FIRST NATIONAL FINANCIAL - FNCN 4.72 PERP (FN-PR-B.CA) Stock Fundamental Analysis
TSX:FN-PR-B - Toronto Stock Exchange - CA33564P3016 - Currency: CAD
We assign a fundamental rating of 3 out of 10 to FN-PR-B. FN-PR-B was compared to 29 industry peers in the Financial Services industry. Both the profitability and financial health of FN-PR-B have multiple concerns. A decent growth rate in combination with a cheap valuation! Better keep an eye on FN-PR-B.
1. Profitability
1.1 Basic Checks
In the past year FN-PR-B was profitable.
In the past year FN-PR-B has reported a negative cash flow from operations.
FN-PR-B had positive earnings in each of the past 5 years.
FN-PR-B had negative operating cash flow in 4 of the past 5 years.
1.2 Ratios
FN-PR-B has a worse Return On Assets (0.33%) than 79.31% of its industry peers.
With an excellent Return On Equity value of 24.34%, FN-PR-B belongs to the best of the industry, outperforming 96.55% of the companies in the same industry.
FN-PR-B has a Return On Invested Capital of 0.34%. This is amonst the worse of the industry: FN-PR-B underperforms 89.66% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FN-PR-B is significantly below the industry average of 5.87%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | 24.34% | ||
| ROIC | 0.34% |
ROA(3y)0.46%
ROA(5y)0.46%
ROE(3y)29.54%
ROE(5y)30.93%
ROIC(3y)0.47%
ROIC(5y)0.47%
1.3 Margins
FN-PR-B's Profit Margin of 7.82% is on the low side compared to the rest of the industry. FN-PR-B is outperformed by 62.07% of its industry peers.
FN-PR-B's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 10.85%, FN-PR-B is doing worse than 82.76% of the companies in the same industry.
In the last couple of years the Operating Margin of FN-PR-B has declined.
FN-PR-B's Gross Margin of 25.05% is in line compared to the rest of the industry. FN-PR-B outperforms 58.62% of its industry peers.
FN-PR-B's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.85% | ||
| PM (TTM) | 7.82% | ||
| GM | 25.05% |
OM growth 3Y-12.95%
OM growth 5Y-7.29%
PM growth 3Y-13.2%
PM growth 5Y-7.28%
GM growth 3Y-10.39%
GM growth 5Y-2.89%
2. Health
2.1 Basic Checks
FN-PR-B has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, FN-PR-B has about the same amount of shares outstanding.
FN-PR-B has about the same amout of shares outstanding than it did 5 years ago.
Compared to 1 year ago, FN-PR-B has a worse debt to assets ratio.
2.2 Solvency
FN-PR-B has an Altman-Z score of -0.01. This is a bad value and indicates that FN-PR-B is not financially healthy and even has some risk of bankruptcy.
FN-PR-B has a Altman-Z score of -0.01. This is amonst the worse of the industry: FN-PR-B underperforms 89.66% of its industry peers.
FN-PR-B has a Debt/Equity ratio of 71.34. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 71.34, FN-PR-B is doing worse than 89.66% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 71.34 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.01 |
ROIC/WACC0.14
WACC2.41%
2.3 Liquidity
A Current Ratio of 0.05 indicates that FN-PR-B may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.05, FN-PR-B is in line with its industry, outperforming 41.38% of the companies in the same industry.
FN-PR-B has a Quick Ratio of 0.05. This is a bad value and indicates that FN-PR-B is not financially healthy enough and could expect problems in meeting its short term obligations.
FN-PR-B has a Quick ratio (0.05) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 |
3. Growth
3.1 Past
The earnings per share for FN-PR-B have decreased strongly by -33.71% in the last year.
Measured over the past 5 years, FN-PR-B shows a small growth in Earnings Per Share. The EPS has been growing by 2.03% on average per year.
Looking at the last year, FN-PR-B shows a small growth in Revenue. The Revenue has grown by 5.57% in the last year.
The Revenue has been growing by 10.82% on average over the past years. This is quite good.
EPS 1Y (TTM)-33.71%
EPS 3Y1.44%
EPS 5Y2.03%
EPS Q2Q%-52.44%
Revenue 1Y (TTM)5.57%
Revenue growth 3Y16.71%
Revenue growth 5Y10.82%
Sales Q2Q%-12.86%
3.2 Future
The Earnings Per Share is expected to grow by 17.01% on average over the next years. This is quite good.
Based on estimates for the next years, FN-PR-B will show a quite strong growth in Revenue. The Revenue will grow by 8.40% on average per year.
EPS Next Y22.02%
EPS Next 2Y17.01%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.9%
Revenue Next 2Y7.06%
Revenue Next 3Y8.4%
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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
FN-PR-B is valuated cheaply with a Price/Earnings ratio of 5.50.
FN-PR-B's Price/Earnings ratio is rather cheap when compared to the industry. FN-PR-B is cheaper than 93.10% of the companies in the same industry.
When comparing the Price/Earnings ratio of FN-PR-B to the average of the S&P500 Index (26.55), we can say FN-PR-B is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 3.50, the valuation of FN-PR-B can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FN-PR-B indicates a rather cheap valuation: FN-PR-B is cheaper than 96.55% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.30. FN-PR-B is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.5 | ||
| Fwd PE | 3.5 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FN-PR-B is valued a bit cheaper than 72.41% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 187.42 |
4.3 Compensation for Growth
FN-PR-B's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FN-PR-B's earnings are expected to grow with 17.01% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.25
PEG (5Y)2.7
EPS Next 2Y17.01%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.54%, FN-PR-B is a good candidate for dividend investing.
FN-PR-B's Dividend Yield is comparable with the industry average which is at 6.44.
FN-PR-B's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.54% |
5.2 History
The dividend of FN-PR-B has a limited annual growth rate of 4.25%.
FN-PR-B has been paying a dividend for at least 10 years, so it has a reliable track record.
FN-PR-B has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)4.25%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
104.34% of the earnings are spent on dividend by FN-PR-B. This is not a sustainable payout ratio.
FN-PR-B's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP104.34%
EPS Next 2Y17.01%
EPS Next 3YN/A
FIRST NATIONAL FINANCIAL - FNCN 4.72 PERP
TSX:FN-PR-B (6/6/2025, 7:00:00 PM)
16
0 (0%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupFinancial Services
GICS IndustryFinancial Services
Earnings (Last)
Earnings (Next)
Inst Owners4.08%
Inst Owner ChangeN/A
Ins Owners71.45%
Ins Owner ChangeN/A
Market Cap959.52M
Analysts76.92
Price Target17.07 (6.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.54% |
Yearly Dividend3.02
Dividend Growth(5Y)4.25%
DP104.34%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-22.02%
Min EPS beat(2)-51.46%
Max EPS beat(2)7.42%
EPS beat(4)1
Avg EPS beat(4)-22.68%
Min EPS beat(4)-51.46%
Max EPS beat(4)7.42%
EPS beat(8)3
Avg EPS beat(8)3.62%
EPS beat(12)5
Avg EPS beat(12)3.49%
EPS beat(16)6
Avg EPS beat(16)-0.02%
Revenue beat(2)1
Avg Revenue beat(2)-7.9%
Min Revenue beat(2)-18.02%
Max Revenue beat(2)2.22%
Revenue beat(4)1
Avg Revenue beat(4)-11.56%
Min Revenue beat(4)-18.02%
Max Revenue beat(4)2.22%
Revenue beat(8)4
Avg Revenue beat(8)17.08%
Revenue beat(12)8
Avg Revenue beat(12)47.66%
Revenue beat(16)12
Avg Revenue beat(16)56.65%
PT rev (1m)-1.34%
PT rev (3m)0.76%
EPS NQ rev (1m)-6.51%
EPS NQ rev (3m)-14.69%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.52%
Revenue NQ rev (1m)-1.09%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.5 | ||
| Fwd PE | 3.5 | ||
| P/S | 0.43 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 1.34 | ||
| P/tB | 1.4 | ||
| EV/EBITDA | 187.42 |
EPS(TTM)2.91
EY18.19%
EPS(NY)4.57
Fwd EY28.58%
FCF(TTM)-12.62
FCFYN/A
OCF(TTM)-12.56
OCFYN/A
SpS37.15
BVpS11.94
TBVpS11.44
PEG (NY)0.25
PEG (5Y)2.7
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.33% | ||
| ROE | 24.34% | ||
| ROCE | 0.51% | ||
| ROIC | 0.34% | ||
| ROICexc | 0.34% | ||
| ROICexgc | 0.34% | ||
| OM | 10.85% | ||
| PM (TTM) | 7.82% | ||
| GM | 25.05% | ||
| FCFM | N/A |
ROA(3y)0.46%
ROA(5y)0.46%
ROE(3y)29.54%
ROE(5y)30.93%
ROIC(3y)0.47%
ROIC(5y)0.47%
ROICexc(3y)0.47%
ROICexc(5y)0.47%
ROICexgc(3y)0.47%
ROICexgc(5y)0.47%
ROCE(3y)0.7%
ROCE(5y)0.71%
ROICexcg growth 3Y-4.65%
ROICexcg growth 5Y-3.34%
ROICexc growth 3Y-4.64%
ROICexc growth 5Y-3.34%
OM growth 3Y-12.95%
OM growth 5Y-7.29%
PM growth 3Y-13.2%
PM growth 5Y-7.28%
GM growth 3Y-10.39%
GM growth 5Y-2.89%
F-Score2
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 71.34 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 200 | ||
| Cap/Depr | 25.15% | ||
| Cap/Sales | 0.15% | ||
| Interest Coverage | 0.17 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 | ||
| Altman-Z | -0.01 |
F-Score2
WACC2.41%
ROIC/WACC0.14
Cap/Depr(3y)54.65%
Cap/Depr(5y)111.75%
Cap/Sales(3y)0.43%
Cap/Sales(5y)0.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-33.71%
EPS 3Y1.44%
EPS 5Y2.03%
EPS Q2Q%-52.44%
EPS Next Y22.02%
EPS Next 2Y17.01%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.57%
Revenue growth 3Y16.71%
Revenue growth 5Y10.82%
Sales Q2Q%-12.86%
Revenue Next Year3.9%
Revenue Next 2Y7.06%
Revenue Next 3Y8.4%
Revenue Next 5YN/A
EBIT growth 1Y-33.42%
EBIT growth 3Y1.6%
EBIT growth 5Y2.74%
EBIT Next Year-98.05%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-161.79%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-161.01%
OCF growth 3YN/A
OCF growth 5YN/A