CES ENERGY SOLUTIONS CORP (CEU.CA) Stock Fundamental Analysis
Canada - TSX:CEU - CA15713J1049 - Common Stock
8.64 CAD
-0.15 (-1.71%)
We assign a fundamental rating of 7 out of 10 to CEU. CEU was compared to 28 industry peers in the Energy Equipment & Services industry. CEU scores excellent points on both the profitability and health parts. This is a solid base for a good stock. CEU has a decent growth rate and is not valued too expensively. These ratings could make CEU a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
CEU had positive earnings in the past year.
CEU had a positive operating cash flow in the past year.
Of the past 5 years CEU 4 years were profitable.
In multiple years CEU reported negative operating cash flow during the last 5 years.
1.2 Ratios
CEU's Return On Assets of 12.01% is amongst the best of the industry. CEU outperforms 82.14% of its industry peers.
CEU has a better Return On Equity (23.36%) than 85.71% of its industry peers.
CEU has a Return On Invested Capital of 17.76%. This is amongst the best in the industry. CEU outperforms 92.86% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CEU is above the industry average of 11.19%.
The last Return On Invested Capital (17.76%) for CEU is above the 3 year average (15.43%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.01% | ||
| ROE | 23.36% | ||
| ROIC | 17.76% |
ROA(3y)10.13%
ROA(5y)1.8%
ROE(3y)20.87%
ROE(5y)4.79%
ROIC(3y)15.43%
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 7.63%, CEU is doing good in the industry, outperforming 75.00% of the companies in the same industry.
CEU's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 11.19%, CEU is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
In the last couple of years the Operating Margin of CEU has grown nicely.
The Gross Margin of CEU (23.78%) is comparable to the rest of the industry.
CEU's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.19% | ||
| PM (TTM) | 7.63% | ||
| GM | 23.78% |
OM growth 3Y25.33%
OM growth 5Y14.6%
PM growth 3Y24.88%
PM growth 5Y28.07%
GM growth 3Y4.59%
GM growth 5Y2.9%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), CEU is creating value.
Compared to 1 year ago, CEU has less shares outstanding
Compared to 5 years ago, CEU has less shares outstanding
Compared to 1 year ago, CEU has an improved debt to assets ratio.
2.2 Solvency
CEU has an Altman-Z score of 4.25. This indicates that CEU is financially healthy and has little risk of bankruptcy at the moment.
CEU has a Altman-Z score of 4.25. This is amongst the best in the industry. CEU outperforms 85.71% of its industry peers.
CEU has a debt to FCF ratio of 3.13. This is a good value and a sign of high solvency as CEU would need 3.13 years to pay back of all of its debts.
The Debt to FCF ratio of CEU (3.13) is better than 71.43% of its industry peers.
A Debt/Equity ratio of 0.55 indicates that CEU is somewhat dependend on debt financing.
The Debt to Equity ratio of CEU (0.55) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 3.13 | ||
| Altman-Z | 4.25 |
ROIC/WACC2.2
WACC8.07%
2.3 Liquidity
CEU has a Current Ratio of 3.12. This indicates that CEU is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 3.12, CEU belongs to the best of the industry, outperforming 92.86% of the companies in the same industry.
CEU has a Quick Ratio of 1.69. This is a normal value and indicates that CEU is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of CEU (1.69) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.12 | ||
| Quick Ratio | 1.69 |
3. Growth
3.1 Past
CEU shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.56%.
The Earnings Per Share has been growing by 49.00% on average over the past years. This is a very strong growth
CEU shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.36%.
CEU shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.00% yearly.
EPS 1Y (TTM)2.56%
EPS 3Y62.17%
EPS 5Y49%
EPS Q2Q%15%
Revenue 1Y (TTM)8.36%
Revenue growth 3Y25.3%
Revenue growth 5Y13%
Sales Q2Q%3.76%
3.2 Future
Based on estimates for the next years, CEU will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.62% on average per year.
Based on estimates for the next years, CEU will show a small growth in Revenue. The Revenue will grow by 3.49% on average per year.
EPS Next Y3.23%
EPS Next 2Y5.06%
EPS Next 3Y14.67%
EPS Next 5Y14.62%
Revenue Next Year3.71%
Revenue Next 2Y5.52%
Revenue Next 3Y4.95%
Revenue Next 5Y3.49%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 10.80, the valuation of CEU can be described as very reasonable.
60.71% of the companies in the same industry are more expensive than CEU, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.40. CEU is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 9.23 indicates a reasonable valuation of CEU.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CEU indicates a somewhat cheap valuation: CEU is cheaper than 60.71% of the companies listed in the same industry.
CEU is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.8 | ||
| Fwd PE | 9.23 |
4.2 Price Multiples
CEU's Enterprise Value to EBITDA ratio is in line with the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as CEU.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.52 | ||
| EV/EBITDA | 6.44 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
CEU has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as CEU's earnings are expected to grow with 14.67% in the coming years.
PEG (NY)3.34
PEG (5Y)0.22
EPS Next 2Y5.06%
EPS Next 3Y14.67%
5. Dividend
5.1 Amount
CEU has a Yearly Dividend Yield of 1.93%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.22, CEU pays a bit more dividend than its industry peers.
CEU's Dividend Yield is comparable with the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
5.2 History
The dividend of CEU is nicely growing with an annual growth rate of 14.06%!
CEU has been paying a dividend for at least 10 years, so it has a reliable track record.
CEU has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)14.06%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
CEU pays out 16.36% of its income as dividend. This is a sustainable payout ratio.
The dividend of CEU is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP16.36%
EPS Next 2Y5.06%
EPS Next 3Y14.67%
TSX:CEU (10/17/2025, 7:00:00 PM)
8.64
-0.15 (-1.71%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners37.43%
Inst Owner ChangeN/A
Ins Owners3.03%
Ins Owner ChangeN/A
Market Cap1.88B
Analysts81.67
Price Target10.2 (18.06%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.93% |
Yearly Dividend0.12
Dividend Growth(5Y)14.06%
DP16.36%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.53%
Min EPS beat(2)-8.23%
Max EPS beat(2)15.3%
EPS beat(4)2
Avg EPS beat(4)-0.71%
Min EPS beat(4)-14.11%
Max EPS beat(4)15.3%
EPS beat(8)6
Avg EPS beat(8)14.87%
EPS beat(12)8
Avg EPS beat(12)10.71%
EPS beat(16)12
Avg EPS beat(16)22.19%
Revenue beat(2)1
Avg Revenue beat(2)0.5%
Min Revenue beat(2)-0.79%
Max Revenue beat(2)1.79%
Revenue beat(4)3
Avg Revenue beat(4)1.19%
Min Revenue beat(4)-0.79%
Max Revenue beat(4)2.29%
Revenue beat(8)6
Avg Revenue beat(8)1.23%
Revenue beat(12)9
Avg Revenue beat(12)1.73%
Revenue beat(16)13
Avg Revenue beat(16)3.54%
PT rev (1m)0%
PT rev (3m)4.58%
EPS NQ rev (1m)5.62%
EPS NQ rev (3m)0%
EPS NY rev (1m)1.67%
EPS NY rev (3m)-5.16%
Revenue NQ rev (1m)-2.95%
Revenue NQ rev (3m)-2.95%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.49%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.8 | ||
| Fwd PE | 9.23 | ||
| P/S | 0.78 | ||
| P/FCF | 12.52 | ||
| P/OCF | 7.21 | ||
| P/B | 2.38 | ||
| P/tB | 2.74 | ||
| EV/EBITDA | 6.44 |
EPS(TTM)0.8
EY9.26%
EPS(NY)0.94
Fwd EY10.84%
FCF(TTM)0.69
FCFY7.99%
OCF(TTM)1.2
OCFY13.86%
SpS11.11
BVpS3.63
TBVpS3.15
PEG (NY)3.34
PEG (5Y)0.22
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.01% | ||
| ROE | 23.36% | ||
| ROCE | 21.85% | ||
| ROIC | 17.76% | ||
| ROICexc | 17.76% | ||
| ROICexgc | 19.37% | ||
| OM | 11.19% | ||
| PM (TTM) | 7.63% | ||
| GM | 23.78% | ||
| FCFM | 6.21% |
ROA(3y)10.13%
ROA(5y)1.8%
ROE(3y)20.87%
ROE(5y)4.79%
ROIC(3y)15.43%
ROIC(5y)N/A
ROICexc(3y)15.43%
ROICexc(5y)N/A
ROICexgc(3y)16.67%
ROICexgc(5y)N/A
ROCE(3y)18.99%
ROCE(5y)N/A
ROICexcg growth 3Y41.3%
ROICexcg growth 5Y18.11%
ROICexc growth 3Y42.21%
ROICexc growth 5Y25.93%
OM growth 3Y25.33%
OM growth 5Y14.6%
PM growth 3Y24.88%
PM growth 5Y28.07%
GM growth 3Y4.59%
GM growth 5Y2.9%
F-Score4
Asset Turnover1.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 3.13 | ||
| Debt/EBITDA | 1.19 | ||
| Cap/Depr | 116.36% | ||
| Cap/Sales | 4.57% | ||
| Interest Coverage | 8.09 | ||
| Cash Conversion | 71.34% | ||
| Profit Quality | 81.49% | ||
| Current Ratio | 3.12 | ||
| Quick Ratio | 1.69 | ||
| Altman-Z | 4.25 |
F-Score4
WACC8.07%
ROIC/WACC2.2
Cap/Depr(3y)97.3%
Cap/Depr(5y)74.9%
Cap/Sales(3y)3.5%
Cap/Sales(5y)3.25%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.56%
EPS 3Y62.17%
EPS 5Y49%
EPS Q2Q%15%
EPS Next Y3.23%
EPS Next 2Y5.06%
EPS Next 3Y14.67%
EPS Next 5Y14.62%
Revenue 1Y (TTM)8.36%
Revenue growth 3Y25.3%
Revenue growth 5Y13%
Sales Q2Q%3.76%
Revenue Next Year3.71%
Revenue Next 2Y5.52%
Revenue Next 3Y4.95%
Revenue Next 5Y3.49%
EBIT growth 1Y10.11%
EBIT growth 3Y57.05%
EBIT growth 5Y29.5%
EBIT Next Year30.82%
EBIT Next 3Y17.51%
EBIT Next 5Y10.18%
FCF growth 1Y32.27%
FCF growth 3YN/A
FCF growth 5Y10.43%
OCF growth 1Y40.88%
OCF growth 3YN/A
OCF growth 5Y10.22%