NORTHLAND POWER INC (NPI.CA) Stock Fundamental Analysis
TSX:NPI - CA6665111002 - Common Stock
22.25 CAD
-0.14 (-0.63%)
NPI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 32 industry peers in the Independent Power and Renewable Electricity Producers industry. Both the profitability and the financial health of NPI get a neutral evaluation. Nothing too spectacular is happening here. NPI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
NPI had negative earnings in the past year.
NPI had a positive operating cash flow in the past year.
Of the past 5 years NPI 4 years were profitable.
In the past 5 years NPI always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of NPI (-0.38%) is comparable to the rest of the industry.
NPI has a better Return On Equity (-1.20%) than 71.88% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.71%, NPI belongs to the top of the industry, outperforming 90.63% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for NPI is in line with the industry average of 4.61%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.38% | ||
| ROE | -1.2% | ||
| ROIC | 3.71% |
ROA(3y)2.12%
ROA(5y)2.16%
ROE(3y)6.87%
ROE(5y)9.86%
ROIC(3y)4.68%
ROIC(5y)4.77%
1.3 Margins
In the last couple of years the Profit Margin of NPI has declined.
NPI has a better Operating Margin (31.22%) than 75.00% of its industry peers.
NPI's Operating Margin has declined in the last couple of years.
The Gross Margin of NPI (97.12%) is better than 100.00% of its industry peers.
NPI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.22% | ||
| PM (TTM) | N/A | ||
| GM | 97.12% |
OM growth 3Y-0.41%
OM growth 5Y-4.87%
PM growth 3Y9.7%
PM growth 5Y-9.55%
GM growth 3Y0.7%
GM growth 5Y-0.28%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), NPI is destroying value.
NPI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, NPI has more shares outstanding
NPI has about the same debt/assets ratio as last year.
2.2 Solvency
Based on the Altman-Z score of 0.55, we must say that NPI is in the distress zone and has some risk of bankruptcy.
NPI has a Altman-Z score of 0.55. This is amongst the best in the industry. NPI outperforms 81.25% of its industry peers.
NPI has a debt to FCF ratio of 5.48. This is a neutral value as NPI would need 5.48 years to pay back of all of its debts.
NPI has a better Debt to FCF ratio (5.48) than 90.63% of its industry peers.
NPI has a Debt/Equity ratio of 1.40. This is a high value indicating a heavy dependency on external financing.
NPI has a better Debt to Equity ratio (1.40) than 71.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 5.48 | ||
| Altman-Z | 0.55 |
ROIC/WACC0.7
WACC5.3%
2.3 Liquidity
A Current Ratio of 0.91 indicates that NPI may have some problems paying its short term obligations.
NPI's Current ratio of 0.91 is fine compared to the rest of the industry. NPI outperforms 62.50% of its industry peers.
A Quick Ratio of 0.91 indicates that NPI may have some problems paying its short term obligations.
NPI has a better Quick ratio (0.91) than 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
The earnings per share for NPI have decreased strongly by -184.00% in the last year.
Measured over the past years, NPI shows a decrease in Earnings Per Share. The EPS has been decreasing by -7.41% on average per year.
Looking at the last year, NPI shows a decrease in Revenue. The Revenue has decreased by -8.19% in the last year.
Measured over the past years, NPI shows a small growth in Revenue. The Revenue has been growing by 7.27% on average per year.
EPS 1Y (TTM)-184%
EPS 3Y25.16%
EPS 5Y-7.41%
EPS Q2Q%-126.32%
Revenue 1Y (TTM)-8.19%
Revenue growth 3Y4.03%
Revenue growth 5Y7.27%
Sales Q2Q%-3.75%
3.2 Future
Based on estimates for the next years, NPI will show a quite strong growth in Earnings Per Share. The EPS will grow by 18.45% on average per year.
The Revenue is expected to grow by 3.73% on average over the next years.
EPS Next Y-12.78%
EPS Next 2Y10.64%
EPS Next 3Y1.16%
EPS Next 5Y18.45%
Revenue Next Year-0.29%
Revenue Next 2Y3.94%
Revenue Next 3Y3.76%
Revenue Next 5Y3.73%
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.
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
NPI reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
NPI is valuated correctly with a Price/Forward Earnings ratio of 12.20.
Based on the Price/Forward Earnings ratio, NPI is valued cheaper than 84.38% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.72, NPI is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.2 |
4.2 Price Multiples
90.63% of the companies in the same industry are more expensive than NPI, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, NPI is valued cheaply inside the industry as 100.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.53 | ||
| EV/EBITDA | 8.79 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y10.64%
EPS Next 3Y1.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.36%, NPI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.84, NPI pays a better dividend. On top of this NPI pays more dividend than 87.50% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.34, NPI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.36% |
5.2 History
The dividend of NPI decreases each year by -8.73%.
NPI has paid a dividend for at least 10 years, which is a reliable track record.
NPI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)-8.73%
Div Incr Years0
Div Non Decr Years17
5.3 Sustainability
The earnings of NPI are negative and hence is the payout ratio. NPI will probably not be able to sustain this dividend level.
DP-453.95%
EPS Next 2Y10.64%
EPS Next 3Y1.16%
TSX:NPI (8/29/2025, 7:00:00 PM)
22.25
-0.14 (-0.63%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)
Earnings (Next)
Inst Owners45.17%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap5.82B
Analysts78.82
Price Target28.31 (27.24%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.36% |
Yearly Dividend0.8
Dividend Growth(5Y)-8.73%
DP-453.95%
Div Incr Years0
Div Non Decr Years17
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-146.17%
Min EPS beat(2)-249.11%
Max EPS beat(2)-43.23%
EPS beat(4)1
Avg EPS beat(4)-233.16%
Min EPS beat(4)-654.46%
Max EPS beat(4)14.15%
EPS beat(8)3
Avg EPS beat(8)-109.51%
EPS beat(12)5
Avg EPS beat(12)-67.25%
EPS beat(16)8
Avg EPS beat(16)-2.61%
Revenue beat(2)0
Avg Revenue beat(2)-2.95%
Min Revenue beat(2)-3.22%
Max Revenue beat(2)-2.69%
Revenue beat(4)0
Avg Revenue beat(4)-2.98%
Min Revenue beat(4)-5.26%
Max Revenue beat(4)-0.75%
Revenue beat(8)3
Avg Revenue beat(8)-0.21%
Revenue beat(12)6
Avg Revenue beat(12)0.92%
Revenue beat(16)9
Avg Revenue beat(16)4.64%
PT rev (1m)1.19%
PT rev (3m)-0.48%
EPS NQ rev (1m)-27.66%
EPS NQ rev (3m)-39.29%
EPS NY rev (1m)-6.31%
EPS NY rev (3m)-6.31%
Revenue NQ rev (1m)-5.89%
Revenue NQ rev (3m)5.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.2 | ||
| P/S | 2.61 | ||
| P/FCF | 4.53 | ||
| P/OCF | 4.07 | ||
| P/B | 1.35 | ||
| P/tB | 1.77 | ||
| EV/EBITDA | 8.79 |
EPS(TTM)-0.21
EYN/A
EPS(NY)1.82
Fwd EY8.2%
FCF(TTM)4.91
FCFY22.07%
OCF(TTM)5.47
OCFY24.57%
SpS8.51
BVpS16.47
TBVpS12.54
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.38% | ||
| ROE | -1.2% | ||
| ROCE | 5.63% | ||
| ROIC | 3.71% | ||
| ROICexc | 3.94% | ||
| ROICexgc | 4.33% | ||
| OM | 31.22% | ||
| PM (TTM) | N/A | ||
| GM | 97.12% | ||
| FCFM | 57.72% |
ROA(3y)2.12%
ROA(5y)2.16%
ROE(3y)6.87%
ROE(5y)9.86%
ROIC(3y)4.68%
ROIC(5y)4.77%
ROICexc(3y)5.08%
ROICexc(5y)5.11%
ROICexgc(3y)5.64%
ROICexgc(5y)5.73%
ROCE(3y)7.11%
ROCE(5y)7.24%
ROICexcg growth 3Y-0.15%
ROICexcg growth 5Y-3.44%
ROICexc growth 3Y0.94%
ROICexc growth 5Y-3.53%
OM growth 3Y-0.41%
OM growth 5Y-4.87%
PM growth 3Y9.7%
PM growth 5Y-9.55%
GM growth 3Y0.7%
GM growth 5Y-0.28%
F-Score4
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 5.48 | ||
| Debt/EBITDA | 4.37 | ||
| Cap/Depr | 21.07% | ||
| Cap/Sales | 6.52% | ||
| Interest Coverage | 2.01 | ||
| Cash Conversion | 103.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 0.55 |
F-Score4
WACC5.3%
ROIC/WACC0.7
Cap/Depr(3y)75.8%
Cap/Depr(5y)68.16%
Cap/Sales(3y)21.02%
Cap/Sales(5y)19.3%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-184%
EPS 3Y25.16%
EPS 5Y-7.41%
EPS Q2Q%-126.32%
EPS Next Y-12.78%
EPS Next 2Y10.64%
EPS Next 3Y1.16%
EPS Next 5Y18.45%
Revenue 1Y (TTM)-8.19%
Revenue growth 3Y4.03%
Revenue growth 5Y7.27%
Sales Q2Q%-3.75%
Revenue Next Year-0.29%
Revenue Next 2Y3.94%
Revenue Next 3Y3.76%
Revenue Next 5Y3.73%
EBIT growth 1Y-22.61%
EBIT growth 3Y3.6%
EBIT growth 5Y2.05%
EBIT Next Year58.3%
EBIT Next 3Y26.93%
EBIT Next 5Y17.24%
FCF growth 1Y20.18%
FCF growth 3Y-25.21%
FCF growth 5Y0.79%
OCF growth 1Y-9.26%
OCF growth 3Y-13.85%
OCF growth 5Y-3.42%