EMERA INC - EMACN 6.434 PERP (EMA-PR-C.CA) Stock Fundamental Analysis
TSX:EMA-PR-C - Toronto Stock Exchange - CA2908765076 - Currency: CAD
EMA-PR-C gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 19 industry peers in the Electric Utilities industry. EMA-PR-C may be in some trouble as it scores bad on both profitability and health. EMA-PR-C does not seem to be growing, but still is valued expensively. EMA-PR-C also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year EMA-PR-C was profitable.
EMA-PR-C had a positive operating cash flow in the past year.
EMA-PR-C had positive earnings in each of the past 5 years.
Each year in the past 5 years EMA-PR-C had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.59%, EMA-PR-C is doing worse than 78.95% of the companies in the same industry.
With a Return On Equity value of 5.06%, EMA-PR-C is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
The Return On Invested Capital of EMA-PR-C (3.05%) is worse than 78.95% of its industry peers.
The Average Return On Invested Capital over the past 3 years for EMA-PR-C is in line with the industry average of 3.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.59% | ||
| ROE | 5.06% | ||
| ROIC | 3.05% |
ROA(3y)2%
ROA(5y)2.1%
ROE(3y)6.7%
ROE(5y)7.06%
ROIC(3y)3.14%
ROIC(5y)2.92%
1.3 Margins
Looking at the Profit Margin, with a value of 8.49%, EMA-PR-C is doing worse than 78.95% of the companies in the same industry.
EMA-PR-C's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 21.15%, EMA-PR-C is doing worse than 73.68% of the companies in the same industry.
EMA-PR-C's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.15% | ||
| PM (TTM) | 8.49% | ||
| GM | N/A |
OM growth 3Y3.96%
OM growth 5Y-4.26%
PM growth 3Y-8.12%
PM growth 5Y-8.76%
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), EMA-PR-C is destroying value.
EMA-PR-C has more shares outstanding than it did 1 year ago.
EMA-PR-C has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, EMA-PR-C has an improved debt to assets ratio.
2.2 Solvency
EMA-PR-C has an Altman-Z score of 0.49. This is a bad value and indicates that EMA-PR-C is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of EMA-PR-C (0.49) is comparable to the rest of the industry.
EMA-PR-C has a Debt/Equity ratio of 1.50. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of EMA-PR-C (1.50) is worse than 78.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.49 |
ROIC/WACC0.63
WACC4.86%
2.3 Liquidity
EMA-PR-C has a Current Ratio of 0.72. This is a bad value and indicates that EMA-PR-C is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Current ratio value of 0.72, EMA-PR-C is doing good in the industry, outperforming 68.42% of the companies in the same industry.
EMA-PR-C has a Quick Ratio of 0.72. This is a bad value and indicates that EMA-PR-C is not financially healthy enough and could expect problems in meeting its short term obligations.
EMA-PR-C has a better Quick ratio (0.54) than 63.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
EMA-PR-C shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -52.04%.
EMA-PR-C shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -9.14% yearly.
Looking at the last year, EMA-PR-C shows a decrease in Revenue. The Revenue has decreased by -4.80% in the last year.
EMA-PR-C shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.33% yearly.
EPS 1Y (TTM)-52.04%
EPS 3Y-4.73%
EPS 5Y-9.14%
EPS Q2Q%-49.27%
Revenue 1Y (TTM)-4.8%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%-10.6%
3.2 Future
The Earnings Per Share is expected to grow by 8.39% on average over the next years. This is quite good.
EMA-PR-C is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.11% yearly.
EPS Next Y12.39%
EPS Next 2Y8.03%
EPS Next 3Y8.17%
EPS Next 5Y8.39%
Revenue Next Year9.92%
Revenue Next 2Y5.14%
Revenue Next 3Y6.16%
Revenue Next 5Y3.11%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 13.45 indicates a correct valuation of EMA-PR-C.
Based on the Price/Earnings ratio, EMA-PR-C is valued a bit more expensive than the industry average as 68.42% of the companies are valued more cheaply.
The average S&P500 Price/Earnings ratio is at 29.35. EMA-PR-C is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 7.08, which indicates a rather cheap valuation of EMA-PR-C.
EMA-PR-C's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. EMA-PR-C is more expensive than 63.16% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of EMA-PR-C to the average of the S&P500 Index (22.10), we can say EMA-PR-C is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 7.08 |
4.2 Price Multiples
EMA-PR-C's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. EMA-PR-C is more expensive than 63.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.79 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.09
PEG (5Y)N/A
EPS Next 2Y8.03%
EPS Next 3Y8.17%
5. Dividend
5.1 Amount
EMA-PR-C has a Yearly Dividend Yield of 4.98%, which is a nice return.
EMA-PR-C's Dividend Yield is a higher than the industry average which is at 4.45.
Compared to an average S&P500 Dividend Yield of 2.33, EMA-PR-C pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.98% |
5.2 History
The dividend of EMA-PR-C has a limited annual growth rate of 3.46%.
EMA-PR-C has been paying a dividend for at least 10 years, so it has a reliable track record.
EMA-PR-C has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)3.46%
Div Incr Years2
Div Non Decr Years12
5.3 Sustainability
EMA-PR-C pays out 95.55% of its income as dividend. This is not a sustainable payout ratio.
EMA-PR-C's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP95.55%
EPS Next 2Y8.03%
EPS Next 3Y8.17%
TSX:EMA-PR-C (3/7/2025, 7:00:00 PM)
23
-0.15 (-0.65%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners31.98%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner ChangeN/A
Market Cap6.81B
Analysts70.59
Price Target24.4 (6.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.98% |
Yearly Dividend2.11
Dividend Growth(5Y)3.46%
DP95.55%
Div Incr Years2
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.7%
Min EPS beat(2)-10.21%
Max EPS beat(2)2.82%
EPS beat(4)1
Avg EPS beat(4)-6.5%
Min EPS beat(4)-11.73%
Max EPS beat(4)2.82%
EPS beat(8)4
Avg EPS beat(8)0.6%
EPS beat(12)5
Avg EPS beat(12)-0.04%
EPS beat(16)7
Avg EPS beat(16)0.9%
Revenue beat(2)0
Avg Revenue beat(2)-14.55%
Min Revenue beat(2)-23.25%
Max Revenue beat(2)-5.85%
Revenue beat(4)0
Avg Revenue beat(4)-9.49%
Min Revenue beat(4)-23.25%
Max Revenue beat(4)-1.8%
Revenue beat(8)2
Avg Revenue beat(8)1.46%
Revenue beat(12)6
Avg Revenue beat(12)3.35%
Revenue beat(16)6
Avg Revenue beat(16)-1.39%
PT rev (1m)-1.96%
PT rev (3m)2.1%
EPS NQ rev (1m)0%
EPS NQ rev (3m)2.28%
EPS NY rev (1m)0%
EPS NY rev (3m)1.46%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)1.35%
Revenue NY rev (3m)0.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.45 | ||
| Fwd PE | 7.08 | ||
| P/S | 0.92 | ||
| P/FCF | N/A | ||
| P/OCF | 2.87 | ||
| P/B | 0.55 | ||
| P/tB | 0.98 | ||
| EV/EBITDA | 8.79 |
EPS(TTM)1.71
EY7.43%
EPS(NY)3.25
Fwd EY14.12%
FCF(TTM)-2.44
FCFYN/A
OCF(TTM)8.03
OCFY34.89%
SpS25.04
BVpS41.99
TBVpS23.42
PEG (NY)1.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.59% | ||
| ROE | 5.06% | ||
| ROCE | 4.41% | ||
| ROIC | 3.05% | ||
| ROICexc | 3.07% | ||
| ROICexgc | 3.62% | ||
| OM | 21.15% | ||
| PM (TTM) | 8.49% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)2%
ROA(5y)2.1%
ROE(3y)6.7%
ROE(5y)7.06%
ROIC(3y)3.14%
ROIC(5y)2.92%
ROICexc(3y)3.18%
ROICexc(5y)2.95%
ROICexgc(3y)3.8%
ROICexgc(5y)3.58%
ROCE(3y)4.61%
ROCE(5y)4.29%
ROICexcg growth 3Y1.9%
ROICexcg growth 5Y-7.94%
ROICexc growth 3Y3.35%
ROICexc growth 5Y-6.78%
OM growth 3Y3.96%
OM growth 5Y-4.26%
PM growth 3Y-8.12%
PM growth 5Y-8.76%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.86 | ||
| Cap/Depr | 270.72% | ||
| Cap/Sales | 41.8% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 0.49 |
F-Score4
WACC4.86%
ROIC/WACC0.63
Cap/Depr(3y)272.75%
Cap/Depr(5y)273.57%
Cap/Sales(3y)38.94%
Cap/Sales(5y)41.07%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-52.04%
EPS 3Y-4.73%
EPS 5Y-9.14%
EPS Q2Q%-49.27%
EPS Next Y12.39%
EPS Next 2Y8.03%
EPS Next 3Y8.17%
EPS Next 5Y8.39%
Revenue 1Y (TTM)-4.8%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%-10.6%
Revenue Next Year9.92%
Revenue Next 2Y5.14%
Revenue Next 3Y6.16%
Revenue Next 5Y3.11%
EBIT growth 1Y-24.74%
EBIT growth 3Y11.95%
EBIT growth 5Y-1.07%
EBIT Next Year101.64%
EBIT Next 3Y27.55%
EBIT Next 5Y23.27%
FCF growth 1Y38.76%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y33.73%
OCF growth 3Y30.7%
OCF growth 5Y11.65%