ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA) Stock Fundamental Analysis
Canada • Toronto Stock Exchange • TSX:ALA-PR-G • CA0213618865
25.78 CAD
-0.02 (-0.08%)
Last: Jan 30, 2026, 07:00 PM
Overall ALA-PR-G gets a fundamental rating of 5 out of 10. We evaluated ALA-PR-G against 6 industry peers in the Gas Utilities industry. ALA-PR-G has an excellent profitability rating, but there are some minor concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on ALA-PR-G.
1. Profitability
1.1 Basic Checks
- ALA-PR-G had positive earnings in the past year.
- ALA-PR-G had a positive operating cash flow in the past year.
- ALA-PR-G had positive earnings in each of the past 5 years.
- In the past 5 years ALA-PR-G always reported a positive cash flow from operatings.
1.2 Ratios
- ALA-PR-G has a Return On Assets of 2.87%. This is amongst the best in the industry. ALA-PR-G outperforms 100.00% of its industry peers.
- Looking at the Return On Equity, with a value of 8.75%, ALA-PR-G belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- ALA-PR-G has a Return On Invested Capital of 4.37%. This is in the better half of the industry: ALA-PR-G outperforms 66.67% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for ALA-PR-G is in line with the industry average of 5.31%.
- The last Return On Invested Capital (4.37%) for ALA-PR-G is above the 3 year average (3.44%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.87% | ||
| ROE | 8.75% | ||
| ROIC | 4.37% |
ROA(3y)2.2%
ROA(5y)1.99%
ROE(3y)6.76%
ROE(5y)6.1%
ROIC(3y)3.44%
ROIC(5y)3.31%
1.3 Margins
- Looking at the Profit Margin, with a value of 5.88%, ALA-PR-G belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
- In the last couple of years the Profit Margin of ALA-PR-G has declined.
- Looking at the Operating Margin, with a value of 10.21%, ALA-PR-G is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- ALA-PR-G's Operating Margin has improved in the last couple of years.
- ALA-PR-G has a Gross Margin (28.43%) which is in line with its industry peers.
- ALA-PR-G's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.21% | ||
| PM (TTM) | 5.88% | ||
| GM | 28.43% |
OM growth 3Y-1.16%
OM growth 5Y32.51%
PM growth 3Y28.76%
PM growth 5Y-19.79%
GM growth 3Y-1.26%
GM growth 5Y-8.77%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ALA-PR-G is destroying value.
- Compared to 1 year ago, ALA-PR-G has more shares outstanding
- The number of shares outstanding for ALA-PR-G has been increased compared to 5 years ago.
- The debt/assets ratio for ALA-PR-G has been reduced compared to a year ago.
2.2 Solvency
- ALA-PR-G has an Altman-Z score of 0.89. This is a bad value and indicates that ALA-PR-G is not financially healthy and even has some risk of bankruptcy.
- ALA-PR-G has a Altman-Z score of 0.89. This is amongst the best in the industry. ALA-PR-G outperforms 83.33% of its industry peers.
- ALA-PR-G has a debt to FCF ratio of 2558.25. This is a negative value and a sign of low solvency as ALA-PR-G would need 2558.25 years to pay back of all of its debts.
- ALA-PR-G's Debt to FCF ratio of 2558.25 is amongst the best of the industry. ALA-PR-G outperforms 83.33% of its industry peers.
- ALA-PR-G has a Debt/Equity ratio of 1.15. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 1.15, ALA-PR-G is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.15 | ||
| Debt/FCF | 2558.25 | ||
| Altman-Z | 0.89 |
ROIC/WACC0.79
WACC5.53%
2.3 Liquidity
- ALA-PR-G has a Current Ratio of 0.88. This is a bad value and indicates that ALA-PR-G is not financially healthy enough and could expect problems in meeting its short term obligations.
- With an excellent Current ratio value of 0.88, ALA-PR-G belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
- A Quick Ratio of 0.63 indicates that ALA-PR-G may have some problems paying its short term obligations.
- ALA-PR-G's Quick ratio of 0.63 is fine compared to the rest of the industry. ALA-PR-G outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.88 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
- ALA-PR-G shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.84%.
- Measured over the past years, ALA-PR-G shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.25% on average per year.
- Looking at the last year, ALA-PR-G shows a small growth in Revenue. The Revenue has grown by 1.55% in the last year.
- Measured over the past years, ALA-PR-G shows a quite strong growth in Revenue. The Revenue has been growing by 17.77% on average per year.
EPS 1Y (TTM)1.84%
EPS 3Y7.19%
EPS 5Y13.25%
EPS Q2Q%-71.43%
Revenue 1Y (TTM)1.55%
Revenue growth 3Y5.59%
Revenue growth 5Y17.77%
Sales Q2Q%-5.84%
3.2 Future
- ALA-PR-G is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.90% yearly.
- ALA-PR-G is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.83% yearly.
EPS Next Y3.27%
EPS Next 2Y3.65%
EPS Next 3Y7.6%
EPS Next 5Y6.9%
Revenue Next Year1.92%
Revenue Next 2Y3.98%
Revenue Next 3Y4.83%
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 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 11.67 indicates a reasonable valuation of ALA-PR-G.
- ALA-PR-G's Price/Earnings ratio is rather cheap when compared to the industry. ALA-PR-G is cheaper than 83.33% of the companies in the same industry.
- ALA-PR-G's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.30.
- Based on the Price/Forward Earnings ratio of 11.01, the valuation of ALA-PR-G can be described as reasonable.
- ALA-PR-G's Price/Forward Earnings ratio is rather cheap when compared to the industry. ALA-PR-G is cheaper than 83.33% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.57, ALA-PR-G is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.67 | ||
| Fwd PE | 11.01 |
4.2 Price Multiples
- ALA-PR-G's Enterprise Value to EBITDA ratio is in line with the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ALA-PR-G indicates a rather cheap valuation: ALA-PR-G is cheaper than 83.33% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2005.04 | ||
| EV/EBITDA | 10.11 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ALA-PR-G does not grow enough to justify the current Price/Earnings ratio.
- ALA-PR-G has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)3.57
PEG (5Y)0.88
EPS Next 2Y3.65%
EPS Next 3Y7.6%
5. Dividend
5.1 Amount
- ALA-PR-G has a Yearly Dividend Yield of 3.28%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.17, ALA-PR-G pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, ALA-PR-G pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
5.2 History
- The dividend of ALA-PR-G has a limited annual growth rate of 0.74%.
- ALA-PR-G has paid a dividend for at least 10 years, which is a reliable track record.
- ALA-PR-G has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.74%
Div Incr Years1
Div Non Decr Years4
5.3 Sustainability
- ALA-PR-G pays out 52.48% of its income as dividend. This is a bit on the high side, but may be sustainable.
- The dividend of ALA-PR-G is growing, but earnings are growing more, so the dividend growth is sustainable.
DP52.48%
EPS Next 2Y3.65%
EPS Next 3Y7.6%
ALTAGAS LTD - ALACN 6.017 PERP / ALA-PR-G.CA FAQ
Can you provide the ChartMill fundamental rating for ALTAGAS LTD - ALACN 6.017 PERP?
ChartMill assigns a fundamental rating of 5 / 10 to ALA-PR-G.CA.
What is the valuation status for ALA-PR-G stock?
ChartMill assigns a valuation rating of 7 / 10 to ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA). This can be considered as Undervalued.
How profitable is ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA) stock?
ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA) has a profitability rating of 7 / 10.
What is the financial health of ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA) stock?
The financial health rating of ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA) is 4 / 10.
Can you provide the dividend sustainability for ALA-PR-G stock?
The dividend rating of ALTAGAS LTD - ALACN 6.017 PERP (ALA-PR-G.CA) is 6 / 10 and the dividend payout ratio is 52.48%.