Even though there was a drop of -63.55% in revenue, the company failed to succeed in outperforming the industry average of 13.00%. For the most recent quarter, the net income has dropped by -194.39%. This weakness in their income has affected them and thus decreased their earnings to -$8.97 M. The -23.72% yoy growth of NVCN’s revenue has gone down that of the industry average by -25.68%. For the past 12 months, Neovasc Inc. revenue has gone up by 1.96%. The sustained growth in their revenue has helped boost their earnings per share.
They have recorded a 80.53% growing earnings per share earnings.
Comparing them to other companies in the industry and the overall Healthcare sector, the industry average is 15.63 while 15.96 is of the sector.
In addition to their unfavorable P/E ratio, Neovasc Inc. has maintained a gross margin of 30.83. This shows whether the company has what it takes to effectively turn the revenue into profit.
The company’s ROA is -7.78 when compared to 1.32 for the stocks operating in the same industry. This can be attributed to the strength recorded in the net income produced by total assets. Comparing it to other companies in the sector, Neovasc Inc. ROE is above 15.96 that of both the sector average.
The operating profit margin for Neovasc Inc. (NVCN) is -878.20%, a figure which is considered to be weak. It has gone -1.04 from the -394.32 over the past 5 years. In addition to this, their operating margin is -877.16 lower than the industry average.
The net profit margin which stood at -258.86 on average in the past 5 years has jumped to -59.52 in the last 12 months. Added to that, this ratio has missed the industry net margin that stands at -2.23.
Still some above discussed indicators of the $11.24M company show strength while others show weakness. There is little evidence at the moment to justify the expectation of the NVCN shares to either perform positively or negatively when compared to other stocks. The primary strengths of Neovasc Inc. can be witnessed in its increased revenue, growing earnings per share, higher return on equity, increased operating cash and high net margin. Subsequently, financial analysis have also identified some weak areas that includes high debt, relatively high P/E ratio, lower return on assets and low net margin.