SECURE WASTE INFRASTRUCTURE (SES.CA) Stock Fundamental Analysis
TSX:SES - Toronto Stock Exchange - CA8139211038 - Common Stock - Currency: CAD
Overall SES gets a fundamental rating of 6 out of 10. We evaluated SES against 210 industry peers in the Oil, Gas & Consumable Fuels industry. Both the health and profitability get an excellent rating, making SES a very profitable company, without any liquidiy or solvency issues. SES has a decent growth rate and is not valued too expensively. This makes SES very considerable for quality investing!
1. Profitability
1.1 Basic Checks
SES had positive earnings in the past year.
In the past year SES had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: SES reported negative net income in multiple years.
In the past 5 years SES always reported a positive cash flow from operatings.
1.2 Ratios
SES's Return On Assets of 25.75% is amongst the best of the industry. SES outperforms 97.14% of its industry peers.
With an excellent Return On Equity value of 63.66%, SES belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
SES has a better Return On Invested Capital (14.99%) than 95.71% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SES is significantly above the industry average of 7.31%.
The 3 year average ROIC (12.50%) for SES is below the current ROIC(14.99%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.75% | ||
| ROE | 63.66% | ||
| ROIC | 14.99% |
ROA(3y)12.95%
ROA(5y)5.15%
ROE(3y)28.94%
ROE(5y)11.22%
ROIC(3y)12.5%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of SES (4.64%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of SES has grown nicely.
Looking at the Operating Margin, with a value of 2.54%, SES is in line with its industry, outperforming 46.19% of the companies in the same industry.
In the last couple of years the Operating Margin of SES has grown nicely.
The Gross Margin of SES (3.96%) is worse than 60.00% of its industry peers.
SES's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.54% | ||
| PM (TTM) | 4.64% | ||
| GM | 3.96% |
OM growth 3Y-0.69%
OM growth 5Y26.32%
PM growth 3YN/A
PM growth 5Y153.2%
GM growth 3Y-10.11%
GM growth 5Y-0.77%
2. Health
2.1 Basic Checks
SES has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
SES has less shares outstanding than it did 1 year ago.
SES has more shares outstanding than it did 5 years ago.
SES has a better debt/assets ratio than last year.
2.2 Solvency
SES has an Altman-Z score of 7.56. This indicates that SES is financially healthy and has little risk of bankruptcy at the moment.
SES has a Altman-Z score of 7.56. This is amongst the best in the industry. SES outperforms 88.57% of its industry peers.
The Debt to FCF ratio of SES is 1.63, which is an excellent value as it means it would take SES, only 1.63 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 1.63, SES belongs to the best of the industry, outperforming 86.19% of the companies in the same industry.
SES has a Debt/Equity ratio of 0.70. This is a neutral value indicating SES is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.70, SES is doing worse than 60.95% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for SES, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 1.63 | ||
| Altman-Z | 7.56 |
ROIC/WACC2
WACC7.51%
2.3 Liquidity
A Current Ratio of 1.00 indicates that SES should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.00, SES is in the better half of the industry, outperforming 62.38% of the companies in the same industry.
SES has a Quick Ratio of 1.00. This is a bad value and indicates that SES is not financially healthy enough and could expect problems in meeting its short term obligations.
SES's Quick ratio of 0.77 is in line compared to the rest of the industry. SES outperforms 59.05% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
SES shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -58.25%.
Measured over the past years, SES shows a very strong growth in Earnings Per Share. The EPS has been growing by 121.24% on average per year.
The Revenue has grown by 45.56% in the past year. This is a very strong growth!
The Revenue has been growing by 28.44% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-58.25%
EPS 3YN/A
EPS 5Y121.24%
EPS Q2Q%-89.12%
Revenue 1Y (TTM)45.56%
Revenue growth 3Y41.51%
Revenue growth 5Y28.44%
Sales Q2Q%3.06%
3.2 Future
SES is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -13.61% yearly.
SES is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.83% yearly.
EPS Next Y-53.03%
EPS Next 2Y-27.94%
EPS Next 3Y-13.61%
EPS Next 5YN/A
Revenue Next Year6.5%
Revenue Next 2Y5.81%
Revenue Next 3Y6.5%
Revenue Next 5Y10.83%
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 decreasing.
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
Based on the Price/Earnings ratio of 19.48, the valuation of SES can be described as rather expensive.
The rest of the industry has a similar Price/Earnings ratio as SES.
Compared to an average S&P500 Price/Earnings ratio of 27.45, SES is valued a bit cheaper.
A Price/Forward Earnings ratio of 14.33 indicates a correct valuation of SES.
The rest of the industry has a similar Price/Forward Earnings ratio as SES.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.90, SES is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.48 | ||
| Fwd PE | 14.33 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SES is valued a bit cheaper than the industry average as 65.71% of the companies are valued more expensively.
SES's Price/Free Cash Flow ratio is rather cheap when compared to the industry. SES is cheaper than 84.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.37 | ||
| EV/EBITDA | 8.33 |
4.3 Compensation for Growth
SES has a very decent profitability rating, which may justify a higher PE ratio.
SES's earnings are expected to decrease with -13.61% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.16
EPS Next 2Y-27.94%
EPS Next 3Y-13.61%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.60%, SES has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 6.19, SES pays a bit more dividend than its industry peers.
SES's Dividend Yield is comparable with the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.6% |
5.2 History
On average, the dividend of SES grows each year by 7.92%, which is quite nice.
SES has been paying a dividend for at least 10 years, so it has a reliable track record.
SES has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)7.92%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
SES pays out 15.97% of its income as dividend. This is a sustainable payout ratio.
DP15.97%
EPS Next 2Y-27.94%
EPS Next 3Y-13.61%
TSX:SES (7/3/2025, 7:00:00 PM)
15.78
+0.21 (+1.35%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners52.22%
Inst Owner ChangeN/A
Ins Owners1.84%
Ins Owner ChangeN/A
Market Cap3.64B
Analysts77.14
Price Target17.65 (11.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.6% |
Yearly Dividend0.4
Dividend Growth(5Y)7.92%
DP15.97%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-35.15%
Min EPS beat(2)-37.7%
Max EPS beat(2)-32.59%
EPS beat(4)1
Avg EPS beat(4)-1.69%
Min EPS beat(4)-37.7%
Max EPS beat(4)75.52%
EPS beat(8)4
Avg EPS beat(8)118.95%
EPS beat(12)6
Avg EPS beat(12)93.63%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-3.18%
Min Revenue beat(2)-11%
Max Revenue beat(2)4.65%
Revenue beat(4)3
Avg Revenue beat(4)4.67%
Min Revenue beat(4)-11%
Max Revenue beat(4)17.9%
Revenue beat(8)7
Avg Revenue beat(8)4.32%
Revenue beat(12)11
Avg Revenue beat(12)146.93%
Revenue beat(16)15
Avg Revenue beat(16)200.29%
PT rev (1m)0.13%
PT rev (3m)-6.63%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-10.47%
EPS NY rev (1m)0%
EPS NY rev (3m)-1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-2.93%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.48 | ||
| Fwd PE | 14.33 | ||
| P/S | 0.27 | ||
| P/FCF | 8.37 | ||
| P/OCF | 6.17 | ||
| P/B | 3.74 | ||
| P/tB | 5.75 | ||
| EV/EBITDA | 8.33 |
EPS(TTM)0.81
EY5.13%
EPS(NY)1.1
Fwd EY6.98%
FCF(TTM)1.88
FCFY11.94%
OCF(TTM)2.56
OCFY16.19%
SpS57.92
BVpS4.22
TBVpS2.75
PEG (NY)N/A
PEG (5Y)0.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 25.75% | ||
| ROE | 63.66% | ||
| ROCE | 19.03% | ||
| ROIC | 14.99% | ||
| ROICexc | 15.16% | ||
| ROICexgc | 18.79% | ||
| OM | 2.54% | ||
| PM (TTM) | 4.64% | ||
| GM | 3.96% | ||
| FCFM | 3.25% |
ROA(3y)12.95%
ROA(5y)5.15%
ROE(3y)28.94%
ROE(5y)11.22%
ROIC(3y)12.5%
ROIC(5y)N/A
ROICexc(3y)12.62%
ROICexc(5y)N/A
ROICexgc(3y)15.28%
ROICexgc(5y)N/A
ROCE(3y)15.88%
ROCE(5y)N/A
ROICexcg growth 3Y64.69%
ROICexcg growth 5Y64.56%
ROICexc growth 3Y66%
ROICexc growth 5Y59.12%
OM growth 3Y-0.69%
OM growth 5Y26.32%
PM growth 3YN/A
PM growth 5Y153.2%
GM growth 3Y-10.11%
GM growth 5Y-0.77%
F-Score5
Asset Turnover5.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.7 | ||
| Debt/FCF | 1.63 | ||
| Debt/EBITDA | 1.33 | ||
| Cap/Depr | 89.6% | ||
| Cap/Sales | 1.16% | ||
| Interest Coverage | 8.27 | ||
| Cash Conversion | 115.23% | ||
| Profit Quality | 70.16% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 7.56 |
F-Score5
WACC7.51%
ROIC/WACC2
Cap/Depr(3y)77.13%
Cap/Depr(5y)61.14%
Cap/Sales(3y)1.64%
Cap/Sales(5y)1.99%
Profit Quality(3y)116.66%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-58.25%
EPS 3YN/A
EPS 5Y121.24%
EPS Q2Q%-89.12%
EPS Next Y-53.03%
EPS Next 2Y-27.94%
EPS Next 3Y-13.61%
EPS Next 5YN/A
Revenue 1Y (TTM)45.56%
Revenue growth 3Y41.51%
Revenue growth 5Y28.44%
Sales Q2Q%3.06%
Revenue Next Year6.5%
Revenue Next 2Y5.81%
Revenue Next 3Y6.5%
Revenue Next 5Y10.83%
EBIT growth 1Y-2.59%
EBIT growth 3Y40.53%
EBIT growth 5Y62.24%
EBIT Next Year128.59%
EBIT Next 3Y37.61%
EBIT Next 5Y25.93%
FCF growth 1Y55.91%
FCF growth 3Y127.08%
FCF growth 5Y36.82%
OCF growth 1Y44.61%
OCF growth 3Y88.67%
OCF growth 5Y20.38%