FORTIS INC (FTS) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FTS - CA3495531079 - Common Stock
51.82 USD
+0.48 (+0.93%)
Overall FTS gets a fundamental rating of 3 out of 10. We evaluated FTS against 47 industry peers in the Electric Utilities industry. There are concerns on the financial health of FTS while its profitability can be described as average. FTS has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
FTS had positive earnings in the past year.
In the past year FTS had a positive cash flow from operations.
In the past 5 years FTS has always been profitable.
FTS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FTS has a Return On Assets of 2.27%. This is amonst the worse of the industry: FTS underperforms 80.85% of its industry peers.
FTS has a Return On Equity of 6.97%. This is amonst the worse of the industry: FTS underperforms 82.98% of its industry peers.
The Return On Invested Capital of FTS (4.20%) is comparable to the rest of the industry.
The Average Return On Invested Capital over the past 3 years for FTS is in line with the industry average of 4.92%.
The 3 year average ROIC (4.10%) for FTS is below the current ROIC(4.20%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | 6.97% | ||
| ROIC | 4.2% |
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
FTS has a Profit Margin of 14.02%. This is comparable to the rest of the industry: FTS outperforms 55.32% of its industry peers.
In the last couple of years the Profit Margin of FTS has declined.
FTS has a Operating Margin of 28.97%. This is amongst the best in the industry. FTS outperforms 97.87% of its industry peers.
In the last couple of years the Operating Margin of FTS has remained more or less at the same level.
The Gross Margin of FTS (72.57%) is better than 70.21% of its industry peers.
In the last couple of years the Gross Margin of FTS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.97% | ||
| PM (TTM) | 14.02% | ||
| GM | 72.57% |
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 has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, FTS has more shares outstanding
Compared to 5 years ago, FTS has more shares outstanding
The debt/assets ratio for FTS is higher compared to a year ago.
2.2 Solvency
FTS has an Altman-Z score of 0.82. This is a bad value and indicates that FTS is not financially healthy and even has some risk of bankruptcy.
FTS has a Altman-Z score of 0.82. This is comparable to the rest of the industry: FTS outperforms 46.81% of its industry peers.
FTS has a Debt/Equity ratio of 1.35. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.35, FTS perfoms like the industry average, outperforming 57.45% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.82 |
ROIC/WACC0.77
WACC5.45%
2.3 Liquidity
FTS has a Current Ratio of 0.66. This is a bad value and indicates that FTS is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.66, FTS is doing worse than 80.85% of the companies in the same industry.
FTS has a Quick Ratio of 0.66. This is a bad value and indicates that FTS is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.54, FTS is not doing good in the industry: 72.34% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 7.26% over the past year.
Measured over the past 5 years, FTS 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 shows a small growth in Revenue. The Revenue has grown by 5.21% in the last year.
Measured over the past years, FTS shows a small growth in Revenue. The Revenue has been growing by 5.55% on average per year.
EPS 1Y (TTM)7.26%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%-4.71%
Revenue 1Y (TTM)5.21%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%6.03%
3.2 Future
Based on estimates for the next years, FTS will show a small growth in Earnings Per Share. The EPS will grow by 5.85% on average per year.
Based on estimates for the next years, FTS will show a small growth in Revenue. The Revenue will grow by 3.76% on average per year.
EPS Next Y6.44%
EPS Next 2Y4.76%
EPS Next 3Y5.06%
EPS Next 5Y5.85%
Revenue Next Year5.21%
Revenue Next 2Y4.5%
Revenue Next 3Y4.92%
Revenue Next 5Y3.76%
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 stable.
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
A Price/Earnings ratio of 21.50 indicates a rather expensive valuation of FTS.
Compared to the rest of the industry, the Price/Earnings ratio of FTS indicates a slightly more expensive valuation: FTS is more expensive than 68.09% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of FTS to the average of the S&P500 Index (25.65), we can say FTS is valued inline with the index average.
The Price/Forward Earnings ratio is 20.30, which indicates a rather expensive current valuation of FTS.
Based on the Price/Forward Earnings ratio, FTS is valued a bit more expensive than the industry average as 74.47% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of FTS to the average of the S&P500 Index (34.45), we can say FTS is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.5 | ||
| Fwd PE | 20.3 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FTS indicates a slightly more expensive valuation: FTS is more expensive than 65.96% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 12.71 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)3.34
PEG (5Y)4.23
EPS Next 2Y4.76%
EPS Next 3Y5.06%
5. Dividend
5.1 Amount
FTS has a Yearly Dividend Yield of 3.53%.
Compared to an average industry Dividend Yield of 3.39, FTS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, FTS pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
5.2 History
The dividend of FTS has a limited annual growth rate of 5.61%.
FTS has been paying a dividend for at least 10 years, so it has a reliable track record.
FTS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.61%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
FTS pays out 50.83% of its income as dividend. This is a bit on the high side, but may be sustainable.
FTS's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP50.83%
EPS Next 2Y4.76%
EPS Next 3Y5.06%
NYSE:FTS (11/25/2025, 3:23:21 PM)
51.82
+0.48 (+0.93%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners55.56%
Inst Owner Change-0.15%
Ins Owners0.11%
Ins Owner ChangeN/A
Market Cap26.19B
Revenue(TTM)12.04B
Net Income(TTM)1.69B
Analysts64.76
Price Target53.41 (3.07%)
Short Float %2.19%
Short Ratio17.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
Yearly Dividend1.17
Dividend Growth(5Y)5.61%
DP50.83%
Div Incr Years21
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.08%
Min EPS beat(2)-5.22%
Max EPS beat(2)7.39%
EPS beat(4)3
Avg EPS beat(4)1.26%
Min EPS beat(4)-5.22%
Max EPS beat(4)7.39%
EPS beat(8)7
Avg EPS beat(8)1.7%
EPS beat(12)10
Avg EPS beat(12)2.25%
EPS beat(16)11
Avg EPS beat(16)0.79%
Revenue beat(2)2
Avg Revenue beat(2)1.8%
Min Revenue beat(2)1.3%
Max Revenue beat(2)2.3%
Revenue beat(4)2
Avg Revenue beat(4)-1.99%
Min Revenue beat(4)-11.44%
Max Revenue beat(4)2.3%
Revenue beat(8)2
Avg Revenue beat(8)-3.45%
Revenue beat(12)4
Avg Revenue beat(12)-0.61%
Revenue beat(16)8
Avg Revenue beat(16)1.43%
PT rev (1m)2.85%
PT rev (3m)3.42%
EPS NQ rev (1m)0.15%
EPS NQ rev (3m)-0.52%
EPS NY rev (1m)-0.49%
EPS NY rev (3m)-0.92%
Revenue NQ rev (1m)4.29%
Revenue NQ rev (3m)4.29%
Revenue NY rev (1m)0.39%
Revenue NY rev (3m)-3.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.5 | ||
| Fwd PE | 20.3 | ||
| P/S | 3.07 | ||
| P/FCF | N/A | ||
| P/OCF | 9.22 | ||
| P/B | 1.53 | ||
| P/tB | 3.77 | ||
| EV/EBITDA | 12.71 |
EPS(TTM)2.41
EY4.65%
EPS(NY)2.55
Fwd EY4.93%
FCF(TTM)-3.12
FCFYN/A
OCF(TTM)5.62
OCFY10.85%
SpS16.89
BVpS33.95
TBVpS13.76
PEG (NY)3.34
PEG (5Y)4.23
Graham Number42.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.27% | ||
| ROE | 6.97% | ||
| ROCE | 5.06% | ||
| ROIC | 4.2% | ||
| ROICexc | 4.22% | ||
| ROICexgc | 5.33% | ||
| OM | 28.97% | ||
| PM (TTM) | 14.02% | ||
| GM | 72.57% | ||
| 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%
ROICexgc growth 3Y0.42%
ROICexgc 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-Score4
Asset Turnover0.16
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.35 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.92 | ||
| Cap/Depr | 304.79% | ||
| Cap/Sales | 51.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 72.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.66 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 0.82 |
F-Score4
WACC5.45%
ROIC/WACC0.77
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)7.26%
EPS 3Y8.19%
EPS 5Y5.08%
EPS Q2Q%-4.71%
EPS Next Y6.44%
EPS Next 2Y4.76%
EPS Next 3Y5.06%
EPS Next 5Y5.85%
Revenue 1Y (TTM)5.21%
Revenue growth 3Y6.8%
Revenue growth 5Y5.55%
Sales Q2Q%6.03%
Revenue Next Year5.21%
Revenue Next 2Y4.5%
Revenue Next 3Y4.92%
Revenue Next 5Y3.76%
EBIT growth 1Y8.76%
EBIT growth 3Y10.06%
EBIT growth 5Y5.99%
EBIT Next Year71.64%
EBIT Next 3Y25.71%
EBIT Next 5Y18.17%
FCF growth 1Y-510.14%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y9.21%
OCF growth 3Y10.12%
OCF growth 5Y7.71%
FORTIS INC / FTS FAQ
What is the fundamental rating for FTS stock?
ChartMill assigns a fundamental rating of 3 / 10 to FTS.
Can you provide the valuation status for FORTIS INC?
ChartMill assigns a valuation rating of 1 / 10 to FORTIS INC (FTS). This can be considered as Overvalued.
Can you provide the profitability details for FORTIS INC?
FORTIS INC (FTS) has a profitability rating of 5 / 10.
What is the valuation of FORTIS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for FORTIS INC (FTS) is 21.5 and the Price/Book (PB) ratio is 1.53.
How sustainable is the dividend of FORTIS INC (FTS) stock?
The dividend rating of FORTIS INC (FTS) is 6 / 10 and the dividend payout ratio is 50.83%.