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. Both the profitability and financial health of EMA-PR-C have multiple concerns. EMA-PR-C is not valued too expensively and it also shows a decent growth rate. EMA-PR-C also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EMA-PR-C had positive earnings in the past year.
In the past year EMA-PR-C had a positive cash flow from operations.
EMA-PR-C had positive earnings in each of the past 5 years.
EMA-PR-C had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of EMA-PR-C (2.19%) is worse than 78.95% of its industry peers.
Looking at the Return On Equity, with a value of 7.00%, EMA-PR-C is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
EMA-PR-C has a worse Return On Invested Capital (3.49%) 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 3.84%.
The last Return On Invested Capital (3.49%) for EMA-PR-C is above the 3 year average (3.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 7% | ||
| ROIC | 3.49% |
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
EMA-PR-C has a Profit Margin of 11.07%. This is in the lower half of the industry: EMA-PR-C underperforms 78.95% of its industry peers.
EMA-PR-C's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 22.82%, EMA-PR-C is not doing good in the industry: 73.68% of the companies in the same industry are doing better.
In the last couple of years the Operating Margin of EMA-PR-C has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.82% | ||
| PM (TTM) | 11.07% | ||
| 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.
Compared to 5 years ago, EMA-PR-C has more shares outstanding
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 0.53. This is a bad value and indicates that EMA-PR-C is not financially healthy and even has some risk of bankruptcy.
EMA-PR-C has a better Altman-Z score (0.53) than 68.42% of its industry peers.
EMA-PR-C has a Debt/Equity ratio of 1.50. This is a high value indicating a heavy dependency on external financing.
EMA-PR-C has a Debt to Equity ratio of 1.50. This is in the lower half of the industry: EMA-PR-C underperforms 78.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.53 |
ROIC/WACC0.74
WACC4.75%
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.
EMA-PR-C has a Current ratio of 0.72. This is in the lower half of the industry: EMA-PR-C underperforms 73.68% of its industry peers.
A Quick Ratio of 0.54 indicates that EMA-PR-C may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.54, EMA-PR-C is doing worse than 73.68% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
EMA-PR-C shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.28%, which is quite impressive.
The Earnings Per Share has been growing slightly by 2.49% on average over the past years.
Looking at the last year, EMA-PR-C shows a quite strong growth in Revenue. The Revenue has grown by 9.93% 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)26.28%
EPS 3Y1.4%
EPS 5Y2.49%
EPS Q2Q%68.42%
Revenue 1Y (TTM)9.93%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%32.61%
3.2 Future
The Earnings Per Share is expected to grow by 5.79% on average over the next years.
The Revenue is expected to grow by 3.17% on average over the next years.
EPS Next Y11.25%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
EPS Next 5Y5.79%
Revenue Next Year7.88%
Revenue Next 2Y3.3%
Revenue Next 3Y4.45%
Revenue Next 5Y3.17%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
EMA-PR-C is valuated cheaply with a Price/Earnings ratio of 7.18.
EMA-PR-C's Price/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.
Compared to an average S&P500 Price/Earnings ratio of 27.30, EMA-PR-C is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.34, the valuation of EMA-PR-C can be described as very cheap.
63.16% of the companies in the same industry are cheaper than EMA-PR-C, based on the Price/Forward Earnings ratio.
EMA-PR-C is valuated cheaply when we compare the Price/Forward Earnings ratio to 21.76, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.18 | ||
| Fwd PE | 7.34 |
4.2 Price Multiples
63.16% of the companies in the same industry are more expensive than EMA-PR-C, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.16 |
4.3 Compensation for Growth
EMA-PR-C's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.64
PEG (5Y)2.89
EPS Next 2Y7.26%
EPS Next 3Y6.57%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.81%, EMA-PR-C is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.59, EMA-PR-C is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.37, EMA-PR-C pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.81% |
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 70.92% of its income as dividend. This is not a sustainable payout ratio.
The dividend of EMA-PR-C is growing, but earnings are growing more, so the dividend growth is sustainable.
DP70.92%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
TSX:EMA-PR-C (7/8/2025, 7:00:00 PM)
24.84
+0.09 (+0.36%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners32.66%
Inst Owner ChangeN/A
Ins Owners0.14%
Ins Owner ChangeN/A
Market Cap7.40B
Analysts70.53
Price Target25.7 (3.46%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.81% |
Yearly Dividend2.11
Dividend Growth(5Y)3.46%
DP70.92%
Div Incr Years2
Div Non Decr Years12
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)18.4%
Min EPS beat(2)8.91%
Max EPS beat(2)27.9%
EPS beat(4)3
Avg EPS beat(4)7.35%
Min EPS beat(4)-10.21%
Max EPS beat(4)27.9%
EPS beat(8)4
Avg EPS beat(8)0.88%
EPS beat(12)7
Avg EPS beat(12)3.44%
EPS beat(16)8
Avg EPS beat(16)2.35%
Revenue beat(2)1
Avg Revenue beat(2)2.67%
Min Revenue beat(2)-13.96%
Max Revenue beat(2)19.3%
Revenue beat(4)1
Avg Revenue beat(4)-5.94%
Min Revenue beat(4)-23.25%
Max Revenue beat(4)19.3%
Revenue beat(8)1
Avg Revenue beat(8)-7.23%
Revenue beat(12)5
Avg Revenue beat(12)3.04%
Revenue beat(16)7
Avg Revenue beat(16)0.84%
PT rev (1m)11.43%
PT rev (3m)9.9%
EPS NQ rev (1m)-0.42%
EPS NQ rev (3m)-6.16%
EPS NY rev (1m)0%
EPS NY rev (3m)0.29%
Revenue NQ rev (1m)-7.36%
Revenue NQ rev (3m)-8%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.18 | ||
| Fwd PE | 7.34 | ||
| P/S | 0.94 | ||
| P/FCF | N/A | ||
| P/OCF | 2.66 | ||
| P/B | 0.6 | ||
| P/tB | 1.07 | ||
| EV/EBITDA | 8.16 |
EPS(TTM)3.46
EY13.93%
EPS(NY)3.38
Fwd EY13.62%
FCF(TTM)-1.67
FCFYN/A
OCF(TTM)9.32
OCFY37.53%
SpS26.39
BVpS41.74
TBVpS23.28
PEG (NY)0.64
PEG (5Y)2.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.19% | ||
| ROE | 7% | ||
| ROCE | 5.05% | ||
| ROIC | 3.49% | ||
| ROICexc | 3.52% | ||
| ROICexgc | 4.14% | ||
| OM | 22.82% | ||
| PM (TTM) | 11.07% | ||
| 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-Score7
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 6.21 | ||
| Cap/Depr | 272.83% | ||
| Cap/Sales | 41.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 92.75% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 0.53 |
F-Score7
WACC4.75%
ROIC/WACC0.74
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)26.28%
EPS 3Y1.4%
EPS 5Y2.49%
EPS Q2Q%68.42%
EPS Next Y11.25%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
EPS Next 5Y5.79%
Revenue 1Y (TTM)9.93%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%32.61%
Revenue Next Year7.88%
Revenue Next 2Y3.3%
Revenue Next 3Y4.45%
Revenue Next 5Y3.17%
EBIT growth 1Y34.11%
EBIT growth 3Y11.95%
EBIT growth 5Y-1.07%
EBIT Next Year109.46%
EBIT Next 3Y30.88%
EBIT Next 5Y20.01%
FCF growth 1Y74.42%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y262.88%
OCF growth 3Y30.7%
OCF growth 5Y11.65%