ALTUS GROUP LTD (AIF.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:AIF - CA02215R1073 - Common Stock
49.86 CAD
-0.23 (-0.46%)
AIF gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 33 industry peers in the Real Estate Management & Development industry. AIF is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. AIF is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- In the past year AIF was profitable.
- In the past year AIF had a positive cash flow from operations.
- AIF had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years AIF had a positive operating cash flow.
1.2 Ratios
- AIF has a better Return On Assets (31.26%) than 100.00% of its industry peers.
- The Return On Equity of AIF (47.78%) is better than 100.00% of its industry peers.
- AIF has a Return On Invested Capital (2.43%) which is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for AIF is significantly below the industry average of 10.36%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.26% | ||
| ROE | 47.78% | ||
| ROIC | 2.43% |
ROA(3y)0.62%
ROA(5y)1.38%
ROE(3y)1.24%
ROE(5y)2.73%
ROIC(3y)2.56%
ROIC(5y)2.85%
1.3 Margins
- The Profit Margin of AIF (74.81%) is better than 93.94% of its industry peers.
- In the last couple of years the Profit Margin of AIF has declined.
- With a Operating Margin value of 10.63%, AIF is not doing good in the industry: 63.64% of the companies in the same industry are doing better.
- AIF's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.63% | ||
| PM (TTM) | 74.81% | ||
| GM | N/A |
OM growth 3Y-2.7%
OM growth 5Y-3.36%
PM growth 3Y-14.33%
PM growth 5Y-5.69%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AIF is destroying value.
- The number of shares outstanding for AIF has been increased compared to 1 year ago.
- The number of shares outstanding for AIF has been increased compared to 5 years ago.
- The debt/assets ratio for AIF has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 3.95 indicates that AIF is not in any danger for bankruptcy at the moment.
- AIF has a better Altman-Z score (3.95) than 78.79% of its industry peers.
- The Debt to FCF ratio of AIF is 2.75, which is a good value as it means it would take AIF, 2.75 years of fcf income to pay off all of its debts.
- AIF has a better Debt to FCF ratio (2.75) than 96.97% of its industry peers.
- AIF has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.23, AIF is in the better half of the industry, outperforming 78.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 2.75 | ||
| Altman-Z | 3.95 |
ROIC/WACC0.33
WACC7.29%
2.3 Liquidity
- AIF has a Current Ratio of 2.70. This indicates that AIF is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Current ratio, with a value of 2.70, AIF belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
- AIF has a Quick Ratio of 2.70. This indicates that AIF is financially healthy and has no problem in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 2.70, AIF belongs to the top of the industry, outperforming 81.82% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.7 | ||
| Quick Ratio | 2.7 |
3. Growth
3.1 Past
- AIF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.27%, which is quite impressive.
- The Earnings Per Share has been growing slightly by 4.22% on average over the past years.
- AIF shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -27.10%.
- AIF shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -0.23% yearly.
EPS 1Y (TTM)34.27%
EPS 3Y-1.42%
EPS 5Y4.22%
EPS Q2Q%100%
Revenue 1Y (TTM)-27.1%
Revenue growth 3Y-5.98%
Revenue growth 5Y-0.23%
Sales Q2Q%3.81%
3.2 Future
- Based on estimates for the next years, AIF will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.24% on average per year.
- The Revenue is expected to decrease by -3.17% on average over the next years.
EPS Next Y-8.78%
EPS Next 2Y13.22%
EPS Next 3Y13.24%
EPS Next 5YN/A
Revenue Next Year-20.46%
Revenue Next 2Y-7.64%
Revenue Next 3Y-3.17%
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 accelerating.
- 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. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 25.97, the valuation of AIF can be described as expensive.
- AIF's Price/Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 27.30, AIF is valued at the same level.
- AIF is valuated rather expensively with a Price/Forward Earnings ratio of 21.37.
- AIF's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. AIF is cheaper than 78.79% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 24.32, AIF is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 25.97 | ||
| Fwd PE | 21.37 |
4.2 Price Multiples
- AIF's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. AIF is cheaper than 69.70% of the companies in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as AIF.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.98 | ||
| EV/EBITDA | 19.99 |
4.3 Compensation for Growth
- AIF's earnings are expected to grow with 13.24% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)6.15
EPS Next 2Y13.22%
EPS Next 3Y13.24%
5. Dividend
5.1 Amount
- AIF has a Yearly Dividend Yield of 1.11%.
- Compared to an average industry Dividend Yield of 2.32, AIF has a dividend in line with its industry peers.
- Compared to the average S&P500 Dividend Yield of 1.82, AIF is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
- The dividend of AIF has a limited annual growth rate of 2.11%.
- AIF has been paying a dividend for at least 10 years, so it has a reliable track record.
- AIF has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.11%
Div Incr Years1
Div Non Decr Years12
5.3 Sustainability
- 6.16% of the earnings are spent on dividend by AIF. This is a low number and sustainable payout ratio.
- The dividend of AIF is growing, but earnings are growing more, so the dividend growth is sustainable.
DP6.16%
EPS Next 2Y13.22%
EPS Next 3Y13.24%
ALTUS GROUP LTD / AIF.CA FAQ
Can you provide the ChartMill fundamental rating for ALTUS GROUP LTD?
ChartMill assigns a fundamental rating of 5 / 10 to AIF.CA.
What is the valuation status for AIF stock?
ChartMill assigns a valuation rating of 3 / 10 to ALTUS GROUP LTD (AIF.CA). This can be considered as Overvalued.
What is the profitability of AIF stock?
ALTUS GROUP LTD (AIF.CA) has a profitability rating of 4 / 10.
What is the financial health of ALTUS GROUP LTD (AIF.CA) stock?
The financial health rating of ALTUS GROUP LTD (AIF.CA) is 8 / 10.
Can you provide the dividend sustainability for AIF stock?
The dividend rating of ALTUS GROUP LTD (AIF.CA) is 6 / 10 and the dividend payout ratio is 6.16%.