AGF MANAGEMENT LTD-CLASS B (AGF-B.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:AGF-B - CA0010921058 - Common Stock
17.08 CAD
-0.14 (-0.81%)
We assign a fundamental rating of 6 out of 10 to AGF-B. AGF-B was compared to 78 industry peers in the Capital Markets industry. While AGF-B has a great profitability rating, there are some minor concerns on its financial health. AGF-B is valued quite cheap, while showing a decent growth score. This is a good combination! AGF-B also has an excellent dividend rating. These ratings could make AGF-B a good candidate for value and dividend investing.
1. Profitability
1.1 Basic Checks
- In the past year AGF-B was profitable.
- AGF-B had a positive operating cash flow in the past year.
- In the past 5 years AGF-B has always been profitable.
- In the past 5 years AGF-B always reported a positive cash flow from operatings.
1.2 Ratios
- AGF-B has a Return On Assets of 6.51%. This is in the better half of the industry: AGF-B outperforms 70.37% of its industry peers.
- AGF-B's Return On Equity of 9.53% is fine compared to the rest of the industry. AGF-B outperforms 64.20% of its industry peers.
- AGF-B's Return On Invested Capital of 5.55% is fine compared to the rest of the industry. AGF-B outperforms 70.37% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for AGF-B is significantly below the industry average of 10.50%.
- The 3 year average ROIC (4.73%) for AGF-B is below the current ROIC(5.55%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.51% | ||
| ROE | 9.53% | ||
| ROIC | 5.55% |
ROA(3y)5.67%
ROA(5y)6.56%
ROE(3y)7.72%
ROE(5y)8.82%
ROIC(3y)4.73%
ROIC(5y)3.69%
1.3 Margins
- AGF-B has a Profit Margin of 21.44%. This is in the better half of the industry: AGF-B outperforms 65.43% of its industry peers.
- In the last couple of years the Profit Margin of AGF-B has grown nicely.
- The Operating Margin of AGF-B (22.18%) is worse than 62.96% of its industry peers.
- In the last couple of years the Operating Margin of AGF-B has grown nicely.
- Looking at the Gross Margin, with a value of 71.76%, AGF-B is in the better half of the industry, outperforming 76.54% of the companies in the same industry.
- AGF-B's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.18% | ||
| PM (TTM) | 21.44% | ||
| GM | 71.76% |
OM growth 3Y35.46%
OM growth 5Y16.16%
PM growth 3Y30.15%
PM growth 5Y10.06%
GM growth 3Y9.65%
GM growth 5Y4.26%
2. Health
2.1 Basic Checks
- The number of shares outstanding for AGF-B has been increased compared to 1 year ago.
- AGF-B has less shares outstanding than it did 5 years ago.
- AGF-B has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.34 indicates that AGF-B is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With a decent Altman-Z score value of 2.34, AGF-B is doing good in the industry, outperforming 71.60% of the companies in the same industry.
- AGF-B has a debt to FCF ratio of 1.23. This is a very positive value and a sign of high solvency as it would only need 1.23 years to pay back of all of its debts.
- AGF-B's Debt to FCF ratio of 1.23 is amongst the best of the industry. AGF-B outperforms 80.25% of its industry peers.
- AGF-B has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
- AGF-B has a better Debt to Equity ratio (0.12) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 1.23 | ||
| Altman-Z | 2.34 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
- AGF-B has a Current Ratio of 0.99. This is a bad value and indicates that AGF-B is not financially healthy enough and could expect problems in meeting its short term obligations.
- With a Current ratio value of 0.99, AGF-B is not doing good in the industry: 72.84% of the companies in the same industry are doing better.
- AGF-B has a Quick Ratio of 0.99. This is a bad value and indicates that AGF-B is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.99, AGF-B is doing worse than 72.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.99 | ||
| Quick Ratio | 0.99 |
3. Growth
3.1 Past
- AGF-B shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 20.27%, which is quite impressive.
- Measured over the past years, AGF-B shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.14% on average per year.
- The Revenue has grown by 10.22% in the past year. This is quite good.
- Measured over the past years, AGF-B shows a small growth in Revenue. The Revenue has been growing by 4.75% on average per year.
EPS 1Y (TTM)20.27%
EPS 3Y45.98%
EPS 5Y19.14%
EPS Q2Q%24.32%
Revenue 1Y (TTM)10.22%
Revenue growth 3Y4.05%
Revenue growth 5Y4.75%
Sales Q2Q%5.6%
3.2 Future
- Based on estimates for the next years, AGF-B will show a small growth in Earnings Per Share. The EPS will grow by 7.82% on average per year.
- AGF-B is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.35% yearly.
EPS Next Y9.72%
EPS Next 2Y8.21%
EPS Next 3Y7.82%
EPS Next 5YN/A
Revenue Next Year6.76%
Revenue Next 2Y7.13%
Revenue Next 3Y6.35%
Revenue Next 5YN/A
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 decreasing.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 9.60, the valuation of AGF-B can be described as very reasonable.
- Compared to the rest of the industry, the Price/Earnings ratio of AGF-B is on the same level as its industry peers.
- AGF-B's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.21.
- A Price/Forward Earnings ratio of 8.68 indicates a reasonable valuation of AGF-B.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of AGF-B indicates a somewhat cheap valuation: AGF-B is cheaper than 69.14% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 25.98. AGF-B is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.6 | ||
| Fwd PE | 8.68 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, AGF-B is valued a bit cheaper than 79.01% of the companies in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of AGF-B indicates a rather cheap valuation: AGF-B is cheaper than 86.42% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.41 | ||
| EV/EBITDA | 9.29 |
4.3 Compensation for Growth
- AGF-B's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- AGF-B has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.99
PEG (5Y)0.5
EPS Next 2Y8.21%
EPS Next 3Y7.82%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.90%, AGF-B has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.74, AGF-B pays a better dividend. On top of this AGF-B pays more dividend than 82.72% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.81, AGF-B pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.9% |
5.2 History
- The dividend of AGF-B is nicely growing with an annual growth rate of 7.13%!
- AGF-B has paid a dividend for at least 10 years, which is a reliable track record.
- AGF-B has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)7.13%
Div Incr Years4
Div Non Decr Years8
5.3 Sustainability
- 27.23% of the earnings are spent on dividend by AGF-B. This is a low number and sustainable payout ratio.
- The dividend of AGF-B is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP27.23%
EPS Next 2Y8.21%
EPS Next 3Y7.82%
AGF MANAGEMENT LTD-CLASS B / AGF-B.CA FAQ
Can you provide the ChartMill fundamental rating for AGF MANAGEMENT LTD-CLASS B?
ChartMill assigns a fundamental rating of 6 / 10 to AGF-B.CA.
Can you provide the valuation status for AGF MANAGEMENT LTD-CLASS B?
ChartMill assigns a valuation rating of 7 / 10 to AGF MANAGEMENT LTD-CLASS B (AGF-B.CA). This can be considered as Undervalued.
How profitable is AGF MANAGEMENT LTD-CLASS B (AGF-B.CA) stock?
AGF MANAGEMENT LTD-CLASS B (AGF-B.CA) has a profitability rating of 7 / 10.
How financially healthy is AGF MANAGEMENT LTD-CLASS B?
The financial health rating of AGF MANAGEMENT LTD-CLASS B (AGF-B.CA) is 5 / 10.
Can you provide the expected EPS growth for AGF-B stock?
The Earnings per Share (EPS) of AGF MANAGEMENT LTD-CLASS B (AGF-B.CA) is expected to grow by 9.72% in the next year.