ECN Capital Corp. originates, manages, and advises on prime consumer credit portfolios primarily in the United States.
Reasonable growth potential and slightly overvalued.
Share Price & News
How has ECN Capital's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ECNC.F has not had significant price volatility in the past 3 months.
7 Day Return
US Diversified Financial
1 Year Return
US Diversified Financial
Return vs Industry: ECNC.F exceeded the US Diversified Financial industry which returned 13.8% over the past year.
Return vs Market: ECNC.F exceeded the US Market which returned 17.8% over the past year.
Price Volatility Vs. Market
How volatile is ECN Capital's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is ECN Capital undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ECNC.F ($4.51) is trading below our estimate of fair value ($8.04)
Significantly Below Fair Value: ECNC.F is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ECNC.F is unprofitable, so we can't compare its PE Ratio to the Diversified Financial industry average.
PE vs Market: ECNC.F 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 ECNC.F's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: ECNC.F is overvalued based on its PB Ratio (1.5x) compared to the US Diversified Financial industry average (0.8x).
How is ECN Capital forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ECNC.F is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: ECNC.F is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: ECNC.F's is expected to become profitable in the next 3 years.
Revenue vs Market: ECNC.F's revenue (15.8% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: ECNC.F's revenue (15.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ECNC.F's Return on Equity is forecast to be low in 3 years time (13.4%).
How has ECN Capital performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ECNC.F is currently unprofitable.
Growing Profit Margin: ECNC.F is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: ECNC.F is unprofitable, and losses have increased over the past 5 years at a rate of -71.7% per year.
Accelerating Growth: Unable to compare ECNC.F's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: ECNC.F is unprofitable, making it difficult to compare its past year earnings growth to the Diversified Financial industry (55.1%).
Return on Equity
High ROE: ECNC.F has a negative Return on Equity (-0.47%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
How is ECN Capital's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Inventory Level: ECNC.F has a low level of unsold assets or inventory.
Debt Coverage by Assets: ECNC.F's debt is covered by short term assets (assets are 1.9x 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: ECNC.F has been profitable on average in the past, therefore cash runway is not a concern.
Forecast Cash Runway: ECNC.F has been profitable on average in the past, therefore cash runway is not a concern.
Financial Institutions Analysis
Asset Level: ECNC.F's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if ECNC.F has a sufficient allowance for bad loans.
Low Risk Liabilities: ECNC.F reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if ECNC.F has an acceptable proportion of non-loan assets held.
Low Risk Deposits: ECNC.F has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if ECNC.F has an appropriate level of bad loans.
What is ECN Capital's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ECNC.F's dividend (1.68%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: ECNC.F's dividend (1.68%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, ECNC.F has been paying a dividend for less than 10 years.
Growing Dividend: ECNC.F's dividend payments have increased, but the company has only paid a dividend for 3 years.
Current Payout to Shareholders
Dividend Coverage: ECNC.F is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: ECNC.F's dividends in 3 years are forecast to be well covered by earnings (23.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Steve Hudson (60yo)
Mr. Steven K. Hudson, also known as Steve, FCA, B.B.A., FCPA, is the Founder and Principal of Cameron Capital Corporation. Mr. Hudson has been the Chief Executive Officer and Executive Director of ECN Capi ...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD4.25M) is above average for companies of similar size in the US market ($USD2.51M).
Compensation vs Earnings: Steve's compensation has been consistent with company performance over the past year.
|CEO & Director||3.3yrs||US$4.25m||5.45% $56.7m|
|Chief Financial Officer||0.9yrs||US$3.31m||0.11% $1.2m|
|Head of Corporate Development & Investor Relations||3.1yrs||no data||0.22% $2.3m|
|Chief Legal Officer||1.1yrs||no data||no data|
|Chief Operating Officer of US||0yrs||no data||no data|
|Chief Operating Officer of Service Finance||2.1yrs||no data||no data|
|Chief Credit Officer||0yrs||no data||no data|
|Senior Vice President of Corporate||0yrs||no data||0.32% $3.4m|
|Chief Executive Officer of Triad Financial Services||2.1yrs||no data||no data|
|President of Service Finance||2.4yrs||no data||no data|
Experienced Management: ECNC.F's management team is considered experienced (2.1 years average tenure).
|CEO & Director||3.3yrs||US$4.25m||5.45% $56.7m|
|Independent Director||3.3yrs||US$63.95k||0.25% $2.6m|
|Independent Director||2.8yrs||US$185.00k||0.012% $129.9k|
|Independent Chairman of the Board||3.3yrs||US$535.00k||0.29% $3.0m|
|Independent Director||3.3yrs||US$234.15k||0.14% $1.5m|
|Director||0.5yrs||no data||0.036% $375.4k|
|Independent Director||3.3yrs||US$180.14k||0.012% $129.9k|
Experienced Board: ECNC.F's board of directors are considered experienced (3.3 years average tenure).
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
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
ECN Capital Corp.'s company bio, employee growth, exchange listings and data sources
- Name: ECN Capital Corp.
- Ticker: ECNC.F
- Exchange: OTCPK
- Founded: 2016
- Industry: Specialized Finance
- Sector: Diversified Financials
- Market Cap: CA$1.381b
- Listing Market Cap: CA$1.040b
- Shares outstanding: 240.13m
- Website: https://www.ecncapitalcorp.com
Number of Employees
- ECN Capital Corp.
- Royal Bank Plaza
- Suite 1625
- M5J 2J1
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|ECN||TSX (The Toronto Stock Exchange)||Yes||Common Shares||CA||CAD||Sep 2016|
|ECNC.F||OTCPK (Pink Sheets LLC)||Yes||Common Shares||US||USD||Sep 2016|
|2EZ||DB (Deutsche Boerse AG)||Yes||Common Shares||DE||EUR||Sep 2016|
|ECN.PRC||TSX (The Toronto Stock Exchange)||PFD CUM SER C||CA||CAD||May 2017|
ECN Capital Corp. originates, manages, and advises on prime consumer credit portfolios primarily in the United States. The company operates through Service Finance - Unsecured Consumer Loans; Triad - Secured Consumer Loans; and Kessler – Consumer Credit Cards segments. It provides prime credit portfolio solutions that include unsecured consumer loan portfolios, including home improvement loans; secured consumer loan portfolios, such as manufactured home loans; and consumer credit card portfolios. The company serves banks and credit unions. ECN Capital Corp. was founded in 2016 and is headquartered in Toronto, Canada.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/25 01:47|
|End of Day Share Price||2020/02/24 00:00|
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.