NasdaqCM:NVCN

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Neovasc Inc., a specialty medical device company, develops, manufactures, and markets medical devices for cardiovascular marketplace in Europe, the United States, and internationally. More Details


Snowflake Analysis

Limited growth with imperfect balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-2.7%

NVCN

-3.8%

US Medical Equipment

-2.4%

US Market


1 Year Return

-45.3%

NVCN

14.0%

US Medical Equipment

12.0%

US Market

Return vs Industry: NVCN underperformed the US Medical Equipment industry which returned 13.7% over the past year.

Return vs Market: NVCN underperformed the US Market which returned 10.9% over the past year.


Shareholder returns

NVCNIndustryMarket
7 Day-2.7%-3.8%-2.4%
30 Day0%-3.7%-6.5%
90 Day-8.9%11.0%8.4%
1 Year-45.3%-45.3%15.0%14.0%14.5%12.0%
3 Year-99.9%-99.9%66.4%62.1%34.8%25.8%
5 Year-100.0%-100.0%134.4%116.6%82.1%61.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


In this section, we usually try to help investors determine whether Neovasc is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Neovasc has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

Future Growth

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

3.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: NVCN's revenue (155.8% per year) is forecast to grow faster than the US market (9.9% per year).

High Growth Revenue: NVCN's revenue (155.8% 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 NVCN's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Neovasc performed over the past 5 years?

3.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NVCN is currently unprofitable.

Growing Profit Margin: NVCN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NVCN is unprofitable, but has reduced losses over the past 5 years at a rate of 3.2% per year.

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

Earnings vs Industry: NVCN is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (1.8%).


Return on Equity

High ROE: NVCN's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Neovasc's financial position?


Financial Position Analysis

Short Term Liabilities: NVCN has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: NVCN has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: NVCN has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: NVCN's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


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: NVCN has sufficient cash runway for 5 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: NVCN is forecast to have sufficient cash runway for 5 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

What is Neovasc current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

1.8yrs

Average management tenure


CEO

Fred Colen (67 yo)

2.67yrs

Tenure

US$1,545,230

Compensation

Mr. Fredericus A. Colen, also known as Fred, has been President and Chief Executive Officer at Neovasc Inc. since January 22, 2018 and has been its Director since June 4, 2019. Mr. Colen has contributed to ...


CEO Compensation Analysis

Compensation vs Market: Fred's total compensation ($USD1.55M) is above average for companies of similar size in the US market ($USD606.89K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Fredericus Colen
President2.67yrsUS$1.55m0.049%
$ 23.1k
Christopher Clark
CFO & Corporate Secretary13.42yrsUS$751.86k0.0012%
$ 560.7
William Little
Chief Operating Officer0.83yrUS$2.48mno data
John Panton
Chief Quality Officer0.33yrUS$399.56kno data

1.8yrs

Average Tenure

51.5yo

Average Age

Experienced Management: NVCN's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Fredericus Colen
President2.67yrsUS$1.55m0.049%
$ 23.1k
Paul Geyer
Independent Director19.83yrsUS$102.85k0.13%
$ 59.1k
Douglas Janzen
Independent Director15.25yrsUS$94.59k0.067%
$ 31.5k
Alexei Marko
Director17.25yrsUS$336.56kno data
Steven Rubin
Independent Chairman of the Board2.25yrsUS$102.85k0.00091%
$ 428.8
Norman Radow
Independent Director1yrUS$14.58k0.15%
$ 71.8k

8.8yrs

Average Tenure

58yo

Average Age

Experienced Board: NVCN's board of directors are considered experienced (8.8 years average tenure).


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 substantially diluted in the past year, with total shares outstanding growing by 202.7%.


Top Shareholders

Company Information

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


Key Information

  • Name: Neovasc Inc.
  • Ticker: NVCN
  • Exchange: NasdaqCM
  • Founded: 2000
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: CA$63.185m
  • Listing Market Cap: CA$47.117m
  • Shares outstanding: 22.65m
  • Website: https://www.neovasc.com

Number of Employees


Location

  • Neovasc Inc.
  • 13562 Maycrest Way
  • Suite 5138
  • Richmond
  • British Columbia
  • V6V 2J7
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NVCNTSX (The Toronto Stock Exchange)YesCommon SharesCACADMay 2001
G5Z3DB (Deutsche Boerse AG)YesCommon SharesDEEURMay 2001
NVCNNasdaqCM (Nasdaq Capital Market)YesCommon SharesUSUSDMay 2001

Biography

Neovasc Inc., a specialty medical device company, develops, manufactures, and markets medical devices for cardiovascular marketplace in Europe, the United States, and internationally. Its products include ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/26 05:56
End of Day Share Price2020/09/25 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.