Market Cap
US$3.4b
Last Updated
2020/10/21 00:17 UTC
Data Sources
Company Financials +
Executive Summary
ATCO Ltd., together with its subsidiaries, provides housing, logistics and transportation, agriculture, water, real estate, and energy and energy infrastructure solutions in Canada, Australia, and internationally. More Details
Rewards
Risk Analysis
Snowflake Analysis
Undervalued established dividend payer.
Similar Companies
Share Price & News
How has ATCO's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ACLL.F has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.03%
ACLL.F
0.7%
US Integrated Utilities
-1.3%
US Market
1 Year Return
-18.3%
ACLL.F
-5.9%
US Integrated Utilities
18.5%
US Market
Return vs Industry: ACLL.F underperformed the US Integrated Utilities industry which returned -5.9% over the past year.
Return vs Market: ACLL.F underperformed the US Market which returned 18.5% over the past year.
Shareholder returns
| ACLL.F | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.03% | 0.7% | -1.3% |
| 30 Day | -0.6% | 7.1% | 5.3% |
| 90 Day | -3.0% | 4.1% | 7.5% |
| 1 Year | -15.2%-18.3% | -2.5%-5.9% | 21.3%18.5% |
| 3 Year | -10.5%-19.7% | 21.6%9.0% | 42.4%32.9% |
| 5 Year | 20.2%1.9% | 63.8%36.7% | 84.2%63.5% |
Price Volatility Vs. Market
How volatile is ATCO's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is ATCO undervalued compared to its fair value and its price relative to the market?
15.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ACLL.F ($29.71) is trading below our estimate of fair value ($35.21)
Significantly Below Fair Value: ACLL.F is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: ACLL.F is good value based on its PE Ratio (11.9x) compared to the US Integrated Utilities industry average (18.4x).
PE vs Market: ACLL.F is good value based on its PE Ratio (11.9x) compared to the US market (19x).
Price to Earnings Growth Ratio
PEG Ratio: ACLL.F is good value based on its PEG Ratio (0.9x)
Price to Book Ratio
PB vs Industry: ACLL.F is good value based on its PB Ratio (1.1x) compared to the US Integrated Utilities industry average (1.9x).
Next Steps
Future Growth
How is ATCO forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
13.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ACLL.F's forecast earnings growth (13.9% per year) is above the savings rate (2.2%).
Earnings vs Market: ACLL.F's earnings (13.9% per year) are forecast to grow slower than the US market (22.2% per year).
High Growth Earnings: ACLL.F's earnings are forecast to grow, but not significantly.
Revenue vs Market: ACLL.F's revenue (4.4% per year) is forecast to grow slower than the US market (10.1% per year).
High Growth Revenue: ACLL.F's revenue (4.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ACLL.F's Return on Equity is forecast to be low in 3 years time (12.1%).
Next Steps
Past Performance
How has ATCO performed over the past 5 years?
16.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ACLL.F has a large one-off gain of CA$174.0M impacting its June 30 2020 financial results.
Growing Profit Margin: ACLL.F's current net profit margins (8.8%) are lower than last year (11%).
Past Earnings Growth Analysis
Earnings Trend: ACLL.F's earnings have grown by 16.3% per year over the past 5 years.
Accelerating Growth: ACLL.F's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ACLL.F had negative earnings growth (-28%) over the past year, making it difficult to compare to the Integrated Utilities industry average (6.5%).
Return on Equity
High ROE: ACLL.F's Return on Equity (9.3%) is considered low.
Next Steps
Financial Health
How is ATCO's financial position?
Financial Position Analysis
Short Term Liabilities: ACLL.F's short term assets (CA$1.9B) exceed its short term liabilities (CA$822.0M).
Long Term Liabilities: ACLL.F's short term assets (CA$1.9B) do not cover its long term liabilities (CA$13.1B).
Debt to Equity History and Analysis
Debt Level: ACLL.F's debt to equity ratio (120.5%) is considered high.
Reducing Debt: ACLL.F's debt to equity ratio has reduced from 122.2% to 120.5% over the past 5 years.
Debt Coverage: ACLL.F's debt is not well covered by operating cash flow (20%).
Interest Coverage: ACLL.F's interest payments on its debt are not well covered by EBIT (2.9x coverage).
Balance Sheet
Next Steps
Dividend
What is ATCO current dividend yield, its reliability and sustainability?
4.47%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: ACLL.F's dividend (4.47%) is higher than the bottom 25% of dividend payers in the US market (1.64%).
High Dividend: ACLL.F's dividend (4.47%) is low compared to the top 25% of dividend payers in the US market (4.68%).
Stability and Growth of Payments
Stable Dividend: ACLL.F's dividends per share have been stable in the past 10 years.
Growing Dividend: ACLL.F's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (51.2%), ACLL.F's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ACLL.F's dividends in 3 years are forecast to be covered by earnings (62% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.3yrs
Average management tenure
CEO
Nancy Southern (63 yo)
20.75yrs
Tenure
CA$2,075,300
Compensation
Ms. Nancy C. Southern has been Executive Chairman at CU Inc. She serves as Chief Executive Officer of ATCO Ltd. since January 2000. Ms. Southern served as the Chief Executive Officer at Canadian Utilities ...
CEO Compensation Analysis
Compensation vs Market: Nancy's total compensation ($USD1.58M) is below average for companies of similar size in the US market ($USD5.63M).
Compensation vs Earnings: Nancy's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chair & CEO | 20.75yrs | CA$2.08m | 0.54% CA$ 18.5m | |
| Executive VP & CFO | 3.33yrs | CA$2.16m | 0.038% CA$ 1.3m | |
| Member of Office of the Chair | no data | CA$2.14m | 0.072% CA$ 2.4m | |
| Executive Vice President of Puerto Rico | 0.75yr | CA$1.40m | 0.029% CA$ 973.5k | |
| President of Structures - ATCO Structures & Logistics Ltd. | no data | CA$1.34m | 0.0091% CA$ 308.8k | |
| Director of Investor Relations | no data | no data | no data | |
| Director of Corporate Communications | no data | no data | no data | |
| Executive Vice President of Corporate Development | 0.75yr | no data | no data | |
| Senior VP of IT & Real Estate and Special Advisor to the CEO | no data | CA$573.52k | no data | |
| Managing Director of Australian Operations & Chief Operating Officer of Australian Operations | 3.33yrs | no data | 0.0069% CA$ 233.2k | |
| Executive VP & GM of Utilities | no data | CA$1.55m | 0.031% CA$ 1.1m | |
| President of Frontec | no data | no data | no data |
3.3yrs
Average Tenure
58yo
Average Age
Experienced Management: ACLL.F's management team is considered experienced (3.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chair & CEO | 20.75yrs | CA$2.08m | 0.54% CA$ 18.5m | |
| Independent Director | 6.42yrs | CA$419.94k | 0.0069% CA$ 233.2k | |
| Independent Lead Director | 17.5yrs | CA$658.93k | 0.053% CA$ 1.8m | |
| Independent Director | 8.42yrs | CA$306.18k | 0.013% CA$ 436.9k | |
| Director | 12.75yrs | CA$253.00k | 0.019% CA$ 629.8k | |
| Independent Director | 11.42yrs | CA$245.00k | 0.022% CA$ 752.2k | |
| Independent Director | 6.42yrs | CA$231.00k | 0.0084% CA$ 284.7k | |
| Independent Director | 6.25yrs | CA$245.00k | 0.016% CA$ 528.5k | |
| Vice Chairman of the Board | 3.92yrs | CA$449.50k | 0.23% CA$ 7.7m |
7.8yrs
Average Tenure
73yo
Average Age
Experienced Board: ACLL.F's board of directors are considered experienced (7.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ACLL.F insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
ATCO Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: ATCO Ltd.
- Ticker: ACLL.F
- Exchange: OTCPK
- Founded: 1947
- Industry: Multi-Utilities
- Sector: Utilities
- Market Cap: CA$4.449b
- Listing Market Cap: CA$3.390b
- Shares outstanding: 114.35m
- Website: https://www.atco.com
Number of Employees
Location
- ATCO Ltd.
- West Building
- 4th Floor
- Calgary
- Alberta
- T3E 8B4
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ACO.X | TSX (The Toronto Stock Exchange) | Yes | Class I Non-Voting Shares | CA | CAD | Jan 1981 |
| 8A6 | DB (Deutsche Boerse AG) | Yes | Class I Non-Voting Shares | DE | EUR | Jan 1981 |
| ACLL.F | OTCPK (Pink Sheets LLC) | Yes | Class I Non-Voting Shares | US | USD | Jan 1981 |
| ACO.Y | TSX (The Toronto Stock Exchange) | Class II Voting Shares | CA | CAD | Jan 1981 | |
| ACLT.F | OTCPK (Pink Sheets LLC) | Class II Voting Shares | US | USD | Jan 1981 |
Biography
ATCO Ltd., together with its subsidiaries, provides housing, logistics and transportation, agriculture, water, real estate, and energy and energy infrastructure solutions in Canada, Australia, and internat ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/21 00:17 |
| End of Day Share Price | 2020/10/16 00:00 |
| Earnings | 2020/06/30 |
| 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.