Looking at some ROIC (Return on Invested Capital) numbers, TerraVest Industries Inc. (TSX:TVK)’s ROIC Quality Score is 7.743312. ROIC is a profitability ratio that measures the return that an investment generates for those providing capital. ROIC helps show how efficient a firm is at turning capital into profits. This formula is calculated by 5 year average Return on Invested Capital (ROIC) / Standard Deviation of the 5 year ROIC. The higher the ratio, the better as a higher score indicates a more stable return on invested capital.
The Current Ratio of TerraVest Industries Inc. (TSX:TVK) is 3.42. The Current Ratio is used by investors to determine whether a company can pay short term and long term debts. The current ratio looks at all the liquid and non-liquid assets compared to the company’s total current liabilities. A high current ratio indicates that the company might have trouble managing their working capital. A low current ratio (when the current liabilities are higher than the current assets) indicates that the company may have trouble paying their short term obligations.
The Gross Margin Score is calculated by looking at the Gross Margin and the overall stability of the company over the course of 8 years. The score is a number between one and one hundred (1 being best and 100 being the worst). The Gross Margin Score of TerraVest Industries Inc. (TSX:TVK) is 10.00000. The more stable the company, the lower the score. If a company is less stable over the course of time, they will have a higher score.
The MF Rank (aka the Magic Formula) is a formula that pinpoints a valuable company trading at a good price. The formula is calculated by looking at companies that have a high earnings yield as well as a high return on invested capital. The MF Rank of TerraVest Industries Inc. (TSX:TVK) is 2217. A company with a low rank is considered a good company to invest in. The Magic Formula was introduced in a book written by Joel Greenblatt, entitled, “The Little Book that Beats the Market”.
The Q.i. Value of TerraVest Industries Inc. (TSX:TVK) is 17.00000. The Q.i. Value is a helpful tool in determining if a company is undervalued or not. The Q.i. Value is calculated using the following ratios: EBITDA Yield, Earnings Yield, FCF Yield, and Liquidity. The lower the Q.i. value, the more undervalued the company is thought to be.
Turning to Free Cash Flow Growth (FCF Growth), this is the free cash flow of the current year minus the free cash flow from the previous year, divided by last year’s free cash flow. The FCF Growth of TerraVest Industries Inc. (TSX:TVK) is -1.909465. Free cash flow (FCF) is the cash produced by the company minus capital expenditure. This cash is what a company uses to meet its financial obligations, such as making payments on debt or to pay out dividends. The Free Cash Flow Score (FCF Score) is a helpful tool in calculating the free cash flow growth with free cash flow stability – this gives investors the overall quality of the free cash flow.
The Value Composite One (VC1) is a method that investors use to determine a company’s value. The VC1 of TerraVest Industries Inc. (TSX:TVK) is 26. A company with a value of 0 is thought to be an undervalued company, while a company with a value of 100 is considered an overvalued company.
The VC1 is calculated using the price to book value, price to sales, EBITDA to EV, price to cash flow, and price to earnings. Similarly, the Value Composite Two (VC2) is calculated with the same ratios, but adds the Shareholder Yield. The Value Composite Two of TerraVest Industries Inc. (TSX:TVK) is 17.
Stock volatility is a percentage that indicates whether a stock is a desirable purchase. Investors look at the Volatility 12m to determine if a company has a low volatility percentage or not over the course of a year. The Volatility 12m of TerraVest Industries Inc. (TSX:TVK) is 19.570200. This is calculated by taking weekly log normal returns and standard deviation of the share price over one year annualized.
The lower the number, a company is thought to have low volatility. The Volatility 3m is a similar percentage determined by the daily log normal returns and standard deviation of the share price over 3 months. The Volatility 3m of TerraVest Industries Inc. (TSX:TVK) is 18.855100. The Volatility 6m is the same, except measured over the course of six months. The Volatility 6m is 23.627000.
The ERP5 Rank is an investment tool that analysts use to discover undervalued companies. The ERP5 looks at the Price to Book ratio, Earnings Yield, ROIC and 5 year average ROIC. The ERP5 of TerraVest Industries Inc. (TSX:TVK) is 3610. The lower the ERP5 rank, the more undervalued a company is thought to be.
Some of the best financial predictions are formed by using a variety of financial tools. TerraVest Industries Inc. (TSX:TVK) has a Price to Book ratio of 2.448400. This ratio is calculated by dividing the current share price by the book value per share. Investors may use Price to Book to display how the market portrays the value of a stock. Checking in on some other ratios, the company has a Price to Cash Flow ratio of 18.233551, and a current Price to Earnings ratio of 10.346301. The P/E ratio is one of the most common ratios used for figuring out whether a company is overvalued or undervalued.