INFORMATION SERVICES CORP (ISV.CA) Stock Fundamental Analysis
Canada - TSX:ISV - CA45676A1057 - Common Stock
24.71 CAD
-0.29 (-1.16%)
ISV gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 29 industry peers in the Real Estate Management & Development industry. While ISV belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ISV is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year ISV was profitable.
ISV had a positive operating cash flow in the past year.
In the past 5 years ISV has always been profitable.
Each year in the past 5 years ISV had a positive operating cash flow.
1.2 Ratios
The Return On Assets of ISV (3.99%) is better than 78.13% of its industry peers.
ISV has a Return On Equity of 11.89%. This is amongst the best in the industry. ISV outperforms 81.25% of its industry peers.
ISV has a Return On Invested Capital of 8.24%. This is amongst the best in the industry. ISV outperforms 93.75% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ISV is above the industry average of 8.03%.
The last Return On Invested Capital (8.24%) for ISV is well below the 3 year average (12.69%), which needs to be investigated, but indicates that ISV had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.99% | ||
| ROE | 11.89% | ||
| ROIC | 8.24% |
ROA(3y)9.77%
ROA(5y)9.85%
ROE(3y)19.3%
ROE(5y)18.41%
ROIC(3y)12.69%
ROIC(5y)12.36%
1.3 Margins
The Profit Margin of ISV (8.51%) is better than 68.75% of its industry peers.
In the last couple of years the Profit Margin of ISV has declined.
ISV has a Operating Margin (21.36%) which is comparable to the rest of the industry.
ISV's Operating Margin has improved in the last couple of years.
ISV has a Gross Margin of 68.60%. This is amongst the best in the industry. ISV outperforms 84.38% of its industry peers.
ISV's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.36% | ||
| PM (TTM) | 8.51% | ||
| GM | 68.6% |
OM growth 3Y-0.14%
OM growth 5Y3.16%
PM growth 3Y-8.6%
PM growth 5Y-5.65%
GM growth 3Y-1.62%
GM growth 5Y-1.1%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ISV is creating some value.
The number of shares outstanding for ISV has been increased compared to 1 year ago.
Compared to 5 years ago, ISV has more shares outstanding
ISV has a worse debt/assets ratio than last year.
2.2 Solvency
ISV has an Altman-Z score of 1.92. This is not the best score and indicates that ISV is in the grey zone with still only limited risk for bankruptcy at the moment.
ISV's Altman-Z score of 1.92 is fine compared to the rest of the industry. ISV outperforms 68.75% of its industry peers.
The Debt to FCF ratio of ISV is 2.92, which is a good value as it means it would take ISV, 2.92 years of fcf income to pay off all of its debts.
ISV has a better Debt to FCF ratio (2.92) than 93.75% of its industry peers.
ISV has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
ISV's Debt to Equity ratio of 1.06 is in line compared to the rest of the industry. ISV outperforms 59.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.92 | ||
| Altman-Z | 1.92 |
ROIC/WACC1.14
WACC7.25%
2.3 Liquidity
A Current Ratio of 0.61 indicates that ISV may have some problems paying its short term obligations.
ISV has a Current ratio (0.61) which is in line with its industry peers.
A Quick Ratio of 0.61 indicates that ISV may have some problems paying its short term obligations.
The Quick ratio of ISV (0.61) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 |
3. Growth
3.1 Past
The earnings per share for ISV have decreased strongly by -25.66% in the last year.
The Earnings Per Share has been growing by 11.50% on average over the past years. This is quite good.
The Revenue has grown by 19.46% in the past year. This is quite good.
ISV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.49% yearly.
EPS 1Y (TTM)-25.66%
EPS 3Y10.83%
EPS 5Y11.5%
EPS Q2Q%-50%
Revenue 1Y (TTM)19.46%
Revenue growth 3Y16.21%
Revenue growth 5Y12.49%
Sales Q2Q%11.58%
3.2 Future
Based on estimates for the next years, ISV will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.70% on average per year.
Based on estimates for the next years, ISV will show a quite strong growth in Revenue. The Revenue will grow by 10.00% on average per year.
EPS Next Y-21.74%
EPS Next 2Y7.64%
EPS Next 3Y8.7%
EPS Next 5YN/A
Revenue Next Year18.25%
Revenue Next 2Y12.7%
Revenue Next 3Y10%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 21.87, the valuation of ISV can be described as rather expensive.
Based on the Price/Earnings ratio, ISV is valued a bit cheaper than the industry average as 65.63% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.41, ISV is valued a bit cheaper.
ISV is valuated correctly with a Price/Forward Earnings ratio of 13.17.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ISV indicates a rather cheap valuation: ISV is cheaper than 84.38% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ISV to the average of the S&P500 Index (22.88), we can say ISV is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.87 | ||
| Fwd PE | 13.17 |
4.2 Price Multiples
96.88% of the companies in the same industry are more expensive than ISV, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ISV indicates a rather cheap valuation: ISV is cheaper than 81.25% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.18 | ||
| EV/EBITDA | 7.97 |
4.3 Compensation for Growth
ISV has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.9
EPS Next 2Y7.64%
EPS Next 3Y8.7%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.38%, ISV has a reasonable but not impressive dividend return.
ISV's Dividend Yield is a higher than the industry average which is at 3.24.
Compared to an average S&P500 Dividend Yield of 2.38, ISV pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.38% |
5.2 History
The dividend of ISV has a limited annual growth rate of 2.75%.
ISV has paid a dividend for at least 10 years, which is a reliable track record.
ISV has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.75%
Div Incr Years1
Div Non Decr Years11
5.3 Sustainability
ISV pays out 80.45% of its income as dividend. This is not a sustainable payout ratio.
The dividend of ISV is growing, but earnings are growing more, so the dividend growth is sustainable.
DP80.45%
EPS Next 2Y7.64%
EPS Next 3Y8.7%
TSX:ISV (3/12/2025, 7:00:00 PM)
24.71
-0.29 (-1.16%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst OwnersN/A
Inst Owner ChangeN/A
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap455.41M
Analysts77.78
Price Target35.09 (42.01%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.38% |
Yearly Dividend0.92
Dividend Growth(5Y)2.75%
DP80.45%
Div Incr Years1
Div Non Decr Years11
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)9.23%
Min EPS beat(2)-47.04%
Max EPS beat(2)65.51%
EPS beat(4)1
Avg EPS beat(4)-23.56%
Min EPS beat(4)-92.93%
Max EPS beat(4)65.51%
EPS beat(8)2
Avg EPS beat(8)-17.32%
EPS beat(12)6
Avg EPS beat(12)-1.9%
EPS beat(16)9
Avg EPS beat(16)2.39%
Revenue beat(2)1
Avg Revenue beat(2)2.24%
Min Revenue beat(2)-3.86%
Max Revenue beat(2)8.35%
Revenue beat(4)2
Avg Revenue beat(4)1.49%
Min Revenue beat(4)-3.86%
Max Revenue beat(4)8.35%
Revenue beat(8)3
Avg Revenue beat(8)0.33%
Revenue beat(12)6
Avg Revenue beat(12)2.35%
Revenue beat(16)9
Avg Revenue beat(16)3.01%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.87 | ||
| Fwd PE | 13.17 | ||
| P/S | 1.88 | ||
| P/FCF | 7.18 | ||
| P/OCF | 6.42 | ||
| P/B | 2.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.97 |
EPS(TTM)1.13
EY4.57%
EPS(NY)1.88
Fwd EY7.6%
FCF(TTM)3.44
FCFY13.92%
OCF(TTM)3.85
OCFY15.59%
SpS13.17
BVpS9.43
TBVpS-14.55
PEG (NY)N/A
PEG (5Y)1.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.99% | ||
| ROE | 11.89% | ||
| ROCE | 11.48% | ||
| ROIC | 8.24% | ||
| ROICexc | 8.47% | ||
| ROICexgc | N/A | ||
| OM | 21.36% | ||
| PM (TTM) | 8.51% | ||
| GM | 68.6% | ||
| FCFM | 26.12% |
ROA(3y)9.77%
ROA(5y)9.85%
ROE(3y)19.3%
ROE(5y)18.41%
ROIC(3y)12.69%
ROIC(5y)12.36%
ROICexc(3y)15.05%
ROICexc(5y)14.69%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)17.69%
ROCE(5y)17.23%
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3Y-14.25%
ROICexc growth 5Y-11.43%
OM growth 3Y-0.14%
OM growth 5Y3.16%
PM growth 3Y-8.6%
PM growth 5Y-5.65%
GM growth 3Y-1.62%
GM growth 5Y-1.1%
F-Score6
Asset Turnover0.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.92 | ||
| Debt/EBITDA | 2.32 | ||
| Cap/Depr | 28.07% | ||
| Cap/Sales | 3.13% | ||
| Interest Coverage | 3.41 | ||
| Cash Conversion | 90% | ||
| Profit Quality | 306.84% | ||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.61 | ||
| Altman-Z | 1.92 |
F-Score6
WACC7.25%
ROIC/WACC1.14
Cap/Depr(3y)262%
Cap/Depr(5y)164.4%
Cap/Sales(3y)24.91%
Cap/Sales(5y)15.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.66%
EPS 3Y10.83%
EPS 5Y11.5%
EPS Q2Q%-50%
EPS Next Y-21.74%
EPS Next 2Y7.64%
EPS Next 3Y8.7%
EPS Next 5YN/A
Revenue 1Y (TTM)19.46%
Revenue growth 3Y16.21%
Revenue growth 5Y12.49%
Sales Q2Q%11.58%
Revenue Next Year18.25%
Revenue Next 2Y12.7%
Revenue Next 3Y10%
Revenue Next 5YN/A
EBIT growth 1Y26.81%
EBIT growth 3Y16.04%
EBIT growth 5Y16.04%
EBIT Next Year83.93%
EBIT Next 3Y26.16%
EBIT Next 5YN/A
FCF growth 1Y55.2%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y66.91%
OCF growth 3Y11.28%
OCF growth 5Y13.63%