Stantec Inc. provides professional consulting services in the area of infrastructure and facilities in Canada, the United States, and internationally. More Details
STN passed our risk checks.
Flawless balance sheet with proven track record.
Share Price & News
How has Stantec's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: STN is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: STN's weekly volatility (2%) has been stable over the past year.
7 Day Return
CA Professional Services
1 Year Return
CA Professional Services
Return vs Industry: STN underperformed the Canadian Professional Services industry which returned 40.7% over the past year.
Return vs Market: STN exceeded the Canadian Market which returned 27.4% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Stantec's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StHere's Why Stantec (TSE:STN) Can Manage Its Debt Responsibly
1 month ago | Simply Wall StStantec Inc. (TSE:STN) Is About To Go Ex-Dividend, And It Pays A 1.2% Yield
1 month ago | Simply Wall StCould The Stantec Inc. (TSE:STN) Ownership Structure Tell Us Something Useful?
Is Stantec undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: STN (CA$57.44) is trading above our estimate of fair value (CA$56.56)
Significantly Below Fair Value: STN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: STN is poor value based on its PE Ratio (35.5x) compared to the Canadian Professional Services industry average (23.5x).
PE vs Market: STN is poor value based on its PE Ratio (35.5x) compared to the Canadian market (14x).
Price to Earnings Growth Ratio
PEG Ratio: STN is poor value based on its PEG Ratio (2.4x)
Price to Book Ratio
PB vs Industry: STN is good value based on its PB Ratio (3.3x) compared to the CA Professional Services industry average (3.7x).
How is Stantec forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: STN's forecast earnings growth (14.6% per year) is above the savings rate (1.5%).
Earnings vs Market: STN's earnings (14.6% per year) are forecast to grow faster than the Canadian market (14.4% per year).
High Growth Earnings: STN's earnings are forecast to grow, but not significantly.
Revenue vs Market: STN's revenue (4.1% per year) is forecast to grow slower than the Canadian market (5.5% per year).
High Growth Revenue: STN's revenue (4.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: STN's Return on Equity is forecast to be low in 3 years time (13.8%).
How has Stantec performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: STN has high quality earnings.
Growing Profit Margin: STN's current net profit margins (5%) are higher than last year (4.8%).
Past Earnings Growth Analysis
Earnings Trend: STN's earnings have grown by 10.6% per year over the past 5 years.
Accelerating Growth: STN's earnings growth over the past year (0.8%) is below its 5-year average (10.6% per year).
Earnings vs Industry: STN earnings growth over the past year (0.8%) exceeded the Professional Services industry -18.3%.
Return on Equity
High ROE: STN's Return on Equity (9.2%) is considered low.
How is Stantec's financial position?
Financial Position Analysis
Short Term Liabilities: STN's short term assets (CA$1.5B) exceed its short term liabilities (CA$940.2M).
Long Term Liabilities: STN's short term assets (CA$1.5B) exceed its long term liabilities (CA$1.5B).
Debt to Equity History and Analysis
Debt Level: STN's debt to equity ratio (34.6%) is considered satisfactory.
Reducing Debt: STN's debt to equity ratio has reduced from 38.3% to 34.6% over the past 5 years.
Debt Coverage: STN's debt is well covered by operating cash flow (104%).
Interest Coverage: STN's interest payments on its debt are well covered by EBIT (7.9x coverage).
What is Stantec current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: STN's dividend (1.15%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.62%).
High Dividend: STN's dividend (1.15%) is low compared to the top 25% of dividend payers in the Canadian market (4.54%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, STN has been paying a dividend for less than 10 years.
Growing Dividend: STN's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (38.9%), STN's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: STN's dividends in 3 years are forecast to be well covered by earnings (25.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Gord Johnston (55 yo)
Mr. Gordon Allan Johnston, P.Eng., also known as Gord, has been the President, Chief Executive Officer and Director of Stantec Inc. since January 1, 2018. Mr. Johnston served as an Executive Vice President...
CEO Compensation Analysis
Compensation vs Market: Gord's total compensation ($USD4.00M) is about average for companies of similar size in the Canadian market ($USD3.66M).
Compensation vs Earnings: Gord's compensation has increased by more than 20% in the past year.
Experienced Management: STN's management team is considered experienced (3.6 years average tenure).
Experienced Board: STN's board of directors are considered experienced (3.4 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: STN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Stantec Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Stantec Inc.
- Ticker: STN
- Exchange: TSX
- Founded: 1954
- Industry: Research and Consulting Services
- Sector: Commercial Services
- Market Cap: CA$6.376b
- Shares outstanding: 111.01m
- Website: https://www.stantec.com
Number of Employees
- Stantec Inc.
- 10220-103 Avenue NW
- Suite 400
- T5J 0K4
Stantec Inc. provides professional consulting services in the area of infrastructure and facilities in Canada, the United States, and internationally. The company provides consulting services in engineerin...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/28 01:34|
|End of Day Share Price||2021/07/27 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.