POWER CORP OF CANADA (POW.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:POW - CA7392391016 - Common Stock
73.53 CAD
+1.6 (+2.22%)
POW gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 81 industry peers in the Insurance industry. POW has an average financial health and profitability rating. POW is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year POW was profitable.
In the past year POW had a positive cash flow from operations.
POW had positive earnings in each of the past 5 years.
Each year in the past 5 years POW had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 0.34%, POW is doing worse than 79.01% of the companies in the same industry.
Looking at the Return On Equity, with a value of 12.56%, POW is in the better half of the industry, outperforming 64.20% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.34% | ||
| ROE | 12.56% | ||
| ROIC | N/A |
ROA(3y)0.3%
ROA(5y)0.33%
ROE(3y)10.05%
ROE(5y)10.22%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
POW has a Profit Margin of 8.30%. This is in the lower half of the industry: POW underperforms 75.31% of its industry peers.
POW's Profit Margin has improved in the last couple of years.
POW has a Operating Margin (17.65%) which is in line with its industry peers.
In the last couple of years the Operating Margin of POW has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.65% | ||
| PM (TTM) | 8.3% | ||
| GM | N/A |
OM growth 3Y33.43%
OM growth 5Y17.24%
PM growth 3Y22.98%
PM growth 5Y28.01%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
POW does not have a ROIC to compare to the WACC, probably because it is not profitable.
POW has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, POW has more shares outstanding
POW has a better debt/assets ratio than last year.
2.2 Solvency
POW has a debt to FCF ratio of 3.94. This is a good value and a sign of high solvency as POW would need 3.94 years to pay back of all of its debts.
The Debt to FCF ratio of POW (3.94) is worse than 79.01% of its industry peers.
POW has a Debt/Equity ratio of 0.85. This is a neutral value indicating POW is somewhat dependend on debt financing.
The Debt to Equity ratio of POW (0.85) is worse than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 3.94 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC6.84%
2.3 Liquidity
POW has a Current Ratio of 1.10. This is a normal value and indicates that POW is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of POW (1.10) is better than 90.12% of its industry peers.
A Quick Ratio of 1.10 indicates that POW should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.10, POW belongs to the top of the industry, outperforming 90.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 30.10% over the past year.
Measured over the past 5 years, POW shows a small growth in Earnings Per Share. The EPS has been growing by 7.94% on average per year.
POW shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.51%.
POW shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -6.36% yearly.
EPS 1Y (TTM)30.1%
EPS 3Y-2.58%
EPS 5Y7.94%
EPS Q2Q%60.71%
Revenue 1Y (TTM)11.51%
Revenue growth 3Y-20.33%
Revenue growth 5Y-6.36%
Sales Q2Q%-80.98%
3.2 Future
Based on estimates for the next years, POW will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.16% on average per year.
Based on estimates for the next years, POW will show a decrease in Revenue. The Revenue will decrease by -7.27% on average per year.
EPS Next Y21.91%
EPS Next 2Y17.02%
EPS Next 3Y14.62%
EPS Next 5Y8.16%
Revenue Next Year-14.76%
Revenue Next 2Y-6.03%
Revenue Next 3Y-2.59%
Revenue Next 5Y-7.27%
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.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.06, POW is valued correctly.
Based on the Price/Earnings ratio, POW is valued a bit more expensive than the industry average as 74.07% of the companies are valued more cheaply.
When comparing the Price/Earnings ratio of POW to the average of the S&P500 Index (26.87), we can say POW is valued slightly cheaper.
The Price/Forward Earnings ratio is 12.17, which indicates a correct valuation of POW.
POW's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. POW is more expensive than 64.20% of the companies in the same industry.
POW's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.06 | ||
| Fwd PE | 12.17 |
4.2 Price Multiples
POW's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. POW is more expensive than 65.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.08 | ||
| EV/EBITDA | N/A |
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.
POW's earnings are expected to grow with 14.62% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.64
PEG (5Y)1.77
EPS Next 2Y17.02%
EPS Next 3Y14.62%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.58%, POW is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.57, POW has a dividend in line with its industry peers.
POW's Dividend Yield is rather good when compared to the S&P500 average which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.58% |
5.2 History
The dividend of POW is nicely growing with an annual growth rate of 8.41%!
POW has paid a dividend for at least 10 years, which is a reliable track record.
POW has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)8.41%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
POW pays out 50.53% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of POW is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP50.53%
EPS Next 2Y17.02%
EPS Next 3Y14.62%
TSX:POW (1/5/2026, 7:00:00 PM)
73.53
+1.6 (+2.22%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners31.99%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap42.84B
Revenue(TTM)37.33B
Net Income(TTM)3.10B
Analysts69.23
Price Target73.31 (-0.3%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.58% |
Yearly Dividend2.51
Dividend Growth(5Y)8.41%
DP50.53%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.3%
Min EPS beat(2)0.64%
Max EPS beat(2)5.96%
EPS beat(4)2
Avg EPS beat(4)-1.54%
Min EPS beat(4)-8.81%
Max EPS beat(4)5.96%
EPS beat(8)3
Avg EPS beat(8)-5.89%
EPS beat(12)5
Avg EPS beat(12)-2.53%
EPS beat(16)5
Avg EPS beat(16)-5.57%
Revenue beat(2)N/A
Avg Revenue beat(2)N/A
Min Revenue beat(2)N/A
Max Revenue beat(2)N/A
Revenue beat(4)N/A
Avg Revenue beat(4)N/A
Min Revenue beat(4)N/A
Max Revenue beat(4)N/A
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)2.68%
PT rev (3m)18.94%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.25%
EPS NY rev (1m)0%
EPS NY rev (3m)1.73%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.06 | ||
| Fwd PE | 12.17 | ||
| P/S | 1.15 | ||
| P/FCF | 8.08 | ||
| P/OCF | 6.85 | ||
| P/B | 1.74 | ||
| P/tB | 15.11 | ||
| EV/EBITDA | N/A |
EPS(TTM)5.23
EY7.11%
EPS(NY)6.04
Fwd EY8.21%
FCF(TTM)9.1
FCFY12.37%
OCF(TTM)10.74
OCFY14.6%
SpS64.08
BVpS42.31
TBVpS4.87
PEG (NY)0.64
PEG (5Y)1.77
Graham Number70.56
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.34% | ||
| ROE | 12.56% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 17.65% | ||
| PM (TTM) | 8.3% | ||
| GM | N/A | ||
| FCFM | 14.2% |
ROA(3y)0.3%
ROA(5y)0.33%
ROE(3y)10.05%
ROE(5y)10.22%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)0.7%
ROCE(5y)0.71%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y33.43%
OM growth 5Y17.24%
PM growth 3Y22.98%
PM growth 5Y28.01%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.85 | ||
| Debt/FCF | 3.94 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 2.56% | ||
| Interest Coverage | 5.54 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 171.17% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | N/A |
F-Score8
WACC6.84%
ROIC/WACCN/A
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)2.61%
Cap/Sales(5y)N/A
Profit Quality(3y)250.74%
Profit Quality(5y)323.66%
High Growth Momentum
Growth
EPS 1Y (TTM)30.1%
EPS 3Y-2.58%
EPS 5Y7.94%
EPS Q2Q%60.71%
EPS Next Y21.91%
EPS Next 2Y17.02%
EPS Next 3Y14.62%
EPS Next 5Y8.16%
Revenue 1Y (TTM)11.51%
Revenue growth 3Y-20.33%
Revenue growth 5Y-6.36%
Sales Q2Q%-80.98%
Revenue Next Year-14.76%
Revenue Next 2Y-6.03%
Revenue Next 3Y-2.59%
Revenue Next 5Y-7.27%
EBIT growth 1Y24.39%
EBIT growth 3Y6.3%
EBIT growth 5Y9.79%
EBIT Next Year39.15%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y310.61%
FCF growth 3Y-21.47%
FCF growth 5Y-5.17%
OCF growth 1Y160.41%
OCF growth 3Y-18.64%
OCF growth 5Y-2.11%
POWER CORP OF CANADA / POW.CA FAQ
Can you provide the ChartMill fundamental rating for POWER CORP OF CANADA?
ChartMill assigns a fundamental rating of 4 / 10 to POW.CA.
What is the valuation status of POWER CORP OF CANADA (POW.CA) stock?
ChartMill assigns a valuation rating of 3 / 10 to POWER CORP OF CANADA (POW.CA). This can be considered as Overvalued.
What is the profitability of POW stock?
POWER CORP OF CANADA (POW.CA) has a profitability rating of 4 / 10.
What are the PE and PB ratios of POWER CORP OF CANADA (POW.CA) stock?
The Price/Earnings (PE) ratio for POWER CORP OF CANADA (POW.CA) is 14.06 and the Price/Book (PB) ratio is 1.74.
Can you provide the expected EPS growth for POW stock?
The Earnings per Share (EPS) of POWER CORP OF CANADA (POW.CA) is expected to grow by 21.91% in the next year.