PASON SYSTEMS INC (PSI.CA) Stock Fundamental Analysis
Canada - TSX:PSI - CA7029251088 - Common Stock
11.92 CAD
-0.17 (-1.41%)
Taking everything into account, PSI scores 7 out of 10 in our fundamental rating. PSI was compared to 27 industry peers in the Energy Equipment & Services industry. Both the health and profitability get an excellent rating, making PSI a very profitable company, without any liquidiy or solvency issues. PSI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year PSI was profitable.
PSI had a positive operating cash flow in the past year.
Each year in the past 5 years PSI has been profitable.
PSI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of PSI (12.78%) is better than 88.89% of its industry peers.
The Return On Equity of PSI (15.22%) is better than 70.37% of its industry peers.
Looking at the Return On Invested Capital, with a value of 15.14%, PSI belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
PSI had an Average Return On Invested Capital over the past 3 years of 21.07%. This is significantly above the industry average of 11.19%.
The last Return On Invested Capital (15.14%) for PSI is well below the 3 year average (21.07%), which needs to be investigated, but indicates that PSI had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.78% | ||
| ROE | 15.22% | ||
| ROIC | 15.14% |
ROA(3y)20.89%
ROA(5y)14.68%
ROE(3y)25.28%
ROE(5y)17.77%
ROIC(3y)21.07%
ROIC(5y)14.41%
1.3 Margins
PSI has a Profit Margin of 17.43%. This is amongst the best in the industry. PSI outperforms 92.59% of its industry peers.
PSI's Profit Margin has improved in the last couple of years.
The Operating Margin of PSI (23.24%) is better than 96.30% of its industry peers.
In the last couple of years the Operating Margin of PSI has declined.
With an excellent Gross Margin value of 47.53%, PSI belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
PSI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.24% | ||
| PM (TTM) | 17.43% | ||
| GM | 47.53% |
OM growth 3Y10.25%
OM growth 5Y-2.18%
PM growth 3Y21.46%
PM growth 5Y9.9%
GM growth 3Y2.51%
GM growth 5Y1.3%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so PSI is creating value.
The number of shares outstanding for PSI has been reduced compared to 1 year ago.
Compared to 5 years ago, PSI has less shares outstanding
The debt/assets ratio for PSI has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 8.21 indicates that PSI is not in any danger for bankruptcy at the moment.
The Altman-Z score of PSI (8.21) is better than 96.30% of its industry peers.
PSI has a debt to FCF ratio of 0.25. This is a very positive value and a sign of high solvency as it would only need 0.25 years to pay back of all of its debts.
PSI has a better Debt to FCF ratio (0.25) than 92.59% of its industry peers.
PSI has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.03, PSI belongs to the top of the industry, outperforming 92.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.25 | ||
| Altman-Z | 8.21 |
ROIC/WACC1.82
WACC8.33%
2.3 Liquidity
PSI has a Current Ratio of 2.57. This indicates that PSI is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of PSI (2.57) is better than 88.89% of its industry peers.
A Quick Ratio of 2.28 indicates that PSI has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.28, PSI belongs to the top of the industry, outperforming 88.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.28 |
3. Growth
3.1 Past
The earnings per share for PSI have decreased strongly by -37.41% in the last year.
PSI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 19.26% yearly.
The Revenue has grown by 9.33% in the past year. This is quite good.
The Revenue has been growing slightly by 6.98% on average over the past years.
EPS 1Y (TTM)-37.41%
EPS 3Y54.77%
EPS 5Y19.26%
EPS Q2Q%14.29%
Revenue 1Y (TTM)9.33%
Revenue growth 3Y26.07%
Revenue growth 5Y6.98%
Sales Q2Q%0.58%
3.2 Future
The Earnings Per Share is expected to decrease by -13.92% on average over the next years. This is quite bad
Based on estimates for the next years, PSI will show a small growth in Revenue. The Revenue will grow by 2.10% on average per year.
EPS Next Y-43.85%
EPS Next 2Y-18.89%
EPS Next 3Y-13.92%
EPS Next 5YN/A
Revenue Next Year0.09%
Revenue Next 2Y3.11%
Revenue Next 3Y2.1%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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
A Price/Earnings ratio of 12.96 indicates a correct valuation of PSI.
PSI's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of PSI to the average of the S&P500 Index (27.76), we can say PSI is valued rather cheaply.
With a Price/Forward Earnings ratio of 11.92, the valuation of PSI can be described as very reasonable.
PSI's Price/Forward Earnings is on the same level as the industry average.
PSI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.18.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.96 | ||
| Fwd PE | 11.92 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of PSI is on the same level as its industry peers.
PSI's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.59 | ||
| EV/EBITDA | 5.67 |
4.3 Compensation for Growth
PSI has an outstanding profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as PSI's earnings are expected to decrease with -13.92% in the coming years.
PEG (NY)N/A
PEG (5Y)0.67
EPS Next 2Y-18.89%
EPS Next 3Y-13.92%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.24%, PSI is a good candidate for dividend investing.
PSI's Dividend Yield is rather good when compared to the industry average which is at 3.08. PSI pays more dividend than 96.30% of the companies in the same industry.
PSI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.24% |
5.2 History
The dividend of PSI decreases each year by -6.84%.
PSI has been paying a dividend for at least 10 years, so it has a reliable track record.
PSI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-6.84%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
55.79% of the earnings are spent on dividend by PSI. This is a bit on the high side, but may be sustainable.
The Dividend Rate of PSI has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP55.79%
EPS Next 2Y-18.89%
EPS Next 3Y-13.92%
TSX:PSI (9/29/2025, 7:00:00 PM)
11.92
-0.17 (-1.41%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners48.62%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner ChangeN/A
Market Cap930.24M
Analysts75.56
Price Target15.5 (30.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.24% |
Yearly Dividend0.52
Dividend Growth(5Y)-6.84%
DP55.79%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.51%
Min EPS beat(2)-6%
Max EPS beat(2)-3.01%
EPS beat(4)1
Avg EPS beat(4)-1.45%
Min EPS beat(4)-9.6%
Max EPS beat(4)12.8%
EPS beat(8)3
Avg EPS beat(8)10.47%
EPS beat(12)7
Avg EPS beat(12)15.02%
EPS beat(16)11
Avg EPS beat(16)22.76%
Revenue beat(2)1
Avg Revenue beat(2)1.76%
Min Revenue beat(2)-1.89%
Max Revenue beat(2)5.42%
Revenue beat(4)2
Avg Revenue beat(4)1.38%
Min Revenue beat(4)-1.89%
Max Revenue beat(4)5.42%
Revenue beat(8)4
Avg Revenue beat(8)1.72%
Revenue beat(12)7
Avg Revenue beat(12)1.92%
Revenue beat(16)11
Avg Revenue beat(16)2.81%
PT rev (1m)0%
PT rev (3m)-1.3%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-18.39%
EPS NY rev (1m)-4.79%
EPS NY rev (3m)-19.91%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-12.28%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-4.74%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.96 | ||
| Fwd PE | 11.92 | ||
| P/S | 2.2 | ||
| P/FCF | 15.59 | ||
| P/OCF | 7.36 | ||
| P/B | 1.92 | ||
| P/tB | 3.36 | ||
| EV/EBITDA | 5.67 |
EPS(TTM)0.92
EY7.72%
EPS(NY)1
Fwd EY8.39%
FCF(TTM)0.76
FCFY6.41%
OCF(TTM)1.62
OCFY13.59%
SpS5.42
BVpS6.21
TBVpS3.55
PEG (NY)N/A
PEG (5Y)0.67
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 12.78% | ||
| ROE | 15.22% | ||
| ROCE | 19.27% | ||
| ROIC | 15.14% | ||
| ROICexc | 17.52% | ||
| ROICexgc | 33.08% | ||
| OM | 23.24% | ||
| PM (TTM) | 17.43% | ||
| GM | 47.53% | ||
| FCFM | 14.1% |
ROA(3y)20.89%
ROA(5y)14.68%
ROE(3y)25.28%
ROE(5y)17.77%
ROIC(3y)21.07%
ROIC(5y)14.41%
ROICexc(3y)33.47%
ROICexc(5y)23.4%
ROICexgc(3y)43.92%
ROICexgc(5y)30.65%
ROCE(3y)26.83%
ROCE(5y)18.34%
ROICexcg growth 3Y15.99%
ROICexcg growth 5Y-2.42%
ROICexc growth 3Y2.27%
ROICexc growth 5Y-9.42%
OM growth 3Y10.25%
OM growth 5Y-2.18%
PM growth 3Y21.46%
PM growth 5Y9.9%
GM growth 3Y2.51%
GM growth 5Y1.3%
F-Score6
Asset Turnover0.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.25 | ||
| Debt/EBITDA | 0.08 | ||
| Cap/Depr | 119.91% | ||
| Cap/Sales | 15.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.08% | ||
| Profit Quality | 80.91% | ||
| Current Ratio | 2.57 | ||
| Quick Ratio | 2.28 | ||
| Altman-Z | 8.21 |
F-Score6
WACC8.33%
ROIC/WACC1.82
Cap/Depr(3y)151.24%
Cap/Depr(5y)102.27%
Cap/Sales(3y)12.92%
Cap/Sales(5y)9.47%
Profit Quality(3y)67.88%
Profit Quality(5y)234.54%
High Growth Momentum
Growth
EPS 1Y (TTM)-37.41%
EPS 3Y54.77%
EPS 5Y19.26%
EPS Q2Q%14.29%
EPS Next Y-43.85%
EPS Next 2Y-18.89%
EPS Next 3Y-13.92%
EPS Next 5YN/A
Revenue 1Y (TTM)9.33%
Revenue growth 3Y26.07%
Revenue growth 5Y6.98%
Sales Q2Q%0.58%
Revenue Next Year0.09%
Revenue Next 2Y3.11%
Revenue Next 3Y2.1%
Revenue Next 5YN/A
EBIT growth 1Y-4.15%
EBIT growth 3Y38.99%
EBIT growth 5Y4.65%
EBIT Next Year-22.16%
EBIT Next 3Y-4.02%
EBIT Next 5YN/A
FCF growth 1Y-24.61%
FCF growth 3Y-1.81%
FCF growth 5Y-9.47%
OCF growth 1Y-0.19%
OCF growth 3Y23.71%
OCF growth 5Y2.57%