FIRSTSERVICE CORP (FSV) Stock Fundamental Analysis
NASDAQ:FSV - Nasdaq - CA33767E2024 - Common Stock - Currency: USD
Overall FSV gets a fundamental rating of 5 out of 10. We evaluated FSV against 64 industry peers in the Real Estate Management & Development industry. FSV has an excellent profitability rating, but there are concerns on its financial health. FSV has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year FSV was profitable.
In the past year FSV had a positive cash flow from operations.
FSV had positive earnings in each of the past 5 years.
FSV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FSV has a better Return On Assets (3.25%) than 85.94% of its industry peers.
FSV has a Return On Equity of 11.34%. This is amongst the best in the industry. FSV outperforms 93.75% of its industry peers.
Looking at the Return On Invested Capital, with a value of 7.47%, FSV belongs to the top of the industry, outperforming 92.19% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for FSV is in line with the industry average of 5.64%.
The 3 year average ROIC (7.12%) for FSV is below the current ROIC(7.47%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.25% | ||
| ROE | 11.34% | ||
| ROIC | 7.47% |
ROA(3y)3.45%
ROA(5y)3.94%
ROE(3y)11.49%
ROE(5y)12.92%
ROIC(3y)7.12%
ROIC(5y)7.44%
1.3 Margins
FSV has a better Profit Margin (2.61%) than 70.31% of its industry peers.
In the last couple of years the Profit Margin of FSV has declined.
The Operating Margin of FSV (6.52%) is better than 71.88% of its industry peers.
In the last couple of years the Operating Margin of FSV has remained more or less at the same level.
FSV has a Gross Margin of 33.22%. This is in the better half of the industry: FSV outperforms 62.50% of its industry peers.
In the last couple of years the Gross Margin of FSV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.52% | ||
| PM (TTM) | 2.61% | ||
| GM | 33.22% |
OM growth 3Y-1.98%
OM growth 5Y0.22%
PM growth 3Y-14.78%
PM growth 5YN/A
GM growth 3Y0.75%
GM growth 5Y0.5%
2. Health
2.1 Basic Checks
FSV has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for FSV has been increased compared to 1 year ago.
The number of shares outstanding for FSV has been increased compared to 5 years ago.
The debt/assets ratio for FSV has been reduced compared to a year ago.
2.2 Solvency
FSV has a debt to FCF ratio of 5.04. This is a neutral value as FSV would need 5.04 years to pay back of all of its debts.
The Debt to FCF ratio of FSV (5.04) is better than 79.69% of its industry peers.
A Debt/Equity ratio of 0.98 indicates that FSV is somewhat dependend on debt financing.
FSV has a Debt to Equity ratio of 0.98. This is in the lower half of the industry: FSV underperforms 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 5.04 | ||
| Altman-Z | N/A |
ROIC/WACC0.99
WACC7.54%
2.3 Liquidity
A Current Ratio of 1.74 indicates that FSV should not have too much problems paying its short term obligations.
FSV has a Current ratio (1.74) which is comparable to the rest of the industry.
A Quick Ratio of 1.74 indicates that FSV should not have too much problems paying its short term obligations.
The Quick ratio of FSV (1.74) is better than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.74 |
3. Growth
3.1 Past
FSV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 27.56%, which is quite impressive.
FSV shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.76% yearly.
Looking at the last year, FSV shows a quite strong growth in Revenue. The Revenue has grown by 16.68% in the last year.
The Revenue has been growing by 16.73% on average over the past years. This is quite good.
EPS 1Y (TTM)27.56%
EPS 3Y2.97%
EPS 5Y10.76%
EPS Q2Q%25.74%
Revenue 1Y (TTM)16.68%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%9.12%
3.2 Future
Based on estimates for the next years, FSV will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.41% on average per year.
Based on estimates for the next years, FSV will show a small growth in Revenue. The Revenue will grow by 6.24% on average per year.
EPS Next Y14.43%
EPS Next 2Y12.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.85%
Revenue Next 2Y7.5%
Revenue Next 3Y6.24%
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 stable.
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
With a Price/Earnings ratio of 35.23, FSV can be considered very expensive at the moment.
Based on the Price/Earnings ratio, FSV is valued a bit cheaper than the industry average as 73.44% of the companies are valued more expensively.
FSV's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.03.
Based on the Price/Forward Earnings ratio of 31.23, the valuation of FSV can be described as expensive.
76.56% of the companies in the same industry are more expensive than FSV, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of FSV to the average of the S&P500 Index (36.28), we can say FSV is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.23 | ||
| Fwd PE | 31.23 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FSV is valued a bit cheaper than 71.88% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FSV indicates a somewhat cheap valuation: FSV is cheaper than 76.56% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.4 | ||
| EV/EBITDA | 18.79 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of FSV may justify a higher PE ratio.
FSV's earnings are expected to grow with 12.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.44
PEG (5Y)3.28
EPS Next 2Y12.41%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.52%, FSV is not a good candidate for dividend investing.
FSV's Dividend Yield is a higher than the industry average which is at 3.59.
With a Dividend Yield of 0.52, FSV pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
5.2 History
The dividend of FSV is nicely growing with an annual growth rate of 11.41%!
FSV has been paying a dividend for at least 10 years, so it has a reliable track record.
FSV has decreased its dividend recently.
Dividend Growth(5Y)11.41%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
FSV pays out 32.66% of its income as dividend. This is a sustainable payout ratio.
The dividend of FSV is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP32.66%
EPS Next 2Y12.41%
EPS Next 3YN/A
197.28
+0.48 (+0.24%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners75.99%
Inst Owner Change0.12%
Ins Owners9.35%
Ins Owner ChangeN/A
Market Cap8.97B
Analysts78.33
Price Target156.19 (-20.83%)
Short Float %0.73%
Short Ratio2.36
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.52% |
Yearly Dividend0.97
Dividend Growth(5Y)11.41%
DP32.66%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.48%
Min EPS beat(2)10.08%
Max EPS beat(2)14.88%
EPS beat(4)3
Avg EPS beat(4)8.8%
Min EPS beat(4)-3.07%
Max EPS beat(4)14.88%
EPS beat(8)4
Avg EPS beat(8)2.95%
EPS beat(12)7
Avg EPS beat(12)2.95%
EPS beat(16)10
Avg EPS beat(16)4.67%
Revenue beat(2)1
Avg Revenue beat(2)-1.38%
Min Revenue beat(2)-2.81%
Max Revenue beat(2)0.05%
Revenue beat(4)3
Avg Revenue beat(4)1.24%
Min Revenue beat(4)-2.81%
Max Revenue beat(4)5.84%
Revenue beat(8)6
Avg Revenue beat(8)1.24%
Revenue beat(12)10
Avg Revenue beat(12)1.96%
Revenue beat(16)14
Avg Revenue beat(16)1.84%
PT rev (1m)-0.14%
PT rev (3m)0.73%
EPS NQ rev (1m)-2.35%
EPS NQ rev (3m)0.64%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)1.64%
Revenue NY rev (1m)0.23%
Revenue NY rev (3m)-0.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.23 | ||
| Fwd PE | 31.23 | ||
| P/S | 1.65 | ||
| P/FCF | 36.4 | ||
| P/OCF | 24.38 | ||
| P/B | 7.16 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.79 |
EPS(TTM)5.6
EY2.84%
EPS(NY)6.32
Fwd EY3.2%
FCF(TTM)5.42
FCFY2.75%
OCF(TTM)8.09
OCFY4.1%
SpS119.4
BVpS27.54
TBVpS-20.15
PEG (NY)2.44
PEG (5Y)3.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.25% | ||
| ROE | 11.34% | ||
| ROCE | 10.29% | ||
| ROIC | 7.47% | ||
| ROICexc | 7.93% | ||
| ROICexgc | 24.04% | ||
| OM | 6.52% | ||
| PM (TTM) | 2.61% | ||
| GM | 33.22% | ||
| FCFM | 4.54% |
ROA(3y)3.45%
ROA(5y)3.94%
ROE(3y)11.49%
ROE(5y)12.92%
ROIC(3y)7.12%
ROIC(5y)7.44%
ROICexc(3y)7.62%
ROICexc(5y)8.09%
ROICexgc(3y)22.51%
ROICexgc(5y)26.24%
ROCE(3y)9.82%
ROCE(5y)10.25%
ROICexcg growth 3Y-9.1%
ROICexcg growth 5Y0.26%
ROICexc growth 3Y-5.76%
ROICexc growth 5Y0.74%
OM growth 3Y-1.98%
OM growth 5Y0.22%
PM growth 3Y-14.78%
PM growth 5YN/A
GM growth 3Y0.75%
GM growth 5Y0.5%
F-Score7
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 5.04 | ||
| Debt/EBITDA | 2.31 | ||
| Cap/Depr | 67.81% | ||
| Cap/Sales | 2.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.05% | ||
| Profit Quality | 173.63% | ||
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.74 | ||
| Altman-Z | N/A |
F-Score7
WACC7.54%
ROIC/WACC0.99
Cap/Depr(3y)70.4%
Cap/Depr(5y)62.01%
Cap/Sales(3y)2.12%
Cap/Sales(5y)1.92%
Profit Quality(3y)112.97%
Profit Quality(5y)141.74%
High Growth Momentum
Growth
EPS 1Y (TTM)27.56%
EPS 3Y2.97%
EPS 5Y10.76%
EPS Q2Q%25.74%
EPS Next Y14.43%
EPS Next 2Y12.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)16.68%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%9.12%
Revenue Next Year7.85%
Revenue Next 2Y7.5%
Revenue Next 3Y6.24%
Revenue Next 5YN/A
EBIT growth 1Y33.31%
EBIT growth 3Y14.78%
EBIT growth 5Y16.98%
EBIT Next Year73.62%
EBIT Next 3Y24.85%
EBIT Next 5YN/A
FCF growth 1Y471.6%
FCF growth 3Y16.6%
FCF growth 5Y23.08%
OCF growth 1Y186.14%
OCF growth 3Y19.53%
OCF growth 5Y21.52%