Disclaimer

Important Note: Please refer to each individual report for details and specific disclaimers. The disclaimer information at the bottom of each report supersedes the general information provided on this page.

Beta Version - Disclaimer

This Fair Value model is currently in beta version. The valuations and calculations are experimental and should not be used as the sole basis for investment decisions.

The information and materials provided on this website and in any associated reports, publications, or communications are for informational purposes only and do not constitute investment, financial, legal, or tax advice.

All data and figures are obtained from third-party sources or our own collection and analysis, believed to be reliable; however, no warranty, representation, or guarantee is made as to their accuracy, completeness, or timeliness. Fundamental Research Corp. (or its affiliates, authors, and contributors) accepts no responsibility or liability for any errors, omissions, or inaccuracies in the data or for any investment or financial decisions made based on such information.

Past performance is not indicative of future results. Investors should conduct their own due diligence and consult qualified financial professionals before making any investment decisions. By accessing or using this information, you agree that Fundamental Research Corp. and its affiliates shall not be liable for any direct, indirect, incidental, consequential, or other damages arising from the use of, or reliance on, the information provided.

Fundamental Research Corp. Equity Rating Scale

(Ratings are not a recommendation to acquire, dispose of, or take no action regarding a security; the definition of our ratings are explained below)

  • Buy– Fair value is 12% above the current market price; or risk and reward is favorable
  • Hold– Fair value is between 5% to 12% above the current market price
  • Sell– Fair value is 5% above, or less, than the current market value; or risk and reward is unfavorable
  • Suspended or Rating N/A– Coverage and ratings suspended until more information can be obtained from the company regarding recent events.

Fundamental Research Corp. – Risk Rating Scale

  1. (Low Risk) - The company operates in an industry where it has a strong position (for example a monopoly, high market share etc.) or operates in a regulated industry. The future outlook is stable or positive for the industry. The company generates positive free cash flow and has a history of profitability. The capital structure is conservative with little or no debt.
  2. (Below Average Risk) - The company operates in an industry where the fundamentals and outlook are positive. The industry and company are relatively less sensitive to systematic risk than companies with a Risk Rating of 3. The company has a history of profitability and has demonstrated its ability to generate positive free cash flows (though current free cash flow may be negative due to capital investment). The company's capital structure is conservative with little to modest use of debt.
  3. (Average Risk) - The company operates in an industry that has average sensitivity to systematic risk. The industry may be cyclical. Profits and cash flow are sensitive to economic factors although the company has demonstrated its ability to generate positive earnings and cash flow. Debt use is in line with industry averages, and coverage ratios are sufficient.
  4. (Speculative) - The company has little or no history of generating earnings or cash flow. Debt use is higher. These companies may be in start-up mode or in a turnaround situation. These companies should be considered speculative.
  5. (Highly Speculative) - The company has no history of generating earnings or cash flow. They may operate in a new industry with new, and unproven products. Products may be at the development stage, testing, or seeking regulatory approval. These companies may run into liquidity issues and may rely on external funding. These stocks are considered highly speculative.

Definition of FRC's Fair Value Estimate

Our fair value estimate is the theoretical value of the company's equity using widely accepted methods of valuation such as discounted cash flow or comparables. IT IS NOT A TARGET PRICE or PREDICTION OF THE FUTURE STOCK PRICE.

Disclaimers and Disclosure

Analyst Certification:

The views expressed in this report accurately reflect the personal views of the analyst, and no part of their compensation was, is, or will be directly or indirectly related to the specific recommendation or views expressed.

Any "forward looking statements" are our best estimates and opinions based upon information that is publicly available and that we believe to be correct, but we have not independently verified with respect to truth or correctness. There is no guarantee that our forecasts will materialize. Actual results will likely vary. The analyst and Fundamental Research Corp.

Annual fees ranging from $15,000 to $45,000 have been paid to FRC by covered companies to commission reports and research coverage including update reports. This fee creates a potential conflict of interest which readers should consider. FRC takes steps to mitigate conflicts including setting fees in advance and utilizing analysts who must abide by CFA Institute Code of Ethics and Standards of Professional Conduct. Additionally, analysts may not trade in any security under coverage. Our full editorial control of all research, timing of release of the reports, and release of liability for negative reports are protected contractually. The issuer has agreed to a minimum coverage term and coverage cannot be unilaterally terminated. Distribution procedure: our reports are distributed first to our web-based subscribers on the date shown on this report then made available to delayed access users through various other channels for a limited time.

This report contains "forward looking" statements. Forward-looking statements regarding the Company and/or stock's performance inherently involve risks and uncertainties that could cause actual results to differ from such forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, continued acceptance of the Company's products/services in the marketplace; acceptance in the marketplace of the Company's new product lines/services; competitive factors; new product/service introductions by others; technological changes; dependence on suppliers; systematic market risks and other risks discussed in the Company's periodic report filings, including interim reports, annual reports, and annual information forms filed with the various securities regulators. By making these forward-looking statements, Fundamental Research Corp. and the analyst/author of this report undertakes no obligation to update these statements for revisions or changes after the date of this report. A report initiating coverage will most often be updated quarterly while a report issuing a rating may have no further or less frequent updates because the subject company is likely to be in earlier stages where nothing material may occur quarter to quarter.

The information contained in this report is intended to be viewed only in jurisdictions where it may be legally viewed and is not intended for use by any person or entity in any jurisdiction where such use would be contrary to local regulations or which would require any registration requirement within such jurisdiction.