Pason Systems Inc

Sound bite for Twitter is: Dividend Growth Industrial. Results of stock price testing is that the stock price is probably reasonable. Debt Ratios are very good. The Dividend Payout Ratios (DPR) need to improve and is expected to improve. The current dividend yield is moderate with dividend growth currently stopped. See my spreadsheet on Pason Systems Inc.

Is it a good company at a reasonable price? This is a rather small cap company that hit a significant high in 2014 that it has never again came close to. For most of the last 5 years the stock has been up and down but never made any real progress. It is just off its recent high and even though it is testing as reasonable, you have to wonder. I would say be very careful if you invest in this company. See the Total Return chart in a paragraph below. However, it is testing as relatively reasonable compared to the last 10 years.

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 this company has a checker past when it comes to dividends. Recently it cut the dividends by 74% in 2020. They raised the dividends in from 2022 to 2024 and since 2024, the dividends have been flat. I have data on dividends on this stock for the past 21 years and the company increased dividends in 14 of these years and cut them in 4 of them.

It would appear from the chart below that the company has done better in the last 5 years than in the last 10 years. The last 12 months is not great, but analysts expect better by the year end. 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 second quarter in 2026 and expected growth over this year.

Yr	Item	Tot. Gwth	Per Year	Gwth	Coverage
5	Revenue Growth	167.67%	21.76%	-1.52%	<-12 mths
5	FFO Growth	169.13%	21.90%	3.08%	<-12 mths
5	Net Income Growth	709.17%	51.92%	-10.45%	<-12 mths
5	Cash Flow Growth	74.44%	11.77%	-18.30%	<-12 mths
5	EBITDA	287.96%	31.15%	-1.88%	<-12 mths
5	Dividend Growth	8.33%	1.61%	0.00%	<-12 mths
5	Stock Price Growth	52.16%	8.76%	17.85%	<-12 mths
10	Revenue Growth	47.03%	3.93%	2.97%	<-this year
10	FFO Growth	15.04%	1.41%	48.46%	<-this year
10	Net Income Growth	463.76%	18.88%	20.97%	<-this year
10	Cash Flow Growth	-21.44%	-2.38%	29.03%	<-this year
10	EBITDA	59.03%	4.75%	5.21%	<-this year
10	Dividend Growth	-23.53%	-2.65%	0.00%	<-this year
10	Stock Price Growth	-38.16%	-4.69%	34.28%	<-this year

If you had invested in this company in December 2015, for $1,008.28 you would have bought 52 shares at $19.39 per share. In December 2025, after 10 years you would have received $278.72 in dividends. The stock would be worth $623.48. Your total return would have been $902.20. This would be a total loss of 1.30% per year with 4.69% from capital loss and 3.40% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$19.39	$1,008.28	52	10	$278.72	$623.48	$902.20

The current dividend yield is moderate with dividend growth currently stopped. The current dividend yield is moderate (2% to 4% ranges) at 3.62%. The 5, 10 and historical dividend yields are also moderate at 3.31%, 3.57% and 2.64%. The last dividend increase was in 2024 and it was for 8%. Dividends are still almost 30% below the dividends given in 2019.

The Dividend Payout Ratios (DPR) need to improve and is expected to improve. The DPR for 2025 for Earnings per Share (EPS) is too high at 76% with 5 year coverage good at 41%. The DPR for 2025 for Funds from Operations (FFO) is good at 40% with 5 year coverage at 29%. The DPR for 2025 for Cash Flow per Share (CFPS) is high at 47% with 5 year coverage better at 29%. The DPR for 2025 for Free Cash Flow (FCF) is too high at 62% with 5 year coverage at 59%. For 2025 FCF varies from $14.68M to $65.9M. I am using $65.9M. The DPR for EPS is expected to be good by 2027.

Item	Cur	5 Years
EPS	76.47%	40.63%
FFO	40.00%	28.64%
CFPS	46.66%	28.83%
FCF	61.79%	59.26%

Debt Ratios are very good. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.03 and currently at 0.01. The Liquidity Ratio for 2025 is good at 1.98 and 2.57 currently. The Debt Ratio for 2025 is good at 4.78 and 5.64 currently. The Leverage and Debt/Equity Ratios for 2025 are good at 1.24 and 0.26 and currently at 1.19 and 0.21.

Type	Year End	Ratio Curr
Lg Term R	0.03	0.01
Intang/GW	0.22	0.19
Liquidity	1.98	2.57
Liq. + CF	2.66	3.93
Debt Ratio	4.78	5.64
Leverage	1.24	1.19
D/E Ratio	0.26	0.21

The Total Return per Year is shown below for years of 5 to 29 to the end of 2025. 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.
2020	5	1.61%	13.06%	8.76%	4.31%
2015	10	-2.65%	-1.30%	-4.69%	3.40%
2010	15	3.74%	3.11%	-1.01%	4.12%
2005	20	3.99%	2.36%	-0.93%	3.29%
2000	25	13.05%	14.62%	8.31%	6.31%
1996	29		18.07%	11.32%	6.75%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 9.09, 11.4 and 13.88. The corresponding 10 year ratios are 17.08, 20.98 and 24.87. The corresponding historical ratios are 13.59, 19.22 and 23.95. The current ratio is 17.31 based on a stock price of $14.37 and EPS estimate for 2026 of $0.83. 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. Note that P/E Ratios have varied a lot because the EPS has varied a lot over the years.

I also have Funds from Operations (FFO) data. The 5-year low, median, and high median Price/ Funds from Operations Ratios are 7.88, 9.57 and 11.27. The corresponding 10 year ratios are 9.41, 12.27 and 14.52. The corresponding historical ratios are 9.20, 11.78 and 13.83. The current ratio is 7.45 based on a stock price of $14.37 and FFO estimate for 2026 of $1.93. 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 Graham Price of $10.78. The 10-year low, median, and high median Price/Graham Price Ratios are 1.46, 1.91 and 2.29. The current ratio is 1.33 based on a stock price of $14.37. The current ratio is below the low ratio of the 10 year median ratio. 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 2.88. The current ratio is 2.31 based on a Book Value of $484.5M, Book Value per Share of $6.23 and a stock price of $14.37. The current ratio is 19.8% 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 12.37. The current ratio is 8.48 based on a stock price of $14.37, Cash Flow per Share estimate for 2026 of $1.70 and Cash Flow of $131.9M. The current ratio is 31% 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 2.64%. The current dividend yield is 3.62% based on dividends of $0.52 and a stock price of $14.37. The current dividend yield is 37% 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 3.57%. The current dividend yield is 3.62% based on dividends of $0.52 and a stock price of $14.37. The current dividend yield is 1.4% 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 4.31. The current ratio is 2.59 based on Revenue estimate for 2026 of $431.7M, Revenue per Share of $5.55 and a stock price of $14.37. The current ratio is 40% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap.

Results of stock price testing is that the stock price is probably reasonable. The 10 year median dividend yield says this and so I am going with this. The P/S Ratio test says the stock price is cheap. A lot of the other tests are saying that the stock price is cheap, but some also says reasonable and below the median.

When I look at analysts’ recommendations, I find Strong Buy (2), Buy (1), Hold (2). The consensus is a Buy. The 12 month stock price consensus is $16.10 with a High of $18.00 and Low of $15.00. The 12 months stock price of $16.10 implies a total return of 15.66% with 12.04% from capital gains and 3.62% from dividends based on a current stock price of $14.37.

The last analyst comment was in 2024 on Stock Chase. It is never a good sign when analysts stop commenting on a stock. Amy Legate-Wolfe on Motley Fool says she is continuing to buy this stock even with market sell-off. She says Pason sells essential drilling tech and generates steady cash flow, even if energy activity gets uneven. Jitendra Parashar on Motley Fool in 2025 says that Pason Systems offers strong dividends and growth, even after posting solid third-quarter results. The company put out a press release via Newswire about their fourth quarter of 2025 results. The company put out a press release via Newswire about their second quarter of 2025.

Guru Focus via Yahoo Financereviews this stock and gives its positive and negative points. Simply Wall Street gives to risks of Profit margins (11.5%) are lower than last year (17.4%); and unstable dividend track record.

Pason Systems Inc is a provider of instrumentation and data management systems for drilling rigs. The company reports on four strategic business units: The North American Drilling (Canada and the United States) and International Drilling (Latin America, including Mexico, Offshore, the Eastern Hemisphere, and the Middle East) and completions 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 Linamar Corporation (TSX-LNR, OTC-LIMAF) ... learn more. The next stock I will write about will be Medtronic PLC (NYSE-MDT) ... learn more on Wednesday, October 7, 2026 around 5 pm. Tomorrow on my other blog I will write about Dividend Stocks October 2026.... learn more on October 6, 2026 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.

Linamar Corporation

Sound bite for Twitter is: Dividend Growth Consumer. Results of stock price testing is that the stock price is probably reasonable and could be cheap. Debt Ratios are good. The Dividend Payout Ratios (DPR) are good. The current dividend yield is low with dividend growth moderate. See my spreadsheet on Linamar Corporation.

Is it a good company at a reasonable price? It maybe a dividend growth stock, but it does not consistently grow. It has decreased dividends twice over the past 30 years and raised them 14 times. I rather like stocks that raise dividends each year. There are concerns that the trade war with US will impact this company. The stock price might be cheap as the 10 year Dividend Yield test says this.

I do not own this stock of Linamar Corporation (TSX-LNR, OTC-LIMAF). I looked at this stock back in 2000 and it was not a stock I thought fit my investment philosophy. In 2008 I read an article that recommended this company as a dividend stock with good value. This stock used to be on the Investment reporter portfolio stock list as an average risk stock. However, it has now been taken off this list. It is on the Money Saving list of Top 100 Canadian Dividend stocks, and is on the 2026 list.

When I was updating my spreadsheet, I noticed the dividend yield is low, but dividend growth recently has been quite high. Dividend growth over the past 5 years is 25.48% per year. However, dividends were cut in 2020 and then greatly increased in 2021. Dividends in the past has often been flat interspersed with good increases. They can afford to increase dividends as the Dividend Payout Ratios are quite low. The stock price went up 46% in 2025 and the stock in 2026 is higher than the last high point in 2017.

Note that cash flow can vary quite a bit. 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 second quarter in 2026 and expected growth over this year.

Yr	Item	Tot. Gwth	Per Year	Gwth	Coverage
5	Revenue Growth	75.94%	11.96%	8.83%	<-12 mths
5	AEPS Growth	115.38%	16.59%	7.63%	<-12 mths
5	Net Income Growth	109.40%	15.93%	17.08%	<-12 mths
5	Cash Flow Growth	-7.20%	-1.48%	11.53%	<-12 mths
5	Dividend Growth	211.11%	25.48%	8.93%	<-12 mths
5	Stock Price Growth	23.05%	4.24%	15.96%	<-12 mths
10	Revenue Growth	98.20%	7.08%	15.18%	<-this year
10	AEPS Growth	56.26%	4.56%	13.22%	<-this year
10	Net Income Growth	33.86%	2.96%	23.81%	<-this year
10	Cash Flow Growth	92.35%	6.76%	-40.34%	<-this year
10	Dividend Growth	180.00%	10.84%	11.61%	<-this year
10	Stock Price Growth	11.01%	1.05%	37.02%	<-this year

If you had invested in this company in December 2015, for $1,046.22 you would have bought 26 shares at $74.73 per share. In December 2025, after 10 years you would have received $93.52 in dividends. The stock would be worth $1,161.44. Your total return would have been $1,254.96. This would be a total return of 1.89% per year with 1.05% from capital gain and 0.84% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$74.73	$1,046.22	14	10	$93.52	$1,161.44	$1,254.96

The current dividend yield is low with dividend growth moderate. The current dividend yield is low (below 2%) at 1.33%. The 5,10 and historical median dividend yields are also low at 1.30%, 0.98% and 1.22%. The dividend increases are moderate (between 8 and 14% per year). The dividends have increased by 25% per year over the past 5 years, but this is because of a dividend decrease in 2020. Dividend have gone both up and down over the years, so they can vary. The last dividend increase was in 2026 and it was for 10%. In the previous 4 years the dividend increases are 17.65%, 10.00%, 13.64%, and 12.00%.

The Dividend Payout Ratios (DPR) are good. The DPR for 2025 for Earnings per Share (EPS) is good at 12% with 5 year coverage at 13%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is good at 11% with 5 year coverage at 11%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 5% with 5 year coverage at 5%. The DPR for 2025 for Free Cash Flow (FCF) is good at 9% with 5 year coverage at 10%.

Item	Cur	5 Years
EPS	11.51%	12.74%
AEPS	10.81%	10.84%
CFPS	5.29%	5.05%
FCF	8.93%	10.27%

Debt Ratios are good. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.37 and currently at 0.37. The Liquidity Ratio for 2025 is good at 1.73 and 1.88 currently. The Debt Ratio for 2025 is good at 2.27 and 2.21 currently. The Leverage and Debt/Equity Ratios for 2025 are good at 1.79 and 0.79 and currently at 1.83 and 0.83.

Type	Year End	Ratio Curr
Lg Term R	0.37	0.37
Intang/GW	0.42	0.36
Liquidity	1.73	1.88
Liq. + CF	2.21	2.12
Debt Ratio	2.27	2.21
Leverage	1.79	1.83
D/E Ratio	0.79	0.83

The Total Return per Year is shown below for years of 5 to 37 to the end of 2025. 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.
2020	5	25.48%	5.45%	4.24%	1.21%
2015	10	10.84%	1.89%	1.05%	0.84%
2010	15	10.82%	11.15%	9.82%	1.33%
2005	20	8.01%	11.69%	10.27%	1.42%
2000	25	8.09%	9.52%	8.32%	1.20%
1995	30	8.64%	9.52%	8.26%	1.26%
1990	35		16.66%	13.73%	2.93%
1988	37		15.06%	12.81%	2.25%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 7.00, 9.58 and 12.17. The corresponding 10 year ratios are 6.25, 8.21 and 9.61. The corresponding historical ratios are 8.26, 11.55 and 15.03. The current ratio is 7.86 based on a stock price of $96.38 and EPS estimate for 2026 of $12.27. The current ratio is between the low and median ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 6.47, 7.68 and 8.89. The corresponding 10 year ratios are 5.56, 7.53 and 9.11. The corresponding historical ratios are 6.46, 9.68 and 12.09. The current ratio is 8.22 based on a stock price of $96.38 and AEPS estimate for 2026 of $11.73. The current ratio is between the median and high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a Graham Price of $171.04. The 10-year low, median, and high median Price/Graham Price Ratios are 0.42, 0.56 and 0.74. The current ratio is 0.56 based on a stock price of $96.38. The current ratio is at the median ratio. This stock price testing suggests that the stock price is relatively reasonable and at the median.

I get a 10-year median Price/Book Value per Share Ratio of 0.80. The current ratio is 0.87 based on a stock price of $96.38, Book Value of $6,538M and a Book Value per Share of $110.84. The current ratio is 9% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10-year median Price/Cash Flow per Share Ratio of 4.74. The current ratio is 4.58 based on Cash Flow per Share estimate for 2026 of $21.04, Cash Flow of $1,241M and a stock price of $96.38. The current ratio is 15% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median.

I get an historical median dividend yield of 1.22%. The current dividend yield is 1.33% based on dividends of $1.28 and a stock price of $96.38. The current dividend yield is 9% 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 0.98%. The current dividend yield is 1.33% based on dividends of $1.28 and a stock price of $96.38. The current dividend yield is 36% 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 0.51. The current ratio is 0.48 based on a stock price of $96.38, Revenue estimate for 2026 of $11,785M and Revenue per Share of $199.80. The current ratio is 5% 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 probably reasonable and could be cheap. The 10 year median dividend yield tests shows that the stock price is relatively cheap. The P/S Ratio test says it is reasonable and below the median. The rest of the testing is saying that the stock price is reasonable and above and below the median.

When I look at analysts’ recommendations, I find Strong Buy (3), and Hold (3). The consensus would be a Buy. The 12 month stock price consensus is $113.67 with a high of $123.00 and low of $100.00. The 12 months consensus stock price of $113.67 implies a total return of 19.27% with 17.94% from capital gains and 1.33% from dividends based on a current stock price of $96.38.

Analysts on Stock Chase thinks it is a buy but some are concerned about how CUSMA renegotiations or non-negotiations could affect the company. Amy Legate-Wolfe on Motley Fool thinks this stock is a buy but says that tariffs and auto cycles can still swing results. Aditya Raghunath on Motley Fool says the company faces real risks right now because of the current trade war with US. The company put out a press release via Globe and Mail about their fourth quarter results for 2025. The company put out a press release via Globe Newswire about their second quarter results for 2026.

Investing.com via Yahoo Finance says that the Linamar shares slide after a BMO downgrade due to renewed trade tensions. Simply Wall Street gives this stock 3 and one half stars out of 5. They have one warning of significant insider selling over the past 3 months. Both the CEO and CFO sold significate amount of their shares over the past year.

Linamar Corp is a diversified world-wide manufacturing company of engineered products. Its web site is here Linamar Corporation.

The last stock I wrote about was about was North West Company (TSX-NWC, OTC-NWTUF) ... learn more. The next stock I will write about will be Pason Systems Inc (TSX-PSI, OTC-PSYTF) ... learn more on Monday, October 5, 2026 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.

North West Company

Sound bite for Twitter is: Dividend Growth Consumer. Results of stock price testing is that the stock price is probably expensive. Debt Ratios are good. The Dividend Payout Ratios (DPR) are fine for AEPS and CFPS. The current dividend yield is moderate with dividend growth low. See my spreadsheet on North West Company.

Is it a good company at a reasonable price? What you expect from such stock is about half the return from dividends and around half from capital gains. In this stock you are normally getting a bit more from capital gains than dividends. I think that Amy Legate-Wolfe on Motley Fool is right that it is a defensive stock. However, I would think that buying now you would be overpaying for this stock and that is not a good idea. I think that the current price is too high.

I do not own this stock of North West Company (TSX-NWC, OTC-NWTUF). I wanted to review all the income trust stocks touted in the Money Show of 2009. There was a lot of talk at this show about some of the Income Trust being currently good buys with very good yields. This stock changed from an income trust to a corporation in 2011.

When I was updating my spreadsheet, I noticed that both the CEO and CFO increased their shares in the past year. Please note that I am reviewing their fourth quarter financial year end of January 2026. Their second quarter (for 2027) is dated July 2026.

I also noticed that growth has been low in the last 5 years. 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 second quarter in 2027 dated July 31, 2026 and expected growth over this year.

Yr	Item	Tot. Gwth	Per Year	Gwth	Coverage
5	Revenue Growth	10.13%	1.95%	0.97%	<-12 mths
5	AEPS Growth	12.42%	2.37%	-1.25%	<-12 mths
5	Net Income Growth	-0.28%	-0.06%	1.57%	<-12 mths
5	Cash Flow Growth	-17.45%	-3.76%	2.38%	<-12 mths
5	Dividend Growth	17.39%	3.26%	2.47%	<-12 mths
5	Stock Price Growth	37.43%	6.57%	12.94%	<-12 mths
10	Revenue Growth	44.66%	3.76%	3.15%	<-this year
10	AEPS Growth	113.32%	7.87%	11.02%	<-this year
10	Net Income Growth	99.90%	7.17%	2.08%	<-this year
10	Cash Flow Growth	110.24%	7.71%	0.37%	<-this year
10	Dividend Growth	35.00%	3.05%	2.47%	<-this year
10	Stock Price Growth	59.22%	4.76%	26.00%	<-this year

If you had invested in this company in December 2015, for $1,003.45 you would have bought 35 shares at $28.67 per share. In December 2025, after 10 years you would have received $496.65 in dividends. The stock would be worth $1,711.85. Your total return would have been $2,208.50. This would be a total return of 9.40% per year with 5.49% from capital gain and 3.91% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$28.67	$1,003.45	35	10	$496.65	$1,711.85	$2,208.50

The current dividend yield is Moderate with dividend growth Low. The current dividend yield is moderate (2% to 4% ranges) at 3.06%. The 5, 10 and historical median dividend yields are also moderate at 4.15%, 4.34% and 4.51%. The dividend growth in the last 5 years is low (below 8% per year) at 3.3% per year. The last dividend increase was in 2026 and it was for 2.4%.

The Dividend Payout Ratios (DPR) are fine for AEPS and CFPS. The DPR for 2025 for Earnings per Share (EPS) is high at 56% with 5 year coverage at 55%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is good at 49% with 5 year coverage high at 50%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 23% with 5 year coverage at 24%. The DPR for 2025 for Free Cash Flow (FCF) is high at 70% with 5 year coverage at 52%. FCF varies for 2026 from $110M to $141.28M. I am using $141.28M.

Item	Cur	5 Years
EPS	56.45%	54.77%
AEPS	49.27%	50.41%
CFPS	23.36%	24.04%
FCF	70.42%	51.68%

Debt Ratios are good. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.13 and currently at 0.12. The Liquidity Ratio for 2025 is good at 2.10 and 2.06 currently. The Debt Ratio for 2025 is good at 2.11 and 2.05 currently. The Leverage and Debt/Equity Ratios for 2025 are good at 1.96 and 0.93 and currently at 2.01 and 0.98.

Type	Year End	Ratio Curr
Lg Term R	0.13	0.12
Intang/GW	0.04	0.03
Liquidity	2.10	2.06
Liq. + CF	2.87	2.78
Debt Ratio	2.11	2.05
Leverage	1.96	2.01
D/E Ratio	0.93	0.98

The Total Return per Year is shown below for years of 5 to 35 to the end of 2025. 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.
2020	5	3.26%	12.61%	8.56%	4.05%
2015	10	3.05%	9.40%	5.49%	3.91%
2010	15	1.17%	10.26%	5.93%	4.34%
2005	20	4.86%	13.62%	7.28%	6.34%
2000	25	5.75%	22.13%	10.70%	11.43%
1995	30	8.73%	20.76%	10.42%	10.35%
1990	35	8.08%	17.61%	9.76%	7.85%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 12.73, 14.31 and 15.90. The corresponding 10 year ratios are 14.16, 16.53 and 18.90. The corresponding historical ratios are 10.92, 13.01 and 15.36. The current ratio is 18.67 based on a stock price of $54.90 and EPS estimate for 2027 of $2.94. The current ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I also have Adjusted Earnings per Share (AEPS) data. The 5-year low, median, and high median Price/Adjusted Earnings per Share Ratios are 11.74, 13.21 and 14.68. The corresponding 10 year ratios are 12.65, 15.09 and 17.53. The corresponding historical ratios are 12.65, 15.09 and 17.53. The current ratio is 15.04 based on a stock price of $54.90 and AEPS estimate for 2027 of $3.65. 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 $36.52. The 10-year low, median, and high median Price/Graham Price Ratios are 1.19, 1.41 and 1.64. The current ratio is 1.50 based on a stock price of $54.90. The current ratio is between the median and high ratios of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10-year median Price/Book Value per Share Ratio of 2.97. The current ratio is 3.38 based on a Book Value of $771.8M, Book Value per Share of $16.24 and a stock price of $54.90. The current ratio is14% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get a 10-year median Price/Cash Flow per Share Ratio of 8.95. The current ratio is 9.30 based on Cash Flow per Share of $5.91 and a stock price of $54.90. The current ratio is 4% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable but above the median.

I get an historical median dividend yield of 4.51%. The current dividend yield is 3.06% based on dividends of $1.68 and a stock price of $54.90. The current dividend yield is 32% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive. But this company was an income trust between 1997 and 2011 and because of this had some high dividend yields. So, this is probably not a good test.

I get a 10 year median dividend yield of 4.34%. The current dividend yield is 3.06% based on dividends of $1.68 and a stock price of $54.90. The current dividend yield is 30% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.

The 10-year median Price/Sales (Revenue) Ratio is 072. The current P/S Ratio is 0.97 based on Revenue estimate for 2027 of $2,680M Revenue per Share of $56.39 and a stock price of $54.90. The current ratio is 35% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is probably expensive. The 10 year dividend yield test says this and it is confirmed by the P/S Ratio test. Most of the rest of the testing is saying the stock price is reasonable but above the median.

When I look at analysts’ recommendations, I find Strong Buy (3) and Buy (1). The consensus is a Strong Buy. The 12 month stock price consensus is $61.25 with a high of $63.00 and low of $59.00. The consensus stock price of $61.25 implies a total return of 14.63% with 11.57% from capital gains and 3.06% from dividends based on a stock price of $64.90.

Analysts on Stock Chase like this stock. They think it is a well-run business but it is a relatively small company. Amy Legate-Wolfe on Motley Fool likes this stock because it is a defensive stock. Daniel Da Costa on Motley Fool likes this stock because it has consistently raised their dividends. The company put out a press release via Globe Newswire about their fourth quarter ending in 2026. The company put out a press release via Globe Newswire about their second quarter for 2027 dated July 2026.

Guru Focus via Yahoo Finance reviews this company. Guru Focus has 3 warnings of P/E Ratio Near Highs; Elevated PEG Ratio; and Slow Dividend Growth. They still think it is fairly valued.

Simply Wall Street via Yahoo Finance is reviewing three Canadian stocks with Yield of 3% and NWC is the third one. Simply Wall Street has one warning on this stock of earnings have declined by 0.2% per year over past 5 years.

The North West Co Inc is a retailer to rural and remote communities and underserved urban neighbourhood markets in Northern Canada, Western Canada, rural Alaska, the South Pacific islands, and the Caribbean. Its web site is here North West Company.

The last stock I wrote about was about was Teck Resources Ltd (TSX-TECK.B, NYSE-TECK) ... learn more. Next, I will write about Linamar Corporation (TSX-LNR, OTC-LIMAF) ... learn more on Friday, October 2, 2026 around 5 pm. Tomorrow on my other blog I will write about Enbridge Buys Tallgrass.... learn more on Thursday, October 1, 2026 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.

Also, on my book blog I have put a review of the book The World According to China by Elizabeth Economy learn more...

Teck Resources Ltd

Sound bite for Twitter is: Dividend Paying Resource. Debt Ratios are good. The Dividend Payout Ratios (DPR) are good. The current dividend yield is low with dividend no current growth. See my spreadsheet on Teck Resources Ltd.

Is it a good company at a reasonable price? Analysts’ recommendations go from Strong Buy to Sell and everything in between. The consensus12 month stock shows a minor loss of 3.29%. This is a cyclical stock, so it is important when you buy. Currently it is near its recent high. When stocks are at an all-time high, it is generally not a good buying time. All my testing is saying that the stock price is relatively expensive.

I do not own this stock of Teck Resources Ltd (TSX-TECK.B, NYSE-TECK). In 2008, I wanted to cover some resource stocks and this is one that I decided to take a look at. The time to buy this stock is when it cuts its dividend. For example, I bought this stock in 2008 and sold in 2009. I bought this stock because the company purchased Fording Canadian Coal Trust at exactly the wrong time and got into financial difficulties and the stock price dropped off a cliff as they had to cut dividends. When the stock recovered somewhat in 2009, I sold for a profit.

When I was updating my spreadsheet, I noticed that sometimes you can win pick on this cyclical stocks. See the 10 year return below which started at a really low point for this stock. But, note you can also lose big.

This company and Anglo American are to have a merger of equals. See the Press Release.

If you had invested in this company in December 2015, for $1,003.92 you would have bought 188 shares at $5.34 per share. In December 2025, after 10 years you would have received $958.80 in dividends. The stock would be worth $12,353.48. Your total return would have been $13,312.28. This would be a total return of 31.49% per year with 25.83% from capital gain and 2.96% from dividends.

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$5.34	$1,003.92	188	10	$958.80	$12,353.48	$13,312.28

The current dividend yield is low with no current dividend growth. The current dividend yield is low (below 2%) at 0.50%. The 5, 10 and historical dividend yields are also low at 0.90%, 0.82% and 1.10%. The dividend growth for the past 5 years is at 20%. This is because of a one time increase of 150% in 2022. They also gave some special dividends in 2022/4/5.

The Dividend Payout Ratios (DPR) are good. The DPR for 2025 for Earnings per Share (EPS) is good at 18% with 5 year coverage at 19%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is good at 16% with 5 year coverage at 10%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 7% with 5 year coverage at 7%. The DPR for 2025 for Free Cash Flow (FCF) is non-calculable due to negative FCF. FCF varies in 2025 from a negative $290M to a negative $1,018M. FCF is expected to be positive in 2026.

Item	Cur	5 Years
EPS	17.67%	18.78%
AEPS	16.18%	10.13%
CFPS	6.86%	6.98%
FCF	-84.83%	-82.46%

Debt Ratios are good. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.13 and currently at 0.08. The Liquidity Ratio for 2025 is good at 2.54 and 1.48 currently. The Debt Ratio for 2025 is good at 2.34 and 2.44 currently. The Leverage and Debt/Equity Ratios for 2025 are good at 1.82 and 0.78 and currently at 1.76 and 0.72.

Type	Year End	Ratio Curr
Lg Term R	0.13	0.08
Intang/GW	0.02	0.03
Liquidity	2.54	1.48
Liq. + CF	2.81	2.59
Debt Ratio	2.34	2.44
Leverage	1.82	1.76
D/E Ratio	0.78	0.72

The Total Return per Year is shown below for years of 5 to 32 to the end of 2025. 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.
2020	5	20.11%	25.35%	23.25%	2.10%
2015	10	-1.81%	31.49%	28.53%	2.96%
2010	15	6.30%	1.35%	0.41%	0.93%
2005	20	1.12%	5.28%	3.82%	1.46%
2000	25	6.65%	12.61%	9.68%	2.93%
1995	30	5.51%	6.95%	5.53%	1.41%
1993	32	5.16%	7.00%	5.61%	1.39%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 10.09, 12.14 and 14.19. The corresponding 10 year ratios are 7.76, 9.74 and 8.64. The corresponding historical ratios are 6.53, 11.11 and 14.19. The current ratio is 15.39 based on a stock price of $91.70 and EPS estimate for 2026 of $5.96. 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 8.99, 10.82 and 12.65. The corresponding 10 year ratios are 5.40, 9.44 and 11.93. The corresponding historical ratios are 8.68, 11.12 and 17.48. The current ratio is 15.54 based on a stock price of $91.70 and AEPS estimate for 2026 of $5.90. 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 $80.05. The 10-year low, median, and high median Price/Graham Price Ratios are 0.34, 0.49 and 0.74. The current ratio is 1.15 based on a stock price of $91.70. This 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 10-year median Price/Book Value per Share Ratio of 0.79. The current ratio is 1.90 based on a Book Value of $24,439M, Book Value per Share of $48.27 and a stock price of $91.70. The current ratio is 139% 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 2026 of $58.84. This implies a current ratio of 1.56 with a stock price of $91.70 and a Book Value of $29,793M. This ratio is 96% 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 3.93. The current ratio is 8.25 based on Cash Flow per Share estimate for 2026 of $11.12, Cash Flow of $5,631M and a stock price of $91.70. The current ratio is 110% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive. I noticed that the Cash Flow on this stock can vary a lot.

I get an historical median dividend yield of 1.10%. The current dividend yield is 0.55% based on dividends of $0.50 and a stock price of $91.70. The current dividend yield is 50% below the historical median dividend yield. This stock price testing suggests that the stock price is relatively expensive.

I get a 10 year median dividend yield of 0.82%. The current dividend yield is 0.55% based on dividends of $0.50 and a stock price of $91.70. The current dividend yield is 33% below the 10 year median dividend yield. This stock price testing suggests that the stock price is relatively expensive. I would question how good this test is as dividends are generally flat and increased only occasionally. (8 times in the last 32 years.)

The 10-year median Price/Sales (Revenue) Ratio is 1.32. The current ratio is 3.09 based on Revenue of $15,017M, Revenue per Share of $29.66 and a stock price of $91.70. The current ratio is 135% above the 10 year median ratio. This stock price testing suggests that the stock price is relatively expensive.

Results of stock price testing is that the stock price is that the stock price is probably relatively expensive. The dividend yield test says this but I wonder how good these tests are because of generally flat dividends. The P/S Ratio test says that the stock price is relatively expensive. All my tests say the same think, that the stock price is relatively expensive.

When I look at analysts’ recommendations, I find Strong Buy (6), Buy (1), Hold (7), Underperform (1), and Sell (2). The consensus would be a Buy. The 12 month stock price consensus is $88.18 with a high of $120.00 and a low of $51.00. The consensus stock price of $88.18 implies a loss of 3.29% with a 3.84% from a capital loss and 0.55% from Dividends based on a current stock price of $91.70.

The analysts on Stock Chase vary a lot in their opinion of this stock from Buy to Do Not Buy. They find the merger with Anglo American interesting. Amy Legate-Wolfe on Motley Fool says that Canada’s critical-minerals push is heating up, and Teck could be a direct way to invest in the copper-heavy supply chains. Jitendra Parashar on Motley Fool says Teck’s stronger balance sheet and copper-focused growth strategy make the stock an appealing long-term investment. The company put out a Press Release about their fourth quarter of 2025. The company put out a Press Release about their second quarter of 2026.

Simply Wall Street via Yahoo Finance reviews this stock. Some say it is slightly undervalued and some say slightly overvalued. Simply Wall Street has one warning of Earnings are forecast to decline by an average of 11.1% per year for the next 3 years.

Teck is a base metals miner with copper and zinc operations in Canada, the United States, Chile, and Peru. In September 2025, it agreed to merge with Anglo American in an all-equity deal. Its web site is here Teck Resources Ltd.

The last stock I wrote about was about was BRP Inc (TSX-DOO, OTC-DOOO) ... learn more. The next stock I will write about will be North West Company (TSX-NWC, OTC-NWTUF) ... learn more on Wednesday, September 30, 2026 around 5 pm. Tomorrow on my other blog I will write about Wolf of Oakville Stocks.... learn more on Tuesday, September 29, 2026 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.

BRP Inc

I will probably not publish on Friday, as I am on an all-day bus trip.

Sound bite for Twitter is: Dividend Growth Consumer. Results of stock price testing is that the stock price could be relatively cheap. Debt Ratios need improving and the company has a lot of debt. The Dividend Payout Ratios (DPR) are good. The current dividend yield is low with dividend growth good currently, but growth inconsistent. See my spreadsheet on BRP Inc.

Is it a good company at a reasonable price? There are things not to like about this stock. The Revenue is off its peak of 2024 over the last two year. EPS and AEPS is also declining over the past two years. Analysts seem to think that the financial year ending January 2027 will be a better year. The results for the second quarter report of 2027 dated July 2026 does show higher revenue and AEPS. However, book value is very low and debt is quite high. Also, having a past high it has not been able to breach is not a good sign. I bought my stock with my fooling around money. It is rather a risky buy, but the stock price might be cheap.

I own this stock of BRP Inc (TSX-DOO, OTC-DOOO). Robin Speziale, author of Market Masters and Capital Compounders had mentioned this stock in Capital Compounders, Table 3 (page 93 in my copy) as a possible next Capital Compounder. I had extra money in my TFSA, so I bought 40 shares of this stock.

When I was updating my spreadsheet, I noticed that this stock is showing a cyclical pattern. It had a high in September 2021 that it has not been able to pass. Note that I am looking at the financial year ending in January 2026 and its second quarter for 2027 ending July 2026.

If you had invested in this company in December 2015, for $1,020.60 you would have bought 36 shares at $28.35 per share. In December 2025, after 10 years you would have received $168.84 in dividends. The stock would be worth $3,493.80. Your total return would have been $3,662.64. This would be a total return of 18.15% per year with 17.18% from capital gain and 0.97% from dividends. (However, the 5 year total return is low, see the Total Return per Year chart in a paragraph below.)

Cost	Tot. Cost	Shares	Years	Dividends	Stock Val	Tot Ret
$28.35	$1,020.60	36	10	$168.84	$3,493.80	$3,662.64

The current dividend yield is low with dividend growth good currently, but growth inconsistent. The current dividend yield is low (below 2%) at 1.22%. The 5 and 8 year dividend yields are also low at 0.72%, and 0.69%. Dividends have only been paid since 2018. Dividend growth over the past 5 years is good (15% per year or higher) at 50.1% per year. The last dividend increase was in 2027 financial year and it was for 16%. Dividend increases are not consistent.

The Dividend Payout Ratios (DPR) are good. The DPR for 2025 for Earnings per Share (EPS) is good at 22% with 5 year coverage at 12%. The DPR for 2025 for Adjusted Earnings per Share (AEPS) is good at 17% with 5 year coverage at 10%. The DPR for 2025 for Cash Flow per Share (CFPS) is good at 6% with 5 year coverage at 4%. The DPR for 2025 for Free Cash Flow (FCF) is fine at 88% with 5 year coverage at 14%. FCF for 2026 varies from $70M to $871M and I am using $70M.

Item	Cur	5 Years
EPS	21.77%	11.72%
AEPS	16.51%	10.30%
CFPS	5.89%	4.08%
FCF	88.43%	14.16%

Debt Ratios need improving and the company has a lot of debt. The Long Term Debt/Market Cap Ratio for 2025 is good at 0.34 and currently at 0.42. The Liquidity Ratio for 2025 is low at 1.27 and 1.19 currently. If you added in Cash Flow after dividends, the ratios are fine at 1.70 and currently at 1.51. The Debt Ratio for 2025 is low at 1.11 and 1.05 currently. The Leverage and Debt/Equity Ratios for 2025 are way too high at 10.35 and 9.35 and currently at 19.81 and 18.81. Note that good ratios are below 3.00 and 2.00. The leverage with EBITDA is too high at 5.18 and currently at 6.02. It is better when at 3.00 or below.

Type	Year End	Ratio Curr
Lg Term R	0.34	0.42
Intang/GW	0.07	0.09
Liquidity	1.27	1.19
Liq. + CF	1.70	1.51
Debt Ratio	1.11	1.05
Leverage	10.35	19.81
L/EBITDA	5.18	6.02
D/E Ratio	9.35	18.81

The Total Return per Year is shown below for years of 5 to 12 to the end of 2025. 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.
2020	5	50.88%	3.71%	2.91%	0.80%
2015	10	13.15%	18.15%	17.18%	0.97%
2013	12		10.83%	10.23%	0.60%

The 5-year low, median, and high median Price/Earnings per Share Ratios are 8.32, 10.60 and 12.87. The corresponding 10 year ratios are 8.66, 12.17 and 15.13. The corresponding historical ratios are 9.42, 14.15 and 19.54. The current ratio is 27.24 based on a stock price of $80.76 and EPS estimate for 2027 of $2.97. 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/Earnings per Share Ratios are 8.61, 10.75 and 12.66. The corresponding 10 year ratios are 8.73, 12.24 and 17.10. The corresponding historical ratios are 9.07, 14.15 and 17.26. The current ratio is 19.14 based on a stock price of $80.76 and AEPS estimate for 2027 of $4.22. 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 $21.09. The 10-year low, median, and high median Price/Graham Price Ratios are 2.58, 3.51 and 4.50. The current ratio is 3.83 based on a stock price of $80.76. The current ratio is between the median and high ratio of the 10 year median ratios. This stock price testing suggests that the stock price is relatively reasonable but above the median. This is a very imperfect test because 5 of the last 10 entries are fudged because of negative book values.

I get a 10-year median Price/Book Value per Share Ratio of 0.80. The current ratio is 17.25 based on a stock price of $80.76, Book Value of $335M and Book Value per Share of $4.68. The current ratio is 2049% above the 10 year median ratios. This stock price testing suggests that the stock price is relatively expensive. There are lots of problems with this test also. There were years of a negative book value. The latest quarter is showing the book value falling by 44%. Book Values seem to vary a lot.

Note that the Book Value per Share estimate for 2027 is $9.30. This implies a ratio of 8.68 with a Book Value of $665M and a stock price of $80.76. In this case the current ratio is 982% above the 10 year ratio of 0.80. This stock price testing suggests that the stock price is relatively expensive. The 10 year median ratio is very low because of years of negative book values.

I get a 10-year median Price/Cash Flow per Share Ratio of 7.72. The current ratio is $5.73 based on a Cash Flow per Share estimate for 2027 of $14.10, Cash Flow of $1,009M and a stock price of $80.76. The current ratio is 26% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively cheap. This is a relatively reasonable test, but Cash Flow has varied a lot.

I get an 8 year and historical median dividend yield of 0.69%. The current ratio is 1.24% based on dividends of $1.00 and a stock price of $80.76. The current dividend yield is 79% above the historical and 8 year median dividend yield. This stock price testing suggests that the stock price is relatively cheap. This is a relatively good test.

The 10-year median Price/Sales (Revenue) Ratio is 0.76. The current ratio is 0.61 based on Revenue estimate for 2027 of $9,406M, Revenue per Share of $131.48 and a stock price of $80.76. The current ratio is 19.6% below the 10 year median ratio. This stock price testing suggests that the stock price is relatively reasonable and below the median. It is very close to cheap

Results of stock price testing is that the stock price could be relatively cheap. The dividend yield test for the last 8 years is showing the stock price as cheap. Dividends have only been paid for 8 years. This is confirmed by the P/S Ratio test. It is a problem that a number of the tests are not good tests. The P/E Ratio and P/AEPS Ratio tests show that the stock price is expensive, but the AEPS ratio is not that high.

When I look at analysts’ recommendations, I find Strong Buy (6), Buy (5) and Hold (9). The consensus would be a Buy. The 12 month stock price is $103.07 with a high of $113.00 and low of $90.00. The 12 month stock price of $103.07 implies a total return of 28.86% with 27.63% from capital gains and 1.24% from dividends based on a current stock price of $80.76.

Analysts on Stock Chase stopped following this stock after 2024. Never a good sign. Jitendra Parashar on Motley Fool in August said that the stock jumped 8% following the launch of BRP Financial Services, a new retail financing program for customers and dealers in the U.S. market. Amy Legate-Wolfe on Motley Fool is looking for a cyclical rebound potential as demand and margins recover. The company put out a press release via Newswire about its fourth quarter for 2026. The company put out a press release via Newswire about its second quarter for the 2027 financial year.

Simply Wall Street via Yahoo Finance see a higher Fair Value Estimate of CA$103.07, up from CA$97.22, which lines up more closely with the Street price targets that have been cited after the latest update. Simply Wall Street has 3 warnings on this stock of profit margins (1.2%) are lower than last year (2.6%); has a high level of debt; and large one-off items impacting financial results. Note that the company has Adjusted Earnings per Share to get rid of impact of one-off items.

BRP designs, develops, manufactures, distributes, and markets snowmobiles, all-terrain vehicles, and personal watercraft under the Ski-Doo, Sea-Doo, Can-Am, and Lynx brand names. It also builds engines under the Rotax brand (after shuttering the Evinrude outboard engine business in 2020) and offers clothing, parts, and accessories that cater to its core consumers. Its web site is here BRP Inc.

The last stock I wrote about was about was K-Bro Linen Inc (TSX-KBL, OTC-KBRLF) ... learn more. The next stock I will write about will be Teck Resources Ltd (TSX-TECK.B, NYSE-TECK) ... learn more on Monday, September 28, 2026 around 5 pm. Tomorrow on my other blog I will write about Agnico Eagle Mines Ltd.... learn more on Thursday, September 24, 2026 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.