POWER CORP OF CANADA (POW.CA) Stock Fundamental Analysis
Canada - TSX:POW - CA7392391016 - Common Stock
66.72 CAD
+0.64 (+0.97%)
Taking everything into account, POW scores 4 out of 10 in our fundamental rating. POW was compared to 81 industry peers in the Insurance industry. Both the profitability and the financial health of POW get a neutral evaluation. Nothing too spectacular is happening here. POW does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
POW had positive earnings in the past year.
In the past year POW had a positive cash flow from operations.
POW had positive earnings in each of the past 5 years.
POW had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
POW's Return On Assets of 0.32% is on the low side compared to the rest of the industry. POW is outperformed by 80.25% of its industry peers.
Looking at the Return On Equity, with a value of 11.52%, POW is in line with its industry, outperforming 56.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.32% | ||
| ROE | 11.52% | ||
| 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
With a Profit Margin value of 7.64%, POW is not doing good in the industry: 74.07% of the companies in the same industry are doing better.
POW's Profit Margin has improved in the last couple of years.
With a Operating Margin value of 16.53%, POW perfoms like the industry average, outperforming 59.26% of the companies in the same industry.
POW's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.53% | ||
| PM (TTM) | 7.64% | ||
| 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.
The number of shares outstanding for POW has been reduced compared to 1 year ago.
The number of shares outstanding for POW has been increased compared to 5 years ago.
Compared to 1 year ago, POW has an improved debt to assets ratio.
2.2 Solvency
POW has a debt to FCF ratio of 4.70. This is a neutral value as POW would need 4.70 years to pay back of all of its debts.
The Debt to FCF ratio of POW (4.70) is worse than 98.77% of its industry peers.
A Debt/Equity ratio of 0.89 indicates that POW is somewhat dependend on debt financing.
POW has a worse Debt to Equity ratio (0.89) than 79.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 4.7 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC6.81%
2.3 Liquidity
A Current Ratio of 1.10 indicates that POW should not have too much problems paying its short term obligations.
POW has a Current ratio of 1.10. This is amongst the best in the industry. POW outperforms 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.
POW has a better Quick ratio (1.10) than 90.12% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 |
3. Growth
3.1 Past
POW shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.43%.
POW shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.94% yearly.
Looking at the last year, POW shows a quite strong growth in Revenue. The Revenue has grown by 8.52% in the last year.
Measured over the past years, POW shows a decrease in Revenue. The Revenue has been decreasing by -6.36% on average per year.
EPS 1Y (TTM)0.43%
EPS 3Y-2.58%
EPS 5Y7.94%
EPS Q2Q%17.95%
Revenue 1Y (TTM)8.52%
Revenue growth 3Y-20.33%
Revenue growth 5Y-6.36%
Sales Q2Q%-88.28%
3.2 Future
The Earnings Per Share is expected to grow by 7.03% on average over the next years.
POW is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -7.57% yearly.
EPS Next Y19.85%
EPS Next 2Y14.34%
EPS Next 3Y11.76%
EPS Next 5Y7.03%
Revenue Next Year-15.64%
Revenue Next 2Y-6.18%
Revenue Next 3Y-2.86%
Revenue Next 5Y-7.57%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.14, POW is valued correctly.
Based on the Price/Earnings ratio, POW is valued more expensive than 95.06% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.67. POW is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 11.57, the valuation of POW can be described as very reasonable.
Based on the Price/Forward Earnings ratio, POW is valued a bit more expensive than the industry average as 66.67% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of POW to the average of the S&P500 Index (31.86), we can say POW is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.14 | ||
| Fwd PE | 11.57 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, POW is valued expensively inside the industry as 85.19% of the companies are valued cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.56 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
POW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.71
PEG (5Y)1.78
EPS Next 2Y14.34%
EPS Next 3Y11.76%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.75%, POW has a reasonable but not impressive dividend return.
POW's Dividend Yield is comparable with the industry average which is at 3.90.
Compared to an average S&P500 Dividend Yield of 2.40, POW pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.75% |
5.2 History
On average, the dividend of POW grows each year by 6.51%, which is quite nice.
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)6.51%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
55.59% of the earnings are spent on dividend by POW. This is a bit on the high side, but may be sustainable.
POW's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP55.59%
EPS Next 2Y14.34%
EPS Next 3Y11.76%
TSX:POW (11/6/2025, 7:00:00 PM)
66.72
+0.64 (+0.97%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners31.02%
Inst Owner ChangeN/A
Ins Owners0.26%
Ins Owner ChangeN/A
Market Cap39.02B
Revenue(TTM)36.20B
Net Income(TTM)2.77B
Analysts71.67
Price Target62.8 (-5.88%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.75% |
Yearly Dividend2.3
Dividend Growth(5Y)6.51%
DP55.59%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1%
Min EPS beat(2)-3.96%
Max EPS beat(2)5.96%
EPS beat(4)1
Avg EPS beat(4)-8.38%
Min EPS beat(4)-26.72%
Max EPS beat(4)5.96%
EPS beat(8)3
Avg EPS beat(8)-0.97%
EPS beat(12)4
Avg EPS beat(12)-4.95%
EPS beat(16)5
Avg EPS beat(16)-4.78%
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)1.89%
PT rev (3m)10.51%
EPS NQ rev (1m)0.43%
EPS NQ rev (3m)3.52%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.71%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)-23.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.14 | ||
| Fwd PE | 11.57 | ||
| P/S | 1.08 | ||
| P/FCF | 8.56 | ||
| P/OCF | 7.23 | ||
| P/B | 1.63 | ||
| P/tB | 16.46 | ||
| EV/EBITDA | N/A |
EPS(TTM)4.72
EY7.07%
EPS(NY)5.77
Fwd EY8.64%
FCF(TTM)7.79
FCFY11.68%
OCF(TTM)9.23
OCFY13.83%
SpS61.9
BVpS41.03
TBVpS4.05
PEG (NY)0.71
PEG (5Y)1.78
Graham Number66.01
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.32% | ||
| ROE | 11.52% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 16.53% | ||
| PM (TTM) | 7.64% | ||
| GM | N/A | ||
| FCFM | 12.59% |
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-Score5
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 4.7 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | 2.32% | ||
| Interest Coverage | 4.58 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 164.81% | ||
| Current Ratio | 1.1 | ||
| Quick Ratio | 1.1 | ||
| Altman-Z | N/A |
F-Score5
WACC6.81%
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)0.43%
EPS 3Y-2.58%
EPS 5Y7.94%
EPS Q2Q%17.95%
EPS Next Y19.85%
EPS Next 2Y14.34%
EPS Next 3Y11.76%
EPS Next 5Y7.03%
Revenue 1Y (TTM)8.52%
Revenue growth 3Y-20.33%
Revenue growth 5Y-6.36%
Sales Q2Q%-88.28%
Revenue Next Year-15.64%
Revenue Next 2Y-6.18%
Revenue Next 3Y-2.86%
Revenue Next 5Y-7.57%
EBIT growth 1Y2.2%
EBIT growth 3Y6.3%
EBIT growth 5Y9.79%
EBIT Next Year39.15%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y102%
FCF growth 3Y-21.47%
FCF growth 5Y-5.17%
OCF growth 1Y57.87%
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 for POW 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.
Can you provide the financial health for POW stock?
The financial health rating of POWER CORP OF CANADA (POW.CA) is 4 / 10.
Is the dividend of POWER CORP OF CANADA sustainable?
The dividend rating of POWER CORP OF CANADA (POW.CA) is 6 / 10 and the dividend payout ratio is 55.59%.