INNERGEX RENEWABLE ENERGY (INE.CA) Stock Fundamental Analysis
TSX:INE - Toronto Stock Exchange - CA45790B1040 - Common Stock - Currency: CAD
INE gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 40 industry peers in the Independent Power and Renewable Electricity Producers industry. INE may be in some trouble as it scores bad on both profitability and health. INE does not seem to be growing, but still is valued expensively. INE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year INE has reported negative net income.
In the past year INE had a positive cash flow from operations.
In the past 5 years INE always reported negative net income.
In the past 5 years INE always reported a positive cash flow from operatings.
1.2 Ratios
INE has a Return On Assets of -1.45%. This is in the lower half of the industry: INE underperforms 61.54% of its industry peers.
The Return On Equity of INE (-12.85%) is worse than 61.54% of its industry peers.
INE has a Return On Invested Capital of 2.68%. This is comparable to the rest of the industry: INE outperforms 53.85% of its industry peers.
The Average Return On Invested Capital over the past 3 years for INE is in line with the industry average of 4.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.45% | ||
| ROE | -12.85% | ||
| ROIC | 2.68% |
ROA(3y)-1.62%
ROA(5y)-1.18%
ROE(3y)-11.42%
ROE(5y)-8.74%
ROIC(3y)2.93%
ROIC(5y)2.75%
1.3 Margins
The Operating Margin of INE (29.65%) is better than 61.54% of its industry peers.
INE's Operating Margin has declined in the last couple of years.
With a decent Gross Margin value of 76.64%, INE is doing good in the industry, outperforming 76.92% of the companies in the same industry.
INE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.65% | ||
| PM (TTM) | N/A | ||
| GM | 76.64% |
OM growth 3Y2.21%
OM growth 5Y-4.18%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.39%
GM growth 5Y-1.18%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so INE is destroying value.
Compared to 1 year ago, INE has about the same amount of shares outstanding.
INE has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, INE has a worse debt to assets ratio.
2.2 Solvency
INE has an Altman-Z score of 0.03. This is a bad value and indicates that INE is not financially healthy and even has some risk of bankruptcy.
INE has a Altman-Z score (0.03) which is comparable to the rest of the industry.
INE has a Debt/Equity ratio of 5.54. This is a high value indicating a heavy dependency on external financing.
INE has a Debt to Equity ratio of 5.54. This is comparable to the rest of the industry: INE outperforms 50.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.54 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.03 |
ROIC/WACC0.61
WACC4.37%
2.3 Liquidity
INE has a Current Ratio of 0.56. This is a bad value and indicates that INE is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.56, INE is doing worse than 69.23% of the companies in the same industry.
INE has a Quick Ratio of 0.56. This is a bad value and indicates that INE is not financially healthy enough and could expect problems in meeting its short term obligations.
INE has a Quick ratio of 0.56. This is in the lower half of the industry: INE underperforms 65.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
INE shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.38%, which is quite good.
INE shows a small growth in Revenue. In the last year, the Revenue has grown by 3.96%.
Measured over the past years, INE shows a quite strong growth in Revenue. The Revenue has been growing by 16.69% on average per year.
EPS 1Y (TTM)15.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%100%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y19.32%
Revenue growth 5Y16.69%
Sales Q2Q%-11.49%
3.2 Future
INE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 119.48% yearly.
Based on estimates for the next years, INE will show a decrease in Revenue. The Revenue will decrease by -0.58% on average per year.
EPS Next Y-758.5%
EPS Next 2Y41.42%
EPS Next 3Y-71.57%
EPS Next 5Y119.48%
Revenue Next Year2.41%
Revenue Next 2Y7.79%
Revenue Next 3Y4.04%
Revenue Next 5Y-0.58%
3.3 Evolution
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
INE reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, INE is valued a bit more expensive than the industry average as 65.38% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.85 |
4.3 Compensation for Growth
INE's earnings are expected to decrease with -71.57% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y41.42%
EPS Next 3Y-71.57%
5. Dividend
5.1 Amount
INE has a Yearly Dividend Yield of 4.23%, which is a nice return.
Compared to an average industry Dividend Yield of 4.45, INE has a dividend in line with its industry peers.
INE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.23% |
5.2 History
The dividend of INE has a limited annual growth rate of 1.73%.
INE has been paying a dividend for at least 10 years, so it has a reliable track record.
INE has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.73%
Div Incr Years0
Div Non Decr Years13
5.3 Sustainability
INE has negative earnings and hence a negative payout ratio. The dividend may be in danger.
INE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-86.39%
EPS Next 2Y41.42%
EPS Next 3Y-71.57%
TSX:INE (2/21/2025, 7:00:00 PM)
8.95
+0.43 (+5.05%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryIndependent Power and Renewable Electricity Producers
Earnings (Last)
Earnings (Next)
Inst Owners36.62%
Inst Owner ChangeN/A
Ins Owners0.7%
Ins Owner ChangeN/A
Market Cap1.82B
Analysts73.85
Price Target11.58 (29.39%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.23% |
Yearly Dividend0.74
Dividend Growth(5Y)1.73%
DP-86.39%
Div Incr Years0
Div Non Decr Years13
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-198.32%
Min EPS beat(2)-494.65%
Max EPS beat(2)98.02%
EPS beat(4)1
Avg EPS beat(4)-110.19%
Min EPS beat(4)-494.65%
Max EPS beat(4)98.02%
EPS beat(8)1
Avg EPS beat(8)-107.03%
EPS beat(12)2
Avg EPS beat(12)-104.89%
EPS beat(16)4
Avg EPS beat(16)-62.07%
Revenue beat(2)0
Avg Revenue beat(2)-4.99%
Min Revenue beat(2)-6.27%
Max Revenue beat(2)-3.71%
Revenue beat(4)0
Avg Revenue beat(4)-3.31%
Min Revenue beat(4)-6.27%
Max Revenue beat(4)-0.02%
Revenue beat(8)2
Avg Revenue beat(8)-1.28%
Revenue beat(12)5
Avg Revenue beat(12)-0.46%
Revenue beat(16)6
Avg Revenue beat(16)-0.38%
PT rev (1m)-3.81%
PT rev (3m)-3.81%
EPS NQ rev (1m)6.68%
EPS NQ rev (3m)6.68%
EPS NY rev (1m)17.07%
EPS NY rev (3m)5.56%
Revenue NQ rev (1m)-1.05%
Revenue NQ rev (3m)-1.05%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | N/A | ||
| P/S | 1.78 | ||
| P/FCF | N/A | ||
| P/OCF | 6.91 | ||
| P/B | 1.76 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.85 |
EPS(TTM)-0.11
EYN/A
EPS(NY)0
Fwd EYN/A
FCF(TTM)-2.06
FCFYN/A
OCF(TTM)1.29
OCFY14.46%
SpS5.03
BVpS5.09
TBVpS-1.59
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.45% | ||
| ROE | -12.85% | ||
| ROCE | 3.72% | ||
| ROIC | 2.68% | ||
| ROICexc | 2.74% | ||
| ROICexgc | 3.3% | ||
| OM | 29.65% | ||
| PM (TTM) | N/A | ||
| GM | 76.64% | ||
| FCFM | N/A |
ROA(3y)-1.62%
ROA(5y)-1.18%
ROE(3y)-11.42%
ROE(5y)-8.74%
ROIC(3y)2.93%
ROIC(5y)2.75%
ROICexc(3y)2.99%
ROICexc(5y)2.82%
ROICexgc(3y)3.63%
ROICexgc(5y)3.38%
ROCE(3y)4.06%
ROCE(5y)3.82%
ROICexcg growth 3Y9.97%
ROICexcg growth 5Y4.22%
ROICexc growth 3Y9.56%
ROICexc growth 5Y4.28%
OM growth 3Y2.21%
OM growth 5Y-4.18%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.39%
GM growth 5Y-1.18%
F-Score6
Asset Turnover0.11
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.54 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 8.44 | ||
| Cap/Depr | 181.43% | ||
| Cap/Sales | 66.69% | ||
| Interest Coverage | 1.1 | ||
| Cash Conversion | 38.72% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.56 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 0.03 |
F-Score6
WACC4.37%
ROIC/WACC0.61
Cap/Depr(3y)107.71%
Cap/Depr(5y)197.83%
Cap/Sales(3y)37.35%
Cap/Sales(5y)70.01%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)15.38%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%100%
EPS Next Y-758.5%
EPS Next 2Y41.42%
EPS Next 3Y-71.57%
EPS Next 5Y119.48%
Revenue 1Y (TTM)3.96%
Revenue growth 3Y19.32%
Revenue growth 5Y16.69%
Sales Q2Q%-11.49%
Revenue Next Year2.41%
Revenue Next 2Y7.79%
Revenue Next 3Y4.04%
Revenue Next 5Y-0.58%
EBIT growth 1Y3.92%
EBIT growth 3Y21.95%
EBIT growth 5Y11.81%
EBIT Next Year136.69%
EBIT Next 3Y40.23%
EBIT Next 5Y27.75%
FCF growth 1Y-244.99%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-36.24%
OCF growth 3Y8.21%
OCF growth 5Y7.3%