FIRSTSERVICE CORP (FSV) Stock Fundamental Analysis
NASDAQ:FSV - Nasdaq - CA33767E2024 - Common Stock - Currency: USD
Overall FSV gets a fundamental rating of 5 out of 10. We evaluated FSV against 64 industry peers in the Real Estate Management & Development industry. While FSV has a great profitability rating, there are quite some concerns on its financial health. FSV is not valued too expensively and it also shows 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.
FSV had positive earnings in each of the past 5 years.
Each year in the past 5 years FSV had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.20%, FSV belongs to the top of the industry, outperforming 83.33% of the companies in the same industry.
FSV's Return On Equity of 11.31% is amongst the best of the industry. FSV outperforms 90.00% of its industry peers.
The Return On Invested Capital of FSV (7.01%) is better than 91.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FSV is above the industry average of 4.87%.
| 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
The Profit Margin of FSV (2.58%) is better than 68.33% of its industry peers.
In the last couple of years the Profit Margin of FSV has declined.
FSV has a Operating Margin of 6.19%. This is in the better half of the industry: FSV outperforms 73.33% of its industry peers.
In the last couple of years the Operating Margin of FSV has remained more or less at the same level.
With a Gross Margin value of 32.93%, FSV perfoms like the industry average, outperforming 56.67% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FSV is destroying value.
Compared to 1 year ago, FSV has more shares outstanding
Compared to 5 years ago, FSV has more shares outstanding
The debt/assets ratio for FSV has been reduced compared to a year ago.
2.2 Solvency
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's Debt to FCF ratio of 7.51 is fine compared to the rest of the industry. FSV outperforms 78.33% of its industry peers.
FSV has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of FSV (1.06) is worse than 68.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 7.51 | ||
| Altman-Z | N/A |
ROIC/WACC0.97
WACC7.24%
2.3 Liquidity
A Current Ratio of 1.83 indicates that FSV should not have too much problems paying its short term obligations.
FSV has a Current ratio (1.83) which is comparable to the rest of the industry.
A Quick Ratio of 1.83 indicates that FSV should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.83, FSV perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.83 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.07% over the past year.
Measured over the past years, FSV shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.76% on average per year.
Looking at the last year, FSV shows a very strong growth in Revenue. The Revenue has grown by 20.36%.
FSV shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.73% yearly.
EPS 1Y (TTM)7.07%
EPS 3Y2.97%
EPS 5Y10.76%
EPS Q2Q%20.72%
Revenue 1Y (TTM)20.36%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%26.5%
3.2 Future
The Earnings Per Share is expected to grow by 11.51% on average over the next years. This is quite good.
FSV is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.39% yearly.
EPS Next Y13.62%
EPS Next 2Y11.51%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.15%
Revenue Next 2Y6.39%
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.
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
FSV is valuated quite expensively with a Price/Earnings ratio of 34.92.
Based on the Price/Earnings ratio, FSV is valued a bit cheaper than 75.00% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.63, FSV is valued at the same level.
With a Price/Forward Earnings ratio of 30.74, FSV can be considered very expensive at the moment.
FSV's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. FSV is cheaper than 78.33% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.68. FSV is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.92 | ||
| Fwd PE | 30.74 |
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 75.00% of the companies listed in the same industry.
71.67% of the companies in the same industry are more expensive than FSV, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.73 | ||
| EV/EBITDA | 18.4 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates FSV does not grow enough to justify the current Price/Earnings ratio.
FSV has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.56
PEG (5Y)3.25
EPS Next 2Y11.51%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.57%, FSV is not a good candidate for dividend investing.
FSV's Dividend Yield is a higher than the industry average which is at 3.26.
Compared to an average S&P500 Dividend Yield of 2.29, FSV's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
5.2 History
On average, the dividend of FSV grows each year by 11.41%, which is quite nice.
FSV has paid a dividend for at least 10 years, which is a reliable track record.
FSV has decreased its dividend recently.
Dividend Growth(5Y)11.41%
Div Incr Years1
Div Non Decr Years1
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 2Y11.51%
EPS Next 3YN/A
174.62
-0.19 (-0.11%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustryReal Estate Management & Development
Earnings (Last)
Earnings (Next)
Inst Owners78.15%
Inst Owner Change-2.63%
Ins Owners11.63%
Ins Owner ChangeN/A
Market Cap7.91B
Analysts78.33
Price Target147.99 (-15.25%)
Short Float %0.43%
Short Ratio1.46
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.57% |
Yearly Dividend0.97
Dividend Growth(5Y)11.41%
DP32.62%
Div Incr Years1
Div Non Decr Years1
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)0.22%
PT rev (3m)3%
EPS NQ rev (1m)0%
EPS NQ rev (3m)8.11%
EPS NY rev (1m)0.09%
EPS NY rev (3m)0.13%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.92 | ||
| Fwd PE | 30.74 | ||
| P/S | 1.52 | ||
| P/FCF | 45.73 | ||
| P/OCF | 27.67 | ||
| P/B | 6.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.4 |
EPS(TTM)5
EY2.86%
EPS(NY)5.68
Fwd EY3.25%
FCF(TTM)3.82
FCFY2.19%
OCF(TTM)6.31
OCFY3.61%
SpS115.24
BVpS26.24
TBVpS-20.39
PEG (NY)2.56
PEG (5Y)3.25
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 | 250 | ||
| Cash Conversion | 58.49% | ||
| Profit Quality | 128.65% | ||
| Current Ratio | 1.83 | ||
| Quick Ratio | 1.83 | ||
| Altman-Z | N/A |
F-Score8
WACC7.24%
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)7.07%
EPS 3Y2.97%
EPS 5Y10.76%
EPS Q2Q%20.72%
EPS Next Y13.62%
EPS Next 2Y11.51%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)20.36%
Revenue growth 3Y17.1%
Revenue growth 5Y16.73%
Sales Q2Q%26.5%
Revenue Next Year7.15%
Revenue Next 2Y6.39%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y21.28%
EBIT growth 3Y14.78%
EBIT growth 5Y16.98%
EBIT Next Year68.42%
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%