OTCPK:DIGP

Stock Analysis Report

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Executive Summary

DigiPath, Inc., together with its subsidiaries, provides cannabis and hemp lab testing services in the United States. More Details


Snowflake Analysis

Weak fundamentals or lack of information.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-11.1%

DIGP

1.3%

US Healthcare

1.3%

US Market


1 Year Return

-81.0%

DIGP

21.2%

US Healthcare

15.8%

US Market

Return vs Industry: DIGP underperformed the US Healthcare industry which returned 21% over the past year.

Return vs Market: DIGP underperformed the US Market which returned 13.8% over the past year.


Shareholder returns

DIGPIndustryMarket
7 Day-11.1%1.3%1.3%
30 Day-20.0%-4.3%-4.1%
90 Day-49.9%-0.7%8.4%
1 Year-81.0%-81.0%22.8%21.2%18.4%15.8%
3 Year-88.6%-88.6%23.8%18.5%38.2%29.0%
5 Year-91.3%-91.3%50.2%39.6%84.9%64.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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


In this section, we usually try to help investors determine whether DigiPath is trading at an attractive price based on the cash flow it is expected to produce in the future. But as DigiPath 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

  • Take a look at our analysis of DIGP'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.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don't know where to start, we recommend reading through DigiPath regulatory filings here.
  • Explore potentially undervalued companies in the Healthcare industry.

Future Growth

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

13.8%

Forecasted Healthcare 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 DigiPath 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 DIGP’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 theOTC Markets Website. If you are looking for more of a qualitative research into the company, you can access DigiPath's filings and announcementshere.
  • Explore growth companies in the Healthcare industry.

Past Performance

How has DigiPath performed over the past 5 years?

22.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DIGP is currently unprofitable.

Growing Profit Margin: DIGP is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DIGP is unprofitable, but has reduced losses over the past 5 years at a rate of 22.5% per year.

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

Earnings vs Industry: DIGP is unprofitable, making it difficult to compare its past year earnings growth to the Healthcare industry (31.1%).


Return on Equity

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


Next Steps

Financial Health

How is DigiPath's financial position?


Financial Position Analysis

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

Long Term Liabilities: DIGP 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: DIGP has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: DIGP'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: DIGP has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: DIGP has less than a year of cash runway if free cash flow continues to grow at historical rates of 35.1% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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

3.5yrs

Average management tenure


CEO

DigiPath has no CEO, or we have no data on them.


Leadership Team

NamePositionTenureCompensationOwnership
Todd Peterson
CFO, Principal Accounting Officer5.25yrsUS$159.30k3.78%
$ 43.5k
Philippe Henry
Chief Operating Officer1yrno datano data
Drazen Jukic
Executive Officerno datano datano data
Bo Deitl
Consultant3.5yrsno datano data

3.5yrs

Average Tenure

Experienced Management: DIGP's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Bruce Raben
Independent Chairman of the Board0.67yrUS$92.93k0.35%
$ 4.0k
Michael Dugan
Member of Medical Advisory Boardno datano datano data
Richard Cote
Member of Medical Advisory Boardno datano datano data
Steven Hinrichs
Member of Medical Advisory Boardno datano datano data
Ossama Tawfik
Member of Medical Advisory Boardno datano datano data
Alexander Judkins
Member of Medical Advisory Boardno datano datano data
Toby Cornish
Member of Medical Advisory Boardno datano datano data
Edmond Defrank
Director0.67yrno datano data
John Abroon
Member of Advisory Board3.33yrsno datano data
Dennis Hartmann
Independent Director1yrno datano data

0.8yrs

Average Tenure

60yo

Average Age

Experienced Board: DIGP's board of directors are not considered experienced ( 0.8 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 diluted in the past year, with total shares outstanding growing by 19.6%.


Top Shareholders

Company Information

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


Key Information

  • Name: DigiPath, Inc.
  • Ticker: DIGP
  • Exchange: OTCPK
  • Founded: 2010
  • Industry: Health Care Services
  • Sector: Healthcare
  • Market Cap: US$1.152m
  • Shares outstanding: 57.61m
  • Website: https://www.digipath.com

Number of Employees


Location

  • DigiPath, Inc.
  • 6450 Cameron Street
  • Suite 113
  • Las Vegas
  • Nevada
  • 89118
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DIGPOTCPK (Pink Sheets LLC)YesCommon StockUSUSDDec 2011

Biography

DigiPath, Inc., together with its subsidiaries, provides cannabis and hemp lab testing services in the United States. The company offers cannabis lab testing services in Las Vegas to Nevada licensed medica ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/29 00:03
End of Day Share Price2020/09/28 00:00
Earnings2020/06/30
Annual Earnings2019/09/30


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.