Algoma Central Corporation (ALC.TO) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-76.8%

CA$7.11

vs CA$30.69 price

Levered DCF

-CA$0.96

After debt service

Piotroski score

4 / 9

Average

Altman Z-score

2.28

Grey zone

Rating

C-

Overall 1 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	5.35×	6.46×	6.67×	8.17×	10.08×	11.5×	14.82×	10.57×
P/B	0.76×	0.66×	0.74×	0.95×	1.01×	0.94×	0.75×	0.77×
P/S	1.01×	0.84×	0.8×	1.02×	1.07×	0.96×	0.88×	1.06×
EV / EBITDA	7.76×	6.81×	5.97×	5.1×	5.7×	5.26×	6.37×	7.58×
Gross margin	17.4%	89.9%	90.8%	90.3%	88.7%	86.2%	87.7%	89.0%
Operating margin	10.5%	10.7%	10.3%	15.1%	15.6%	13.6%	10.3%	9.1%
Net margin	18.8%	13.0%	11.5%	12.5%	10.6%	8.4%	5.9%	10.0%
Current ratio	0.71×	0.73×	1.1×	1.66×	2.26×	1.05×	0.73×	2.66×
Debt / equity	0.53×	0.46×	0.48×	0.55×	0.61×	0.7×	0.51×	0.37×
Interest coverage	3.1×	3.79×	3.96×	5.26×	4.84×	3.94×	3.06×	1.84×
Dividend yield	4.1%	5.0%	13.4%	3.6%	19.1%	3.5%	8.7%	2.7%
Payout ratio	22.2%	32.4%	93.0%	29.7%	192.5%	40.2%	128.8%	28.8%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	14.2%	10.2%	10.6%	11.6%	10.0%	8.2%	5.1%	7.3%
Return on invested capital	4.6%	5.0%	5.0%	7.0%	7.1%	6.0%	4.7%	3.7%
Return on assets	8.1%	6.0%	6.2%	6.2%	5.3%	3.7%	2.9%	4.6%
Free cash flow yield	-16.2%	-1.7%	0.9%	9.0%	20.3%	15.6%	-14.3%	2.3%
Earnings yield	18.7%	15.5%	14.4%	12.3%	9.9%	8.7%	6.8%	9.5%
Enterprise value	CA$1.3B	CA$1B	CA$920.2M	CA$949.9M	CA$927M	CA$813.5M	CA$814.6M	CA$770.6M
Net debt / EBITDA	3.06×	2.78×	2.24×	1.4×	1.74×	1.86×	2.47×	2.29×
Cash conversion cycle (days)	-2	-317	-250	-298	-311	-255	-213	-179