NORTH WEST CO INC/THE (NWC.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:NWC - CA6632782083 - Common Stock
48.78 CAD
-0.22 (-0.45%)
We assign a fundamental rating of 6 out of 10 to NWC. NWC was compared to 17 industry peers in the Consumer Staples Distribution & Retail industry. NWC scores excellent points on both the profitability and health parts. This is a solid base for a good stock. NWC has a correct valuation and a medium growth rate. NWC also has an excellent dividend rating. These ratings would make NWC suitable for dividend investing!
1. Profitability
1.1 Basic Checks
NWC had positive earnings in the past year.
NWC had a positive operating cash flow in the past year.
NWC had positive earnings in each of the past 5 years.
NWC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of NWC (8.95%) is better than 100.00% of its industry peers.
Looking at the Return On Equity, with a value of 17.99%, NWC is in the better half of the industry, outperforming 64.71% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 12.16%, NWC belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
NWC had an Average Return On Invested Capital over the past 3 years of 12.75%. This is above the industry average of 8.35%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.95% | ||
| ROE | 17.99% | ||
| ROIC | 12.16% |
ROA(3y)9.13%
ROA(5y)10.37%
ROE(3y)18.7%
ROE(5y)22.41%
ROIC(3y)12.75%
ROIC(5y)14.69%
1.3 Margins
NWC has a Profit Margin of 5.51%. This is amongst the best in the industry. NWC outperforms 100.00% of its industry peers.
In the last couple of years the Profit Margin of NWC has grown nicely.
NWC has a Operating Margin of 8.27%. This is amongst the best in the industry. NWC outperforms 94.12% of its industry peers.
In the last couple of years the Operating Margin of NWC has grown nicely.
The Gross Margin of NWC (34.10%) is better than 76.47% of its industry peers.
NWC's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.27% | ||
| PM (TTM) | 5.51% | ||
| GM | 34.1% |
OM growth 3Y-4.74%
OM growth 5Y8.71%
PM growth 3Y-8.18%
PM growth 5Y6.18%
GM growth 3Y0.9%
GM growth 5Y1.22%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), NWC is creating some value.
The number of shares outstanding for NWC has been increased compared to 1 year ago.
Compared to 5 years ago, NWC has less shares outstanding
Compared to 1 year ago, NWC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.56 indicates that NWC is not in any danger for bankruptcy at the moment.
NWC has a Altman-Z score of 4.56. This is amongst the best in the industry. NWC outperforms 88.24% of its industry peers.
The Debt to FCF ratio of NWC is 4.12, which is a neutral value as it means it would take NWC, 4.12 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 4.12, NWC belongs to the top of the industry, outperforming 82.35% of the companies in the same industry.
A Debt/Equity ratio of 0.58 indicates that NWC is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.58, NWC belongs to the top of the industry, outperforming 88.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 4.12 | ||
| Altman-Z | 4.56 |
ROIC/WACC1.7
WACC7.17%
2.3 Liquidity
NWC has a Current Ratio of 2.26. This indicates that NWC is financially healthy and has no problem in meeting its short term obligations.
NWC has a better Current ratio (2.26) than 88.24% of its industry peers.
NWC has a Quick Ratio of 2.26. This is a bad value and indicates that NWC is not financially healthy enough and could expect problems in meeting its short term obligations.
NWC has a Quick ratio of 0.82. This is in the better half of the industry: NWC outperforms 70.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.26 | ||
| Quick Ratio | 0.82 |
3. Growth
3.1 Past
NWC shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.92%, which is quite good.
NWC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.41% yearly.
Looking at the last year, NWC shows a small growth in Revenue. The Revenue has grown by 2.08% in the last year.
NWC shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.23% yearly.
EPS 1Y (TTM)12.92%
EPS 3Y-0.66%
EPS 5Y15.41%
EPS Q2Q%4.34%
Revenue 1Y (TTM)2.08%
Revenue growth 3Y4.64%
Revenue growth 5Y4.23%
Sales Q2Q%-0.5%
3.2 Future
The Earnings Per Share is expected to grow by 10.12% on average over the next years. This is quite good.
The Revenue is expected to grow by 1.73% on average over the next years.
EPS Next Y21.13%
EPS Next 2Y14.83%
EPS Next 3Y10.12%
EPS Next 5YN/A
Revenue Next Year-2.51%
Revenue Next 2Y1.26%
Revenue Next 3Y1.73%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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
The Price/Earnings ratio is 14.83, which indicates a correct valuation of NWC.
76.47% of the companies in the same industry are more expensive than NWC, based on the Price/Earnings ratio.
NWC's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.84.
Based on the Price/Forward Earnings ratio of 12.29, the valuation of NWC can be described as correct.
Based on the Price/Forward Earnings ratio, NWC is valued a bit cheaper than 70.59% of the companies in the same industry.
NWC is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.40, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.83 | ||
| Fwd PE | 12.29 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of NWC is on the same level as its industry peers.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of NWC indicates a slightly more expensive valuation: NWC is more expensive than 64.71% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.08 | ||
| EV/EBITDA | 8.14 |
4.3 Compensation for Growth
NWC's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of NWC may justify a higher PE ratio.
PEG (NY)0.7
PEG (5Y)0.96
EPS Next 2Y14.83%
EPS Next 3Y10.12%
5. Dividend
5.1 Amount
NWC has a Yearly Dividend Yield of 3.35%. Purely for dividend investing, there may be better candidates out there.
NWC's Dividend Yield is a higher than the industry average which is at 2.30.
Compared to an average S&P500 Dividend Yield of 2.00, NWC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
5.2 History
The dividend of NWC has a limited annual growth rate of 3.72%.
NWC has been paying a dividend for at least 10 years, so it has a reliable track record.
NWC has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.72%
Div Incr Years6
Div Non Decr Years13
5.3 Sustainability
53.85% of the earnings are spent on dividend by NWC. This is a bit on the high side, but may be sustainable.
The dividend of NWC is growing, but earnings are growing more, so the dividend growth is sustainable.
DP53.85%
EPS Next 2Y14.83%
EPS Next 3Y10.12%
TSX:NWC (12/29/2025, 7:00:00 PM)
48.78
-0.22 (-0.45%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners33.73%
Inst Owner ChangeN/A
Ins Owners0.6%
Ins Owner ChangeN/A
Market Cap2.33B
Revenue(TTM)2.60B
Net Income(TTM)143.10M
Analysts80
Price Target59.67 (22.32%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.35% |
Yearly Dividend1.58
Dividend Growth(5Y)3.72%
DP53.85%
Div Incr Years6
Div Non Decr Years13
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.11%
Min EPS beat(2)1.84%
Max EPS beat(2)2.38%
EPS beat(4)4
Avg EPS beat(4)10.66%
Min EPS beat(4)1.84%
Max EPS beat(4)20.65%
EPS beat(8)6
Avg EPS beat(8)5.18%
EPS beat(12)9
Avg EPS beat(12)7.7%
EPS beat(16)12
Avg EPS beat(16)8.08%
Revenue beat(2)0
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-1.46%
Max Revenue beat(2)-0.21%
Revenue beat(4)0
Avg Revenue beat(4)-1.4%
Min Revenue beat(4)-2.68%
Max Revenue beat(4)-0.21%
Revenue beat(8)1
Avg Revenue beat(8)-1.33%
Revenue beat(12)5
Avg Revenue beat(12)-0.08%
Revenue beat(16)8
Avg Revenue beat(16)0.36%
PT rev (1m)-1.68%
PT rev (3m)-1.68%
EPS NQ rev (1m)-7.58%
EPS NQ rev (3m)-9.73%
EPS NY rev (1m)-9.07%
EPS NY rev (3m)-9.07%
Revenue NQ rev (1m)-1.86%
Revenue NQ rev (3m)-1.86%
Revenue NY rev (1m)-0.72%
Revenue NY rev (3m)-0.72%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.83 | ||
| Fwd PE | 12.29 | ||
| P/S | 0.9 | ||
| P/FCF | 20.08 | ||
| P/OCF | 8.92 | ||
| P/B | 2.93 | ||
| P/tB | 3.25 | ||
| EV/EBITDA | 8.14 |
EPS(TTM)3.29
EY6.74%
EPS(NY)3.97
Fwd EY8.14%
FCF(TTM)2.43
FCFY4.98%
OCF(TTM)5.47
OCFY11.21%
SpS54.41
BVpS16.66
TBVpS14.99
PEG (NY)0.7
PEG (5Y)0.96
Graham Number35.12
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.95% | ||
| ROE | 17.99% | ||
| ROCE | 16.12% | ||
| ROIC | 12.16% | ||
| ROICexc | 12.97% | ||
| ROICexgc | 13.85% | ||
| OM | 8.27% | ||
| PM (TTM) | 5.51% | ||
| GM | 34.1% | ||
| FCFM | 4.46% |
ROA(3y)9.13%
ROA(5y)10.37%
ROE(3y)18.7%
ROE(5y)22.41%
ROIC(3y)12.75%
ROIC(5y)14.69%
ROICexc(3y)13.44%
ROICexc(5y)15.62%
ROICexgc(3y)14.51%
ROICexgc(5y)17.1%
ROCE(3y)16.91%
ROCE(5y)19.48%
ROICexgc growth 3Y-10.73%
ROICexgc growth 5Y8.83%
ROICexc growth 3Y-9.9%
ROICexc growth 5Y9.37%
OM growth 3Y-4.74%
OM growth 5Y8.71%
PM growth 3Y-8.18%
PM growth 5Y6.18%
GM growth 3Y0.9%
GM growth 5Y1.22%
F-Score7
Asset Turnover1.62
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.58 | ||
| Debt/FCF | 4.12 | ||
| Debt/EBITDA | 1.37 | ||
| Cap/Depr | 121.26% | ||
| Cap/Sales | 5.58% | ||
| Interest Coverage | 11.76 | ||
| Cash Conversion | 78.01% | ||
| Profit Quality | 81.04% | ||
| Current Ratio | 2.26 | ||
| Quick Ratio | 0.82 | ||
| Altman-Z | 4.56 |
F-Score7
WACC7.17%
ROIC/WACC1.7
Cap/Depr(3y)120.95%
Cap/Depr(5y)109.59%
Cap/Sales(3y)5.22%
Cap/Sales(5y)4.6%
Profit Quality(3y)73.24%
Profit Quality(5y)98.42%
High Growth Momentum
Growth
EPS 1Y (TTM)12.92%
EPS 3Y-0.66%
EPS 5Y15.41%
EPS Q2Q%4.34%
EPS Next Y21.13%
EPS Next 2Y14.83%
EPS Next 3Y10.12%
EPS Next 5YN/A
Revenue 1Y (TTM)2.08%
Revenue growth 3Y4.64%
Revenue growth 5Y4.23%
Sales Q2Q%-0.5%
Revenue Next Year-2.51%
Revenue Next 2Y1.26%
Revenue Next 3Y1.73%
Revenue Next 5YN/A
EBIT growth 1Y7.2%
EBIT growth 3Y-0.32%
EBIT growth 5Y13.31%
EBIT Next Year48.9%
EBIT Next 3Y18.81%
EBIT Next 5Y12.43%
FCF growth 1Y9.09%
FCF growth 3Y-4.22%
FCF growth 5Y23.67%
OCF growth 1Y8.65%
OCF growth 3Y5.16%
OCF growth 5Y10.1%
NORTH WEST CO INC/THE / NWC.CA FAQ
Can you provide the ChartMill fundamental rating for NORTH WEST CO INC/THE?
ChartMill assigns a fundamental rating of 6 / 10 to NWC.CA.
What is the valuation status for NWC stock?
ChartMill assigns a valuation rating of 5 / 10 to NORTH WEST CO INC/THE (NWC.CA). This can be considered as Fairly Valued.
What is the profitability of NWC stock?
NORTH WEST CO INC/THE (NWC.CA) has a profitability rating of 8 / 10.
How financially healthy is NORTH WEST CO INC/THE?
The financial health rating of NORTH WEST CO INC/THE (NWC.CA) is 7 / 10.
Can you provide the expected EPS growth for NWC stock?
The Earnings per Share (EPS) of NORTH WEST CO INC/THE (NWC.CA) is expected to grow by 21.13% in the next year.