NATIONAL BANK OF CANADA - NACN 6.191 PERP (NA-PR-S.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:NA-PR-S - CA6330673196
26.14 CAD
-0.01 (-0.04%)
Taking everything into account, NA-PR-S scores 4 out of 10 in our fundamental rating. NA-PR-S was compared to 24 industry peers in the Banks industry. While NA-PR-S is still in line with the averages on profitability rating, there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on NA-PR-S.
1. Profitability
1.1 Basic Checks
- In the past year NA-PR-S was profitable.
- In the past year NA-PR-S had a positive cash flow from operations.
- Each year in the past 5 years NA-PR-S has been profitable.
- Of the past 5 years NA-PR-S 4 years had a positive operating cash flow.
1.2 Ratios
- NA-PR-S has a Return On Assets (0.67%) which is in line with its industry peers.
- NA-PR-S has a better Return On Equity (11.41%) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.67% | ||
| ROE | 11.41% | ||
| ROIC | N/A |
ROA(3y)0.73%
ROA(5y)0.77%
ROE(3y)13.03%
ROE(5y)14.07%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- The Profit Margin of NA-PR-S (27.55%) is better than 62.50% of its industry peers.
- NA-PR-S's Profit Margin has improved in the last couple of years.
- The Operating Margin and Gross Margin are not available for NA-PR-S so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 27.55% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-6.72%
PM growth 5Y2.58%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- NA-PR-S does not have a ROIC to compare to the WACC, probably because it is not profitable.
- The number of shares outstanding for NA-PR-S has been increased compared to 1 year ago.
- NA-PR-S has more shares outstanding than it did 5 years ago.
- Compared to 1 year ago, NA-PR-S has an improved debt to assets ratio.
2.2 Solvency
- NA-PR-S has a debt to FCF ratio of 13.40. This is a negative value and a sign of low solvency as NA-PR-S would need 13.40 years to pay back of all of its debts.
- The Debt to FCF ratio of NA-PR-S (13.40) is better than 66.67% of its industry peers.
- A Debt/Equity ratio of 1.74 is on the high side and indicates that NA-PR-S has dependencies on debt financing.
- NA-PR-S's Debt to Equity ratio of 1.74 is amongst the best of the industry. NA-PR-S outperforms 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.74 | ||
| Debt/FCF | 13.4 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC22.46%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- NA-PR-S shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.57%, which is quite good.
- Measured over the past years, NA-PR-S shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.23% on average per year.
- The Revenue has grown by 22.63% in the past year. This is a very strong growth!
- The Revenue has been growing by 12.02% on average over the past years. This is quite good.
EPS 1Y (TTM)8.57%
EPS 3Y5.41%
EPS 5Y13.23%
EPS Q2Q%9.3%
Revenue 1Y (TTM)22.63%
Revenue growth 3Y13.14%
Revenue growth 5Y12.02%
Sales Q2Q%23.72%
3.2 Future
- Based on estimates for the next years, NA-PR-S will show a small growth in Earnings Per Share. The EPS will grow by 5.53% on average per year.
- Based on estimates for the next years, NA-PR-S will show a small growth in Revenue. The Revenue will grow by 5.57% on average per year.
EPS Next Y10.19%
EPS Next 2Y11.45%
EPS Next 3Y10.07%
EPS Next 5Y5.53%
Revenue Next Year8.92%
Revenue Next 2Y7.6%
Revenue Next 3Y5.57%
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.
- 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
- A Price/Earnings ratio of 2.32 indicates a rather cheap valuation of NA-PR-S.
- Compared to the rest of the industry, the Price/Earnings ratio of NA-PR-S indicates a rather cheap valuation: NA-PR-S is cheaper than 87.50% of the companies listed in the same industry.
- NA-PR-S is valuated cheaply when we compare the Price/Earnings ratio to 27.21, which is the current average of the S&P500 Index.
- A Price/Forward Earnings ratio of 2.10 indicates a rather cheap valuation of NA-PR-S.
- Based on the Price/Forward Earnings ratio, NA-PR-S is valued cheaper than 87.50% of the companies in the same industry.
- NA-PR-S is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.32 | ||
| Fwd PE | 2.1 |
4.2 Price Multiples
- 83.33% of the companies in the same industry are more expensive than NA-PR-S, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.32 | ||
| EV/EBITDA | N/A |
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.
PEG (NY)0.23
PEG (5Y)0.18
EPS Next 2Y11.45%
EPS Next 3Y10.07%
5. Dividend
5.1 Amount
- NA-PR-S has a Yearly Dividend Yield of 2.99%. Purely for dividend investing, there may be better candidates out there.
- NA-PR-S's Dividend Yield is comparable with the industry average which is at 3.05.
- Compared to an average S&P500 Dividend Yield of 1.81, NA-PR-S pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.99% |
5.2 History
- On average, the dividend of NA-PR-S grows each year by 6.57%, which is quite nice.
- NA-PR-S has paid a dividend for at least 10 years, which is a reliable track record.
- NA-PR-S has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)6.57%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
- 50.67% of the earnings are spent on dividend by NA-PR-S. This is a bit on the high side, but may be sustainable.
- NA-PR-S's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP50.67%
EPS Next 2Y11.45%
EPS Next 3Y10.07%
NATIONAL BANK OF CANADA - NACN 6.191 PERP / NA-PR-S.CA FAQ
Can you provide the ChartMill fundamental rating for NATIONAL BANK OF CANADA - NACN 6.191 PERP?
ChartMill assigns a fundamental rating of 4 / 10 to NA-PR-S.CA.
What is the valuation status for NA-PR-S stock?
ChartMill assigns a valuation rating of 8 / 10 to NATIONAL BANK OF CANADA - NACN 6.191 PERP (NA-PR-S.CA). This can be considered as Undervalued.
What is the profitability of NA-PR-S stock?
NATIONAL BANK OF CANADA - NACN 6.191 PERP (NA-PR-S.CA) has a profitability rating of 4 / 10.
Can you provide the expected EPS growth for NA-PR-S stock?
The Earnings per Share (EPS) of NATIONAL BANK OF CANADA - NACN 6.191 PERP (NA-PR-S.CA) is expected to grow by 10.19% in the next year.
How sustainable is the dividend of NATIONAL BANK OF CANADA - NACN 6.191 PERP (NA-PR-S.CA) stock?
The dividend rating of NATIONAL BANK OF CANADA - NACN 6.191 PERP (NA-PR-S.CA) is 5 / 10 and the dividend payout ratio is 50.67%.