कंपनी का अवलोकन
Fortis Inc. operates as a regulated utility entity providing essential electric and gas services across Canada, the United States, and various Caribbean nations. This sector classification places the firm within the Utilities - Regulated Electric industry, where operations are subject to government oversight and price regulation to ensure stable service delivery for retail consumers. The company serves a substantial base of approximately 459,000 retail customers, primarily located in southeastern Arizona including the greater Tucson metropolitan area, while employing a workforce of 9,926 individuals. With a market capitalization of $29.22 billion and annual revenues of $12.17 billion, Fortis Inc. represents a significant asset within the utility infrastructure landscape. These valuation figures indicate that the market assigns a high enterprise value to the company's regulated monopoly operations, reflecting the capital-intensive nature of generating, transmitting, and distributing electricity to a fixed customer base in specific geographic regions.
वित्तीय स्वास्थ्य
The company reported total revenue of $12.17 billion over the trailing twelve months, generating net income of $1.71 billion and an EBITDA of $5.63 billion. The substantial gap between the $12.17 billion in revenue and the $1.71 billion in net income reveals a cost structure heavily influenced by the high fixed costs inherent in utility operations, as well as the impact of significant interest expenses and taxes on bottom-line profitability. Free cash flow stands at -$2,633,250,048, indicating a cash outflow that suggests the company is currently investing heavily in capital expenditures required for infrastructure maintenance and expansion, which limits immediate financial flexibility for discretionary spending. Despite the negative free cash flow, the firm holds $367.00 million in cash while carrying a total debt load of $34.69 billion, resulting in a debt-to-equity ratio of 134.11. This high leverage ratio demonstrates that the balance sheet is significantly leveraged, relying on substantial debt financing to fund its asset base rather than maintaining a conservative equity-heavy structure. The current ratio of 0.51 indicates that current assets do not fully cover current liabilities, suggesting tight short-term liquidity conditions typical for capital-intensive utilities with high depreciation schedules. Return on equity is measured at 7.6%, while return on assets sits at 3.0%, metrics that reveal management's effectiveness in generating profits relative to shareholder equity and total asset base, respectively.
मूल्यांकन आकलन
The trailing twelve-month P/E ratio is 23.33, whereas the forward P/E is projected at 20.37, implying that the market expects earnings growth that will compress the valuation multiple over the next year. The price-to-book ratio of 1.83 suggests that the stock trades at a premium relative to its book value, reflecting the market's valuation of the company's intangible assets and regulated earning potential beyond the tangible asset base. Alternative valuation metrics such as the price-to-sales ratio of 2.40 and an EV/EBITDA of 11.93 provide context that the company is valued moderately within the utility sector, balancing high capital requirements against stable cash flows. The stock has traded between a 52-week high of $58.78 and a 52-week low of $43.28; without the specific current share price, the exact percentage deviation from these bounds cannot be calculated, but the range highlights the volatility floor and ceiling observed over the past year. The beta coefficient of 0.44 indicates that the stock price exhibits significantly lower volatility relative to the broader market, behaving as a defensive asset that tends to move less than the overall equity index during periods of market fluctuation.
Growth & Income
Revenue growth year-over-year stands at 4.4%, while earnings growth year-over-year is recorded at 5.0%, indicating that profitability is expanding at a slightly faster pace than top-line sales, which often implies improved operational efficiency or favorable regulatory rate adjustments. As a utility company, Fortis Inc. does not maintain a stated dividend yield in the provided facts, and the absence of a dividend payout ratio suggests the firm may be retaining earnings to fund its capital-intensive requirements rather than distributing them to shareholders. The combination of steady single-digit revenue growth and slightly higher earnings growth, coupled with a negative free cash flow period, paints a picture of a company prioritizing infrastructure reinvestment over immediate income distribution. The overall growth and income profile reflects a mature utility business with limited organic expansion opportunities, focusing instead on maintaining service levels and managing a highly leveraged balance sheet in a regulated environment.