FIRSTSERVICE CORP (FSV.CA) Stock Fundamental Analysis
TSX:FSV - Toronto Stock Exchange - CA33767E2024 - Common Stock - Currency: CAD
FSV gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 28 industry peers in the Real Estate Management & Development industry. Both the profitability and the financial health of FSV get a neutral evaluation. Nothing too spectacular is happening here. FSV is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
FSV had positive earnings in the past year.
In the past year FSV had a positive cash flow from operations.
In the past 5 years FSV has always been profitable.
FSV had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.20%, FSV is in the better half of the industry, outperforming 78.57% of the companies in the same industry.
With an excellent Return On Equity value of 11.31%, FSV belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
FSV's Return On Invested Capital of 7.01% is amongst the best of the industry. FSV outperforms 82.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FSV is below the industry average of 10.95%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.2% | ||
| ROE | 11.31% | ||
| ROIC | 7.01% |
ROA(3y)3.45%
ROA(5y)3.94%
ROE(3y)11.49%
ROE(5y)12.92%
ROIC(3y)7.12%
ROIC(5y)7.44%
1.3 Margins
FSV's Profit Margin of 2.58% is in line compared to the rest of the industry. FSV outperforms 53.57% of its industry peers.
In the last couple of years the Profit Margin of FSV has declined.
The Operating Margin of FSV (6.19%) is worse than 75.00% of its industry peers.
In the last couple of years the Operating Margin of FSV has remained more or less at the same level.
The Gross Margin of FSV (32.93%) is worse than 67.86% of its industry peers.
In the last couple of years the Gross Margin of FSV has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.19% | ||
| PM (TTM) | 2.58% | ||
| GM | 32.93% |
OM growth 3Y-1.98%
OM growth 5Y0.22%
PM growth 3Y-14.78%
PM growth 5YN/A
GM growth 3Y0.75%
GM growth 5Y0.5%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FSV is destroying value.
FSV has more shares outstanding than it did 1 year ago.
FSV has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, FSV has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 3.31 indicates that FSV is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.31, FSV belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
The Debt to FCF ratio of FSV is 7.51, which is on the high side as it means it would take FSV, 7.51 years of fcf income to pay off all of its debts.
FSV has a Debt to FCF ratio of 7.51. This is in the better half of the industry: FSV outperforms 71.43% of its industry peers.
A Debt/Equity ratio of 1.06 is on the high side and indicates that FSV has dependencies on debt financing.
The Debt to Equity ratio of FSV (1.06) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 7.51 | ||
| Altman-Z | 3.31 |
ROIC/WACC0.97
WACC7.22%
2.3 Liquidity
A Current Ratio of 1.83 indicates that FSV should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.83, FSV belongs to the top of the industry, outperforming 82.14% of the companies in the same industry.
FSV has a Quick Ratio of 1.50. This is a normal value and indicates that FSV is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.50, FSV is doing good in the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.5 |
3. Growth
3.1 Past
FSV shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 16.93%, which is quite good.
FSV shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.76% yearly.
FSV shows a strong growth in Revenue. In the last year, the Revenue has grown by 20.36%.
The Revenue has been growing by 16.73% on average over the past years. This is quite good.
EPS 1Y (TTM)16.93%
EPS 3Y2.97%
EPS 5Y10.76%
EPS Q2Q%37.31%
Revenue 1Y (TTM)20.36%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%8.02%
3.2 Future
Based on estimates for the next years, FSV will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.41% on average per year.
Based on estimates for the next years, FSV will show a small growth in Revenue. The Revenue will grow by 7.53% on average per year.
EPS Next Y14.43%
EPS Next 2Y12.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.75%
Revenue Next 2Y7.53%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 32.70, FSV can be considered very expensive at the moment.
FSV's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of FSV to the average of the S&P500 Index (28.92), we can say FSV is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 27.19, the valuation of FSV can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FSV indicates a somewhat cheap valuation: FSV is cheaper than 71.43% of the companies listed in the same industry.
FSV's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 21.65.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.7 | ||
| Fwd PE | 27.19 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FSV indicates a somewhat cheap valuation: FSV is cheaper than 67.86% of the companies listed in the same industry.
FSV's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.15 | ||
| EV/EBITDA | 18.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
FSV's earnings are expected to grow with 12.41% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.27
PEG (5Y)3.04
EPS Next 2Y12.41%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FSV has a yearly dividend return of 0.60%, which is pretty low.
FSV's Dividend Yield is comparable with the industry average which is at 3.25.
Compared to an average S&P500 Dividend Yield of 2.51, FSV's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
5.2 History
The dividend of FSV is nicely growing with an annual growth rate of 11.41%!
FSV has been paying a dividend for at least 10 years, so it has a reliable track record.
FSV has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)11.41%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
FSV pays out 32.62% of its income as dividend. This is a sustainable payout ratio.
The dividend of FSV is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP32.62%
EPS Next 2Y12.41%
EPS Next 3YN/A
TSX:FSV (4/24/2025, 7:00:00 PM)
238.08
-1.69 (-0.7%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners76.42%
Inst Owner ChangeN/A
Ins Owners11.75%
Ins Owner ChangeN/A
Market Cap10.82B
Analysts78.33
Price Target215.49 (-9.49%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
Yearly Dividend1.35
Dividend Growth(5Y)11.41%
DP32.62%
Div Incr Years9
Div Non Decr Years9
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.12%
Min EPS beat(2)-3.07%
Max EPS beat(2)13.31%
EPS beat(4)2
Avg EPS beat(4)1.15%
Min EPS beat(4)-9.66%
Max EPS beat(4)13.31%
EPS beat(8)4
Avg EPS beat(8)1.45%
EPS beat(12)6
Avg EPS beat(12)0.7%
EPS beat(16)10
Avg EPS beat(16)6.69%
Revenue beat(2)2
Avg Revenue beat(2)3.87%
Min Revenue beat(2)1.89%
Max Revenue beat(2)5.84%
Revenue beat(4)4
Avg Revenue beat(4)2.51%
Min Revenue beat(4)0.27%
Max Revenue beat(4)5.84%
Revenue beat(8)7
Avg Revenue beat(8)2.42%
Revenue beat(12)11
Avg Revenue beat(12)2.56%
Revenue beat(16)15
Avg Revenue beat(16)3.09%
PT rev (1m)-0.16%
PT rev (3m)1.34%
EPS NQ rev (1m)6.35%
EPS NQ rev (3m)-6.94%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)0.8%
Revenue NQ rev (1m)0.39%
Revenue NQ rev (3m)-0.92%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.7 | ||
| Fwd PE | 27.19 | ||
| P/S | 1.5 | ||
| P/FCF | 45.15 | ||
| P/OCF | 27.32 | ||
| P/B | 6.57 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.17 |
EPS(TTM)7.28
EY3.06%
EPS(NY)8.76
Fwd EY3.68%
FCF(TTM)5.27
FCFY2.22%
OCF(TTM)8.71
OCFY3.66%
SpS159.14
BVpS36.23
TBVpS-28.16
PEG (NY)2.27
PEG (5Y)3.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.2% | ||
| ROE | 11.31% | ||
| ROCE | 9.66% | ||
| ROIC | 7.01% | ||
| ROICexc | 7.52% | ||
| ROICexgc | 23.31% | ||
| OM | 6.19% | ||
| PM (TTM) | 2.58% | ||
| GM | 32.93% | ||
| FCFM | 3.31% |
ROA(3y)3.45%
ROA(5y)3.94%
ROE(3y)11.49%
ROE(5y)12.92%
ROIC(3y)7.12%
ROIC(5y)7.44%
ROICexc(3y)7.62%
ROICexc(5y)8.09%
ROICexgc(3y)22.51%
ROICexgc(5y)26.24%
ROCE(3y)9.82%
ROCE(5y)10.25%
ROICexcg growth 3Y-9.1%
ROICexcg growth 5Y0.26%
ROICexc growth 3Y-5.76%
ROICexc growth 5Y0.74%
OM growth 3Y-1.98%
OM growth 5Y0.22%
PM growth 3Y-14.78%
PM growth 5YN/A
GM growth 3Y0.75%
GM growth 5Y0.5%
F-Score8
Asset Turnover1.24
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 7.51 | ||
| Debt/EBITDA | 2.57 | ||
| Cap/Depr | 68.25% | ||
| Cap/Sales | 2.16% | ||
| Interest Coverage | 4.18 | ||
| Cash Conversion | 58.49% | ||
| Profit Quality | 128.65% | ||
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.5 | ||
| Altman-Z | 3.31 |
F-Score8
WACC7.22%
ROIC/WACC0.97
Cap/Depr(3y)70.4%
Cap/Depr(5y)62.01%
Cap/Sales(3y)2.12%
Cap/Sales(5y)1.92%
Profit Quality(3y)112.97%
Profit Quality(5y)141.74%
High Growth Momentum
Growth
EPS 1Y (TTM)16.93%
EPS 3Y2.97%
EPS 5Y10.76%
EPS Q2Q%37.31%
EPS Next Y14.43%
EPS Next 2Y12.41%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)20.36%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%8.02%
Revenue Next Year8.75%
Revenue Next 2Y7.53%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y21.28%
EBIT growth 3Y14.78%
EBIT growth 5Y16.98%
EBIT Next Year72.27%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-7.86%
FCF growth 3Y16.6%
FCF growth 5Y23.08%
OCF growth 1Y1.9%
OCF growth 3Y19.53%
OCF growth 5Y21.52%