ENGHOUSE SYSTEMS LTD (ENGH.CA) Fundamental Analysis & Valuation
TSX:ENGH • CA2929491041
Current stock price
15.71 CAD
+0.37 (+2.41%)
Last:
This ENGH.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. ENGH.CA Profitability Analysis
1.1 Basic Checks
- In the past year ENGH was profitable.
- ENGH had a positive operating cash flow in the past year.
- In the past 5 years ENGH has always been profitable.
- In the past 5 years ENGH always reported a positive cash flow from operatings.
1.2 Ratios
- ENGH has a better Return On Assets (8.60%) than 83.10% of its industry peers.
- With a decent Return On Equity value of 12.09%, ENGH is doing good in the industry, outperforming 78.87% of the companies in the same industry.
- ENGH has a Return On Invested Capital of 11.33%. This is amongst the best in the industry. ENGH outperforms 83.10% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for ENGH is in line with the industry average of 12.41%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.6% | ||
| ROE | 12.09% | ||
| ROIC | 11.33% |
ROA(3y)9.19%
ROA(5y)10.95%
ROE(3y)12.92%
ROE(5y)15.55%
ROIC(3y)11.75%
ROIC(5y)13.5%
1.3 Margins
- ENGH's Profit Margin of 14.77% is amongst the best of the industry. ENGH outperforms 87.32% of its industry peers.
- ENGH's Profit Margin has declined in the last couple of years.
- With an excellent Operating Margin value of 18.03%, ENGH belongs to the best of the industry, outperforming 85.92% of the companies in the same industry.
- ENGH's Operating Margin has declined in the last couple of years.
- Looking at the Gross Margin, with a value of 63.60%, ENGH is in the better half of the industry, outperforming 66.20% of the companies in the same industry.
- ENGH's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 18.03% | ||
| PM (TTM) | 14.77% | ||
| GM | 63.6% |
OM growth 3Y-6.37%
OM growth 5Y-5.32%
PM growth 3Y-12.58%
PM growth 5Y-5.48%
GM growth 3Y-2.95%
GM growth 5Y-2.23%
2. ENGH.CA Health Analysis
2.1 Basic Checks
- ENGH has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, ENGH has less shares outstanding
- Compared to 5 years ago, ENGH has less shares outstanding
- ENGH has a better debt/assets ratio than last year.
2.2 Solvency
- ENGH has an Altman-Z score of 3.95. This indicates that ENGH is financially healthy and has little risk of bankruptcy at the moment.
- ENGH's Altman-Z score of 3.95 is fine compared to the rest of the industry. ENGH outperforms 76.06% of its industry peers.
- ENGH has a debt to FCF ratio of 0.11. This is a very positive value and a sign of high solvency as it would only need 0.11 years to pay back of all of its debts.
- ENGH's Debt to FCF ratio of 0.11 is amongst the best of the industry. ENGH outperforms 90.14% of its industry peers.
- A Debt/Equity ratio of 0.01 indicates that ENGH is not too dependend on debt financing.
- ENGH has a better Debt to Equity ratio (0.01) than 81.69% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.11 | ||
| Altman-Z | 3.95 |
ROIC/WACC1.14
WACC9.96%
2.3 Liquidity
- ENGH has a Current Ratio of 1.71. This is a normal value and indicates that ENGH is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Current ratio, with a value of 1.71, ENGH is in the better half of the industry, outperforming 64.79% of the companies in the same industry.
- ENGH has a Quick Ratio of 1.71. This is a normal value and indicates that ENGH is financially healthy and should not expect problems in meeting its short term obligations.
- ENGH has a Quick ratio of 1.71. This is in the better half of the industry: ENGH outperforms 64.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 |
3. ENGH.CA Growth Analysis
3.1 Past
- ENGH shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -9.52%.
- The Earnings Per Share has been decreasing by -5.45% on average over the past years.
- ENGH shows a decrease in Revenue. In the last year, the revenue decreased by -0.72%.
- Measured over the past years, ENGH shows a decrease in Revenue. The Revenue has been decreasing by -0.20% on average per year.
EPS 1Y (TTM)-9.52%
EPS 3Y-8.04%
EPS 5Y-5.45%
EPS Q2Q%-7.32%
Revenue 1Y (TTM)-0.72%
Revenue growth 3Y5.27%
Revenue growth 5Y-0.2%
Sales Q2Q%-0.97%
3.2 Future
- The Earnings Per Share is expected to grow by 9.24% on average over the next years. This is quite good.
- Based on estimates for the next years, ENGH will show a small growth in Revenue. The Revenue will grow by 4.47% on average per year.
EPS Next Y16.76%
EPS Next 2Y11.81%
EPS Next 3Y9.24%
EPS Next 5YN/A
Revenue Next Year1.24%
Revenue Next 2Y3.69%
Revenue Next 3Y4.47%
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 accelerating.
4. ENGH.CA Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 11.81, the valuation of ENGH can be described as reasonable.
- Based on the Price/Earnings ratio, ENGH is valued cheaper than 84.51% of the companies in the same industry.
- When comparing the Price/Earnings ratio of ENGH to the average of the S&P500 Index (26.11), we can say ENGH is valued rather cheaply.
- With a Price/Forward Earnings ratio of 10.12, the valuation of ENGH can be described as very reasonable.
- 81.69% of the companies in the same industry are more expensive than ENGH, based on the Price/Forward Earnings ratio.
- ENGH's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.12.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.81 | ||
| Fwd PE | 10.12 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ENGH is valued cheaper than 84.51% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, ENGH is valued cheaply inside the industry as 88.73% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.3 | ||
| EV/EBITDA | 4.69 |
4.3 Compensation for Growth
- ENGH's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The decent profitability rating of ENGH may justify a higher PE ratio.
PEG (NY)0.7
PEG (5Y)N/A
EPS Next 2Y11.81%
EPS Next 3Y9.24%
5. ENGH.CA Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 6.76%, ENGH is a good candidate for dividend investing.
- In the last 3 months the price of ENGH has falen by -23.37%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
- Compared to an average industry Dividend Yield of 0.44, ENGH pays a better dividend. On top of this ENGH pays more dividend than 98.59% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.91, ENGH pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.76% |
5.2 History
- On average, the dividend of ENGH grows each year by 17.99%, which is quite nice.
- ENGH has been paying a dividend for at least 10 years, so it has a reliable track record.
- ENGH has decreased its dividend in the last 3 years.
Dividend Growth(5Y)17.99%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
- ENGH pays out 83.91% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of ENGH is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP83.91%
EPS Next 2Y11.81%
EPS Next 3Y9.24%
ENGH.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:ENGH (3/17/2026, 7:00:00 PM)
15.71
+0.37 (+2.41%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)03-12 2026-03-12
Earnings (Next)06-03 2026-06-03
Inst Owners39.44%
Inst Owner ChangeN/A
Ins Owners22.21%
Ins Owner ChangeN/A
Market Cap856.20M
Revenue(TTM)498.88M
Net Income(TTM)73.67M
Analysts46.67
Price Target21.68 (38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.76% |
Yearly Dividend1.12
Dividend Growth(5Y)17.99%
DP83.91%
Div Incr Years2
Div Non Decr Years2
Ex-Date02-13 2026-02-13 (0.3)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-7.17%
Min EPS beat(2)-17.11%
Max EPS beat(2)2.77%
EPS beat(4)2
Avg EPS beat(4)-11.09%
Min EPS beat(4)-36.97%
Max EPS beat(4)6.95%
EPS beat(8)3
Avg EPS beat(8)-7.49%
EPS beat(12)5
Avg EPS beat(12)-8.07%
EPS beat(16)6
Avg EPS beat(16)-2.65%
Revenue beat(2)0
Avg Revenue beat(2)-4.05%
Min Revenue beat(2)-4.95%
Max Revenue beat(2)-3.16%
Revenue beat(4)0
Avg Revenue beat(4)-4.31%
Min Revenue beat(4)-5.58%
Max Revenue beat(4)-3.16%
Revenue beat(8)1
Avg Revenue beat(8)-3.34%
Revenue beat(12)1
Avg Revenue beat(12)-3.57%
Revenue beat(16)2
Avg Revenue beat(16)-3.8%
PT rev (1m)-2.3%
PT rev (3m)-8.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.43%
EPS NY rev (1m)0.16%
EPS NY rev (3m)6.28%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.62%
Revenue NY rev (1m)-0.57%
Revenue NY rev (3m)-1.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.81 | ||
| Fwd PE | 10.12 | ||
| P/S | 1.72 | ||
| P/FCF | 8.3 | ||
| P/OCF | 8.18 | ||
| P/B | 1.4 | ||
| P/tB | 4.81 | ||
| EV/EBITDA | 4.69 |
EPS(TTM)1.33
EY8.47%
EPS(NY)1.55
Fwd EY9.89%
FCF(TTM)1.89
FCFY12.05%
OCF(TTM)1.92
OCFY12.22%
SpS9.15
BVpS11.18
TBVpS3.27
PEG (NY)0.7
PEG (5Y)N/A
Graham Number18.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.6% | ||
| ROE | 12.09% | ||
| ROCE | 14.09% | ||
| ROIC | 11.33% | ||
| ROICexc | 19.59% | ||
| ROICexgc | N/A | ||
| OM | 18.03% | ||
| PM (TTM) | 14.77% | ||
| GM | 63.6% | ||
| FCFM | 20.68% |
ROA(3y)9.19%
ROA(5y)10.95%
ROE(3y)12.92%
ROE(5y)15.55%
ROIC(3y)11.75%
ROIC(5y)13.5%
ROICexc(3y)20.44%
ROICexc(5y)23.15%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)14.62%
ROCE(5y)16.79%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-6.68%
ROICexc growth 5Y-9.03%
OM growth 3Y-6.37%
OM growth 5Y-5.32%
PM growth 3Y-12.58%
PM growth 5Y-5.48%
GM growth 3Y-2.95%
GM growth 5Y-2.23%
F-Score4
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.01 | ||
| Debt/FCF | 0.11 | ||
| Debt/EBITDA | 0.05 | ||
| Cap/Depr | 3.93% | ||
| Cap/Sales | 0.3% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.01% | ||
| Profit Quality | 140.03% | ||
| Current Ratio | 1.71 | ||
| Quick Ratio | 1.71 | ||
| Altman-Z | 3.95 |
F-Score4
WACC9.96%
ROIC/WACC1.14
Cap/Depr(3y)3.38%
Cap/Depr(5y)3.64%
Cap/Sales(3y)0.31%
Cap/Sales(5y)0.37%
Profit Quality(3y)152.7%
Profit Quality(5y)138.08%
High Growth Momentum
Growth
EPS 1Y (TTM)-9.52%
EPS 3Y-8.04%
EPS 5Y-5.45%
EPS Q2Q%-7.32%
EPS Next Y16.76%
EPS Next 2Y11.81%
EPS Next 3Y9.24%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.72%
Revenue growth 3Y5.27%
Revenue growth 5Y-0.2%
Sales Q2Q%-0.97%
Revenue Next Year1.24%
Revenue Next 2Y3.69%
Revenue Next 3Y4.47%
Revenue Next 5YN/A
EBIT growth 1Y-5.28%
EBIT growth 3Y-1.43%
EBIT growth 5Y-5.51%
EBIT Next Year11.32%
EBIT Next 3Y8.33%
EBIT Next 5YN/A
FCF growth 1Y-20.71%
FCF growth 3Y0.29%
FCF growth 5Y-9.03%
OCF growth 1Y-20.77%
OCF growth 3Y0.47%
OCF growth 5Y-9.05%
ENGHOUSE SYSTEMS LTD / ENGH.CA Fundamental Analysis FAQ
Can you provide the ChartMill fundamental rating for ENGHOUSE SYSTEMS LTD?
ChartMill assigns a fundamental rating of 7 / 10 to ENGH.CA.
What is the valuation status for ENGH stock?
ChartMill assigns a valuation rating of 8 / 10 to ENGHOUSE SYSTEMS LTD (ENGH.CA). This can be considered as Undervalued.
What is the profitability of ENGH stock?
ENGHOUSE SYSTEMS LTD (ENGH.CA) has a profitability rating of 7 / 10.
How financially healthy is ENGHOUSE SYSTEMS LTD?
The financial health rating of ENGHOUSE SYSTEMS LTD (ENGH.CA) is 8 / 10.
How sustainable is the dividend of ENGHOUSE SYSTEMS LTD (ENGH.CA) stock?
The dividend rating of ENGHOUSE SYSTEMS LTD (ENGH.CA) is 6 / 10 and the dividend payout ratio is 83.91%.