STANTEC INC (STN.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:STN - CA85472N1096 - Common Stock
139.18 CAD
+1.24 (+0.9%)
Overall STN gets a fundamental rating of 6 out of 10. We evaluated STN against 9 industry peers in the Construction & Engineering industry. While STN belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. STN is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings would make STN suitable for growth investing!
1. Profitability
1.1 Basic Checks
- In the past year STN was profitable.
- STN had a positive operating cash flow in the past year.
- Each year in the past 5 years STN has been profitable.
- Each year in the past 5 years STN had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 5.95%, STN is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 14.97%, STN is in line with its industry, outperforming 55.56% of the companies in the same industry.
- The Return On Invested Capital of STN (9.44%) is better than 66.67% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for STN is significantly below the industry average of 71.07%.
- The last Return On Invested Capital (9.44%) for STN is above the 3 year average (8.26%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.95% | ||
| ROE | 14.97% | ||
| ROIC | 9.44% |
ROA(3y)5.02%
ROA(5y)4.56%
ROE(3y)12%
ROE(5y)10.98%
ROIC(3y)8.26%
ROIC(5y)7.69%
1.3 Margins
- The Profit Margin of STN (7.63%) is better than 77.78% of its industry peers.
- In the last couple of years the Profit Margin of STN has grown nicely.
- The Operating Margin of STN (11.23%) is better than 100.00% of its industry peers.
- STN's Operating Margin has improved in the last couple of years.
- STN's Gross Margin of 54.46% is amongst the best of the industry. STN outperforms 88.89% of its industry peers.
- STN's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.23% | ||
| PM (TTM) | 7.63% | ||
| GM | 54.46% |
OM growth 3Y4.91%
OM growth 5Y1.76%
PM growth 3Y3.74%
PM growth 5Y3.3%
GM growth 3Y0.35%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so STN is still creating some value.
- The number of shares outstanding for STN remains at a similar level compared to 1 year ago.
- The number of shares outstanding for STN has been increased compared to 5 years ago.
- Compared to 1 year ago, STN has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 3.40 indicates that STN is not in any danger for bankruptcy at the moment.
- STN has a better Altman-Z score (3.40) than 66.67% of its industry peers.
- The Debt to FCF ratio of STN is 3.36, which is a good value as it means it would take STN, 3.36 years of fcf income to pay off all of its debts.
- Looking at the Debt to FCF ratio, with a value of 3.36, STN is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
- A Debt/Equity ratio of 0.72 indicates that STN is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.72, STN is in line with its industry, outperforming 44.44% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 3.36 | ||
| Altman-Z | 3.4 |
ROIC/WACC1.03
WACC9.16%
2.3 Liquidity
- A Current Ratio of 1.27 indicates that STN should not have too much problems paying its short term obligations.
- STN's Current ratio of 1.27 is fine compared to the rest of the industry. STN outperforms 77.78% of its industry peers.
- STN has a Quick Ratio of 1.27. This is a normal value and indicates that STN is financially healthy and should not expect problems in meeting its short term obligations.
- STN has a Quick ratio of 1.27. This is amongst the best in the industry. STN outperforms 88.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 24.64% over the past year.
- Measured over the past years, STN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.12% on average per year.
- Looking at the last year, STN shows a quite strong growth in Revenue. The Revenue has grown by 12.49% in the last year.
- Measured over the past years, STN shows a quite strong growth in Revenue. The Revenue has been growing by 9.59% on average per year.
EPS 1Y (TTM)24.64%
EPS 3Y22.5%
EPS 5Y17.12%
EPS Q2Q%17.69%
Revenue 1Y (TTM)12.49%
Revenue growth 3Y17.29%
Revenue growth 5Y9.59%
Sales Q2Q%11.84%
3.2 Future
- STN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.33% yearly.
- STN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.23% yearly.
EPS Next Y20.33%
EPS Next 2Y17.31%
EPS Next 3Y15.33%
EPS Next 5YN/A
Revenue Next Year12%
Revenue Next 2Y11%
Revenue Next 3Y9.23%
Revenue Next 5YN/A
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.
- 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
- A Price/Earnings ratio of 26.97 indicates a quite expensive valuation of STN.
- STN's Price/Earnings ratio is a bit cheaper when compared to the industry. STN is cheaper than 77.78% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.38. STN is around the same levels.
- STN is valuated rather expensively with a Price/Forward Earnings ratio of 22.83.
- Based on the Price/Forward Earnings ratio, STN is valued a bit cheaper than 66.67% of the companies in the same industry.
- STN is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.97 | ||
| Fwd PE | 22.83 |
4.2 Price Multiples
- STN's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. STN is cheaper than 66.67% of the companies in the same industry.
- STN's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. STN is cheaper than 77.78% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.72 | ||
| EV/EBITDA | 17.61 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The decent profitability rating of STN may justify a higher PE ratio.
- STN's earnings are expected to grow with 15.33% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.33
PEG (5Y)1.58
EPS Next 2Y17.31%
EPS Next 3Y15.33%
5. Dividend
5.1 Amount
- STN has a yearly dividend return of 0.65%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.82, STN pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.85, STN's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
5.2 History
- The dividend of STN is nicely growing with an annual growth rate of 7.51%!
- STN has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)7.51%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- STN pays out 20.52% of its income as dividend. This is a sustainable payout ratio.
- The dividend of STN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP20.52%
EPS Next 2Y17.31%
EPS Next 3Y15.33%
TSX:STN (1/16/2026, 7:00:00 PM)
139.18
+1.24 (+0.9%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryConstruction & Engineering
Earnings (Last)11-13 2025-11-13/amc
Earnings (Next)02-23 2026-02-23/amc
Inst Owners73.54%
Inst Owner ChangeN/A
Ins Owners0.16%
Ins Owner ChangeN/A
Market Cap15.88B
Revenue(TTM)6.33B
Net Income(TTM)483.50M
Analysts78.67
Price Target172.2 (23.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.65% |
Yearly Dividend0.82
Dividend Growth(5Y)7.51%
DP20.52%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.06%
Min EPS beat(2)-1.14%
Max EPS beat(2)-0.99%
EPS beat(4)2
Avg EPS beat(4)3.07%
Min EPS beat(4)-1.14%
Max EPS beat(4)10.41%
EPS beat(8)4
Avg EPS beat(8)1.56%
EPS beat(12)8
Avg EPS beat(12)3.94%
EPS beat(16)10
Avg EPS beat(16)3.15%
Revenue beat(2)0
Avg Revenue beat(2)-2.53%
Min Revenue beat(2)-3.52%
Max Revenue beat(2)-1.54%
Revenue beat(4)1
Avg Revenue beat(4)-0.73%
Min Revenue beat(4)-3.52%
Max Revenue beat(4)2.67%
Revenue beat(8)2
Avg Revenue beat(8)-0.57%
Revenue beat(12)6
Avg Revenue beat(12)0.58%
Revenue beat(16)9
Avg Revenue beat(16)0.54%
PT rev (1m)0.32%
PT rev (3m)3.98%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-5.24%
EPS NY rev (1m)0.13%
EPS NY rev (3m)-0.96%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.24%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.97 | ||
| Fwd PE | 22.83 | ||
| P/S | 2.51 | ||
| P/FCF | 19.72 | ||
| P/OCF | 18.52 | ||
| P/B | 4.92 | ||
| P/tB | N/A | ||
| EV/EBITDA | 17.61 |
EPS(TTM)5.16
EY3.71%
EPS(NY)6.1
Fwd EY4.38%
FCF(TTM)7.06
FCFY5.07%
OCF(TTM)7.52
OCFY5.4%
SpS55.52
BVpS28.31
TBVpS-5.45
PEG (NY)1.33
PEG (5Y)1.58
Graham Number57.33
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.95% | ||
| ROE | 14.97% | ||
| ROCE | 12.22% | ||
| ROIC | 9.44% | ||
| ROICexc | 10.07% | ||
| ROICexgc | 33.73% | ||
| OM | 11.23% | ||
| PM (TTM) | 7.63% | ||
| GM | 54.46% | ||
| FCFM | 12.71% |
ROA(3y)5.02%
ROA(5y)4.56%
ROE(3y)12%
ROE(5y)10.98%
ROIC(3y)8.26%
ROIC(5y)7.69%
ROICexc(3y)8.76%
ROICexc(5y)8.2%
ROICexgc(3y)24.18%
ROICexgc(5y)22.38%
ROCE(3y)10.72%
ROCE(5y)9.96%
ROICexgc growth 3Y14.28%
ROICexgc growth 5Y9.44%
ROICexc growth 3Y14.7%
ROICexc growth 5Y3.94%
OM growth 3Y4.91%
OM growth 5Y1.76%
PM growth 3Y3.74%
PM growth 5Y3.3%
GM growth 3Y0.35%
GM growth 5Y0.13%
F-Score6
Asset Turnover0.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 3.36 | ||
| Debt/EBITDA | 2.24 | ||
| Cap/Depr | 16.32% | ||
| Cap/Sales | 0.83% | ||
| Interest Coverage | 8.95 | ||
| Cash Conversion | 82.99% | ||
| Profit Quality | 166.47% | ||
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.27 | ||
| Altman-Z | 3.4 |
F-Score6
WACC9.16%
ROIC/WACC1.03
Cap/Depr(3y)30.24%
Cap/Depr(5y)N/A
Cap/Sales(3y)1.74%
Cap/Sales(5y)1.46%
Profit Quality(3y)122.48%
Profit Quality(5y)175.41%
High Growth Momentum
Growth
EPS 1Y (TTM)24.64%
EPS 3Y22.5%
EPS 5Y17.12%
EPS Q2Q%17.69%
EPS Next Y20.33%
EPS Next 2Y17.31%
EPS Next 3Y15.33%
EPS Next 5YN/A
Revenue 1Y (TTM)12.49%
Revenue growth 3Y17.29%
Revenue growth 5Y9.59%
Sales Q2Q%11.84%
Revenue Next Year12%
Revenue Next 2Y11%
Revenue Next 3Y9.23%
Revenue Next 5YN/A
EBIT growth 1Y34.51%
EBIT growth 3Y23.05%
EBIT growth 5Y11.52%
EBIT Next Year67.78%
EBIT Next 3Y26.13%
EBIT Next 5YN/A
FCF growth 1Y109.94%
FCF growth 3Y12.8%
FCF growth 5Y4.96%
OCF growth 1Y74.73%
OCF growth 3Y14.96%
OCF growth 5Y5.91%
STANTEC INC / STN.CA FAQ
Can you provide the ChartMill fundamental rating for STANTEC INC?
ChartMill assigns a fundamental rating of 6 / 10 to STN.CA.
Can you provide the valuation status for STANTEC INC?
ChartMill assigns a valuation rating of 5 / 10 to STANTEC INC (STN.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for STANTEC INC?
STANTEC INC (STN.CA) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for STN stock?
The Price/Earnings (PE) ratio for STANTEC INC (STN.CA) is 26.97 and the Price/Book (PB) ratio is 4.92.
How financially healthy is STANTEC INC?
The financial health rating of STANTEC INC (STN.CA) is 6 / 10.