ARE:CA:TSX-Aecon Group Inc (CAD)

COMMON STOCK | Engineering & Construction | TSX

Last Closing Price

CAD 16.73

Change

+0.05 (+0.30)%

Market Cap

CAD 1.01B

Volume

0.20M

Avg Analyst Target

CAD 22.80 (+36.28%)

Avg User Target

CAD
Average Analyst Rating

Verdict

Fundamental Analysis

Verdict


Aecon Group Inc (ARE) Stock Analysis:
Based on the Aecon Group Inc stock forecasts from 6 analysts, the average analyst target price for Aecon Group Inc is CAD 22.80 over the next 12 months. Aecon Group Inc’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of Aecon Group Inc is Neutral, which is based on 8 positive signals and 7 negative signals. At the last closing, Aecon Group Inc’s stock price was CAD 16.73. Aecon Group Inc’s stock price has changed by -0.27% over the past week, +0.27% over the past month and -6.06% over the last year.

About

Aecon Group Inc., together with its subsidiaries, provide construction and infrastructure development services to private and public sector clients in Canada, the United States, and internationally. It operates through two segments, Construction and Concessions. The Construction ...Read More

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

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Relative Returns (From:    To: 2022-01-19 )

Largest Industry Peers for Engineering & Construction

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
WSP:CA WSP Global Inc

-0.25 (-0.15%)

CAD19.95B 47.32 20.42
STN:CA Stantec Inc

-0.33 (-0.49%)

CAD7.43B 37.21 17.74
SNC:CA SNC-Lavalin Group Inc

-1.06 (-3.76%)

CAD4.96B 297.37 1.55
BAD:CA Badger Daylighting Ltd

N/A

CAD1.40B 310.00 17.69
BDGI:CA Badger Infrastructure Solution..

-1.91 (-5.99%)

CAD1.10B 5,953.33 16.62
BDT:CA Bird Construction Inc

-0.10 (-1.03%)

CAD0.52B 9.69 5.16
IBG:CA IBI Group Inc

-0.57 (-4.34%)

CAD0.41B 24.76 8.19
HNL:CA Dexterra Group Inc

N/A

CAD0.37B 3.28 9.51
DRT:CA DIRTT Environmental Solutions ..

-0.12 (-4.62%)

CAD0.22B 79.50 121.29

ETFs Containing ARE:CA

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Engineering & Construction)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -0.89% 100% A+ 51% F
Dividend Return N/A N/A N/A N/A N/A
Total Return -0.89% 100% A+ 50% F
Trailing 12 Months  
Capital Gain -6.06% 29% F 23% F
Dividend Return 3.93% 80% B- 71% C-
Total Return -2.13% 29% F 28% F
Trailing 5 Years  
Capital Gain 5.89% 43% F 43% F
Dividend Return 18.48% 80% B- 75% C
Total Return 24.37% 43% F 47% F
Average Annual (5 Year Horizon)  
Capital Gain 4.16% 25% F 42% F
Dividend Return 3.44% 67% D+ 78% C+
Total Return 7.60% 25% F 48% F
Risk Return Profile  
Volatility (Standard Deviation) 20.52% 100% A+ 49% F
Risk Adjusted Return 37.03% 50% F 38% F
Market Capitalization 1.01B 50% F 66% D
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Engineering & Construction)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 15.49 88% B+ 43% F
Price/Book Ratio 1.14 100% A+ 69% D+
Price / Cash Flow Ratio 3.69 100% A+ 69% D+
EV/EBITDA 5.43 75% C 74% C
Management Effectiveness  
Return on Equity 7.87% 50% F 48% F
Return on Invested Capital 6.45% 38% F 70% C-
Return on Assets 0.77% 50% F 33% F
Debt to Equity Ratio 76.82% 25% F 40% F
Technical Ratios  
Short Ratio 4.04 63% D 29% F
Short Percent 2.72% 25% F 47% F
Beta 0.96 88% B+ 60% D-
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (CAD)

Quarterly Financials (CAD)

Analyst Ratings

Target Price Action Rating Action Analyst Rating Price Date

No discussions yet

User / Independent Analyst Ratings

User Name Target Rating Target Horizon (Months) Target Price User Analysis Date Comment

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced on cashflow basis

The stock is trading low compared to its peers on a price to cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Superior Dividend Growth

This stock has shown top quartile dividend growth in the previous 5 years compared to its sector

What to not like:
Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Poor return on equity

The company management has delivered below median return on equity in the most recent 4 quarters compared to its peers.

Poor capital utilization

The company management has delivered below median return on invested capital in the most recent 4 quarters compared to its peers.

Poor return on assets

The company management has delivered below median return on assets in the most recent 4 quarters compared to its peers.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.