Fortis Inc. (FTS) 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

-103.5%

-$2.09

vs $59.29 price

Levered DCF

-$58.45

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

0.85

Distress zone

Rating

B-

Overall 2 / 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	20.96×	18.45×	17.57×	19.5×	23.38×	19.58×	14.8×	16.61×
P/B	1.58×	1.24×	1.23×	1.23×	1.49×	1.27×	1.32×	1.17×
P/S	3.1×	2.57×	2.3×	2.35×	3.04×	2.65×	2.79×	2.31×
EV / EBITDA	12.23×	11.45×	10.86×	11.98×	13.15×	11.81×	10.46×	11.94×
Gross margin	72.3%	71.8%	67.3%	64.2%	68.8%	71.3%	71.3%	43.0%
Operating margin	28.7%	28.6%	26.8%	24.8%	26.1%	28.1%	34.6%	28.2%
Net margin	14.8%	14.6%	13.7%	12.6%	13.7%	14.3%	19.6%	13.9%
Current ratio	0.51×	0.63×	0.67×	0.65×	0.57×	0.63×	0.62×	0.77×
Debt / equity	1.46×	1.42×	1.4×	1.38×	1.35×	1.33×	1.25×	1.5×
Interest coverage	2.36×	2.34×	2.36×	2.49×	2.46×	2.41×	2.94×	2.43×
Dividend yield	2.3%	2.8%	2.9%	2.8%	2.3%	3.6%	1.8%	2.7%
Payout ratio	48.5%	48.7%	48.8%	52.9%	51.9%	66.8%	25.1%	45.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	7.6%	7.1%	7.3%	6.6%	6.7%	6.8%	9.3%	7.1%
Return on invested capital	4.1%	4.0%	4.1%	3.8%	3.9%	4.1%	5.2%	4.2%
Return on assets	2.4%	2.3%	2.4%	2.2%	2.2%	2.3%	3.2%	2.2%
Free cash flow yield	-5.8%	-4.5%	-2.4%	-3.0%	-1.7%	-5.7%	-2.6%	-3.2%
Earnings yield	4.8%	5.7%	5.9%	5.4%	4.5%	5.4%	7.0%	6.0%
Enterprise value	$72B	$63.1B	$55.9B	$54.8B	$54.5B	$48.3B	$47.3B	$43.8B
Net debt / EBITDA	5.83×	6.08×	5.71×	6.3×	6.23×	6.02×	5.05×	6.67×
Cash conversion cycle (days)	-258	4	11	37	12	4	-6	29