Canadian Utilities Limited
Canadian Utilities Limited Fundamental Analysis
Canadian Utilities Limited (CDUAF) shows weak financial fundamentals with a PE ratio of 144.57, profit margin of 2.63%, and ROE of 1.33%. The company generates $2.6B in annual revenue with weak year-over-year growth of -1.42%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 11.9/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze CDUAF's fundamental strength across five key dimensions:
Efficiency Score
WeakCDUAF struggles to generate sufficient returns from assets.
Valuation Score
ModerateCDUAF shows balanced valuation metrics.
Growth Score
WeakCDUAF faces weak or negative growth trends.
Financial Health Score
ModerateCDUAF shows balanced financial health with some risks.
Profitability Score
ModerateCDUAF maintains healthy but balanced margins.
Key Financial Metrics
Is CDUAF Expensive or Cheap?
P/E Ratio
CDUAF trades at 144.57 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, CDUAF's PEG of -1.09 indicates potential undervaluation.
Price to Book
The market values Canadian Utilities Limited at 2.06 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -1.02 times EBITDA. This is generally considered low.
How Well Does CDUAF Make Money?
Net Profit Margin
For every $100 in sales, Canadian Utilities Limited keeps $2.63 as profit after all expenses.
Operating Margin
Core operations generate 15.36 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.33 in profit for every $100 of shareholder equity.
ROA
Canadian Utilities Limited generates $0.37 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Canadian Utilities Limited generates strong operating cash flow of $1.28B, reflecting robust business health.
Free Cash Flow
Canadian Utilities Limited produces free cash flow of $233.05M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.13 in free cash annually.
FCF Yield
CDUAF converts 3.09% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
144.57
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.09
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.06
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.87
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
1.95
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.56
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.01
vs 25 benchmark
ROA
Return on assets percentage
0.004
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How CDUAF Stacks Against Its Sector Peers
| Metric | CDUAF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 144.57 | 19.72 | Worse (Expensive) |
| ROE | 1.33% | 908.00% | Weak |
| Net Margin | 2.63% | 8804.00% | Weak |
| Debt/Equity | 1.95 | 1.80 | Neutral |
| Current Ratio | 1.56 | 1.50 | Neutral |
| ROA | 0.37% | -6152.00% (disorted) | Weak |
CDUAF outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Canadian Utilities Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-3.73%
Industry Style: Defensive, Dividend, Income
DecliningEPS CAGR
-49.29%
Industry Style: Defensive, Dividend, Income
DecliningFCF CAGR
41.81%
Industry Style: Defensive, Dividend, Income
High Growth