ELEMENT FLEET MANAGEMENT COR (EFN.CA) Stock Fundamental Analysis
Canada - TSX:EFN - CA2861812014 - Common Stock
36.94 CAD
-0.27 (-0.73%)
Taking everything into account, EFN scores 5 out of 10 in our fundamental rating. EFN was compared to 24 industry peers in the Commercial Services & Supplies industry. EFN has an excellent profitability rating, but there are some minor concerns on its financial health. EFN has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
EFN had positive earnings in the past year.
EFN had a positive operating cash flow in the past year.
In the past 5 years EFN has always been profitable.
The reported operating cash flow has been mixed in the past 5 years: EFN reported negative operating cash flow in multiple years.
1.2 Ratios
EFN's Return On Assets of 2.91% is fine compared to the rest of the industry. EFN outperforms 70.83% of its industry peers.
EFN's Return On Equity of 14.55% is amongst the best of the industry. EFN outperforms 83.33% of its industry peers.
EFN has a Return On Invested Capital (2.60%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for EFN is below the industry average of 7.32%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 14.55% | ||
| ROIC | 2.6% |
ROA(3y)2.76%
ROA(5y)2.49%
ROE(3y)11.73%
ROE(5y)10.22%
ROIC(3y)2.62%
ROIC(5y)2.47%
1.3 Margins
EFN has a Profit Margin of 19.11%. This is amongst the best in the industry. EFN outperforms 91.67% of its industry peers.
In the last couple of years the Profit Margin of EFN has grown nicely.
With an excellent Operating Margin value of 20.35%, EFN 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 EFN has grown nicely.
EFN has a Gross Margin of 72.83%. This is amongst the best in the industry. EFN outperforms 95.83% of its industry peers.
EFN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.35% | ||
| PM (TTM) | 19.11% | ||
| GM | 72.83% |
OM growth 3Y-5.52%
OM growth 5Y21.37%
PM growth 3Y-4.09%
PM growth 5Y46.1%
GM growth 3Y-5.42%
GM growth 5Y-0.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), EFN is destroying value.
EFN has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, EFN has less shares outstanding
Compared to 1 year ago, EFN has a worse debt to assets ratio.
2.2 Solvency
EFN has an Altman-Z score of 1.45. This is a bad value and indicates that EFN is not financially healthy and even has some risk of bankruptcy.
EFN has a Altman-Z score (1.45) which is in line with its industry peers.
EFN has a debt to FCF ratio of 713.34. This is a negative value and a sign of low solvency as EFN would need 713.34 years to pay back of all of its debts.
EFN's Debt to FCF ratio of 713.34 is in line compared to the rest of the industry. EFN outperforms 41.67% of its industry peers.
EFN has a Debt/Equity ratio of 3.43. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of EFN (3.43) is worse than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.43 | ||
| Debt/FCF | 713.34 | ||
| Altman-Z | 1.45 |
ROIC/WACC0.33
WACC7.92%
2.3 Liquidity
A Current Ratio of 5.86 indicates that EFN has no problem at all paying its short term obligations.
EFN has a Current ratio of 5.86. This is amongst the best in the industry. EFN outperforms 100.00% of its industry peers.
A Quick Ratio of 5.86 indicates that EFN has no problem at all paying its short term obligations.
EFN has a Quick ratio of 5.86. This is amongst the best in the industry. EFN outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 5.86 | ||
| Quick Ratio | 5.86 |
3. Growth
3.1 Past
The earnings per share for EFN have decreased by -0.18% in the last year.
Measured over the past 5 years, EFN shows a small growth in Earnings Per Share. The EPS has been growing by 4.75% on average per year.
EFN shows a decrease in Revenue. In the last year, the revenue decreased by -3.39%.
Measured over the past years, EFN shows a small growth in Revenue. The Revenue has been growing by 1.38% on average per year.
EPS 1Y (TTM)-0.18%
EPS 3Y9.72%
EPS 5Y4.75%
EPS Q2Q%3.45%
Revenue 1Y (TTM)-3.39%
Revenue growth 3Y23.04%
Revenue growth 5Y1.38%
Sales Q2Q%5.62%
3.2 Future
Based on estimates for the next years, EFN will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.64% on average per year.
The Revenue is expected to grow by 11.40% on average over the next years. This is quite good.
EPS Next Y13.14%
EPS Next 2Y13.73%
EPS Next 3Y13.64%
EPS Next 5YN/A
Revenue Next Year9.07%
Revenue Next 2Y10.59%
Revenue Next 3Y11.4%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 23.53, which indicates a rather expensive current valuation of EFN.
Based on the Price/Earnings ratio, EFN is valued a bit cheaper than 79.17% of the companies in the same industry.
When comparing the Price/Earnings ratio of EFN to the average of the S&P500 Index (27.20), we can say EFN is valued inline with the index average.
The Price/Forward Earnings ratio is 18.71, which indicates a rather expensive current valuation of EFN.
Based on the Price/Forward Earnings ratio, EFN is valued a bit cheaper than 62.50% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.70. EFN is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.53 | ||
| Fwd PE | 18.71 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as EFN.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of EFN is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 806.53 | ||
| EV/EBITDA | 19.24 |
4.3 Compensation for Growth
EFN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of EFN may justify a higher PE ratio.
A more expensive valuation may be justified as EFN's earnings are expected to grow with 13.64% in the coming years.
PEG (NY)1.79
PEG (5Y)4.96
EPS Next 2Y13.73%
EPS Next 3Y13.64%
5. Dividend
5.1 Amount
EFN has a Yearly Dividend Yield of 1.40%. Purely for dividend investing, there may be better candidates out there.
EFN's Dividend Yield is a higher than the industry average which is at 2.34.
Compared to an average S&P500 Dividend Yield of 2.38, EFN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
5.2 History
The dividend of EFN is nicely growing with an annual growth rate of 7.62%!
EFN has paid a dividend for at least 10 years, which is a reliable track record.
EFN has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)7.62%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
EFN pays out 36.15% of its income as dividend. This is a sustainable payout ratio.
EFN's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP36.15%
EPS Next 2Y13.73%
EPS Next 3Y13.64%
TSX:EFN (9/17/2025, 7:00:00 PM)
36.94
-0.27 (-0.73%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryCommercial Services & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners53.4%
Inst Owner ChangeN/A
Ins Owners0.17%
Ins Owner ChangeN/A
Market Cap14.82B
Analysts80
Price Target44.12 (19.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.4% |
Yearly Dividend0.51
Dividend Growth(5Y)7.62%
DP36.15%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.93%
Min EPS beat(2)-1.87%
Max EPS beat(2)0.01%
EPS beat(4)2
Avg EPS beat(4)-1.06%
Min EPS beat(4)-5.37%
Max EPS beat(4)3.01%
EPS beat(8)5
Avg EPS beat(8)1.59%
EPS beat(12)9
Avg EPS beat(12)4.4%
EPS beat(16)12
Avg EPS beat(16)6.35%
Revenue beat(2)1
Avg Revenue beat(2)-0.75%
Min Revenue beat(2)-2.22%
Max Revenue beat(2)0.71%
Revenue beat(4)1
Avg Revenue beat(4)-1.22%
Min Revenue beat(4)-3.21%
Max Revenue beat(4)0.71%
Revenue beat(8)4
Avg Revenue beat(8)0.73%
Revenue beat(12)8
Avg Revenue beat(12)21.37%
Revenue beat(16)12
Avg Revenue beat(16)33.2%
PT rev (1m)7.44%
PT rev (3m)23.91%
EPS NQ rev (1m)-0.3%
EPS NQ rev (3m)-0.2%
EPS NY rev (1m)0.95%
EPS NY rev (3m)0.95%
Revenue NQ rev (1m)-0.5%
Revenue NQ rev (3m)0.53%
Revenue NY rev (1m)2.12%
Revenue NY rev (3m)2.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.53 | ||
| Fwd PE | 18.71 | ||
| P/S | 5.1 | ||
| P/FCF | 806.53 | ||
| P/OCF | 143.04 | ||
| P/B | 3.88 | ||
| P/tB | 9.67 | ||
| EV/EBITDA | 19.24 |
EPS(TTM)1.57
EY4.25%
EPS(NY)1.97
Fwd EY5.34%
FCF(TTM)0.05
FCFY0.12%
OCF(TTM)0.26
OCFY0.7%
SpS7.25
BVpS9.51
TBVpS3.82
PEG (NY)1.79
PEG (5Y)4.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 14.55% | ||
| ROCE | 3.42% | ||
| ROIC | 2.6% | ||
| ROICexc | 2.63% | ||
| ROICexgc | 3.06% | ||
| OM | 20.35% | ||
| PM (TTM) | 19.11% | ||
| GM | 72.83% | ||
| FCFM | 0.63% |
ROA(3y)2.76%
ROA(5y)2.49%
ROE(3y)11.73%
ROE(5y)10.22%
ROIC(3y)2.62%
ROIC(5y)2.47%
ROICexc(3y)2.64%
ROICexc(5y)2.49%
ROICexgc(3y)3.16%
ROICexgc(5y)2.97%
ROCE(3y)3.44%
ROCE(5y)3.24%
ROICexcg growth 3Y4.43%
ROICexcg growth 5Y33.75%
ROICexc growth 3Y5.28%
ROICexc growth 5Y32.79%
OM growth 3Y-5.52%
OM growth 5Y21.37%
PM growth 3Y-4.09%
PM growth 5Y46.1%
GM growth 3Y-5.42%
GM growth 5Y-0.16%
F-Score5
Asset Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.43 | ||
| Debt/FCF | 713.34 | ||
| Debt/EBITDA | 9.09 | ||
| Cap/Depr | 10.03% | ||
| Cap/Sales | 2.93% | ||
| Interest Coverage | 0.84 | ||
| Cash Conversion | 7.19% | ||
| Profit Quality | 3.31% | ||
| Current Ratio | 5.86 | ||
| Quick Ratio | 5.86 | ||
| Altman-Z | 1.45 |
F-Score5
WACC7.92%
ROIC/WACC0.33
Cap/Depr(3y)12.51%
Cap/Depr(5y)14.67%
Cap/Sales(3y)3.86%
Cap/Sales(5y)4.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-0.18%
EPS 3Y9.72%
EPS 5Y4.75%
EPS Q2Q%3.45%
EPS Next Y13.14%
EPS Next 2Y13.73%
EPS Next 3Y13.64%
EPS Next 5YN/A
Revenue 1Y (TTM)-3.39%
Revenue growth 3Y23.04%
Revenue growth 5Y1.38%
Sales Q2Q%5.62%
Revenue Next Year9.07%
Revenue Next 2Y10.59%
Revenue Next 3Y11.4%
Revenue Next 5YN/A
EBIT growth 1Y-0.42%
EBIT growth 3Y16.26%
EBIT growth 5Y23.05%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y101%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y106%
OCF growth 3YN/A
OCF growth 5YN/A