PASON SYSTEMS INC (PSI.CA) Stock Fundamental Analysis
TSX:PSI - Toronto Stock Exchange - CA7029251088 - Common Stock - Currency: CAD
Taking everything into account, PSI scores 7 out of 10 in our fundamental rating. PSI was compared to 28 industry peers in the Energy Equipment & Services industry. PSI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. PSI has a correct valuation and a medium growth rate. Finally PSI also has an excellent dividend rating. These ratings could make PSI a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
In the past year PSI was profitable.
PSI had a positive operating cash flow in the past year.
In the past 5 years PSI has always been profitable.
PSI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
PSI has a Return On Assets of 19.27%. This is amongst the best in the industry. PSI outperforms 92.86% of its industry peers.
PSI has a Return On Equity of 23.50%. This is amongst the best in the industry. PSI outperforms 85.71% of its industry peers.
With an excellent Return On Invested Capital value of 14.85%, PSI belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
PSI had an Average Return On Invested Capital over the past 3 years of 18.16%. This is significantly above the industry average of 10.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.27% | ||
| ROE | 23.5% | ||
| ROIC | 14.85% |
ROA(3y)17.27%
ROA(5y)13.2%
ROE(3y)20.87%
ROE(5y)16.07%
ROIC(3y)18.16%
ROIC(5y)14.03%
1.3 Margins
Looking at the Profit Margin, with a value of 28.28%, PSI belongs to the top of the industry, outperforming 96.43% of the companies in the same industry.
In the last couple of years the Profit Margin of PSI has grown nicely.
PSI has a Operating Margin of 25.45%. This is amongst the best in the industry. PSI outperforms 96.43% of its industry peers.
In the last couple of years the Operating Margin of PSI has grown nicely.
With an excellent Gross Margin value of 49.52%, PSI belongs to the best of the industry, outperforming 96.43% of the companies in the same industry.
In the last couple of years the Gross Margin of PSI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.45% | ||
| PM (TTM) | 28.28% | ||
| GM | 49.52% |
OM growth 3Y243.9%
OM growth 5Y2.43%
PM growth 3Y84.37%
PM growth 5Y5.17%
GM growth 3Y24.83%
GM growth 5Y1.87%
2. Health
2.1 Basic Checks
PSI has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for PSI has been reduced compared to 1 year ago.
PSI has less shares outstanding than it did 5 years ago.
The debt/assets ratio for PSI is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.57 indicates that PSI is not in any danger for bankruptcy at the moment.
PSI has a better Altman-Z score (7.57) than 96.43% of its industry peers.
PSI has a debt to FCF ratio of 0.30. This is a very positive value and a sign of high solvency as it would only need 0.30 years to pay back of all of its debts.
PSI has a better Debt to FCF ratio (0.30) than 89.29% of its industry peers.
PSI has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
PSI's Debt to Equity ratio of 0.03 is amongst the best of the industry. PSI outperforms 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.3 | ||
| Altman-Z | 7.57 |
ROIC/WACC1.87
WACC7.94%
2.3 Liquidity
PSI has a Current Ratio of 2.59. This indicates that PSI is financially healthy and has no problem in meeting its short term obligations.
With an excellent Current ratio value of 2.59, PSI belongs to the best of the industry, outperforming 82.14% of the companies in the same industry.
PSI has a Quick Ratio of 2.35. This indicates that PSI is financially healthy and has no problem in meeting its short term obligations.
PSI has a better Quick ratio (2.35) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.59 | ||
| Quick Ratio | 2.35 |
3. Growth
3.1 Past
PSI shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -8.39%.
Measured over the past years, PSI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 10.82% on average per year.
Looking at the last year, PSI shows a small growth in Revenue. The Revenue has grown by 7.93% in the last year.
The Revenue has been growing slightly by 3.81% on average over the past years.
EPS 1Y (TTM)-8.39%
EPS 3Y147.98%
EPS 5Y10.82%
EPS Q2Q%-14.29%
Revenue 1Y (TTM)7.93%
Revenue growth 3Y33.11%
Revenue growth 5Y3.81%
Sales Q2Q%13.74%
3.2 Future
PSI is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.20% yearly.
Based on estimates for the next years, PSI will show a quite strong growth in Revenue. The Revenue will grow by 9.07% on average per year.
EPS Next Y26.87%
EPS Next 2Y-2.32%
EPS Next 3Y4.2%
EPS Next 5YN/A
Revenue Next Year12.61%
Revenue Next 2Y9.42%
Revenue Next 3Y9.07%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 8.47 indicates a reasonable valuation of PSI.
Compared to the rest of the industry, the Price/Earnings ratio of PSI indicates a somewhat cheap valuation: PSI is cheaper than 71.43% of the companies listed in the same industry.
PSI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.75.
The Price/Forward Earnings ratio is 10.33, which indicates a very decent valuation of PSI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of PSI is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.44. PSI is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.47 | ||
| Fwd PE | 10.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, PSI is valued a bit more expensive than 60.71% of the companies in the same industry.
PSI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.65 | ||
| EV/EBITDA | 6.05 |
4.3 Compensation for Growth
PSI'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 PSI may justify a higher PE ratio.
PEG (NY)0.32
PEG (5Y)0.78
EPS Next 2Y-2.32%
EPS Next 3Y4.2%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.03%, PSI is a good candidate for dividend investing.
PSI's Dividend Yield is rather good when compared to the industry average which is at 13.63. PSI pays more dividend than 89.29% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.30, PSI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
5.2 History
The dividend of PSI decreases each year by -7.33%.
PSI has been paying a dividend for at least 10 years, so it has a reliable track record.
PSI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-7.33%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
35.91% of the earnings are spent on dividend by PSI. This is a low number and sustainable payout ratio.
DP35.91%
EPS Next 2Y-2.32%
EPS Next 3Y4.2%
TSX:PSI (3/3/2025, 7:00:00 PM)
12.03
-0.28 (-2.27%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners46%
Inst Owner ChangeN/A
Ins Owners0.43%
Ins Owner ChangeN/A
Market Cap955.54M
Analysts77.78
Price Target18.16 (50.96%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.03% |
Yearly Dividend0.48
Dividend Growth(5Y)-7.33%
DP35.91%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-9.35%
Min EPS beat(2)-31.49%
Max EPS beat(2)12.8%
EPS beat(4)2
Avg EPS beat(4)22.95%
Min EPS beat(4)-62.98%
Max EPS beat(4)173.46%
EPS beat(8)6
Avg EPS beat(8)19.16%
EPS beat(12)10
Avg EPS beat(12)21.38%
EPS beat(16)14
Avg EPS beat(16)150.34%
Revenue beat(2)0
Avg Revenue beat(2)-1.5%
Min Revenue beat(2)-2.26%
Max Revenue beat(2)-0.75%
Revenue beat(4)1
Avg Revenue beat(4)0.34%
Min Revenue beat(4)-2.26%
Max Revenue beat(4)5.48%
Revenue beat(8)4
Avg Revenue beat(8)1.18%
Revenue beat(12)8
Avg Revenue beat(12)2.47%
Revenue beat(16)12
Avg Revenue beat(16)3.58%
PT rev (1m)-2.2%
PT rev (3m)-4.3%
EPS NQ rev (1m)0%
EPS NQ rev (3m)1.47%
EPS NY rev (1m)0%
EPS NY rev (3m)0.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.24%
Revenue NY rev (1m)0.13%
Revenue NY rev (3m)-0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.47 | ||
| Fwd PE | 10.33 | ||
| P/S | 2.39 | ||
| P/FCF | 18.65 | ||
| P/OCF | 8.33 | ||
| P/B | 1.99 | ||
| P/tB | 3.52 | ||
| EV/EBITDA | 6.05 |
EPS(TTM)1.42
EY11.8%
EPS(NY)1.16
Fwd EY9.68%
FCF(TTM)0.64
FCFY5.36%
OCF(TTM)1.45
OCFY12.01%
SpS5.03
BVpS6.06
TBVpS3.42
PEG (NY)0.32
PEG (5Y)0.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.27% | ||
| ROE | 23.5% | ||
| ROCE | 19.85% | ||
| ROIC | 14.85% | ||
| ROICexc | 17.35% | ||
| ROICexgc | 33.19% | ||
| OM | 25.45% | ||
| PM (TTM) | 28.28% | ||
| GM | 49.52% | ||
| FCFM | 12.81% |
ROA(3y)17.27%
ROA(5y)13.2%
ROE(3y)20.87%
ROE(5y)16.07%
ROIC(3y)18.16%
ROIC(5y)14.03%
ROICexc(3y)31.52%
ROICexc(5y)24.36%
ROICexgc(3y)38.14%
ROICexgc(5y)29.99%
ROCE(3y)24.28%
ROCE(5y)18.76%
ROICexcg growth 3Y290.33%
ROICexcg growth 5Y1.11%
ROICexc growth 3Y306.55%
ROICexc growth 5Y1.31%
OM growth 3Y243.9%
OM growth 5Y2.43%
PM growth 3Y84.37%
PM growth 5Y5.17%
GM growth 3Y24.83%
GM growth 5Y1.87%
F-Score4
Asset Turnover0.68
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.3 | ||
| Debt/EBITDA | 0.09 | ||
| Cap/Depr | 137.89% | ||
| Cap/Sales | 15.9% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 77.64% | ||
| Profit Quality | 45.31% | ||
| Current Ratio | 2.59 | ||
| Quick Ratio | 2.35 | ||
| Altman-Z | 7.57 |
F-Score4
WACC7.94%
ROIC/WACC1.87
Cap/Depr(3y)119.46%
Cap/Depr(5y)86.56%
Cap/Sales(3y)8.89%
Cap/Sales(5y)7.63%
Profit Quality(3y)107.14%
Profit Quality(5y)257.27%
High Growth Momentum
Growth
EPS 1Y (TTM)-8.39%
EPS 3Y147.98%
EPS 5Y10.82%
EPS Q2Q%-14.29%
EPS Next Y26.87%
EPS Next 2Y-2.32%
EPS Next 3Y4.2%
EPS Next 5YN/A
Revenue 1Y (TTM)7.93%
Revenue growth 3Y33.11%
Revenue growth 5Y3.81%
Sales Q2Q%13.74%
Revenue Next Year12.61%
Revenue Next 2Y9.42%
Revenue Next 3Y9.07%
Revenue Next 5YN/A
EBIT growth 1Y-29.16%
EBIT growth 3Y357.75%
EBIT growth 5Y6.33%
EBIT Next Year8.59%
EBIT Next 3Y12.68%
EBIT Next 5YN/A
FCF growth 1Y-43.13%
FCF growth 3Y20.8%
FCF growth 5Y2.47%
OCF growth 1Y2.91%
OCF growth 3Y32.08%
OCF growth 5Y4.72%