TSX:BLX

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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


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

BLXIndustryMarket
7 Day3.5%0.7%0.7%
30 Day-0.4%5.3%5.3%
90 Day18.4%20.4%4.0%
1 Year68.6%64.8%45.0%39.1%1.6%-2.0%
3 Year85.5%70.1%101.7%73.8%10.2%-0.5%
5 Year245.9%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

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

NamePositionTenureCompensationOwnership
Patrick Lemaire
President14.17yrsCA$1.41m0.030%
CA$ 1.2m
Bruno Guilmette
CFO & VP1.83yrsCA$720.23k0.0016%
CA$ 65.0k
Patrick Decostre
VP & COO1.33yrsCA$800.13k0.0053%
CA$ 217.8k
Pascal Hurtubise
VP, Chief Legal Officer & Corporate Secretary3.33yrsCA$445.18k0.0025%
CA$ 103.8k
Hugues Girardin
Vice President of Developmentno dataCA$531.17k0.0076%
CA$ 308.9k
Stéphane Milot
Director of Investor Relations1.83yrsno datano data
Julie Cusson
Vice President of Public & Corporate Affairsno datano data0.0016%
CA$ 63.7k
Marie-Josée Arsenault
Vice President of Talent & Cultureno datano data0.0029%
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

NamePositionTenureCompensationOwnership
Patrick Lemaire
President14.17yrsCA$1.41m0.030%
CA$ 1.2m
Marie Giguére
Independent Director3yrsCA$99.81k0.0029%
CA$ 119.7k
Yves Rheault
Independent Director23.08yrsCA$101.00k0.0079%
CA$ 323.2k
Alain Rhéaume
Independent Chairman of the Board3.67yrsCA$192.00k0.0034%
CA$ 139.3k
Edward Kernaghan
Independent Director14.42yrsCA$102.50k0.0065%
CA$ 266.8k
Lise Croteau
Independent Director2.5yrsCA$102.69kno data
Dany St-Pierre
Independent Director4.5yrsCA$103.11kno data
Marie-Claude Dumas
Independent Director1.5yrsCA$61.90k0.0042%
CA$ 171.2k
André Courville
Independent Director1.5yrsCA$58.90k0.00098%
CA$ 40.0k
Ghyslain Deschamps
Independent Director2.5yrsCA$94.50kno 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

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BLXTSX (The Toronto Stock Exchange)YesClass A Common StockCACADAug 1988
B3HDB (Deutsche Boerse AG)YesClass A Common StockDEEURAug 1988
BRLX.FOTCPK (Pink Sheets LLC)YesClass A Common StockUSUSDAug 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

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/23 23:35
End of Day Share Price2020/11/23 00:00
Earnings2020/09/30
Annual Earnings2019/12/31


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.