Fortis Valuation

Q: What is the Fair Price of FTS.PRG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

FTS.PRG (CA$21.84) is trading below our estimate of [[fair value]] (CA$39.74)

Is FTS.PRG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of FTS.PRG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: FTS.PRG (CA$21.84) is trading below our estimate of fair value (CA$39.74)

Significantly Below Fair Value: FTS.PRG is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for FTS.PRG?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for FTS.PRG. This is calculated by dividing FTS.PRG's market cap by their current preferred multiple.
What is FTS.PRG's n/a Ratio?
n/a	0x
n/a	n/a
Market Cap	CA$29.95b

FTS.PRG key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	5.7x
Enterprise Value/EBITDA	12.6x
PEG Ratio	2.9x

Price to Earnings Ratio vs Peers

How does FTS.PRG's PE Ratio compare to its peers?

The above table shows the PE ratio for FTS.PRG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	18.3x
H Hydro One	23.9x	6.6%	CA$26.9b
EMA Emera	20.6x	10.1%	CA$15.4b
CUP.U Caribbean Utilities Company	13.5x	7.0%	US$531.3m
BEPC Brookfield Renewable	15.2x	-67.9%	CA$15.9b
FTS.PRG Fortis	19x	6.5%	CA$30.0b

Price-To-Earnings vs Peers: FTS.PRG is expensive based on its Price-To-Earnings Ratio (19x) compared to the peer average (18.3x).

Price to Earnings Ratio vs Industry

How does FTS.PRG's PE Ratio compare vs other companies in the North American Electric Utilities Industry?

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	8.8%
	n/a	n/a	n/a

Fetching data

0 Companies	Price / Earnings	Estimated Growth	Market Cap
Industry Avg.	n/a	8.8%
	n/a	n/a	n/a

No more companies

Price-To-Earnings vs Industry: FTS.PRG is good value based on its Price-To-Earnings Ratio (19x) compared to the North American Electric Utilities industry average (19.8x).

Price to Earnings Ratio vs Fair Ratio

What is FTS.PRG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

FTS.PRG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	19x
Fair PE Ratio	22.8x

Price-To-Earnings vs Fair Ratio: FTS.PRG is good value based on its Price-To-Earnings Ratio (19x) compared to the estimated Fair Price-To-Earnings Ratio (22.8x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.