FORTIS INC - FTSCN 4 3/4 PERP (FTS-PR-J.CA) Stock Fundamental Analysis
Canada - TSX:FTS-PR-J - CA3495537928
22.5 CAD
+0.14 (+0.63%)
Taking everything into account, FTS-PR-J scores 4 out of 10 in our fundamental rating. FTS-PR-J was compared to 18 industry peers in the Electric Utilities industry. FTS-PR-J has an excellent profitability rating, but there are concerns on its financial health. FTS-PR-J is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year FTS-PR-J was profitable.
FTS-PR-J had a positive operating cash flow in the past year.
FTS-PR-J had positive earnings in each of the past 5 years.
FTS-PR-J had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FTS-PR-J has a better Return On Assets (2.33%) than 77.78% of its industry peers.
The Return On Equity of FTS-PR-J (7.19%) is better than 77.78% of its industry peers.
FTS-PR-J has a Return On Invested Capital of 4.27%. This is amongst the best in the industry. FTS-PR-J outperforms 83.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FTS-PR-J is in line with the industry average of 4.02%.
The last Return On Invested Capital (4.27%) for FTS-PR-J is above the 3 year average (4.10%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 7.19% | ||
| ROIC | 4.27% |
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
With a decent Profit Margin value of 14.31%, FTS-PR-J is doing good in the industry, outperforming 77.78% of the companies in the same industry.
FTS-PR-J's Profit Margin has declined in the last couple of years.
FTS-PR-J has a better Operating Margin (28.90%) than 88.89% of its industry peers.
FTS-PR-J's Operating Margin has been stable in the last couple of years.
Looking at the Gross Margin, with a value of 72.37%, FTS-PR-J belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
FTS-PR-J's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.9% | ||
| PM (TTM) | 14.31% | ||
| GM | 72.37% |
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
FTS-PR-J 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, FTS-PR-J has more shares outstanding
The number of shares outstanding for FTS-PR-J has been increased compared to 5 years ago.
FTS-PR-J has a worse debt/assets ratio than last year.
2.2 Solvency
FTS-PR-J has an Altman-Z score of 0.51. This is a bad value and indicates that FTS-PR-J is not financially healthy and even has some risk of bankruptcy.
FTS-PR-J's Altman-Z score of 0.51 is in line compared to the rest of the industry. FTS-PR-J outperforms 55.56% of its industry peers.
A Debt/Equity ratio of 1.33 is on the high side and indicates that FTS-PR-J has dependencies on debt financing.
FTS-PR-J has a Debt to Equity ratio of 1.33. This is amongst the best in the industry. FTS-PR-J outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.51 |
ROIC/WACC0.86
WACC4.95%
2.3 Liquidity
A Current Ratio of 0.58 indicates that FTS-PR-J may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.58, FTS-PR-J is doing worse than 61.11% of the companies in the same industry.
FTS-PR-J has a Quick Ratio of 0.58. This is a bad value and indicates that FTS-PR-J is not financially healthy enough and could expect problems in meeting its short term obligations.
FTS-PR-J has a Quick ratio of 0.47. This is in the lower half of the industry: FTS-PR-J underperforms 61.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.86% over the past year.
FTS-PR-J 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 4.22% in the past year.
Measured over the past years, FTS-PR-J shows a small growth in Revenue. The Revenue has been growing by 5.55% on average per year.
EPS 1Y (TTM)8.86%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%13.43%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%5.43%
3.2 Future
The Earnings Per Share is expected to grow by 5.70% on average over the next years.
FTS-PR-J is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.62% yearly.
EPS Next Y6.96%
EPS Next 2Y4.95%
EPS Next 3Y4.98%
EPS Next 5Y5.7%
Revenue Next Year4.8%
Revenue Next 2Y4.44%
Revenue Next 3Y4.85%
Revenue Next 5Y3.62%
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.
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
FTS-PR-J is valuated cheaply with a Price/Earnings ratio of 6.54.
72.22% of the companies in the same industry are more expensive than FTS-PR-J, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of FTS-PR-J to the average of the S&P500 Index (27.69), we can say FTS-PR-J is valued rather cheaply.
The Price/Forward Earnings ratio is 6.23, which indicates a rather cheap valuation of FTS-PR-J.
72.22% of the companies in the same industry are more expensive than FTS-PR-J, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.18. FTS-PR-J is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.54 | ||
| Fwd PE | 6.23 |
4.2 Price Multiples
FTS-PR-J's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.2 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of FTS-PR-J may justify a higher PE ratio.
PEG (NY)0.94
PEG (5Y)1.29
EPS Next 2Y4.95%
EPS Next 3Y4.98%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.40%, FTS-PR-J has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.87, FTS-PR-J is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.34, FTS-PR-J pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.4% |
5.2 History
The dividend of FTS-PR-J has a limited annual growth rate of 5.61%.
FTS-PR-J has paid a dividend for at least 10 years, which is a reliable track record.
FTS-PR-J 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 Years0
Div Non Decr Years10
5.3 Sustainability
49.62% of the earnings are spent on dividend by FTS-PR-J. This is a bit on the high side, but may be sustainable.
The dividend of FTS-PR-J is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP49.62%
EPS Next 2Y4.95%
EPS Next 3Y4.98%
TSX:FTS-PR-J (10/20/2025, 7:00:00 PM)
22.5
+0.14 (+0.63%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners55.56%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap11.37B
Analysts64.76
Price Target23.39 (3.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.4% |
Yearly Dividend1.65
Dividend Growth(5Y)5.61%
DP49.62%
Div Incr Years0
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.58%
Min EPS beat(2)1.78%
Max EPS beat(2)7.39%
EPS beat(4)4
Avg EPS beat(4)3.2%
Min EPS beat(4)1.1%
Max EPS beat(4)7.39%
EPS beat(8)8
Avg EPS beat(8)2.61%
EPS beat(12)11
Avg EPS beat(12)2.94%
EPS beat(16)11
Avg EPS beat(16)1.01%
Revenue beat(2)1
Avg Revenue beat(2)0.59%
Min Revenue beat(2)-0.12%
Max Revenue beat(2)1.3%
Revenue beat(4)1
Avg Revenue beat(4)-4.01%
Min Revenue beat(4)-11.44%
Max Revenue beat(4)1.3%
Revenue beat(8)1
Avg Revenue beat(8)-4.67%
Revenue beat(12)4
Avg Revenue beat(12)-0.26%
Revenue beat(16)8
Avg Revenue beat(16)1.34%
PT rev (1m)-1.54%
PT rev (3m)4.13%
EPS NQ rev (1m)-1.25%
EPS NQ rev (3m)-1.72%
EPS NY rev (1m)-0.44%
EPS NY rev (3m)1.86%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.24%
Revenue NY rev (1m)-2.15%
Revenue NY rev (3m)-0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.54 | ||
| Fwd PE | 6.23 | ||
| P/S | 0.96 | ||
| P/FCF | N/A | ||
| P/OCF | 2.63 | ||
| P/B | 0.48 | ||
| P/tB | 1.2 | ||
| EV/EBITDA | 8.2 |
EPS(TTM)3.44
EY15.29%
EPS(NY)3.61
Fwd EY16.06%
FCF(TTM)-3.49
FCFYN/A
OCF(TTM)8.54
OCFY37.96%
SpS23.49
BVpS46.74
TBVpS18.81
PEG (NY)0.94
PEG (5Y)1.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 7.19% | ||
| ROCE | 5.15% | ||
| ROIC | 4.27% | ||
| ROICexc | 4.28% | ||
| ROICexgc | 5.43% | ||
| OM | 28.9% | ||
| PM (TTM) | 14.31% | ||
| GM | 72.37% | ||
| 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 | 1.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.78 | ||
| Cap/Depr | 302.94% | ||
| Cap/Sales | 51.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z | 0.51 |
F-Score5
WACC4.95%
ROIC/WACC0.86
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)8.86%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%13.43%
EPS Next Y6.96%
EPS Next 2Y4.95%
EPS Next 3Y4.98%
EPS Next 5Y5.7%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%5.43%
Revenue Next Year4.8%
Revenue Next 2Y4.44%
Revenue Next 3Y4.85%
Revenue Next 5Y3.62%
EBIT growth 1Y6.75%
EBIT growth 3Y10.06%
EBIT growth 5Y5.99%
EBIT Next Year71.64%
EBIT Next 3Y25.71%
EBIT Next 5Y18%
FCF growth 1Y-175.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y28.44%
OCF growth 3Y10.12%
OCF growth 5Y7.71%