CANADIAN UTILITIES LTD-A (CU.CA) Fundamental Analysis & Valuation
TSX:CU • CA1367178326
48.45 CAD
+0.18 (+0.37%)
Last: Mar 12, 2026, 07:00 PM
This CU.CA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Overall CU gets a fundamental rating of 3 out of 10. We evaluated CU against 19 industry peers in the Multi-Utilities industry. Both the profitability and financial health of CU have multiple concerns. CU is quite expensive at the moment. It does show a decent growth rate.
1. CU.CA Profitability Analysis
1.1 Basic Checks
- CU had positive earnings in the past year.
- CU had a positive operating cash flow in the past year.
- In the past 5 years CU has always been profitable.
- In the past 5 years CU always reported a positive cash flow from operatings.
1.2 Ratios
- Looking at the Return On Assets, with a value of 0.17%, CU is doing worse than 73.68% of the companies in the same industry.
- With a Return On Equity value of 0.66%, CU is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
- CU's Return On Invested Capital of 1.73% is on the low side compared to the rest of the industry. CU is outperformed by 89.47% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for CU is in line with the industry average of 2.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.66% | ||
| ROIC | 1.73% |
ROA(3y)1.53%
ROA(5y)1.74%
ROE(3y)5.19%
ROE(5y)5.72%
ROIC(3y)2.73%
ROIC(5y)3.06%
1.3 Margins
- The Profit Margin of CU (1.14%) is worse than 73.68% of its industry peers.
- In the last couple of years the Profit Margin of CU has declined.
- Looking at the Operating Margin, with a value of 15.42%, CU is doing worse than 84.21% of the companies in the same industry.
- In the last couple of years the Operating Margin of CU has declined.
- Looking at the Gross Margin, with a value of 88.46%, CU is in line with its industry, outperforming 47.37% of the companies in the same industry.
- In the last couple of years the Gross Margin of CU has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.42% | ||
| PM (TTM) | 1.14% | ||
| GM | 88.46% |
OM growth 3Y-17.93%
OM growth 5Y-12.2%
PM growth 3Y-56.43%
PM growth 5Y-36.63%
GM growth 3Y1.06%
GM growth 5Y0.44%
2. CU.CA Health Analysis
2.1 Basic Checks
- CU has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- The number of shares outstanding for CU remains at a similar level compared to 1 year ago.
- Compared to 5 years ago, CU has less shares outstanding
- Compared to 1 year ago, CU has a worse debt to assets ratio.
2.2 Solvency
- CU has an Altman-Z score of 0.79. This is a bad value and indicates that CU is not financially healthy and even has some risk of bankruptcy.
- CU's Altman-Z score of 0.79 is amongst the best of the industry. CU outperforms 89.47% of its industry peers.
- CU has a debt to FCF ratio of 25.06. This is a negative value and a sign of low solvency as CU would need 25.06 years to pay back of all of its debts.
- CU has a Debt to FCF ratio (25.06) which is in line with its industry peers.
- A Debt/Equity ratio of 1.88 is on the high side and indicates that CU has dependencies on debt financing.
- CU has a Debt to Equity ratio of 1.88. This is in the lower half of the industry: CU underperforms 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | 25.06 | ||
| Altman-Z | 0.79 |
ROIC/WACC0.32
WACC5.4%
2.3 Liquidity
- CU has a Current Ratio of 1.56. This is a normal value and indicates that CU is financially healthy and should not expect problems in meeting its short term obligations.
- CU has a Current ratio (1.56) which is comparable to the rest of the industry.
- A Quick Ratio of 1.52 indicates that CU should not have too much problems paying its short term obligations.
- CU has a Quick ratio of 1.52. This is comparable to the rest of the industry: CU outperforms 52.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.52 |
3. CU.CA Growth Analysis
3.1 Past
- The earnings per share for CU have decreased strongly by -77.68% in the last year.
- Measured over the past years, CU shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -23.91% on average per year.
- CU shows a decrease in Revenue. In the last year, the revenue decreased by -1.39%.
- CU shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.68% yearly.
EPS 1Y (TTM)-77.68%
EPS 3Y-40.96%
EPS 5Y-23.91%
EPS Q2Q%-300%
Revenue 1Y (TTM)-1.39%
Revenue growth 3Y-3.04%
Revenue growth 5Y2.68%
Sales Q2Q%-1.02%
3.2 Future
- CU is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 56.25% yearly.
- CU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.94% yearly.
EPS Next Y417.75%
EPS Next 2Y134.31%
EPS Next 3Y81.31%
EPS Next 5Y56.25%
Revenue Next Year4.77%
Revenue Next 2Y8.5%
Revenue Next 3Y7.94%
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.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. CU.CA Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 96.90, which means the current valuation is very expensive for CU.
- CU's Price/Earnings ratio is rather expensive when compared to the industry. CU is more expensive than 89.47% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 25.71, CU is valued quite expensively.
- The Price/Forward Earnings ratio is 18.72, which indicates a rather expensive current valuation of CU.
- CU's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. CU is more expensive than 63.16% of the companies in the same industry.
- CU is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.82, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 96.9 | ||
| Fwd PE | 18.72 |
4.2 Price Multiples
- 73.68% of the companies in the same industry are cheaper than CU, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of CU is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.16 | ||
| EV/EBITDA | 11.36 |
4.3 Compensation for Growth
- CU's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- CU's earnings are expected to grow with 81.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.23
PEG (5Y)N/A
EPS Next 2Y134.31%
EPS Next 3Y81.31%
5. CU.CA Dividend Analysis
5.1 Amount
- CU has a Yearly Dividend Yield of 3.79%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 4.14, CU has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, CU pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.79% |
5.2 History
- The dividend of CU has a limited annual growth rate of 1.20%.
- CU has been paying a dividend for at least 10 years, so it has a reliable track record.
- CU has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)1.2%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
- CU pays out 1369.05% of its income as dividend. This is not a sustainable payout ratio.
- CU's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP1369.05%
EPS Next 2Y134.31%
EPS Next 3Y81.31%
CU.CA Fundamentals: All Metrics, Ratios and Statistics
TSX:CU (3/12/2026, 7:00:00 PM)
48.45
+0.18 (+0.37%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)02-26 2026-02-26/bmo
Earnings (Next)05-05 2026-05-05
Inst Owners16.56%
Inst Owner ChangeN/A
Ins Owners0.31%
Ins Owner ChangeN/A
Market Cap9.96B
Revenue(TTM)3.69B
Net Income(TTM)42.00M
Analysts76
Price Target44.3 (-8.57%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.79% |
Yearly Dividend2.12
Dividend Growth(5Y)1.2%
DP1369.05%
Div Incr Years34
Div Non Decr Years34
Ex-Date02-05 2026-02-05 (0.4623)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-128.94%
Min EPS beat(2)-261.44%
Max EPS beat(2)3.56%
EPS beat(4)1
Avg EPS beat(4)-65.14%
Min EPS beat(4)-261.44%
Max EPS beat(4)3.56%
EPS beat(8)3
Avg EPS beat(8)-34.13%
EPS beat(12)4
Avg EPS beat(12)-22.7%
EPS beat(16)7
Avg EPS beat(16)-15.56%
Revenue beat(2)1
Avg Revenue beat(2)-6.7%
Min Revenue beat(2)-20.02%
Max Revenue beat(2)6.61%
Revenue beat(4)2
Avg Revenue beat(4)-7.44%
Min Revenue beat(4)-20.02%
Max Revenue beat(4)6.61%
Revenue beat(8)4
Avg Revenue beat(8)-5.13%
Revenue beat(12)7
Avg Revenue beat(12)-2.3%
Revenue beat(16)10
Avg Revenue beat(16)1.42%
PT rev (1m)0%
PT rev (3m)2.7%
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)0.6%
EPS NY rev (3m)0.61%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)7.32%
Revenue NY rev (3m)7.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 96.9 | ||
| Fwd PE | 18.72 | ||
| P/S | 2.7 | ||
| P/FCF | 20.16 | ||
| P/OCF | 4.83 | ||
| P/B | 1.56 | ||
| P/tB | 1.86 | ||
| EV/EBITDA | 11.36 |
EPS(TTM)0.5
EY1.03%
EPS(NY)2.59
Fwd EY5.34%
FCF(TTM)2.4
FCFY4.96%
OCF(TTM)10.03
OCFY20.7%
SpS17.95
BVpS31.05
TBVpS26.02
PEG (NY)0.23
PEG (5Y)N/A
Graham Number18.69
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.17% | ||
| ROE | 0.66% | ||
| ROCE | 2.42% | ||
| ROIC | 1.73% | ||
| ROICexc | 1.8% | ||
| ROICexgc | 1.89% | ||
| OM | 15.42% | ||
| PM (TTM) | 1.14% | ||
| GM | 88.46% | ||
| FCFM | 13.39% |
ROA(3y)1.53%
ROA(5y)1.74%
ROE(3y)5.19%
ROE(5y)5.72%
ROIC(3y)2.73%
ROIC(5y)3.06%
ROICexc(3y)2.79%
ROICexc(5y)3.15%
ROICexgc(3y)2.94%
ROICexgc(5y)3.3%
ROCE(3y)3.83%
ROCE(5y)4.29%
ROICexgc growth 3Y-23.49%
ROICexgc growth 5Y-13.02%
ROICexc growth 3Y-23.61%
ROICexc growth 5Y-13.22%
OM growth 3Y-17.93%
OM growth 5Y-12.2%
PM growth 3Y-56.43%
PM growth 5Y-36.63%
GM growth 3Y1.06%
GM growth 5Y0.44%
F-Score6
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | 25.06 | ||
| Debt/EBITDA | 6.44 | ||
| Cap/Depr | 121.19% | ||
| Cap/Sales | 42.47% | ||
| Interest Coverage | 1.1 | ||
| Cash Conversion | 110.69% | ||
| Profit Quality | 1176.19% | ||
| Current Ratio | 1.56 | ||
| Quick Ratio | 1.52 | ||
| Altman-Z | 0.79 |
F-Score6
WACC5.4%
ROIC/WACC0.32
Cap/Depr(3y)176.74%
Cap/Depr(5y)186.2%
Cap/Sales(3y)40.12%
Cap/Sales(5y)37.78%
Profit Quality(3y)442.03%
Profit Quality(5y)323.21%
High Growth Momentum
Growth
EPS 1Y (TTM)-77.68%
EPS 3Y-40.96%
EPS 5Y-23.91%
EPS Q2Q%-300%
EPS Next Y417.75%
EPS Next 2Y134.31%
EPS Next 3Y81.31%
EPS Next 5Y56.25%
Revenue 1Y (TTM)-1.39%
Revenue growth 3Y-3.04%
Revenue growth 5Y2.68%
Sales Q2Q%-1.02%
Revenue Next Year4.77%
Revenue Next 2Y8.5%
Revenue Next 3Y7.94%
Revenue Next 5YN/A
EBIT growth 1Y-41.28%
EBIT growth 3Y-20.42%
EBIT growth 5Y-9.85%
EBIT Next Year250.42%
EBIT Next 3Y59.68%
EBIT Next 5Y39.47%
FCF growth 1Y53.42%
FCF growth 3Y-13.79%
FCF growth 5Y-7.79%
OCF growth 1Y7.51%
OCF growth 3Y-1.25%
OCF growth 5Y4.79%
CANADIAN UTILITIES LTD-A / CU.CA FAQ
Can you provide the ChartMill fundamental rating for CANADIAN UTILITIES LTD-A?
ChartMill assigns a fundamental rating of 3 / 10 to CU.CA.
What is the valuation status for CU stock?
ChartMill assigns a valuation rating of 3 / 10 to CANADIAN UTILITIES LTD-A (CU.CA). This can be considered as Overvalued.
What is the profitability of CU stock?
CANADIAN UTILITIES LTD-A (CU.CA) has a profitability rating of 3 / 10.
What is the valuation of CANADIAN UTILITIES LTD-A based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CANADIAN UTILITIES LTD-A (CU.CA) is 96.9 and the Price/Book (PB) ratio is 1.56.
Is the dividend of CANADIAN UTILITIES LTD-A sustainable?
The dividend rating of CANADIAN UTILITIES LTD-A (CU.CA) is 6 / 10 and the dividend payout ratio is 1369.05%.