OTCPK:LPSI.F

Stock Analysis Report

Executive Summary

Legend Power Systems Inc., together with its subsidiaries, operates as an electrical energy conservation company in Canada and the United States.

Risk Analysis

Earnings have declined by -12.54% per year over past 5 years

Shares are highly illiquid

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year

+ 2 more risks


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

How has Legend Power Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

LPSI.F

1.7%

US Electronic

1.5%

US Market


1 Year Return

n/a

LPSI.F

10.4%

US Electronic

20.1%

US Market

Return vs Industry: Insufficient data to determine how LPSI.F performed against the US Electronic industry.

Return vs Market: Insufficient data to determine how LPSI.F performed against the US Market.


Shareholder returns

LPSI.FIndustryMarket
7 Day0%1.7%1.5%
30 Day70.0%-4.7%1.4%
90 Dayn/a2.4%8.7%
1 Yearn/a11.5%10.4%22.7%20.1%
3 Yearn/a37.4%33.6%50.1%40.5%
5 Year-57.7%-57.7%70.5%62.1%73.1%54.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Legend Power Systems undervalued compared to its fair value and its price relative to the market?

3.6x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: LPSI.F is overvalued based on its PB Ratio (3.6x) compared to the US Electronic industry average (1.9x).


Next Steps

Future Growth

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

21.4%

Forecasted Tech 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 Legend Power Systems 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

Past Performance

How has Legend Power Systems performed over the past 5 years?

-12.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LPSI.F is currently unprofitable.

Growing Profit Margin: LPSI.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LPSI.F is unprofitable, and losses have increased over the past 5 years at a rate of -12.5% per year.

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

Earnings vs Industry: LPSI.F is unprofitable, making it difficult to compare its past year earnings growth to the Electronic industry (14.6%).


Return on Equity

High ROE: LPSI.F has a negative Return on Equity (-78.24%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Legend Power Systems's financial position?


Financial Position Analysis

Short Term Liabilities: LPSI.F's short term assets (CA$8.6M) exceed its short term liabilities (CA$692.3K).

Long Term Liabilities: LPSI.F's short term assets (CA$8.6M) exceed its long term liabilities (CA$245.4K).


Debt to Equity History and Analysis

Debt Level: LPSI.F is debt free.

Reducing Debt: LPSI.F had no debt 5 years ago.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if LPSI.F's debt is covered by short term assets.


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: LPSI.F has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: LPSI.F has sufficient cash runway for 1.2 years if free cash flow continues to reduce at historical rates of -15.4% each year.


Next Steps

Dividend

What is Legend Power Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate LPSI.F's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if LPSI.F's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if LPSI.F'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 LPSI.F'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?

6.6yrs

Average board tenure


CEO

Randy Buchamer (56yo)

CA$241,417

Compensation

Mr. Randall G. Buchamer also known as Randy, serves as Chief Executive Officer of Legend Power Systems Inc. Mr. Buchamer has been President of Legend Power Systems Inc. since November 2010. Mr. Buchamer se ...


CEO Compensation Analysis

Compensation vs Market: Randy's total compensation ($USD182.17K) is below average for companies of similar size in the US market ($USD521.92K).

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


Board Members

NamePositionTenureCompensationOwnership
Randall Buchamer
President0yrsCA$241.42k1.69% CA$357.0k
Michael Atkinson
Independent Director9.3yrsno data2.71% CA$573.1k
David Guebert
Independent Director4yrsno data0.46% CA$97.4k
Cosimo La Porta
Independent Chairman0.7yrsno data0.59% CA$124.5k
Jonathan Lansky
Director0yrsno data6.97% CA$1.5m

6.6yrs

Average Tenure

Experienced Board: LPSI.F's board of directors are considered experienced (6.6 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 diluted in the past year, with total shares outstanding growing by 9.4%.


Top Shareholders

Company Information

Legend Power Systems Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Legend Power Systems Inc.
  • Ticker: LPSI.F
  • Exchange: OTCPK
  • Founded: 1987
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: CA$28.009m
  • Listing Market Cap: CA$21.135m
  • Shares outstanding: 101.85m
  • Website: https://legendpower.com

Number of Employees


Location

  • Legend Power Systems Inc.
  • 1480 Frances Street
  • Vancouver
  • British Columbia
  • V5L 1Y9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LPSTSXV (TSX Venture Exchange)YesCommon SharesCACADJul 2008
XLE1DB (Deutsche Boerse AG)YesCommon SharesDEEURJul 2008
LPSI.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJul 2008

Biography

Legend Power Systems Inc., together with its subsidiaries, operates as an electrical energy conservation company in Canada and the United States. It assembles, markets, and sells SmartGATE, a patented device that enables dynamic power management of commercial or industrial Buildings. The company was founded in 1987 and is based in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 01:10
End of Day Share Price2020/02/06 00:00
Earnings2019/09/30
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.