NORTHLAND POWER INC (NPI.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:NPI - CA6665111002 - Common Stock
17.85 CAD
+0.19 (+1.08%)
We assign a fundamental rating of 5 out of 10 to NPI. NPI was compared to 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 decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year NPI was profitable.
In the past year NPI had a positive cash flow from operations.
NPI had positive earnings in 4 of the past 5 years.
NPI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
NPI has a Return On Assets (-2.13%) which is in line with its industry peers.
With a decent Return On Equity value of -7.29%, NPI is doing good in the industry, outperforming 62.50% of the companies in the same industry.
NPI has a better Return On Invested Capital (4.02%) than 96.88% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for NPI is in line with the industry average of 2.79%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.13% | ||
| ROE | -7.29% | ||
| ROIC | 4.02% |
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
NPI's Profit Margin has declined in the last couple of years.
NPI's Operating Margin of 31.83% is fine compared to the rest of the industry. NPI outperforms 78.13% of its industry peers.
NPI's Operating Margin has declined in the last couple of years.
The Gross Margin of NPI (94.30%) is better than 100.00% of its industry peers.
In the last couple of years the Gross Margin of NPI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.83% | ||
| PM (TTM) | N/A | ||
| GM | 94.3% |
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
NPI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
NPI has more shares outstanding than it did 1 year ago.
The number of shares outstanding for NPI has been increased compared to 5 years ago.
Compared to 1 year ago, NPI has about the same debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.46, we must say that NPI is in the distress zone and has some risk of bankruptcy.
NPI's Altman-Z score of 0.46 is fine compared to the rest of the industry. NPI outperforms 62.50% of its industry peers.
The Debt to FCF ratio of NPI is 4.96, which is a neutral value as it means it would take NPI, 4.96 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.96, NPI belongs to the top of the industry, outperforming 96.88% of the companies in the same industry.
A Debt/Equity ratio of 1.56 is on the high side and indicates that NPI has dependencies on debt financing.
NPI has a better Debt to Equity ratio (1.56) than 78.13% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.56 | ||
| Debt/FCF | 4.96 | ||
| Altman-Z | 0.46 |
ROIC/WACC0.74
WACC5.44%
2.3 Liquidity
NPI has a Current Ratio of 1.03. This is a normal value and indicates that NPI is financially healthy and should not expect problems in meeting its short term obligations.
NPI has a better Current ratio (1.03) than 81.25% of its industry peers.
A Quick Ratio of 1.03 indicates that NPI should not have too much problems paying its short term obligations.
NPI has a better Quick ratio (1.03) than 84.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 255.93% over the past year.
The earnings per share for NPI have been decreasing by -14.00% on average. This is quite bad
Looking at the last year, NPI shows a decrease in Revenue. The Revenue has decreased by -4.55% in the last year.
NPI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.27% yearly.
EPS 1Y (TTM)255.93%
EPS 3Y10.66%
EPS 5Y-14%
EPS Q2Q%161.43%
Revenue 1Y (TTM)-4.55%
Revenue growth 3Y4.03%
Revenue growth 5Y7.27%
Sales Q2Q%13.04%
3.2 Future
The Earnings Per Share is expected to grow by 26.57% on average over the next years. This is a very strong growth
NPI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.42% yearly.
EPS Next Y-105.59%
EPS Next 2Y14.81%
EPS Next 3Y10.7%
EPS Next 5Y26.57%
Revenue Next Year-0.17%
Revenue Next 2Y2.74%
Revenue Next 3Y3.3%
Revenue Next 5Y3.42%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
Based on the Price/Earnings ratio of 19.40, the valuation of NPI can be described as rather expensive.
Based on the Price/Earnings ratio, NPI is valued cheaper than 87.50% of the companies in the same industry.
NPI is valuated rather cheaply when we compare the Price/Earnings ratio to 26.51, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.15, which indicates a correct valuation of NPI.
Based on the Price/Forward Earnings ratio, NPI is valued cheaper than 87.50% of the companies in the same industry.
NPI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.4 | ||
| Fwd PE | 13.15 |
4.2 Price Multiples
NPI's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. NPI is cheaper than 96.88% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NPI indicates a rather cheap valuation: NPI is cheaper than 100.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.26 | ||
| EV/EBITDA | 7.63 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y14.81%
EPS Next 3Y10.7%
5. Dividend
5.1 Amount
NPI has a Yearly Dividend Yield of 4.02%, which is a nice return.
In the last 3 months the price of NPI has falen by -26.81%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
NPI's Dividend Yield is comparable with the industry average which is at 4.02.
NPI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.00.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.02% |
5.2 History
The dividend of NPI decreases each year by -8.73%.
NPI has been paying a dividend for at least 10 years, so it has 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
NPI has negative earnings and hence a negative payout ratio. The dividend may be in danger.
DP-91.8%
EPS Next 2Y14.81%
EPS Next 3Y10.7%
TSX:NPI (12/31/2025, 7:00:00 PM)
17.85
+0.19 (+1.08%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)
Earnings (Next)
Inst Owners46.71%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap4.67B
Revenue(TTM)2.29B
Net Income(TTM)-285.99M
Analysts73.75
Price Target23.38 (30.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.02% |
Yearly Dividend0.8
Dividend Growth(5Y)-8.73%
DP-91.8%
Div Incr Years0
Div Non Decr Years17
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-34.97%
Min EPS beat(2)-249.11%
Max EPS beat(2)179.18%
EPS beat(4)2
Avg EPS beat(4)-24.75%
Min EPS beat(4)-249.11%
Max EPS beat(4)179.18%
EPS beat(8)3
Avg EPS beat(8)-75.63%
EPS beat(12)5
Avg EPS beat(12)-48.58%
EPS beat(16)9
Avg EPS beat(16)23.41%
Revenue beat(2)1
Avg Revenue beat(2)-0.37%
Min Revenue beat(2)-2.69%
Max Revenue beat(2)1.95%
Revenue beat(4)1
Avg Revenue beat(4)-1.18%
Min Revenue beat(4)-3.22%
Max Revenue beat(4)1.95%
Revenue beat(8)4
Avg Revenue beat(8)0.37%
Revenue beat(12)7
Avg Revenue beat(12)0.85%
Revenue beat(16)11
Avg Revenue beat(16)5.36%
PT rev (1m)-7.41%
PT rev (3m)-17.17%
EPS NQ rev (1m)-10.07%
EPS NQ rev (3m)-11.35%
EPS NY rev (1m)-107.23%
EPS NY rev (3m)-104.43%
Revenue NQ rev (1m)0.43%
Revenue NQ rev (3m)0.05%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.4 | ||
| Fwd PE | 13.15 | ||
| P/S | 2.04 | ||
| P/FCF | 3.26 | ||
| P/OCF | 2.99 | ||
| P/B | 1.19 | ||
| P/tB | 1.62 | ||
| EV/EBITDA | 7.63 |
EPS(TTM)0.92
EY5.15%
EPS(NY)1.36
Fwd EY7.61%
FCF(TTM)5.48
FCFY30.69%
OCF(TTM)5.96
OCFY33.39%
SpS8.76
BVpS15
TBVpS11.04
PEG (NY)N/A
PEG (5Y)N/A
Graham Number17.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.13% | ||
| ROE | -7.29% | ||
| ROCE | 6.1% | ||
| ROIC | 4.02% | ||
| ROICexc | 4.32% | ||
| ROICexgc | 4.77% | ||
| OM | 31.83% | ||
| PM (TTM) | N/A | ||
| GM | 94.3% | ||
| FCFM | 62.51% |
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%
ROICexgc growth 3Y-0.15%
ROICexgc 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 Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.56 | ||
| Debt/FCF | 4.96 | ||
| Debt/EBITDA | 4.27 | ||
| Cap/Depr | 17.96% | ||
| Cap/Sales | 5.51% | ||
| Interest Coverage | 2.04 | ||
| Cash Conversion | 108.81% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.03 | ||
| Quick Ratio | 1.03 | ||
| Altman-Z | 0.46 |
F-Score4
WACC5.44%
ROIC/WACC0.74
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)255.93%
EPS 3Y10.66%
EPS 5Y-14%
EPS Q2Q%161.43%
EPS Next Y-105.59%
EPS Next 2Y14.81%
EPS Next 3Y10.7%
EPS Next 5Y26.57%
Revenue 1Y (TTM)-4.55%
Revenue growth 3Y4.03%
Revenue growth 5Y7.27%
Sales Q2Q%13.04%
Revenue Next Year-0.17%
Revenue Next 2Y2.74%
Revenue Next 3Y3.3%
Revenue Next 5Y3.42%
EBIT growth 1Y-14.15%
EBIT growth 3Y3.6%
EBIT growth 5Y2.05%
EBIT Next Year60.46%
EBIT Next 3Y30.89%
EBIT Next 5Y18.54%
FCF growth 1Y94.96%
FCF growth 3Y-25.21%
FCF growth 5Y0.79%
OCF growth 1Y29.88%
OCF growth 3Y-13.85%
OCF growth 5Y-3.42%
NORTHLAND POWER INC / NPI.CA FAQ
What is the fundamental rating for NPI stock?
ChartMill assigns a fundamental rating of 5 / 10 to NPI.CA.
What is the valuation status of NORTHLAND POWER INC (NPI.CA) stock?
ChartMill assigns a valuation rating of 5 / 10 to NORTHLAND POWER INC (NPI.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for NORTHLAND POWER INC?
NORTHLAND POWER INC (NPI.CA) has a profitability rating of 5 / 10.
What is the valuation of NORTHLAND POWER INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NORTHLAND POWER INC (NPI.CA) is 19.4 and the Price/Book (PB) ratio is 1.19.
What is the earnings growth outlook for NORTHLAND POWER INC?
The Earnings per Share (EPS) of NORTHLAND POWER INC (NPI.CA) is expected to decline by -105.59% in the next year.