Emera, Inc. (EMA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Algonquin Power & Utilities Corp.

Emera, Inc.

Capital Power Corp.

Fortis, Inc.

Hydro One Ltd.

Brookfield Renewable Partners LP

ATCO Ltd.

Northland Power, Inc.

TransAlta Corp.

Boralex, Inc.

TransAlta Renewables, Inc.

Why is Emera, Inc. ?

High Debt Company with a Debt to Equity ratio (avg) at times

Poor long term growth as Net Sales has grown by an annual rate of 7.14% and Operating profit at 9.75% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) at times
The company has been able to generate a Return on Capital Employed (avg) of 3.87% signifying low profitability per unit of total capital (equity and debt)

Poor long term growth as Net Sales has grown by an annual rate of 7.14% and Operating profit at 9.75% over the last 5 years

The company declared negative results in Dec'24 after positive results in Sep'24

PRE-TAX PROFIT(Q) At CAD 182 MM has Fallen at -28.42%
NET PROFIT(Q) At CAD 191 MM has Fallen at -29.29%

With ROE of 8.51%, it has a very attractive valuation with a 1.44 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 22.68%, its profits have risen by 35.8% ; the PEG ratio of the company is 0.6

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Emera, Inc. should be less than 10%
Overall Portfolio exposure to Power should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Emera, Inc. for you?

Low Risk, High Return

Absolute

Risk Adjusted

Volatility

Emera, Inc.

18.96%

3.70

15.76%

S&P/TSX 60

23.72%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

9.42%

EBIT Growth (5y)

9.95%

EBIT to Interest (avg)

1.46

Debt to EBITDA (avg)

8.36

Net Debt to Equity (avg)

1.44

Sales to Capital Employed (avg)

0.22

Tax Ratio

Tax Ratio is Negative%

Dividend Payout Ratio

85.93%

Pledged Shares

Institutional Holding

54.02%

ROCE (avg)

3.87%

ROE (avg)

7.75%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.66

EV to EBIT

27.57

EV to EBITDA

15.10

EV to Capital Employed

1.26

EV to Sales

5.20

PEG Ratio

0.33

Dividend Yield

ROCE (Latest)

4.55%

ROE (Latest)

8.53%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bearish

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Bullish

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

NET PROFIT(9M)

Higher at CAD 1,075.93 MM

INVENTORY TURNOVER RATIO(HY)

Highest at 7.54 times

OPERATING PROFIT(Q)

Highest at CAD 805 MM

-4What is not working for the Company

CASH AND EQV(HY)

Lowest at CAD 440 MM

INTEREST(Q)

Highest at CAD 261 MM

Here's what is working for Emera, Inc.

Net Profit

At CAD 1,075.93 MM has Grown at 67.07%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

Operating Profit

Highest at CAD 805 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (CAD MM)

Inventory Turnover Ratio

Highest at 7.54 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Profit

Higher at CAD 1,075.93 MM

than preceding 12 month period ended Sep 2025

MOJO Watch

In the nine month period the company has already crossed sales of the previous twelve months

Net Profit (CAD MM)

Depreciation

Highest at CAD 324 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (CAD MM)

Here's what is not working for Emera, Inc.

Interest

Highest at CAD 261 MM

in the last five periods and Increased by 5.24% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)

Cash and Eqv

Lowest at CAD 440 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents