FORTIS INC - FTSCN 6.123 PERP (FTS-PR-G.CA) Stock Fundamental Analysis
TSX:FTS-PR-G - Toronto Stock Exchange - CA3495538348 - Currency: CAD
Overall FTS-PR-G gets a fundamental rating of 4 out of 10. We evaluated FTS-PR-G against 19 industry peers in the Electric Utilities industry. There are concerns on the financial health of FTS-PR-G while its profitability can be described as average. FTS-PR-G has a valuation in line with the averages, but it does not seem to be growing. FTS-PR-G also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FTS-PR-G had positive earnings in the past year.
In the past year FTS-PR-G had a positive cash flow from operations.
In the past 5 years FTS-PR-G has always been profitable.
Each year in the past 5 years FTS-PR-G had a positive operating cash flow.
1.2 Ratios
FTS-PR-G has a Return On Assets (2.20%) which is in line with its industry peers.
FTS-PR-G has a Return On Equity of 6.82%. This is amonst the worse of the industry: FTS-PR-G underperforms 89.47% of its industry peers.
FTS-PR-G has a better Return On Invested Capital (4.04%) than 63.16% of its industry peers.
FTS-PR-G had an Average Return On Invested Capital over the past 3 years of 4.10%. This is in line with the industry average of 3.84%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.2% | ||
| ROE | 6.82% | ||
| ROIC | 4.04% |
ROA(3y)2.18%
ROA(5y)2.17%
ROE(3y)6.69%
ROE(5y)6.58%
ROIC(3y)4.1%
ROIC(5y)4.04%
1.3 Margins
FTS-PR-G has a better Profit Margin (14.03%) than 63.16% of its industry peers.
In the last couple of years the Profit Margin of FTS-PR-G has declined.
FTS-PR-G's Operating Margin of 28.73% is fine compared to the rest of the industry. FTS-PR-G outperforms 68.42% of its industry peers.
In the last couple of years the Operating Margin of FTS-PR-G has remained more or less at the same level.
With a decent Gross Margin value of 72.03%, FTS-PR-G is doing good in the industry, outperforming 68.42% of the companies in the same industry.
In the last couple of years the Gross Margin of FTS-PR-G has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.73% | ||
| PM (TTM) | 14.03% | ||
| GM | 72.03% |
OM growth 3Y3.06%
OM growth 5Y0.41%
PM growth 3Y2.32%
PM growth 5Y-5.83%
GM growth 3Y1.43%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FTS-PR-G is destroying value.
Compared to 1 year ago, FTS-PR-G has more shares outstanding
The number of shares outstanding for FTS-PR-G has been increased compared to 5 years ago.
The debt/assets ratio for FTS-PR-G is higher compared to a year ago.
2.2 Solvency
FTS-PR-G has an Altman-Z score of 0.51. This is a bad value and indicates that FTS-PR-G is not financially healthy and even has some risk of bankruptcy.
FTS-PR-G's Altman-Z score of 0.51 is in line compared to the rest of the industry. FTS-PR-G outperforms 57.89% of its industry peers.
A Debt/Equity ratio of 1.37 is on the high side and indicates that FTS-PR-G has dependencies on debt financing.
The Debt to Equity ratio of FTS-PR-G (1.37) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.51 |
ROIC/WACC0.62
WACC6.51%
2.3 Liquidity
A Current Ratio of 0.76 indicates that FTS-PR-G may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.76, FTS-PR-G is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
FTS-PR-G has a Quick Ratio of 0.76. This is a bad value and indicates that FTS-PR-G is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of FTS-PR-G (0.63) is better than 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
FTS-PR-G shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.72%.
FTS-PR-G shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 5.08% yearly.
The Revenue has been growing slightly by 3.64% in the past year.
The Revenue has been growing slightly by 5.55% on average over the past years.
EPS 1Y (TTM)7.72%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%7.53%
Revenue 1Y (TTM)3.64%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%7.06%
3.2 Future
Based on estimates for the next years, FTS-PR-G will show a small growth in Earnings Per Share. The EPS will grow by 5.32% on average per year.
FTS-PR-G is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.02% yearly.
EPS Next Y5.01%
EPS Next 2Y4.48%
EPS Next 3Y4.84%
EPS Next 5Y5.32%
Revenue Next Year5.39%
Revenue Next 2Y4.82%
Revenue Next 3Y4.06%
Revenue Next 5Y3.02%
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.
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
The Price/Earnings ratio is 6.81, which indicates a rather cheap valuation of FTS-PR-G.
Compared to the rest of the industry, the Price/Earnings ratio of FTS-PR-G is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.32, FTS-PR-G is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.37, the valuation of FTS-PR-G can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FTS-PR-G is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of FTS-PR-G to the average of the S&P500 Index (22.19), we can say FTS-PR-G is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.81 | ||
| Fwd PE | 6.37 |
4.2 Price Multiples
73.68% of the companies in the same industry are cheaper than FTS-PR-G, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.46 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.36
PEG (5Y)1.34
EPS Next 2Y4.48%
EPS Next 3Y4.84%
5. Dividend
5.1 Amount
FTS-PR-G has a Yearly Dividend Yield of 5.63%, which is a nice return.
Compared to an average industry Dividend Yield of 5.05, FTS-PR-G pays a better dividend. On top of this FTS-PR-G pays more dividend than 94.74% of the companies listed in the same industry.
FTS-PR-G's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.63% |
5.2 History
The dividend of FTS-PR-G has a limited annual growth rate of 5.61%.
FTS-PR-G has been paying a dividend for at least 10 years, so it has a reliable track record.
FTS-PR-G has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.61%
Div Incr Years2
Div Non Decr Years10
5.3 Sustainability
FTS-PR-G pays out 50.67% of its income as dividend. This is a bit on the high side, but may be sustainable.
FTS-PR-G's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP50.67%
EPS Next 2Y4.48%
EPS Next 3Y4.84%
TSX:FTS-PR-G (6/17/2025, 7:00:00 PM)
22.8
+0.1 (+0.44%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners55.26%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap11.44B
Analysts53.04
Price Target23.91 (4.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.63% |
Yearly Dividend1.65
Dividend Growth(5Y)5.61%
DP50.67%
Div Incr Years2
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)1.44%
Min EPS beat(2)1.1%
Max EPS beat(2)1.78%
EPS beat(4)4
Avg EPS beat(4)1.78%
Min EPS beat(4)1.1%
Max EPS beat(4)2.52%
EPS beat(8)7
Avg EPS beat(8)1.67%
EPS beat(12)10
Avg EPS beat(12)1.87%
EPS beat(16)10
Avg EPS beat(16)0.11%
Revenue beat(2)0
Avg Revenue beat(2)-5.78%
Min Revenue beat(2)-11.44%
Max Revenue beat(2)-0.12%
Revenue beat(4)0
Avg Revenue beat(4)-4.96%
Min Revenue beat(4)-11.44%
Max Revenue beat(4)-0.12%
Revenue beat(8)0
Avg Revenue beat(8)-5.1%
Revenue beat(12)4
Avg Revenue beat(12)0.41%
Revenue beat(16)8
Avg Revenue beat(16)1.55%
PT rev (1m)7.2%
PT rev (3m)5.48%
EPS NQ rev (1m)-0.98%
EPS NQ rev (3m)-0.37%
EPS NY rev (1m)0%
EPS NY rev (3m)0.13%
Revenue NQ rev (1m)-3.47%
Revenue NQ rev (3m)-5.23%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.81 | ||
| Fwd PE | 6.37 | ||
| P/S | 0.98 | ||
| P/FCF | N/A | ||
| P/OCF | 2.64 | ||
| P/B | 0.47 | ||
| P/tB | 1.22 | ||
| EV/EBITDA | 8.46 |
EPS(TTM)3.35
EY14.69%
EPS(NY)3.58
Fwd EY15.7%
FCF(TTM)-2.63
FCFYN/A
OCF(TTM)8.63
OCFY37.83%
SpS23.38
BVpS48.11
TBVpS18.62
PEG (NY)1.36
PEG (5Y)1.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.2% | ||
| ROE | 6.82% | ||
| ROCE | 4.86% | ||
| ROIC | 4.04% | ||
| ROICexc | 4.07% | ||
| ROICexgc | 5.19% | ||
| OM | 28.73% | ||
| PM (TTM) | 14.03% | ||
| GM | 72.03% | ||
| FCFM | N/A |
ROA(3y)2.18%
ROA(5y)2.17%
ROE(3y)6.69%
ROE(5y)6.58%
ROIC(3y)4.1%
ROIC(5y)4.04%
ROICexc(3y)4.12%
ROICexc(5y)4.06%
ROICexgc(3y)5.36%
ROICexgc(5y)5.34%
ROCE(3y)4.93%
ROCE(5y)4.87%
ROICexcg growth 3Y0.42%
ROICexcg growth 5Y-1.68%
ROICexc growth 3Y1.61%
ROICexc growth 5Y-0.39%
OM growth 3Y3.06%
OM growth 5Y0.41%
PM growth 3Y2.32%
PM growth 5Y-5.83%
GM growth 3Y1.43%
GM growth 5Y0.13%
F-Score5
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.37 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.18 | ||
| Cap/Depr | 285.98% | ||
| Cap/Sales | 48.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.97% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.76 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 0.51 |
F-Score5
WACC6.51%
ROIC/WACC0.62
Cap/Depr(3y)245.88%
Cap/Depr(5y)249.09%
Cap/Sales(3y)38.85%
Cap/Sales(5y)39.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)7.72%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%7.53%
EPS Next Y5.01%
EPS Next 2Y4.48%
EPS Next 3Y4.84%
EPS Next 5Y5.32%
Revenue 1Y (TTM)3.64%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%7.06%
Revenue Next Year5.39%
Revenue Next 2Y4.82%
Revenue Next 3Y4.06%
Revenue Next 5Y3.02%
EBIT growth 1Y7.64%
EBIT growth 3Y10.06%
EBIT growth 5Y5.99%
EBIT Next Year73.58%
EBIT Next 3Y25.68%
EBIT Next 5Y16.94%
FCF growth 1Y-81.46%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y36.24%
OCF growth 3Y10.12%
OCF growth 5Y7.71%