After drifting for most of 2009, shares of Ottawa based Enablence Technologies (TSXV:ENA) have taken off of late. The stock has moved from a low of $.225 on November 26 of 2009 to a high of .75 on April 16th.The Company, which manufactures fiber to home telecom equipment, has grown rapidly through acquisition. We break down the numbers.
1. Price to sales: 3.24 x Sales
As of January 31st, 2010 (Q3 2010) Enablence had 326.6 million shares
outstanding. The price as of April 26th, 2010 was $.66. This gives The Company a market capitalization of $215.6 million. Sales in the trailing four quarters totaled $66.44 million.
2. Cash to Market Cap: 2.72%
As of Q3 2010, Enablence’ reported cash and short term investments totaled $5.87 million. The Company’s market cap, as of April 26th, 2010 was $215.6 million.
3. Debt to market Cap: 2.11%
As of Q3 2010 The Company’s reported long term debt was $4.56 million
4. Trailing Three year growth rate: 1336%*
Enablence did not generate revenue in 2006 and negligible revenue in 2007. Therefore we have only included the Company’s growth between the fiscal years 2008 and 2009, when revenue grew from $3.15 million to $45.24 million.
5. Enterprise Value to Sales: 3.22
Enterprise Value as of Q3 2010 is $214.2 million, based on a
market cap of $215.6 million plus $4.56 million long term debt, minus cash
and short term investments of of $5.87 million. Sales for the trailing four quarters totaled $66.44 million.
All financial information about Enablence Technologies is gleaned from
their filings with the System for Electronic Document Analysis and
All calculations are based on The Company’s closing share price as of
close April 26th, 2010: $.66
Sales from trailing four quarters: $66.44 million
Cash and short term investments as of January 31s, 2010: $5.87 million
Shares outstanding: 326.6 million.