Roots Corp Valuation
| ROOT Stock | CAD 3.00 0.01 0.33% |
At this time, the company appears to be fairly valued. Roots Corp holds a recent Real Value of C$3.11 per share. The prevailing price of the company is C$3.0. Our model determines the value of Roots Corp from analyzing the company fundamentals such as Shares Outstanding of 39.21 M, operating margin of 0.07 %, and Return On Equity of -0.2 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Roots Corp's valuation include:
Price Book 0.8201 | Enterprise Value | Enterprise Value Ebitda 5.0062 | Price Sales 0.4353 | Forward PE 8.3612 |
Fairly Valued
Today
Please note that Roots Corp's price fluctuation is slightly risky at this time. Calculation of the real value of Roots Corp is based on 3 months time horizon. Increasing Roots Corp's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Roots Corp is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Roots Stock. However, Roots Corp's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 3.0 | Real 3.11 | Hype 3.0 |
The intrinsic value of Roots Corp's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Roots Corp's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Roots Corp helps investors to forecast how Roots stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Roots Corp more accurately as focusing exclusively on Roots Corp's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Roots Corp's intrinsic value based on its ongoing forecasts of Roots Corp's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Roots Corp's closest peers.
Roots Corp Cash |
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Roots Corp Total Value Analysis
Roots Corp is at this time estimated to have takeover price of 232.82 M with market capitalization of 118.84 M, debt of 119.88 M, and cash on hands of 495 K. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Roots Corp fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
232.82 M | 118.84 M | 119.88 M | 495 K |
Roots Corp Investor Information
About 17.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 0.82. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Roots Corp recorded a loss per share of 0.8. The entity had not issued any dividends in recent years. The firm had 1:18 split on the 15th of August 2022. Based on the analysis of Roots Corp's profitability, liquidity, and operating efficiency, Roots Corp may be sliding down financialy. It has an above-average risk of going through some form of financial straits next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 37.3 M | 37.2 M |
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Roots Corp Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Roots Corp has an asset utilization ratio of 79.91 percent. This suggests that the Company is making C$0.8 for each dollar of assets. An increasing asset utilization means that Roots Corp is more efficient with each dollar of assets it utilizes for everyday operations.Roots Corp Profitability Analysis
Considering Roots Corp's profitability and operating efficiency indicators, Roots Corp may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in March. Profitability indicators assess Roots Corp's ability to earn profits and add value for shareholders.Net Loss | First Reported 2016-04-30 | Previous Quarter -4.4 M | Current Value 2.3 M | Quarterly Volatility 12 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.44 | 0.54 |
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For Roots Corp profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Roots Corp to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Roots Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Roots Corp's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Roots Corp over time as well as its relative position and ranking within its peers.
Roots Corp Earnings per Share Projection vs Actual
By analyzing Roots Corp's earnings estimates, investors can diagnose different trends across Roots Corp's analyst sentiment over time as well as compare current EPS estimates against different timeframes. Please be aware that the consensus of earnings estimates for Roots Corp is based on EPS before non-recurring items and includes expenses related to employee stock options.Roots Corp Ownership Allocation
Roots Corp owns a total of 39.21 Million outstanding shares. Over half of Roots Corp's outstanding shares are owned by third-party entities. These third-party entities are typically referred to as corporate investors that secure positions in a given instrument to benefit from reduced trade commissions. Consequently, these institutions are subject to different rules and regulations than regular investors in Roots Corp. Please watch out for any change in the institutional holdings of Roots Corp as this could mean something significant has changed or is about to change at the company. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Roots Corp Profitability Analysis
The company reported the revenue of 262.92 M. Net Loss for the year was (33.44 M) with profit before overhead, payroll, taxes, and interest of 166.78 M.About Roots Corp Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Roots Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Roots Corp based exclusively on its fundamental and basic technical indicators. By analyzing Roots Corp's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Roots Corp's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Roots Corp. We calculate exposure to Roots Corp's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Roots Corp's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 180.7 M | 163.4 M | |
| Pretax Profit Margin | (0.20) | (0.19) | |
| Operating Profit Margin | 0.05 | 0.04 | |
| Net Loss | (0.15) | (0.14) | |
| Gross Profit Margin | 0.54 | 0.44 |
Other Information on Investing in Roots Stock
Roots Corp financial ratios help investors to determine whether Roots Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Roots with respect to the benefits of owning Roots Corp security.