A&W FOOD SERVICES OF CANADA (AW.CA) Stock Fundamental Analysis

Canada • Toronto Stock Exchange • TSX:AW • CA0002251027

35.98 CAD
-0.56 (-1.53%)
Last: Feb 11, 2026, 07:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

4

We assign a fundamental rating of 4 out of 10 to AW. AW was compared to 19 industry peers in the Hotels, Restaurants & Leisure industry. While AW is still in line with the averages on profitability rating, there are concerns on its financial health. AW has a valuation in line with the averages, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

6

1. Profitability

1.1 Basic Checks

  • AW had positive earnings in the past year.
  • AW had a positive operating cash flow in the past year.
AW.CA Yearly Net Income VS EBIT VS OCF VS FCFAW.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2021 2022 2023 2024 20M 40M 60M

1.2 Ratios

  • AW has a Return On Assets of 2.27%. This is comparable to the rest of the industry: AW outperforms 52.63% of its industry peers.
  • With an excellent Return On Equity value of 13.07%, AW belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
  • The Return On Invested Capital of AW (4.96%) is comparable to the rest of the industry.
  • The Average Return On Invested Capital over the past 3 years for AW is significantly below the industry average of 8.63%.
  • The last Return On Invested Capital (4.96%) for AW is above the 3 year average (2.73%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 2.27%
ROE 13.07%
ROIC 4.96%
ROA(3y)2.52%
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.73%
ROIC(5y)N/A
AW.CA Yearly ROA, ROE, ROICAW.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2021 2022 2023 2024 0 -10 -20

1.3 Margins

  • With a decent Profit Margin value of 9.58%, AW is doing good in the industry, outperforming 63.16% of the companies in the same industry.
  • AW's Profit Margin has declined in the last couple of years.
  • AW has a Operating Margin of 30.63%. This is amongst the best in the industry. AW outperforms 84.21% of its industry peers.
  • In the last couple of years the Operating Margin of AW has grown nicely.
  • The Gross Margin of AW (98.04%) is better than 94.74% of its industry peers.
  • AW's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 30.63%
PM (TTM) 9.58%
GM 98.04%
OM growth 3Y3.59%
OM growth 5YN/A
PM growth 3Y-34.57%
PM growth 5YN/A
GM growth 3Y1.67%
GM growth 5YN/A
AW.CA Yearly Profit, Operating, Gross MarginsAW.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2021 2022 2023 2024 20 40 60 80

More info and screens

ROAROEROICOperating and Profit MarginShow most profitable peers

2

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AW is still creating some value.
  • Compared to 1 year ago, AW has about the same amount of shares outstanding.
  • Compared to 1 year ago, AW has a worse debt to assets ratio.
AW.CA Yearly Shares OutstandingAW.CA Yearly Shares OutstandingYearly Shares Outstanding 2021 2022 2023 2024 5M 10M 15M 20M
AW.CA Yearly Total Debt VS Total AssetsAW.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2021 2022 2023 2024 200M 400M 600M 800M 1B

2.2 Solvency

  • AW has an Altman-Z score of 0.75. This is a bad value and indicates that AW is not financially healthy and even has some risk of bankruptcy.
  • AW has a Altman-Z score (0.75) which is comparable to the rest of the industry.
  • The Debt to FCF ratio of AW is 25.25, which is on the high side as it means it would take AW, 25.25 years of fcf income to pay off all of its debts.
  • Looking at the Debt to FCF ratio, with a value of 25.25, AW is in line with its industry, outperforming 47.37% of the companies in the same industry.
  • AW has a Debt/Equity ratio of 4.02. This is a high value indicating a heavy dependency on external financing.
  • The Debt to Equity ratio of AW (4.02) is comparable to the rest of the industry.
Industry RankSector Rank
Debt/Equity 4.02
Debt/FCF 25.25
Altman-Z 0.75
ROIC/WACC1
WACC4.95%
AW.CA Yearly LT Debt VS Equity VS FCFAW.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2021 2022 2023 2024 0 200M -200M 400M 600M 800M

2.3 Liquidity

  • AW has a Current Ratio of 0.90. This is a bad value and indicates that AW is not financially healthy enough and could expect problems in meeting its short term obligations.
  • AW has a Current ratio (0.90) which is comparable to the rest of the industry.
  • A Quick Ratio of 0.84 indicates that AW may have some problems paying its short term obligations.
  • AW has a Quick ratio (0.84) which is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 0.9
Quick Ratio 0.84
AW.CA Yearly Current Assets VS Current LiabilitesAW.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2021 2022 2023 2024 20M 40M 60M 80M 100M

More info and screens

WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. Growth

3.1 Past

  • AW shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -50.72%.
  • Measured over the past years, AW shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -30.60% on average per year.
  • AW shows a decrease in Revenue. In the last year, the revenue decreased by -2.34%.
  • Measured over the past years, AW shows a small growth in Revenue. The Revenue has been growing by 6.06% on average per year.
EPS 1Y (TTM)-50.72%
EPS 3Y-30.6%
EPS 5YN/A
EPS Q2Q%178.52%
Revenue 1Y (TTM)-2.34%
Revenue growth 3Y6.06%
Revenue growth 5YN/A
Sales Q2Q%-6.31%

3.2 Future

  • The Earnings Per Share is expected to grow by 75.33% on average over the next years. This is a very strong growth
  • The Revenue is expected to grow by 3.14% on average over the next years.
EPS Next Y375.46%
EPS Next 2Y118.29%
EPS Next 3Y75.33%
EPS Next 5YN/A
Revenue Next Year1.8%
Revenue Next 2Y3.02%
Revenue Next 3Y3.14%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
AW.CA Yearly Revenue VS EstimatesAW.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2021 2022 2023 2024 2025 2026 2027 100M 200M 300M
AW.CA Yearly EPS VS EstimatesAW.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2025 2026 2027 0.5 1 1.5 2 2.5

More info and screens

Find the best growth stocksShow best growing peers

5

4. Valuation

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 30.75 indicates a quite expensive valuation of AW.
  • Compared to the rest of the industry, the Price/Earnings ratio of AW is on the same level as its industry peers.
  • Compared to an average S&P500 Price/Earnings ratio of 28.23, AW is valued at the same level.
  • A Price/Forward Earnings ratio of 15.25 indicates a correct valuation of AW.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of AW indicates a somewhat cheap valuation: AW is cheaper than 73.68% of the companies listed in the same industry.
  • AW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.01.
Industry RankSector Rank
PE 30.75
Fwd PE 15.25
AW.CA Price Earnings VS Forward Price EarningsAW.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as AW.
  • AW's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 24.13
EV/EBITDA 18.24
AW.CA Per share dataAW.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10 -10

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • AW has a very decent profitability rating, which may justify a higher PE ratio.
  • AW's earnings are expected to grow with 75.33% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.08
PEG (5Y)N/A
EPS Next 2Y118.29%
EPS Next 3Y75.33%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

4

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 5.15%, AW is a good candidate for dividend investing.
  • AW's Dividend Yield is rather good when compared to the industry average which is at 2.38. AW pays more dividend than 84.21% of the companies in the same industry.
  • AW's Dividend Yield is rather good when compared to the S&P500 average which is at 1.79.
Industry RankSector Rank
Dividend Yield 5.15%

5.2 History

  • AW does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
AW.CA Yearly Dividends per shareAW.CA Yearly Dividends per shareYearly Dividends per share 2024 2025 0.5 1 1.5

5.3 Sustainability

  • AW pays out 122.53% of its income as dividend. This is not a sustainable payout ratio.
DP122.53%
EPS Next 2Y118.29%
EPS Next 3Y75.33%
AW.CA Yearly Income VS Free CF VS DividendAW.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2021 2022 2023 2024 10M 20M 30M 40M 50M
AW.CA Dividend Payout.AW.CA Dividend Payout, showing the Payout Ratio.AW.CA Dividend Payout.PayoutRetained Earnings

More info and screens

Find the best dividend stocksShow peers with best dividend

A&W FOOD SERVICES OF CANADA

TSX:AW (2/11/2026, 7:00:00 PM)

35.98

-0.56 (-1.53%)

Chartmill FA Rating
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)10-17
Earnings (Next)03-03
Inst Owners8.35%
Inst Owner ChangeN/A
Ins Owners37.71%
Ins Owner ChangeN/A
Market Cap863.52M
Revenue(TTM)294.31M
Net Income(TTM)28.19M
Analysts42.22
Price Target42.84 (19.07%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 5.15%
Yearly Dividend1.18
Dividend Growth(5Y)N/A
DP122.53%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.09%
Min EPS beat(2)-9.61%
Max EPS beat(2)27.79%
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.47%
Min Revenue beat(2)-2.7%
Max Revenue beat(2)-2.23%
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
Industry RankSector Rank
PE 30.75
Fwd PE 15.25
P/S 2.93
P/FCF 24.13
P/OCF 22.34
P/B 4
P/tB N/A
EV/EBITDA 18.24
EPS(TTM)1.17
EY3.25%
EPS(NY)2.36
Fwd EY6.56%
FCF(TTM)1.49
FCFY4.14%
OCF(TTM)1.61
OCFY4.48%
SpS12.26
BVpS8.99
TBVpS-11.59
PEG (NY)0.08
PEG (5Y)N/A
Graham Number15.38
Profitability
Industry RankSector Rank
ROA 2.27%
ROE 13.07%
ROCE 7.99%
ROIC 4.96%
ROICexc 4.99%
ROICexgc 8.92%
OM 30.63%
PM (TTM) 9.58%
GM 98.04%
FCFM 12.16%
ROA(3y)2.52%
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)2.73%
ROIC(5y)N/A
ROICexc(3y)2.76%
ROICexc(5y)N/A
ROICexgc(3y)3.42%
ROICexgc(5y)N/A
ROCE(3y)4.45%
ROCE(5y)N/A
ROICexgc growth 3Y16.71%
ROICexgc growth 5YN/A
ROICexc growth 3Y-2.73%
ROICexc growth 5YN/A
OM growth 3Y3.59%
OM growth 5YN/A
PM growth 3Y-34.57%
PM growth 5YN/A
GM growth 3Y1.67%
GM growth 5YN/A
F-Score5
Asset Turnover0.24
Health
Industry RankSector Rank
Debt/Equity 4.02
Debt/FCF 25.25
Debt/EBITDA 8.97
Cap/Depr 43.02%
Cap/Sales 0.97%
Interest Coverage 7.02
Cash Conversion 39.94%
Profit Quality 126.96%
Current Ratio 0.9
Quick Ratio 0.84
Altman-Z 0.75
F-Score5
WACC4.95%
ROIC/WACC1
Cap/Depr(3y)90.11%
Cap/Depr(5y)N/A
Cap/Sales(3y)1.52%
Cap/Sales(5y)N/A
Profit Quality(3y)182.81%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-50.72%
EPS 3Y-30.6%
EPS 5YN/A
EPS Q2Q%178.52%
EPS Next Y375.46%
EPS Next 2Y118.29%
EPS Next 3Y75.33%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.34%
Revenue growth 3Y6.06%
Revenue growth 5YN/A
Sales Q2Q%-6.31%
Revenue Next Year1.8%
Revenue Next 2Y3.02%
Revenue Next 3Y3.14%
Revenue Next 5YN/A
EBIT growth 1Y22.47%
EBIT growth 3Y9.87%
EBIT growth 5YN/A
EBIT Next Year120.83%
EBIT Next 3Y35.21%
EBIT Next 5YN/A
FCF growth 1Y350.36%
FCF growth 3Y38%
FCF growth 5YN/A
OCF growth 1Y223.05%
OCF growth 3Y35.37%
OCF growth 5YN/A

A&W FOOD SERVICES OF CANADA / AW.CA FAQ

Can you provide the ChartMill fundamental rating for A&W FOOD SERVICES OF CANADA?

ChartMill assigns a fundamental rating of 4 / 10 to AW.CA.


Can you provide the valuation status for A&W FOOD SERVICES OF CANADA?

ChartMill assigns a valuation rating of 5 / 10 to A&W FOOD SERVICES OF CANADA (AW.CA). This can be considered as Fairly Valued.


What is the profitability of AW stock?

A&W FOOD SERVICES OF CANADA (AW.CA) has a profitability rating of 6 / 10.


Can you provide the financial health for AW stock?

The financial health rating of A&W FOOD SERVICES OF CANADA (AW.CA) is 2 / 10.


Can you provide the expected EPS growth for AW stock?

The Earnings per Share (EPS) of A&W FOOD SERVICES OF CANADA (AW.CA) is expected to grow by 375.46% in the next year.