NYSE
FTS
Last Price
US $57.23
KEY FIGURES
MKT CAP
$29.6B
EPS
TTM
$3.55
PEG
TTM
10.08x
P/E
TTM
24.36x
P/S
TTM
2.44x
YIELD
3.07%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
7.51%
Return on equity
ROIC: 4%
Valuation History
24.4X
Price to Earnings
EV/EBITDA: 12.9X
Cash flow
Profit margin
6.37%
(FY vs FY)
EBITDA Y/Y
7.56%
(FY vs FY)
Cash flow Y/Y
-9.23%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $57.23
—
Default assumptions
EBITDA Multiple
Fair Value
Market $57.23
-76.03%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Fortis Inc. cash flow to debt ratio of 11.72% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial risk - Healthy cash flow growth.
Fortis Inc.'s free cash flow has decreased 62.57% from $-1.34G last year to $-2.17G, signaling decreasing performance
Financial risk - Healthy debt to equity ratio.
Fortis Inc.'s debt to equity ratio is 1.45, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial risk - Healthy debt to equity ratio development.
Fortis Inc.'s debt has increased relative to shareholder equity from 1.42 last year to 1.45 today, signaling weakened financials
Financial risk - Net debt/EBITDA.
Fortis Inc. has a net debt to EBITDA ratio of 5.83x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
Fortis Inc.'s interest coverage ratio of 2.35 indicates that earnings with margin can cover interest payments on company debt
Financial stability - Profit margin growth.
Fortis Inc.'s profit margin has increased (1.07%) in the last year from 14.60% to 14.75%, signaling increasing performance
Financial risk - Short term assets vs short term liabilities.
Fortis Inc.'s short-term liabilities of $7.51G exceed its short-term assets of $3.81G, signaling financial risk
Decreasing performance - ROA.
Fortis Inc.'s return on assets of 2.35% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
Fortis Inc.'s return on equity of 7.51%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
Fortis Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Fortis Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Decreasing performance - Free cash flow.
Fortis Inc. has negative free cash flow, indicating the company is burning cash rather than generating it
Decreasing performance - FCF yield.
Fortis Inc. has negative free cash flow, indicating cash burn
Increasing performance - Healthy earnings growth.
Fortis Inc.'s yearly earnings has increased 7.08% since last year from $1.68G to $1.80G, signaling increasing performance
Increasing performance - Healthy revenue growth.
Fortis Inc.'s yearly revenue has increased 5.75% since last year from $11.51G to $12.17G, signaling increasing performance
Decreasing performance - ROIC.
ROIC 4.00% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Increasing performance - 3-year revenue CAGR.
Fortis Inc.'s 3-year revenue CAGR of 3.29% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Fortis Inc. had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Fortis Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Fortis Inc. has insufficient data to evaluate this check.
Undervalued - Earnings yield.
Fortis Inc. has an earnings yield of 6.09%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
Fortis Inc. is overvalued relative to its fair value price of 13.72 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Fortis Inc. has an EV/EBITDA ratio of 12.89x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Fortis Inc. has a PEG-ratio over 1 which is considered overvalued
Undervalued - P/B ratio.
Fortis Inc. has a price-to-book ratio of 1.72x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Fortis Inc. has a price-to-sales ratio of 3.44x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue