NORTHLAND POWER INC (NPI.CA) Stock Fundamental Analysis
Canada - TSX:NPI - CA6665111002 - Common Stock
22.08 CAD
-0.18 (-0.81%)
NPI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 34 industry peers in the Independent Power and Renewable Electricity Producers industry. NPI has only an average score on both its financial health and profitability. NPI has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year NPI has reported negative net income.
NPI had a positive operating cash flow in the past year.
Of the past 5 years NPI 4 years were profitable.
NPI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of NPI (-0.38%) is better than 61.76% of its industry peers.
NPI has a Return On Equity of -1.20%. This is in the better half of the industry: NPI outperforms 73.53% of its industry peers.
NPI's Return On Invested Capital of 3.71% is amongst the best of the industry. NPI outperforms 91.18% 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 4.55%.
| 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
NPI's Profit Margin has declined in the last couple of years.
NPI has a Operating Margin of 31.22%. This is in the better half of the industry: NPI outperforms 76.47% of its industry peers.
In the last couple of years the Operating Margin of NPI has declined.
NPI has a better Gross Margin (97.12%) 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 | 31.22% | ||
| 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
NPI has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for NPI has been increased compared to 1 year ago.
Compared to 5 years ago, NPI has more shares outstanding
The debt/assets ratio for NPI has remained at the same level compared to a year ago.
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.
With an excellent Altman-Z score value of 0.55, NPI belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
The Debt to FCF ratio of NPI is 5.48, which is a neutral value as it means it would take NPI, 5.48 years of fcf income to pay off all of its debts.
NPI's Debt to FCF ratio of 5.48 is amongst the best of the industry. NPI outperforms 91.18% of its industry peers.
A Debt/Equity ratio of 1.40 is on the high side and indicates that NPI has dependencies on debt financing.
NPI has a better Debt to Equity ratio (1.40) than 73.53% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 5.48 | ||
| Altman-Z | 0.55 |
ROIC/WACC0.69
WACC5.34%
2.3 Liquidity
A Current Ratio of 0.91 indicates that NPI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.91, NPI is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
NPI has a Quick Ratio of 0.91. This is a bad value and indicates that NPI is not financially healthy enough and could expect problems in meeting its short term obligations.
NPI's Quick ratio of 0.91 is fine compared to the rest of the industry. NPI outperforms 79.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. Growth
3.1 Past
NPI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -184.00%.
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.
The Revenue has been growing slightly by 7.27% on average over the past years.
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
The Earnings Per Share is expected to grow by 17.11% on average over the next years. This is quite good.
Based on estimates for the next years, NPI will show a small growth in Revenue. The Revenue will grow by 3.18% on average per year.
EPS Next Y-12.78%
EPS Next 2Y10.64%
EPS Next 3Y1.16%
EPS Next 5Y17.11%
Revenue Next Year-0.37%
Revenue Next 2Y3.82%
Revenue Next 3Y3.76%
Revenue Next 5Y3.18%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for NPI. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 12.10, which indicates a correct valuation of NPI.
NPI's Price/Forward Earnings ratio is rather cheap when compared to the industry. NPI is cheaper than 85.29% 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 22.86.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.1 |
4.2 Price Multiples
91.18% 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 cheaper than 97.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 4.5 | ||
| EV/EBITDA | 8.76 |
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
NPI has a Yearly Dividend Yield of 5.27%, which is a nice return.
NPI's Dividend Yield is a higher than the industry average which is at 4.35.
Compared to an average S&P500 Dividend Yield of 2.38, NPI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
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 their dividend for at least 10 years, which is a reliable track record.
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 (9/19/2025, 7:00:00 PM)
22.08
-0.18 (-0.81%)
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 Cap5.77B
Analysts78.75
Price Target28.22 (27.81%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.27% |
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)-0.78%
PT rev (3m)0.61%
EPS NQ rev (1m)-39.36%
EPS NQ rev (3m)-49.11%
EPS NY rev (1m)-6.31%
EPS NY rev (3m)-6.31%
Revenue NQ rev (1m)-5.38%
Revenue NQ rev (3m)5.11%
Revenue NY rev (1m)-0.08%
Revenue NY rev (3m)-0.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 12.1 | ||
| P/S | 2.59 | ||
| P/FCF | 4.5 | ||
| P/OCF | 4.04 | ||
| P/B | 1.34 | ||
| P/tB | 1.76 | ||
| EV/EBITDA | 8.76 |
EPS(TTM)-0.21
EYN/A
EPS(NY)1.82
Fwd EY8.26%
FCF(TTM)4.91
FCFY22.24%
OCF(TTM)5.47
OCFY24.76%
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
WACC5.34%
ROIC/WACC0.69
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 5Y17.11%
Revenue 1Y (TTM)-8.19%
Revenue growth 3Y4.03%
Revenue growth 5Y7.27%
Sales Q2Q%-3.75%
Revenue Next Year-0.37%
Revenue Next 2Y3.82%
Revenue Next 3Y3.76%
Revenue Next 5Y3.18%
EBIT growth 1Y-22.61%
EBIT growth 3Y3.6%
EBIT growth 5Y2.05%
EBIT Next Year58.3%
EBIT Next 3Y26.93%
EBIT Next 5Y16.85%
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%