Fortis Inc.

TSX:FTS Stock Report

Market Cap: CA$34.5b

Fortis Valuation

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

Valuation Score

3/6

Valuation Score 3/6

  • 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 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
CA$301.86
Fair Value
77.2% undervalued intrinsic discount
17
Number of Analysts

Below Fair Value: FTS (CA$68.79) is trading below our estimate of fair value (CA$301.86)

Significantly Below Fair Value: FTS 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?

Key metric: As FTS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for FTS. This is calculated by dividing FTS's market cap by their current earnings.
What is FTS's PE Ratio?
PE Ratio20.3x
EarningsCA$1.70b
Market CapCA$34.50b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for FTS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.7x
H Hydro One
24.4x5.72%CA$29.8b
EMA Emera
22.1x6.76%CA$19.2b
CUP.U Caribbean Utilities Company
12.6x5.03%US$545.1m
ALA AltaGas
15.9x2.85%CA$12.4b
FTS Fortis
20.3x6.39%CA$34.5b

Price-To-Earnings vs Peers: FTS is expensive based on its Price-To-Earnings Ratio (20.3x) compared to the peer average (18.7x).

Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
FTS 20.3xIndustry Avg. 20.6xNo. of Companies6PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: FTS is good value based on its Price-To-Earnings Ratio (20.3x) compared to the North American Electric Utilities industry average (20.6x).

Price to Earnings Ratio vs Fair Ratio

What is FTS'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 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.3x
Fair PE Ratio18.6x

Price-To-Earnings vs Fair Ratio: FTS is expensive based on its Price-To-Earnings Ratio (20.3x) compared to the estimated Fair Price-To-Earnings Ratio (18.6x).

Analyst Price Targets

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

The above table shows the analyst FTS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$68.79
CA$66.94
-2.69%
9.88%CA$74.00CA$45.00n/a17
Jul ’26CA$65.02
CA$66.71
+2.59%
10.18%CA$74.00CA$45.00n/a17
Jun ’26CA$67.05
CA$66.56
-0.73%
9.97%CA$73.00CA$45.00n/a16
May ’26CA$67.80
CA$63.87
-5.80%
10.29%CA$70.00CA$42.00n/a15
Apr ’26CA$66.03
CA$63.10
-4.44%
9.56%CA$69.00CA$42.00n/a15
Mar ’26CA$63.44
CA$62.57
-1.38%
9.97%CA$69.00CA$42.00n/a15
Feb ’26CA$61.90
CA$60.46
-2.32%
8.56%CA$65.00CA$44.00n/a14
Jan ’26CA$59.73
CA$60.68
+1.59%
8.64%CA$65.00CA$43.00n/a14
Dec ’25CA$62.59
CA$60.75
-2.94%
8.58%CA$65.00CA$43.00n/a14
Nov ’25CA$59.74
CA$60.00
+0.44%
7.07%CA$65.00CA$46.00n/a14
Oct ’25CA$61.57
CA$58.93
-4.29%
9.24%CA$63.00CA$40.00n/a14
Sep ’25CA$59.30
CA$58.58
-1.21%
9.89%CA$63.00CA$40.00n/a12
Aug ’25CA$57.90
CA$57.00
-1.55%
9.95%CA$62.00CA$40.00CA$68.7912
Jul ’25CA$53.17
CA$55.83
+5.01%
10.15%CA$61.00CA$38.00CA$65.0213
Jun ’25CA$54.51
CA$56.20
+3.10%
10.00%CA$61.00CA$38.00CA$67.0514
May ’25CA$54.36
CA$55.99
+2.99%
9.95%CA$61.00CA$38.00CA$67.8014
Apr ’25CA$53.39
CA$55.77
+4.46%
10.55%CA$62.00CA$38.00CA$66.0316
Mar ’25CA$52.28
CA$55.75
+6.63%
11.01%CA$62.00CA$38.00CA$63.4416
Feb ’25CA$54.17
CA$56.40
+4.12%
11.16%CA$64.00CA$39.00CA$61.9016
Jan ’25CA$54.51
CA$56.22
+3.13%
10.62%CA$64.00CA$40.00CA$59.7316
Dec ’24CA$54.84
CA$55.97
+2.05%
11.37%CA$64.00CA$40.00CA$62.5915
Nov ’24CA$56.02
CA$56.03
+0.024%
11.29%CA$64.00CA$40.00CA$59.7415
Oct ’24CA$51.59
CA$58.25
+12.91%
6.96%CA$64.00CA$49.00CA$61.5714
Sep ’24CA$53.40
CA$59.17
+10.80%
6.74%CA$65.00CA$51.00CA$59.3015
Aug ’24CA$55.55
CA$60.03
+8.07%
6.19%CA$65.00CA$53.00CA$57.9015
AnalystConsensusTarget
Consensus Narrative from 17 Analysts
CA$66.94
Fair Value
2.8% overvalued intrinsic discount
17
Number of Analysts

Analyst Forecast: Target price is lower than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/08/03 19:48
End of Day Share Price 2025/08/01 00:00
Earnings2025/06/30
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Fortis Inc. is covered by 29 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Harshit GuptaAccountability Research Corporation
Daniel FordBarclays
Ross FowlerBarclays