Stantec Inc. (STN) 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

+44.6%

$111.16

vs $76.90 price

Levered DCF

$114.27

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

3.16

Safe zone

Rating

B+

Overall 3 / 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	30.83×	35.59×	35.63×	29.24×	39.5×	27.07×	21.1×	71.02×
P/B	4.56×	4.37×	4.82×	3.15×	3.95×	2.4×	2.18×	1.78×
P/S	1.81×	1.72×	1.82×	1.27×	1.73×	1.24×	1.1×	0.79×
EV / EBITDA	16.14×	16.28×	16.57×	13.29×	18.33×	12.99×	11.01×	11.19×
Gross margin	39.0%	42.6%	42.4%	42.6%	42.9%	36.0%	36.6%	42.4%
Operating margin	9.2%	7.9%	7.7%	6.9%	6.9%	7.2%	6.7%	6.1%
Net margin	5.9%	4.8%	4.9%	4.4%	4.4%	3.6%	4.0%	1.1%
Current ratio	1.23×	1.29×	1.41×	1.37×	1.41×	1.59×	1.57×	1.9×
Debt / equity	0.97×	0.69×	0.69×	0.86×	0.98×	0.68×	0.85×	0.49×
Interest coverage	6.4×	5.02×	4.83×	5.62×	7.44×	5.84×	4.21×	9.13×
Dividend yield	0.7%	0.7%	0.7%	1.1%	0.9%	1.5%	1.6%	1.8%
Payout ratio	21.1%	26.0%	26.8%	31.7%	36.0%	50.6%	42.9%	129.3%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	14.8%	12.3%	12.9%	10.8%	10.0%	7.0%	8.0%	2.5%
Return on invested capital	9.5%	8.7%	8.8%	6.7%	5.7%	5.8%	5.1%	6.2%
Return on assets	6.0%	5.2%	5.5%	4.4%	3.8%	3.1%	3.3%	1.2%
Free cash flow yield	5.4%	3.9%	3.8%	3.2%	4.4%	12.3%	9.6%	1.1%
Earnings yield	3.2%	2.8%	2.7%	3.4%	2.5%	2.9%	3.6%	1.4%
Enterprise value	$17.5B	$14.7B	$13.2B	$9B	$9.7B	$5.7B	$5.5B	$4.1B
Net debt / EBITDA	2.52×	2.01×	1.7×	2.67×	3.33×	2.37×	2.77×	2.02×
Cash conversion cycle (days)	66	71	70	83	88	91	99	92