Last Updated: 13 Nov 2024
Executive Summary
FirstService Corp (FSV) is a leading provider of residential property management and other essential property services in the United States and Canada. The company has a strong financial position with a market capitalization of $8.44 billion and an EBITDA of $454.6 million. FSV's trailing P/E ratio of 77.46 is high compared to the industry average, but its forward P/E ratio of 33.56 indicates potential for growth. The stock is currently trading at $187.08, below its 52-week high of $192.71.
Company Overview
FirstService Corp was founded in 1989 and is headquartered in Toronto, Canada. The company provides a wide range of property management services, including property maintenance, landscaping, snow removal, and security. FSV also offers consulting and advisory services to help clients manage their properties more effectively. The company has a strong presence in both the United States and Canada, with over 20,000 employees and 1.6 million residential and commercial units under management.
Fundamental Analysis
FSV's financial performance has been solid in recent years. The company's revenue has grown at a compound annual growth rate (CAGR) of 5.8% over the past five years, and its net income has grown at a CAGR of 7.2%. FSV's profit margin is 2.19%, and its operating margin is 8.09%. The company's return on assets (ROA) is 5.29%, and its return on equity (ROE) is 11.3%.
FSV has a strong balance sheet with $1.5 billion in cash and equivalents and $2.2 billion in debt. The company's debt-to-equity ratio is 0.49, which is considered to be a manageable level. FSV also has a strong cash flow from operations, which provides the company with the financial flexibility to invest in growth initiatives.
Technical Analysis
FSV's stock price has been trending higher in recent months. The stock is currently trading above its 50-day and 200-day moving averages, which indicates that the trend is bullish. The stock's relative strength index (RSI) is 62.66, which indicates that the stock is overbought. However, the RSI is still below 70, which suggests that the stock is not yet overbought.
Short Term Outlook
FSV's stock price is expected to continue to trend higher in the short term. The stock's technical indicators are bullish, and the company's financial performance is solid. However, investors should be aware that the stock is overbought, and there is a risk of a pullback in the short term.
Long Term Outlook
FSV's long-term outlook is positive. The company is a leader in the property management industry, and it has a strong financial position. FSV is well-positioned to benefit from the growing demand for property management services. The company's stock is a good investment for long-term investors who are looking for growth potential.
Analyst Recommendations
Analysts have a positive outlook on FSV's stock. The average analyst rating for FSV is "buy," and the average analyst target price is $194.50. Two analysts have a "strong buy" rating for FSV, two analysts have a "buy" rating, and two analysts have a "hold" rating. No analysts have a "sell" or "strong sell" rating for FSV.
