FIRSTSERVICE CORP (FSV) Stock Fundamental Analysis
USA - NASDAQ:FSV - CA33767E2024 - Common Stock
204.41 USD
-4.02 (-1.93%)
204.41 USD
0 (0%)
Taking everything into account, FSV scores 6 out of 10 in our fundamental rating. FSV was compared to 63 industry peers in the Real Estate Management & Development industry. FSV has an excellent profitability rating, but there are some minor concerns on its financial health. FSV has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
FSV had positive earnings in the past year.
In the past year FSV had a positive cash flow from operations.
In the past 5 years FSV has always been profitable.
In the past 5 years FSV always reported a positive cash flow from operatings.
1.2 Ratios
FSV has a Return On Assets of 3.25%. This is amongst the best in the industry. FSV outperforms 82.54% of its industry peers.
The Return On Equity of FSV (11.34%) is better than 92.06% of its industry peers.
With an excellent Return On Invested Capital value of 7.47%, FSV belongs to the best of the industry, outperforming 90.48% 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 6.46%.
The last Return On Invested Capital (7.47%) for FSV is above the 3 year average (7.12%), which is a sign of increasing profitability.
| 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
Looking at the Profit Margin, with a value of 2.61%, FSV is in the better half of the industry, outperforming 69.84% of the companies in the same industry.
FSV's Profit Margin has declined in the last couple of years.
FSV's Operating Margin of 6.52% is fine compared to the rest of the industry. FSV outperforms 68.25% 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's Gross Margin of 33.22% is fine compared to the rest of the industry. FSV outperforms 65.08% of its industry peers.
FSV's Gross Margin has been stable in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FSV is destroying value.
Compared to 1 year ago, FSV has more shares outstanding
The number of shares outstanding for FSV has been increased compared to 5 years ago.
FSV has a better debt/assets ratio than last year.
2.2 Solvency
FSV has an Altman-Z score of 3.59. This indicates that FSV is financially healthy and has little risk of bankruptcy at the moment.
FSV's Altman-Z score of 3.59 is fine compared to the rest of the industry. FSV outperforms 74.60% of its industry peers.
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.
FSV has a better Debt to FCF ratio (5.04) than 74.60% of its industry peers.
A Debt/Equity ratio of 0.98 indicates that FSV is somewhat dependend on debt financing.
FSV's Debt to Equity ratio of 0.98 is on the low side compared to the rest of the industry. FSV is outperformed by 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 5.04 | ||
| Altman-Z | 3.59 |
ROIC/WACC0.86
WACC8.65%
2.3 Liquidity
FSV has a Current Ratio of 1.74. This is a normal value and indicates that FSV is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of FSV (1.74) is better than 60.32% of its industry peers.
A Quick Ratio of 1.43 indicates that FSV should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.43, FSV is in line with its industry, outperforming 50.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.43 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 27.56% over the past year.
The Earnings Per Share has been growing by 10.76% on average over the past years. This is quite good.
The Revenue has grown by 16.68% in the past year. This is quite good.
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
FSV is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.19% yearly.
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 Y18.67%
EPS Next 2Y13.4%
EPS Next 3Y12.19%
EPS Next 5YN/A
Revenue Next Year7.91%
Revenue Next 2Y7.52%
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
Based on the Price/Earnings ratio of 36.50, the valuation of FSV can be described as expensive.
73.02% of the companies in the same industry are more expensive than FSV, based on the Price/Earnings ratio.
FSV is valuated rather expensively when we compare the Price/Earnings ratio to 27.30, which is the current average of the S&P500 Index.
FSV is valuated quite expensively with a Price/Forward Earnings ratio of 31.79.
77.78% 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 (22.73), we can say FSV is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.5 | ||
| Fwd PE | 31.79 |
4.2 Price Multiples
73.02% of the companies in the same industry are more expensive than FSV, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, FSV is valued a bit cheaper than 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.79 | ||
| EV/EBITDA | 19.78 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FSV does not grow enough to justify the current Price/Earnings ratio.
FSV has a very decent profitability rating, which may justify a higher PE ratio.
FSV's earnings are expected to grow with 12.19% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.95
PEG (5Y)3.39
EPS Next 2Y13.4%
EPS Next 3Y12.19%
5. Dividend
5.1 Amount
With a yearly dividend of 0.51%, FSV is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.54, FSV pays a better dividend. On top of this FSV pays more dividend than 80.95% of the companies listed in the same industry.
With a Dividend Yield of 0.51, FSV pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.51% |
5.2 History
On average, the dividend of FSV grows each year by 11.41%, which is quite nice.
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.
FSV's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP32.66%
EPS Next 2Y13.4%
EPS Next 3Y12.19%
204.41
-4.02 (-1.93%)
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 Change-0.96%
Ins Owners9.35%
Ins Owner ChangeN/A
Market Cap9.31B
Analysts78.33
Price Target163.08 (-20.22%)
Short Float %0.56%
Short Ratio1.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.51% |
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)4.41%
PT rev (3m)4.22%
EPS NQ rev (1m)-1.63%
EPS NQ rev (3m)-1%
EPS NY rev (1m)3.71%
EPS NY rev (3m)3.71%
Revenue NQ rev (1m)-0.07%
Revenue NQ rev (3m)1.57%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.5 | ||
| Fwd PE | 31.79 | ||
| P/S | 1.72 | ||
| P/FCF | 37.79 | ||
| P/OCF | 25.31 | ||
| P/B | 7.44 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.78 |
EPS(TTM)5.6
EY2.74%
EPS(NY)6.43
Fwd EY3.15%
FCF(TTM)5.41
FCFY2.65%
OCF(TTM)8.07
OCFY3.95%
SpS119.16
BVpS27.48
TBVpS-20.11
PEG (NY)1.95
PEG (5Y)3.39
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 | 1.43 | ||
| Altman-Z | 3.59 |
F-Score7
WACC8.65%
ROIC/WACC0.86
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 Y18.67%
EPS Next 2Y13.4%
EPS Next 3Y12.19%
EPS Next 5YN/A
Revenue 1Y (TTM)16.68%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%9.12%
Revenue Next Year7.91%
Revenue Next 2Y7.52%
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%