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PARKLAND CORP (PKI.CA) Stock Fundamental Analysis

TSX:PKI - Toronto Stock Exchange - CA70137W1086 - Common Stock - Currency: CAD

38.41  -0.13 (-0.34%)

Fundamental Rating

4

PKI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 221 industry peers in the Oil, Gas & Consumable Fuels industry. PKI has only an average score on both its financial health and profitability. PKI has a valuation in line with the averages, but on the other hand it scores bad on growth.


Dividend Valuation Growth Profitability Health

4

1. Profitability

1.1 Basic Checks

In the past year PKI was profitable.
In the past year PKI had a positive cash flow from operations.
Each year in the past 5 years PKI has been profitable.
PKI had a positive operating cash flow in each of the past 5 years.
PKI.CA Yearly Net Income VS EBIT VS OCF VS FCFPKI.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 500M 1B 1.5B

1.2 Ratios

The Return On Assets of PKI (1.75%) is comparable to the rest of the industry.
PKI has a Return On Equity of 7.65%. This is comparable to the rest of the industry: PKI outperforms 57.00% of its industry peers.
The Return On Invested Capital of PKI (5.67%) is better than 70.53% of its industry peers.
The Average Return On Invested Capital over the past 3 years for PKI is in line with the industry average of 7.73%.
Industry RankSector Rank
ROA 1.75%
ROE 7.65%
ROIC 5.67%
ROA(3y)2.14%
ROA(5y)2.28%
ROE(3y)9.98%
ROE(5y)10.74%
ROIC(3y)8.58%
ROIC(5y)7.74%
PKI.CA Yearly ROA, ROE, ROICPKI.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 5 10 15

1.3 Margins

PKI has a Profit Margin of 0.83%. This is comparable to the rest of the industry: PKI outperforms 49.28% of its industry peers.
PKI's Profit Margin has been stable in the last couple of years.
The Operating Margin of PKI (2.29%) is comparable to the rest of the industry.
PKI's Operating Margin has declined in the last couple of years.
PKI's Gross Margin of 12.55% is on the low side compared to the rest of the industry. PKI is outperformed by 60.39% of its industry peers.
PKI's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 2.29%
PM (TTM) 0.83%
GM 12.55%
OM growth 3Y7.51%
OM growth 5Y-7.03%
PM growth 3Y35.36%
PM growth 5Y0.35%
GM growth 3Y-9.44%
GM growth 5Y-2.62%
PKI.CA Yearly Profit, Operating, Gross MarginsPKI.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 5 10 15

4

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so PKI is still creating some value.
PKI has more shares outstanding than it did 1 year ago.
The number of shares outstanding for PKI has been increased compared to 5 years ago.
Compared to 1 year ago, PKI has an improved debt to assets ratio.
PKI.CA Yearly Shares OutstandingPKI.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 50M 100M 150M
PKI.CA Yearly Total Debt VS Total AssetsPKI.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 5B 10B

2.2 Solvency

An Altman-Z score of 2.75 indicates that PKI is not a great score, but indicates only limited risk for bankruptcy at the moment.
PKI's Altman-Z score of 2.75 is fine compared to the rest of the industry. PKI outperforms 76.81% of its industry peers.
PKI has a debt to FCF ratio of 6.21. This is a slightly negative value and a sign of low solvency as PKI would need 6.21 years to pay back of all of its debts.
The Debt to FCF ratio of PKI (6.21) is better than 71.01% of its industry peers.
PKI has a Debt/Equity ratio of 1.93. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.93, PKI is not doing good in the industry: 82.61% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 1.93
Debt/FCF 6.21
Altman-Z 2.75
ROIC/WACC0.73
WACC7.81%
PKI.CA Yearly LT Debt VS Equity VS FCFPKI.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2B 4B 6B

2.3 Liquidity

A Current Ratio of 1.39 indicates that PKI should not have too much problems paying its short term obligations.
PKI has a Current ratio of 1.39. This is in the better half of the industry: PKI outperforms 67.15% of its industry peers.
A Quick Ratio of 0.95 indicates that PKI may have some problems paying its short term obligations.
PKI has a Quick ratio (0.95) which is in line with its industry peers.
Industry RankSector Rank
Current Ratio 1.39
Quick Ratio 0.95
PKI.CA Yearly Current Assets VS Current LiabilitesPKI.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 1B 2B 3B 4B

3

3. Growth

3.1 Past

PKI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -46.46%.
The Earnings Per Share has been growing by 12.34% on average over the past years. This is quite good.
The Revenue for PKI has decreased by -12.83% in the past year. This is quite bad
The Revenue has been growing by 17.58% on average over the past years. This is quite good.
EPS 1Y (TTM)-46.46%
EPS 3Y70.57%
EPS 5Y12.34%
EPS Q2Q%-59.37%
Revenue 1Y (TTM)-12.83%
Revenue growth 3Y32.31%
Revenue growth 5Y17.58%
Sales Q2Q%-19.69%

3.2 Future

PKI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.92% yearly.
PKI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -1.02% yearly.
EPS Next Y-29.43%
EPS Next 2Y14.94%
EPS Next 3Y13.92%
EPS Next 5YN/A
Revenue Next Year-13.55%
Revenue Next 2Y-6.4%
Revenue Next 3Y-3.54%
Revenue Next 5Y-1.02%

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 stable.
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.
PKI.CA Yearly Revenue VS EstimatesPKI.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 10B 20B 30B
PKI.CA Yearly EPS VS EstimatesPKI.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3

5

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 28.24, PKI can be considered very expensive at the moment.
PKI's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of PKI to the average of the S&P500 Index (30.19), we can say PKI is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 11.06, the valuation of PKI can be described as reasonable.
The rest of the industry has a similar Price/Forward Earnings ratio as PKI.
PKI is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.58, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 28.24
Fwd PE 11.06
PKI.CA Price Earnings VS Forward Price EarningsPKI.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, PKI is valued a bit cheaper than the industry average as 61.35% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, PKI is valued cheaply inside the industry as 81.64% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 6.56
EV/EBITDA 8.41
PKI.CA Per share dataPKI.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 50 100 150

4.3 Compensation for Growth

PKI's earnings are expected to grow with 13.92% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)2.29
EPS Next 2Y14.94%
EPS Next 3Y13.92%

5

5. Dividend

5.1 Amount

PKI has a Yearly Dividend Yield of 3.63%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.30, PKI pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.30, PKI pays a better dividend.
Industry RankSector Rank
Dividend Yield 3.63%

5.2 History

The dividend of PKI is nicely growing with an annual growth rate of 11.87%!
PKI has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.87%
Div Incr Years0
Div Non Decr Years0
PKI.CA Yearly Dividends per sharePKI.CA Yearly Dividends per shareYearly Dividends per share 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0.5 1 1.5

5.3 Sustainability

100.00% of the earnings are spent on dividend by PKI. This is not a sustainable payout ratio.
The dividend of PKI is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP100%
EPS Next 2Y14.94%
EPS Next 3Y13.92%
PKI.CA Yearly Income VS Free CF VS DividendPKI.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 200M 400M 600M 800M 1B
PKI.CA Dividend Payout.PKI.CA Dividend Payout, showing the Payout Ratio.PKI.CA Dividend Payout.PayoutRetained Earnings

PARKLAND CORP

TSX:PKI (2/14/2025, 7:00:00 PM)

38.41

-0.13 (-0.34%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)10-30 2024-10-30/amc
Earnings (Next)02-27 2025-02-27/amc
Inst Owners33.17%
Inst Owner ChangeN/A
Ins Owners0.67%
Ins Owner ChangeN/A
Market Cap6.68B
Analysts78.82
Price Target49.39 (28.59%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 3.63%
Yearly Dividend1.35
Dividend Growth(5Y)11.87%
DP100%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-43.7%
Min EPS beat(2)-57.21%
Max EPS beat(2)-30.19%
EPS beat(4)0
Avg EPS beat(4)-80.42%
Min EPS beat(4)-206.08%
Max EPS beat(4)-28.17%
EPS beat(8)2
Avg EPS beat(8)-40.59%
EPS beat(12)3
Avg EPS beat(12)-33.44%
EPS beat(16)4
Avg EPS beat(16)-39.94%
Revenue beat(2)0
Avg Revenue beat(2)-4.83%
Min Revenue beat(2)-6.76%
Max Revenue beat(2)-2.9%
Revenue beat(4)0
Avg Revenue beat(4)-8.15%
Min Revenue beat(4)-14.52%
Max Revenue beat(4)-2.9%
Revenue beat(8)2
Avg Revenue beat(8)-4%
Revenue beat(12)6
Avg Revenue beat(12)3.68%
Revenue beat(16)9
Avg Revenue beat(16)4.35%
PT rev (1m)0%
PT rev (3m)-5.92%
EPS NQ rev (1m)9.38%
EPS NQ rev (3m)-34.72%
EPS NY rev (1m)5.3%
EPS NY rev (3m)-19.56%
Revenue NQ rev (1m)4.25%
Revenue NQ rev (3m)-3.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.92%
Valuation
Industry RankSector Rank
PE 28.24
Fwd PE 11.06
P/S 0.23
P/FCF 6.56
P/OCF 4.55
P/B 2.11
P/tB N/A
EV/EBITDA 8.41
EPS(TTM)1.36
EY3.54%
EPS(NY)3.47
Fwd EY9.05%
FCF(TTM)5.85
FCFY15.24%
OCF(TTM)8.43
OCFY21.96%
SpS167.73
BVpS18.19
TBVpS-1.26
PEG (NY)N/A
PEG (5Y)2.29
Profitability
Industry RankSector Rank
ROA 1.75%
ROE 7.65%
ROCE 6.44%
ROIC 5.67%
ROICexc 5.87%
ROICexgc 8.88%
OM 2.29%
PM (TTM) 0.83%
GM 12.55%
FCFM 3.49%
ROA(3y)2.14%
ROA(5y)2.28%
ROE(3y)9.98%
ROE(5y)10.74%
ROIC(3y)8.58%
ROIC(5y)7.74%
ROICexc(3y)8.97%
ROICexc(5y)8.07%
ROICexgc(3y)14.11%
ROICexgc(5y)12.86%
ROCE(3y)9.76%
ROCE(5y)8.8%
ROICexcg growth 3Y24.69%
ROICexcg growth 5Y-9.83%
ROICexc growth 3Y26.99%
ROICexc growth 5Y-7.02%
OM growth 3Y7.51%
OM growth 5Y-7.03%
PM growth 3Y35.36%
PM growth 5Y0.35%
GM growth 3Y-9.44%
GM growth 5Y-2.62%
F-Score6
Asset Turnover2.11
Health
Industry RankSector Rank
Debt/Equity 1.93
Debt/FCF 6.21
Debt/EBITDA 4.06
Cap/Depr 53.64%
Cap/Sales 1.54%
Interest Coverage 2.11
Cash Conversion 97.54%
Profit Quality 420.66%
Current Ratio 1.39
Quick Ratio 0.95
Altman-Z 2.75
F-Score6
WACC7.81%
ROIC/WACC0.73
Cap/Depr(3y)63.52%
Cap/Depr(5y)66.3%
Cap/Sales(3y)1.58%
Cap/Sales(5y)1.97%
Profit Quality(3y)354.93%
Profit Quality(5y)377.98%
High Growth Momentum
Growth
EPS 1Y (TTM)-46.46%
EPS 3Y70.57%
EPS 5Y12.34%
EPS Q2Q%-59.37%
EPS Next Y-29.43%
EPS Next 2Y14.94%
EPS Next 3Y13.92%
EPS Next 5YN/A
Revenue 1Y (TTM)-12.83%
Revenue growth 3Y32.31%
Revenue growth 5Y17.58%
Sales Q2Q%-19.69%
Revenue Next Year-13.55%
Revenue Next 2Y-6.4%
Revenue Next 3Y-3.54%
Revenue Next 5Y-1.02%
EBIT growth 1Y-39.64%
EBIT growth 3Y42.24%
EBIT growth 5Y9.31%
EBIT Next Year60.13%
EBIT Next 3Y24.5%
EBIT Next 5Y17.23%
FCF growth 1Y194.22%
FCF growth 3Y30.13%
FCF growth 5Y49.13%
OCF growth 1Y80%
OCF growth 3Y23.98%
OCF growth 5Y31.02%