TSX:QBR.B

Stock Analysis Report

Executive Summary

Quebecor Inc. operates in the telecommunications, media, and sports and entertainment businesses in Canada.

Snowflake

Fundamentals

Solid track record average dividend payer.


Similar Companies

Share Price & News

How has Quebecor's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.2%

TSX:QBR.B

1.6%

CA Media

1.6%

CA Market


1 Year Return

17.2%

TSX:QBR.B

17.0%

CA Media

-0.3%

CA Market

QBR.B outperformed the Media industry which returned 15.3% over the past year.

QBR.B outperformed the Market in Canada which returned -0.5% over the past year.


Share holder returns

QBR.BIndustryMarket
7 Day2.2%1.6%1.6%
30 Day1.8%3.4%4.1%
90 Day-3.3%1.1%1.1%
1 Year18.5%17.2%21.6%17.0%3.3%-0.3%
3 Year58.4%54.9%28.9%13.7%19.3%8.6%
5 Year127.3%120.5%28.5%1.3%21.6%4.1%

Price Volatility Vs. Market

How volatile is Quebecor's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Quebecor undervalued based on future cash flows and its price relative to the stock market?

14.41x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Quebecor's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Quebecor's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Quebecor is overvalued based on earnings compared to the CA Media industry average.

Quebecor is overvalued based on earnings compared to the Canada market.


Price Based on Expected Growth

Quebecor is poor value based on expected growth next year.


Price Based on Value of Assets

Quebecor is overvalued based on assets compared to the CA Media industry average.


Next Steps

Future Growth

How is Quebecor expected to perform in the next 1 to 3 years based on estimates from 12 analysts?

3.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Quebecor's revenue is expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).

Quebecor's earnings are expected to grow by 3.5% yearly, however this is not considered high growth (20% yearly).

Quebecor's revenue growth is positive but not above the Canada market average.

Quebecor's earnings growth is positive but not above the Canada market average.

Quebecor's earnings growth is expected to exceed the low risk savings rate of 1.9%.


Earnings per Share Growth Estimates


Future Return on Equity

Quebecor is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).


Next Steps

Past Performance

How has Quebecor performed over the past 5 years?

36.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Quebecor has delivered over 20% year on year earnings growth in the past 5 years.

Quebecor's 1-year earnings growth exceeds its 5-year average (57.2% vs 36.5%)

Quebecor's earnings growth has exceeded the North America Media industry average in the past year (57.2% vs -32.2%).


Return on Equity

Whilst Quebecor made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.


Return on Assets

Quebecor used its assets more efficiently than the CA Media industry average last year based on Return on Assets.


Return on Capital Employed

Quebecor has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Quebecor's financial position?


Financial Position Analysis

Quebecor's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Quebecor's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Quebecor's level of debt (760%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (494.2% vs 760% today).

Debt is not well covered by operating cash flow (19%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.2x debt.


Next Steps

Dividend

What is Quebecor's current dividend yield, its reliability and sustainability?

1.94%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Quebecor's pays a lower dividend yield than the bottom 25% of dividend payers in Canada (1.99%).

Quebecor's dividend is below the markets top 25% of dividend payers in Canada (5.8%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (7.7x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3x coverage).


Next Steps

Management

What is the CEO of Quebecor's salary, the management and board of directors tenure and is there insider trading?

1.9yrs

Average management tenure


CEO

Pierre Péladeau (57yo)

2.6yrs

Tenure

CA$2,568,930

Compensation

Mr. Pierre Karl Péladeau has been the Chief Executive Officer and President of Quebecor Inc., and Quebecor Media Inc., since February 16, 2017. Previously, Mr. Péladeau served as the Chief Executive Office ...


CEO Compensation Analysis

Pierre's remuneration is lower than average for companies of similar size in Canada.

Pierre's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.9yrs

Average Tenure

56yo

Average Age

The average tenure for the Quebecor management team is less than 2 years, this suggests a new team.


Board Age and Tenure

3.8yrs

Average Tenure

64yo

Average Age

The tenure for the Quebecor board of directors is about average.


Insider Trading

Quebecor individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellCA$301,24815 Aug 19
Manon Brouillette
EntityIndividual
Role
Member of the Board of Directors
Corporate Director
Shares10,000
Max PriceCA$30.17
SellCA$124,62710 Jul 19
Jean Novak
EntityIndividual
Shares3,984
Max PriceCA$31.28
SellCA$1,004,86025 Mar 19
Marc Tremblay
EntityIndividual
Role
Chief Operating Officer
COO & Chief Legal Officer
Shares31,580
Max PriceCA$31.82
SellCA$2,727,88820 Mar 19
Marc Tremblay
EntityIndividual
Role
Chief Operating Officer
COO & Chief Legal Officer
Shares87,100
Max PriceCA$31.32
BuyCA$30,45028 Jan 19
Chantal Bélanger
EntityIndividual
Role
Member of the Board of Directors
Corporate Director
Shares1,000
Max PriceCA$30.45
SellCA$660,69721 Sep 18
Manon Brouillette
EntityIndividual
Role
Member of the Board of Directors
Corporate Director
Shares25,000
Max PriceCA$26.44

Ownership Breakdown


Management Team

  • Douglas Bassett (78yo)

    Chairman of Quebecor-Ontario Media Advisory Board

    • Tenure: 14.1yrs
  • Hugues Simard (52yo)

    Chief Financial Officer

    • Tenure: 0.7yrs
  • Pierre Péladeau (57yo)

    CEO & President

    • Tenure: 2.6yrs
    • Compensation: CA$2.57m
  • Jocelyn Poirier

    Senior Vice President of Corporate Development

    • Tenure: 0.3yrs
  • France Lauzière (52yo)

    President & CEO of TVA Group and Chief Content Officer of Quebecor Content

    • Tenure: 1.9yrs
    • Compensation: CA$1.36m
  • Lyne Robitaille (56yo)

    Senior Vice President of Newspapers

    • Tenure: 0yrs
  • Marc Tremblay (58yo)

    COO & Chief Legal Officer

    • Tenure: 0.7yrs
    • Compensation: CA$1.48m
  • Martin Tremblay (43yo)

    Chief Operating Officer of Sports & Entertainment Group

    • Tenure: 2.1yrs
  • Hugo Delaney

    Vice President of Public Affairs & Communications

    • Tenure: 0yrs
  • Patrick Jutras

    Senior VP & Chief Advertising Officer

    • Tenure: 0yrs

Board Members

  • M. Mulroney (79yo)

    Chairman of the Board

    • Tenure: 5.3yrs
    • Compensation: CA$523.89k
  • Érik Péladeau (64yo)

    Non-Independent Director

    • Tenure: 4.2yrs
    • Compensation: CA$874.04k
  • Robert Paré (64yo)

    Non-Independent Director

    • Tenure: 5.3yrs
    • Compensation: CA$119.60k
  • Normand Provost (64yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: CA$162.34k
  • Chantal Bélanger (67yo)

    Corporate Director

    • Tenure: 1.3yrs
    • Compensation: CA$87.67k
  • Sylvie Lalande (68yo)

    Vice Chair of the Board & Lead Director

    • Tenure: 0yrs
    • Compensation: CA$312.93k
  • Manon Brouillette (50yo)

    Corporate Director

    • Tenure: 0.3yrs
    • Compensation: CA$2.93m
  • André Brosseau (57yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: CA$157.70k
  • Lise Croteau (59yo)

    Corporate Director

    • Tenure: 0.3yrs

Company Information

Quebecor Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Quebecor Inc.
  • Ticker: QBR.B
  • Exchange: TSX
  • Founded: 1950
  • Industry: Cable and Satellite
  • Sector: Media
  • Market Cap: CA$7.792b
  • Shares outstanding: 255.92m
  • Website: https://www.quebecor.com

Number of Employees


Location

  • Quebecor Inc.
  • 612 rue Saint-Jacques
  • Montreal
  • Quebec
  • H3C 4M8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
QBR.ATSX (The Toronto Stock Exchange)Class A Multiple Voting SharesCACADDec 1972
QBR.BTSX (The Toronto Stock Exchange)YesClass B Subordinate Voting SharesCACADOct 1986
QBCR.FOTCPK (Pink Sheets LLC)YesClass B Subordinate Voting SharesUSUSDOct 1986
QB3DB (Deutsche Boerse AG)YesClass B Subordinate Voting SharesDEEUROct 1986

Biography

Quebecor Inc. operates in the telecommunications, media, and sports and entertainment businesses in Canada. Its Telecommunications segment offers television distribution, Internet access, business solution ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 23:41
End of Day Share Price2019/09/17 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.