
TSE:STN
This summary was created by AI, based on 6 opinions in the last 12 months.
Stantec Inc (STN-T) is viewed positively by various experts, primarily due to its solid growth profile and strong free cash flow generation. Concerns regarding the impact of AI on engineering firms are seen as overstated; rather, AI is expected to enhance their service capabilities. The company won a significant contract for water and wastewater infrastructure, indicating a favorable trend in environmental remediation and infrastructure spending. Analysts anticipate approximately 10% growth in both profits and dividends, positioning STN as an appealing investment with a decent yield. Comparisons with WSP highlight Stantec's potential for growth, particularly due to its smaller size, while focusing on safety in the current uncertain economic climate.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The recent deal is accretive and the balance sheet is minimized. The stock hit an all-time high from the deal. The company has done a nice job in the past few years. Unlock Premium - Try 5i Free
Good operator. Serial acquirer, and he's not averse to this. Went sideways for a while. Last 8-9 quarters, meaningfully beating estimates. Now back in gear. This space is advantaged by big US infrastructure spending. A bit of ahead of itself. ROE is about 13%. You could buy on a meaningful pullback. Not his favourite horse in the sector, which is SNC.
Has always liked this and watches it. A very good operator. But what is their organic growth potential? In recent years, WSP has shown a little more growth, but STN is positioned well in infrastucture. He would buy this if the PE were lower. He once owned this.