Brookfield Corp

Sound bite for Twitter and StockTwits is: Dividend Paying Financial. Debt Ratios are fine. Results of stock price testing is that the stock price might still be reasonable. The Dividend Payout Ratios (DPR) are fine. The current dividend yield is low with dividend growth restarting. See my spreadsheet on Brookfield Corp.

Is it a good company at a reasonable price? I would never buy a company with a dividend yield less than 1%. They recently cut the dividends. I do not like this company as its set up is too complex. It keeps reorganizing by this I mean that the Brookfield group companies keep reorganizing. Analysts seem to think it is a good time to buy, but then give a low 12 month stock price. On Stock Chase, one analyst says sell because he thinks the business model is too complex. I agree. However, my testing does suggest that the current stock price is relatively reasonable. And in the past shareholders have done well.

I do not own this stock of Brookfield Corp (TSX-BN, NYSE-BN). I bought this stock as Hees International in 1987 and more in 1988, 1989 and 1990. At first dividends were semi-annual and there were some good dividend increases. There was a much lower dividend increase in 1991. Between 1991 and when I sold in 1999 there was no dividend increases. The stock was going nowhere at that time, so I sold. There have been a lot of name changes and amalgamations since I had this stock.

When I was updating my spreadsheet, I noticed things are as confusing as ever. TD Bank and WSJ have same values as I get, but for some reason others sites do not. The 2023 EPS diluted is $0.62. However, when Yahoo Finance gives estimates for 2024, it lists the EPS for 2023 at $4.14. WSJ list 2023 EPS at $2.08 but it indicates that this was their estimate for 2023. So perhaps that is the same for Yahoo. It is hard to find estimates for this stock. I got estimates for this stock in other years, but there is not much available now.

If you had invested in this company in December 2013, for $1,011.26 you would have bought 69 shares at $14.66 per share. In December 2023, after 10 years you would have received $1,140.78 in dividends. The stock would be worth $3,667.35. Your total return would have been $4,808.13. This would be a total return of 18.24% per year with 13.75% from capital gain and 4.49% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$14.66	$1,011.26	69	10	$1,140.78	$3,667.35	$4,808.13

The current dividend yield is low with dividend growth restarting. The current dividend yield is low (below 2%) at 0.60%. The 5 and 10 year median dividend yields are also low at 1.40% and 1.75%. The historical median dividend yield is moderate (2% to 4% ranges) at 2.44%. Did a spin-off of asset management business to shareholders in 2022 and in 2023 cut the dividends by 50%. The dividends were raised in 2024 by 14%. Over the past 36 years of data that I have, the dividends were raised 25 times, were flat 8 times and decreased 2 times.

The Dividend Payout Ratios (DPR) are fine. The DPR for 2023 for Earnings per Share (EPS) is good at 46% with 5 year coverage is too high at 183%. The DPR for 2023 for Funds from Operations (FFO) is good at 7% with 5 year coverage at 13%. The DPR for 2023 for Cash Flow per Share (CFPS) is good at 5% with 5 year coverage at 35%. The DPR for 2023 for Free Cash Flow (FCF) is currently negative with 5 year coverage good at 28%. For FCF sites do not agree on what it is, but seem to agree it was negative in 2023

Item	Cur	5 Years
EPS	45.90%	183.11%
FFO	7.34%	12.71%
CFPS	5.40%	34.93%
FCF	-334.44%	28.42%

Debt Ratios are fine. The Long Term Debt/Market Cap Ratio for 2023 is high at 3.82 and currently at 3.00. However, we need also to look at the Long Term Debt/Covering Assets Ratio for 2023 which is fine at 0.99 and currently at 0.98 because this is a more important one for a Financial. The Liquidity Ratio for 2023 is low at 1.35 and 1.44 currently. If you added in Cash Flow after dividends, the ratios are still low at 1.45 and fine currently at 1.53. The Debt Ratio for 2023 is good at 1.52 and 1.51 currently. The Leverage and Debt/Equity Ratios for 2023 are fine at 2.91 and 1.91 and currently at 2.97 and 1.97.

Type	Year End	Ratio Curr
Lg Term /A	0.99	0.98
Lg Term R	3.82	3.00
Intang/GW	1.21	0.88
Liquidity	1.35	1.44
Liq. + CF	1.45	1.53
Debt Ratio	1.52	1.51
Leverage	2.91	2.97
D/E Ratio	1.91	1.97

The Total Return per year is shown below for years of 5 to 36 to the end of 2023 in CDN$. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	-7.46%	20.67%	13.75%	6.91%
2013	10	2.88%	18.24%	13.75%	4.49%
2008	15	1.94%	19.72%	14.82%	4.90%
2003	20	3.49%	18.57%	13.55%	5.02%
1998	25	4.31%	18.74%	13.50%	5.24%
1993	30	3.58%	17.30%	12.31%	4.99%
1988	35	3.58%	12.18%	8.96%	3.22%
1987	36	3.94%	13.14%	9.50%	3.64%

The Total Return per year is shown below for years of 5 to 36 to the end of 2023 in US$. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	-6.89%	21.37%	14.42%	6.95%
2013	10	0.66%	15.38%	11.26%	4.12%
2008	15	1.42%	20.83%	15.21%	5.62%
2003	20	3.37%	18.97%	13.43%	5.54%
1998	25	4.95%	20.10%	14.15%	5.95%
1993	30	3.58%	17.35%	12.31%	5.04%
1988	35	3.28%	11.82%	8.64%	3.18%
1987	36	3.89%	13.24%	9.44%	3.80%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 15.90, 18.24 and 20.59. The corresponding 10 year ratios are 15.05, 17.27 and 18.42. The corresponding historical ratios are 12.42, 12.48 and 13.58. The current P/E Ratio is 15.22 based on a stock price of $73.75 and EPS estimate for 2024 of $4.85 ($3.51 US$). The current ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in CDN$.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/Earnings per Share Ratios are 7.46, 8.76 and 11.14. The corresponding 10 year ratios are 7.25, 8.61 and 10.79. The current ratio is 12.27 based on a stock price of $53.48 and FFO for last 12 months of $4.36. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$.

I get a Graham Price of $86.65. The 10-year low, median, and high median Price/Graham Price Ratios are 0.92, 1.04 and 1.21. The current P/GP Ratio is 0.85 based on a stock price of $73.75. The current ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I get a 10-year median Price/Book Value per Share Ratio of 1.22. The current P/B Ratio is 1.07 based on a Book Value of $75,246M, Book Value per Share of $48.89 and a stock price of $53.48. The current ratio is 12% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$. You will get a similar result in CDN$.

I get a 10-year median Price/Cash Flow per Share Ratio of 10.51. The current P/CF Ratio is 11.18 based on Cash Flow per Share estimate for 2024 of $3.65, Cash Flow of $5,505M and a stock price of $53.75. The current ratio is 95% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

I get an historical median dividend yield of 2.44%. The current dividend yield is 0.60% based on a stock price of $53.75 and dividends of $0.32. The current dividend yield is 75% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

I get a 10 year median dividend yield of 1.75%. The current dividend yield is 0.60% based on a stock price of $53.75 and dividends of $0.32. The current dividend yield is 66% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. This testing is in US$. You will get a similar result in CDN$.

The 10-year median Price/Sales (Revenue) Ratio is 0.70. The current P/S Ratio is 0.83 based on Revenue estimate for 2024 of $97,660M, Revenue per Share of $64.75 and a stock price of $53.75. The current ratio is 18% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median. This testing is in US$. You will get a similar result in CDN$, but difference between current ratio of 0.83 and 10 year ratio of 0.79 is only 5%

Results of stock price testing is that the stock price might still be reasonable. The dividend yield testing works best when dividends are rising. However, dividend cuts are never a good sign. Looking at the dividend yield testing, the stock price is expensive. The current dividends are very low. The P/S Ratio in US$ and reporting is in US$ show that the stock price is still in the reasonableness range but in the top end of the range. The rest of the testing varies from cheap to expensive.

When I look at analysts’ recommendations, I find Strong Buy (4), Buy (4), Hold (1), and Sell (1). There is a wide divergence of opinion. The consensus would be a Buy. The 12 month stock price consensus is $60.09 ($43.53 US$) with a high of $70.53 ($51.09 US$) and low of $49.67 ($35.98 US$). The 12 month stock price and recommendations seem out of sync. A 12 month stock price of $60.09 implies a total loss of 17.92% with 18.52 capital loss and 0.60% from dividends based on a current stock price of $73.75.

Analysts on Stock Chase gives this stock lots of buys, but there are Do Not Buy. One says too complex business model, another says dividends are too low and another is concerned that the company owns too many office buildings. Stock Chase gives this stock 5 starts out of 5. Jitendra Parashar on Motley Fool says strong fundamentals suggests it will outperform in the next 5 years. Andrew Button on Motley Fool says he likes value stocks like this company. The company put out a Press Release about their results for 2024. The company put out a Press Release about their second quarters of 2024 results.

Simply Wall Street via Yahoo Finance looks at insider buying. Simply Wall Street has 4 warnings out on this stock of interest payments are not well covered by earnings; earnings have declined by 14.3% per year over past 5 years; significant insider selling over the past 3 months; and large one-off items impacting financial results. Simply Wall Street gives this stock 3 and one half stars out of 5.

Brookfield Corp is an investment firm focused on building long-term wealth for institutions and individuals. It has three businesses Asset Management, Insurance Solutions, and Operating Businesses. it invests in real assets that form the backbone of the economy to deliver risk-adjusted returns to stakeholders. It generates the majority of its revenue from Asset Management. It has a geographic presence in the UK, the United States, Australia, Canada, Brazil, India, and other countries. Its web site is here Brookfield Corp.

The last stock I wrote about was about was Molson Coors Canada (TSX-TPX.B, NYSE-TAP) ... learn more. The next stock I will write about will be CCL Industries Inc (TSX-CCL.B, OTC-CCDBF) ... learn more on Friday, October 18, 2024 around 5 pm. Tomorrow on my other blog I will write about Canadian National Railway.... learn more on Thursday, October 17, 2024 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Molson Coors Canada

Sound bite for Twitter and StockTwits is: Dividend Growth Consumers. Debt Ratios are mostly fine, but the Liquidity Ratio is too low. The Dividend Payout Ratios (DPR) are good. The current dividend yield is moderate with returning dividend growth. See my spreadsheet on Molson Coors Canada.

Is it a good company at a reasonable price? I am assuming in my analysis that Molson Coors Canada and Molson Coors Brewing Company are the same, one on the Canadian market and one on the US market. I would think that analysts are rather negative on this stock because of the lack of Revenue growth over the past 5 years. Growth was 1.67% per year. Dividends were also cut in 2020 and are still not back where they were in 2019. On the other hand, this stock is testing as cheap.

I do not own this stock of Molson Coors Canada (TSX-TPX.B, NYSE-TAP). In 2008 I did a spreadsheet on this stock as it has recently been recommended and generally, beer companies make good money. Labatt’s was one of the original companies that I purchased and I did very well with it before it was bought out. Molson Coors was formed in 2005 through the merger of Molson of Canada, and Coors of the United States.

When I was updating my spreadsheet, I noticed that Revenue has just grown by 1.67% per year. However, in the last 3 years, Revenue has grown by 6.48%, 4.10% , 9.36% respectively. Also, Adjusted Earnings per Share (AEPS) has only grown by 1.50% per year over the past 5 years, but over the last 3 years it has grown by 5.87%, -1.20%, 32.44%, respectively.

If you had invested in this company in December 2013, for $1,014.05 you would have bought 17 shares at $59.65 per share. In December 2023, after 10 years you would have received $315.20 in dividends. The stock would be worth $1,361.53. Your total return would have been $1,676.73. This would be a total return of 5.74% per year with 2.99% from capital gain and 2.75% from dividends. This is in CDN$ for TPX-B.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$59.65	$1,014.05	17	10	$315.20	$1,361.53	$1,676.73

The current dividend yield is moderate with returning dividend growth. The current dividend is moderate (2% to 4%) ranges at 3.14%. The 5 and 10 year median dividend yields are also moderate at 2.74% and 2.17%. The historical median dividend yield is low (below 2%) at 1.88%. After the dividends were cut by 71% in 2020, they have grown by 209%. However, the dividends are still 10% below the dividends of 2019.

The Dividend Payout Ratios (DPR) are good. The DPR for 2023 for Earnings per Share (EPS) is good at 37% with 5 year coverage is too high at 130%. The DPR for 2023 for Adjusted Earnings per Share (AEPS) is good at 30% with 5 year coverage at 28%. The DPR for 2023 for Cash Flow per Share (CFPS) is good at 15% with 5 year coverage at 134%. The DPR for 2023 for Free Cash Flow (FCF) is good at 25% with 5 year coverage at 24%.

Item	Cur	5 Years
EPS	37.53%	129.74%
AEPS	30.20%	28.27%
CFPS	15.07%	13.31%
FCF	25.19%	24.13%

Debt Ratios are mostly fine, but the Liquidity Ratio is too low. The Long Term Debt/Market Cap Ratio for 2023 is good at 0.38 and currently at 0.48. The Liquidity Ratio for 2023 is too low at 0.78 and 0.95 currently. If you added in Cash Flow after dividends, the ratios are still low at 1.29 and currently at 1.37. I like them to be at 1.50 or higher. The Debt Ratio for 2023 is good at 2.04 and 1.96 currently. The Leverage and Debt/Equity Ratios for 2023 are fine at 2.00 and 0.98 and currently at 2.06 and 1.06.

Type	Year End	Ratio Curr
Lg Term R	0.38	0.48
Intang/GW	1.30	1.41
Liquidity	0.78	0.95
Liq. + CF	1.29	1.37
Debt Ratio	2.04	1.96
Leverage	2.00	2.08
D/E Ratio	0.98	1.06

The Total Return per year is shown below for years of 5 to 28 to the end of 2023 in CDN$. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	-0.62%	2.49%	0.43%	2.07%
2013	10	4.77%	5.74%	2.99%	2.75%
2008	15	5.82%	4.54%	2.18%	2.36%
2003	20	6.79%	6.22%	2.73%	3.49%
1998	25	6.05%	11.34%	6.42%	4.92%
1995	28	5.01%	10.11%	6.21%	3.91%

The Total Return per year is shown below for years of 5 to 33 to the end of 2023 in US$. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	0.00%	3.93%	1.74%	2.19%
2013	10	2.51%	3.36%	0.87%	2.49%
2008	15	5.26%	4.30%	1.77%	2.53%
2003	20	7.18%	6.72%	3.98%	2.74%
1998	25	7.03%	5.36%	3.15%	2.21%
1993	30	6.47%	10.34%	6.96%	3.38%
1990	33	5.87%	8.25%	5.56%	2.69%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 9.39, 11.27 and 13.15. The corresponding 10 year ratios 10.96, 13.63 and 15.86. The corresponding historical ratios are 12.96, 14.81 and 18.54. The current P/E Ratio is 9.74 based on EPS of $7.82 and a stock price of $56.07. The current ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Earnings per Share Ratios are 10.45, 12.54 and 14.64. The corresponding 10 year ratios 11.00, 12.93 and 14.70. The current ratio is 9.80 based on AEPS for 2024 of $5.72 and a stock price of $56.07. The current ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

I get a Graham Price of $84.40. The 10-year low, median, and high median Price/Graham Price Ratios are 0.65, 0.77 and 0.91. The current ratio is 0.73 based on a stock price of $56.07. This ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$.

I get a 10-year median Price/Book Value per Share Ratio of 1.10. The current P/B Ratio is 0.97 based on a Book Value of $13,180M, Book Value per Share of $58.01 and a stock price of $56.07. The current ratio is 12% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. This testing is in US$.

I also have a Book Value per Share estimate for 2024 of $64.52. This implies a current r4atio of 0.87 based on a stock price of $56.07 and a Book Value of $14,659M. The current ratio is 21% below the 10 year median ratio. This stock price testing suggests that the stock price is cheap. This testing is in US$.

I get a 10-year median Price/Cash Flow per Share Ratio of 7.77. The current P/CF Ratio is 5.86 based on a Cash Flow per Share estimate for 2024 of $9.57, Cash Flow of $2,174M and a stock price of $56.07. The current ratio is 25% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

I get an historical median dividend yield of 1.88%. The current dividend yield is 3.14% based on a stock price of $56.07 and dividends of $1.76. The current dividend yield is 67% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

I get a 10 year median dividend yield of 2.17%. The current dividend yield is 3.14% based on a stock price of $56.07 and dividends of $1.76. The current dividend yield is 45% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

The 10-year median Price/Sales (Revenue) Ratio is 1.36. The current P/S Ratio is 1.08 based on Revenue estimate for 2024 of $11,759M, Revenue per Share of $51.76 and a stock price of $56.07. The current ratio is 20% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap. This testing is in US$.

Results of stock price testing is that the stock price is probably cheap. The dividend yield testing is saying that the stock price is cheap. This is confirmed by the P/S Ratio test. Most of the rest of the testing is saying the same thing.

When I look at analysts’ recommendations for TAP, I find Strong Buy (1), Buy (3), Hold (13), Underperform (1), and Sell (2). This is a very mixed bag. The consensus would be a Hold. The 12 month stock price is $60.02 with a high of $75.00 and low of $47.00. The consensus stock price of $60.02 implies a total return of 10.18% with 7.04% from capital gains and 3.14% from dividend based on a current stock price of $56.07.

Note for TPX-B, I cannot find any analysts recommendations.

There is only one entry on Stock Chase for 2024 and it is a Do Not Buy. Stock Chase gives this stock 3 stars out of 5. Analysts says that there is societal move towards non-alcoholic drinks. Tough Space. There are no recent entries for this stock in Canada. There is a US entry on TAP in a video on Motley Fool. The company put out a Press Release about their fourth quarter of 2023. The company put out a Press Release about their second quarter of 2024.

Simply Wall Street seems to have no report on this stock. They give the Molson Coors Canada TPX.B stock one star out of 5, however, they give Molson Coors Beverage TAP, 3 and one half stars out of 5. There are three warnings on Simply Wall Street of earnings are forecast to decline by an average of 1.6% per year for the next 3 years; has a high level of debt; and unstable dividend track record.

Molson Coors Canada Inc is a large global brewer and distributor of beer and other malt beverages. Its breweries are located across the U.S., Canada, and Europe, with the majority of the company's revenue generated in the Americas. Its web site is here Molson Coors Canada.

The last stock I wrote about was about was Pason Systems Inc (TSX-PSI, OTC-PSYTF) ... learn more. The next stock I will write about will be Brookfield Corp (TSX-BN, NYSE-BN) ... learn more on Wednesday, October 16, 2024 around 5 pm. Tomorrow on my other blog I will write about 10 Best Personal Finance Tips.... learn more on Tuesday, October 15, 2024 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Pason Systems Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Industrial. Results of stock price testing is that the stock price is probably reasonable, but could be cheap. Debt Ratios are good and some are very good like the Liquidity Ratio which is an important one. The Dividend Payout Ratios (DPR) are currently good. The current dividend yield is moderate with dividend growth restarting. See my spreadsheet on Pason Systems Inc.

Is it a good company at a reasonable price? This is a small cap, so there are risks because of that. You should not invest in small cap stock money that you cannot afford to lose. This company is also dependent on the oil and gas industries which are cyclical, so this is another risk. It is a positive that the dividends have been restarted and are getting close to what they used to be. Most of the testing is showing the stock price as cheap, and this is especially true of the P/S Ratio test. So, the current stock price could very well be cheap.

I do not own this stock of Pason Systems Inc (TSX-PSI, OTC-PSYTF). I read a report on this stock in the Buy and Sell Advisor in September 2013. I had not heard of this dividend growth company before so I decided to investigate it.

When I was updating my spreadsheet, I noticed insiders either kept the shares they had or sold some. None that I follow have bought any shares. Revenue and Cash Flow went up in 2023, but Earnings went down. Revenue, Cash Flow and Earnings are expected to rise this year. The stock price went up a bit in 2023, but is down 11% this year

If you had invested in this company in December 2013, for $1,011.12 you would have bought 44 shares at $22.98 per share. In December 2023, after 10 years you would have received $246.84 in dividends. The stock would be worth $711.48. Your total return would have been $958.32. This would be a total loss of .61% per year with 3.45% from capital loss and 2.48% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$22.98	$1,011.12	44	10	$246.84	$711.48	$958.32

The current dividend yield is moderate with dividend growth restarting. The current dividend yield is moderate (2% to 4% ranges) at 3.63%. The 5, 10 and historical median dividend yields are also moderate at 3.46%, 3.51% and 2.50%. Dividends were cut over 70% in 2020. The company started to increase the dividends again in 2021, but they are still almost 30% below the dividends given in 2019. Dividends to date are down by 6.8% per year over the past 5 years.

The Dividend Payout Ratios (DPR) are currently good. The DPR for 2023 for Earnings per Share (EPS) is good at 40% with 5 year coverage high at 62%. The DPR for 2023 for Funds from Operations (FFO) is good at 25% with 5 year coverage at 45%. The DPR for 2023 for Cash Flow per Share (CFPS) is good at 24% with 5 year coverage at 36%. The DPR for 2023 for Free Cash Flow (FCF) is good at 42% with 5 year coverage is high at 62%.

Item	Cur	5 Years
EPS	39.67%	62.26%
FFO	25.00%	45.47%
CFPS	24.76%	36.11%
FCF	42.45%	62.36%

Debt Ratios are good and some are very good like the Liquidity Ratio which is an important one. The Long Term Debt/Market Cap Ratio for 2023 is good at 0.02 and currently at 0.01. The Liquidity Ratio for 2023 is very good at 4.84 and 2.62 currently. If you added in Cash Flow after dividends, the ratios are fine at 1.53 and currently at 1.76. The Debt Ratio for 2023 is very good at 5.61 and 5.05 currently. With both these ratios a ratio is 1.50 or higher is good. The Leverage and Debt/Equity Ratios for 2023 are good at 1.20 and 0.21 and currently at 1.23 and 0.24.

Type	Year End	Ratio Curr
Lg Term R	0.02	0.01
Intang/GW	0.03	0.19
Liquidity	4.84	2.62
Liq. + CF	6.59	3.90
Debt Ratio	5.61	5.05
Leverage	1.20	1.23
D/E Ratio	0.21	0.24

The Total Return per year is shown below for years of 5 to 27 to the end of 2023. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	-7.27%	0.16%	-2.43%	2.60%
2013	10	-2.68%	-0.61%	-3.45%	2.84%
2008	15	6.96%	4.27%	0.94%	3.33%
2003	20	13.99%	8.50%	4.83%	3.67%
1998	25		19.14%	13.19%	5.95%
1996	27		18.89%	13.46%	5.44%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 18.39, 23.27, and 28.15. The corresponding ratios for 10 year median ratios are 17.12, 22.14 and 27.15. The corresponding historical ratios are 13.59, 19.77 and 24.74. The current P/E Ratio is 9.37 based on a stock price of $14.34 and EPS estimate for 2024 of $1.53. The current ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/ Funds from Operations Ratios are 9.20, 11.63 and 14.07. The corresponding ratios for 10 year median ratios are 10.04, 12.92 and 15.56. The current ratio is 7.47 based on FFO for the past 12 months of $1.98 and a stock price of $14.34. The current ratio is below the low ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I get a Graham Price of $ 14.32. The 10-year low, median, and high median Price/Graham Price Ratios are 1.79, 2.37 and 2.74. The current ratio is 1.00 based on a stock price of $14.34. This ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I get a 10-year median Price/Book Value per Share Ratio of 3.62. The current ratio is 2.41 based on a Book Value for the last 12 months of $474M, Book Value per Share of $5.95 and a stock price of $14.34. The current ratio is 33% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get a 10-year median Price/Cash Flow per Share Ratio of 13.01. The current ratio is 8.73 based on Cash Flow per Share estimate for 2024 of $1.64, Cash Flow of $131M and a stock price of $14.34. The current ratio is 33% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 2.50%. The current dividend yield is 3.63% based on Dividends of $0.52 and a Stock Price of $14.34. The current dividend yield is 45% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

I get a 10 year median dividend yield of 3.51%. The current dividend yield is 3.63% based on Dividends of $0.52 and a Stock Price of $14.34. The current dividend yield is 3% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

The 10-year median Price/Sales (Revenue) Ratio is 4.94. The current ratio is 2.74 based on Revenue estimate for 2024 of $417.5M, Revenue per Share of $5.24 and a stock price of $14.34. The current ratio is 45% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

The dividend yield testing for the last 10 years show that the stock price is reasonable. This test works best when dividends are increasing. The dividends on this stock were cut and then restarted. The P/S Ratio test says that the stock price is cheap. This could be right. All the rest of the testing is showing the stock price was cheap.

When I look at analysts’ recommendations, I find Strong Buy (2), Buy (2) and Hold (1). The consensus would be a Strong Buy. The 12 month stock price consensus is $18.40 with a high of $20.00 and low of $18.00. The consensus stock price of $18.40 implies a total return of 31.94%, with 28.31% from capital gains and 3.63% from dividends based on a current stock price of $14.34.

There is only one entry for 2024 on Stock Chase and the recommendation is a Hold. Problem is current lower level of drilling activity. Good sign that the company recently increased dividends by 8%. Stock Chase gives this stock 3 stars out of 5. Karen Thomas on Motley Fool looks at this company in late 2023 and says it is a technological leader in the oil patch.. Iain Butler on Motley Fool said mid 2023 that commodities stocks have been cast aside so now was a good time to invest. The company put out a press release via Newswire about their fourth quarter of 2023. The company put out a press release via Newswire about their second quarter of 2024.

Simply Wall Street via Yahoo Finance put out a report Undervalued Small Caps in Canada with insider Buying and include this stock. Simply Wall Street via Yahoo Finance talks about who owns shares in this company. Simply Wall Street put out 2 warnings on this stock of large one-off items impacting financial results; and unstable dividend track record. Simply Wall Street gives this stock 3 and one half stars out of 5.

Pason Systems Inc is a provider of instrumentation and data management systems for drilling rigs. The company reports on three strategic business units: The North American (Canada and the United States) and International (Latin America, including Mexico, Offshore, the Eastern Hemisphere, and the Middle East) business units, all of which offer technology services to the oil and gas industry, and the Solar and Energy Storage business unit, which provides technology services to solar and energy storage developers. Its web site is here Pason Systems Inc.

The last stock I wrote about was about was EQB Inc (TSX-EQB, OTC-EQGPF) ... learn more. The next stock I will write about will be Molson Coors Canada (TSX-TPX.B, NYSE-TAP) ... learn more on Monday, October 14, 2024 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures

EQB Inc

Sound bite for Twitter and StockTwits is: Dividend Growth Financial. Results of stock price testing is that the stock price could be still reasonable. Debt Ratios are good. The Dividend Payout Ratios (DPR) are good. The current dividend yield is low with dividend growth good. See my spreadsheet on EQB Inc.

Is it a good company at a reasonable price? This financial has done very well for investors since being listed on the TSX 20 years ago. It is on the current Money Sense dividend stock list. The analysts on Stock Chase speak well of this bank, but are concerned about the next credit cycle. Even though it is rated as a Buy, analysts do not expect much in the way of growth over the next year. The stock price seems to be in the reasonableness space at this time.

I do not own this stock of EQB Inc (TSX-EQB, OTC-EQGPF). I had read a glowing report on investing on this company in 2013, so I decided to check it out. It was interesting as it was loaning money to new immigrants, a class of people who generally have a difficult time getting loans and mortgages from our regular banks. It sounded intriguing.

When I was updating my spreadsheet, I noticed that they changed their financial reporting dated from December 31 each year to October 31. Therefore, the financial statements I am reviewing are for 10 months ending in October 31, 2023. Even though the coverage was for 10 months, Revenue, Earnings and Cash Flow all went up. For example, Revenue was up 14% for the 10 months ending October 2023 compared to Revenue for the 12 months ending December 2022.

Also, the stock price between December 2022 and 2023 is up by 54% and up by 19% so far this year. Analysts do not expect much growth this year as the 12 month consensus stock price would see a total return of 3.10% with 1.32 from capital gains and 1.78% from dividends based on a current stock price of $105.47.

In the chart below, I am showing 5 and 10 year total growth and per year growth in columns 3 and 4. Column 5 shows growth expected over 12 months to the first quarter in 2024 and expected growth over this year. There is good growth except for the expected negative cash flow for 2024.

Yr	Item	Tot. Gwth	Per Year	Gwth	Coverage
5	Revenue Growth	140.62%	19.20%	10.01%	<-12 mths
5	AEPS Growth	86.21%	13.24%	4.89%	<-12 mths
5	Net Income Growth	126.65%	17.78%	12.38%	<-12 mths
5	Cash Flow Growth	209.68%	25.37%	-2371%	<-12 mths
5	Dividend Growth	109.52%	15.94%	58.18%	<-12 mths
5	Stock Price Growth	195.09%	24.16%	20.93%	<-12 mths
10	Revenue Growth	380.29%	16.99%	51.38%	<-this year
10	AEPS Growth	219.57%	12.32%	22.02%	<-this year
10	Net Income Growth	289.81%	14.57%	62.92%	<-this year
10	Cash Flow Growth	111.97%	7.80%	-2371%	<-this year
10	Dividend Growth	279.31%	14.26%	59.64%	<-this year
10	Stock Price Growth	243.70%	13.14%	22.53%	<-this year

If you had invested in this company in December 2013, for $1,015.20 you would have bought 40 shares at $25.38 per share. In December 2023, after 10 years you would have received $259.80 in dividends. The stock would be worth $3,489.20. Your total return would have been $3,749.00. This would be a total return of 14.49% per year with 13.14% from capital gain and 1.35% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$25.38	$1,015.20	40	10	$259.80	$3,489.20	$3,749.00

The current dividend yield is low with dividend growth good. The current dividend yield is low (below 2%) at 1.80%. The 5, 10 and historical dividend yields are low at 1.66%, 1.58% and 1.55%. The dividends have grown at a good rate (15% or higher) over the past 5 years. The last dividend increase was in 2024 and it was for 4.4%. (However, this company tends to raise the dividends every quarter.)

The Dividend Payout Ratios (DPR) are good. The DPR for 2023 for Earnings per Share (EPS) is good at 11% with 5 year coverage at 12%. The DPR for 2023 for Adjusted Earnings per Share (AEPS) is good at 12% with 5 year coverage at 11%. The DPR for 2023 for Cash Flow per Share (CFPS) is good at 7% with 5 year coverage at 6%. The DPR for 2023 for Free Cash Flow (FCF) is good at 7% with 5 year coverage at 9%.

Item	Cur	5 Years
EPS	11.47%	11.59%
AEPS	11.70%	11.12%
CFPS	6.98%	5.58%
FCF	7.39%	8.99%

Debt Ratios are good. The Long Term Debt/Market Cap Ratio for 2023 is 14.07 and currently at 12.00. However, we need also to look at the Long Term Debt/Covering Assets Ratio for 2023 which is good at 0.89 and currently at 0.90 because this is a more important one for a financial. The Liquidity Ratio for 2023 is good at 2.93 and 2.65 currently, but this is not an important one for financials. The Debt Ratio for 2023 is fine for a financial at 1.06 and 1.06 currently.

Type	Year End	Ratio Curr
Lg Term A	0.89	0.90
Lg Term R	14.07	12.00
Intang/GW	0.02	0.03
Liquidity	2.93	2.65
Liq. + CF	2.91	2.36
Debt Ratio	1.06	1.06

The Total Return per year is shown below for years of 5 to 20 to the end of 2023. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	15.94%	26.05%	24.16%	1.98%
2013	10	14.26%	14.49%	13.14%	1.48%
2008	15	12.04%	21.88%	19.70%	2.24%
2003	20	8.34%	11.73%	10.62%	1.20%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 4.87, 7.17 and 9.44. The corresponding 10 year median ratios are 5.43, 7.04 and 6.74. The corresponding historical ratios are 5.47, 6.85 and 8.98. The current P/E Ratio is 9.39 based on a stock price of $105.49 and EPS estimate for 2024 of $11.23. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 4.94, 7.06 and 9.28. The corresponding 10 year median ratios are 5.09, 6.9 and 8.57. The current P/E Ratio is 9.20 based on a stock price of $105.49 and AEPS estimate for 2024 of $11.47. The current ratio is above the high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive.

I get a Graham Price of $143.53. The 10-year low, median, and high median Price/Graham Price Ratios are 0.40, 0.54 and 0.69. The current P/GP Ratio is 0.73 based on a stock price of $105.49. The current ratio is above the high ratio of the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Book Value per Share Ratio of 0.99. The current P/GP Ratio is 1.32 based on a Book Value of $3,064M, Book Value per Share of $79.83 and a stock price of $105.49. The current ratio is 34% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I also have a Book Value per Share estimate for 2024 of $79.56. This implies a ratio of 1.33 with a stock price of $105.49 and Book Value of $3,054M. This ratio is 34% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

I get a 10-year median Price/Cash Flow per Share Ratio of 3.47. However, the 12 month Cash Flow to the end of the second quarter is negative, so I cannot do any testing here.

I get an historical median dividend yield of 1.55%. The current dividend yield is 1.78% based on dividends of $1.88 and a stock price of $105.49. The current dividend yield is 15% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10 year median dividend yield of 1.58%. The current dividend yield is 1.78% based on dividends of $1.88 and a stock price of $105.49. The current dividend yield is 13% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively reasonable and below the median.

The 10-year median Price/Sales (Revenue) Ratio is 3.19. The current P/S Ratio is 3.19 based on a Revenue estimate for 2024 of $1,269M, Revenue per Share of $33.06 and a stock price of $105.49. The current ratio is at the ratio for the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and at the median.

Results of stock price testing is that the stock price could be still reasonable. The dividend yield testing says that the stock price is reasonable and below the median. The P/S Ratio test says that the stock price is reasonable and at the median. The other tests all say that the stock price is expensive. However, a problem with all the rest of the testing is the ratios are very low. For example, all the P/E Ratios and P/AEPS Ratios are below 10.00 and a ratio is 10.00 is considered a low ratio.

When I look at analysts’ recommendations, I find Strong Buy (2), Buy (4), Hold (1) and Underperform (1). The consensus would be a Buy. The 12 month stock price consensus is $106.88 with a high of $116.00 and low of $88.00. The consensus stock price of $106.88 implies a total return of 3.10% with 1.32 from capital gains and 1.78% from dividends based on a current stock price of $105.47.

Generally, analyst on Stock Chase like this bank, but some worry about the next credit cycle. Stock Chase gives this stock 3 stars out of 5. Aditya Raghunath on Motley Fool talks about his favourite stocks to buy now. Andrew Button on Motley Fool reviews this stock and thinks it is a buy. The company put out a press release via Newswire about the results for 2023. The company put out a press release via Newswire about its third quarter of 2024.

Simply Wall Street reviews this stock via Yahoo Finance. They issue one warning of Significant insider selling over the past 3 months. (It looks like insiders are not taking up all their options rather than selling. Over the past year the CEO, CFO and Chairman all increased their holdings.) Simply Wall Street gives this stock 3 and one half stars out of 5.

EQB Inc operates through its wholly owned subsidiary, Equitable Bank, Canada's Challenger Bank. It serves Canadians through two business lines, Personal Banking and Business Banking. The company differentiates by providing a host of challenger bank deposit services, alternative single-family lending, reverse mortgage lending, insurance lending, Specialized finance, Commercial finance group, Equipment financing, credit union services and trust services. Its web site is here EQB Inc.

The last stock I wrote about was about was Medtronic PLC (NYSE-MDT) ... learn more. The next stock I will write about will be Pason Systems Inc (TSX-PSI, OTC-PSYTF) ... learn more on Friday, October 11, 2024 around 5 pm. Tomorrow on my other blog I will write about EQ Bank and Wealthsimple.... learn more on Thursday, October 10, 2024 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

Medtronic PLC

Sound bite for Twitter and StockTwits is: Dividend Growth Health Care. Results of stock price testing is that the stock price is testing as reasonable, but could be cheap. Debt Ratios are good. The Dividend Payout Ratios (DPR) could be better. The current dividend yield is moderate with dividend growth low. See my spreadsheet on Medtronic PLC.

Is it a good company at a reasonable price? The analyst’s consensus comes to a Buy, but the recommendations run from Strong Buy to Sell. There is a huge amount of difference in what analysts think about this stock at present. Even so, most analysts have positive remarks on this company. This stock is a Health Care stock and there are few of these in Canada. My testing is showing that the stock price is relatively reasonable. It maybe cheap, because the dividend tests say so.

I do not own this stock of Medtronic PLC (NYSE-MDT). In 2009 I was looking for a good US stock for my US$ account. I had heard good things about this stock and also it is in Health Care sector which is a weak sector in Canada. This is one of the few US stocks that I follow.

When I was updating my spreadsheet, I noticed that the last two dividend increases have been very low. Last year the increase was for 1.47% and this year for 1.45%. If you look at the past, 10 years ago and earlier, Dividend Payout Ratios were lower in to 20% to 30% ranges. About 10 years ago, the DPRs increased to 50% to 60% and lately 90% to 100%. This might account for the much lower dividend increases. However, the DPR for Adjusted Earnings per Share is much better in the 40% to 50% ranges.

This company has a financial year ending each year at April 30. Therefore, the financial year I am reviewing is for April 30, 2024. I am also updating my spreadsheet for the first quarter of 2025 of July 2024.

In the chart below, I am showing 5 and 10 year total growth and per year growth in columns 3 and 4. Column 5 shows growth expected over 12 months to the first quarter in 2024 and expected growth over this year. For this year analysts are expecting some growth in Revenue and AEPS, and some good growth in Net Income and Cash Flow.

Yr	Item	Tot. Gwth	Per Year	Gwth	Coverage
5	Revenue Growth	5.91%	1.16%	-23.47%	<-12 mths
5	AEPS Growth	13.29%	2.53%	46.73%	<-12 mths
5	Net Income Growth	-21.23%	-4.66%	6.88%	<-12 mths
5	Cash Flow Growth	-3.14%	-0.64%	0.31%	<-12 mths
5	Dividend Growth	38.00%	6.65%	1.45%	<-12 mths
5	Stock Price Growth	-9.65%	-2.01%	8.87%	<-12 mths
10	Revenue Growth	90.32%	6.65%	3.76%	<-this year
10	AEPS Growth	28.62%	2.55%	4.81%	<-this year
10	Net Income Growth	19.02%	1.76%	40.98%	<-this year
10	Cash Flow Growth	36.86%	3.19%	23.10%	<-this year
10	Dividend Growth	146.43%	9.44%	1.70%	<-this year
10	Stock Price Growth	36.42%	3.15%	18.41%	<-this year

If you had invested in this company in December 2013, for $1,033.02 you would have bought 18 shares at $57.39 per share. In December 2023, after 10 years you would have received $374.04 in dividends. The stock would be worth $1,482.84. Your total return would have been $1,856.88. This would be a total return of 6.67% per year with 3.68% from capital gain and 2.99% from dividends. This is in US$.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$57.39	$1,033.02	18	10	$374.04	$1,482.84	$1,856.88

The current dividend yield is moderate with dividend growth low. The current dividend yield is moderate (2% to 4% ranges) at 3.21%. The 5 and 10 year median dividend yields are also moderate at 2.22% and 2.17%. The historical median dividend yield is low (below 2%) at 0.96%. The last dividend increase was in 2024 and it was for 1.45%.

The Dividend Payout Ratios (DPR) could be better. The DPR for 2023 for Earnings per Share (EPS) is far too high at 100% with 5 year coverage at 80%. The DPR for 2023 for Adjusted Earnings per Share (AEPS) is fine at 53% with 5 year coverage at 49%. The DPR for 2023 for Cash Flow per Share (CFPS) is too high at 51% with 5 year coverage at 46%. The DPR for 2023 for Free Cash Flow (FCF) is too high at 71% with 5 year coverage at 63%. There is some agreement on what the FCF is.

Item	Cur	5 Years
EPS	100.00%	80.46%
AEPS	53.08%	49.84%
CFPS	50.52%	45.59%
FCF	70.50%	62.55%

Debt Ratios are good. The Long Term Debt/Market Cap Ratio for 2023 is good at 0.22 and currently at 0.22. The Liquidity Ratio for 2023 is good at 2.03 and 2.13 currently. The Debt Ratio for 2023 is good at 2.27 and 2.16 currently. The Leverage and Debt/Equity Ratios for 2023 are good at 1.79 and 0.79 and currently at 1.87 and 0.87.

Type	Year End	Ratio Curr
Lg Term R	0.22	0.22
Intang/GW	0.51	0.45
Liquidity	2.03	2.13
Liq. + CF	2.32	2.58
Debt Ratio	2.27	2.16
Leverage	1.79	1.87
D/E Ratio	0.79	0.87

The Total Return per year is shown below for years of 5 to 34 to the end of 2023 in US$. Under the Capital Gain column is the portion of the Total Return attributable to capital gains. Under the Dividend column is the portion of the Total Return attributable to dividends. See chart below.

From	Years	Div. Gth	Tot Ret	Cap Gain	Div.
2018	5	6.65%	0.89%	-1.96%	2.85%
2013	10	9.44%	6.67%	3.68%	2.99%
2008	15	9.07%	9.82%	6.64%	3.18%
2003	20	11.92%	4.66%	2.67%	1.98%
1998	25	13.00%	5.00%	3.26%	1.74%
1993	30	14.93%	13.86%	10.60%	3.26%
1989	34	15.19%	16.30%	12.50%	3.80%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 27.00, 32.34 and 36.24. The corresponding 10 year ratios are 26.51, 29.06 and 33.57. The corresponding historical ratios are 23.47, 27.43 and 32.17. The current ratio is 21.75 based on a stock price of $87.36 and EPS estimate for 2024 of $4.02. The current ratio is below the low ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively cheap.

I also have Adjusted Earnings per Share data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 15.89, 21.16 and 24.35. The corresponding 10 year ratios are 15.95, 17.79 and 19.71. The current ratio is 16.03 based on a stock price of $87.36 and AEPS estimate for 2024 of $5.45. The current ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a Graham Price of $66.47. The 10-year low, median, and high median Price/Graham Price Ratios are 1.19, 1.35 and 1.50. The current P/GP Ratio is 1.31 based on a stock price of $87.36. The current ratio is between the low and median ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10-year median Price/Book Value per Share Ratio of 2.32. The current P/B Ratio is 2.42 based on a stock price of $87.36, Book Value of $47,947M and Book Value per Share of $36.03. The current ratio is 4.5% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I also have a Book Value per Share estimate for 2025 of $38.64. This implies a ratio of 2.26 with a stock price of $87.36 and Book Value of $51,423M. This ratio is 2.6% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get a 10-year median Price/Cash Flow per Share Ratio of 19.68. The current P/CF Ratio is 13.92 based on Cash Flow per Share estimate for 2025 of $6.28, Cash Flow of $8,355M and a stock price of $87.36. The current ratio is 29% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 0.96%. The current dividend yield is 3.21% based on dividends of $2.80 and a stock price of $87.36. The current dividend yield is 234% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

I get an historical median dividend yield of 2.17%. The current dividend yield is 3.21% based on dividends of $2.80 and a stock price of $87.36. The current dividend yield is 48% above the historical median dividend yield. This stock price testing suggests that the stock price is relatively cheap.

The 10-year median Price/Sales (Revenue) Ratio is 3.91. The current P/S Ratio is 3.46 based Revenue estimate for 2025 of $33,582M, Revenue per Share of $25.23 and a stock price of $87.36. The current ratio is 11% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

Results of stock price testing is that the stock price is testing as reasonable, but could be cheap. Both the dividend yield tests show the stock price as cheap. However, the P/S Ratio test is showing the stock price as reasonable, but below the median. Most of the rest of the testing is showing the stock price as relative reasonable or cheap.

When I look at analysts’ recommendations, I find Strong Buy (11), Buy (5), Hold (15), Underperform (1), Sell (1). The consensus would be a Buy. The 12 month stock price consensus is $95.01 with a high of $112.00 and low and $82.00. The consensus stock price of $95.01 implies a total return of 11.96% with 8.76% from capital gains and 3.21% from dividends based on a current stock price of $87.36.

There are 6 analysts on Stock Chase giving this stock a buy rating. Stock Chase gives this stock 5 stars out 5. There is one Sell recommendation for 2023 and the analyst says there are better names out there. Rachel Warren on Motley Fool thinks stock is an unbeatable dividend stock. David Jagielski on Motley Fool thinks this stock will rally higher. The company put out a Press Release about its year end results for April 2024. The company put out a Press Release about their first quarter in 2025.

Simply Wall Street via Yahoo Finance put out a review on this stock. Simply Wall Street gives two warnings on this stock of dividend of 3.11% is not well covered by earnings; and has a high level of debt. Simply Wall Street gives this stock 3 and one half stars out of 5.

Medtronic, Inc. acquired Ireland-based Covidien plc. The acquisition resulted in the formation of a new holding company incorporated in Ireland - Medtronic plc. The company currently generates revenues from four major segments - namely Cardiovascular Portfolio, Medical Surgical Portfolio, Neuroscience Portfolio and Diabetes. The Cardiovascular Portfolio, formerly reported as the Cardiac and Vascular Group, includes the Cardiac Rhythm & Heart Failure, Structural Heart & Aortic and Coronary & Peripheral Vascular divisions. Its web site is here Medtronic PLC.

The last stock I wrote about was about North West Company (TSX-NWC, OTC-NWTUF) ... learn more. The next stock I will write about will be EQB Inc (TSX-EQB, OTC-EQGPF) ... learn more on Wednesday, October 9, 2024 around 5 pm. Tomorrow on my other blog I will write about Plan for Retirement.... learn more on Tuesday, October 8, 2024 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. I am not a licensed professional investment advisor. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.