FORTIS INC - FTSCN 5.493 PERP (FTS-PR-M.CA) Stock Fundamental Analysis
Canada - TSX:FTS-PR-M - CA3495537688
24 CAD
+0.04 (+0.17%)
We assign a fundamental rating of 4 out of 10 to FTS-PR-M. FTS-PR-M was compared to 18 industry peers in the Electric Utilities industry. FTS-PR-M has an excellent profitability rating, but there are concerns on its financial health. FTS-PR-M has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
FTS-PR-M had positive earnings in the past year.
FTS-PR-M had a positive operating cash flow in the past year.
FTS-PR-M had positive earnings in each of the past 5 years.
Each year in the past 5 years FTS-PR-M had a positive operating cash flow.
1.2 Ratios
FTS-PR-M's Return On Assets of 2.33% is fine compared to the rest of the industry. FTS-PR-M outperforms 61.11% of its industry peers.
The Return On Equity of FTS-PR-M (7.19%) is better than 61.11% of its industry peers.
FTS-PR-M has a better Return On Invested Capital (4.27%) than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FTS-PR-M is in line with the industry average of 4.02%.
The last Return On Invested Capital (4.27%) for FTS-PR-M is above the 3 year average (4.10%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 7.19% | ||
| ROIC | 4.27% |
ROA(3y)2.18%
ROA(5y)2.17%
ROE(3y)6.69%
ROE(5y)6.58%
ROIC(3y)4.1%
ROIC(5y)4.04%
1.3 Margins
The Profit Margin of FTS-PR-M (14.31%) is better than 61.11% of its industry peers.
In the last couple of years the Profit Margin of FTS-PR-M has declined.
FTS-PR-M has a Operating Margin of 28.90%. This is in the better half of the industry: FTS-PR-M outperforms 72.22% of its industry peers.
FTS-PR-M's Operating Margin has been stable in the last couple of years.
FTS-PR-M has a better Gross Margin (72.37%) than 72.22% of its industry peers.
FTS-PR-M's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.9% | ||
| PM (TTM) | 14.31% | ||
| GM | 72.37% |
OM growth 3Y3.06%
OM growth 5Y0.41%
PM growth 3Y2.32%
PM growth 5Y-5.83%
GM growth 3Y1.43%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
FTS-PR-M 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 FTS-PR-M has been increased compared to 1 year ago.
Compared to 5 years ago, FTS-PR-M has more shares outstanding
The debt/assets ratio for FTS-PR-M is higher compared to a year ago.
2.2 Solvency
FTS-PR-M has an Altman-Z score of 0.52. This is a bad value and indicates that FTS-PR-M is not financially healthy and even has some risk of bankruptcy.
FTS-PR-M has a Altman-Z score of 0.52. This is in the better half of the industry: FTS-PR-M outperforms 72.22% of its industry peers.
FTS-PR-M has a Debt/Equity ratio of 1.33. This is a high value indicating a heavy dependency on external financing.
With a decent Debt to Equity ratio value of 1.33, FTS-PR-M is doing good in the industry, outperforming 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.52 |
ROIC/WACC0.88
WACC4.83%
2.3 Liquidity
A Current Ratio of 0.58 indicates that FTS-PR-M may have some problems paying its short term obligations.
FTS-PR-M's Current ratio of 0.58 is on the low side compared to the rest of the industry. FTS-PR-M is outperformed by 77.78% of its industry peers.
FTS-PR-M has a Quick Ratio of 0.58. This is a bad value and indicates that FTS-PR-M is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.47, FTS-PR-M is not doing good in the industry: 77.78% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.47 |
3. Growth
3.1 Past
FTS-PR-M shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.86%, which is quite good.
Measured over the past 5 years, FTS-PR-M shows a small growth in Earnings Per Share. The EPS has been growing by 5.08% on average per year.
Looking at the last year, FTS-PR-M shows a small growth in Revenue. The Revenue has grown by 4.22% in the last year.
FTS-PR-M shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.55% yearly.
EPS 1Y (TTM)8.86%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%13.43%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%5.43%
3.2 Future
Based on estimates for the next years, FTS-PR-M will show a small growth in Earnings Per Share. The EPS will grow by 5.63% on average per year.
The Revenue is expected to grow by 3.53% on average over the next years.
EPS Next Y7.43%
EPS Next 2Y5.14%
EPS Next 3Y5.24%
EPS Next 5Y5.63%
Revenue Next Year7.11%
Revenue Next 2Y5.79%
Revenue Next 3Y9.98%
Revenue Next 5Y3.53%
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
FTS-PR-M is valuated cheaply with a Price/Earnings ratio of 6.98.
FTS-PR-M's Price/Earnings ratio is a bit more expensive when compared to the industry. FTS-PR-M is more expensive than 66.67% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.41, FTS-PR-M is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.62, the valuation of FTS-PR-M can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FTS-PR-M is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.88, FTS-PR-M is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.98 | ||
| Fwd PE | 6.62 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FTS-PR-M indicates a slightly more expensive valuation: FTS-PR-M is more expensive than 66.67% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 8.33 |
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.
FTS-PR-M has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.94
PEG (5Y)1.37
EPS Next 2Y5.14%
EPS Next 3Y5.24%
5. Dividend
5.1 Amount
FTS-PR-M has a Yearly Dividend Yield of 3.61%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.26, FTS-PR-M pays a better dividend. On top of this FTS-PR-M pays more dividend than 83.33% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.38, FTS-PR-M pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
5.2 History
The dividend of FTS-PR-M has a limited annual growth rate of 5.61%.
FTS-PR-M has paid a dividend for at least 10 years, which is a reliable track record.
FTS-PR-M has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)5.61%
Div Incr Years0
Div Non Decr Years3
5.3 Sustainability
FTS-PR-M pays out 49.62% of its income as dividend. This is a bit on the high side, but may be sustainable.
FTS-PR-M's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP49.62%
EPS Next 2Y5.14%
EPS Next 3Y5.24%
TSX:FTS-PR-M (9/17/2025, 7:00:00 PM)
24
+0.04 (+0.17%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners55.26%
Inst Owner ChangeN/A
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap12.09B
Analysts64.76
Price Target25.05 (4.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.61% |
Yearly Dividend1.65
Dividend Growth(5Y)5.61%
DP49.62%
Div Incr Years0
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.58%
Min EPS beat(2)1.78%
Max EPS beat(2)7.39%
EPS beat(4)4
Avg EPS beat(4)3.2%
Min EPS beat(4)1.1%
Max EPS beat(4)7.39%
EPS beat(8)8
Avg EPS beat(8)2.61%
EPS beat(12)11
Avg EPS beat(12)2.94%
EPS beat(16)11
Avg EPS beat(16)1.01%
Revenue beat(2)1
Avg Revenue beat(2)0.59%
Min Revenue beat(2)-0.12%
Max Revenue beat(2)1.3%
Revenue beat(4)1
Avg Revenue beat(4)-4.01%
Min Revenue beat(4)-11.44%
Max Revenue beat(4)1.3%
Revenue beat(8)1
Avg Revenue beat(8)-4.67%
Revenue beat(12)4
Avg Revenue beat(12)-0.26%
Revenue beat(16)8
Avg Revenue beat(16)1.34%
PT rev (1m)1.74%
PT rev (3m)8.88%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.63%
EPS NY rev (1m)2.3%
EPS NY rev (3m)2.3%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)2.5%
Revenue NY rev (3m)1.63%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.98 | ||
| Fwd PE | 6.62 | ||
| P/S | 1.02 | ||
| P/FCF | N/A | ||
| P/OCF | 2.8 | ||
| P/B | 0.51 | ||
| P/tB | 1.27 | ||
| EV/EBITDA | 8.33 |
EPS(TTM)3.44
EY14.33%
EPS(NY)3.63
Fwd EY15.11%
FCF(TTM)-3.5
FCFYN/A
OCF(TTM)8.57
OCFY35.71%
SpS23.57
BVpS46.91
TBVpS18.87
PEG (NY)0.94
PEG (5Y)1.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.33% | ||
| ROE | 7.19% | ||
| ROCE | 5.15% | ||
| ROIC | 4.27% | ||
| ROICexc | 4.28% | ||
| ROICexgc | 5.43% | ||
| OM | 28.9% | ||
| PM (TTM) | 14.31% | ||
| GM | 72.37% | ||
| FCFM | N/A |
ROA(3y)2.18%
ROA(5y)2.17%
ROE(3y)6.69%
ROE(5y)6.58%
ROIC(3y)4.1%
ROIC(5y)4.04%
ROICexc(3y)4.12%
ROICexc(5y)4.06%
ROICexgc(3y)5.36%
ROICexgc(5y)5.34%
ROCE(3y)4.93%
ROCE(5y)4.87%
ROICexcg growth 3Y0.42%
ROICexcg growth 5Y-1.68%
ROICexc growth 3Y1.61%
ROICexc growth 5Y-0.39%
OM growth 3Y3.06%
OM growth 5Y0.41%
PM growth 3Y2.32%
PM growth 5Y-5.83%
GM growth 3Y1.43%
GM growth 5Y0.13%
F-Score5
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.78 | ||
| Cap/Depr | 302.94% | ||
| Cap/Sales | 51.21% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 79.39% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.58 | ||
| Quick Ratio | 0.47 | ||
| Altman-Z | 0.52 |
F-Score5
WACC4.83%
ROIC/WACC0.88
Cap/Depr(3y)245.88%
Cap/Depr(5y)249.09%
Cap/Sales(3y)38.85%
Cap/Sales(5y)39.52%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.86%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%13.43%
EPS Next Y7.43%
EPS Next 2Y5.14%
EPS Next 3Y5.24%
EPS Next 5Y5.63%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%5.43%
Revenue Next Year7.11%
Revenue Next 2Y5.79%
Revenue Next 3Y9.98%
Revenue Next 5Y3.53%
EBIT growth 1Y6.75%
EBIT growth 3Y10.06%
EBIT growth 5Y5.99%
EBIT Next Year73.58%
EBIT Next 3Y25.68%
EBIT Next 5Y17.7%
FCF growth 1Y-175.47%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y28.44%
OCF growth 3Y10.12%
OCF growth 5Y7.71%