EMERA INC - EMACN 4 1/4 PERP (EMA-PR-J.CA) Stock Fundamental Analysis
TSX:EMA-PR-J - Toronto Stock Exchange - CA2908768468 - Currency: CAD
EMA-PR-J gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 19 industry peers in the Electric Utilities industry. EMA-PR-J has a medium profitability rating, but doesn't score so well on its financial health evaluation. EMA-PR-J has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
EMA-PR-J had positive earnings in the past year.
In the past year EMA-PR-J had a positive cash flow from operations.
In the past 5 years EMA-PR-J has always been profitable.
In the past 5 years EMA-PR-J always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.19%, EMA-PR-J is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
EMA-PR-J's Return On Equity of 7.00% is fine compared to the rest of the industry. EMA-PR-J outperforms 63.16% of its industry peers.
EMA-PR-J has a Return On Invested Capital of 3.49%. This is in the lower half of the industry: EMA-PR-J underperforms 78.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EMA-PR-J is in line with the industry average of 3.84%.
The 3 year average ROIC (3.14%) for EMA-PR-J is below the current ROIC(3.49%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 7% | ||
| ROIC | 3.49% |
ROA(3y)2%
ROA(5y)2.1%
ROE(3y)6.7%
ROE(5y)7.06%
ROIC(3y)3.14%
ROIC(5y)2.92%
1.3 Margins
With a Profit Margin value of 11.07%, EMA-PR-J is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
In the last couple of years the Profit Margin of EMA-PR-J has declined.
EMA-PR-J has a worse Operating Margin (22.82%) than 73.68% of its industry peers.
In the last couple of years the Operating Margin of EMA-PR-J has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.82% | ||
| PM (TTM) | 11.07% | ||
| GM | N/A |
OM growth 3Y3.96%
OM growth 5Y-4.26%
PM growth 3Y-8.12%
PM growth 5Y-8.76%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EMA-PR-J is destroying value.
The number of shares outstanding for EMA-PR-J has been increased compared to 1 year ago.
EMA-PR-J has more shares outstanding than it did 5 years ago.
EMA-PR-J has a better debt/assets ratio than last year.
2.2 Solvency
EMA-PR-J has an Altman-Z score of 0.52. This is a bad value and indicates that EMA-PR-J is not financially healthy and even has some risk of bankruptcy.
EMA-PR-J has a Altman-Z score of 0.52. This is in the better half of the industry: EMA-PR-J outperforms 68.42% of its industry peers.
A Debt/Equity ratio of 1.50 is on the high side and indicates that EMA-PR-J has dependencies on debt financing.
With a Debt to Equity ratio value of 1.50, EMA-PR-J is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.52 |
ROIC/WACC0.74
WACC4.7%
2.3 Liquidity
EMA-PR-J has a Current Ratio of 0.72. This is a bad value and indicates that EMA-PR-J is not financially healthy enough and could expect problems in meeting its short term obligations.
EMA-PR-J has a better Current ratio (0.72) than 68.42% of its industry peers.
EMA-PR-J has a Quick Ratio of 0.72. This is a bad value and indicates that EMA-PR-J is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.54, EMA-PR-J is in the better half of the industry, outperforming 68.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 26.28% over the past year.
Measured over the past 5 years, EMA-PR-J shows a small growth in Earnings Per Share. The EPS has been growing by 2.49% on average per year.
Looking at the last year, EMA-PR-J shows a quite strong growth in Revenue. The Revenue has grown by 9.93% in the last year.
The Revenue has been growing slightly by 3.33% on average over the past years.
EPS 1Y (TTM)26.28%
EPS 3Y1.4%
EPS 5Y2.49%
EPS Q2Q%68.42%
Revenue 1Y (TTM)9.93%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%32.61%
3.2 Future
EMA-PR-J is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 5.39% yearly.
EMA-PR-J is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.62% yearly.
EPS Next Y11.25%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
EPS Next 5Y5.39%
Revenue Next Year7.88%
Revenue Next 2Y3.3%
Revenue Next 3Y4.45%
Revenue Next 5Y2.62%
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.
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
EMA-PR-J is valuated cheaply with a Price/Earnings ratio of 7.02.
EMA-PR-J's Price/Earnings ratio is a bit more expensive when compared to the industry. EMA-PR-J is more expensive than 63.16% of the companies in the same industry.
EMA-PR-J's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.17.
EMA-PR-J is valuated cheaply with a Price/Forward Earnings ratio of 7.18.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EMA-PR-J indicates a slightly more expensive valuation: EMA-PR-J is more expensive than 63.16% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.10. EMA-PR-J is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.02 | ||
| Fwd PE | 7.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EMA-PR-J is valued a bit cheaper than 63.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.06 |
4.3 Compensation for Growth
EMA-PR-J's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.62
PEG (5Y)2.82
EPS Next 2Y7.26%
EPS Next 3Y6.57%
5. Dividend
5.1 Amount
EMA-PR-J has a Yearly Dividend Yield of 4.68%, which is a nice return.
Compared to an average industry Dividend Yield of 4.19, EMA-PR-J pays a bit more dividend than its industry peers.
EMA-PR-J's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.68% |
5.2 History
The dividend of EMA-PR-J has a limited annual growth rate of 3.46%.
EMA-PR-J has been paying a dividend for over 5 years, so it has already some track record.
EMA-PR-J has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)3.46%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
70.92% of the earnings are spent on dividend by EMA-PR-J. This is not a sustainable payout ratio.
EMA-PR-J's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP70.92%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
TSX:EMA-PR-J (5/28/2025, 7:00:00 PM)
24.3
+0.44 (+1.84%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners31.98%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner ChangeN/A
Market Cap7.24B
Analysts70.59
Price Target22.95 (-5.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.68% |
Yearly Dividend2.11
Dividend Growth(5Y)3.46%
DP70.92%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.4%
Min EPS beat(2)8.91%
Max EPS beat(2)27.9%
EPS beat(4)3
Avg EPS beat(4)7.35%
Min EPS beat(4)-10.21%
Max EPS beat(4)27.9%
EPS beat(8)4
Avg EPS beat(8)0.88%
EPS beat(12)7
Avg EPS beat(12)3.44%
EPS beat(16)8
Avg EPS beat(16)2.35%
Revenue beat(2)1
Avg Revenue beat(2)2.67%
Min Revenue beat(2)-13.96%
Max Revenue beat(2)19.3%
Revenue beat(4)1
Avg Revenue beat(4)-5.94%
Min Revenue beat(4)-23.25%
Max Revenue beat(4)19.3%
Revenue beat(8)1
Avg Revenue beat(8)-7.23%
Revenue beat(12)5
Avg Revenue beat(12)3.04%
Revenue beat(16)7
Avg Revenue beat(16)0.84%
PT rev (1m)-2.64%
PT rev (3m)-6.11%
EPS NQ rev (1m)-9.59%
EPS NQ rev (3m)-2.62%
EPS NY rev (1m)0%
EPS NY rev (3m)0.68%
Revenue NQ rev (1m)-1.06%
Revenue NQ rev (3m)7.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.02 | ||
| Fwd PE | 7.18 | ||
| P/S | 0.92 | ||
| P/FCF | N/A | ||
| P/OCF | 2.61 | ||
| P/B | 0.58 | ||
| P/tB | 1.04 | ||
| EV/EBITDA | 8.06 |
EPS(TTM)3.46
EY14.24%
EPS(NY)3.38
Fwd EY13.92%
FCF(TTM)-1.67
FCFYN/A
OCF(TTM)9.32
OCFY38.37%
SpS26.39
BVpS41.74
TBVpS23.28
PEG (NY)0.62
PEG (5Y)2.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 7% | ||
| ROCE | 5.05% | ||
| ROIC | 3.49% | ||
| ROICexc | 3.52% | ||
| ROICexgc | 4.14% | ||
| OM | 22.82% | ||
| PM (TTM) | 11.07% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)2%
ROA(5y)2.1%
ROE(3y)6.7%
ROE(5y)7.06%
ROIC(3y)3.14%
ROIC(5y)2.92%
ROICexc(3y)3.18%
ROICexc(5y)2.95%
ROICexgc(3y)3.8%
ROICexgc(5y)3.58%
ROCE(3y)4.61%
ROCE(5y)4.29%
ROICexcg growth 3Y1.9%
ROICexcg growth 5Y-7.94%
ROICexc growth 3Y3.35%
ROICexc growth 5Y-6.78%
OM growth 3Y3.96%
OM growth 5Y-4.26%
PM growth 3Y-8.12%
PM growth 5Y-8.76%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.21 | ||
| Cap/Depr | 272.83% | ||
| Cap/Sales | 41.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 92.75% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 0.52 |
F-Score7
WACC4.7%
ROIC/WACC0.74
Cap/Depr(3y)272.75%
Cap/Depr(5y)273.57%
Cap/Sales(3y)38.94%
Cap/Sales(5y)41.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)26.28%
EPS 3Y1.4%
EPS 5Y2.49%
EPS Q2Q%68.42%
EPS Next Y11.25%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
EPS Next 5Y5.39%
Revenue 1Y (TTM)9.93%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%32.61%
Revenue Next Year7.88%
Revenue Next 2Y3.3%
Revenue Next 3Y4.45%
Revenue Next 5Y2.62%
EBIT growth 1Y34.11%
EBIT growth 3Y11.95%
EBIT growth 5Y-1.07%
EBIT Next Year109.46%
EBIT Next 3Y30.88%
EBIT Next 5Y19.32%
FCF growth 1Y74.42%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y262.88%
OCF growth 3Y30.7%
OCF growth 5Y11.65%