NasdaqCM:FONR

Stock Analysis Report

Executive Summary

FONAR Corporation, together with its subsidiaries, operates as a magnetic resonance imaging (MRI) company primarily in the Unites States.

Snowflake

Fundamentals

Flawless balance sheet and undervalued.

Risks

  • FONAR is not covered by any analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-8.7%

FONR

1.1%

US Medical Equipment

-0.6%

US Market


1 Year Return

-8.6%

FONR

9.9%

US Medical Equipment

0.6%

US Market

FONR underperformed the Medical Equipment industry which returned 9.5% over the past year.

FONR underperformed the Market in United States of America which returned 1.1% over the past year.


Share holder returns

FONRIndustryMarket
7 Day-8.7%1.1%-0.6%
30 Day-7.0%0.6%2.2%
90 Day2.2%2.9%1.1%
1 Year-8.6%-8.6%10.8%9.9%2.9%0.6%
3 Year11.3%11.3%70.1%64.9%44.6%35.2%
5 Year98.6%98.6%138.9%111.8%61.9%44.2%

Price Volatility Vs. Market

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


Simply Wall St News

1 month ago | Simply Wall St

FONAR Corporation (NASDAQ:FONR) Has Attractive Fundamentals

Valuation

Is FONAR undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

FONAR's share price is below the future cash flow value, and at a moderate discount (> 20%).

FONAR's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

FONAR is good value based on earnings compared to the US Medical Equipment industry average.

FONAR is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for FONAR, we can't assess if its growth is good value.


Price Based on Value of Assets

FONAR is good value based on assets compared to the US Medical Equipment industry average.


Next Steps

Future Growth

How is FONAR expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

3.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if FONAR is high growth as no revenue estimate data is available.

FONAR's earnings are expected to grow by 3.6% yearly, however this is not considered high growth (20% yearly).

Unable to compare FONAR's revenue growth to the United States of America market average as no estimate data is available.

FONAR's earnings growth is positive but not above the United States of America market average.

FONAR's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if FONAR will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has FONAR performed over the past 5 years?

12.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

FONAR's year on year earnings growth rate has been positive over the past 5 years.

FONAR's 1-year earnings growth is negative, it can't be compared to the 5-year average.

FONAR's 1-year earnings growth is negative, it can't be compared to the US Medical Equipment industry average.


Return on Equity

FONAR has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

FONAR used its assets more efficiently than the US Medical Equipment industry average last year based on Return on Assets.


Return on Capital Employed

FONAR's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is FONAR's financial position?


Financial Position Analysis

FONAR is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

FONAR's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

FONAR's level of debt (0.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (25% vs 0.3% today).

Debt is well covered by operating cash flow (6144.1%, greater than 20% of total debt).

FONAR earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 271.3x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate FONAR's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate FONAR's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as FONAR has not reported any payouts.

Unable to verify if FONAR's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as FONAR has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of FONAR's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Tim Damadian (55yo)

3.6yrs

Tenure

US$155,800

Compensation

Mr. Timothy R. Damadian, also known as Tim, has been Chief Executive Officer and President of Fonar Corp. since February 11, 2016. From 2010 to 2016 he served as an independent consultant. Mr. Damadian beg ...


Management Age and Tenure

3.6yrs

Average Tenure

72.5yo

Average Age

The tenure for the FONAR management team is about average.


Board Age and Tenure

31.3yrs

Average Tenure

83yo

Average Age

The average tenure for the FONAR board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$22,20827 Sep 18
Raymond Damadian
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares900
Max PriceUS$24.70
SellUS$58,80025 Sep 18
Raymond Damadian
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares2,400
Max PriceUS$24.80

Ownership Breakdown


Management Team

  • Raymond Damadian (83yo)

    Chairman of the Board

    • Tenure: 41.7yrs
    • Compensation: US$458.90k
  • Tim Damadian (55yo)

    CEO & President

    • Tenure: 3.6yrs
    • Compensation: US$155.80k
  • Claudette J. Chan (81yo)

    Secretary & Director

    • Tenure: 31.9yrs
    • Compensation: US$20.00k
  • Dan Culver

    Director of Communications

    • Tenure: 0yrs
  • Luciano Bonanni (64yo)

    COO & Executive VP

    • Tenure: 3.3yrs
    • Compensation: US$298.57k

Board Members

  • Raymond Damadian (83yo)

    Chairman of the Board

    • Tenure: 41.7yrs
    • Compensation: US$458.90k
  • Claudette J. Chan (81yo)

    Secretary & Director

    • Tenure: 31.9yrs
    • Compensation: US$20.00k
  • Robert Janoff (92yo)

    Independent Director

    • Tenure: 30.6yrs
    • Compensation: US$20.00k
  • Charles O'Data (83yo)

    Lead Independent Director

    • Tenure: 0yrs
    • Compensation: US$20.00k
  • Ron Lehman (43yo)

    Independent Director

    • Tenure: 7.4yrs
    • Compensation: US$20.00k

Company Information

FONAR Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FONAR Corporation
  • Ticker: FONR
  • Exchange: NasdaqCM
  • Founded: 1978
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$146.175m
  • Shares outstanding: 6.49m
  • Website: https://www.fonar.com

Number of Employees


Location

  • FONAR Corporation
  • 110 Marcus Drive
  • Melville
  • New York
  • 11747
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FONRNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDOct 1981
FOAADB (Deutsche Boerse AG)YesCommon StockDEEUROct 1981

Biography

FONAR Corporation, together with its subsidiaries, operates as a magnetic resonance imaging (MRI) company primarily in the Unites States. It is involved in the research, development, production, and market ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/20 23:56
End of Day Share Price2019/09/20 00:00
Earnings2019/06/30
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.