NORTH AMERICAN CONSTRUCTION (NOA.CA) Stock Fundamental Analysis
TSX:NOA - Toronto Stock Exchange - CA6568111067 - Common Stock - Currency: CAD
Overall NOA gets a fundamental rating of 4 out of 10. We evaluated NOA against 27 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of NOA while its profitability can be described as average. NOA has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
NOA had positive earnings in the past year.
In the past year NOA had a positive cash flow from operations.
NOA had positive earnings in each of the past 5 years.
NOA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NOA has a Return On Assets (2.17%) which is comparable to the rest of the industry.
NOA has a Return On Equity of 8.42%. This is comparable to the rest of the industry: NOA outperforms 51.85% of its industry peers.
NOA has a Return On Invested Capital of 7.63%. This is comparable to the rest of the industry: NOA outperforms 55.56% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NOA is below the industry average of 10.68%.
The 3 year average ROIC (6.92%) for NOA is below the current ROIC(7.63%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.17% | ||
| ROE | 8.42% | ||
| ROIC | 7.63% |
ROA(3y)4.52%
ROA(5y)5.07%
ROE(3y)17.02%
ROE(5y)17.87%
ROIC(3y)6.92%
ROIC(5y)5.82%
1.3 Margins
The Profit Margin of NOA (3.21%) is comparable to the rest of the industry.
NOA's Profit Margin has declined in the last couple of years.
NOA's Operating Margin of 12.00% is fine compared to the rest of the industry. NOA outperforms 77.78% of its industry peers.
NOA's Operating Margin has improved in the last couple of years.
NOA's Gross Margin of 16.09% is on the low side compared to the rest of the industry. NOA is outperformed by 70.37% of its industry peers.
NOA's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 12% | ||
| PM (TTM) | 3.21% | ||
| GM | 16.09% |
OM growth 3Y27.21%
OM growth 5Y10.09%
PM growth 3Y-21.64%
PM growth 5Y-5.91%
GM growth 3Y14.79%
GM growth 5Y6.09%
2. Health
2.1 Basic Checks
NOA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
NOA has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for NOA has been increased compared to 5 years ago.
Compared to 1 year ago, NOA has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.32, we must say that NOA is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of NOA (1.32) is worse than 70.37% of its industry peers.
A Debt/Equity ratio of 1.44 is on the high side and indicates that NOA has dependencies on debt financing.
NOA has a worse Debt to Equity ratio (1.44) than 74.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.44 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.32 |
ROIC/WACC0.83
WACC9.16%
2.3 Liquidity
A Current Ratio of 0.92 indicates that NOA may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.92, NOA is doing worse than 74.07% of the companies in the same industry.
A Quick Ratio of 0.74 indicates that NOA may have some problems paying its short term obligations.
NOA has a worse Quick ratio (0.74) than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
NOA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.45%, which is quite impressive.
NOA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.82% yearly.
Looking at the last year, NOA shows a quite strong growth in Revenue. The Revenue has grown by 19.13% in the last year.
The Revenue has been growing by 10.15% on average over the past years. This is quite good.
EPS 1Y (TTM)30.45%
EPS 3Y21.88%
EPS 5Y19.82%
EPS Q2Q%-33.33%
Revenue 1Y (TTM)19.13%
Revenue growth 3Y21.24%
Revenue growth 5Y10.15%
Sales Q2Q%14.75%
3.2 Future
NOA is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -10.59% yearly.
Based on estimates for the next years, NOA will show a small growth in Revenue. The Revenue will grow by 5.34% on average per year.
EPS Next Y2.86%
EPS Next 2Y4.35%
EPS Next 3Y-10.59%
EPS Next 5YN/A
Revenue Next Year8.15%
Revenue Next 2Y6.25%
Revenue Next 3Y5.34%
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 decreasing.
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
NOA is valuated cheaply with a Price/Earnings ratio of 6.10.
85.19% of the companies in the same industry are more expensive than NOA, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 27.93. NOA is valued rather cheaply when compared to this.
Based on the Price/Forward Earnings ratio of 5.21, the valuation of NOA can be described as very cheap.
Based on the Price/Forward Earnings ratio, NOA is valued cheaply inside the industry as 85.19% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of NOA to the average of the S&P500 Index (37.78), we can say NOA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.1 | ||
| Fwd PE | 5.21 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as NOA.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.13 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates NOA does not grow enough to justify the current Price/Earnings ratio.
A cheap valuation may be justified as NOA's earnings are expected to decrease with -10.59% in the coming years.
PEG (NY)2.13
PEG (5Y)0.31
EPS Next 2Y4.35%
EPS Next 3Y-10.59%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.23%, NOA has a reasonable but not impressive dividend return.
NOA's Dividend Yield is a higher than the industry average which is at 3.10.
Compared to an average S&P500 Dividend Yield of 2.32, NOA has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
5.2 History
On average, the dividend of NOA grows each year by 31.86%, which is quite nice.
NOA has paid a dividend for at least 10 years, which is a reliable track record.
NOA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)31.86%
Div Incr Years3
Div Non Decr Years10
5.3 Sustainability
28.27% of the earnings are spent on dividend by NOA. This is a low number and sustainable payout ratio.
DP28.27%
EPS Next 2Y4.35%
EPS Next 3Y-10.59%
TSX:NOA (7/28/2025, 7:00:00 PM)
21.15
+0.09 (+0.43%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners77.48%
Inst Owner ChangeN/A
Ins Owners9.67%
Ins Owner ChangeN/A
Market Cap622.44M
Analysts82.22
Price Target39.42 (86.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.23% |
Yearly Dividend0.4
Dividend Growth(5Y)31.86%
DP28.27%
Div Incr Years3
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-17.64%
Min EPS beat(2)-33.48%
Max EPS beat(2)-1.79%
EPS beat(4)1
Avg EPS beat(4)-11.6%
Min EPS beat(4)-33.48%
Max EPS beat(4)5.82%
EPS beat(8)3
Avg EPS beat(8)-1.19%
EPS beat(12)5
Avg EPS beat(12)-0.03%
EPS beat(16)7
Avg EPS beat(16)-0.74%
Revenue beat(2)1
Avg Revenue beat(2)2.69%
Min Revenue beat(2)-3.42%
Max Revenue beat(2)8.8%
Revenue beat(4)1
Avg Revenue beat(4)-5.26%
Min Revenue beat(4)-16.8%
Max Revenue beat(4)8.8%
Revenue beat(8)1
Avg Revenue beat(8)-5.09%
Revenue beat(12)4
Avg Revenue beat(12)-2.77%
Revenue beat(16)5
Avg Revenue beat(16)-2.84%
PT rev (1m)-3.05%
PT rev (3m)-3.05%
EPS NQ rev (1m)-2.81%
EPS NQ rev (3m)3.89%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)7.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.1 | ||
| Fwd PE | 5.21 | ||
| P/S | 0.51 | ||
| P/FCF | N/A | ||
| P/OCF | 2.42 | ||
| P/B | 1.35 | ||
| P/tB | 1.38 | ||
| EV/EBITDA | 4.13 |
EPS(TTM)3.47
EY16.41%
EPS(NY)4.06
Fwd EY19.2%
FCF(TTM)-1.81
FCFYN/A
OCF(TTM)8.74
OCFY41.31%
SpS41.1
BVpS15.7
TBVpS15.35
PEG (NY)2.13
PEG (5Y)0.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.17% | ||
| ROE | 8.42% | ||
| ROCE | 10.39% | ||
| ROIC | 7.63% | ||
| ROICexc | 8.08% | ||
| ROICexgc | 8.14% | ||
| OM | 12% | ||
| PM (TTM) | 3.21% | ||
| GM | 16.09% | ||
| FCFM | N/A |
ROA(3y)4.52%
ROA(5y)5.07%
ROE(3y)17.02%
ROE(5y)17.87%
ROIC(3y)6.92%
ROIC(5y)5.82%
ROICexc(3y)7.45%
ROICexc(5y)6.21%
ROICexgc(3y)7.51%
ROICexgc(5y)6.25%
ROCE(3y)9.42%
ROCE(5y)7.93%
ROICexcg growth 3Y25.02%
ROICexcg growth 5Y5.06%
ROICexc growth 3Y24.95%
ROICexc growth 5Y4.89%
OM growth 3Y27.21%
OM growth 5Y10.09%
PM growth 3Y-21.64%
PM growth 5Y-5.91%
GM growth 3Y14.79%
GM growth 5Y6.09%
F-Score6
Asset Turnover0.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.44 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.02 | ||
| Cap/Depr | 169.25% | ||
| Cap/Sales | 25.67% | ||
| Interest Coverage | 2.13 | ||
| Cash Conversion | 78.25% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.92 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 1.32 |
F-Score6
WACC9.16%
ROIC/WACC0.83
Cap/Depr(3y)140.73%
Cap/Depr(5y)131.94%
Cap/Sales(3y)20.21%
Cap/Sales(5y)20.31%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)30.45%
EPS 3Y21.88%
EPS 5Y19.82%
EPS Q2Q%-33.33%
EPS Next Y2.86%
EPS Next 2Y4.35%
EPS Next 3Y-10.59%
EPS Next 5YN/A
Revenue 1Y (TTM)19.13%
Revenue growth 3Y21.24%
Revenue growth 5Y10.15%
Sales Q2Q%14.75%
Revenue Next Year8.15%
Revenue Next 2Y6.25%
Revenue Next 3Y5.34%
Revenue Next 5YN/A
EBIT growth 1Y32.65%
EBIT growth 3Y54.22%
EBIT growth 5Y21.26%
EBIT Next Year123.85%
EBIT Next 3Y32.78%
EBIT Next 5YN/A
FCF growth 1Y-202.76%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y45.42%
OCF growth 3Y9.62%
OCF growth 5Y6.62%