One-glance verdict
Not enough data
Fair value unavailable
Not enough cash-flow history to value this one with our method.
Fundamentals snapshot
Ballard Power Systems Inc.
BLDP · NGM · Industrials · Electrical Equipment & Parts
Current price
$1.59
52-week range
$1.43 - $6.57
Market cap
$558.23M
Balance sheet
Healthy
-41.88x Concerning
Net cash $485.46M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
1 Risk
1 rewards · 1 risks
- Reward Revenue grew 42.5% last year.
- Risk Return on equity was -12.9% last year — the company lost money on shareholders' equity.
What this company does
Ballard Power Systems Inc.
Ballard Power Systems sells special battery-like devices called fuel cells that create electricity using hydrogen, mainly for heavy vehicles like buses and trucks. The money they make comes from selling these fuel cells and providing related services, which is important because it shows how they are growing their business by getting paid for their technology.
How the company got here
Ballard Power Systems was founded in 1979 by Geoffrey Ballard, Keith Prater, and Paul Howard, initially focusing on research and development for high-energy lithium batteries. [3] A significant shift occurred in 1989 when the company committed to developing proton exchange membrane (PEM) fuel cell technology. [3] Ballard went public in 1993, listing on the Toronto Stock Exchange, and later on NASDAQ in 1995. [3] The company established a fuel cell manufacturing facility in 2000. [3] In recent years, Ballard has strategically shifted its focus from smaller pilot projects to securing high-volume orders in specific heavy-duty mobility sectors, aiming to validate its technology at a commercial scale. [2] This transition involves moving from one-off projects to becoming an integral supplier for major vehicle original equipment manufacturers (OEMs). [2]
What it actually does
Ballard Power Systems designs, develops, manufactures, sells, and services proton exchange membrane (PEM) fuel cell products. [13, 15, 16] A fuel cell is an electrochemical device that combines hydrogen fuel with oxygen from the air to produce electricity, offering a clean energy solution. [13, 15] Ballard's technology is used in various applications, including powering buses, trucks, trains, and marine vessels, as well as for stationary power generation. [12, 15, 16] The company also provides services such as technology solutions, after-sales support, and training. [15, 16]
Heavy-Duty Mobility
Ballard's Heavy-Duty Mobility segment focuses on providing power solutions for various transportation sectors. [1] This includes fuel cell products for buses, trucks, trains (rail), and marine vessels. [1] The company has secured significant agreements in this area, such as supplying fuel cell engines for buses and powering locomotives and container vessels. [2] This segment is a primary revenue driver for Ballard, with bus-related revenue being a substantial portion of its income. [7]
Stationary Power
The Stationary Power segment offers fuel cell modules, stacks, and related products and services for power generation. [1] This includes applications like backup power for data centers, demonstrating the technology's use in critical infrastructure. [2] Ballard has seen significant year-over-year growth in its stationary power revenue, indicating increasing adoption in this market. [5]
Emerging and Other Markets
The Emerging and Other Markets segment encompasses a range of applications beyond traditional heavy-duty mobility and stationary power. [1] This includes solutions for material handling equipment, off-road vehicles, and other specialized applications. [1, 15] While a smaller slice of the overall business, this segment represents opportunities for Ballard to expand its reach into new and developing markets. [1]
What management is betting on now
Ballard's management is currently focused on a strategic realignment to drive disciplined growth and improve financial performance. [4, 8] A key priority is achieving positive cash flow, with a target for Adjusted EBITDA profitability by the end of 2027. [4, 9] This involves enhancing cost discipline, prioritizing markets, improving pricing, and optimizing working capital. [4] The company is also focusing on operational efficiency, aiming to reduce annualized operating costs. [4] Ballard is strategically shifting from aspirational growth to commercially validated execution, emphasizing total cost of ownership, scalability, and measurable returns for customers. [4] The company is also exploring an "Energy-as-a-Service" model, which complements its existing equipment sales and services. [9]
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value — vs current price $1.59
We couldn't calculate a fair value right now.
Is it drowning in debt?
Healthy
Net cash $485.5M - more cash than debt. Interest coverage -41.9x.
Net debt
$-485.46M
Interest coverage
-41.88x
Ballard Power Systems Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 2 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
BLDP
BASELINE
Ballard Power Systems Inc.
Total debt $19.69M Interest coverage -41.88x This is the baseline the peer rows are being compared against.
Total debt $1.04B Interest coverage -10.43x Neither company has much profit cushion over interest right now.
Total debt $166.23M Interest coverage -11.68x Neither company has much profit cushion over interest right now.
Total debt $2.79B Interest coverage 1.35x This peer still has a real interest-payment cushion, while BLDP does not.
Total debt $8.29B Interest coverage 11.75x This peer still has a real interest-payment cushion, while BLDP does not.
What you should know
The case for and against BLDP
1 Reward
1 Risk
Rewards
-
Revenue grew 42.5% last year.
Risks
-
Return on equity was -12.9% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
-14.85x
P/B
0.86x
P/S
5.26x
EV/EBITDA
0.12x
PEG ratio
3.52x
Profitability
How much profit each dollar creates
Gross margin
16.4%
Operating margin
-62.0%
Net margin
-72.8%
ROE
-12.9%
ROA
-4.5%
Health
Liquidity and balance-sheet strength
Debt / equity
0.04x
Current ratio
11.19x
Quick ratio
10.32x
Total debt
$19.69M
Total cash
$505.15M
Growth
How the business has been compounding
Revenue TTM
$106.16M
Revenue 5Y CAGR
6.7%
EPS TTM
-0.26
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$-56.17M
Free CF TTM
$-66.35M
FCF margin
-62.5%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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