On the stock market since 2000, it operates in the world of media and communication. It has 1,025 employees. Now — the numbers.
The company is still in the product-building phase: its spending runs above its sales. That only changes once the product starts selling at scale.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
An average decline of 12% a year over the last 4 years — the most striking risk in this picture. Red columns mark years that ended in a loss.
Before the clock runs out, either sales must climb sharply or new money must come in. This is the most critical line in the whole picture.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit indicators sit around the sector average.
Clearly below the class average.
The price isn’t cheap next to earnings — that’s why this grade sits in the middle.
Clearly above the class average — a step short of the very top.
The stock has been running stronger than the market lately.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
The stock trades 41% below its peak. The market has trimmed its expectations for the company.
Over the last 3 years, sales grew about 11% a year on average.
Sales run at $447.6M a year. A small number, but proof the product has real buyers.
It pays out $0.20 per share each year — regular cash for whoever holds the stock.
A loss of $78.4M against $447.6M in annual sales.
At the current pace of spending, the cash lasts less than a year. After that, the company needs to find new money.
On our five-subject report card, EVC sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: EVC is a high-risk stock — not yet profitable, and its future rides on its product catching on.