SRx Health Solutions Inc. Fundamental Analysis
SRx Health Solutions Inc. (SRXH) shows weak financial fundamentals with a PE ratio of -0.69, profit margin of 1.69%, and ROE of 8.75%. The company generates $-0.0B in annual revenue with weak year-over-year growth of -81.32%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -41.3/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze SRXH's fundamental strength across five key dimensions:
Efficiency Score
WeakSRXH struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSRXH trades at attractive valuation levels.
Growth Score
WeakSRXH faces weak or negative growth trends.
Financial Health Score
ModerateSRXH shows balanced financial health with some risks.
Profitability Score
WeakSRXH struggles to sustain strong margins.
Key Financial Metrics
Is SRXH Expensive or Cheap?
P/E Ratio
SRXH trades at -0.69 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SRXH's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values SRx Health Solutions Inc. at 1.95 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -0.04 times EBITDA. This is generally considered low.
How Well Does SRXH Make Money?
Net Profit Margin
For every $100 in sales, SRx Health Solutions Inc. keeps $1.69 as profit after all expenses.
Operating Margin
Core operations generate 6.89 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.75 in profit for every $100 of shareholder equity.
ROA
SRx Health Solutions Inc. generates $-1.19 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
SRx Health Solutions Inc. generates limited operating cash flow of $461.80K, signaling weaker underlying cash strength.
Free Cash Flow
SRx Health Solutions Inc. generates weak or negative free cash flow of $461.80K, restricting financial flexibility.
FCF Per Share
Each share generates $0.01 in free cash annually.
FCF Yield
SRXH converts 99.08% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-0.69
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.006
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.95
vs 25 benchmark
P/S Ratio
Price to sales ratio
-0.13
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.24
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.72
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
8.75
vs 25 benchmark
ROA
Return on assets percentage
-1.19
vs 25 benchmark
ROCE
Return on capital employed
-0.11
vs 25 benchmark
How SRXH Stacks Against Its Sector Peers
| Metric | SRXH Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -0.69 | 29.20 | Better (Cheaper) |
| ROE | 875.03% | 729.00% | Excellent |
| Net Margin | 168.61% | -52856.00% (disorted) | Strong |
| Debt/Equity | 1.24 | 0.49 | Weak (High Leverage) |
| Current Ratio | 1.72 | 4.43 | Neutral |
| ROA | -118.56% | -20711.00% (disorted) | Weak |
SRXH outperforms its industry in 3 out of 6 key metrics, particularly excelling in ROE, but lagging in Debt/Equity.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews SRx Health Solutions Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-99.86%
Industry Style: Defensive, Growth, Innovation
DecliningEPS CAGR
99.33%
Industry Style: Defensive, Growth, Innovation
High GrowthFCF CAGR
98.72%
Industry Style: Defensive, Growth, Innovation
High Growth