Executive Summary
Boralex Inc., together with its subsidiaries, develops, constructs, and operates renewable energy power facilities primarily in Canada, France, the United Kingdom, and the United States. More Details
Rewards
Risk Analysis
Dividend of 1.68% is not well covered by earnings or forecast to be in the next 3 years
Snowflake Analysis
Slightly overvalued with limited growth.
Similar Companies
Share Price & News
How has Boralex's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BLX is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: BLX's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
3.5%
BLX
0.7%
CA Renewable Energy
0.7%
CA Market
1 Year Return
64.8%
BLX
39.1%
CA Renewable Energy
-2.0%
CA Market
Return vs Industry: BLX exceeded the Canadian Renewable Energy industry which returned 39.3% over the past year.
Return vs Market: BLX exceeded the Canadian Market which returned -1.8% over the past year.
Shareholder returns
| BLX | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.5% | 0.7% | 0.7% |
| 30 Day | -0.4% | 5.3% | 5.3% |
| 90 Day | 18.4% | 20.4% | 4.0% |
| 1 Year | 68.6%64.8% | 45.0%39.1% | 1.6%-2.0% |
| 3 Year | 85.5%70.1% | 101.7%73.8% | 10.2%-0.5% |
| 5 Year | 245.9%200.9% | 195.7%131.5% | 44.5%22.3% |
Long-Term Price Volatility Vs. Market
How volatile is Boralex's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
The Boralex Inc. (TSE:BLX) Third-Quarter Results Are Out And Analysts Have Published New Forecasts1 week ago | Simply Wall St
Should You Be Worried About Boralex Inc.'s (TSE:BLX) 0.7% Return On Equity?1 month ago | Simply Wall St
What Kind Of Investors Own Most Of Boralex Inc. (TSE:BLX)?Valuation
Is Boralex undervalued compared to its fair value and its price relative to the market?
43.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: BLX (CA$39.22) is trading below our estimate of fair value (CA$70.55)
Significantly Below Fair Value: BLX is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: BLX is poor value based on its PE Ratio (1262.6x) compared to the CA Renewable Energy industry average (14.2x).
PE vs Market: BLX is poor value based on its PE Ratio (1262.6x) compared to the Canadian market (15x).
Price to Earnings Growth Ratio
PEG Ratio: BLX is poor value based on its PEG Ratio (56.2x)
Price to Book Ratio
PB vs Industry: BLX is overvalued based on its PB Ratio (4.2x) compared to the CA Renewable Energy industry average (1.7x).
Next Steps
Future Growth
How is Boralex forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
22.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BLX's forecast earnings growth (22.5% per year) is above the savings rate (1.7%).
Earnings vs Market: BLX's earnings (22.5% per year) are forecast to grow slower than the Canadian market (26.1% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: BLX's revenue is expected to decline over the next 3 years (-0.3% per year).
High Growth Revenue: BLX's revenue is forecast to decline over the next 3 years (-0.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if BLX's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Boralex performed over the past 5 years?
-23.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BLX has a large one-off loss of CA$69.0M impacting its September 30 2020 financial results.
Growing Profit Margin: BLX became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: BLX has become profitable over the past 5 years, growing earnings by -23.9% per year.
Accelerating Growth: BLX has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: BLX has become profitable in the last year, making it difficult to compare its past year earnings growth to the Renewable Energy industry (84.8%).
Return on Equity
High ROE: BLX's Return on Equity (0.7%) is considered low.
Next Steps
Financial Health
How is Boralex's financial position?
Financial Position Analysis
Short Term Liabilities: BLX's short term assets (CA$357.0M) do not cover its short term liabilities (CA$359.0M).
Long Term Liabilities: BLX's short term assets (CA$357.0M) do not cover its long term liabilities (CA$3.2B).
Debt to Equity History and Analysis
Debt Level: BLX's debt to equity ratio (308.4%) is considered high.
Reducing Debt: BLX's debt to equity ratio has increased from 268.5% to 308.4% over the past 5 years.
Debt Coverage: BLX's debt is not well covered by operating cash flow (12.1%).
Interest Coverage: BLX's interest payments on its debt are not well covered by EBIT (1.8x coverage).
Balance Sheet
Next Steps
Dividend
What is Boralex current dividend yield, its reliability and sustainability?
1.66%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: BLX's dividend (1.68%) is higher than the bottom 25% of dividend payers in the Canadian market (1.66%).
High Dividend: BLX's dividend (1.68%) is low compared to the top 25% of dividend payers in the Canadian market (5.45%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, BLX has been paying a dividend for less than 10 years.
Growing Dividend: BLX's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (2124.8%), BLX's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BLX's dividends in 3 years are not forecast to be well covered by earnings (90.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.8yrs
Average management tenure
CEO
Patrick Lemaire (56 yo)
14.17yrs
Tenure
CA$1,408,934
Compensation
Mr. Patrick Lemaire has been the Chief Executive Officer and President of Boralex Power Inc. September 2006, administrator of Boralex Power Limited Partnership. Mr. Lemaire has been the Chief Executive Off...
CEO Compensation Analysis
Compensation vs Market: Patrick's total compensation ($USD1.08M) is below average for companies of similar size in the Canadian market ($USD3.00M).
Compensation vs Earnings: Patrick's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 14.17yrs | CA$1.41m | 0.030% CA$ 1.2m | |
| CFO & VP | 1.83yrs | CA$720.23k | 0.0016% CA$ 65.0k | |
| VP & COO | 1.33yrs | CA$800.13k | 0.0053% CA$ 217.8k | |
| VP, Chief Legal Officer & Corporate Secretary | 3.33yrs | CA$445.18k | 0.0025% CA$ 103.8k | |
| Vice President of Development | no data | CA$531.17k | 0.0076% CA$ 308.9k | |
| Director of Investor Relations | 1.83yrs | no data | no data | |
| Vice President of Public & Corporate Affairs | no data | no data | 0.0016% CA$ 63.7k | |
| Vice President of Talent & Culture | no data | no data | 0.0029% CA$ 120.1k |
1.8yrs
Average Tenure
Experienced Management: BLX's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 14.17yrs | CA$1.41m | 0.030% CA$ 1.2m | |
| Independent Director | 3yrs | CA$99.81k | 0.0029% CA$ 119.7k | |
| Independent Director | 23.08yrs | CA$101.00k | 0.0079% CA$ 323.2k | |
| Independent Chairman of the Board | 3.67yrs | CA$192.00k | 0.0034% CA$ 139.3k | |
| Independent Director | 14.42yrs | CA$102.50k | 0.0065% CA$ 266.8k | |
| Independent Director | 2.5yrs | CA$102.69k | no data | |
| Independent Director | 4.5yrs | CA$103.11k | no data | |
| Independent Director | 1.5yrs | CA$61.90k | 0.0042% CA$ 171.2k | |
| Independent Director | 1.5yrs | CA$58.90k | 0.00098% CA$ 40.0k | |
| Independent Director | 2.5yrs | CA$94.50k | no data |
3.3yrs
Average Tenure
59yo
Average Age
Experienced Board: BLX's board of directors are considered experienced (3.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.5%.
Top Shareholders
Company Information
Boralex Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Boralex Inc.
- Ticker: BLX
- Exchange: TSX
- Founded: 1982
- Industry: Renewable Electricity
- Sector: Utilities
- Market Cap: CA$4.086b
- Shares outstanding: 102.55m
- Website: https://www.boralex.com
Number of Employees
Location
- Boralex Inc.
- 36 Lajeunesse Street
- Kingsey Falls
- Quebec
- J0A 1B0
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| BLX | TSX (The Toronto Stock Exchange) | Yes | Class A Common Stock | CA | CAD | Aug 1988 |
| B3H | DB (Deutsche Boerse AG) | Yes | Class A Common Stock | DE | EUR | Aug 1988 |
| BRLX.F | OTCPK (Pink Sheets LLC) | Yes | Class A Common Stock | US | USD | Aug 1988 |
Biography
Boralex Inc., together with its subsidiaries, develops, constructs, and operates renewable energy power facilities primarily in Canada, France, the United Kingdom, and the United States. As of December 31,...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/11/23 23:35 |
| End of Day Share Price | 2020/11/23 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.