INFORMATION SERVICES CORP (ISC.CA) Stock Fundamental Analysis
TSX:ISC - Toronto Stock Exchange - CA45676A1057 - Common Stock - Currency: CAD
ISC gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 30 industry peers in the Real Estate Management & Development industry. ISC has an excellent profitability rating, but there are some minor concerns on its financial health. ISC is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
ISC had positive earnings in the past year.
ISC had a positive operating cash flow in the past year.
Each year in the past 5 years ISC has been profitable.
ISC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ISC has a better Return On Assets (5.22%) than 86.67% of its industry peers.
ISC's Return On Equity of 14.81% is amongst the best of the industry. ISC outperforms 93.33% of its industry peers.
ISC has a Return On Invested Capital of 9.16%. This is amongst the best in the industry. ISC outperforms 86.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ISC is in line with the industry average of 8.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.22% | ||
| ROE | 14.81% | ||
| ROIC | 9.16% |
ROA(3y)6.47%
ROA(5y)8.37%
ROE(3y)15.28%
ROE(5y)17.25%
ROIC(3y)9.57%
ROIC(5y)11.17%
1.3 Margins
The Profit Margin of ISC (10.91%) is better than 66.67% of its industry peers.
ISC's Profit Margin has declined in the last couple of years.
The Operating Margin of ISC (23.60%) is better than 66.67% of its industry peers.
In the last couple of years the Operating Margin of ISC has remained more or less at the same level.
Looking at the Gross Margin, with a value of 68.38%, ISC belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
In the last couple of years the Gross Margin of ISC has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.6% | ||
| PM (TTM) | 10.91% | ||
| GM | 68.38% |
OM growth 3Y-9.44%
OM growth 5Y-0.18%
PM growth 3Y-24.4%
PM growth 5Y-10.92%
GM growth 3Y-1.7%
GM growth 5Y-0.59%
2. Health
2.1 Basic Checks
ISC has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ISC has more shares outstanding
The number of shares outstanding for ISC has been increased compared to 5 years ago.
Compared to 1 year ago, ISC has an improved debt to assets ratio.
2.2 Solvency
ISC has an Altman-Z score of 2.25. This is not the best score and indicates that ISC is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.25, ISC is in the better half of the industry, outperforming 76.67% of the companies in the same industry.
ISC has a debt to FCF ratio of 3.08. This is a good value and a sign of high solvency as ISC would need 3.08 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.08, ISC belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
A Debt/Equity ratio of 0.96 indicates that ISC is somewhat dependend on debt financing.
The Debt to Equity ratio of ISC (0.96) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 3.08 | ||
| Altman-Z | 2.25 |
ROIC/WACC1.24
WACC7.38%
2.3 Liquidity
A Current Ratio of 0.73 indicates that ISC may have some problems paying its short term obligations.
With a Current ratio value of 0.73, ISC is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
A Quick Ratio of 0.73 indicates that ISC may have some problems paying its short term obligations.
With a Quick ratio value of 0.73, ISC is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.73 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 17.46% over the past year.
Measured over the past years, ISC shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.18% on average per year.
Looking at the last year, ISC shows a quite strong growth in Revenue. The Revenue has grown by 12.84% in the last year.
ISC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 13.21% yearly.
EPS 1Y (TTM)17.46%
EPS 3Y-14.66%
EPS 5Y-0.18%
EPS Q2Q%1900%
Revenue 1Y (TTM)12.84%
Revenue growth 3Y13.46%
Revenue growth 5Y13.21%
Sales Q2Q%5.15%
3.2 Future
Based on estimates for the next years, ISC will show a very strong growth in Earnings Per Share. The EPS will grow by 50.98% on average per year.
ISC is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.75% yearly.
EPS Next Y81.11%
EPS Next 2Y50.98%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.81%
Revenue Next 2Y5.75%
Revenue Next 3YN/A
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 accelerating.
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
Based on the Price/Earnings ratio of 21.62, the valuation of ISC can be described as rather expensive.
Based on the Price/Earnings ratio, ISC is valued a bit cheaper than 66.67% of the companies in the same industry.
ISC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.25.
A Price/Forward Earnings ratio of 12.76 indicates a correct valuation of ISC.
ISC's Price/Forward Earnings ratio is rather cheap when compared to the industry. ISC is cheaper than 93.33% of the companies in the same industry.
ISC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.62 | ||
| Fwd PE | 12.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ISC is valued cheaper than 93.33% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ISC indicates a somewhat cheap valuation: ISC is cheaper than 73.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.19 | ||
| EV/EBITDA | 8.8 |
4.3 Compensation for Growth
ISC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of ISC may justify a higher PE ratio.
ISC's earnings are expected to grow with 50.98% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.27
PEG (5Y)N/A
EPS Next 2Y50.98%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ISC has a Yearly Dividend Yield of 2.91%. Purely for dividend investing, there may be better candidates out there.
ISC's Dividend Yield is a higher than the industry average which is at 3.27.
Compared to an average S&P500 Dividend Yield of 2.34, ISC pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
5.2 History
The dividend of ISC has a limited annual growth rate of 2.67%.
ISC has been paying a dividend for over 5 years, so it has already some track record.
As ISC did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)2.67%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
ISC pays out 61.46% of its income as dividend. This is not a sustainable payout ratio.
The dividend of ISC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP61.46%
EPS Next 2Y50.98%
EPS Next 3YN/A
TSX:ISC (7/31/2025, 7:00:00 PM)
32
0 (0%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners29.95%
Inst Owner ChangeN/A
Ins Owners0.4%
Ins Owner ChangeN/A
Market Cap594.56M
Analysts75.56
Price Target33.35 (4.22%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.91% |
Yearly Dividend0.91
Dividend Growth(5Y)2.67%
DP61.46%
Div Incr Years0
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-8.69%
Min EPS beat(2)-20.24%
Max EPS beat(2)2.87%
EPS beat(4)2
Avg EPS beat(4)0.27%
Min EPS beat(4)-47.04%
Max EPS beat(4)65.51%
EPS beat(8)2
Avg EPS beat(8)-16.7%
EPS beat(12)5
Avg EPS beat(12)-7.1%
EPS beat(16)8
Avg EPS beat(16)-2.2%
Revenue beat(2)0
Avg Revenue beat(2)-1.37%
Min Revenue beat(2)-1.58%
Max Revenue beat(2)-1.15%
Revenue beat(4)1
Avg Revenue beat(4)0.44%
Min Revenue beat(4)-3.86%
Max Revenue beat(4)8.35%
Revenue beat(8)2
Avg Revenue beat(8)-0.15%
Revenue beat(12)4
Avg Revenue beat(12)1.09%
Revenue beat(16)7
Avg Revenue beat(16)1.93%
PT rev (1m)0%
PT rev (3m)-0.91%
EPS NQ rev (1m)18.42%
EPS NQ rev (3m)18.42%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.86%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.62 | ||
| Fwd PE | 12.76 | ||
| P/S | 2.38 | ||
| P/FCF | 10.19 | ||
| P/OCF | 8.94 | ||
| P/B | 3.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.8 |
EPS(TTM)1.48
EY4.63%
EPS(NY)2.51
Fwd EY7.84%
FCF(TTM)3.14
FCFY9.81%
OCF(TTM)3.58
OCFY11.18%
SpS13.47
BVpS9.92
TBVpS-13.45
PEG (NY)0.27
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.22% | ||
| ROE | 14.81% | ||
| ROCE | 12.9% | ||
| ROIC | 9.16% | ||
| ROICexc | 9.51% | ||
| ROICexgc | 635.29% | ||
| OM | 23.6% | ||
| PM (TTM) | 10.91% | ||
| GM | 68.38% | ||
| FCFM | 23.31% |
ROA(3y)6.47%
ROA(5y)8.37%
ROE(3y)15.28%
ROE(5y)17.25%
ROIC(3y)9.57%
ROIC(5y)11.17%
ROICexc(3y)10.57%
ROICexc(5y)13.03%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)13.48%
ROCE(5y)15.74%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-26.64%
ROICexc growth 5Y-11.94%
OM growth 3Y-9.44%
OM growth 5Y-0.18%
PM growth 3Y-24.4%
PM growth 5Y-10.92%
GM growth 3Y-1.7%
GM growth 5Y-0.59%
F-Score7
Asset Turnover0.48
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.96 | ||
| Debt/FCF | 3.08 | ||
| Debt/EBITDA | 2.06 | ||
| Cap/Depr | 30.18% | ||
| Cap/Sales | 3.25% | ||
| Interest Coverage | 4.55 | ||
| Cash Conversion | 77.28% | ||
| Profit Quality | 213.69% | ||
| Current Ratio | 0.73 | ||
| Quick Ratio | 0.73 | ||
| Altman-Z | 2.25 |
F-Score7
WACC7.38%
ROIC/WACC1.24
Cap/Depr(3y)266.66%
Cap/Depr(5y)165.46%
Cap/Sales(3y)25.59%
Cap/Sales(5y)15.83%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.46%
EPS 3Y-14.66%
EPS 5Y-0.18%
EPS Q2Q%1900%
EPS Next Y81.11%
EPS Next 2Y50.98%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)12.84%
Revenue growth 3Y13.46%
Revenue growth 5Y13.21%
Sales Q2Q%5.15%
Revenue Next Year5.81%
Revenue Next 2Y5.75%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y34.24%
EBIT growth 3Y2.74%
EBIT growth 5Y13.01%
EBIT Next Year71.9%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y15.94%
FCF growth 3Y2.15%
FCF growth 5Y24.76%
OCF growth 1Y28.96%
OCF growth 3Y5.16%
OCF growth 5Y24.67%