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EQB INC (EQB.CA) Stock Fundamental Analysis

TSX:EQB - Toronto Stock Exchange - CA26886R1047 - Common Stock - Currency: CAD

106.38  +0.09 (+0.08%)

Fundamental Rating

3

Taking everything into account, EQB scores 3 out of 10 in our fundamental rating. EQB was compared to 31 industry peers in the Banks industry. EQB has a bad profitability rating. Also its financial health evaluation is rather negative. EQB has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

In the past year EQB was profitable.
In the past year EQB has reported a negative cash flow from operations.
Each year in the past 5 years EQB has been profitable.
EQB had a positive operating cash flow in 4 of the past 5 years.
EQB.CA Yearly Net Income VS EBIT VS OCF VS FCFEQB.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M

1.2 Ratios

With a Return On Assets value of 0.73%, EQB perfoms like the industry average, outperforming 58.06% of the companies in the same industry.
EQB has a better Return On Equity (12.46%) than 61.29% of its industry peers.
Industry RankSector Rank
ROA 0.73%
ROE 12.46%
ROIC N/A
ROA(3y)0.68%
ROA(5y)0.69%
ROE(3y)12.55%
ROE(5y)12.94%
ROIC(3y)N/A
ROIC(5y)N/A
EQB.CA Yearly ROA, ROE, ROICEQB.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15

1.3 Margins

EQB has a better Profit Margin (31.05%) than 77.42% of its industry peers.
In the last couple of years the Profit Margin of EQB has declined.
The Operating Margin and Gross Margin are not available for EQB so they could not be analyzed.
Industry RankSector Rank
OM N/A
PM (TTM) 31.05%
GM N/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-7.68%
PM growth 5Y-6.21%
GM growth 3YN/A
GM growth 5YN/A
EQB.CA Yearly Profit, Operating, Gross MarginsEQB.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

0

2. Health

2.1 Basic Checks

EQB does not have a ROIC to compare to the WACC, probably because it is not profitable.
EQB has more shares outstanding than it did 1 year ago.
EQB has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, EQB has an improved debt to assets ratio.
EQB.CA Yearly Shares OutstandingEQB.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M
EQB.CA Yearly Total Debt VS Total AssetsEQB.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10B 20B 30B 40B 50B

2.2 Solvency

EQB has a Debt/Equity ratio of 4.72. This is a high value indicating a heavy dependency on external financing.
EQB's Debt to Equity ratio of 4.72 is on the low side compared to the rest of the industry. EQB is outperformed by 90.32% of its industry peers.
Industry RankSector Rank
Debt/Equity 4.72
Debt/FCF N/A
Altman-Z N/A
ROIC/WACCN/A
WACC9.18%
EQB.CA Yearly LT Debt VS Equity VS FCFEQB.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B 10B 15B

2.3 Liquidity

Industry RankSector Rank
Current Ratio N/A
Quick Ratio N/A
EQB.CA Yearly Current Assets VS Current LiabilitesEQB.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B

6

3. Growth

3.1 Past

The Earnings Per Share has been growing slightly by 4.80% over the past year.
EQB shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 12.51% yearly.
EQB shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.94%.
The Revenue has been growing by 27.26% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)4.8%
EPS 3Y1.88%
EPS 5Y12.51%
EPS Q2Q%-33.95%
Revenue 1Y (TTM)15.94%
Revenue growth 3Y31.22%
Revenue growth 5Y27.26%
Sales Q2Q%-26.03%

3.2 Future

The Earnings Per Share is expected to grow by 8.44% on average over the next years. This is quite good.
EQB is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.77% yearly.
EPS Next Y10.4%
EPS Next 2Y11.4%
EPS Next 3Y8.44%
EPS Next 5YN/A
Revenue Next Year11.72%
Revenue Next 2Y10.77%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
EQB.CA Yearly Revenue VS EstimatesEQB.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 200M 400M 600M 800M 1B
EQB.CA Yearly EPS VS EstimatesEQB.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 5 10

4

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 9.64 indicates a reasonable valuation of EQB.
Based on the Price/Earnings ratio, EQB is valued a bit more expensive than the industry average as 74.19% of the companies are valued more cheaply.
EQB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 30.19.
Based on the Price/Forward Earnings ratio of 8.73, the valuation of EQB can be described as reasonable.
Based on the Price/Forward Earnings ratio, EQB is valued a bit more expensive than 74.19% of the companies in the same industry.
EQB is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.58, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 9.64
Fwd PE 8.73
EQB.CA Price Earnings VS Forward Price EarningsEQB.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Industry RankSector Rank
P/FCF N/A
EV/EBITDA N/A
EQB.CA Per share dataEQB.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40 60 80

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.
PEG (NY)0.93
PEG (5Y)0.77
EPS Next 2Y11.4%
EPS Next 3Y8.44%

5

5. Dividend

5.1 Amount

EQB has a Yearly Dividend Yield of 1.84%. Purely for dividend investing, there may be better candidates out there.
With a Dividend Yield of 1.84, EQB pays less dividend than the industry average, which is at 4.01. 93.55% of the companies listed in the same industry pay a better dividend than EQB!
Compared to an average S&P500 Dividend Yield of 2.30, EQB has a dividend comparable with the average S&P500 company.
Industry RankSector Rank
Dividend Yield 1.84%

5.2 History

The dividend of EQB is nicely growing with an annual growth rate of 23.89%!
EQB has paid a dividend for at least 10 years, which is a reliable track record.
EQB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)23.89%
Div Incr Years2
Div Non Decr Years19
EQB.CA Yearly Dividends per shareEQB.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.5 1 1.5

5.3 Sustainability

EQB pays out 19.17% of its income as dividend. This is a sustainable payout ratio.
The dividend of EQB is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP19.17%
EPS Next 2Y11.4%
EPS Next 3Y8.44%
EQB.CA Yearly Income VS Free CF VS DividendEQB.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M -200M 400M 600M
EQB.CA Dividend Payout.EQB.CA Dividend Payout, showing the Payout Ratio.EQB.CA Dividend Payout.PayoutRetained Earnings

EQB INC

TSX:EQB (2/14/2025, 7:00:00 PM)

106.38

+0.09 (+0.08%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)12-04 2024-12-04/amc
Earnings (Next)02-25 2025-02-25
Inst Owners22.63%
Inst Owner ChangeN/A
Ins Owners1.57%
Ins Owner ChangeN/A
Market Cap4.09B
Analysts76.92
Price Target121.66 (14.36%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 1.84%
Yearly Dividend1.95
Dividend Growth(5Y)23.89%
DP19.17%
Div Incr Years2
Div Non Decr Years19
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-6.76%
Min EPS beat(2)-14.98%
Max EPS beat(2)1.45%
EPS beat(4)2
Avg EPS beat(4)-3.31%
Min EPS beat(4)-14.98%
Max EPS beat(4)4.01%
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)-8.02%
Min Revenue beat(2)-10.93%
Max Revenue beat(2)-5.12%
Revenue beat(4)0
Avg Revenue beat(4)-6.21%
Min Revenue beat(4)-10.93%
Max Revenue beat(4)-3.02%
Revenue beat(8)2
Avg Revenue beat(8)0.3%
Revenue beat(12)4
Avg Revenue beat(12)-0.18%
Revenue beat(16)7
Avg Revenue beat(16)1%
PT rev (1m)5.14%
PT rev (3m)11.7%
EPS NQ rev (1m)-4.53%
EPS NQ rev (3m)-7.15%
EPS NY rev (1m)-2.7%
EPS NY rev (3m)-2.7%
Revenue NQ rev (1m)8.8%
Revenue NQ rev (3m)-5.78%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.52%
Valuation
Industry RankSector Rank
PE 9.64
Fwd PE 8.73
P/S 3.26
P/FCF N/A
P/OCF N/A
P/B 1.31
P/tB 1.45
EV/EBITDA N/A
EPS(TTM)11.04
EY10.38%
EPS(NY)12.19
Fwd EY11.46%
FCF(TTM)-8.99
FCFYN/A
OCF(TTM)-7.24
OCFYN/A
SpS32.66
BVpS81.37
TBVpS73.32
PEG (NY)0.93
PEG (5Y)0.77
Profitability
Industry RankSector Rank
ROA 0.73%
ROE 12.46%
ROCE N/A
ROIC N/A
ROICexc N/A
ROICexgc N/A
OM N/A
PM (TTM) 31.05%
GM N/A
FCFM N/A
ROA(3y)0.68%
ROA(5y)0.69%
ROE(3y)12.55%
ROE(5y)12.94%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-7.68%
PM growth 5Y-6.21%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.02
Health
Industry RankSector Rank
Debt/Equity 4.72
Debt/FCF N/A
Debt/EBITDA N/A
Cap/Depr 112.2%
Cap/Sales 5.37%
Interest Coverage N/A
Cash Conversion N/A
Profit Quality N/A
Current Ratio N/A
Quick Ratio N/A
Altman-Z N/A
F-Score6
WACC9.18%
ROIC/WACCN/A
Cap/Depr(3y)131.19%
Cap/Depr(5y)126.64%
Cap/Sales(3y)7.05%
Cap/Sales(5y)6.04%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)4.8%
EPS 3Y1.88%
EPS 5Y12.51%
EPS Q2Q%-33.95%
EPS Next Y10.4%
EPS Next 2Y11.4%
EPS Next 3Y8.44%
EPS Next 5YN/A
Revenue 1Y (TTM)15.94%
Revenue growth 3Y31.22%
Revenue growth 5Y27.26%
Sales Q2Q%-26.03%
Revenue Next Year11.72%
Revenue Next 2Y10.77%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-640.06%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-1030.58%
OCF growth 3YN/A
OCF growth 5YN/A