NasdaqCM:WRTC

Stock Analysis Report

Executive Summary

Wrap Technologies, Inc., a security technology company, develops security products for law enforcement and security personnel.

Snowflake

Fundamentals

Flawless balance sheet with limited growth.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

3.5%

WRTC

2.7%

US Electronic

0.5%

US Market


1 Year Return

-26.4%

WRTC

14.5%

US Electronic

6.8%

US Market

Return vs Industry: WRTC underperformed the US Electronic industry which returned 14.5% over the past year.

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


Shareholder returns

WRTCIndustryMarket
7 Day3.5%2.7%0.5%
30 Day-15.3%2.7%-0.8%
90 Day-29.2%3.0%-0.9%
1 Year-26.4%-26.4%15.7%14.5%9.2%6.8%
3 Yearn/a54.5%50.2%45.6%36.2%
5 Yearn/a87.5%78.5%63.2%45.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

4.72x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: WRTC is overvalued based on its PB Ratio (4.7x) compared to the US Electronic industry average (2x).


Next Steps

Future Growth

How is Wrap Technologies forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

78.4%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if WRTC's forecast earnings growth is above the savings rate (2.7%).

Earnings vs Market: Insufficient data to determine if WRTC's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WRTC's revenue (78.4% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: WRTC's revenue (78.4% 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 WRTC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Wrap Technologies performed over the past 5 years?

-230.1%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: WRTC is unprofitable, and there is insufficient past data to establish if their past 5-year earnings growth rate was positive.

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

Earnings vs Industry: WRTC is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (59.6%).


Return on Equity

High ROE: WRTC has a negative Return on Equity (-24.5%), as it is currently unprofitable.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Wrap Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: WRTC's short term assets ($22.9M) exceeds its short term liabilities ($751.4K)

Long Term Liabilities: WRTC's short term assets (22.9M) exceeds its long term liabilities (215.8K)


Debt to Equity History and Analysis

Debt Level: WRTC is debt free.

Reducing Debt: WRTC had no debt 5 years ago.


Balance Sheet

Inventory Level: WRTC has a low level of unsold assets or inventory.

Debt Coverage by Assets: WRTC's debt is not covered by short term assets (assets are -4.1164157999182E+17x 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: WRTC has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: WRTC has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -104% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Growing Dividend: Insufficient data to determine if WRTC'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 WRTC'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 Wrap Technologies's salary, the management and board of directors tenure and is there insider trading?

0.9yrs

Average management tenure


CEO

Dave Norris (53yo)

0.8yrs

Tenure

US$388,238

Compensation

Mr. David G. Norris, also known as Dave, has been the Director of Wrap Technologies, Inc. January 9, 2018 and serves as its Chief Executve Officer and served as its President until March 2019. He served as ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Dave's total compensation is reasonable compared to companies of similar size in the US market.

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


Management Age and Tenure

0.9yrs

Average Tenure

55yo

Average Age

Experienced Management: WRTC's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Age and Tenure

1.8yrs

Average Tenure

60yo

Average Age

Experienced Board: WRTC's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: WRTC insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$20,84517 Sep 19
Scot Cohen
EntityIndividual
Role
Chairman of the Board
Executive Chairman
Shares5,000
Max PriceUS$4.17
BuyUS$13,09905 Sep 19
Patrick Kinsella
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares3,164
Max PriceUS$4.14
BuyUS$103,05030 Aug 19
Patrick Kinsella
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares26,836
Max PriceUS$3.84
BuyUS$84,50013 Dec 18
Scot Cohen
EntityIndividual
Role
Chairman of the Board
Executive Chairman
Shares25,000
Max PriceUS$3.38
BuyUS$1,000,00201 Nov 18
Elwood Norris
EntityIndividual
Role
Chief Technology Officer
Chief Technology Officer
Shares333,334
Max PriceUS$3.00

Ownership Breakdown


Management Team

  • Jim Barnes (65yo)

    CFO, Corporate Secretary & Treasurer

    • Tenure: 0yrs
    • Compensation: US$194.06k
  • Woody Norris (81yo)

    Chief Technology Officer

    • Tenure: 0yrs
  • Dave Norris (53yo)

    CEO & Director

    • Tenure: 0.8yrs
    • Compensation: US$388.24k
  • Scot Cohen (50yo)

    Executive Chairman

    • Tenure: 2.3yrs
    • Compensation: US$194.06k
  • Judah Meiteles

    Director of Marketing

    • Tenure: 1.8yrs
  • Mike Rothans (57yo)

    Chief Operating Officer

    • Tenure: 0.9yrs
  • Don De Lucca

    Chief Strategy Officer

    • Tenure: 0yrs
  • Tom Smith (51yo)

    President

    • Tenure: 0.6yrs

Board Members

  • Wayne Walker (60yo)

    Independent Director

    • Tenure: 0.9yrs
    • Compensation: US$52.61k
  • Dave Norris (53yo)

    CEO & Director

    • Tenure: 0.8yrs
    • Compensation: US$388.24k
  • Scot Cohen (50yo)

    Executive Chairman

    • Tenure: 2.3yrs
    • Compensation: US$194.06k
  • Patrick Kinsella (65yo)

    Independent Director

    • Tenure: 0.9yrs
    • Compensation: US$52.61k
  • Michael Parris (60yo)

    Independent Director

    • Tenure: 1.9yrs
    • Compensation: US$65.32k

Company Information

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


Key Information

  • Name: Wrap Technologies, Inc.
  • Ticker: WRTC
  • Exchange: NasdaqCM
  • Founded: 2016
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: US$106.467m
  • Shares outstanding: 29.66m
  • Website: https://www.wraptechnologies.com

Number of Employees


Location

  • Wrap Technologies, Inc.
  • 4620 Arville Street
  • Suite E
  • Las Vegas
  • Nevada
  • 89103
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WRTCNasdaqCM (Nasdaq Capital Market)YesCommon StockUSUSDMay 2018

Biography

Wrap Technologies, Inc., a security technology company, develops security products for law enforcement and security personnel. It develops BolaWrap, a hand-held remote restraint device to control an indivi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 00:59
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.