STANTEC INC (STN.CA) Fundamental Analysis & Valuation

TSX:STN • CA85472N1096

Current stock price

124.02 CAD
+1.87 (+1.53%)
Last:

This STN.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. STN.CA Profitability Analysis

1.1 Basic Checks

  • In the past year STN was profitable.
  • In the past year STN had a positive cash flow from operations.
  • Each year in the past 5 years STN has been profitable.
  • Each year in the past 5 years STN had a positive operating cash flow.
STN.CA Yearly Net Income VS EBIT VS OCF VS FCFSTN.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M

1.2 Ratios

  • STN has a Return On Assets of 6.02%. This is in the better half of the industry: STN outperforms 75.00% of its industry peers.
  • Looking at the Return On Equity, with a value of 14.79%, STN is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
  • STN has a better Return On Invested Capital (9.66%) than 100.00% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for STN is in line with the industry average of 7.57%.
  • The 3 year average ROIC (9.04%) for STN is below the current ROIC(9.66%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 6.02%
ROE 14.79%
ROIC 9.66%
ROA(3y)5.57%
ROA(5y)4.98%
ROE(3y)13.33%
ROE(5y)12.16%
ROIC(3y)9.04%
ROIC(5y)7.96%
STN.CA Yearly ROA, ROE, ROICSTN.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10

1.3 Margins

  • STN's Profit Margin of 7.38% is amongst the best of the industry. STN outperforms 87.50% of its industry peers.
  • In the last couple of years the Profit Margin of STN has grown nicely.
  • With an excellent Operating Margin value of 11.07%, STN belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
  • In the last couple of years the Operating Margin of STN has grown nicely.
  • STN has a better Gross Margin (54.34%) than 100.00% of its industry peers.
  • In the last couple of years the Gross Margin of STN has remained more or less at the same level.
Industry RankSector Rank
OM 11.07%
PM (TTM) 7.38%
GM 54.34%
OM growth 3Y7.91%
OM growth 5Y3.12%
PM growth 3Y10.03%
PM growth 5Y9.71%
GM growth 3Y0.06%
GM growth 5Y0.73%
STN.CA Yearly Profit, Operating, Gross MarginsSTN.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

6

2. STN.CA Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), STN is creating some value.
  • Compared to 1 year ago, STN has about the same amount of shares outstanding.
  • STN has more shares outstanding than it did 5 years ago.
  • STN has a worse debt/assets ratio than last year.
STN.CA Yearly Shares OutstandingSTN.CA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 20M 40M 60M 80M 100M
STN.CA Yearly Total Debt VS Total AssetsSTN.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.2 Solvency

  • STN has an Altman-Z score of 3.30. This indicates that STN is financially healthy and has little risk of bankruptcy at the moment.
  • The Altman-Z score of STN (3.30) is better than 75.00% of its industry peers.
  • The Debt to FCF ratio of STN is 3.22, which is a good value as it means it would take STN, 3.22 years of fcf income to pay off all of its debts.
  • STN's Debt to FCF ratio of 3.22 is amongst the best of the industry. STN outperforms 87.50% of its industry peers.
  • A Debt/Equity ratio of 0.66 indicates that STN is somewhat dependend on debt financing.
  • Looking at the Debt to Equity ratio, with a value of 0.66, STN is in line with its industry, outperforming 50.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.66
Debt/FCF 3.22
Altman-Z 3.3
ROIC/WACC1.03
WACC9.41%
STN.CA Yearly LT Debt VS Equity VS FCFSTN.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

2.3 Liquidity

  • STN has a Current Ratio of 1.23. This is a normal value and indicates that STN is financially healthy and should not expect problems in meeting its short term obligations.
  • STN has a Current ratio of 1.23. This is in the better half of the industry: STN outperforms 62.50% of its industry peers.
  • STN has a Quick Ratio of 1.23. This is a normal value and indicates that STN is financially healthy and should not expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 1.23, STN is in the better half of the industry, outperforming 62.50% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.23
Quick Ratio 1.23
STN.CA Yearly Current Assets VS Current LiabilitesSTN.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

6

3. STN.CA Growth Analysis

3.1 Past

  • STN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.64%, which is quite good.
  • Measured over the past years, STN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.90% on average per year.
  • STN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.71%.
  • STN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.01% yearly.
EPS 1Y (TTM)19.64%
EPS 3Y19.32%
EPS 5Y18.9%
EPS Q2Q%12.61%
Revenue 1Y (TTM)10.71%
Revenue growth 3Y13.37%
Revenue growth 5Y12.01%
Sales Q2Q%10.91%

3.2 Future

  • STN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.58% yearly.
  • Based on estimates for the next years, STN will show a quite strong growth in Revenue. The Revenue will grow by 8.23% on average per year.
EPS Next Y17.23%
EPS Next 2Y14.58%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.87%
Revenue Next 2Y8.23%
Revenue Next 3YN/A
Revenue Next 5YN/A

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
STN.CA Yearly Revenue VS EstimatesSTN.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2B 4B 6B
STN.CA Yearly EPS VS EstimatesSTN.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2 4 6

6

4. STN.CA Valuation Analysis

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 23.40, the valuation of STN can be described as rather expensive.
  • STN's Price/Earnings ratio is rather cheap when compared to the industry. STN is cheaper than 100.00% of the companies in the same industry.
  • The average S&P500 Price/Earnings ratio is at 26.91. STN is around the same levels.
  • The Price/Forward Earnings ratio is 19.96, which indicates a rather expensive current valuation of STN.
  • STN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. STN is cheaper than 75.00% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 21.99, STN is valued at the same level.
Industry RankSector Rank
PE 23.4
Fwd PE 19.96
STN.CA Price Earnings VS Forward Price EarningsSTN.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30 40

4.2 Price Multiples

  • 62.50% of the companies in the same industry are more expensive than STN, based on the Enterprise Value to EBITDA ratio.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of STN indicates a rather cheap valuation: STN is cheaper than 87.50% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 17.88
EV/EBITDA 15.19
STN.CA Per share dataSTN.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 20 40

4.3 Compensation for Growth

  • STN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The excellent profitability rating of STN may justify a higher PE ratio.
  • STN's earnings are expected to grow with 14.58% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.36
PEG (5Y)1.24
EPS Next 2Y14.58%
EPS Next 3YN/A

5

5. STN.CA Dividend Analysis

5.1 Amount

  • With a yearly dividend of 0.80%, STN is not a good candidate for dividend investing.
  • Compared to an average industry Dividend Yield of 0.77, STN pays a bit more dividend than its industry peers.
  • With a Dividend Yield of 0.80, STN pays less dividend than the S&P500 average, which is at 1.82.
Industry RankSector Rank
Dividend Yield 0.8%

5.2 History

  • The dividend of STN is nicely growing with an annual growth rate of 7.67%!
  • STN has paid a dividend for at least 10 years, which is a reliable track record.
  • STN has decreased its dividend recently.
Dividend Growth(5Y)7.67%
Div Incr Years1
Div Non Decr Years1
STN.CA Yearly Dividends per shareSTN.CA Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6 0.8

5.3 Sustainability

  • STN pays out 21.07% of its income as dividend. This is a sustainable payout ratio.
  • STN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP21.07%
EPS Next 2Y14.58%
EPS Next 3YN/A
STN.CA Yearly Income VS Free CF VS DividendSTN.CA Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M
STN.CA Dividend Payout.STN.CA Dividend Payout, showing the Payout Ratio.STN.CA Dividend Payout.PayoutRetained Earnings

STN.CA Fundamentals: All Metrics, Ratios and Statistics

STANTEC INC

TSX:STN (4/27/2026, 7:00:00 PM)

124.02

+1.87 (+1.53%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)02-25
Earnings (Next)05-13
Inst Owners79.47%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap14.15B
Revenue(TTM)6.49B
Net Income(TTM)479.40M
Analysts78.67
Price Target163.11 (31.52%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield 0.8%
Yearly Dividend0.89
Dividend Growth(5Y)7.67%
DP21.07%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-31
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.44%
Min EPS beat(2)-0.99%
Max EPS beat(2)1.86%
EPS beat(4)2
Avg EPS beat(4)0.93%
Min EPS beat(4)-1.14%
Max EPS beat(4)3.98%
EPS beat(8)5
Avg EPS beat(8)2.49%
EPS beat(12)8
Avg EPS beat(12)2.9%
EPS beat(16)11
Avg EPS beat(16)3.36%
Revenue beat(2)0
Avg Revenue beat(2)-1.26%
Min Revenue beat(2)-1.54%
Max Revenue beat(2)-0.98%
Revenue beat(4)0
Avg Revenue beat(4)-1.64%
Min Revenue beat(4)-3.52%
Max Revenue beat(4)-0.51%
Revenue beat(8)1
Avg Revenue beat(8)-0.72%
Revenue beat(12)5
Avg Revenue beat(12)0.43%
Revenue beat(16)9
Avg Revenue beat(16)0.61%
PT rev (1m)-6.29%
PT rev (3m)-5.28%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)-2.78%
EPS NY rev (1m)0.06%
EPS NY rev (3m)1.91%
Revenue NQ rev (1m)0.17%
Revenue NQ rev (3m)-1.03%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)-0.33%
Valuation
Industry RankSector Rank
PE 23.4
Fwd PE 19.96
P/S 2.18
P/FCF 17.88
P/OCF 16.39
P/B 4.37
P/tB N/A
EV/EBITDA 15.19
EPS(TTM)5.3
EY4.27%
EPS(NY)6.21
Fwd EY5.01%
FCF(TTM)6.93
FCFY5.59%
OCF(TTM)7.56
OCFY6.1%
SpS56.94
BVpS28.41
TBVpS-5.05
PEG (NY)1.36
PEG (5Y)1.24
Graham Number58.2027 (-53.07%)
Profitability
Industry RankSector Rank
ROA 6.02%
ROE 14.79%
ROCE 12.63%
ROIC 9.66%
ROICexc 10.38%
ROICexgc 36.7%
OM 11.07%
PM (TTM) 7.38%
GM 54.34%
FCFM 12.18%
ROA(3y)5.57%
ROA(5y)4.98%
ROE(3y)13.33%
ROE(5y)12.16%
ROIC(3y)9.04%
ROIC(5y)7.96%
ROICexc(3y)9.69%
ROICexc(5y)8.46%
ROICexgc(3y)29.32%
ROICexgc(5y)25.17%
ROCE(3y)11.82%
ROCE(5y)10.42%
ROICexgc growth 3Y21.99%
ROICexgc growth 5Y11.47%
ROICexc growth 3Y12.69%
ROICexc growth 5Y3.78%
OM growth 3Y7.91%
OM growth 5Y3.12%
PM growth 3Y10.03%
PM growth 5Y9.71%
GM growth 3Y0.06%
GM growth 5Y0.73%
F-Score4
Asset Turnover0.82
Health
Industry RankSector Rank
Debt/Equity 0.66
Debt/FCF 3.22
Debt/EBITDA 2
Cap/Depr 20.44%
Cap/Sales 1.11%
Interest Coverage 8.59
Cash Conversion 80.61%
Profit Quality 165%
Current Ratio 1.23
Quick Ratio 1.23
Altman-Z 3.3
F-Score4
WACC9.41%
ROIC/WACC1.03
Cap/Depr(3y)29%
Cap/Depr(5y)26.36%
Cap/Sales(3y)1.59%
Cap/Sales(5y)1.52%
Profit Quality(3y)145.65%
Profit Quality(5y)141.48%
High Growth Momentum
Growth
EPS 1Y (TTM)19.64%
EPS 3Y19.32%
EPS 5Y18.9%
EPS Q2Q%12.61%
EPS Next Y17.23%
EPS Next 2Y14.58%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)10.71%
Revenue growth 3Y13.37%
Revenue growth 5Y12.01%
Sales Q2Q%10.91%
Revenue Next Year9.87%
Revenue Next 2Y8.23%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y21.89%
EBIT growth 3Y22.34%
EBIT growth 5Y15.5%
EBIT Next Year55.75%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y56.91%
FCF growth 3Y49.7%
FCF growth 5Y6.68%
OCF growth 1Y43.08%
OCF growth 3Y41.54%
OCF growth 5Y7.4%

STANTEC INC / STN.CA Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for STANTEC INC?

ChartMill assigns a fundamental rating of 7 / 10 to STN.CA.


Can you provide the valuation status for STANTEC INC?

ChartMill assigns a valuation rating of 6 / 10 to STANTEC INC (STN.CA). This can be considered as Fairly Valued.


What is the profitability of STN stock?

STANTEC INC (STN.CA) has a profitability rating of 8 / 10.


What is the expected EPS growth for STANTEC INC (STN.CA) stock?

The Earnings per Share (EPS) of STANTEC INC (STN.CA) is expected to grow by 17.23% in the next year.


Can you provide the dividend sustainability for STN stock?

The dividend rating of STANTEC INC (STN.CA) is 5 / 10 and the dividend payout ratio is 21.07%.