OTCPK:HLIX

Stock Analysis Report

Executive Summary

Helix TCS, Inc. provides technology, compliance, and security solutions to the legal cannabis industry in the United States, Colombia, Canada, Jamaica, New Zealand, and Australia.


Snowflake Analysis

Imperfect balance sheet and overvalued.


Similar Companies

Share Price & News

How has Helix TCS's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-25.7%

HLIX

-8.8%

US Commercial Services

-10.6%

US Market


1 Year Return

-87.0%

HLIX

8.3%

US Commercial Services

5.2%

US Market

Return vs Industry: HLIX underperformed the US Commercial Services industry which returned 14.7% over the past year.

Return vs Market: HLIX underperformed the US Market which returned 10.5% over the past year.


Shareholder returns

HLIXIndustryMarket
7 Day-25.7%-8.8%-10.6%
30 Day-42.9%-6.7%-8.5%
90 Day-51.9%-2.8%-4.6%
1 Year-87.0%-87.0%12.0%8.3%7.4%5.2%
3 Year-92.0%-92.0%48.3%38.4%31.7%23.2%
5 Year225.0%225.0%86.0%66.3%56.4%39.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Helix TCS undervalued compared to its fair value and its price relative to the market?

0.36x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: HLIX is good value based on its PB Ratio (0.4x) compared to the US Commercial Services industry average (1.9x).


Next Steps

Future Growth

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

16.1%

Forecasted Commercial Services 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 Helix TCS 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 HLIX’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.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Helix TCS's filings and announcements here.
  • Explore growth companies in the Commercial Services industry.

Past Performance

How has Helix TCS performed over the past 5 years?

-22.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HLIX is currently unprofitable.

Growing Profit Margin: HLIX is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HLIX is unprofitable, and losses have increased over the past 5 years at a rate of -22.3% per year.

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

Earnings vs Industry: HLIX is unprofitable, making it difficult to compare its past year earnings growth to the Commercial Services industry (-7.9%).


Return on Equity

High ROE: HLIX has a negative Return on Equity (-15.55%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Helix TCS's financial position?


Financial Position Analysis

Short Term Liabilities: HLIX's short term assets ($2.8M) do not cover its short term liabilities ($6.5M).

Long Term Liabilities: HLIX's short term assets ($2.8M) exceed its long term liabilities ($1.3M).


Debt to Equity History and Analysis

Debt Level: HLIX's debt to equity ratio (4.3%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if HLIX's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: HLIX's debt is not covered by short term assets (assets are 1x 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: HLIX has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: HLIX has less than a year of cash runway if free cash flow continues to reduce at historical rates of -42.2% each year


Next Steps

Dividend

What is Helix TCS's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.6%markettop25%4.1%industryaverage1.7%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

2.1yrs

Average management tenure


CEO

Zac Venegas (47yo)

5.1yrs

Tenure

US$829,200

Compensation

Mr. Zachary L. Venegas, also known as Zac, has been Executive Chairman of Helix TCS, Inc. since June 1, 2018 and serves as its President. Mr. Venegas serves as Chief Executive Officer of Helix TCS, Inc sin ...


CEO Compensation Analysis

Compensation vs Market: Zac's total compensation ($USD829.20K) is above average for companies of similar size in the US market ($USD524.26K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Zachary Venegas
Executive Chairman5.1yrsUS$829.20kno data
Scott Ogur
CFO & Director2.8yrsUS$135.00kno data
Grant Whitus
Chief Operating Officer0yrsUS$84.00kno data
John Delue
Head of Compliance & Quality Control0yrsno datano data
Garvis Toler
President of Data Services0.5yrsno datano data
Steve Janjic
President of Exchange Services & Director0.4yrsno datano data

2.1yrs

Average Tenure

47yo

Average Age

Experienced Management: HLIX's management team is considered experienced (2.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Zachary Venegas
Executive Chairman5.1yrsUS$829.20kno data
Scott Ogur
CFO & Director2.8yrsUS$135.00kno data
Steve Janjic
President of Exchange Services & Director0.4yrsno datano data
Paul Hodges
Director3.9yrsno data0.89% $221.7k
Terence Ferraro
Director1.7yrsUS$204.00kno data
Andrew Schweibold
Director1.7yrsno datano data
Satyavrat Joshi
Director1.2yrsno datano data

1.7yrs

Average Tenure

41.5yo

Average Age

Experienced Board: HLIX's board of directors are not considered experienced ( 1.7 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 substantially diluted in the past year, with total shares outstanding growing by 75.2%.


Top Shareholders

Company Information

Helix TCS, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Helix TCS, Inc.
  • Ticker: HLIX
  • Exchange: OTCPK
  • Founded:
  • Industry: Security and Alarm Services
  • Sector: Commercial Services
  • Market Cap: US$24.914m
  • Shares outstanding: 95.82m
  • Website: https://www.helixtcs.com

Number of Employees


Location

  • Helix TCS, Inc.
  • 5300 DTC Parkway
  • Suite B420
  • Denver
  • Colorado
  • 80231
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
4S3ADB (Deutsche Boerse AG)COM USD0.001DEUSDNo data
HLIXOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 2007

Biography

Helix TCS, Inc. provides technology, compliance, and security solutions to the legal cannabis industry in the United States, Colombia, Canada, Jamaica, New Zealand, and Australia. The company offers security solutions to cannabis businesses, including assessments and planning, security system design and implementation, asset protection, transport, and assurance of security for the state licensing process. Its security products and services include IP CCTV systems, intrusion alarm systems, perimeter alarm systems, access control, and security consulting. The company also provides physical security solutions, such as armed and unarmed guards, armored transport, background checks, investigations, and risk assessment, as well as armed transportation services. In addition, it operates Cannabase, an online community for registered legal cannabis license holders. Further, the company develops and licenses seed to sale cannabis compliance software to private-sector and public-sector clients that are involved in cannabis related operations; and offers on-going training, support, and software customization services. Helix TCS, Inc. is headquartered in Denver, Colorado. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 01:14
End of Day Share Price2020/02/27 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.