Latest news with #StantecInc
San Francisco Chronicle
3 days ago
- Business
- San Francisco Chronicle
Stantec: Q2 Earnings Snapshot
EDMONTON, Alberta (AP) — EDMONTON, Alberta (AP) — Stantec Inc. (STN) on Wednesday reported second-quarter earnings of $97.9 million. The Edmonton, Alberta-based company said it had profit of 86 cents per share. Earnings, adjusted for non-recurring costs, came to 98 cents per share. The results matched Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was also for earnings of 98 cents per share. The engineering firm posted revenue of $1.42 billion in the period. Its adjusted revenue was $1.15 billion, which fell short of Street forecasts. Five analysts surveyed by Zacks expected $1.18 billion. _____
Yahoo
27-06-2025
- Business
- Yahoo
3 Resilient Consulting Stocks to Consider Amid Industry Woes
Ongoing geopolitical tensions, tariff-related uncertainties, and fears of a prolonged economic slowdown through 2026 are clouding the outlook for the Zacks Consulting Services industry. Budget cuts, delayed enterprise decision-making, and tightening client discretionary spending have further weighed on near-term prospects. However, strong demand for AI-driven transformation and a corporate push for cost optimization continue to serve as a saving grace. In this context, Stantec Inc. STN, CBIZ, Inc. CBZ, and Charles River Associates CRAI stand out as potential frontrunners, leveraging innovation and operational efficiency to stay ahead in a challenging environment. About the Industry Companies grouped under the Consulting Services category offer professional advice in management, IT, human resources, environmental regulations, logistics and marketing, and real estate, serving multiple end markets. The industry focuses on channeling money and efforts toward more effective operational components, such as technology, digital transformation, and data-driven decision-making. To position themselves suitably in the post-pandemic era and better utilize the opportunities that an economic recovery will bring, service providers are increasing their efforts to formulate and reassess strategic initiatives, identify sources of demand, and target end markets. What's Shaping the Future of the Consulting Services Industry? This multi-billion-dollar industry is poised to continue its exponential growth beyond 2025, building on the momentum gained since the 2008 financial crisis and maintaining steady revenues, profit and cash-flow expansion. Consequently, this trend is expected to enable most industry players to sustain or even enhance their stable dividend payouts. The consulting services industry is expected to remain one of the least affected by future crises, building on its resilience shown during the pandemic and its after-effects. This is because even in volatile situations, organizations will continue to require extensive advice on protecting their employees and staying closer to consumers and shareholders. The industry, being one of the earliest pioneers of remote working — which has now become a permanent aspect of the work culture — is well-positioned for the future. The nature of work will continue to enable industry players to function efficiently through the increased and evolving use of technology. The recent slowdown in economic activity is weighing on the consulting industry, albeit likely temporarily. According to the third estimate released by the Bureau of Economic Analysis, GDP declined at an annual rate of 0.5% in the first quarter of 2025, following a 2.4% increase in the fourth quarter of 2024. In addition, services-sector activity contracted in May for the first time since June 2024, with the ISM Services PMI slipping to 49.9, just below the 50% threshold that separates expansion from contraction. This marks only the fourth time in 60 months the services sector has contracted since the post-COVID recovery began in June 2020. The deceleration reflects cautious corporate spending and project delays amid macroeconomic uncertainty, but underlying demand for long-term transformation and advisory services remains intact. Zacks Industry Rank Signals Challenging Outlook The Consulting Services industry, housed within the broader Business Services sector, currently carries a Zacks Industry Rank #165. This rank places it in the bottom 32% of 244 Zacks industries. The group's Zacks Industry Rank, which is the average of the Zacks Rank of all the member stocks, indicates solid near-term growth prospects. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than two to one. Before we present a few stocks that you may want to consider for your portfolio, let's take a look at the industry's recent stock market performance and current valuation. Industry's Price Performance The Consulting Services industry has underperformed the S&P 500 composite and the broader sector in the past year. The industry has lost 8.3% against the S&P 500 composite's rally of 11.3% and the broader sector's rise of 11.9%. Industry's Current Valuation On the basis of the forward 12-month price-to-earnings (P/E), which is a commonly used multiple for valuing consulting services companies, we see that the industry is currently trading at 24.51X, above the S&P 500's 22.13X and the sector's 21.94X. Over the past five years, the industry has traded as high as 31.12X and as low as 22.03X, with a median of 26.5X, as the charts below show. 3 Consulting Services Stocks to Consider Stantec: The company provides professional services in the areas of infrastructure and facilities. It remains well-positioned for continued success, supported by industry resilience and effective internal strategies. The company benefits from strong macroeconomic and structural drivers while maintaining sharp execution on its projects, enabling margin expansion and earnings growth. Stantec operates in a resilient sector shaped by long-term global needs, including water security, aging infrastructure, climate change response, advanced manufacturing and emerging technologies. These trends are expected to sustain strong project demand across regions. Stantec's consistent focus on high-quality project execution and addressing clients' most urgent infrastructure and sustainability challenges supports steady growth. This disciplined approach continues to drive margin improvement and robust earnings performance. The Zacks Consensus Estimate for the company's 2025 EPS increased nearly 1% in the past 30 days to $3.86. STN currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. CBIZ: With its service breadth and specialized expertise, this provider of financial, insurance and advisory services has established itself as one of the largest professional services providers for middle-market businesses, solidifying its competitive edge and long-term growth potential. CBIZ is entering a strong growth phase, fueled by strategic expansion and a reinforced market position. The integration of Marcum is expected to unlock new synergies, enhance service offerings, and strengthen relationships with clients and stakeholders. The Marcum transaction significantly expands CBIZ's capabilities and client base, positioning the firm for broader market reach and cross-selling opportunities. The Zacks Consensus Estimate for the company's 2025 EPS has remained unchanged at $3.62 in the past 30 days. CBIZ currently carries a Zacks Rank #3. Charles River Associates: The company offers economic, financial, and management consulting services worldwide. CRAI, as a relatively small player in the consulting and research services sector, presents a compelling narrative when evaluating its market position and growth potential. The company has carved out a niche with its strong reputation for delivering high-quality analytical and strategic consulting services across diverse industries. Despite its size, CRAI benefits from the growing demand for specialized advisory services in an increasingly complex global marketplace. Its ability to attract top talent, combined with a focus on innovation and client-centered solutions, positions it for significant growth. As industries grapple with rapid technological advancements, regulatory complexities, and evolving market dynamics, CRAI's expertise could see rising demand, allowing it to capture a larger share of its addressable market. Additionally, its proven track record of delivering value to clients may help it sustain long-term partnerships, further bolstering its growth trajectory. Given the nature of the business, CRAI's success depends on the talent that it can acquire and retain. The company has built and sustained a strong reputation for delivering high-quality consulting services, driven by its highly qualified professionals. Around 74% of its senior staff hold advanced degrees, including doctorates, and are recognized field leaders. At the end of 2024, CRAI had 946 consulting staff, comprising 151 officers, 552 other senior staff and 243 junior staff. The Zacks Consensus Estimate for the company's 2025 EPS has remained unchanged at $8 in the past 30 days. CRAI currently carries a Zacks Rank #3. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Stantec Inc. (STN) : Free Stock Analysis Report Charles River Associates (CRAI) : Free Stock Analysis Report CBIZ, Inc. (CBZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-05-2025
- Business
- Yahoo
Stantec Announces Private Offering of $425 Million Senior Unsecured Notes
(All financial figures are expressed in Canadian dollars) EDMONTON, Alberta, May 30, 2025 (GLOBE NEWSWIRE) -- Stantec Inc. ('Stantec') (TSX, NYSE: STN), a global leader in sustainable engineering, architecture and environmental consulting announced that it has priced a private placement offering (the "Offering") of $425 million aggregate principal amount of 4.374% senior unsecured notes due June 10, 2032 (the "Notes"). The Offering is expected to close on or about June 10, 2025 subject to customary closing conditions. Stantec intends to use the net proceeds of the Offering to repay existing indebtedness and for general corporate purposes. The Notes will be issued at par for aggregate gross proceeds of $425 million and will bear interest at a fixed rate of 4.374% per annum, payable semi-annually on June 10 and December 10 of each year, commencing on December 10, 2025. The Notes will be direct senior unsecured obligations of Stantec and will rank pari passu with all of Stantec's existing and future senior unsecured indebtedness and senior in right of payment to any future subordinated indebtedness of Stantec. The Notes have been assigned a provisional rating of BBB, with a stable trend, by DBRS Limited (Morningstar DBRS), and are being offered in Canada on a private placement basis in reliance upon exemptions from the prospectus requirements under applicable securities legislation. The Notes have not been and will not be qualified for sale to the public under applicable securities laws in Canada and, accordingly, any offer and sale of the Notes in Canada will be made on a basis which is exempt from the prospectus requirements of such securities laws. The Notes have not been and will not be registered under the United States Securities Act of 1933, as amended (the 'U.S. Securities Act'), or the securities laws of any other jurisdiction, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons (as such term is defined in Regulation S under the U.S. Securities Act). This news release shall not constitute an offer to sell or the solicitation of an offer to buy, any security, nor shall there be any offer to sell or a solicitation of an offer to buy the Notes in any jurisdiction where it is unlawful to do so. Cautionary Note Regarding Forward-Looking Statements This news release contains forward-looking statements which include statements about the size and terms of the proposed Offering of Notes, the timing and completion of the Offering, the expected use of the net proceeds of the Offering and any other future events or developments described herein. Forward-looking statements also include any other statements that do not refer to historical facts. By their nature, forward-looking statements are based on assumptions and factors including, without limitation: historical trends, current and future economic and financial conditions, and expected future developments. Stantec believes such assumptions and factors are reasonably accurate at the time of preparing this news release. However, forward-looking statements are not guarantees of future performance and are subject to inherent risks and uncertainties which could cause future results to differ materially from the forward-looking statements made in this news release. Such risks and uncertainties include, but are not limited to, the disclosure contained under the heading "Risk Factors" in Stantec's management discussion and analysis for the year ended December 31, 2024 (the "MD&A") and for the three months ended March 31, 2025 (the "Q1 MD&A"), and in Stantec's other continuous disclosure filings. The MD&A and Q1 MD&A are accessible online by visiting EDGAR on the SEC website at or by visiting the CSA website at or Stantec's website, There is a specific risk that the Offering described above may be delayed, cancelled, suspended or terminated. Any forward-looking statements are made as of the date hereof and, except as may be required by law, Stantec undertakes no obligation to publicly update or revise any forward-looking statements. Forward-looking statements are provided herein for the purpose of giving information about the Offering referred to above and its expected impact. Readers are cautioned that such information may not be appropriate for other purposes. Readers should not place undue reliance on forward-looking statements made in this news release, which are expressly qualified by this cautionary statement. About Stantec Stantec empowers clients, people, and communities to rise to the world's greatest challenges at a time when the world faces more unprecedented concerns than ever before. We are a global leader in sustainable engineering, architecture, and environmental consulting. Our professionals deliver the expertise, technology, and innovation communities need to manage aging infrastructure, demographic and population changes, the energy transition, and more. Today's communities transcend geographic borders. At Stantec, community means everyone with an interest in the work that we do—from our project teams and industry colleagues to our clients and the people our work impacts. The diverse perspectives of our partners and interested parties drive us to think beyond what's previously been done on critical issues like climate change, digital transformation, and future-proofing our cities and infrastructure. We are designers, engineers, scientists, project managers, and strategic advisors. We innovate at the intersection of community, creativity, and client relationships to advance communities everywhere, so that together we can redefine what's possible. Stantec trades on the TSX and the NYSE under the symbol STN. For further information: Investor ContactJess NieukerkStantec Investor RelationsPh: (403)
Yahoo
06-05-2025
- Business
- Yahoo
What Is Stantec Inc.'s (TSE:STN) Share Price Doing?
Today we're going to take a look at the well-established Stantec Inc. (TSE:STN). The company's stock saw a double-digit share price rise of over 10% in the past couple of months on the TSX. The company's trading levels have approached the yearly peak, following the recent bounce in the share price. As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company's outlook is already priced into the stock. However, could the stock still be trading at a relatively cheap price? Let's take a look at Stantec's outlook and value based on the most recent financial data to see if the opportunity still exists. We check all companies for important risks. See what we found for Stantec in our free report. What's The Opportunity In Stantec? The stock seems fairly valued at the moment according to our valuation model. It's trading around 4.20% above our intrinsic value, which means if you buy Stantec today, you'd be paying a relatively reasonable price for it. And if you believe the company's true value is CA$121.47, then there isn't really any room for the share price grow beyond what it's currently trading. Furthermore, Stantec's low beta implies that the stock is less volatile than the wider market. See our latest analysis for Stantec What does the future of Stantec look like? TSX:STN Earnings and Revenue Growth May 6th 2025 Future outlook is an important aspect when you're looking at buying a stock, especially if you are an investor looking for growth in your portfolio. Although value investors would argue that it's the intrinsic value relative to the price that matter the most, a more compelling investment thesis would be high growth potential at a cheap price. With profit expected to grow by 84% over the next couple of years, the future seems bright for Stantec. It looks like higher cash flow is on the cards for the stock, which should feed into a higher share valuation. What This Means For You Are you a shareholder? STN's optimistic future growth appears to have been factored into the current share price, with shares trading around its fair value. However, there are also other important factors which we haven't considered today, such as the financial strength of the company. Have these factors changed since the last time you looked at the stock? Will you have enough confidence to invest in the company should the price drop below its fair value? Are you a potential investor? If you've been keeping tabs on STN, now may not be the most advantageous time to buy, given it is trading around its fair value. However, the optimistic prospect is encouraging for the company, which means it's worth further examining other factors such as the strength of its balance sheet, in order to take advantage of the next price drop.
Yahoo
26-03-2025
- Business
- Yahoo
Stantec Inc. (TSE:STN) is favoured by institutional owners who hold 66% of the company
Given the large stake in the stock by institutions, Stantec's stock price might be vulnerable to their trading decisions The top 13 shareholders own 50% of the company Insiders have bought recently Every investor in Stantec Inc. (TSE:STN) should be aware of the most powerful shareholder groups. With 66% stake, institutions possess the maximum shares in the company. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn). Given the vast amount of money and research capacities at their disposal, institutional ownership tends to carry a lot of weight, especially with individual investors. Therefore, a good portion of institutional money invested in the company is usually a huge vote of confidence on its future. In the chart below, we zoom in on the different ownership groups of Stantec. View our latest analysis for Stantec Institutional investors commonly compare their own returns to the returns of a commonly followed index. So they generally do consider buying larger companies that are included in the relevant benchmark index. As you can see, institutional investors have a fair amount of stake in Stantec. This suggests some credibility amongst professional investors. But we can't rely on that fact alone since institutions make bad investments sometimes, just like everyone does. When multiple institutions own a stock, there's always a risk that they are in a 'crowded trade'. When such a trade goes wrong, multiple parties may compete to sell stock fast. This risk is higher in a company without a history of growth. You can see Stantec's historic earnings and revenue below, but keep in mind there's always more to the story. Institutional investors own over 50% of the company, so together than can probably strongly influence board decisions. It looks like hedge funds own 20% of Stantec shares. That's interesting, because hedge funds can be quite active and activist. Many look for medium term catalysts that will drive the share price higher. Mackenzie Financial Corporation is currently the largest shareholder, with 20% of shares outstanding. For context, the second largest shareholder holds about 4.6% of the shares outstanding, followed by an ownership of 4.4% by the third-largest shareholder. Looking at the shareholder registry, we can see that 50% of the ownership is controlled by the top 13 shareholders, meaning that no single shareholder has a majority interest in the ownership. Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There are plenty of analysts covering the stock, so it might be worth seeing what they are forecasting, too. The definition of company insiders can be subjective and does vary between jurisdictions. Our data reflects individual insiders, capturing board members at the very least. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO. Most consider insider ownership a positive because it can indicate the board is well aligned with other shareholders. However, on some occasions too much power is concentrated within this group. Our information suggests that Stantec Inc. insiders own under 1% of the company. As it is a large company, we'd only expect insiders to own a small percentage of it. But it's worth noting that they own CA$40m worth of shares. It is always good to see at least some insider ownership, but it might be worth checking if those insiders have been selling. The general public, who are usually individual investors, hold a 14% stake in Stantec. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run. It's always worth thinking about the different groups who own shares in a company. But to understand Stantec better, we need to consider many other factors. I always like to check for a history of revenue growth. You can too, by accessing this free chart of historic revenue and earnings in this detailed graph. If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts. NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
