EMERA INC - EMACN 4 1/4 PERP (EMA-PR-J.CA) Stock Fundamental Analysis
TSX:EMA-PR-J - Toronto Stock Exchange - CA2908768468 - Currency: CAD
Taking everything into account, EMA-PR-J scores 3 out of 10 in our fundamental rating. EMA-PR-J was compared to 19 industry peers in the Electric Utilities industry. EMA-PR-J may be in some trouble as it scores bad on both profitability and health. EMA-PR-J has a valuation in line with the averages, but on the other hand it 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.
EMA-PR-J had positive earnings in each of the past 5 years.
Each year in the past 5 years EMA-PR-J had a positive operating cash flow.
1.2 Ratios
EMA-PR-J has a Return On Assets of 1.59%. This is in the lower half of the industry: EMA-PR-J underperforms 78.95% of its industry peers.
The Return On Equity of EMA-PR-J (5.06%) is worse than 78.95% of its industry peers.
With a Return On Invested Capital value of 3.05%, EMA-PR-J is not doing good in the industry: 78.95% of the companies in the same industry are doing better.
The Average Return On Invested Capital over the past 3 years for EMA-PR-J 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
The Profit Margin of EMA-PR-J (8.49%) is worse than 78.95% of its industry peers.
In the last couple of years the Profit Margin of EMA-PR-J has declined.
The Operating Margin of EMA-PR-J (21.15%) is worse than 73.68% of its industry peers.
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.
Compared to 5 years ago, EMA-PR-J has more shares outstanding
The debt/assets ratio for EMA-PR-J has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.48, we must say that EMA-PR-J is in the distress zone and has some risk of bankruptcy.
EMA-PR-J has a Altman-Z score of 0.48. This is in the better half of the industry: EMA-PR-J outperforms 63.16% 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.
Looking at the Debt to Equity ratio, with a value of 1.50, EMA-PR-J is doing worse than 78.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.5 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.48 |
ROIC/WACC0.66
WACC4.61%
2.3 Liquidity
A Current Ratio of 0.72 indicates that EMA-PR-J may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.72, EMA-PR-J is in the better half of the industry, outperforming 68.42% of the companies in the same industry.
A Quick Ratio of 0.54 indicates that EMA-PR-J may have some problems paying its short term obligations.
EMA-PR-J's Quick ratio of 0.54 is fine compared to the rest of the industry. EMA-PR-J outperforms 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-J shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -1.01%.
EMA-PR-J shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.49% yearly.
EMA-PR-J shows a decrease in Revenue. In the last year, the revenue decreased by -4.80%.
Measured over the past years, EMA-PR-J shows a small growth in Revenue. The Revenue has been growing by 3.33% on average per year.
EPS 1Y (TTM)-1.01%
EPS 3Y1.4%
EPS 5Y2.49%
EPS Q2Q%33.33%
Revenue 1Y (TTM)-4.8%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%-10.6%
3.2 Future
Based on estimates for the next years, EMA-PR-J will show a small growth in Earnings Per Share. The EPS will grow by 5.39% on average per year.
The Revenue is expected to grow by 2.62% on average over the next years.
EPS Next Y11.25%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
EPS Next 5Y5.39%
Revenue Next Year7.88%
Revenue Next 2Y3.3%
Revenue Next 3Y4.45%
Revenue Next 5Y2.62%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
EMA-PR-J is valuated cheaply with a Price/Earnings ratio of 7.59.
Compared to the rest of the industry, the Price/Earnings ratio of EMA-PR-J indicates a slightly more expensive valuation: EMA-PR-J is more expensive than 63.16% of the companies listed in the same industry.
EMA-PR-J's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.98.
EMA-PR-J is valuated cheaply with a Price/Forward Earnings ratio of 6.82.
63.16% of the companies in the same industry are cheaper than EMA-PR-J, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.38, EMA-PR-J is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.59 | ||
| Fwd PE | 6.82 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, EMA-PR-J is valued a bit more expensive than 63.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.73 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.67
PEG (5Y)3.05
EPS Next 2Y7.26%
EPS Next 3Y6.57%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.74%, EMA-PR-J is a good candidate for dividend investing.
EMA-PR-J's Dividend Yield is a higher than the industry average which is at 4.21.
Compared to an average S&P500 Dividend Yield of 2.46, EMA-PR-J pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
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
95.55% of the earnings are spent on dividend by EMA-PR-J. This is not a sustainable payout ratio.
The dividend of EMA-PR-J is growing, but earnings are growing more, so the dividend growth is sustainable.
DP95.55%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
TSX:EMA-PR-J (4/29/2025, 7:00:00 PM)
22.3
+0.14 (+0.61%)
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 Cap6.64B
Analysts70.59
Price Target22.32 (0.09%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.74% |
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)-7.41%
PT rev (3m)-5.78%
EPS NQ rev (1m)-0.83%
EPS NQ rev (3m)1.43%
EPS NY rev (1m)0.29%
EPS NY rev (3m)2.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.1%
Revenue NY rev (1m)-1.86%
Revenue NY rev (3m)-0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.59 | ||
| Fwd PE | 6.82 | ||
| P/S | 0.9 | ||
| P/FCF | N/A | ||
| P/OCF | 2.8 | ||
| P/B | 0.53 | ||
| P/tB | 0.96 | ||
| EV/EBITDA | 8.73 |
EPS(TTM)2.94
EY13.18%
EPS(NY)3.27
Fwd EY14.67%
FCF(TTM)-2.42
FCFYN/A
OCF(TTM)7.98
OCFY35.77%
SpS24.88
BVpS41.74
TBVpS23.28
PEG (NY)0.67
PEG (5Y)3.05
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 | 0.48 |
F-Score4
WACC4.61%
ROIC/WACC0.66
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)-1.01%
EPS 3Y1.4%
EPS 5Y2.49%
EPS Q2Q%33.33%
EPS Next Y11.25%
EPS Next 2Y7.26%
EPS Next 3Y6.57%
EPS Next 5Y5.39%
Revenue 1Y (TTM)-4.8%
Revenue growth 3Y7.69%
Revenue growth 5Y3.33%
Sales Q2Q%-10.6%
Revenue Next Year7.88%
Revenue Next 2Y3.3%
Revenue Next 3Y4.45%
Revenue Next 5Y2.62%
EBIT growth 1Y-24.74%
EBIT growth 3Y11.95%
EBIT growth 5Y-1.07%
EBIT Next Year99.26%
EBIT Next 3Y29.26%
EBIT Next 5Y19.32%
FCF growth 1Y38.76%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y33.73%
OCF growth 3Y30.7%
OCF growth 5Y11.65%