EMPIRE CO LTD 'A' (EMP-A.CA) Stock Fundamental Analysis
TSX:EMP-A - CA2918434077 - Common Stock
53.89 CAD
-0.64 (-1.17%)
Taking everything into account, EMP-A scores 4 out of 10 in our fundamental rating. EMP-A was compared to 16 industry peers in the Consumer Staples Distribution & Retail industry. Both the profitability and the financial health of EMP-A get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, EMP-A is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
EMP-A had positive earnings in the past year.
EMP-A had a positive operating cash flow in the past year.
In the past 5 years EMP-A has always been profitable.
In the past 5 years EMP-A always reported a positive cash flow from operatings.
1.2 Ratios
EMP-A has a better Return On Assets (4.11%) than 68.75% of its industry peers.
The Return On Equity of EMP-A (12.94%) is worse than 62.50% of its industry peers.
EMP-A has a Return On Invested Capital of 6.61%. This is in the lower half of the industry: EMP-A underperforms 62.50% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EMP-A is below the industry average of 8.81%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.11% | ||
| ROE | 12.94% | ||
| ROIC | 6.61% |
ROA(3y)4.2%
ROA(5y)4.34%
ROE(3y)13.24%
ROE(5y)14.14%
ROIC(3y)6.72%
ROIC(5y)7.1%
1.3 Margins
EMP-A's Profit Margin of 2.24% is fine compared to the rest of the industry. EMP-A outperforms 68.75% of its industry peers.
In the last couple of years the Profit Margin of EMP-A has remained more or less at the same level.
With a Operating Margin value of 3.66%, EMP-A is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
EMP-A's Operating Margin has been stable in the last couple of years.
EMP-A has a worse Gross Margin (26.80%) than 62.50% of its industry peers.
In the last couple of years the Gross Margin of EMP-A has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.66% | ||
| PM (TTM) | 2.24% | ||
| GM | 26.8% |
OM growth 3Y-2.37%
OM growth 5Y-0.73%
PM growth 3Y-3.27%
PM growth 5Y0.38%
GM growth 3Y1.81%
GM growth 5Y1.44%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so EMP-A is still creating some value.
The number of shares outstanding for EMP-A has been reduced compared to 1 year ago.
EMP-A has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, EMP-A has about the same debt to assets ratio.
2.2 Solvency
EMP-A has an Altman-Z score of 2.94. This is not the best score and indicates that EMP-A is in the grey zone with still only limited risk for bankruptcy at the moment.
EMP-A's Altman-Z score of 2.94 is fine compared to the rest of the industry. EMP-A outperforms 75.00% of its industry peers.
The Debt to FCF ratio of EMP-A is 5.53, which is a neutral value as it means it would take EMP-A, 5.53 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 5.53, EMP-A is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
EMP-A has a Debt/Equity ratio of 1.23. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.23, EMP-A is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 5.53 | ||
| Altman-Z | 2.94 |
ROIC/WACC1.04
WACC6.38%
2.3 Liquidity
A Current Ratio of 0.77 indicates that EMP-A may have some problems paying its short term obligations.
EMP-A has a worse Current ratio (0.77) than 93.75% of its industry peers.
A Quick Ratio of 0.32 indicates that EMP-A may have some problems paying its short term obligations.
The Quick ratio of EMP-A (0.32) is worse than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.32 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.12% over the past year.
EMP-A shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 6.33% yearly.
EMP-A shows a small growth in Revenue. In the last year, the Revenue has grown by 1.77%.
EMP-A shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.30% yearly.
EPS 1Y (TTM)9.12%
EPS 3Y2.09%
EPS 5Y6.33%
EPS Q2Q%17.46%
Revenue 1Y (TTM)1.77%
Revenue growth 3Y1.22%
Revenue growth 5Y3.3%
Sales Q2Q%3.04%
3.2 Future
Based on estimates for the next years, EMP-A will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.74% on average per year.
EMP-A is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.20% yearly.
EPS Next Y13.22%
EPS Next 2Y10.74%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.31%
Revenue Next 2Y3.2%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
EMP-A is valuated rather expensively with a Price/Earnings ratio of 18.02.
EMP-A's Price/Earnings is on the same level as the industry average.
EMP-A is valuated rather cheaply when we compare the Price/Earnings ratio to 27.08, which is the current average of the S&P500 Index.
EMP-A is valuated correctly with a Price/Forward Earnings ratio of 15.92.
EMP-A's Price/Forward Earnings ratio is in line with the industry average.
EMP-A's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.67.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.02 | ||
| Fwd PE | 15.92 |
4.2 Price Multiples
EMP-A's Enterprise Value to EBITDA is on the same level as the industry average.
The rest of the industry has a similar Price/Free Cash Flow ratio as EMP-A.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.24 | ||
| EV/EBITDA | 8.67 |
4.3 Compensation for Growth
EMP-A's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.36
PEG (5Y)2.85
EPS Next 2Y10.74%
EPS Next 3YN/A
5. Dividend
5.1 Amount
EMP-A has a Yearly Dividend Yield of 1.58%.
Compared to an average industry Dividend Yield of 1.78, EMP-A pays a better dividend. On top of this EMP-A pays more dividend than 87.50% of the companies listed in the same industry.
Compared to the average S&P500 Dividend Yield of 2.34, EMP-A is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
5.2 History
The dividend of EMP-A is nicely growing with an annual growth rate of 11.03%!
EMP-A has paid a dividend for at least 10 years, which is a reliable track record.
EMP-A has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.03%
Div Incr Years30
Div Non Decr Years34
5.3 Sustainability
27.43% of the earnings are spent on dividend by EMP-A. This is a low number and sustainable payout ratio.
EMP-A's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP27.43%
EPS Next 2Y10.74%
EPS Next 3YN/A
TSX:EMP-A (8/26/2025, 7:00:00 PM)
53.89
-0.64 (-1.17%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners42.16%
Inst Owner ChangeN/A
Ins Owners0.88%
Ins Owner ChangeN/A
Market Cap12.47B
Analysts75.29
Price Target57.76 (7.18%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.58% |
Yearly Dividend0.81
Dividend Growth(5Y)11.03%
DP27.43%
Div Incr Years30
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.64%
Min EPS beat(2)-2.46%
Max EPS beat(2)1.19%
EPS beat(4)2
Avg EPS beat(4)1.25%
Min EPS beat(4)-2.46%
Max EPS beat(4)7.15%
EPS beat(8)3
Avg EPS beat(8)-1.42%
EPS beat(12)5
Avg EPS beat(12)-1.58%
EPS beat(16)7
Avg EPS beat(16)-0.68%
Revenue beat(2)0
Avg Revenue beat(2)-2.62%
Min Revenue beat(2)-3.11%
Max Revenue beat(2)-2.13%
Revenue beat(4)0
Avg Revenue beat(4)-2.85%
Min Revenue beat(4)-4.17%
Max Revenue beat(4)-2%
Revenue beat(8)0
Avg Revenue beat(8)-2.92%
Revenue beat(12)0
Avg Revenue beat(12)-3.24%
Revenue beat(16)0
Avg Revenue beat(16)-3.3%
PT rev (1m)0.22%
PT rev (3m)17.05%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.12%
EPS NY rev (1m)1.19%
EPS NY rev (3m)1.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.76%
Revenue NY rev (1m)0.65%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.02 | ||
| Fwd PE | 15.92 | ||
| P/S | 0.4 | ||
| P/FCF | 9.24 | ||
| P/OCF | 5.86 | ||
| P/B | 2.31 | ||
| P/tB | 6.25 | ||
| EV/EBITDA | 8.67 |
EPS(TTM)2.99
EY5.55%
EPS(NY)3.39
Fwd EY6.28%
FCF(TTM)5.83
FCFY10.82%
OCF(TTM)9.19
OCFY17.05%
SpS135.13
BVpS23.37
TBVpS8.62
PEG (NY)1.36
PEG (5Y)2.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.11% | ||
| ROE | 12.94% | ||
| ROCE | 8.87% | ||
| ROIC | 6.61% | ||
| ROICexc | 6.76% | ||
| ROICexgc | 9.26% | ||
| OM | 3.66% | ||
| PM (TTM) | 2.24% | ||
| GM | 26.8% | ||
| FCFM | 4.32% |
ROA(3y)4.2%
ROA(5y)4.34%
ROE(3y)13.24%
ROE(5y)14.14%
ROIC(3y)6.72%
ROIC(5y)7.1%
ROICexc(3y)6.85%
ROICexc(5y)7.41%
ROICexgc(3y)9.42%
ROICexgc(5y)10.15%
ROCE(3y)9.01%
ROCE(5y)9.52%
ROICexcg growth 3Y-5.2%
ROICexcg growth 5Y-2.9%
ROICexc growth 3Y-4.12%
ROICexc growth 5Y-3.01%
OM growth 3Y-2.37%
OM growth 5Y-0.73%
PM growth 3Y-3.27%
PM growth 5Y0.38%
GM growth 3Y1.81%
GM growth 5Y1.44%
F-Score7
Asset Turnover1.84
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.23 | ||
| Debt/FCF | 5.53 | ||
| Debt/EBITDA | 2.93 | ||
| Cap/Depr | 69.38% | ||
| Cap/Sales | 2.48% | ||
| Interest Coverage | 3.59 | ||
| Cash Conversion | 93.87% | ||
| Profit Quality | 192.86% | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.32 | ||
| Altman-Z | 2.94 |
F-Score7
WACC6.38%
ROIC/WACC1.04
Cap/Depr(3y)72.5%
Cap/Depr(5y)75.25%
Cap/Sales(3y)2.52%
Cap/Sales(5y)2.5%
Profit Quality(3y)164.1%
Profit Quality(5y)168.25%
High Growth Momentum
Growth
EPS 1Y (TTM)9.12%
EPS 3Y2.09%
EPS 5Y6.33%
EPS Q2Q%17.46%
EPS Next Y13.22%
EPS Next 2Y10.74%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)1.77%
Revenue growth 3Y1.22%
Revenue growth 5Y3.3%
Sales Q2Q%3.04%
Revenue Next Year3.31%
Revenue Next 2Y3.2%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y3.05%
EBIT growth 3Y-1.18%
EBIT growth 5Y2.55%
EBIT Next Year94.37%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y5.83%
FCF growth 3Y0.58%
FCF growth 5Y-1.71%
OCF growth 1Y2.54%
OCF growth 3Y0.31%
OCF growth 5Y0.36%