OTCPK:QEPC

Stock Analysis Report

Executive Summary

Q.E.P. Co., Inc. manufactures, markets, and distributes a range of hardwood and laminate flooring, flooring installation tools, adhesives, and flooring related products for the professional installation and do-it-yourself markets.

Snowflake

Fundamentals

Imperfect balance sheet and overvalued.


Similar Companies

Share Price & News

How has Q.E.P's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.4%

QEPC

2.7%

US Consumer Durables

0.5%

US Market


1 Year Return

-31.2%

QEPC

45.4%

US Consumer Durables

6.8%

US Market

Return vs Industry: QEPC underperformed the US Consumer Durables industry which returned 45.4% over the past year.

Return vs Market: QEPC underperformed the US Market which returned 6.8% over the past year.


Shareholder returns

QEPCIndustryMarket
7 Day1.4%2.7%0.5%
30 Day4.2%4.3%-0.8%
90 Day-3.7%8.5%-0.9%
1 Year-31.2%-31.2%47.4%45.4%9.2%6.8%
3 Year10.6%7.0%53.8%49.0%45.6%36.2%
5 Year16.3%12.5%43.2%34.1%63.2%45.4%

Price Volatility Vs. Market

How volatile is Q.E.P's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Q.E.P undervalued compared to its fair value and its price relative to the market?

0.82x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: QEPC is good value based on its PB Ratio (0.8x) compared to the US Consumer Durables industry average (1.6x).


Next Steps

Future Growth

How is Q.E.P forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

35.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: Insufficient data to determine if QEPC's revenue is forecast to grow faster than the US market.

High Growth Revenue: Insufficient data to determine if QEPC's revenue 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 QEPC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Q.E.P performed over the past 5 years?

-22.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: QEPC is unprofitable, and losses have increased over the past 5 years at a rate of -22.2% per year.

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

Earnings vs Industry: QEPC is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Durables industry (13.5%).


Return on Equity

High ROE: QEPC has a negative Return on Equity (-7.82%), as it is currently unprofitable.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Q.E.P's financial position?


Financial Position Analysis

Short Term Liabilities: QEPC's short term assets ($141.4M) exceeds its short term liabilities ($102.4M)

Long Term Liabilities: QEPC's short term assets (141.4M) exceeds its long term liabilities (26.7M)


Debt to Equity History and Analysis

Debt Level: QEPC's debt to equity ratio (81.8%) is considered high

Reducing Debt: QEPC's debt to equity ratio has increased from 77% to 81.8% over the past 5 years.

Debt Coverage: QEPC's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if QEPC's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: QEPC's debt is covered by short term assets (assets are 2.347820x debt).


Next Steps

Dividend

What is Q.E.P's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

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


Next Steps

Management

What is the CEO of Q.E.P's salary, the management and board of directors tenure and is there insider trading?

11.4yrs

Average management tenure


CEO

Harry Schulman (67yo)

1.2yrs

Tenure

0

Mr. Harry D. Schulman has been Director and Chief Executive Officer of Q.E.P. Co. Inc since April 3, 2018 and August 1, 2018. Mr. Schulman is currently the President of HDS Consulting LLC. He serves as the ...


Management Age and Tenure

11.4yrs

Average Tenure

61.5yo

Average Age

Experienced Management: QEPC's management team is seasoned and experienced (11.4 years average tenure).


Board Age and Tenure

12.8yrs

Average Tenure

69.5yo

Average Age

Experienced Board: QEPC's board of directors are seasoned and experienced ( 12.8 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Harry Schulman (67yo)

    CEO & Director

    • Tenure: 1.2yrs
  • Lewis Gould (76yo)

    Executive Chairman

    • Tenure: 40.8yrs
    • Compensation: US$540.43k
  • Len Gould (50yo)

    President & Director

    • Tenure: 20.8yrs
    • Compensation: US$297.54k
  • Susan Gould (73yo)

    Corporate Secretary

    • Tenure: 40.8yrs
    • Compensation: US$109.36k
  • Mark Walter (53yo)

    Senior VP of Finance & CFO

    • Tenure: 4yrs
  • Terry Hirschman

    President of China Operation

    • Tenure: 13.9yrs
  • Jamie Clingan (56yo)

    Executive Vice President Sales & Marketing

    • Tenure: 11.5yrs
    • Compensation: US$142.59k
  • Brian Kura

    Executive Vice President

    • Tenure: 4.8yrs
  • Adam Morgan

    Senior VP & General Counsel

    • Tenure: 0yrs

Board Members

  • Harry Schulman (67yo)

    CEO & Director

    • Tenure: 1.2yrs
  • Lewis Gould (76yo)

    Executive Chairman

    • Tenure: 40.8yrs
    • Compensation: US$540.43k
  • Len Gould (50yo)

    President & Director

    • Tenure: 20.8yrs
    • Compensation: US$297.54k
  • Emil Vogel (76yo)

    Independent Director

    • Tenure: 22.8yrs
    • Compensation: US$86.47k
  • Bob Walters (72yo)

    Director

    • Tenure: 12.8yrs
    • Compensation: US$53.12k
  • Tony Hair (52yo)

    Director

    • Tenure: 0.2yrs
  • George Markowsky

    Independent Director

    • Tenure: 2.3yrs

Company Information

Q.E.P. Co., Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Q.E.P. Co., Inc.
  • Ticker: QEPC
  • Exchange: OTCPK
  • Founded: 1979
  • Industry: Household Appliances
  • Sector: Consumer Durables
  • Market Cap: US$68.679m
  • Shares outstanding: 3.57m
  • Website: https://www.qep.com

Location

  • Q.E.P. Co., Inc.
  • 1001 Broken Sound Parkway, NW
  • Suite A
  • Boca Raton
  • Florida
  • 33487
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
QEPCOTCPK (Pink Sheets LLC)YesCommon StockUSUSDSep 1996

Biography

Q.E.P. Co., Inc. manufactures, markets, and distributes a range of hardwood and laminate flooring, flooring installation tools, adhesives, and flooring related products for the professional installation an ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 23:40
End of Day Share Price2019/10/17 00:00
Earnings2019/05/31
Annual Earnings2019/02/28


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.