STANTEC INC (STN.CA) Fundamental Analysis & Valuation
TSX:STN • CA85472N1096
Current stock price
119.65 CAD
-1.88 (-1.55%)
Last:
This STN.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
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.
- In the past 5 years STN has always been profitable.
- In the past 5 years STN always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 6.02%, STN is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
- With a decent Return On Equity value of 14.79%, STN is doing good in the industry, outperforming 71.43% of the companies in the same industry.
- With an excellent Return On Invested Capital value of 9.66%, STN belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for STN is in line with the industry average of 7.57%.
- The last Return On Invested Capital (9.66%) for STN is above the 3 year average (9.04%), which is a sign of increasing profitability.
| Industry Rank | Sector 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%
1.3 Margins
- STN has a Profit Margin of 7.38%. This is amongst the best in the industry. STN outperforms 85.71% of its industry peers.
- STN's Profit Margin has improved in the last couple of years.
- 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.
- With an excellent Gross Margin value of 54.34%, 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 Gross Margin of STN has remained more or less at the same level.
| Industry Rank | Sector 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%
2. STN.CA Health Analysis
2.1 Basic Checks
- STN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- The number of shares outstanding for STN remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, STN has more shares outstanding
- The debt/assets ratio for STN is higher compared to a year ago.
2.2 Solvency
- STN has an Altman-Z score of 3.26. This indicates that STN is financially healthy and has little risk of bankruptcy at the moment.
- STN's Altman-Z score of 3.26 is fine compared to the rest of the industry. STN outperforms 71.43% 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 has a better Debt to FCF ratio (3.22) than 85.71% of its industry peers.
- A Debt/Equity ratio of 0.66 indicates that STN is somewhat dependend on debt financing.
- STN has a Debt to Equity ratio of 0.66. This is comparable to the rest of the industry: STN outperforms 42.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.66 | ||
| Debt/FCF | 3.22 | ||
| Altman-Z | 3.26 |
ROIC/WACC1.1
WACC8.77%
2.3 Liquidity
- A Current Ratio of 1.23 indicates that STN should not have too much problems paying its short term obligations.
- STN has a Current ratio (1.23) which is in line with its industry peers.
- A Quick Ratio of 1.23 indicates that STN should not have too much problems paying its short term obligations.
- With a Quick ratio value of 1.23, STN perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
- The current and quick ratio evaluation for STN is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.23 | ||
| Quick Ratio | 1.23 |
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.
- Looking at the last year, STN shows a quite strong growth in Revenue. The Revenue has grown by 10.71% in the last year.
- 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
- Based on estimates for the next years, STN will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.50% on average per year.
- STN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.17% yearly.
EPS Next Y17.16%
EPS Next 2Y14.5%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9.79%
Revenue Next 2Y8.17%
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.
- 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. STN.CA Valuation Analysis
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 22.58, the valuation of STN can be described as rather expensive.
- 85.71% of the companies in the same industry are more expensive than STN, based on the Price/Earnings ratio.
- The average S&P500 Price/Earnings ratio is at 26.78. STN is around the same levels.
- STN is valuated rather expensively with a Price/Forward Earnings ratio of 19.27.
- The rest of the industry has a similar Price/Forward Earnings ratio as STN.
- STN's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.54.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.58 | ||
| Fwd PE | 19.27 |
4.2 Price Multiples
- STN's Enterprise Value to EBITDA ratio is in line with the industry average.
- STN's Price/Free Cash Flow ratio is rather cheap when compared to the industry. STN is cheaper than 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.25 | ||
| EV/EBITDA | 14.91 |
4.3 Compensation for Growth
- STN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- STN has an outstanding profitability rating, which may justify a higher PE ratio.
- STN's earnings are expected to grow with 14.50% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.32
PEG (5Y)1.19
EPS Next 2Y14.5%
EPS Next 3YN/A
5. STN.CA Dividend Analysis
5.1 Amount
- STN has a yearly dividend return of 0.83%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.96, STN has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.89, STN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.83% |
5.2 History
- On average, the dividend of STN grows each year by 7.67%, which is quite nice.
- STN has been paying a dividend for at least 10 years, so it has a reliable track record.
- The dividend of STN decreased recently.
Dividend Growth(5Y)7.67%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- STN pays out 21.07% of its income as dividend. This is a sustainable payout ratio.
- The dividend of STN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP21.07%
EPS Next 2Y14.5%
EPS Next 3YN/A
STN.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:STN (4/10/2026, 7:00:00 PM)
119.65
-1.88 (-1.55%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)02-25 2026-02-25/amc
Earnings (Next)05-12 2026-05-12
Inst Owners79.47%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap13.65B
Revenue(TTM)6.49B
Net Income(TTM)479.40M
Analysts78.67
Price Target169.41 (41.59%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.83% |
Yearly Dividend0.89
Dividend Growth(5Y)7.67%
DP21.07%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-31 2026-03-31 (0.245)
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)-2.66%
PT rev (3m)-1.62%
EPS NQ rev (1m)-0.46%
EPS NQ rev (3m)-2.93%
EPS NY rev (1m)0%
EPS NY rev (3m)1.82%
Revenue NQ rev (1m)-0.12%
Revenue NQ rev (3m)-1.2%
Revenue NY rev (1m)0.03%
Revenue NY rev (3m)-0.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.58 | ||
| Fwd PE | 19.27 | ||
| P/S | 2.1 | ||
| P/FCF | 17.25 | ||
| P/OCF | 15.82 | ||
| P/B | 4.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.91 |
EPS(TTM)5.3
EY4.43%
EPS(NY)6.21
Fwd EY5.19%
FCF(TTM)6.93
FCFY5.8%
OCF(TTM)7.56
OCFY6.32%
SpS56.94
BVpS28.41
TBVpS-5.05
PEG (NY)1.32
PEG (5Y)1.19
Graham Number58.2
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 3.26 |
F-Score4
WACC8.77%
ROIC/WACC1.1
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 Y17.16%
EPS Next 2Y14.5%
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 Year9.79%
Revenue Next 2Y8.17%
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 5 / 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 17.16% 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%.