NORTH AMERICAN CONSTRUCTION (NOA.CA) Stock Fundamental Analysis
TSX:NOA - Toronto Stock Exchange - CA6568111067 - Common Stock - Currency: CAD
Overall NOA gets a fundamental rating of 5 out of 10. We evaluated NOA against 28 industry peers in the Energy Equipment & Services industry. There are concerns on the financial health of NOA while its profitability can be described as average. NOA has both an excellent growth and valuation score. This means it is growing and it is still cheap. This is a rare combination!
1. Profitability
1.1 Basic Checks
NOA had positive earnings in the past year.
In the past year NOA had a positive cash flow from operations.
NOA had positive earnings in 4 of the past 5 years.
Of the past 5 years NOA 4 years had a positive operating cash flow.
1.2 Ratios
The Return On Assets of NOA (3.36%) is comparable to the rest of the industry.
The Return On Equity of NOA (14.52%) is better than 64.29% of its industry peers.
NOA's Return On Invested Capital of 9.86% is fine compared to the rest of the industry. NOA outperforms 60.71% of its industry peers.
The Average Return On Invested Capital over the past 3 years for NOA is below the industry average of 10.77%.
The last Return On Invested Capital (9.86%) for NOA is above the 3 year average (5.87%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 14.52% | ||
| ROIC | 9.86% |
ROA(3y)5.62%
ROA(5y)5.48%
ROE(3y)19.4%
ROE(5y)19.69%
ROIC(3y)5.87%
ROIC(5y)5.78%
1.3 Margins
With a Profit Margin value of 4.80%, NOA perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
NOA's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 15.06%, NOA belongs to the best of the industry, outperforming 89.29% of the companies in the same industry.
In the last couple of years the Operating Margin of NOA has grown nicely.
Looking at the Gross Margin, with a value of 19.68%, NOA is in line with its industry, outperforming 46.43% of the companies in the same industry.
In the last couple of years the Gross Margin of NOA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.06% | ||
| PM (TTM) | 4.8% | ||
| GM | 19.68% |
OM growth 3Y8.46%
OM growth 5Y5.74%
PM growth 3Y-12.58%
PM growth 5Y12.09%
GM growth 3Y6.19%
GM growth 5Y-0.89%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so NOA is still creating some value.
NOA has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
NOA has an Altman-Z score of 1.52. This is a bad value and indicates that NOA is not financially healthy and even has some risk of bankruptcy.
NOA's Altman-Z score of 1.52 is in line compared to the rest of the industry. NOA outperforms 42.86% of its industry peers.
NOA has a Debt/Equity ratio of 1.85. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of NOA (1.85) is worse than 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.52 |
ROIC/WACC1.22
WACC8.05%
2.3 Liquidity
NOA has a Current Ratio of 1.13. This is a normal value and indicates that NOA is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.13, NOA is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
NOA has a Quick Ratio of 1.13. This is a bad value and indicates that NOA is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.88, NOA is not doing good in the industry: 78.57% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.88 |
3. Growth
3.1 Past
NOA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.26%, which is quite good.
Measured over the past years, NOA shows a very strong growth in Earnings Per Share. The EPS has been growing by 40.98% on average per year.
NOA shows a strong growth in Revenue. In the last year, the Revenue has grown by 36.41%.
The Revenue has been growing by 18.48% on average over the past years. This is quite good.
EPS 1Y (TTM)17.26%
EPS 3Y17.07%
EPS 5Y40.98%
EPS Q2Q%116.67%
Revenue 1Y (TTM)36.41%
Revenue growth 3Y24.3%
Revenue growth 5Y18.48%
Sales Q2Q%42.69%
3.2 Future
Based on estimates for the next years, NOA will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.56% on average per year.
NOA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.58% yearly.
EPS Next Y21.83%
EPS Next 2Y19.93%
EPS Next 3Y12.56%
EPS Next 5YN/A
Revenue Next Year25.27%
Revenue Next 2Y16.58%
Revenue Next 3Y12.58%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 6.76 indicates a rather cheap valuation of NOA.
Based on the Price/Earnings ratio, NOA is valued cheaper than 85.71% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.75, NOA is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 5.96, the valuation of NOA can be described as very cheap.
82.14% of the companies in the same industry are more expensive than NOA, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of NOA to the average of the S&P500 Index (22.44), we can say NOA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.76 | ||
| Fwd PE | 5.96 |
4.2 Price Multiples
NOA's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 4.13 |
4.3 Compensation for Growth
NOA's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
NOA has a very decent profitability rating, which may justify a higher PE ratio.
NOA's earnings are expected to grow with 12.56% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.31
PEG (5Y)0.16
EPS Next 2Y19.93%
EPS Next 3Y12.56%
5. Dividend
5.1 Amount
NOA has a Yearly Dividend Yield of 1.87%.
Compared to an average industry Dividend Yield of 13.63, NOA pays a bit more dividend than its industry peers.
NOA's Dividend Yield is comparable with the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
5.2 History
The dividend of NOA is nicely growing with an annual growth rate of 36.56%!
NOA has been paying a dividend for at least 10 years, so it has a reliable track record.
NOA has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)36.56%
Div Incr Years3
Div Non Decr Years10
5.3 Sustainability
18.68% of the earnings are spent on dividend by NOA. This is a low number and sustainable payout ratio.
NOA's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP18.68%
EPS Next 2Y19.93%
EPS Next 3Y12.56%
TSX:NOA (3/3/2025, 7:00:00 PM)
24.33
-1.09 (-4.29%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners79.18%
Inst Owner ChangeN/A
Ins Owners10.03%
Ins Owner ChangeN/A
Market Cap675.89M
Analysts82.5
Price Target41.97 (72.5%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
Yearly Dividend0.38
Dividend Growth(5Y)36.56%
DP18.68%
Div Incr Years3
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-5.57%
Min EPS beat(2)-16.96%
Max EPS beat(2)5.82%
EPS beat(4)2
Avg EPS beat(4)-1.02%
Min EPS beat(4)-16.96%
Max EPS beat(4)19.73%
EPS beat(8)5
Avg EPS beat(8)10.54%
EPS beat(12)6
Avg EPS beat(12)2.23%
EPS beat(16)9
Avg EPS beat(16)5.52%
Revenue beat(2)0
Avg Revenue beat(2)-13.21%
Min Revenue beat(2)-16.8%
Max Revenue beat(2)-9.63%
Revenue beat(4)0
Avg Revenue beat(4)-9.15%
Min Revenue beat(4)-16.8%
Max Revenue beat(4)-4.76%
Revenue beat(8)2
Avg Revenue beat(8)-4.56%
Revenue beat(12)3
Avg Revenue beat(12)-4.24%
Revenue beat(16)5
Avg Revenue beat(16)-3.18%
PT rev (1m)3.37%
PT rev (3m)0.35%
EPS NQ rev (1m)-2.37%
EPS NQ rev (3m)-19.84%
EPS NY rev (1m)-0.13%
EPS NY rev (3m)-9.92%
Revenue NQ rev (1m)-1.02%
Revenue NQ rev (3m)-6.89%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-1.88%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.76 | ||
| Fwd PE | 5.96 | ||
| P/S | 0.57 | ||
| P/FCF | N/A | ||
| P/OCF | 2.41 | ||
| P/B | 1.72 | ||
| P/tB | 1.77 | ||
| EV/EBITDA | 4.13 |
EPS(TTM)3.6
EY14.8%
EPS(NY)4.08
Fwd EY16.79%
FCF(TTM)-0.61
FCFYN/A
OCF(TTM)10.08
OCFY41.42%
SpS42.71
BVpS14.11
TBVpS13.75
PEG (NY)0.31
PEG (5Y)0.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.36% | ||
| ROE | 14.52% | ||
| ROCE | 12.86% | ||
| ROIC | 9.86% | ||
| ROICexc | 10.44% | ||
| ROICexgc | 10.52% | ||
| OM | 15.06% | ||
| PM (TTM) | 4.8% | ||
| GM | 19.68% | ||
| FCFM | N/A |
ROA(3y)5.62%
ROA(5y)5.48%
ROE(3y)19.4%
ROE(5y)19.69%
ROIC(3y)5.87%
ROIC(5y)5.78%
ROICexc(3y)6.29%
ROICexc(5y)6.09%
ROICexgc(3y)6.35%
ROICexgc(5y)6.12%
ROCE(3y)7.67%
ROCE(5y)7.54%
ROICexcg growth 3Y14.26%
ROICexcg growth 5Y7.39%
ROICexc growth 3Y14.03%
ROICexc growth 5Y7.25%
OM growth 3Y8.46%
OM growth 5Y5.74%
PM growth 3Y-12.58%
PM growth 5Y12.09%
GM growth 3Y6.19%
GM growth 5Y-0.89%
F-Score5
Asset Turnover0.7
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.11 | ||
| Cap/Depr | 181.13% | ||
| Cap/Sales | 25.02% | ||
| Interest Coverage | 3.91 | ||
| Cash Conversion | 81.71% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.13 | ||
| Quick Ratio | 0.88 | ||
| Altman-Z | 1.52 |
F-Score5
WACC8.05%
ROIC/WACC1.22
Cap/Depr(3y)118.98%
Cap/Depr(5y)128.61%
Cap/Sales(3y)17.88%
Cap/Sales(5y)19.81%
Profit Quality(3y)95.32%
Profit Quality(5y)69.34%
High Growth Momentum
Growth
EPS 1Y (TTM)17.26%
EPS 3Y17.07%
EPS 5Y40.98%
EPS Q2Q%116.67%
EPS Next Y21.83%
EPS Next 2Y19.93%
EPS Next 3Y12.56%
EPS Next 5YN/A
Revenue 1Y (TTM)36.41%
Revenue growth 3Y24.3%
Revenue growth 5Y18.48%
Sales Q2Q%42.69%
Revenue Next Year25.27%
Revenue Next 2Y16.58%
Revenue Next 3Y12.58%
Revenue Next 5YN/A
EBIT growth 1Y118.95%
EBIT growth 3Y34.81%
EBIT growth 5Y25.28%
EBIT Next Year224.88%
EBIT Next 3Y54.3%
EBIT Next 5Y37.99%
FCF growth 1Y-138.76%
FCF growth 3Y31.82%
FCF growth 5Y19.1%
OCF growth 1Y78.3%
OCF growth 3Y22.65%
OCF growth 5Y19.84%