EMERA INC - EMACN 4 1/4 PERP (EMA-PR-J.CA) Stock Fundamental Analysis
TSX:EMA-PR-J - Toronto Stock Exchange - CA2908768468 - Currency: CAD
Overall EMA-PR-J gets a fundamental rating of 3 out of 10. We evaluated EMA-PR-J against 19 industry peers in the Electric Utilities industry. Both the profitability and financial health of EMA-PR-J have multiple concerns. EMA-PR-J has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year EMA-PR-J was profitable.
In the past year EMA-PR-J had a positive cash flow from operations.
Each year in the past 5 years EMA-PR-J has been profitable.
Each year in the past 5 years EMA-PR-J had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.59%, EMA-PR-J is doing worse than 84.21% of the companies in the same industry.
With a Return On Equity value of 5.06%, EMA-PR-J is not doing good in the industry: 84.21% of the companies in the same industry are doing better.
EMA-PR-J's Return On Invested Capital of 3.05% is on the low side compared to the rest of the industry. EMA-PR-J is outperformed by 84.21% of its industry peers.
EMA-PR-J had an Average Return On Invested Capital over the past 3 years of 3.14%. This 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
EMA-PR-J's Profit Margin of 8.49% is on the low side compared to the rest of the industry. EMA-PR-J is outperformed by 84.21% of its industry peers.
EMA-PR-J's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 21.15%, EMA-PR-J is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
EMA-PR-J'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
EMA-PR-J 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 EMA-PR-J has been increased compared to 1 year ago.
EMA-PR-J has more shares outstanding than it did 5 years ago.
The debt/assets ratio for EMA-PR-J has been reduced compared to a year ago.
2.2 Solvency
EMA-PR-J has an Altman-Z score of 0.49. This is a bad value and indicates that EMA-PR-J is not financially healthy and even has some risk of bankruptcy.
EMA-PR-J has a better Altman-Z score (0.49) than 68.42% of its industry peers.
EMA-PR-J has a Debt/Equity ratio of 1.50. This is a high value indicating a heavy dependency on external financing.
EMA-PR-J has a worse Debt to Equity ratio (1.50) than 84.21% 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-J has a Current Ratio of 0.72. This is a bad value and indicates that EMA-PR-J is not financially healthy enough and could expect problems in meeting its short term obligations.
EMA-PR-J has a Current ratio of 0.72. This is in the better half of the industry: EMA-PR-J outperforms 63.16% of its industry peers.
EMA-PR-J has a Quick Ratio of 0.72. This is a bad value and indicates that EMA-PR-J is not financially healthy enough and could expect problems in meeting its short term obligations.
EMA-PR-J's Quick ratio of 0.54 is in line compared to the rest of the industry. EMA-PR-J outperforms 57.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
EMA-PR-J shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -52.04%.
EMA-PR-J shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -9.14% yearly.
The Revenue has decreased by -4.80% in the past year.
EMA-PR-J 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.
Based on estimates for the next years, EMA-PR-J will show a small growth in Revenue. The Revenue will grow by 3.11% on average per year.
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
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.
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
The Price/Earnings ratio is 13.77, which indicates a correct valuation of EMA-PR-J.
Based on the Price/Earnings ratio, EMA-PR-J is valued a bit more expensive than 73.68% of the companies in the same industry.
When comparing the Price/Earnings ratio of EMA-PR-J to the average of the S&P500 Index (29.35), we can say EMA-PR-J is valued rather cheaply.
A Price/Forward Earnings ratio of 7.25 indicates a rather cheap valuation of EMA-PR-J.
EMA-PR-J's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. EMA-PR-J is more expensive than 68.42% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.10, EMA-PR-J is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.77 | ||
| Fwd PE | 7.25 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EMA-PR-J is valued a bit more expensive than 68.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.85 |
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)1.11
PEG (5Y)N/A
EPS Next 2Y8.03%
EPS Next 3Y8.17%
5. Dividend
5.1 Amount
EMA-PR-J has a Yearly Dividend Yield of 4.98%, which is a nice return.
EMA-PR-J's Dividend Yield is rather good when compared to the industry average which is at 4.45. EMA-PR-J pays more dividend than 84.21% of the companies in the same industry.
EMA-PR-J's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.98% |
5.2 History
The dividend of EMA-PR-J has a limited annual growth rate of 3.46%.
EMA-PR-J has been paying a dividend for over 5 years, so it has already some track record.
EMA-PR-J has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)3.46%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
EMA-PR-J pays out 95.55% of its income as dividend. This is not a sustainable payout ratio.
EMA-PR-J'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-J (3/7/2025, 7:00:00 PM)
23.55
+0.2 (+0.86%)
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 Cap6.97B
Analysts70.59
Price Target24.1 (2.34%)
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 Years0
Div Non Decr Years3
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)-2.91%
PT rev (3m)5.78%
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 | 13.77 | ||
| Fwd PE | 7.25 | ||
| P/S | 0.94 | ||
| P/FCF | N/A | ||
| P/OCF | 2.93 | ||
| P/B | 0.56 | ||
| P/tB | 1.01 | ||
| EV/EBITDA | 8.85 |
EPS(TTM)1.71
EY7.26%
EPS(NY)3.25
Fwd EY13.79%
FCF(TTM)-2.44
FCFYN/A
OCF(TTM)8.03
OCFY34.08%
SpS25.04
BVpS41.99
TBVpS23.42
PEG (NY)1.11
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%