) is considered high.

Reducing Debt: EFOI's debt to equity ratio has increased from 3.1% to 159.2% over the past 5 years.


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: EFOI has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: EFOI has less than a year of cash runway if free cash flow continues to reduce at historical rates of 10.8% each year


Next Steps

Dividend

What is Energy Focus's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

James Tu (51 yo)

1.42yrs

Tenure

US$434,631

Compensation

Mr. James Tu, CFA, is Chairman and Chief Executive Officer of Energy Focus, Inc. since April 2019 and served as its President and Interim Chief Financial Officer since April 2019 until July 1, 2019. Mr. Tu ...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD434.63K) is about average for companies of similar size in the US market ($USD589.04K).

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


Leadership Team

NamePositionTenureCompensationOwnership
James Tu
Chairman & CEO1.42yrsUS$434.63kno data
Tod Nestor
President1.17yrsUS$309.85k1.07%
$ 247.1k
Laszlo Takacs
Chief Technology Officer2.83yrsno datano data
John Davenport
Chief Scientistno dataUS$64.37kno data
Stephen Davis
Director of Government & Investor Relationsno datano datano data
Lawrence Fallon
Senior Vice President of Sales & Marketing3.33yrsno datano data
Edward Gilmore
CEO of Little Grapevineno datano datano data
Simon Cheng
Vice President of Product Development4.75yrsUS$40.89kno data
Wayne Platt
Consultantno datano datano data

2.8yrs

Average Tenure

57yo

Average Age

Experienced Management: EFOI's management team is considered experienced (2.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
James Tu
Chairman & CEO1.42yrsUS$434.63kno data
Stephen Socolof
Independent Lead External Board Member1yrUS$39.50k0.22%
$ 49.7k
Marc Byrnes
Member of Advisory Boardno datano datano data
Philip Politziner
Independent Director1.08yrsUS$21.07k0.41%
$ 95.1k
Steven Fedrizzi
Member of Advisory Board4.08yrsno datano data
Jennifer Cheng
Independent Director1.58yrsUS$38.32k0.22%
$ 49.7k
Geraldine McManus
Independent Director1.58yrsUS$48.84k0.22%
$ 49.7k
Mei Huang
Independent Director0.67yrno data0.12%
$ 28.4k

1.4yrs

Average Tenure

60yo

Average Age

Experienced Board: EFOI's board of directors are not considered experienced ( 1.4 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 31%.


Top Shareholders

Company Information

Energy Focus, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Energy Focus, Inc.
  • Ticker: EFOI
  • Exchange: NasdaqCM
  • Founded: 1985
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$23.003m
  • Shares outstanding: 3.24m
  • Website: https://www.energyfocus.com

Number of Employees


Location

  • Energy Focus, Inc.
  • 32000 Aurora Road
  • Suite B
  • Solon
  • Ohio
  • 44139
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EFOINasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDAug 1994
FI4DB (Deutsche Boerse AG)YesCommon StockDEEURAug 1994

Biography

Energy Focus, Inc., together with its subsidiaries, designs, develops, manufactures, markets, and sells energy-efficient lighting systems in the United States and internationally. It offers military mariti ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/22 06:06
End of Day Share Price2020/09/21 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.