AGF Management Limited Fundamental Analysis
AGF Management Limited (AGF-B.TO) shows strong financial fundamentals with a PE ratio of 9.09, profit margin of 23.28%, and ROE of 11.40%. The company generates $0.6B in annual revenue with moderate year-over-year growth of 9.77%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 67.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze AGF-B.TO's fundamental strength across five key dimensions:
Efficiency Score
WeakAGF-B.TO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentAGF-B.TO trades at attractive valuation levels.
Growth Score
ExcellentAGF-B.TO delivers strong and consistent growth momentum.
Financial Health Score
ExcellentAGF-B.TO maintains a strong and stable balance sheet.
Profitability Score
ModerateAGF-B.TO maintains healthy but balanced margins.
Key Financial Metrics
Is AGF-B.TO Expensive or Cheap?
P/E Ratio
AGF-B.TO trades at 9.09 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, AGF-B.TO's PEG of 0.27 indicates potential undervaluation.
Price to Book
The market values AGF Management Limited at 1.01 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 5.78 times EBITDA. This is generally considered low.
How Well Does AGF-B.TO Make Money?
Net Profit Margin
For every $100 in sales, AGF Management Limited keeps $23.28 as profit after all expenses.
Operating Margin
Core operations generate 35.36 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $11.40 in profit for every $100 of shareholder equity.
ROA
AGF Management Limited generates $7.71 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
AGF Management Limited produces operating cash flow of $124.48M, showing steady but balanced cash generation.
Free Cash Flow
AGF Management Limited generates strong free cash flow of $118.21M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.86 in free cash annually.
FCF Yield
AGF-B.TO converts 9.61% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
9.09
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.27
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.009
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.09
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.15
vs 25 benchmark
Current Ratio
Current assets to current liabilities
18.63
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.11
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How AGF-B.TO Stacks Against Its Sector Peers
| Metric | AGF-B.TO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 9.09 | 20.79 | Better (Cheaper) |
| ROE | 11.40% | 622.00% | Weak |
| Net Margin | 23.28% | -1174.00% (disorted) | Strong |
| Debt/Equity | 0.15 | 1.51 | Strong (Low Leverage) |
| Current Ratio | 18.63 | 935.58 | Strong Liquidity |
| ROA | 7.71% | -788.00% (disorted) | Weak |
AGF-B.TO outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews AGF Management Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
71.25%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
-11.73%
Industry Style: Value, Dividend, Cyclical
DecliningFCF CAGR
44.17%
Industry Style: Value, Dividend, Cyclical
High Growth