FIRSTSERVICE CORP (FSV) Stock Fundamental Analysis
USA - NASDAQ:FSV - CA33767E2024 - Common Stock
188.72 USD
+1.01 (+0.54%)
188.72 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to FSV. FSV was compared to 64 industry peers in the Real Estate Management & Development industry. While FSV has a great profitability rating, 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.
FSV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FSV has a Return On Assets of 3.25%. This is amongst the best in the industry. FSV outperforms 81.25% of its industry peers.
FSV has a better Return On Equity (11.34%) than 90.63% of its industry peers.
FSV's Return On Invested Capital of 7.47% is amongst the best of the industry. FSV outperforms 90.63% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FSV is in line with the industry average of 6.56%.
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 67.19% 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 68.75% of its industry peers.
In the last couple of years the Operating Margin of FSV has remained more or less at the same level.
Looking at the Gross Margin, with a value of 33.22%, FSV is in the better half of the industry, outperforming 64.06% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FSV is destroying value.
The number of shares outstanding for FSV has been increased compared to 1 year ago.
Compared to 5 years ago, FSV has more shares outstanding
Compared to 1 year ago, FSV has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.42 indicates that FSV is not in any danger for bankruptcy at the moment.
The Altman-Z score of FSV (3.42) is better than 75.00% of its industry peers.
The Debt to FCF ratio of FSV is 5.04, which is a neutral value as it means it would take FSV, 5.04 years of fcf income to pay off all of its debts.
FSV has a Debt to FCF ratio of 5.04. This is in the better half of the industry: FSV outperforms 75.00% of its industry peers.
FSV has a Debt/Equity ratio of 0.98. This is a neutral value indicating 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 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.98 | ||
| Debt/FCF | 5.04 | ||
| Altman-Z | 3.42 |
ROIC/WACC0.9
WACC8.27%
2.3 Liquidity
A Current Ratio of 1.74 indicates that FSV should not have too much problems paying its short term obligations.
The Current ratio of FSV (1.74) is comparable to the rest of the industry.
FSV has a Quick Ratio of 1.43. This is a normal value and indicates that FSV is financially healthy and should not expect problems in meeting its short term obligations.
FSV has a Quick ratio (1.43) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.74 | ||
| Quick Ratio | 1.43 |
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.
The Revenue has grown by 16.68% in the past year. This is quite good.
Measured over the past years, FSV shows a quite strong growth in Revenue. The Revenue has been growing by 16.73% on average per year.
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 12.48% yearly.
The Revenue is expected to grow by 6.39% on average over the next years.
EPS Next Y18.78%
EPS Next 2Y13.49%
EPS Next 3Y12.48%
EPS Next 5YN/A
Revenue Next Year7.97%
Revenue Next 2Y7.58%
Revenue Next 3Y6.39%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
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 33.70, 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 71.88% of the companies are valued more expensively.
FSV is valuated rather expensively when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 29.30, which means the current valuation is very expensive for FSV.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FSV indicates a somewhat cheap valuation: FSV is cheaper than 78.13% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of FSV to the average of the S&P500 Index (23.32), we can say FSV is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.7 | ||
| Fwd PE | 29.3 |
4.2 Price Multiples
FSV's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. FSV is cheaper than 71.88% of the companies in the same industry.
FSV's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. FSV is cheaper than 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 34.93 | ||
| EV/EBITDA | 18.11 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of FSV may justify a higher PE ratio.
A more expensive valuation may be justified as FSV's earnings are expected to grow with 12.48% in the coming years.
PEG (NY)1.79
PEG (5Y)3.13
EPS Next 2Y13.49%
EPS Next 3Y12.48%
5. Dividend
5.1 Amount
FSV has a yearly dividend return of 0.55%, which is pretty low.
Compared to an average industry Dividend Yield of 3.51, FSV pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, FSV's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
5.2 History
The dividend of FSV is nicely growing with an annual growth rate of 11.41%!
FSV has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of FSV decreased recently.
Dividend Growth(5Y)11.41%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
32.66% of the earnings are spent on dividend by FSV. This is a low number and 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 2Y13.49%
EPS Next 3Y12.48%
188.72
+1.01 (+0.54%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners76.48%
Inst Owner Change-0.96%
Ins Owners9.37%
Ins Owner ChangeN/A
Market Cap8.61B
Analysts78.33
Price Target162.66 (-13.81%)
Short Float %0.62%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
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)-0.26%
PT rev (3m)4%
EPS NQ rev (1m)0.14%
EPS NQ rev (3m)-3.8%
EPS NY rev (1m)0.09%
EPS NY rev (3m)3.8%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.2%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.34%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.7 | ||
| Fwd PE | 29.3 | ||
| P/S | 1.59 | ||
| P/FCF | 34.93 | ||
| P/OCF | 23.4 | ||
| P/B | 6.87 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.11 |
EPS(TTM)5.6
EY2.97%
EPS(NY)6.44
Fwd EY3.41%
FCF(TTM)5.4
FCFY2.86%
OCF(TTM)8.07
OCFY4.27%
SpS119.03
BVpS27.45
TBVpS-20.09
PEG (NY)1.79
PEG (5Y)3.13
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 | 3.42 |
F-Score7
WACC8.27%
ROIC/WACC0.9
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 Y18.78%
EPS Next 2Y13.49%
EPS Next 3Y12.48%
EPS Next 5YN/A
Revenue 1Y (TTM)16.68%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%9.12%
Revenue Next Year7.97%
Revenue Next 2Y7.58%
Revenue Next 3Y6.39%
Revenue Next 5YN/A
EBIT growth 1Y33.31%
EBIT growth 3Y14.78%
EBIT growth 5Y16.98%
EBIT Next Year75.96%
EBIT Next 3Y25.91%
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%